For the full year 2016, Bionor now expects a Core cost base of NOK 52-59 million. Previously, a Core cost base of NOK 58-66 million was expected. The reduced Core cost base is due to cost saving initiatives implemented in Q2 2016. Currently, expected savings will amount to approximately NOK 6 million per quarter when fully implemented by 1 January 2017, excluding any organizational changes implemented in H2 2016.
Following the private placement of NOK 52.5 and subsequent fully underwritten rights offering of NOK 52.5 million, the company will be fully funded under the current strategy for no less than 12 months.
The Core cost base is defined as Employee Benefit Expenses plus Other operating expenses.