Trinity Delta £10m raise extends runway beyond FAP-EXd catalysts

£10m raise extends runway beyond FAP-EXd catalysts

Lighthouse | 27 March 2026

Share this note

Avacta has raised £10m gross (£9.45m net) through an equity placing of 15m new shares through an accelerated bookbuild and an equity subscription for 873k new shares at 63p each (a discount of 9.35%). The shares, representing c 3.6% of the issued capital, will be placed with certain current shareholders and new investors, with Zeus Capital as the sole bookrunner. Two non-executive directors, Richard Hughes and David Bryant, have subscribed for an aggregate amount of £0.55m (873k new shares). These new shares will be admitted to trading on 7 April 2026, increasing Avacta’s issued share capital to 456,288,511.
Importantly, the raise extends the cash runway into early Q127, enabling Avacta to retain 100% ownership of its pre|CISION peptide drug conjugate (PDC) assets as it continues to progress its clinical programmes through to the next inflection points. This is key as we believe that Avacta is entering a defining period where the utility, and value, of the pre|CISION platform and PDC assets become clear.
Catalysts include initial Phase Ia data for AVA6103 (FAP-EXd) in late-2026, with dosing expected imminently, and potential enrolment into Phase Ib expansion cohorts during early-2027. The board believes this initial data will be a significant milestone for the ongoing partnering discussions. The Phase Ia/Ib study is designed for rapid data collection, enrolling two parallel independent arms in four FAP-positive cancers (cervical, gastric, pancreatic, and small cell lung cancer). Exatecan, a highly potent topoisomerase I inhibitor, is also one of the payloads in first dual payload PDC programme AVA6207 (candidate selection due H226).
For lead PDC faridoxorubicin, further Phase Ib dose expansion data from the salivary gland cancer (SGC) cohort as well as first data in triple negative breast cancer (TNBC) are expected in H126 and could be the spur for a partnership or licensing deal. Favourable safety data and no severe cardiac toxicity observed to date support the removal of the lifetime cumulative maximum dosing limit of free doxorubicin and flexibility in dosing levels to assist with optimal biologic dose selection for future faridoxorubicin trials. The start of Phase II trials in SGC and TNBC is planned for 2026 (subject to partnership or funding).
The raise is considered a related party transaction as Richard Hughes is a NED and associated with Zeus Capital. Additionally, Zeus will be issued with warrants over c 4.36m shares (0.96% of issued share capital), exercisable for five years from grant (at the issue price), in line with an agreement made on appointment of Zeus as joint broker, which was contingent on the raise of £20m by the broker.

Trinity Delta view: Avacta’s successful £10m placing removes funding uncertainty, providing additional working capital and allowing management to retain ownership of its proprietary pre|CISION technology and PDC assets as it advances these towards important catalysts and potentially more lucrative deals. Multiple clinical catalysts are expected which should provide near- and mid-term value inflection points, including progress with faridoxorubicin partnering and, more importantly in our view, first FAP-EXd (AVA6103) clinical data. Following the raise, as usual, we suspend our forecasts and valuation; for context our prior valuation was £468m ($585m) or 106p/share.

Lighthouse

27 March 2026


Price	68.50p
Market Cap	299.78m
Primary exchange	AIM
Sector	Healthcare
Company Code	AVCT

Corporate client	Yes

Company description

Avacta is a clinical stage biotech focused on the novel pre|CISION platform to generate peptide-drug conjugates to target delivery of toxic payloads into the tumour microenvironment, which has the potential to expand the reach and reduce the systemic toxicities of highly potent cancer therapeutics. Lead programme faridoxorubicin is in Phase Ib, and multiple next generation candidates are in preclinical development.

Analysts

Lala Gregorek
lgregorek@trinitydelta.org
+44 (0) 20 3637 5043

Franc Gregori
fgregori@trinitydelta.org
+44 (0) 20 3637 5041

Disclaimer

Trinity Delta Research Limited (“TDRL”; firm reference number: 725161), which trades as Trinity Delta, is an appointed representative of Equity Development Limited (“ED”). The contents of this report, which has been prepared by and is the sole responsibility of TDRL, have been reviewed, but not independently verified, by ED which is authorised and regulated by the FCA, and whose reference number is 185325.

ED is acting for TDRL and not for any other person and will not be responsible for providing the protections provided to clients of TDRL nor for advising any other person in connection with the contents of this report and, except to the extent required by applicable law, including the rules of the FCA, owes no duty of care to any other such person. No reliance may be placed on ED for advice or recommendations with respect to the contents of this report and, to the extent it may do so under applicable law, ED makes no representation or warranty to the persons reading this report with regards to the information contained in it.

In the preparation of this report TDRL has used publicly available sources and taken reasonable efforts to ensure that the facts stated herein are clear, fair and not misleading, but make no guarantee or warranty as to the accuracy or completeness of the information or opinions contained herein, nor to provide updates should fresh information become available or opinions change.

Any person who is not a relevant person under section of Section 21(2) of the Financial Services & Markets Act 2000 of the United Kingdom should not act or rely on this document or any of its contents. Research on its client companies produced by TDRL is normally commissioned and paid for by those companies themselves (‘issuer financed research’) and as such is not deemed to be independent, as defined by the FCA, but is ‘objective’ in that the authors are stating their own opinions. The report should be considered a marketing communication for purposes of the FCA rules. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and it is not subject to any prohibition on dealing ahead of the dissemination of investment research. TDRL does not hold any positions in any of the companies mentioned in the report, although directors, employees or consultants of TDRL may hold positions in the companies mentioned. TDRL does impose restrictions on personal dealings. TDRL might also provide services to companies mentioned or solicit business from them.

This report is being provided to relevant persons to provide background information about the subject matter of the note. This document does not constitute, nor form part of, and should not be construed as, any offer for sale or purchase of (or solicitation of, or invitation to make any offer to buy or sell) any Securities (which may rise and fall in value). Nor shall it, or any part of it, form the basis of, or be relied on in connection with, any contract or commitment whatsoever. The information that we provide is not intended to be, and should not in any manner whatsoever be, construed as personalised advice. Self-certification by investors can be completed free of charge at www.fisma.org. TDRL, its affiliates, officers, directors and employees, and ED will not be liable for any loss or damage arising from any use of this document, to the maximum extent that the law permits.