Business
Lifecore Biomedical Reports Second Quarter Fiscal Year 2023 Results
Company Announces Intention to Explore Strategic AlternativesSigns Term Sheet with Key Customer to Materially Expand Commercial RelationshipExpands
About this update from Lifecore Biomedical, Inc.
[{"type":"text","content":"Company Announces Intention to Explore Strategic AlternativesSigns Term Sheet with Key Customer to Materially Expand Commercial RelationshipExpands Development Pipeline from 24 to 25 Active Projects as of Fiscal Second Quarter-endSubsequently Transitioned Three Projects to Commercialization with FDA Approval in Fiscal Third Quarter, Expanding Commercial Products from 26 to 29 with 14 CustomersFiscal Second Quarter Earnings Call Scheduled for March 17th, 2023 at 8:30 am Eastern Time CHASKA, Minn., March 16, 2023 (GLOBE NEWSWIRE) -- Lifecore Biomedical, Inc. (“Lifecore” or the “Company”), a fully integrated contract development and manufacturing organization (“CDMO”), reported results for the fiscal 2023 second quarter ended November 27, 2022. ANNOUNCEMENT OF INTENTION TO EXPLORE STRATEGIC ALTERNATIVES: Concurrently with the issuance of this press release, Lifecore also announced its intention to explore the Company’s potential strategic alternatives to maximize value for stockholders, which may include an evaluation of a potential sale of the Company, potential debt or equity financing transactions, or other possible strategic transactions. CEO COMMENTS:James G. Hall, President and Chief Executive Officer of Lifecore, commented, \"We continue to make important progress toward unlocking the potential of Lifecore as a CDMO business and today announced that we intend to explore the Company’s strategic alternatives to maximize value for our stockholders. Today, we also announced the entry into a term sheet with an existing customer that contemplates a meaningful expansion of our relationship with this customer and includes substantial up-front payments, demonstrating the quality of our development portfolio as well as the benefits of our significant capacity investment strategy we have executed over the past several years. During the second quarter, our revenues and adjusted EBITDA were negatively impacted by timing differences resulting from delayed customer orders and postponed onboarding of new development projects. Despite these issues and the near term challenges the Company faces with its current capital structure, we believe Lifecore remains an excellent business with attractive growth characteristics and a compelling development pipeline that we intend to convert into stockholder value.\" LIFECORE FISCAL SECOND QUARTER 2023 B...