ANNUAL FINANCIAL REPORT 2010 2010 - TiGenix

(d)Research and development of engineered skin or anyother type of tissue using tissue engineering techniquesfor application in the treatment of diseases or as ascreening platform.The stand-alone financial information have been prepared inaccordance with International Financial Reporting Standards(IFRS) as adopted by the European Union up to December 31,2010.(e) Development, production and marketing of moleculescreening platforms in the field of cell biology and stemcell therapy.(f) Research, development and marketing of monoclonalantibodies for selection and identification of stem cells, asa diagnostic, therapeutic or laboratory tool.(g) Production of cells in its facilities for commercial orresearch purposes.(h) Performance of preclinical and clinical trials, registrationand marketing of cell therapy drugs.(i) Transfer of the company’s technology, know-how, skillsand expertise.(j) Fabrication of cells as cellular medicines.The corporate objects may be pursued by Cellerix directly orindirectly through equity holdings in companies with the sameor similar objects.Since its foundation in 2004, Cellerix has acted as a cell therapyentity with a clear clinical focus. Cellerix actively developsinnovative drugs based on the use of lipoaspirate-derivedadult stem cells, which are isolated from the adipose tissueof the patient or donor. Cellerix has developed the firstpharmaceutical laboratory in Spain authorised by the SpanishDrug and Health Products Agency for the production of cellularmedicines.The shares of Cellerix are not currently listed on any stockexchange market.9.1.5.2 Basis of preparationThe most significant accounting policies applied in thepreparation of the above stand-alone financial information areset out below. These policies have been consistently applied toall the years presented, unless otherwise stated.All amounts are presented in € unless otherwise indicated,rounded to the nearest €1,000.Changes in accounting policy and disclosuresa) New and amended standards adopted by CellerixDuring 2010, new accounting standards came into effectand were therefore taken into account when preparing theaccompanying stand-alone financial statements.The following standards have been applied in these standalonefinancial statements, with no impact on the figuresreported or on presentation and disclosures of these standalonefinancial statements:Revision of IFRS 3, Business Combinations: The publishedamendment to IFRS 3 affects the accounting for businesscombinations, changes the scope, the calculation of goodwilland the treatment of contingent consideration, and introducesthe option of measuring non-controlling interests at fair valueIn view of its nature, this amendment did not affect Cellerix’financial statements.Amendment to IAS 27, Consolidated and Separate FinancialStatements: The amendment to IAS 27 affects the accountingfor changes in the level of ownership interest in subsidiariesand for non-controlling interests with a deficit balance. In viewof its nature, this amendment did not affect Cellerix’ financialstatements.Amendment to IAS 39 Financial Instruments: Recognition andMeasurement - Eligible Hedged Items. In view of its nature, thisamendment did not affect Cellerix’ financial statements.Amendments to IFRS 2 -Group Cash-settled Share-basedPayment Transactions: The amendment to IFRS 2 clarifies thetreatment of cash-settled share-based payment transactionsbetween companies within the same group. In view of itsnature, this amendment did not affect Cellerix’ financialstatements.Improvements to IFRSs (2009): The annual improvementspublished in April 2009 gave rise to a series of amendments tocertain standards and interpretations. The directors of Cellerixconsider that the entry into force of these amendments did nothave a significant effect on the financial statements.202 • TiGenix • Rights Offering