Progress in all areas, and a longer cash runway
Lighthouse | 4 October 2018
Trinity Delta view: e-therapeutics’ remains focused on its goal of securing business development deals on its NDD platform and assets, and appears to have made significant progress towards securing a partnering deal with a major pharmaceutical company. We believe that if it signs a significant collaboration agreement with one of the big pharma companies, this could lead to further deals being secured. Broader corporate development opportunities are also being evaluated, including non-dilutive sources of capital (risk-sharing deals to progress discovery projects), and prospects for inorganic growth.
Tight cost control and extension of the cash runway into 2020 strengthens e-therapeutics’ negotiating position, making it more likely that the company will secure lucrative strategic deals. Cash inflows from a deal or other sources would enable optimal investment in its platform and discovery assets.
The underlying operating cash burn (before tax credits) of £3.4m was lower than our forecast, so are reviewing our estimates, taking into account management’s guidance that e-therapeutics could operate into 2020 (FY21) without raising additional cash.
4 October 2018
|Market Cap (£m)||19.88|
|Primary exchange||AIM London|
e-therapeutics is a drug discovery company with a proprietary network-driven drug discovery (NDD) platform. Following management changes and a strategic review, the focus is on its immuno-oncology projects, the next generation of the platform, and on securing industry collaborations and partners.
Mick Cooper PhD
+44 (0) 20 3637 5042
+44 (0) 20 3637 5043
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