SkinBioTherapeutics plc (AIM: SBTX), a life science company focused on skin health, has finalized the commercial terms of its agreement with Croda plc following successful testing of the SkinBiotix™ technology. The agreement includes tiered royalties for SkinBioTherapeutics based on global sales revenues from licensed products derived from their partnership.

The original agreement, signed in November 2019, was extended by Croda in October 2023 for 12 months to conduct additional clinical studies on SkinBiotix. These studies aimed to uncover beneficial properties that could boost the technology’s commercial potential in the cosmetics industry. The positive results have now moved the product into the marketing and commercialization phase, with a formal public launch set for In-Cosmetics Global in Amsterdam from April 8-10, 2025.

The agreement grants sales and distribution rights to the active cosmetic sector, allowing SkinBioTherapeutics to focus on other applications of its technology. Specific details about the formulation, functionality, and Croda’s financial expectations remain confidential due to market competition. However, SkinBioTherapeutics’ management is confident in Croda Beauty’s expertise in launching new products.

Stuart Ashman, CEO of SkinBioTherapeutics, expressed satisfaction with the finalized terms, stating, “We have finalized the commercial terms with Croda which are in line with our longstanding expectations and we believe they represent a great deal for the Group. Furthermore, we have been deeply impressed with the experience and track record of the commercial team which includes the launch of multimillion-pound blockbuster products such as Matrixyl, and we are very confident in our partner’s plans for the launch and commercialization of SkinBiotix.”

Based on the expected sales from the Croda agreement and revenue from recent acquisitions, Dermatonics and Bio-Tech Solutions, SkinBioTherapeutics anticipates being cash flow positive from FY2025. Management does not expect to raise additional working capital and confirms that revenues will be received before the year’s end.

Stuart Ashman will discuss this recent news in a “fireside chat” with Elric Langton of Small Company Champion on November 29 at 09.00 GMT on the Investor Meets Company Platform. This marks a significant step forward for SkinBioTherapeutics as it moves toward achieving its financial and commercial milestones.