Reply To: Avacta

#5633
Nick Hargrave
Keymaster

https://www.londonstockexchange.com/news-article/AVCT/interim-results-for-the-period-ending-30-june-2023/16143192

No surprises in the interims, although I have to note the language now being used by the CEO and Chairman, such as “ground-breaking”. They are clearly happy with more bullish language now whereas they have previously been very careful with their wording. More interesting was the investor presentation that has just concluded for some added colour:

Well funded into late next year with lots of optionality on non-dilutive funding

There is no diagnostics M&A currently being contemplated – they fully understand capital allocation implications and are focused on therapeutics where the transformative value is

Seeing efficacy in Phase 1a is a “huge landmark step” and all the clinicians in the study would also use the same word “remarkable” for the safety performance of AVA6000. They don’t need a lengthy and expensive Phase 1b expansion study to convince themselves of the efficacy, hence the change to a short fortnightly dosing study and then straight into a pivotal phase 2 registrational study in H2 24 rather than 2025

“preCISION works” – the CEO stated this simply as fact, based on the outstanding performance of AVA6000 in the clinic that had validated the platform in humans. This has led to increasing commercial interest for partnering the platform

CEO hinted at spinning out the diagnostics business to provide non-dilutive funding, stating that non dilutive funding is at the forefront of directors’ minds so “don’t worry about that”