Innovative G309 exploratory grass trial starts
Lighthouse | 26 October 2020
Trinity Delta view: The start of Allergy Therapeutics’s G309 Grass MATA MPL trial is a defining step for the company. It will be used to inform the G306 pivotal trial that will support US approval, using the company’s significant experience and know-how to mitigate the risks inherent in Phase III allergy trials, and will also provide an archetype for subsequent Phase III trials for other MATA MPL assets (including birch and ragweed). The Grass MATA MPL Phase III programme will provide the clinical data to support regulatory approval in Europe and the US. In the former region, this approval will broaden prescribing beyond ‘named patient’ basis; in the US, Grass MATA MPL will likely become the first short-course, subcutaneous, and aluminium-free grass allergy therapy available. We currently value Allergy Therapeutics at £325m (51p/share), based on sum of the parts including a DCF of the commercial operations (£87m or 14p/share), an rNPV of the R&D pipeline (£204m, or 32p/share), and net cash.
26 October 2020
Allergy Therapeutics specialises in the diagnosis and treatment of allergy. The existing European business generates c £80m annual sales. Near-term R&D efforts are focussed on the Pollinex Quattro platform, whilst in the medium-term the VLP platform is highly promising.
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