FULLTEXT DEL 1 AV 1
Kvartalsrapport Q4 2024
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YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 1 Karolinska Development AB (publ)
Karolinska Development
Karolinska Development (Nasdaq Stockholm: KDEV) is an investment company which offers a unique
opportunity to participate in the growth in value of a number of Nordic life sciences companies with
substantial commercial opportunities. All of the portfolio companies are developing potentially ground-
breaking treatments for medical conditions with a substantial need for improved therapies, including priming
of labor, brittle bone disease, liver diseases, Parkinson’s disease, heart failure, sepsis, anemia in chronic
kidney disease, nerve pain, serious viral infections, systemic fungal infections and low back pain. To date,
two of the companies have launched their first products, and several companies are in late clinical phase
with potential business opportunities over the next two years.
For further information, see www.karolinskadevelopment.com
Financial Update
Fourth quarter
The net profit/loss for the fourth quarter was SEK 18.6 million (SEK -1,9 million in the fourth
quarter of 2023). Earnings per share totaled SEK 0.1 (SEK -0.01 in the fourth quarter of 2023).
The result of the Change in fair value of shares in portfolio companies for the fourth quarter
amounted to SEK 18.7 million (SEK 6.6 million in the fourth quarter of 2023). The result is mainly
the effect of the upturn in share price in the listed holdings OssDsign and Modus Therapeutics
and also by an increase in value in AnaCardio in connection with the investment round. The
upturn was partly offset by a downturn in the share price in the listed holdings.
The total fair value of the portfolio was SEK 1,451.5 million at the end of December 2024,
corresponding to a decrease of SEK 11.6 million from SEK 1,463.1 million at the end of the
previous quarter. The net portfolio fair value at the end of December 2024 was SEK
1,120.8 million, corresponding to a decrease of SEK 1.0 million from SEK 1,121.8 million at the
end of the previous quarter. The main reason for the net decrease in fair value was the partial
divestment of OssDsign and the downturn in the share price of the listed holding Promimic. The
decrease was partially offset by the increase in the price of the listed holdings OssDsign and
Modus Therapeutics together with the increase in value of AnaCardio in connection with the
investment round. The quarter's investments in Umecrine Cognition and BOOST Pharma also
contributed to the increase in fair value.
Net asset value amounted to SEK 1,245.0 million, per share SEK 4.6, at the end of December
2024 (SEK 1,253.4 million, per share SEK 4.6 at the end of December 2023).
Net sales totaled SEK 0.5 million during the fourth quarter of 2024 (SEK 0.5 million during the
fourth quarter of 2023).
Karolinska Development invested a total of SEK 19.4 million in portfolio companies during the
fourth quarter of 2024 (SEK 41.6 million in the fourth quarter of 2023). Fourth quarter 2024
investments in portfolio companies by Karolinska Development and other specialized life
sciences investors totaled SEK 155.7 million (SEK 125.3 million in the fourth quarter of 2023).
Q4
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Year-end Report January – December 2024 2 Karolinska Development AB (publ)
Cash and cash equivalents increased by SEK 12.7 million during the fourth quarter, totaling SEK
52.0 million on 31 December 2024 (SEK 85.3 million on 31 December 2023).
Full-year
The full-year net profit/loss was SEK -8.1 million (SEK 5.4 million in 2023). Earnings per share
totaled SEK -0.03 (SEK 0.02 in 2023).
The full-year result for the change in the fair value of the portfolio amounted to SEK 1.6 million
(SEK 15.2 million during 2023).
The total fair value of the portfolio was SEK 1,451.5 million at the end of December 2024, an
increase from SEK 1,440.3 million at the corresponding date in 2023. The net portfolio fair value
was SEK 1,120.8 million, an increase by SEK 10.5 million from SEK 1 110.3 million at the
corresponding date in 2023.
Net asset value amounted to SEK 1,245.0 million, per share SEK 4.6, at the end of December
2024 (SEK 1,253.4 million, per share SEK 4.6 at the end of December 2023).
Revenue totalled SEK 1.8 million for the full-year of 2024 (SEK 2.0 million in 2023).
Karolinska Development invested a total of SEK 62.0 (103.0) million in its portfolio companies
during the full-year. Full-year investments in the portfolio companies by Karolinska Development
and other specialised life sciences investors totalled SEK 490.3 (394.5) million.
Karolinska Development's cash compensation from sold shares and earn-out agreements
regarding divested portfolio companies amounted to SEK 42.4 (18.3) million during the year.
Cash and cash equivalents decreased by SEK 43.3 million during the full-year, totalling SEK 42.0
(85.5) million on 31 December 2024.
The Board does not propose any dividend for the financial year 2024.
Significant events during the fourth quarter
The portfolio company Umecrine Cognition presented new preclinical data on golexanolone,
showing retained dopamine signaling in Parkinson’s disease, at the 10th International Conference
on Neurology and Brain Disorders 2024 in Baltimore, Maryland, US (October 2024).
The portfolio company SVF Vaccines, presented positive clinical safety and immunogenicity data
from a clinical phase 1 study of the universal Covid-19 vaccine candidate, SVF-002 (October
2024).
The portfolio company BOOST Pharma successfully completed a pre-IND meeting with the U.S.
Food and Drug Administration, FDA, for its cell therapy aiming to treat children with the rare bone
disease Osteogenesis Imperfecta (OI). The positive outcome from the meeting triggered the
second tranche of previously agreed investment from Karolinska Development (November 2024).
Karolinska Development’s Extra General Shareholders’ Meeting on 13 November 2024 decided,
among other things, to elect Will Zeng, with the dismissal of the current director Theresa Tse, as
a new director of the Board of Directors. The current directors Hans Wigzell, Anna Lefevre
Skjöldebrand, Benjamin Toogood and Philip Duong remain as directors of the Board of Directors
and Hans Wigzell remains as chairperson (November 2024).
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The portfolio company SVF Vaccines appointed Dr Gaston Picchio as acting CEO. He will
assume the position with effect from November 15th, as Dr Richard Bethell decided to step down
as CEO to pursue other professional interests while remaining associated with the company in
an advisory role (November 2024).
The portfolio company Umecrine Cognition presented data from a recent interim analysis from an
ongoing Phase 1b/2a clinical study of golexanolone in patients with Primary Biliary Cholangitis.
The preliminary results show that golexanolone was well-tolerated and achieved drug exposure
levels that correlate to clinical treatment doses. The results were presented at the Late Breaking
Poster session at the American Association for the Study of Liver Diseases’ (AALSD) 75th Liver
Meeting, in San Diego, CA, USA, on November 18, 2024 (November 2024).
The portfolio company Modus Therapeutics secured access to bridge financing of up to SEK 5
million from Karolinska Development, the company’s largest shareholder. The funding enabled
Modus to initiate the recently approved phase 2a study in chronic kidney disease (November
2024).
Karolinska Development announced that the company has decided to implement organizational
changes in order to reduce the cost base of its operations. The changes involve reducing the
management team by one person and giving notice of redundancy to a total of three employees.
This is estimated to reduce the company's personnel costs by approximately 20 percent
(December 2024).
The portfolio company, Modus Therapeutics, dosed the first patient in a phase 2 clinical study of
the drug candidate sevuparin, evaluated as a treatment for chronic kidney disease with anemia.
The study is being conducted at Centro Ricerche Cliniche di Verona in Italy (December 2024).
Karolinska Development divested 4,6 million shares in the portfolio company OssDsign and
thereby strengthened the investment company’s liquidity. Karolinska Development holds nearly
5 million shares in OssDisgn after the divestment (December 2024).
Karolinska Development announced that the company’s Chairman of the Board, Professor Hans
Wigzell, has decided to resign from his position. The Board of Directors of Karolinska
Development appointed Ben Toogood as new Chairman until the next General Shareholders’
Meeting (December 2024).
The portfolio company Umecrine Cognition raised SEK 23.8 million through a convertible loan to
be used for the continuation of the company’s clinical study of golexanolone in primary biliary
cholangitis. The convertible loan with attached share options is directed to a consortium of
investors (December 2024).
Significant post-period events
The portfolio company AnaCardio secured SEK 205 million in a series A extension financing
round and reported positive results from the first part of a Phase 1b/2a study of AC01 in patients
with heart failure and reduced ejection fraction. The final part of the study (phase 2a) is expected
to start during the first quarter of 2025 (January 2025).
The portfolio company Dilafor announced that it successfully completed regulatory meetings with
the U.S. Food and Drug Administration, FDA, and European Health Agencies, regarding the
continued development of the company’s drug candidate tafoxiparin. The completed meetings
marked the end of a comprehensive dialogue with regulatory authorities in the US and EU to
reach an alignment between the authorities on designing pivotal clinical Phase 3 studies in
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Europe and the US to evaluate tafoxiparin as a new potential treatment for priming of labor
(January 2025).
Viktor Drvota, CEO of Karolinska Development, comments:
“Stronger liquidity will ensure our ongoing ability to continue advancing the portfolio companies that are in
earlier stages of development and offer the potential for creating substantial value going forward.”
Contact information
For further information, please contact:
Viktor Drvota, Chief Executive Officer
+46 73 982 52 02
viktor.drvota@karolinskadevelopment.com
Hans Christopher “HC” Toll, Chief Financial Officer
+46 70 717 00 41
Hc.toll@karolinskadevelopment.com
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Chief Executive’s Report
The final quarter of the year saw a number of changes, both in portfolio companies and to Karolinska
Development. The clinical development work by several of our portfolio companies is now reaching the very
advanced stage, and this is particularly true for our most recent addition, BOOST Pharma, which is engaged
in a dialogue with the FDA regarding phase 3 studies forming the basis for registration. AnaCardio and
Umecrine Cognition have both successfully completed financing rounds, with the former raising a total of
SEK 205 million that will enable it to continue its ongoing clinical studies after promising interim findings.
Karolinska Development has taken advantage of the advances by the OssDsign medtech company to divest
shares in the company and thereby realise the profit on just under half of its proprietary holding. This
strengthened liquidity will enable us to create substantial value going forward.
BOOST Pharma makes progress with FDA
Our portfolio company, BOOST Pharma, has successfully completed a pre-IND advisory meeting with the
US Food and Drug Administration (FDA) regarding the development plan for the company’s cell therapy
which aims to treat children with the rare bone disease, Osteogenesis Imperfecta. The company will now,
based on the positive feedback, begin preparations for a phase 3 clinical development program that will be
conducted in the USA and in Europe. The positive outcome of the pre-IND meeting will also trigger the
second tranche of Karolinska Development’s and Industrifonden’s investment in BOOST Pharma in line
with an earlier agreement, and we are delighted to increase our ownership in this innovative project which
is rapidly progressing towards registration trials.
AnaCardio secures SEK 205 million and reports data
After the quarter’s end, our portfolio company, AnaCardio, secured SEK 205 million in a financing round
and welcomed Novo Holdings, Pureos Bioventures and Sound Bioventures as new investors. AnaCardio
simultaneously reported positive results from the first part of the company’s clinical phase 1b/2a studies of
its candidate drug, AC01, in patients with heart failure and reduced ejection fraction. The financing will be
used to complete the trial and to prepare and initiate start-up activities for a subsequent phase 2b study.
Umecrine continues to develop strongly
In November, Umecrine Cognition presented positive interim data from an ongoing clinical phase 1b/2a
study of golexanolone in patients with primary biliary cholangitis (PBC). In December, the company raised
SEK 23.8 million through a convertible loan which will be used to finance the ongoing clinical trial with the
aim of completing the study in the first half of 2025 – a milestone which, in the event of positive results,
could result in a substantial increase in the value of the pharmaceutical project.
Umecrine has also presented preclinical data for golexanolone showing retained dopamine signalling in
Parkinson’s disease, which is a progressive disease caused by the loss of nerve cells in the brain that
produce the signalling substance, dopamine, which leads to various symptoms that reduce the patient’s
well-being and quality of life.
Modus Therapeutics progresses renal project
In November, the Modus Therapeutics portfolio company secured access to bridge financing of up to SEK
5 million from Karolinska Development, which is the company’s largest shareholder. The funding enabled
Modus Therapeutics to initiate the clinical phase 2a study of its candidate drug, sevuparin, in chronic kidney
disease with anaemia in December. The study is being conducted in Italy and is expected to recruit between
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50 and 60 patients (parts 1 and 2). The first part of the study has an estimated completion within the first
half of 2025.
SVF Vaccines announces positive vaccine data
In October, the SVF Vaccines portfolio company announced positive results from a clinical phase 1 study
of a universal COVID-19 vaccine, SVF-002. The study reported positive clinical safety and immunogenicity
data at The International Society for Vaccines’ annual meeting in Seoul, South Korea. The results of the
study constitute an important milestone for the company in that they validate SVF Vaccines’ development
platform, which comprises a portfolio of therapeutic and prophylactic vaccines that can, potentially, both
prevent disease and treat already infected patients.
Liquidity strengthened by divestment of OssDsign shares
Karolinska Development divested 4.6 million shares in its portfolio company, OssDsign, thereby
strengthening the investment company’s own liquidity by almost SEK 40 million. Karolinska Development
is a long-term owner of OssDsign and was involved in the company’s listing on the Nasdaq First North
Growth Market in Stockholm. We continue to have every confidence in OssDsign’s ability to successfully
increase market penetration for its unique bone graft and have retained a holding of around 5,000,000
shares in the wake of the divestment.
New Chairman and organisational changes
In December, Professor Hans Wigzell resigned his role as Chairman of the Board of Karolinska
Development at his own request, after having been an important and instrumental force in the company in
a variety of positions since its foundation. The Board of Directors has appointed as his successor, Board
Member Ben Toogood, who will take over the role of Chairman until the next General Meeting.
We have conducted a strategic review during the quarter and identified opportunities for enhancing
operational efficiency. The review resulted in organisational changes that entailed a total of three people
were laid off – a change that is estimated to reduce the company’s personnel costs by approximately 20%.
It is, of course, regrettable when competent and popular employees are required to leave, but we are
convinced that these changes prompted by our strategic review are in the long-term interests of the
company.
The enhanced operational efficiency will secure the sustainability of our portfolio management and ensure
that we make optimum use of our financial resources, enabling us to provide the best possible support for
our portfolio companies and to generate value for our shareholders
Solna, 14 February 2024
Viktor Drvota
Chief Executive Officer
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Portfolio Companies
High potential for continued value inflection in portfolio
Karolinska Development’s investments in therapeutic companies are conducted in syndicates with other
professional life science investors, normally until proof-of-concept is demonstrated in phase 2 trials, at which
point different exit options are evaluated. When engaging in MedTech companies, the business model is to
finance the companies until they show a positive operating profit.
The portfolio, per December 31, 2024, consisted of eleven companies focused on developing innovative
treatment methods for severe or life-threatening diseases where there is currently a great need and there
is a lack of effective treatment alternatives. Nine of the portfolio companies have drug candidates in ongoing
or planned clinical trials and two companies have MedTech products in commercial phases. During the
period 2025–2026, two portfolio companies are expected to present data from phase 1 studies and three
portfolio companies are expected to present data from phase 2 studies. Additionally, Dilafor and BOOST
Pharma are preparing to start phase 3 studies. These study results have the potential to significantly
increase the opportunities for attractive divestments or license transactions. Comparable drug candidates
have in recent years been out licensed or sold at contract values that have amounted to billions (SEK) for
the individual projects.
In addition to the portfolio companies, Karolinska Development has interests in one other life science
company, Forendo Pharma, in the form of an earn-out agreement with the acquirer Organon. The
agreement stipulates significant milestone payments, provided milestones are met, in both the drug
development phase and the commercial phase.
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Dilafor AB
Priming of labor reduces maternal and neonatal
complications
Dilafor (Solna, Sweden) is developing tafoxiparin, a heparin analogue, aimed at priming spontaneous
onset of labor leading to a normal vaginal delivery and minimizing the risk for maternal and fetal
complications associated with labor induction. Over 30 percent of all pregnant women undergo induction
in labor, with induction methods such as prostaglandins and oxytocin, requiring fetal and maternal
surveillance in hospital due to high risk of complications for both mother and fetus. Clinical guidance for
labor induction have recently been revised to encourage delivery as early as gestational week 39 in the
US and weeks 40–41 in Europe, to reduce the risk of complications such as stillbirth, neonatal
complications and operative deliveries leading to improved maternal and neonatal outcomes The new
guidance will increase the number of deliveries requiring initiation of labor, and thus new, safer treatment
options are essential in obstetric care. Tafoxiparin is a patented substance that supplements the
remodeling process of the cervix and uterus required for a natural spontaneous onset of labor. Tafoxiparin
is planned to be safely administered at home, freeing up hospital beds and resources that would otherwise
be required for the induction process.
Tafoxiparin has been shown to be safe for both mother and child in a Phase 2a clinical trial with 263 pregnant
women. A Phase 2b trial with 170 first-time mothers undergoing priming of labor showed significant results
in the highest dose group and in an extension of the Phase 2b trial with 164 women, positive results were
also shown in lower doses. Dilafor has successfully completed meetings with the US FDA and the European
Health Agencies and is now preparing the Phase 3 development of tafoxiparin.
The market
Over 30 percent of all pregnant women need labor induction. The current standard treatment
includes administration of prostaglandins and oxytocin. Frequently the induction fails, leading to
slow progress of labor, operative deliveries, or other maternal and fetal complications. Market
analyses show that a drug with a good effect on initiation of labor has the potential to reach annual
sales over USD 1 billion in the US market alone.
Recent progress
In February 2023, Dilafor announced that the extended Phase 2b study of tafoxiparin had
resulted in additional positive data, showing that the effect of tafoxiparin obtained in the Phase
2b study was maintained when the drug candidate is administered in additional doses.
In January 2025, Dilafor announced successfully having completed regulatory meetings with the
FDA, and European Health Agencies, regarding the continued development of tafoxiparin. The
completed meetings marked the end of a comprehensive dialogue with regulatory authorities to
reach an alignment on designing pivotal clinical Phase 3 studies in Europe and the US.
Expected milestones
• Start of Phase 3 study with tafoxiparin for priming of labor.
Project (First-in-class)
Tafoxiparin
Primary indication
Priming of Labor
Development phase
Phase 2b complete
Phase 3 ready
Holding in company*
Karolinska Development 3%
KDev Investments 29%
Other investors
Opocrin
The Foundation for Baltic
and East European
Studies
Lee’s Pharmaceutical
Praktikerinvest
Rosetta Capital
Origin
Karolinska Institutet
More information
dilafor.com
* Fully-diluted ownership based on
current investment plans.
Deal values for similar
projects
USD 500 million
ObsEva (licensor) &
Organon (licensee) 2021
USD 397 million
Velo Bio (seller) & AMAG
Pharmaceuticals (buyer)
2018
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BOOST Pharma ApS
Cell therapy reducing fractures in rare bone disease
BOOST Pharma (Copenhagen, Denmark) is developing a first-in-class and potentially groundbreaking cell-
based treatment of the rare bone disease osteogenesis imperfecta (OI), also known as brittle bone disease.
OI is a congenital condition that is caused by gene mutations that code for bone formation and lead to fragile
bones, constant fractures and bone deformity leading to much pain, stunted growth and limited mobility.
BOOST Pharma’s novel cell therapy is based on mesenchymal stem cells (MSCs), which are stem cells with
high bone-forming capabilities. In September 2024, BOOST Pharma presented positive top line results from
BOOSTB4, which is a phase 1/2 clinical study. The results showed that the treatment was safe and well
tolerated both when administered before and after birth. The results also showed that fracture rates were
reduced by over 75 percent, up to twelve months after the last dose.
A previous study, a human proof-of-concept study with four children with moderate to severe types of OI,
also showed great promise; A significant reduction of fractures was observed; the children followed their own
growth curve, and grew in length faster, compared to other OI patients, and the cells showed great safety.
The cell therapy is uniquely positioned in that treatment can start directly at diagnosis, either at the prenatal
stage, or after the child is born. By starting treatment early, the benefits for the patient increase in later years.
The cell therapy targets the underlying cause of the disease, which is defective collagen production in the
bones, while other treatments target symptom relief and management.
BOOST Pharma has received Rare Pediatric Disease designation in the U.S. and Orphan Drug Designation
in both the U.S. and EU.
The market
There are very few therapies available and those that exist, such as physiotherapy, surgery, and
bisphosphates (BPs), are merely palliative and fail to reduce the frequency of fractures. Generally, OI
sufferers have an almost normal life span with severe disabilities due to bone defects and hundreds of
painful bone fractures, even during fetal life, causing irreversible damage.
Approximately 4,000 children are born each year with severe OI.
Recent progress
In May 2024, BOOST Pharma received funding from Karolinska Development and Industrifonden in
a syndicate, to support continued clinical development. The financing is carried out in two tranches.
The second tranche was deployed in November, after a positive pre-IND meeting with the FDA.
In September 2024, BOOST Pharma announced positive top line results from a phase 1/2 study with
over 75 percent reduction in fracture rates in children with OI.
Expected milestones
A registration-enabling Phase 3 study is expected to start early in 2026.
Project (First-in-class)
BOOST Cells
Primary indication
Osteogenesis Imperfecta
Development phase
Phase 2 reported
Preparing Phase 3
Holding in company*
Karolinska Development 10%
Other investors
Industrifonden
Origin
Karolinska Institutet
More information
boostpharma.com
*Ownership based on current
investment plans
Deal values for similar
projects
USD 535 million IPSEN
(licensee) & Blueprint
medicines (licensor),
2019
USD 304 million
Ultragenyx (licensee) &
Mereo BioPharma
(licensor), 2020
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Umecrine Cognition AB
Developing a new and safe approach to treat cognitive
impairment
Umecrine Cognition (Solna, Sweden) is developing golexanolone (GR3207), a candidate drug in a new class
of pharmaceuticals that affect the GABA system, the chief inhibitory neurotransmitter in the central nervous
system. The GABA system is suspected of being overactivated in liver failure and in other severe
inflammatory diseases such as Parkinson’s disease, causing very serious clinical symptoms, including
cognitive impairments and sleep disturbances. Golexanolone counters the increased activation of the GABA
system and has been shown to restore different types of neurological impairments in experimental models.
Umecrine Cognition is developing golexanolone for two indications: Primary Biliary Cholangitis (PBC) and
Parkinson’s disease. The company has also conducted a phase 2a clinical study of golexanolone in patients
with Hepatic encephalopathy (HE), which is a serious neuropsychiatric and neurocognitive condition that
occurs in acute and chronic liver damage. The results showed that the drug candidate was well tolerated and
exerts a significant effect on brain signaling, with a correlated positive effect on extreme daytime fatigue.
Based on these study results, the company has established a plan for the further development of the drug
candidate in PBC, where extreme daytime fatigue is one of the disease’s most debilitating symptoms that
prevents patients from living a normal life. The company is currently conducting a phase 2 study in PBC.
Golexanolone has also been tested in preclinical models of Parkinson's disease which showed positive
effects on symptoms and neuroinflammation as well as sustained effects on dopamine signaling.
The market
PBC is a rare autoimmune liver disease that attacks the bile ducts and mainly affects women.
Common symptoms include fatigue, cognitive impairment, itching and, in more advanced cases,
jaundice. The global market for the treatment of PBC was estimated at USD 584 million in 2021 and
is expected to grow to USD 3 billion by 2027.
Parkinson's disease is a neurodegenerative disorder that causes severe cognitive impairment and
impairs motor functions. Approximately 10 million people worldwide suffer from the disease. Current
medications are mainly focused on improving motor functions and there is a lack of treatments for
cognitive impairment. The global market for this type of treatment was USD 3.4 billion in 2019 and
is expected to grow by over 6 percent per year until 2029.
Recent progress
In March 2024, new preclinical results on golexanolone's mechanism of action in Parkinson's
disease were presented.
Also in March 2024, the company announced the successful completion of part A of the clinical
phase 1b/2a study in PBC, where interim data show a favorable safety and tolerability profile.
In May 2024, the first patients in the Phase 1b/2a study’s part B in PBC had been dosed.
In October 2024, the company presented new preclinical data for golexanolone, showing
sustained dopamine signaling in Parkinson’s disease.
In November 2024, positive interim data from the ongoing Phase 1b/2a clinical trial of
golexanolone in patients with primary biliary cholangitis, PBC, were presented.
In July and December 2024, SEK 28.3 million and SEK 23.8 million in debt financing were
secured, respectively, from Karolinska Development and several other investors.
Expected milestones
Topline data from the Phase 2 study of golexanolone in patients with PBC are expected in H1 2025.
Project (First-in-class)
Golexanolone (GR3027)
Primary indications
Primary biliary cholangitis (PBC)
Parkinson’s Disease
Development phase
Phase 2
Holding in company*
Karolinska Development 62%
Other investors
Fort Knox Förvaring AB
PartnerInvest
Origin
Umeå University
More information
umecrinecognition.com
* Fully-diluted ownership based on
current investment plans.
Deal values for similar
projects
USD 794 million
Intercept Pharmaceuticals
(seller) & Alfasigma
(buyer) 2023
USD 601 million
GENFIT (licensor) &
IPSEN (licensee) 2015
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Modus Therapeutics AB
Develops sevuparin for life threatening diseases
Modus Therapeutics AB (Stockholm, Sweden) is developing the drug candidate sevuparin for the treatment
of both acute and chronic severe conditions. The company’s clinical project portfolio includes anemia
associated with chronic inflammation and kidney disease, sepsis/septic shock, and severe malaria.
At the end of 2024, Modus Therapeutics initiated a Phase 2 clinical study to evaluate sevuparin as a treatment
for chronic kidney disease with anemia. The study consists of two parts: the first assesses safety and
determines dosage levels for sevuparin through single-dose administration to patients with varying degrees
of renal impairment, as well as a small reference group of healthy volunteers. The second part will focus on
the effects of repeated doses and clinical outcomes, including hemoglobin levels, kidney function, hepcidin
levels, and other biomarkers in patients with advanced chronic kidney disease and anemia. Research has
shown that elevated hepcidin levels contribute to disrupted iron availability in chronic kidney disease and
other chronic inflammatory conditions, worsening anemia associated with these diseases.
Sepsis/septic shock is a life-threatening medical condition for which there are currently no effective medical
therapies. Patients with sepsis are at risk of developing multiple organ failure, and in severe cases, death.
Data from preclinical animal models and in vitro experiments with human cells have shown that sevuparin
may protect blood vessels and counteract plasma leakage during systemic inflammation.
In severe malaria, sevuparin is being developed as an adjunct therapy, administered before standard
antimalarial treatment takes effect. Sevuparin is currently being evaluated in a clinical study conducted in
collaboration with Imperial College London at trial sites in Kenya and Zambia.
The market
Septic shock is a leading cause of death in intensive care units, with mortality rates often exceeding
30 percent. No specific drug treatment is yet available. This makes the condition one of the costliest
to treat in hospital care. In 2019, US healthcare costs for patients with sepsis were estimated at USD
23 billion.
Approximately 10 percent of the world's population is believed to have grade 3-5 chronic kidney
disease, and approximately 25 percent of these are expected to have anemia, which equates to
approximately 4-5 million patients in the United States alone. Lack of treatment response to today's
standard treatments often poses a problem in being able to maintain adequate treatment over time.
Recent progress
In November 2024, the company received approval from Italian authorities to start a Phase 2
clinical trial in chronic kidney disease with anemia.
In November 2024, Modus Therapeutics also secured access to bridge financing of SEK 5
million from Karolinska Development.
In December 2024, a scientific article on sevuparin was published in the reputable medical
journal HemaSphere.
In December 2024, Modus Therapeutics initiated a Phase 2 clinical trial with sevuparin for the
treatment of chronic kidney disease with anemia to be conducted in Italy.
Expected milestones
The first part of the Phase 2 clinical trial with sevuparin as a treatment for chronic kidney disease
with anemia is expected to be completed in the first half of 2025.
Project (First-in-class)
Sevuparin
Primary indication
Anemia chronic inflammation/
kidney disease
Sepsis/Septic shock
Severe malaria
Development phase
Phase 2
Holding in company*
Karolinska Development 66%
KDev Investments 8%
Other investors
John Öhd
Nordnet Pensionsförsäkring
Hans Wigzell
Origin
Karolinska Institutet
Uppsala University
More information
modustx.com
*Fully-diluted ownership based on
current investment plans
===== SIDA 13 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 13 Karolinska Development AB (publ)
AnaCardio AB
New treatment concept that enhances the heart's pumping
ability in conjuction with heart failure
AnaCardio (Stockholm, Sweden) is developing a new treatment that enhances the heart’s pumping ability in
conjunction with heart failure. Heart failure occurs when the heart’s ability to pump sufficient blood to meet the
body’s needs has deteriorated. The underlying condition often involves a weakening of the heart’s musculature,
resulting in an inability to pump the blood out of the heart’s chambers. The condition arises as a sequela of
high blood pressure or vasoconstriction. The chronic phase is characterized by diffuse symptoms, such as
tiredness or breathlessness, which leads to the illness often being diagnosed at a late stage. Acute heart failure
results in an individual’s health status becoming critical, necessitating hospitalization. A major issue with
existing pharmaceuticals is that they are not designed for long-term treatment.
AnaCardio is developing AC01, a small molecule that mimics the mechanism of action of the peptide hormone
ghrelin. Treatment with ghrelin has been shown in previous studies to have a positive effect on the heart's
pumping ability and can lead to a significant increase in the volume of blood pumped out of the heart. The drug
candidate is being developed to restore the heart’s normal muscular function and blood circulation with a new
and safer technique. The Company’s goal is to develop an oral drug that, in contrast to existing treatments,
can affect the underlying cause of the disease. The drug candidate is based on research by Professor Lars
Lund at Karolinska Institutet.
The market
It is estimated that more than six million individuals in the US and nearly 100 million globally suffer from
heart failure. The risk of developing a cardiovascular disease increases with age, and 10-20 percent of
the elderly population is now estimated to suffer from chronic heart failure, which is now the most common
reason for hospitalization amongst the elderly. Heart failure not only causes considerable individual
suffering, but it also has significant economic consequences for society in the form of both direct costs
from in-patient care and indirect costs such as productivity losses. The increased medical need is reflected
in the sales value of heart failure treatments, which is expected to increase from USD 6.8 billion in 2021
to USD 18.7 billion by 2028 in the world's seven largest pharmaceutical markets.
Recent progress
In January 2024, AnaCardio secured SEK 50 million in the second and final part of the previously
announced series A financing round of a total of SEK 150 million. Karolinska Development
participated in both parts of the financing.
In September 2024, the AC01-FE study evaluating the effects of food on the pharmacokinetics of
AC01 in healthy volunteers was completed. AC01 was found safe and well-tolerated under both fed
and fasted conditions.
In January 2025, positive results from the first part of the Phase 1b/2a study were presented. AC01
was well tolerated and showed no serious side effects.
In the same month, the company announced that it had secured SEK 205 million in new financing in
a round led by Novo Holdings, Pureos Bioventures and Sound Bioventures.
Expected milestones
Phase 2a expansion of the ongoing Phase 1b/2a study, is expected to commence in the first
quarter of 2025 and has a planned readout by the end of the year
Project (First-in-class)
AC01
Primary indication
Heart failure
Development phase
Phase 2a
Holding in company*
Karolinska Development 10%
Other investors
Flerie Invest
LLD Nybohov Invest
Industrifonden
3B Health Ventures
Novo Holdings
Pureos Bioventures
Sound Bioventures
Origin
Karolinska Institutet
Karolinska University Hospital
More information
anacardio.com
Deal values for similar
projects
USD 1.1 billion
Cardior Pharmaceuticals
(seller) & Novo Nordisk
(buyer) 2024
USD ~1.8 billion
CinCor Pharma (seller) &
AstraZeneca (buyer)
2023
===== SIDA 14 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 14 Karolinska Development AB (publ)
PharmNovo AB
New potential treatment for difficult-to-treat nerve pain
PharmNovo (Lund, Sweden) is developing innovative drugs for the treatment of nerve pain (neuropathic pain),
that is difficult to trat and often develops into a chronic condition. Nerve pain is one of the most prevalent types
of chronic pain and affects up to 10 percent of the population. Common underlying causes include nerve
damage from type 2 diabetes, shingles, trauma (including surgery), cancer, and cancer treatments.
PharmNovo’s lead candidate, PN6047, focuses on allodynia and hyperalgesia, two common forms of nerve
pain, affecting 15-20 percent of neuropathic pain patients. Allodynia is pain due to a stimulus that does not
usually provoke pain, while hyperalgesia is an increased pain from a stimulus that usually provokes pain.
Current treatment options are deemed ineffective and are also associated with significant side-effects;
particularly cardiovascular risks, and, with gabapentinoids or conventional opioids, a higher risk of suicide and
drug abuse potential.
PharmNovo's novel drug candidate PN6047 targets a different receptor than conventional opiate drugs do; the
delta opioid receptor and thereby decreases the chronical pain without the side-effects associated with the
currently marketed opioids (constipation, physical dependence and, potentially, fatal respiratory depression).
PN6047 has completed a clinical phase 1 study showing that PN6047 is safe and well-tolerated at doses
predicted to have clinically relevant effects. The drug candidate does not induce drug abuse behavior in non-
clinical test models and indicates the capacity to reduce conventional opioid withdrawal symptoms, according
to results from a collaboration with researchers at the University of Washington and the University of Michigan,
with financial support from the US National Institute of Drug Abuse (NIDA). PharmNovo is now preparing a
phase 2 clinical study which is expected to start in 2025.
The market
The need for improved treatments for nerve pain is enormous. Around 10 percent of the world's
population currently suffers from conditions characterized by this form of pain, leading to a severely
reduced quality of life for the individual and substantial costs for society – estimated at nearly EUR 440
billion annually in Europe alone. The estimated global market value for nerve pain drugs is nearly USD
6 billion per year and the market for allodynia alone is around USD 1.25 billion per year and is expected
to continue to grow, driven by an aging population and increased cancer survival.
Recent progress
In September 2023, new preclinical data were presented showing that there are no signs of abuse
potential and that PN6047 alleviates symptoms of withdrawal caused by conventional opioids.
In October 2023, positive phase 1 data were presented showing that PN6047 is safe and well
tolerated at doses predicted to have clinically relevant effects.
In December 2023, a collaborative project based on PN6047 received funding from the US research
institute NIDA to evaluate PN6047 as a new treatment for opioid withdrawal in a preclinical model.
In July 2024, the company was granted funding of EUR 17.5 million from the European Innovation
Council (EIC) Accelerator, a part of the Horizon Europe innovation support program. The funding
consists of a grant of EUR 2.5 million and conditional investments of up to EUR 15 million. The
funding will be used for the continued clinical development of the drug candidate PN6047.
Expected milestones
The phase 2 study with PN6047 is expected to start in 2025.
Project (First-in-class)
PN6047
Primary indication
Allodynia/ Hyperalgesia
Development phase
Phase 1 complete
Phase 2 ready
Holding in company*
Karolinska Development 20%
Origin
Start-up
More information
pharmnovo.com
*Fully-diluted ownership based on
current investment plans
Deal values for similar
projects
USD 630 million Eli Lily
(licensee) & Confo
Therapeutics (licensor)
2023
USD 940 million ACADIA
Pharmaceuticals
(acquirer) & CerSci
Therapeutics (acquired)
2020
===== SIDA 15 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 15 Karolinska Development AB (publ)
SVF Vaccines AB
New technology for the treatment of viral diseases
SVF Vaccines (Solna, Sweden) develops therapeutic proteins and DNA vaccines against, among other things,
hepatitis D and B, as well as vaccines to prevent infections by covid-19 and potential future coronaviruses.
Therapeutic vaccines, unlike preventative vaccines, have the potential to cure already infected patients.
Despite the availability of preventative vaccines and antiviral treatments, over 250 million people live with a
chronic hepatitis B infection. One million chronic carriers die each year due to complications caused by the
virus, such as liver cirrhosis and liver cancer. The closely related hepatitis D virus, that only infects hepatitis B-
carriers, today infects 15-25 million people and exacerbates the progression of the disease.
SVF Vaccines uses a proprietary immunotherapy to produce a specific form of antibodies that blocks the ability
of the hepatitis virus to invade human cells while also neutralizing the virus, with the vaccine candidate SVF-
001. The company has generated promising efficacy data in preclinical animal models and is now preparing a
phase 1 study in hepatitis D, that is expected to be initiated in 2026.
The company is also developing SVF-002 against covid-19. Although coronavirus infections are usually mild,
some virus types can lead to life-threatening conditions. To meet and prevent severe infections, SVF Vaccines
has developed a platform that is expected to enable the production of vaccines against both current and future
forms of coronavirus. In October 2024, the company presented positive clinical safety and immunogenicity data
from a phase 1 clinical study with the universal vaccine candidate against covid-19, SVF-002. The study was
carried out by the OpenCorona consortium in collaboration with Karolinska University Hospital in Stockholm.
The positive results are an important milestone and validate SVF Vaccines development platform.
The market
Despite preventive vaccines and antiviral treatments, over 250 million people live with a chronic
hepatitis B infection. Each year, one million chronic carriers of the virus die from complications. The
hepatitis D virus, which can only infect hepatitis B carriers, currently infects 15–25 million people and
exacerbates the disease. The annual global market for hepatitis D is estimated at approximately USD
1 billion and the market for hepatitis B is estimated at USD 5–6 billion. The medical need for therapies
for hepatitis B and D is significant.
Recent progress
In June 2022, the company presented preclinical study data indicating that the candidate
therapeutic vaccine SVF-001 has the potential to elicit an immune response in a preclinical
disease model of chronic hepatitis B.
In January 2023, the company changed its name to SVF Vaccines.
In October 2024, the company presented positive clinical safety and immunogenicity data from a
phase 1 clinical study with the universal vaccine candidate against covid-19, SVF-002.
In November 2024, SVF Vaccines announced appointing Gaston Picchio as acting CEO.
Expected milestones
Phase 1 studies of hepatitis B and D vaccines are expected to be initiated in 2026.
Deal values for similar
projects
USD ~1 billion
Janssen Pharmaceuticals
(licensor) & GSK
(licensee) 2023
EUR 1.45 billion
MYR GmbH (acquired) &
Gilead Sciences Inc
(buyer) 2020
Project (First-in-class)
SVF-001
SVF-002
Primary indication
Hepatitis B and D
SARS-CoV-2
and other coronaviruses
Development phase
Phase 1
Holding in company*
Karolinska Development 33%
Origin
Karolinska Institutet
More information
svfvaccines.se
*Fully-diluted ownership based on
current investment plans
===== SIDA 16 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 16 Karolinska Development AB (publ)
Biosergen AB
Broad treatment of severe fungal Infections
Biosergen (Solna, Sweden) is developing the drug candidate BSG005 as a new potential treatment of
systemic fungal infections.
Invasive fungal diseases cause serious and often life-threatening infections that occur when fungi invade
tissues and organs. These infections occur primarily in people whose immune systems are compromised due
to cancer or treatment with immunosuppressive drugs. While effective pharmaceutical treatments are
available, their use is limited due to serious side effects or an increasing incidence of drug resistance.
Biosergen’s candidate drug, BSG005, has demonstrated a wide spectrum of anti-mycotic effects in preclinical
experimental models, and the candidate drug’s properties have, to date, been shown to be far superior to
those of conventional treatment in terms of effectiveness, toxicity, and pharmacokinetics.
Fungal infections are increasingly becoming a global health concern, associated with high morbidity and
mortality as well as devastating socioeconomic consequences. Approximately 90 percent of systemic fungal
infection-related deaths are caused by five species: Candida, Aspergillus, Cryptococcus, Pneumocystis, and
Mucormycosis.
Biosergen has established a co-development and licensing agreement with one of India's largest
pharmaceutical companies, Alkem Laboratories Ltd. In 2024, the first clinical study with BSG005 in patients
with invasive fungal infections was initiated in India. Alkem will fund all clinical phase 2 and 3 trials in India
except the first clinical trial with 15 patients. The studies are expected to cover up to 70 percent of all patients
required for a global regulatory process. Biosergen will retain the rights for the rest of the world outside the
Indian market.
Biosergen has been listed on Nasdaq First North Growth Market since 2021.
The market
Fungal infections kill more than 1.5 million globally each year and the numbers continue to increase. In
the past 10 years, only one new anti-fungal product has been approved. Despite this, the use of
antifungals continues to increase and the WHO has drawn attention to multi-resistance as a serious global
health threat. The total sales of antifungals for human use were estimated at approximately USD 16.7
billion in 2020. The Company expects the global annual sales potential for BSG005 to exceed USD 500
million
Recent progress
In June 2024, Biosergen and its partner, Alkem Laboratories LimitedLtd., announced that they
have received approval of the Clinical Trial Application (CTA) and an important import license in
India.
In July 2024, the first patient in the Phase 1b trial of BSG005 was dosed.
In August 2024, the company announced successful treatment of the first patient in the ongoing
clinical trial with BSG005.
In November 2024, Biosergen initiated the second cohort of the ongoing clinical trial with BSG005
being conducted in India.
In December 2024, Biosergen raised approximately SEK 45 million through a warrant program.
Expected milestones
Read-out of the Phase 1b trial is expected during 2025.
Project
BSG005
Primary indication
Systemtic fungal infections
Development phase
Phase 1b
Holding in company*
KDev Investments 1%
Other investors
The Foundation for Baltic
and East European
Studies
Sintef Venture II AS
Rosetta Capital**
Origin
SINTEF and Norwegian
University of Science
and Technology
More information
biosergen.se
* Fully-diluted ownership based on
current investment plans.
** Co-ownership with KDev
Investments
===== SIDA 17 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 17 Karolinska Development AB (publ)
Aprea Therapeutics Inc
New potential treatment that prevents cancer cells from
repairing DNA damage
Aprea Therapeutics (Doylestown, USA and Stockholm, Sweden) is focused on developing and
commercializing novel drugs to combat various types of cancer by affecting the proteins involved in the ability
of tumors to repair damage in their DNA. The company’s primary focus is on the development of ATRN-119, a
development project that was acquired by the biotech company Atrin Pharmaceuticals in 2022.
ATRN-119 is an orally bioavailable, highly potent and selective small molecule inhibitor of ATR, a protein with
key roles in response to DNA damage. ATRN-119 is being evaluated in a phase 1/2a clinical study in cancer
patients with malignant solid tumors and defined gene mutations – both as monotherapy and in combination
with today’s standard treatment. Patient recruitment is ongoing, and the study aims to determine the
recommended dose for a Phase 2 clinical trial. The study design was updated in December to include twice-
daily dosing, which resulted in an adjustment to the schedule, with results from the dose-escalation Phase 1
portion of the study now expected to be presented in the second half of 2025.
Aprea is also developing APR-1051, an orally bioavailable, highly potent and selective small molecule inhibitor
of WEE1, a key regulator of multiple phases of the cell cycle. In March 2024, Aprea Therapeutics received
FDA approval of the company’s IND application for APR-1051. Aprea has also secured funding of up to USD
34 million through a financing round led by Sphera Healthcare and initiated the first clinical study with APR-
1051. In October 2024, preliminary results from a Phase 1 clinical study with APR-1051 in solid tumors were
presented. The preliminary results are based on available data from two-thirds of patients and showed that the
drug candidate is safe and well tolerated, and that no hematological toxicity was noted.
Aprea has been listed on the Nasdaq Global Select Market in the US since October 2019.
The market
The ability of cancer cells to repair DNA damage, known as DNA Damage Response (DDR), is an
emerging therapeutic target for several major pharmaceutical companies. ATR and WEE1 inhibitors
have been shown to play a crucial role in this process but are also associated with severe side effects.
For ATR inhibitors, toxicity in healthy tissue—primarily in the form of myelosuppression—has limited the
potential therapeutic value of the treatment, while WEE1 inhibitors have been linked to significant
hematologic, gastrointestinal, and cardiovascular toxicity. There is therefore a great need for highly
effective ATR and WEE1 inhibitors with an improved safety and tolerability profile.
Recent progress
In March 2024, Aprea Therapeutics received FDA approval of the company’s IND application for
APR-1051. Aprea has also secured funding up to USD 34 million through a financing round led
by Sphera Healthcare.
In May 2024, the company received approval from the safety committee, following the ongoing
clinical trial ABOYA-119, to proceed to dosing patients with ATRN-119 at 800 mg per day.
In June 2024, the first patient was dosed in the first clinical study with APR-1051.
In October 2024, preliminary results from the ongoing Phase 1/2 clinical trial with the drug
candidate APR-1051 were presented at the EORTC-NCI-AACR international conference in
Barcelona, Spain.
In December 2024, the company updated the study design for the ongoing Phase 1/2a clinical
trial ABOYA-119. The study also includes a portion where twice-daily dosing will be evaluated to
see if the efficacy is improved.
Project (First-in class)
ATRN-119
APR-1051
Primary indication
Solid tumor malignancies
Development phase
Phase 1
Holding in company*
KDev Investments 1%
Other investors
Morgan Stanley
Vanguard Group
BlackRock
Geode Capital Management
Origin
Karolinska Institutet
More information
aprea.com
* Fully-diluted ownership based on
current investment plans.
===== SIDA 18 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 18 Karolinska Development AB (publ)
Promimic AB
Innovative surface treatment speeds up healing time of
implants
Promimic (Gothenburg, Sweden) develops and commercializes HAnano Surface, a surface treatment that is
currently used clinically on approximately 1.8 million implants. HAnano Surface is a nanometer-thin coating of
hydroxylapatite crystals that stimulates the growth of bone cells. This provides a stronger anchoring in bone
tissue and better healing. The surface is unique in that it can be applied to all types of implant materials and
geometries, including porous materials and 3D printed structures – including surfaces where traditional
thicker HA coating can clog pores.
In the United States, the technology is approved by the FDA, which means that new implants with HAnano Surface
can be quickly brought to market via a 510(k) process. This has enabled strong growth – and that the number
of approved implants for clinical use continuously increases.
Promimic has a sales office in Austin, Texas and several partnerships for development and commercialization
in the US market for orthopedic implants. Currently, the market for spinal implants is the company's strongest
segment. The collaboration with the company's customers includes the development and commercialization of
products treated with HAnano Surface technology in various application areas.
In the Brazilian market, Promimic collaborates with Sistema de Implante Nacional (S.I.N), a leading supplier of
dental implants, which commercializes dental implants coated with HAnano Surface.
Promimic has been listed on Nasdaq First North Growth Market since 2022.
The market
Promimic focuses on two main segments, namely the markets for orthopedic and dental implants.
Together, these segments represent a global market opportunity for Promimic worth up to USD 600-800
million in 2025. Within these segments, the company's target group is medium to large sized implant
companies and the main market is the United States.
Recent progress
In May 2024, the company reported sales growth of 40 percent compared to the same period the
year before and reported that the company's customers had nine products with HAnano Surface
approved during the period.
In August, the company reported a 13 percent increase in sales compared to the same quarter
last year. During the quarter, Promimic signed a new license agreement and the company's
customers received four new products with HAnano Surface approved for clinical use.
In November, the company reported a 6 percent sales increase for the third quarter and
announced that ten new implants with HAnano Surface had been approved for clinical use, which
is a record number for a single quarter.
Expected milestones
In 2025, the company is expected to run development projects with both existing and new
customers, and further product launches and license agreements will be announced.
Project
HAnano Surface
Primary indication
Implant surface coatings
Development phase
Marketed
Holding in company*
Karolinska Development 2%
KDev Investments 12%
Other investors
K-Svets Ventures
Chalmers Ventures
Riepen LCC
Andra AP-fonden
Origin
Chalmers University of
Technology
More information
promimic.com
*Fully-diluted ownership based on
current investment plans
===== SIDA 19 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 19 Karolinska Development AB (publ)
OssDsign AB
Establishing the next generation of bone
replacement products on the US market
OssDsign (Uppsala, Sweden) develops and commercializes the next generation of bone replacement
products. In September 2023, the Company adopted a new strategy to focus its entire business on the
orthobiological market in the US. The background to the strategy shift is the outstanding commercial
success of the nanosynthetic bone graft OssDsign Catalyst, an “off the shelf” product with very good
scalability and high gross margin.
Over 1.5 million Americans undergo spine surgery each year, about half of whom need a spinal fusion.
About 20 percent of all low back pain surgeries, however, fail due to poor fusion between the implant and
the spine. When surgeons perform the procedure, they use a combination of screws and metal braces to
fix the vertebrae and bone replacement material – a bone graft - to stimulate bone growth. OssDsign
Catalyst is an innovative synthetic bone graft consisting of a proprietary nanocrystalline structure of calcium
phosphate. OssDsign Catalyst mimics the body's own bone mineral structure and provides a favorable
biological environment for rapid and reliable bone formation. OssDsign Catalyst can be produced with high
scalability, has an attractive profit margin and great potential in the market for standardized surgical
procedures. OssDsign Catalyst received FDA approval in 2020 and launched in the US in August 2021.
The market
The global orthobiologics market was valued at USD 5 billion in 2022. The market segment that
OssDsign Catalyst specifically targets is valued at USD 1.8 billion and is expected to have an annual
growth rate of 8 percent.
Recent progress
In January 2024, OssDsign reported exceptional data from its TOP FUSION clinical study.
The top-line results, reviewed by independent radiologists, show a fusion rate of 93 percent
12 months after surgery with the OssDsign Catalyst nanosynthetic bone graft.
In May 2024, it was announced that 5,000 patients have been treated with OssDsign Catalyst
in the US, representing impressive growth compared to 2,000 treated patients in September
2023.
In June 2024, Christer Fåhraeus was newly elected as ordinary board member at the Annual
general meeting, joining Simon Cartmell (Chairman), Newton Aguiar, Viktor Drvota
(Karolinska Development) and Jill Shiaparelli on the OssDsign Board of Directors.
Project
OssDsign® Catalyst
Primary indication
Bone grafts
Development phase
Marketed
Holding in company*
Karolinska Development 5%**
Other investors
TAMT
Linc AB
Origin
Karolinska University Hospital
Uppsala University
More information
ossdsign.com
* Fully-diluted ownership based on
current investment plans
** Includes indirect holdings through
KCIF Co-Investment Fund
===== SIDA 20 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 20 Karolinska Development AB (publ)
Financial Development
The following financial reporting is divided into one financial reporting for The Parent Company and one for
The Investment Entity. The Parent Company and The Investment Entity are the same legal entity, but the
reporting is divided to meet legal reporting requirements.
The Parent Company is reporting in accordance with the guidelines under the Swedish Annual Accounting Act
and Swedish Financial Accounting Standards Council, RFR 2. The Investment Entity is required to meet the
reporting requirements of listed companies and thus in accordance with IFRS adopted by the EU and the
Swedish Annual Accounts Act
Amounts in brackets refer to the corresponding period the previous year unless otherwise stated.
Financial development in summary for the Investment Entity
SEKm 2024
Oct-Dec
2023
Oct-Dec
2024
Full-year
2023
Full-year
Condensed income statement
Change in fair value of shares in portfolio
companies 18.7 6.6 1.6 15.2
Net profit/loss 18.6 -1.9 -8.1 5.4
Balance sheet information
Cash and cash equivalents 42.0 85.3 42.0 85.3
Net asset value (Note 1) 1,245.0 1,253.4 1,245.0 1,253.4
Net debt (Note 1) -42.0 -85.3 -42.0 -85.3
Share information Earnings per share, weighted average before
dilution (SEK) 0.1 0.0 0.0 0.0
Earnings per share, weighted average after
dilution (SEK) 0.1 0.0 0.0 0.0
Net asset value per share (SEK) (Note 1) 4.6 4.6 4.6 4.6
Equity per share (SEK) (Note 1) 4.6 4.6 4.6 4.6
Share price, last trading day in the reporting
period (SEK) 1.0 1.7 1.0 1.7
Portfolio information
Investments in portfolio companies 19.4 41.6 62.0 103.0
Of which investments not affecting cash flow 1.4 1.5 5.2 4.4
Portfolio companies at fair value through profit
or loss 1,120.8 1,100.4 1,120.8 1,100.4
Financial Development for the Investment Entity in 2024
Investments (comparable numbers 2023)
Investments in the portfolio in the fourth quarter 2024 by external investors and Karolinska Development
amounted to SEK 175.1 (125,3) million, whereof 89% (67%) by external investors.
Karolinska Development invested during the fourth quarter 2024 SEK 19.4 (41.6) million, of which SEK 18.0
(40.1) million was cash investments. Investments were made in Umecrine Cognition with SEK 15.0 million and
BOOST Pharma with SEK 3.0 million. Non-cash investments (accrued interest on loans) amounted to SEK 1.4
(1.5) million.
Investments by external investors in the portfolio companies during the fourth quarter 2024 amounted to SEK
155.7 (110.6) million and were made in AnaCardio with SEK 102.6 million, Umecrine Cognition with SEK 8.8
million and in BOOST Pharma with SEK 3.0 million.
===== SIDA 21 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 21 Karolinska Development AB (publ)
During the year, Karolinska Development and external investors have made investments in the portfolio
companies as follows:
SEKm
Karolinska
Development External Investors
Total Invested
Q1-Q4 2024
Umecrine Cognition 36.2 18.6 54.8
AnaCardio 7.6 145.2 152.8
Dilafor 5.6 8.4 14.0
SVF Vaccines 5.4 1.2 6.6
Boost Pharma 5.0 5.0 10.0
PharmNovo 1.2 12.3 13.5
Henlez 1.1 1.1 2.2
Aprea - 163.7 163.7
Biosergen - 72.8 72.8
Total 62.0 428.3 490.3
Portfolio Fair Value
Fair Value of the portfolio companies owned directly by Karolinska Development had a net increase by SEK
18.7 million during the fourth quarter 2024. The main reason for the increase in fair value was the upturn in
share price in the listed holdings OssDsign and Modus Therapeutics, together with the increase in value in
AnaCardio in connection with the investment round. The quarters’ investment in Umecrine Cognition and
BOOST Pharma also contributed to the increase in fair value. The partial divestment of OssDsign and the
downturn in share price in the listed holding Promimic partly reduced the increase.
Fair Value of the portfolio companies owned indirectly via KDev Investments decreased by SEK 30.3 million
during the fourth quarter 2024.The main reasons for the decrease in Fair value of the portfolio companies was
the downturn in share price in the listed holding Promimic.
Total Fair Value from portfolio companies owned directly by Karolinska Development and indirectly via KDev
Investments decreased by SEK 11.6 million in the fourth quarter 2024.
As a consequence of the decrease in Fair Value of the part of the portfolio owned via KDev Investments, the
potential distribution to Rosetta Capital decreased by SEK 10.5 million, resulting in Net Portfolio Fair Value
decreasing by SEK 1.0 million in the fourth quarter 2024.
SEKm 31 Dec 2024 30 Sep 2024
Q4 2024 vs
Q3 2024
Karolinska Development Portfolio Fair Value (unlisted companies) 807.8 772.3 35.5
Karolinska Development Portfolio Fair Value (listed companies) 94.7 111.5 -16.8
KDev Investments Portfolio Fair Value 549.0 579.3 -30.3
Total Portfolio Fair Value 1,451.5 1,463.1 -11.6
Potential distribution to Rosetta Capital of fair value of KDev
Investments -330.8 -341.3 10.5
Net Portfolio Fair Value (after potential distribution to Rosetta Capital) 1,120.8 1,121.8 -1.0
Profit development 2024 (comparable numbers 2023)
During the fourth quarter 2024, Karolinska Development’s revenue amounted to SEK 0.5 (0.5) million and
consists primarily of services provided to portfolio companies. For the full-year 2024 the revenue amounted to
SEK 1.8 (2.0) million.
Change in fair value of shares in portfolio companies of in total SEK 18.7 (6.6) million includes the difference
between the change in Net Portfolio Fair Value during the fourth quarter 2024 with SEK -1.0 million and the
investment in portfolio company of SEK 19.4 million and divested portfolio companies of SEK 39.1 million. For
the full-year 2024, the change in fair value of shares in portfolio companies amounted to SEK 1.6 (15.2) million.
===== SIDA 22 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 22 Karolinska Development AB (publ)
Interest income on loans to portfolio companies amounted to SEK 1.4 million during the fourth quarter of 2024
(0.0 for the fourth quarter of 2023 as these are reported in net financial items that year). For the full-year 2024
interest income on loans to portfolio companies amounted to SEK 5.2 (0.0) million
Change in fair value of other financial assets and liabilities amounted to SEK 9.0 (3.3) million and were the
consequence of changes in valuation of earn-out deals. For the full-year 2024, the change in fair value of other
financial assets amounted to SEK 15.4 (8.9) million.
During the fourth quarter of 2024 other expenses amounted to SEK 2.1 (2.3) million and personnel costs
amounted to SEK 8.8 (5.5) million. The increased personnel costs during the quarter compared to the previous
year mainly relate to costs for personnel made redundant, which are expensed in full during this quarter. For
the full-year 2024 other expenses amounted to SEK 7.1 (7.0) million and personnel costs amounted to 25.1
(21.8) million.
The operating profit/loss in the fourth quarter 2024 amounted to SEK 18.6 million compared to SEK -4.3 million
in the fourth quarter 2023. The operating profit/loss for the full-year 2024 amounted to SEK -9.2 (-3.5) million.
The financial net during the fourth quarter 2024 amounted to SEK 0.1 million (interest income on loans to
portfolio companies is reported on a separate line in operation profit/loss) compared to SEK 2.5 million in the
fourth quarter of 2023 (of which interest income on loans to portfolio companies amounted to SEK 1.5 million).
For the full-year 2024 the financial net amounted to SEK 1.1 million (for the full-year 2023 SEK 8.9 million, of
which interest income on loans to portfolio companies amounted to SEK 4.4 million).
The Investment Entity’s Net profit/loss amounted to SEK 18.6 (-1.9) million in the fourth quarter of 2024. Net
profit/loss for the full-year 2024 amounted to SEK -8.1 (5.4) million.
Financial position
The Investment Entity’s equity to total assets ratio amounted to 99% on 31 December 2024, which it also did
on 31 December 2023.
The investment company's equity on 31 December 2024 amounted to SEK 1,238.7 million, compared to SEK
1,220.2 million on 30 September 2024. The increase is a consequence of the profit/loss for the period of SEK
18.6 million.
After the paying of operational costs and investments for the fourth quarter 2024, cash and cash equivalents
amounted to SEK 42.0 million on 31 December 2024 compared to SEK 85.3 million on 31 December 2023.
Net debt (negative net debt/ net cash) amounted to SEK -42.0 million on 31 December 2024 compared to the
net debt of SEK -85.3 million on 31 December 2023.
The company is going concern. We regularly review financing solutions, including in the form of the sale of
shares and portfolio companies, the taking up of loans and/or the implementation of new share issues in order
to continue to finance the portfolio companies in their development and enable new investments. The
company's ability to continue operations (going concern) is stable, given current cash flow expectations and
plans. The report is prepared based on the assumption of continued operation.
Financial Development – Parent Company
The Parent Company refers to Karolinska Development AB (comparable numbers 2023).
During the fourth quarter of 2024, the Parent Company’s Net profit/loss amounted to SEK 18.6 (-2.0) million.
The positive result for the fourth quarter of 2024 led to an increase in equity of SEK 18.6 million from SEK
1,220.1 million as of 30 September 2024 to SEK 1,238.7 million 31 December 2024.
===== SIDA 23 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 23 Karolinska Development AB (publ)
The Share
The share and share capital
Trade in the Karolinska Development share takes place on Nasdaq Stockholm under the ticker symbol "KDEV".
The last price paid for the listed B share on 31 December 2024 was SEK 1.00, and the market capitalization
amounted to SEK 257 million.
The share capital of Karolinska Development on 31 December 2024 amounted to SEK 2.7 million divided into
2,555,261 A shares, each with ten votes (25,552,610 votes) and 267,522,333 B shares, each with one vote
(267,522,333 votes). The total number of shares and votes in Karolinska Development on 31 December 2024
amounted to 270,077,594 shares and 293,074,943 votes.
Ownership
On 31 December 2024, Karolinska Development had 13,206 shareholders.
Shareholder A-Shares B-Shares Cap % Vote %
invoX Pharma Ltd 0 128,736,381 47.67% 43.93%
Worldwide International Investments Ltd 0 23,379,244 8.66% 7.98%
Swedbank Robur Microcap fond 0 8,750,000 3.24% 2.99%
Avanza pension 0 5,744,757 2.13% 1.96%
Styviken Invest 0 5,236,206 1.94% 1.79%
Stift För Främjande & Utveckling 2,555,261 1,755,818 1.60% 9.32%
Coastal Investment Management LLC 0 2,470,541 0.91% 0.84%
Steffensen Asset Management 0 1,608,187 0.60% 0.55%
Nordnet Pensionsförsäkring 0 1,697,059 0.63% 0.58%
Handelsbanken Fonder 0 1,348,363 0.50% 0.46%
Sum Top 10 Shareholders 2,555,261 180,726,556 67.86% 70.38%
Sum Other Shareholders 0 86,795,777 32.14% 29.62%
Sum All Shareholders 2,555,261 267,522,333 100.00% 100.00%
Information on Risks and Uncertainties
Investment Entity and Parent Company
Financial risks
Russia’s invasion of Ukraine, as well as the war in Gaza and the related disturbances of sea transport through
the Red Sea affect the economy and society as a whole, including Karolinska Development and its portfolio
companies. The general downturn in the stock market since 2022 as well as the increase in interest rates since
then have shifted the financial market's focus from growth companies to companies with positive operating
cash flows, which has led to lower valuations in many previously highly valued growth companies, although we
did note an upturn in the financial markets during 2024. This affects Karolinska Development and its
opportunities to not only finance its portfolio companies, but also to divest them at a suitable time for Karolinska
Development.
The value of listed companies can decline delays in clinical trial programs may occur and the opportunities for
refinancing can be hampered. The Board monitors the evolvement of the crises closely and Karolinska
Development is working intensively to minimize the impact on the value of our investments and works
continuously with different financing alternatives to secure the long-term capital requirement and thereby
increase the degree of strategic and operational headroom for the future.
For a detailed description of other risks and uncertainties, see the Annual Report 2023.
===== SIDA 24 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 24 Karolinska Development AB (publ)
Signing of the report
Solna, 14 February 2025
Viktor Drvota
CEO
Dates for Publication of Financial Information
Annual Report 2024 21 March 2025
Interim Report January – March 2025 30 April 2025
Interim Report January – June 2025 29 August 2025
Interim Report January – September 2025 14 November 2025
Karolinska Development is required by law to publish the information in this Year-end report. The information
was published on 14 February 2025.
This Year-end report, together with additional information, is available on Karolinska Development’s website:
www.karolinskadevelopment.com.
Note: This report is a translation of the Swedish Year-end report. In case of any discrepancies, the official
Swedish version shall prevail.
===== SIDA 25 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 25 Karolinska Development AB (publ)
Financial Statements
Condensed income statement for the Investment Entity
SEK 000 Note 2024
Oct-Dec
2023
Oct-Dec
2024
Full-year
2023
Full-year
Revenue
493 533 1,838 2,014
Change in fair value of shares
in portfolio companies 2,3 18,675 6,597 1,579 15,185
Interest income on loans to
portfolio companies 5 1,408 - 5,202 -
Change in fair value of other
financial assets and liabilities 3 9,029 -3,345 15,443 8,891
Other expenses -2,071 -2,317 -7,097 -6,963
Personnel costs -8,808 -5,534 -25,126 -21,834
Depreciation of right-of-use
assets -249 -262 -997 -798
Operating profit/loss 18,477 -4,328 -9,158 -3,505
Financial net 5 77 2,457 1,057 8,891
Profit/loss before tax 18,554 -1,871 -8,101 5,386 Taxes - - - -
NET PROFIT/LOSS FOR
THE PERIOD 18,554 -1,871 -8,101 5,386
Condensed statement of comprehensive income for the Investment Entity
SEK 000 Note 2024
Oct-Dec
2023
Oct-Dec
2024
Full-year
2023
Full-year
Net profit/loss for the period 18,554 -1,871 -8,101 5,386
Total comprehensive
income/loss for the period 18,554 -1,871 -8,101 5,386
Earnings per share for the Investment Entity
SEK Note 2024
Oct-Dec
2023
Oct-Dec
2024
Full-year
2023
Full-year
Earnings per share, weighted
average before dilution 0.07 -0.01 -0.03 0.02
Number of shares, weighted
average before dilution 269,833,309 269,833,309 269,833,309 269,833,309
Earnings per share, weighted
average after dilution 0.07 -0.01 -0.03 0.02
Number of shares, weighted
average after dilution 269,833,309 269,833,309 269,833,309 269,833,309
===== SIDA 26 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 26 Karolinska Development AB (publ)
Condensed balance sheet for the Investment Entity
SEK 000 Note 31 Dec 2024 31 Dec 2023
ASSETS
Tangible assets
Right-of-use assets 2,161 3,158
Financial assets
Shares in portfolio companies at fair value through
profit or loss 2,3 1,120,777 1,100,398
Other financial assets 4 71,271 57,443
Total non-current assets 1,194,209 1,160,999
Current assets
Receivables from portfolio companies 1,126 268
Other financial assets 4 11,084 10,386
Other current receivables 2,400 673
Prepaid expenses and accrued income 1,151 795
Cash and cash equivalents 42,010 85,272
Total current assets 57,771 97,394
TOTAL ASSETS 1,251,980 1,258,393
EQUITY AND LIABILITIES
Total equity
1,238,723 1,246,824
Current liabilities
Other financial liabilities 100 130
Accounts payable 762 1,323
Liability to make lease payment 2,112 3,070
Other current liabilities 684 674
Accrued expenses and prepaid income 9,599 6,372
Total current liabilities 13,257 11,569
Total liabilities 13,257 11,569
TOTAL EQUITY AND LIABILITIES 1,251,980 1,258,393
Condensed statement of changes in the Investment Entity’s equity
SEK 000 Not 31 Dec 2024 31 Dec 2023
Opening balance, equity 1,246,824 1,241,438
Share capital 2,701 2,701
Share premium 2,735,903 2,735,903
Retained earnings -1,499,881 -1,491,780
Closing balance, equity 1,238,723 1,246,824
===== SIDA 27 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 27 Karolinska Development AB (publ)
Condensed statement of cash flows for the Investment Entity
SEK 000 Note 2024
Full-year
2023
Full-year
Operating activities
Operating profit/loss -9,158 -3,505
Adjustments for items not affecting cash flow
Depreciation 997 798
Change in fair value -17,022 -24,076
Other items -4,040 2,761
Cash flow from operating activities before changes in
working capital and operating investments -29,223 -24,022
Cash flow from changes in working capital
Increase (-)/Decrease (+) in operating receivables -1,284 -104
Increase (+)/Decrease (-) in operating liabilities 2,677 -895
Cash flow from operating activities -27,830 -25,021 Investment activities
Part payment from earn-out deal 887 18,271
Proceeds from sale of shares in portfolio companies 41,497 -
Acquisitions of shares in portfolio companies -56,753 -98,589
Proceeds from sale of short-term investments - 60,336
Cash flow from investment activities -14,369 -19,982 Financing activities
Amortization of lease liabilities -1,063 -803
Cash flow from financing activities -1,063 -803
-43,262 -45,806 Cash flow for the period
Cash and cash equivalents at the beginning of the year 85,272 131,078
CASH AND CASH EQUIVALENTS AT THE END OF
THE PERIOD 42,010 85,272
===== SIDA 28 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 28 Karolinska Development AB (publ)
Condensed income statement for the Parent Company
SEK 000 Note 2024
Oct-Dec
2023
Oct-Dec
2024
Full-year
2023
Full-year
Revenue 493 533 1,838 2,014
Change in fair value of shares in
portfolio companies 2.3 18,675 6,597 1,579 15,185
Interest income on loans to
portfolio companies 1,408 - 5,202 -
Change in fair value of other
financial assets and liabilities 9,029 -3,345 15,443 8,891
Other expenses -2,336 -2,677 -8,160 -7,859
Personnel costs -8,808 -5,534 -25,126 -21,834
Operating profit/loss 18,461 -4,426 -9,224 -3,603
Financial net 100 2,387 1,162 8,837
Profit/loss before tax 18,561 -2,039 -8,062 5,234
Tax - - - -
NET PROFIT/LOSS FOR THE
PERIOD 18,561 -2,039 -8,062 5,234
Condensed statement of comprehensive income for the Parent Company
SEK 000 Note 2024
Oct-Dec
2023
Oct-Dec
2024
Full-year
2023
Full-year
Net profit/loss for the period 18,561 -2,039 -8,062 5,234
Total comprehensive
income/loss for the period 18,561 -2,039 -8,062 5,234
===== SIDA 29 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 29 Karolinska Development AB (publ)
Condensed balance sheet for the Parent Company
SEK 000 Note 31 Dec 2024 31 Dec 2023
ASSETS
Financial non-current assets
Shares in portfolio companies at fair value through profit
or loss 2,3 1,120,777 1,100,398
Other financial assets 4 71,271 57,443
Total non-current assets 1,192,048 1,157,841
Current assets
Receivables from portfolio companies 1,127 268
Other financial assets 4 11,084 10,386
Other current receivables 2,400 673
Prepaid expenses and accrued income 1,151 795
Cash and cash equivalents 42,010 85,272
Total current assets 57,772 97,394
TOTAL ASSETS 1,249,820 1,255,235
EQUITY AND LIABILITIES
Total equity 1,238,673 1,246,735
Current liabilities
Other financial liabilities 100 130
Accounts payable 762 1,323
Other current liabilities 686 674
Accrued expenses and prepaid income 9,599 6,373
Total current liabilities 11,147 8,500
Total liabilities 11,147 8,500
TOTAL EQUITY AND LIABILITIES 1,249,820 1,255,235
Condensed statement of changes in equity for the Parent Company
SEK 000 Not 31 Dec 2024 31 Dec 2023
Opening balance, equity 1,246,735 1,241,501
Share capital 2,701 2,701
Share premium reserve 2,735,903 2,735,903
Retained earnings -1,499,931 -1,491,869
Closing balance, equity 1,238,673 1,246,735
===== SIDA 30 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 30 Karolinska Development AB (publ)
Notes to the Financial Statements
NOTE 1 Accounting policies
This report has been prepared in accordance with the International Accounting Standard (IAS) 34 Interim
Financial Reporting and the Annual Accounts Act. The accounting policies applied to the Investment Entity and
the Parent Company correspond, unless otherwise stated below, to the accounting policies and valuation
methods used in the preparation of the most recent annual report.
Information on the Parent Company
Karolinska Development AB (publ) (“Karolinska Development,” “Investment Entity” or the “Company”) is a
Nordic life sciences investment company. The Company, with Corporate Identity Number 556707-5048, is a
limited liability company with its registered office in Solna, Sweden. The Company focuses on identifying
medical innovations and investing in the creation and growth of companies developing these assets into
differentiated products that will make a difference to patients’ lives and provide an attractive return on
investment to its shareholders. The sole purpose of investing in such companies is to generate a return through
capital appreciation and investment income. These temporary investments, which are not investment entities,
are designated “portfolio companies” below.
New and revised accounting principles 2024
No new or revised IFRS standards or recommendations from IFRS Interpretations Committee have had
significant impact on the Investment Entity.
Related party transactions
No related party transactions other than compensation for management and the board have taken place during
the reporting period.
Definitions
Interim period: The period from the beginning of the financial year through the closing date.
Reporting period: January - December 2024.
Alternative Performance Measures
The Company presents certain financial measures in the interim report that are not defined under IFRS. The
Company believes that these measures provide useful supplemental information to investors and the
company's management as they allow for the evaluation of the company's performance. Because not all
companies calculate the financial measures in the same way, these are not always comparable to measures
used by other companies. Therefore, these financial measures should not be considered as substitutes for
measures as defined under IFRS.
Portfolio companies: Companies where Karolinska Development has made investments (subsidiaries, joint
ventures, associated companies and other long-term securities’ holdings) which are active in pharmaceuticals,
MedTech, theranostics and formulation technology.
The Portfolio Fair Value is divided into Total Portfolio Fair Value and Net Portfolio Fair Value.
Total Portfolio Fair Value: The aggregated proceeds that would be received by Karolinska Development and
KDev Investments if the shares in their portfolio companies were sold in an orderly transaction between market
participants at the measurement date.
Net Portfolio Fair Value (after potential distribution to Rosetta Capital) is the net aggregated proceeds that
Karolinska Development will receive after KDev Investments’ distribution of proceeds to Rosetta Capital.
rNPV: "risk-adjusted net present value" is a method to value risky future cash flows. rNPV is the standard
valuation method in the drug development industry, where sufficient data exists to estimate success rates for
all R&D phases.
Equity per share: Equity on the closing date in relation to the number of shares outstanding on the closing
date.
Net debt: Interest-bearing liabilities (SEK 0.0 million) reduced with cash and cash (SEK 42.0 million).
Equity to total assets ratio: Equity divided by total assets.
===== SIDA 31 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 31 Karolinska Development AB (publ)
Net asset value as of 31 December 2024:
Number of
shares
Fair value Part of Karolinska
Developments' net asset
value
SEK 000 SEK per
share3
percentage
Listed assets
Modus Therapeutics 23,801,390 42,962 0.16 3.5%
OssDsign 4,535,478 44,720 0.17 3.6%
Promimic 312,500 7,031 0.03 0.6%
Total listed assets 94,713 0.35 7.6%
Unlisted assets
AnaCardio 60,628 0.22 4.9%
Boost Pharma 4,931 0.02 0.4%
Dilafor 45,876 0.17 3.7%
PharmNovo 35,177 0.13 2.8%
SVF Vaccines 26,364 0.10 2.1%
Umecrine Cognition 625,613 2.32 50.2%
KCIF Co-Investment Fund KB1 9,209 0.03 0.7%
KDev Investments1 218,267 0.81 17.5%
Total unlisted assets 1,026,064 3.80 82.4%
Net of other liabilities and debts2 124,265 0.46 10.0%
Total net asset value 1,245,042 4.61 100.0%
1The company has both listed and unlisted assets.
2 Includes SEK 42.0 million cash and cash equivalents.
3 In relation to the number of shares outstanding (269,833,309) on the closing date.
NOTE 2 Shares in portfolio companies, at fair value through profit
or loss
Change in fair value of portfolio companies
SEK 000
2024
Oct-Dec
2023
Oct-Dec
2024
Full-year
2023
Full-year
Result level 1
Listed companies, realized 8,383 - 8,383 -
Listed companies, unrealized 13,925 10,336 843 15,561
Total level 1 22,308 10,336 9,226 15,561
Result level 3
Unlisted companies, realized 1,240 -160 -1,245 793
Unlisted companies, unrealized -4,873 -3,579 -6,402 -1,169
Total level 3 -3,633 -3,739 -7,647 -376
Total 18,675 6,597 1,579 15,185
Shares in portfolio companies, at fair value through profit or loss
SEK 000 31 Dec 2024 31 Dec 2023
Accumulated acquisition cost
At the beginning of the year 1,100,398 983,995
Investments during the year 61,998 102,980
Sales during the year -43,197 -1,763
Changes in fair value in net profit/loss for the year 1,579 15,185
Closing balance 1,120,777 1,100,398
===== SIDA 32 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 32 Karolinska Development AB (publ)
NOTE 3 Fair value
The table below shows financial instruments measured at fair value based on the classification in the fair value
hierarchy. The various levels are defined as follows:
Level 1- Fair value determined on the basis of observed (unadjusted) quoted prices in an active market for
identical assets and liabilities
Level 2- Fair value determined based on inputs other than quoted prices included within Level 1 that are
observable for the asset or liability, either directly or indirectly
Level 3- Fair value determined based on valuation models where significant inputs are based on non‐
observable data
Fair value as of 31 December 2024
SEK 000 Level 1 Level 2 Level 3 Total
Financial assets
Shares in portfolio companies, at fair value
through profit or loss 94,713 - 1,026,064 1,120,777
Other financial assets - - 82,355 82,355
Cash and cash equivalents and short-term
investments 42,010 - - 42,010
Total 136,723 0 1,108,419 1,245,142
Financial liabilities
Other financial liabilities - - 100 100
Total - 0 100 100
Fair value as of 31 December 2023
SEK 000 Level 1 Level 2 Level 3 Total
Financial assets
Shares in portfolio companies, at fair value
through profit or loss 124,598 - 975,800 1,100,398
Other financial assets - - 67,829 67,829
Cash, cash equivalents and short-term
investments 85,272 - - 85,272
Total 209,870 0 1,043,629 1,253,499
Financial liabilities Other financial liabilities - - 130 130
Total - 0 130 130
===== SIDA 33 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 33 Karolinska Development AB (publ)
Fair value (level 3) as of 31 December 2024
SEK 000
Shares in
portfolio
companies
Other
financial
assets
Other
financial
liabilities
At beginning of the year 975,800 67,829 130
Acquisitions 61,998 - -
Compensations -4,086 -887 0
Gains and losses recognized through profit or loss -7,647 15,412 -30
Closing balance 31 December 2024 1,026,064 82,354 100
Realized gains and losses for the period included in profit
or loss -1,245 887 0
Unrealized gains and losses in profit or loss for the period
included in profit or loss -6,402 14,525 30
Fair value (level 3) as of 31 December 2023
SEK 000
Shares in
portfolio
companies
Other
financial
assets
Other
financial
liabilities
At beginning of the year 908,461 75,507 191
Acquisitions 69,477 - -
Compensations -1,763 -16,508 -
Gains and losses recognized through profit or loss -376 8,830 -61
Closing balance 31 December 2023 975,800 67,829 130
Realized gains and losses for the period included in profit
or loss 793 16,508 -
Unrealized gains and losses in profit or loss for the period
included in profit or loss -1,169 -7,678 -61
The Investment Entity recognizes transfers between levels in the fair value hierarchy on the date when an
event or changes occur that give rise to the transfer.
===== SIDA 34 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 34 Karolinska Development AB (publ)
Shares in portfolio companies (Level 3) as of 31 December 2024
SEK 000 Ownership Market value Valuation model1
AnaCardio 12.6% 60,628 Last post money
Boost Pharma 10.0% 4,931 Last post money
Dilafor 2.7% 45,876 Last post money
PharmNovo 20.0% 35,177 Last post money
SVF Vaccines 32.7% 26,364 Last post money
Umecrine Cognition 72.6% 625,613 External valuation2
KCIF Co-Investment Fund KB 26.0% 9,209 A combination of share price
listed company and fair value of
financial asset3
KDev Investments 90.1% 218,267 A combination of last post
money and share price listed
company4
Total level 3 1,026,064
1See The Annual Report 2023 Valuation of portfolio companies at fair value, for a description of valuation models.
2Risk-adjusted external valuation model from an independent valuation institute December 2024. The rNPV value from the
model adjusted further in order to reflect an assumed split in risk and revenues in conjunction with e.g. a license deal and also
to incorporate the financial risk that Umecrine Cognition will not manage to finance fully the final parts of the research program.
3KCIF Co-Investment Fund KB holds listed shares which are valued in accordance with the closing rate on the final trading
day of the period and a financial asset, at fair value through profit or loss, attributable to earn-out in the sale of Forendo Pharma.
4KDev Investments AB holds both listed shares which are valued in accordance with the closing rate on the final trading day
of the period and unlisted shares which are valued in accordance with the most recent transaction (post-money valuation).
Dilafor, which is an unlisted company, accounts for 89% of the total fair value of KDev Investments.
Sensitivity analysis of significant holdings 31 December 2024
+/-5%
+/-15% +/- 30%
Result/ equity Result/ equity Result/ equity
KSEK SEK/ share KSEK SEK/ share KSEK SEK/ share
Umecrine Cognition1 +/-33,572 +/-0.1 +/-100,715 +/-0.4 +/-201,431 +/-0.7
KDev Investments2 +/-17,950 +/-0.1 +/-53,550 +/-0.2 +/-107,100 +/-0.4
1) Sensitivity to rNPV value in performed valuation based on the assumed sales price of the drug.
2) Sensitivity in the value of KDev Investments, after potential distribution to Rosetta Capital.
Sensitivity analysis of significant holdings 31 December 2023
+/-5%
+/-15% +/- 30%
Result/ equity Result/ equity Result/ equity
KSEK SEK/ share KSEK SEK/ share KSEK SEK/ share
Umecrine
Cognition1 +/-32,896 +/-0.1 +/-99,748 +/-0.4 +/-198,436 +/-0.7
KDev Investments2 +/-19,008 +/-0.1 +/-55,949 +/-0.2 +/-112,000 +/-0.4
1) Sensitivity to rNPV value in performed external valuation based on the assumed sales price of the drug.
2) Sensitivity in the value of KDev Investments, after potential distribution to Rosetta Capital.
===== SIDA 35 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 35 Karolinska Development AB (publ)
Impact of Portfolio Fair Value
In the table below, “Total Portfolio Fair Value” is as defined in Note 1.
Impact on Portfolio Fair Value of the agreement with Rosetta Capital
“Potential distribution to Rosetta Capital”, SEK 330.8 million, is the amount that KDev Investments according
to the investment agreement between Karolinska Development and Rosetta Capital is obliged to distribute to
Rosetta Capital from the proceeds received by KDev Investments (KDev Investments Fair Value). The
distribution to Rosetta Capital will only happen when KDev Investments distributes dividends. KDev
Investments will only distribute dividends after all eventual payables and outstanding debt has been repaid.
Following dividends from KDev Investments during 2021 - 2023, all additional investments totaling SEK 43.7
million have been repaid to Rosetta Capital. In addition, SEK 6.7 million has been distributed, which reduces
the first SEK 220 million in the waterfall structure. See also the annual report for 2023, note 16, for a description
of the agreement with Rosetta Capital.
“Net Portfolio Fair Value (after potential distribution to Rosetta Capital)” is as defined in Note 1.
Expanded Portfolio Fair Value calculations taking the portfolio valuation and
potential distribution to Rosetta Capital in consideration
SEK 000 31 Dec 2024 31 Dec 2023
Karolinska Development Portfolio Fair Value (unlisted companies) 807,798 741,365
Karolinska Development Portfolio Fair Value (listed companies) 94,713 124,598
KDev Investments Portfolio Fair Value 549,021 574,336
Total Portfolio Fair Value 1,451,532 1,440,299
Potential distribution to Rosetta Capital of fair value of KDev
Investments -330,754 -340,016
Net Portfolio Fair Value (after potential distribution to Rosetta Capital) 1,120,777 1,100,283
NOTE 4 Other financial assets
SEK 000 31 Dec 2024 31 Dec 2023
Other financial assets, non-current
Earn-out agreement Forendo Pharma
71,271 57,443
Earn-out agreement Oncopeptides
- 0
Total 71,271 57,443
Other financial assets, current
Earn-out agreement Forendo Pharma 11,084 10,386
Total 11,084 10,386
Earn-out agreement Forendo Pharma
Karolinska Development is entitled to earn-out payments according to the agreement with Organon regarding
the sale of Forendo Pharma. Karolinska Development estimates the risk-adjusted net present value (rNPV) of
future cash flows (earn-outs), after the initial payment in December 2021 and payments in 2022 and 2023, to
SEK 82.4 million, whereof Karolinska Development expects SEK 11.1 million to be paid during the next 12
months. The earn-outs are expected to be paid during the period 2025–2034, and renewed rNPV valuations
will be performed continuously. Forendo Pharma's previous shareholders are entitled to additional future
payments totaling USD 870 million upon the achievement of certain development, registration and commercial
milestones pertaining to Forendo Pharma's drug candidates.
Earn-out agreement Oncopeptides
Karolinska Development was entitled to earn-out payments according to the agreement with Industrifonden
regarding the previous holdings in Oncopeptides. During the third quarter, Karolinska Development received
SEK 0.9 million in compensation, which is the final settlement of the agreement.
===== SIDA 36 =====
YEAR-END REPORT
Jan – Dec 2024
Year-end Report January – December 2024 36 Karolinska Development AB (publ)
NOTE 5 Interest income on loans to portfolio companies
SEK 000 2024
Oct-Dec
2023
Oct-Dec
2024
Full-year
2023
Full-year
Operating profit/loss
Interest income on loans to portfolio companies1 1,408 - 5,202 -
Total 1,408 - 5 202 -
Financial net
Interest income on loans to portfolio companies
and other income interests1 77 2,457 1,056 8,891
Total 77 2,457 1,056 8,891
1) Interest income on loans to portfolio companies is reported as of the fourth quarter of 2024 as a separate item in operating
profit/loss (interest on loans to portfolio companies during the fourth quarter of 2023 amounted to SEK 1,521 thousand and for
the full-year 2023 SEK 4,394 thousand). Other interest income is reported in net financial items.
NOTE 6 Pledge assets and contingent liabilities
SEK 000 31 Dec 2024 31 Dec 2023
Pledge assets
Contingent liabilities
Loan commitment to portfolio company 5 000 -
Investment agreement in portfolio company - 8,705
Summa 5 000 8,705