fbpx

Written by 08:00 Analys, Research

ELICERA: EIC-grant offers validation for CAR T-project ELC-301

With the 2.5 MEUR grant from the European Innovation Council (EIC) Accelerator Programme, Elicera is now fully financed to complete a clinical phase I/II to evaluate its CAR T-cell therapy ELC-301 for treatment of B-cell lymphoma. The grant was awarded in fierce competition (only 5% of applications are approved) and provides validation of Elicera’s science and research. Corresponding to a 1.3 SEK per share the grant also releases resources to other portfolio projects. Consequently, we now find support for a fair value of 13 (12) SEK per share in 12 to 24 months.

Magnus Brolin & Johan Widmark | 2022-06-03 08:00

This commissioned research report is for informational purposes only and is to be considered marketing communication. This research report has not been prepared in accordance with legal requirements designed to promote the independence of investment research and Emergers is not subject to any prohibition on dealing ahead of the dissemination of investment research. This research does not constitute investment advice and is not a solicitation to buy shares. For more information, please refer to disclaimer.  


2.5 MEUR in funding for ELC-301

Elicera is a clinical phase cell and gene therapy company developing immune-oncology therapies focusing on amplified CART T-cells and oncolytic viruses. Elicera now estimate the planned clinical phase I/II for the development of CAR T-cell therapy ELC-301 to be fully financed, after being granted 26 MSEK from the European Innovation Council (EIC) Accelerator Programme. With the grant, the company has now secured 40 MSEK in total for the ELC-301-program which we expect to enter clinical phase I/II in H2’22. The EIC-accelerator program offers funding support and acceleration services for small and mid-sized companies with an approval rate of less than five percent, which is why we believe that the grant offers considerable validation to Elicera’s science and research.

Elicera armed with a broad product portfolio

The approved CAR T-cell therapies available today target the CD19-protein and while those have proven to be effective, a large portion of patients are either resistant to the treatment or relapse within twelve months. These patients have then often lost the CD19 target antigen on the recurring tumors. ELC-301, which is the fourth generation CAR T-cell therapy directs toward the CD20-protein instead, which is expressed on all B-cell lymphoma cells. ELC-301 is also armed with Elicera’s own CAR T-cell amplifying platform technology iTANK which offers a broader attack on cancer by also activating the patient’s own T-cells against the whole set of relevant target antigens on tumor cells, not just CD19 or CD20. In addition to ELC-301 and ELC-100 Elicera have two additional drug candidates in its portfolio ELC-201 and ELC-401, both in the pre-clinical phase.

Stable pipeline of triggers support revaluation potential

For Elicera’s other project, ELC-100, an oncolytic virus for treatment of neuroendocrine tumors, we now look forward to efficacy data from the ongoing phase I/II study during 2022. With a portfolio of immune-oncology projects in clinical and pre-clinical phases, as well as the iTANK platform which is already in the commercial phase, and a stable pipeline of triggers during the year, plus 1.3 SEK per share in EIC-grants for the forthcoming phase I/II with ELC-301, we find ample support for a revalaution of the share. The company’s strategy is focused on partnerships after initial clinical phases and with effective measures and potential for early out-licensing for ELC-100, the start of clinical studies for ELC-301 and probable pilot agreements for iTANK in 2022, we see an overall risk-adjusted net present value for these three verticals at 256 MSEK or a fair value 13 (12) SEK per share.

 

DISCLAIMER

GENERAL DISCLAIMER AND COPYRIGHT

This commissioned research report is for informational purposes only and is to be considered marketing communication. This research does not constitute investment advice and is not a solicitation to buy shares. Information provided here or on Emergers’ website emergers.se is not intended to be financial advice. This research shall not be construed as a recommendation or solicitation to invest in the companies described. Emergers cannot be held liable for either direct or indirect damages caused by decisions made on the basis of information in this analysis. Investors are encouraged to seek additional information as well as consult a financial advisor prior to any investment decision.

This material is not intended to be financial advice. This material has been commissioned by the Company in question and prepared and issued by Emergers, in consideration of a fee payable by the Company. Emergers standard fees are SEK 240,000 pa for the production and broad dissemination of a detailed note following by regular update notes. Fees are paid upfront in cash without recourse. Emergers may seek additional fees for the provision of roadshows and related IR services for the client but does not get remunerated for any investment banking services. We never take payment in stock, options or warrants for any of our services.

Accuracy of content: All information used in the publication of this report has been compiled from publicly available sources that are believed to be reliable, however we do not guarantee the accuracy or completeness of this report and have not sought for this information to be independently verified. Opinions contained herein represent those of the research analyst at Emergers at the time of publication. The company has been given the opportunity to influence factual statements before publication, but forecasts, conclusions and valuation reasoning are Emergers’ own. Forward-looking information or statements contain information that is based on assumptions, forecasts of future results, estimates of amounts not yet determinable, and therefore involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of their subject matter to be materially different from current expectations.

Exclusion of Liability: To the fullest extent allowed by law, Emergers shall not be liable for any direct, indirect or consequential losses, loss of profits, damages, costs or expenses incurred or suffered by you arising out or in connection with the access to, use of or reliance on any information contained in this material.

No personalised advice: The information that we provide should not be construed in any manner whatsoever as, personalised advice. Also, the information provided by us should not be construed by any subscriber or prospective subscriber as Emergers’s solicitation to effect, or attempt to effect, any transaction in a security. The securities described in this material may not be eligible for sale in all jurisdictions or to certain categories of investors. Investors are encouraged to seek additional information as well as consult a financial advisor prior to any investment decision.

Investment in securities mentioned: Emergers has a restrictive policy relating to personal dealing and conflicts of interest. Emergers does not conduct any investment business and, accordingly, does not itself hold any positions in the securities mentioned in this report. However, the respective directors, officers, employees and contractors of Emergers may have a position in any or related securities mentioned in this report, subject to Emergers’ policies on personal dealing and conflicts of interest.

Copyright: Copyright 2021 Incirrata AB (Emergers)

United Kingdom
This document is prepared and provided by Emergers for information purposes only and should not be construed as an offer or solicitation for investment in any securities mentioned or in the topic of this document. A marketing communication under FCA Rules, this document has not been prepared in accordance with the legal requirements designed to promote the independence of investment research and is not subject to any prohibition on dealing ahead of the dissemination of investment research.

This Communication is being distributed in the United Kingdom and is directed only at (i) persons having professional experience in matters relating to investments, i.e. investment professionals within the meaning of Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, as amended (the ”FPO”) (ii) high net-worth companies, unincorporated associations or other bodies within the meaning of Article 49 of the FPO and (iii) persons to whom it is otherwise lawful to distribute it. The investment or investment activity to which this document relates is available only to such persons. It is not intended that this document be distributed or passed on, directly or indirectly, to any other class of persons and in any event and under no circumstances should persons of any other description rely on or act upon the contents of this document.

This Communication is being supplied to you solely for your information and may not be reproduced by, further distributed to or published in whole or in part by, any other person.

United States
Emergers relies upon the ”publishers’ exclusion” from the definition of investment adviser under Section 202(a)(11) of the Investment Advisers Act of 1940 and corresponding state securities laws. This report is a bona fide publication of general and regular circulation offering impersonal investment-related advice, not tailored to a specific investment portfolio or the needs of current and/or prospective subscribers. As such, Emergers does not offer or provide personal advice and the research provided is for informational purposes only. No mention of a particular security in this report constitutes a recommendation to buy, sell or hold that or any security, or that any particular security, portfolio of securities, transaction or investment strategy is suitable for any specific person.

Be first to read new research on growth stocks