Melbourne, Australia; Starpharma (ASX:SPL; OTCQX:SPHRY) today announced that following a submission to AusIndustry, it is eligible to receive approximately $6 million cash in R&D tax incentive for overseas R&D activities. 

Starpharma made a submission for an advance finding in relation to VivaGel® activities in June 2012, and AusIndustry has today notified the Company that its overseas R&D activities satisfy the required criteria under the 45% R&D Tax Incentive Program.

The submission supports the VivaGel® bacterial vaginosis clinical and regulatory program.  The finding covers certain overseas activities over a 3 year period from 1 July 2011.  It is estimated that $3.3 million of the total $6 million cash refund relates to the 2011/12 financial year.

In addition to the cash refund for eligible overseas expenditure, Starpharma estimates that it will also receive a further $2.0 million of R&D tax incentive from eligible Australian R&D activities and expenditure.

It is therefore anticipated that following submission of the company’s 2011/12 tax return, $5.3 million cash refund will be received in the current financial year.

Starpharma had previously reported in the 2012 Annual Report, an estimated R&D tax incentive of $1.3 million for the 2011/12 financial year.

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