Instem plc Settlement of Historical Licence Dispute (7171A)

TIDMINS

RNS Number : 7171A

Instem plc

27 September 2022

Instem plc

("Instem", the "Group" or the "Company")

Settlement of Historical Contractual Licence Dispute

Further to the update provided in the Company's 2021 final results (released 26 April 2022), Instem plc (AIM: INS), a leading p rovider of IT solutions to the global life sciences market, announces that, following a German court hearing on 17 March 2022, full and final settlement has now been reached in respect of a one-off, historical contractual licence dispute dating back to 2017 with a former customer of Instem (the "Dispute"). The Dispute has no bearing on current operations.

Instem has agreed to pay a EUR 1.48m (approximately GBP1.3m) settlement, of which its insurer has agreed to contribute EUR 0.45m (approximately GBP0.4m), (the "Settlement"). It was a negotiated settlement with the customer and is not an admission of fault on Instem's behalf.

As previously announced, the Company had created a provision of GBP0.25m in respect of the Dispute. Therefore, the net charge to the Group's FY22 P&L following this settlement will be approximately GBP0.64m which will be accounted for as a non-recurring, exceptional item.

The Settlement will result in a net cash outflow of approximately GBP0.9m that will be made during October.

For further information, please contact:

 
 Instem plc                               Via Walbrook 
 Phil Reason, CEO 
 Nigel Goldsmith, CFO 
 
 Singer Capital Markets (Nominated 
  Adviser & Broker)                       +44 (0) 20 7496 3000 
 Peter Steel 
  Alex Bond 
  Rachel Hayes 
 
 Stifel Nicolaus Europe Limited (Joint 
  Broker)                                 +44 (0) 20 7710 7600 
 Ben Maddison 
 Alex Price 
  Richard Short 
 
 Walbrook Financial PR                    +44 (0) 20 7933 8780 
 Tom Cooper                               instem@walbrookpr.com 
 Nick Rome

About Instem

Instem is a leading provider of IT solutions & services to the life sciences market delivering compelling solutions for Study Management, Regulatory Submissions, Clinical Trial Acceleration, and Informatics-based Insight Generation.

Instem solutions are in use by over 700 customers worldwide, including all of the largest 25 pharmaceutical companies, enabling clients to bring life enhancing products to market faster. Instem's portfolio of software solutions increases client productivity by automating study-related processes while offering the unique ability to generate new knowledge through the extraction and harmonisation of actionable scientific information.

Instem products and services address aspects of the entire drug development value chain, from discovery through to market launch. Management estimate that over 50% of all drugs on the market have been through some part of Instem's platform during their development.

   To learn more about Instem solutions and its mission, please visit   www.instem.com

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September 27, 2022 02:01 ET (06:01 GMT)

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