Maiden commercial deal announced for use in CRISPR

Update | 14 March 2017

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MaxCyte has signed a commercial license deal with CRISPR Therapeutics and Casebia (a joint venture with Bayer) for its flow electroporation to be used to develop CRISPR-based therapeutics for haemoglobin-related diseases. The non-exclusive deal includes an upfront, milestones, and sales-based payments; and we estimate has an NPV of c $10m. There are some 40 cell therapies that use MaxCyte’s proprietary technologies in development (10 of which are licensed for use in the clinic); suggesting further similar deals could be expected over the coming years. We have increased our valuation from 253p to 308p a share.

Year-end: December201420152016E2017E
Sales ($m)7.29.311.914.7
Adj. PBT ($m)(1.8)(1.4)(4.4)(5.9)
Net Income ($m)(3.8)(3.5)(4.9)(5.9)
Adj. EPS (c)(15.2)(1.9)(7.3)(13.7)
Cash ($m)
EBITDA ($m)(1.2)(0.7)(4.1)(5.4)
Source: Trinity Delta Note: Adjusted numbers exclude share-based payments and exceptionals.
  • MaxCyte has a key enabler for many cell therapies The deal with CRISPR Therapeutics and Casebia (the JV between CRISPR Therapeutics and Bayer) provides useful validation for MaxCyte’s strategy to capture the value of its proprietary platform. Its flow electroporation process efficiently and consistently transfects any cell with any molecule at any scale; which makes it an ideal technology for many ex-vivo cell therapies. The deal was driven by CRISPR Therapeutics’ desire to secure commercial access to what it views as “the leading ex vivo delivery solution for both clinical and commercial use”.
  • The first commercial use licence agreement in CRISPR-Cas9 The non-exclusive commercial license builds on the existing research and clinical agreement and covers uses in haemoglobin-related conditions and SCID (Severe Combined Immuno-Deficiency). The deal includes an upfront fee, milestones, and sales-based payments. The terms are not disclosed, but we estimate the value to be c $10m. MaxCyte’s technology is used in many cell therapy programmes; c 40 are being developed, with 10 licensed for the clinic. We expect several similar commercial deals over the coming years.
  • Valuation increased by 55p to 308p per share We increase our valuation by £29m from £134m (253p/share) to £174m (308p/share). MaxCyte’s shares have performed strongly since its IPO last year, but arguably this is simply reflecting the progress being achieved. Our rNPV model is based on conservative assumptions and we expect further upward revisions as we gain greater visibility on the commercial potential for MaxCyte’s platform. We will review our estimates following MaxCyte’s FY16 results, which are due to be reported on 20 March 2017.


14 March 2017

Price (Sterling)260p
Market Cap£113.2m
Enterprise Value£109.5m
Shares in issue43.5m
12 month range72.5p-272.5p
Free float67%
Primary exchangeAIM London
Other exchangesNA
Company CodeMXCT.L
Corporate clientYes

Company description

MaxCyte uses its patented flow electroporation platform to transfect a wide array of cells. Revenues arise from sale and lease of equipment, disposables and licence fees; with an impressive client list. Additionally, a novel mRNA mediated CAR technology, known as CARMA, is being explored in various cancers, including solid tumours.


Mick Cooper PhD
+44 (0) 20 3637 5042

Franc Gregori
+44 20 3637 5041

Exhibit 1: Summary of financials

Source: MaxCyte, Trinity Delta Note: Adjusted numbers exclude exceptionals. No commercial licensing deals are included in our forecasts  


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