Cynata Therapeutics scoops bumper R&D incentive – The West Australian

Clinical-stage biotechnology company, Cynata Therapeutics has lopped over $800,000 off its tax bill after the companys cell therapeutic work was deemed eligible for the Federal Governments research and development tax refund scheme. The company says the savings will be ploughed into its expansive series of clinical trials which include osteoarthritis, respiratory failure, diabetic foot ulcers and its imminent graft-versus-host disease trials.

The refund covers work completed over the 2020/2021 financial year and boosts Cynatas already healthy cash position, reported at $23.9m in recent financial reports.

The rebate is courtesy of the Australian Governments Research and Development Tax Incentive. The scheme has served as the Federal Governments primary means of supporting domestic innovation and has helped drive a suite of ground-breaking products and services since its introduction more than a decade ago. The system provides an opportunity for eligible local and foreign companies undertaking R&D activities in Australia to reduce their tax bill by providing a rebate on activities that meet the criteria.

The Victorian-based company has been on the receiving-end of a number of bumper financial plays of late, including $5 million from specialised human cell manufacturing heavyweight, Fujifilm Cellular Dynamics under a partnership agreement inked by the duo in October.

That deal will see Fujifilm provide clinical and commercial manufacturing services for Cynatas Cymerus therapeutic mesenchymal stem cell products.

Cynata says its Cymerus products offer superior benefits to alternative products on the market. According to the company, Cymerus, unlike its competitive products, uses a single donor to produce cell therapy products at a commercial scale whilst alternative stem cell treatments require multiple donors.

The companys recent spate of activity also saw it regain commercialisation rights to its CYP-001 as a treatment for graft versus host disease. The illness typically rears its head after bone marrow transplants and is typified by the donors immune cells attacking the recipient of the transplant.

With a healthy financial injection back into in the companys coffers, Cynata can focus its efforts on further developing its comprehensive and cutting-edge product pipeline in the lucrative clinical-stage biotechnology space.

Is your ASX-listed company doing something interesting? Contact: matt.birney@wanews.com.au

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Cynata Therapeutics scoops bumper R&D incentive - The West Australian