In an update, the IP commercialisation firm said it planned to cut its headquarters operating expenses by 40% year-on-year to US$5.6mln, adding that its US$50mln cash balance at the end of December was “sufficient” to support its activities into 2021.
READ: Jefferies has “reason to believe” in Allied Minds as Spin Memory completes US$52mln Series B funding round
The chief executive of the firm, Jill Smith, had also agreed to reduce her cash salary for 24 months from the start of the 2019 calendar year.
In its portfolio, the company said it had made “strong progress” in 2018 with portfolio companies Spin Memory, HawkEye 360 and Federated Wireless all on track to deliver revenues in 2019.
ALM added that it had agreed with Woodford Investment Management to jointly contribute an aggregate of US$9mln of convertible bridge financing to its SciFluor and Precision Biopsy portfolio firms.
Spin Memory had also syndicated new financial investors substantially all of Allied Minds' backstop commitment to the Spin Memory Series B funding round, with the remaining balance of US$2.5mln to be subscribed by ALM if more investors did not take it up.
Smith commented that the company’s strategy to “secure strategic investors and commercial partners” was paying dividends across the technology portfolio by “accelerating commercialisation and creating optionality”.
“With proactive cost management measures, Allied Minds has cash runway into 2021 and is in a strong position to maximise returns, focusing on supporting its existing portfolio", she added.
Shares were up 1.8% at 62.4p.