Avacta

Innovative AI analysis comparing pre|CISION PDCs to ADCs

Lighthouse | 24 February 2026

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  • Avacta has undertaken an innovative AI-driven analysis to assess differences in payload delivery between its proprietary pre|CISION peptide drug conjugate (PDC) platform and a market leading cleavable linker antibody drug conjugate (ADC). The aim was to assess published preclinical data for AstraZeneca/Daiichi Sankyo’s Enhertu (trastuzumab deruxtecan, an exatecan derivative ADC), with preclinical data for Avacta’s exatecan PDC AVA6103 (FAP-EXd) in as comparable as way as possible. Enhertu, a class leading tumour-agnostic HER2-directed ADC used mainly for breast cancer, generated global FY25 revenue of $4.98bn. It is based on an exatecan derivative and uses a cathepsin-cleavable linker, while AVA6103 couples Avacta’s proprietary sustained release chemistry with a targeted release pre|CISION FAP-cleavable linker.
  • Preclinical data for AVA6103 (FAP-EXd) were matched with equivalent public domain data for Enhertu (T-Dxd). The published data set for T-Dxd was recreated using an AI-model, with the equivalent also recreated for FAP-EXd using similar antigen-high animal models. This formed a synthetic comparator arm to assess the differences in payload delivery, looking in particular at the tumour penetration rate, concentrations (Cmax) in the tumour, and the degree of tumour selectivity.
  • The analysis showed that FAP-EXd had: (1) much more rapid drug penetration into the tumour, with the tumour Cmax occurring within minutes of dosing compared with T-Dxd Cmax at 24 hours; (2) a tumour maximum concentration of 822nmol/L against 74.2nmol/L for T-Dxd, a more than one log improvement of free payload in the tumour; and (3) a TSI (Tumour Selectivity Index, ie the ratio of payload in the tumour vs that in plasma) nearly three times that of T-Dxd.
  • These findings quantify the improved selectivity and exposure profile of payload delivery by a pre|CISION PDC vs a blockbuster ADC. Our January 2026 Outlook provides further detail on pre|CISION PDC benefits over ADCs: in summary, the payload release is highly tumour specific, resulting in much reduced toxicities; their size conveys small molecule levels of tumour penetration, coupled with extracellular payload release; FAP is expressed by 90% of all solid tumours, with the strong bystander effect resulting in efficacy in even low FAP environments; and manufacture is relatively straightforward and inexpensive.

Trinity Delta view: Lead compound, faridoxorubicin, has provided proof-of-concept for Avacta’s pre|CISION PDC platform and specifically FAP-activation at the tumour site; however, in our view, greater value lies in next-generation programmes, including AVA6103. AVA6103 is on the cusp of entering the clinic: Phase Ia is due to start in Q126 in four cancer indications (cervical, gastric, pancreatic, small cell lung cancer) identified in conjunction with Tempus AI. This partnership, as well as the highly innovative use of AI to create a synthetic competitor profile for AVA6103, emphasises management’s pioneering approach and clear strategic ambitions. These results also support the view that pre|CISION PDCs could become a credible alternative to ADCs and highlight how selective activation of highly potent drugs only in the tumour microenvironment should lead to a valuable pipeline of novel, highly clinically relevant, targeted therapeutics. We value Avacta at £468m, or 106p/share.

Lighthouse

24 February 2026

Price56.50p
Market Cap247.26m
Primary exchangeAIM
SectorHealthcare
Company CodeAVCT
Corporate clientYes

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

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