Hello! Presenting a review of IPO IPO 4D Molecular Therapeutics. The company is engaged in high-precision methods of gene therapy. In simple terms, 4DMT develops individual delivery vehicles (vectors) for transferring genes to the desired cells of the body for each disease. Vector development takes place on the Therapeutic Vector Evolution's own platform for each specific disease. The company has 37 libraries in the database of more than 1 billion vector sequences.
At the moment, 4DMT does not have a single commercial product. The entire product line and development stages in the image below. According to the plan, phase 1 in the field of ophthalmology will be launched in 2020.
The targeted audience in all but the ophthalmological area is quite small, even less than that of Imara. 4D-310 (Heart Disease) - 10000 people in the USA, 4D-710 - 70000 people in the world, Duchenne muscular dystrophy - 10-15 thousand in the USA, 4D-125 and 4D-110 (ophthalmology) - 200 new cases in the USA in year.
If the FDA registers a drug for patients who number less than 10000, then such a medicine has a monopoly on the market for up to 10 years. The EU has similar rules. And such drugs are quite expensive. For example, Spinraza from Biogen costs 7.5 million rubles per 1 ampoule (5 ml.)
Partnerships and agreements with pharmaceutical companies.
This section sets up positive. If Revolution Medicines There was one strategic partner and she showed growth of over 70% on the first day. So 4DMT has 3 partners: Roche, AstraZeneca and uniQure.
Roche reimburses the cost of developing ophthalmic vectors. And gets the right to sell and manufacture. Will pay license sales fees. Has options for all 4DMT ophthalmic developments.
Astrazeneca is collaborating on the development of capsids for the delivery of certain genes to the lungs. License fees will also be paid.
uniQure is collaborating on the development of capsids for the delivery of certain genes to the liver. Are required to pay royalties on the sale of licensed products worldwide.
Pfitzer terminated the agreement in 2018. Astrazeneca is currently evaluating the results of the work done. And if we continue to cooperate, then 4DMT will receive the next tranche.
Finance. Overview of IPO 4D Molecular Therapeutics.
The company, of course, is unprofitable. Information about the movement of money above in the image.
As of June 30, 2019 - $ 72.9 million in cash on accounts.
Team and investors.
The 4DMT team is led by David Kearn. Kearn has significant experience in the field of gene therapy of viral vectors, including the management of more than 30 clinical trials from phase 1 to phase 3. Therefore, the chances of bringing the project to the desired results increase.
4DMT raised $ 108,6 million. Investors are Viking Global Investors, Janus Henderson, Arrowmark Partners, Pfizer Ventures, Mirae Asset Financial Group, Ridgeback Capital Investments, Pappas Capital and Chiesi Ventures.
For all current shareholders LockUP is installed 180 days from the date of placement. Only securities issued for IPO will be in free circulation.
There are already approved drugs on the market: Zynteglo, Zolgensma, Luxturna, Imlygic and Strimvelis. Recently acquired by Biogen, Nightstar Therapeutics is developing an NSR-RPGR for XLRP. AGTC and MeiraGTx are also developing candidate products for AAV gene therapy for XLRP.
Below is a comparison of the quality of gene delivery to the heart and muscles. The comparison was carried out on pigs and mice, but nonetheless, the results are impressive.
Summary. Overview of IPO 4D Molecular Therapeutics.
At the moment there is no information on the exact date and volume of the placement. Otherwise, the IPO 4D Molecular Therapeutics looks quite interesting. Among the shortcomings can be distinguished: to the clinical stage of development and Pfitzer's refusal to cooperate. However, as RVMD showed, strategic alliances between biotech and established pharmaceutical companies can bring good returns.
The information is the personal opinion of the author and cannot be regarded as an investment recommendation.