Welcome to Frequently Asked Questions, a regularly updated page where Ziccum answers your questions on all aspects of our science, technology, projects and business.
If you’d like to send us a Question, please fill in the form at the bottom of the page. We endeavor to answer all questions within 10 days of submission.
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//Team Ziccum
BUSINESS
- What is Ziccum’s Business Model?
- What is a Licensing Business Model?
- What revenues does Ziccum currently generate?
- What is ‘soft funding’?
- Which soft funding opportunities exist for Ziccum?
- Is Ziccum applying for CEPI funding?
- What is Ziccum’s IP position?
PORTFOLIO AND PROJECTS
- How many partnerships or dialogues does Ziccum have ongoing?
- What capacity does Ziccum have for new projects?
- How does a typical Project work?
- What are the different stages of Projects that Ziccum runs?
- How long does a Ziccum project last?
- What happens when a Ziccum Project is completed?
- What happens if a Project fails to generate positive data?
- How important are Ziccum’s project revenues?
- What would a Licensing Agreement entail?
BUSINESS
What is Ziccum’s Business Model?
Ziccum’s business model is built on establishing partnering and development projects with a range of biotech and pharmaceutical companies. In the early phases of these projects, revenue is generated by stages of paid Feasibility, Evaluation and Application studies, milestone payments for R&D activities and license fees for exclusive evaluation. In the mature commercial phase, revenue will be generated through Licensing agreements, using a Licensing Business Model, with partners paying royalty payments on vaccine or biotherapeutic products.
What is a Licensing Business Model?
Licensing is a standard revenue model for the Pharmaceutical Industry. In a typical royalty licensing model the licensor (in this case Ziccum) would sell / out-license the rights to a product they have developed (for example a novel formulation of a vaccine formulated using LaminarPace) to a licensee (client), so that the client pays Ziccum a royalty fee each time the vaccine is used.
As a fast-growing area Licensing can also include the licensing not just of novel formulations and therapies, but novel techniques and know-how too. We take an assertive, proactive approach to IP. Our ongoing program of industrial development, internal mRNA project and external partner projects all generate unique data. We assess all licensing opportunities carefully as our technology evolves.
What revenues does Ziccum currently generate and how are they structured?
Ziccum currently has two major revenue streams: a) Project revenues from its external Evaluation projects, b) Soft funding revenues from funding bodies.
Project revenues: The company’s project revenues currently (November 2023) amount to 10 MSEK, of which 6-8 MSEK is expected to be realized in 2023 and 2-4 MSEK in 2024. If successful, we expect today’s projects to move on to further stages that are also likely to be funded.
Soft funding: Ziccum’s current soft funding comes from its Eurostars research project developing 3D digital modelling of LaminarPace in partnership with the ICP Institute of Computational Physics at the Zurich University of Applied Sciences’ School of Engineering (ZHAW). This funding runs until 2026 and totals 10 MSEK in revenues for Ziccum, with the combined gain of Ziccum and ZHAW portions distributed through the remaining years of the project
What is ‘soft funding’?
‘Soft funding’ refers to external, non-dilutive funding in the forms of, for example, research grants, subsidies or donations that do not have to be repaid. Soft funding is an important driver of the global Life Science ecosystem. A wide range of funding bodies contribute to R&D initiatives and startups. Ziccum monitors the biopharma, vaccine and medical technology space carefully for relevant soft funding opportunities.
Which soft funding opportunities exist for Ziccum?
Vaccine development and supply: A number of organizations carry out funded projects within vaccine development and supply - from Gavi, the Vaccine Alliance, to CEPI (the Coalition for Epidemic Preparedness Innovation) to the Gates Foundation and others. Many issue Calls for Proposals (CfPs) (‘call outs’) inviting applications on a range of projects, some relevant to Ziccum, others not. Ziccum monitors all soft funding opportunities carefully.
Industrial and technological innovation: A number of organizations also provide soft funding around industrial innovation and next-generation technologies. In December 2022 Ziccum was awarded 10 MSEK soft funding by Eurostars for its joint project with the Institute of Computational Physics at the Zurich University of Applied Sciences to develop advanced 3D-modelling and ultimately a Digital Twin of the LaminarPace system.
Is Ziccum applying for CEPI funding?
Ziccum is not currently working on any CEPI CfPs. Ziccum submitted a joint application to a call-out in January 2023 that was not selected. Competition for all soft funding is intense. Before applying to a CfP we evaluate the competitor landscape and the significant time, cost and resources that it will take to complete the formal application, and balance that against the possible strategic and business returns. Ziccum monitors all soft funding opportunities carefully.
What is Ziccum’s IP position?
A robust IP position is central to Ziccum’s Business Model. Enormous value lies in the scientific knowledge, the developed process and the technology built by Ziccum, as well as novel formulations developed by it. Ziccum’s IP strategy works to protect this value by protecting the Company's position in the market from competitors and competing technologies.
The Company filed 3 patent applications during 2023 and continues to work intensively on securing and expanding its Intellectual Property portfolio. The company is currently in a phase of intensive data generation across a range of internal and external projects. All these projects generate unique data, and the company takes an assertive, proactive approach to its Intellectual Property, assessing all licensing opportunities carefully as its technology evolves.