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They are and they’ll get caught on the hop if the next news comes is big! It’s truly undervalued in my opinion! Excited to see what happens next

Tiny sell volume though I wouldn’t worry - over 1.2m traded today and around 90% are buys! They see the potential and this is just a matter of time for a huge restate takes hold.

The CEO said the value of the grant was equivalent to a £6m fundraise (just based on capital and not any of the benefits it will actually deliver) and that given the MCAP was around £4m at the time should have naturally propelled to 10m!! Won’t be long until he’s right!

Webinar link for those who missed it last week:

https://youtu.be/TIqpan8opjw?feature=shared

Adrian said these exact words himself earlier this year

https://youtu.be/IAvbf90GgvQ?feature=shared

Responds to a question at 29:34 about licensing and he says more likely a pharma would come in and buy us rather than pay the fee

That’s a fair point. If a large pharma saw the value however, then they may just buy the tech/company and keep it to themselves stop their competitors having that advantage.

Plus potential for royalties on future sales derived from the use of licence. Also, Adrian at the webinar said that the design of the library and its vast nature means they could licence it out to every pharma and biotech in the world without overlap - massive potential

Recent grant will help to accelerate growth and win higher value contracts:

“

Q: How will the recent grant funding benefit the company and will it help the company win larger contracts and accelerate growth?

A: The grant funding allows us to do more R&D at a lower cost. The capital equipment element is provided free to Fusion and so reduces our cost of sales for relevant projects enhancing margins and making us more competitive. This includes some of the higher value projects. So, yes it will help the company to win larger contracts and accelerate growth.“

Q: I understand the US National Cancer Institute is currently validating your platform. In the event that this is positive, how big is that potential impact on the company?

A: The NCI is validating our OptiMAL(R) technology, one of several platforms we offer. A positive outcome will result in co-authored peer review publications which would provide as good a piece of marketing collateral as we could wish for. It would not only validate the technology, but also that it can be transferred to another lab, paving the way for licensing deals with big pharma and biotechs. The NCI Lab head running the validation is widely regarded as a key opinion leader in our field.

Https://investorhub.fusionantibodies.com/activity-updates/sharesoc-discovery-webinar-series-q-a-12-december-2024

Remember that FAB will not only retain interest in partner projects such as these which they worked on but were too early.

https://www.biotechnewswire.ai/202401082504/calypso-enters-into-agreement-to-be-acquired-by-novartis.html

but they also have their own assets - Huge values here and remember fusion announced last year they had submitted patent for their own antibodies and were seeking licence these out to a company to take to clinical trials.

https://www.fusionantibodies-ir.com/content/news/corporate-news/210323

The potential here is astronomical compared to where we are today.

This will significantly derisk their r&d making it more ambitious and more affordable according to the CEO this was equivalent of a £6m fundraise for them.

6. Current valuation.

Overall, Fusion Antibodies plc appears to be transitioning towards profitability with a clear growth strategy and enhanced market engagement. They’ve been compared with peers FJ BIO (€900m valuation) and Absci ($450m mcap last time I checked) which shows you the potential here for a rerate given their current MCAP around £5.7m ( not even the same as the grant and capital access they now have access to after last weeks RNS).

7. They’re deploying their mammalian display tech in different way which appears to be increasing yield for their clients in a big way and they’re able to match quality in many cases according to the CEO at the last investor meet. This could be huge if the right client decides this could be of massive benefit to them and decided to buy the technology exclusively to get 10-30x better yields. Who wouldn’t want that.

I’m holding shares and will continue to do so for the foreseeable. Obviously do your own research and nothing I say is advice, perhaps there are other perspectives but I genuinely can’t see the downside with this company they’re massively undervalued and have just set themselves up for a tremendous future. Hopefully not long until weee back with the share price over 135p like we were a few years ago.

Well what a rollercoaster week that was. To me the fundamentals haven’t changed though and think they’re setup well for a number of reasons:

1. Strong Revenue Growth: Fusion’s revenue more than doubled year-over-year for the six months ending September 2024, reaching £1.2 million compared to £541,000 in the prior year. This marks significant progress in scaling operations and improving gross margins, which shifted to 29% from -16% in the same period last year (which Has been acknowledged as particularly challenging and which followed a large discounted raise in May 23). Shard are forecasting this to move to 61% next FY and EBITDA positive shortly after.

2. Strategic Collaborations: Fusion has expanded its collaboration with the US National Cancer Institute (NCI) and secured new contracts with U.S.-based biotech companies for innovative antibody development projects. This positions the company to leverage its proprietary technologies like the OptiPhage™ library and CDRx™ platform. They’re nearing the tail end of partnership agreement with the NCI to validate their flagship technology Optimal which is apparently going well and having more resource behind it. They’re also in the latter phases of a contact on optiphage with a global diagnostic company where they have thee option to buy an exclusive licence and FAB would secure royalties. Both tech are described as novel and market leading and present a model for multiple licensing and royalty deals. They already have a pipeline of molecules in the clinic and royalty and milestone interests in some of those.

3. Improved Financial Stability: The company has a cash runway into the second half of FY26 and is reporting to be on track to achieve cash flow neutrality. Fusion’s board has committed to avoiding equity dilution, focusing on operational efficiency to support its growth. The achievability of this has been backed up by research notes by Allenby Capital and Shard. Cash at end of h1 was around 400k with receivables being received since to hopefully bring this back to around. £6-700k. The CFO said they’d be getting decent VAT and R&d credit too.

4. Sector Potential and Recovery: The antibody engineering market continues to grow as pharmaceutical companies focus on biologics for therapeutic and diagnostic applications. Fusion is well-placed to capture value in this expanding market with its expanding product offering.

5. Grant Approvals: Fusion has secured govt funding from for its development projects, providing additional non-dilutive financing to fuel innovation. they recently announced they were part of a £55m consortium and will receive both £1m direct grant funding for R&d as well as access to £5m capital assets and access to 20 university staff and 20 PHD student free of charge. This is significant endorsement of their prestige and creates a new partnership to develop new game changing tech in conjunction with the Unis in NI and other pharma and diagnos

Https://smallcappix.com/blogdetail?id=21

Great write up - and that was before they turned a corner on revenues, margins and announced the game changing consortium and grant last couple of weeks

Yeah he’s pretty bad, only Managed to:

- land a partnership agreement with the 6 billion dollar funded USA which will likely lead to multiple high value licence deals or a buyout of their world leading tech.

- Land a partnership agreement with a leading global provider of diagnostic products to supply em with antibodies on an ongoing basis

- Turn the company around from difficult period to closest to EBITDA positive they’ve been since IPO with gross margins improving at a lightning fast rate with analysts forecasting this will be positive after next FY.

- Land fusion a spot as part of a world class consortium receiving a share of £55m grant funding and that will set fusion up for transformational change moving forward.

Pretty questionable performance if you ask me 🧐because but I suppose you must be right because you didn’t like his sales team structure.

I was very impressed with the presentation last night.

It’s clear the company have many strings to their bow, and they’re all starting to come together.

The £55m consortium they’re part of, the direct benefits over around £1m to fusion in terms of grant funding, the £5m of kit, the over 40 staff and the networks and technology will enable them to make their R&D much more ambitious and more affordable and capitalise on their technology.

The fact that Adrian pointed out that they would have needed to do a £6m fundraise to get any f the benefit and they haven’t should put 2.5x on their market cap alone.

That’s without the fact that they have massive potential with their flagship validation coming to conclusion, the potential for their optiphage contract to result in an exclusive licence fee and royalties and that’s the latter phases plus the potential to repeatedly licence out their tech is amazing.

Yesterdays presentation has just affirmed for me the tremendous opportunity here - to quote the “this grant is hugely valuable to us and we’re at the beginning of a transformative step”

Let’s not descend into petty arguments after such a positive night last night - the real story was the epic webinar and the CEOs view that they’ve reached a transformational milestone that’s going to unlock so much for this company

And he also made the point here and previously that they’re selling on a scientist to scientist basis, engaging them in the problem they’re trying to solve and bringing their expertise and science in to build credibility. Having a sixth of the workforce also on sales as well is quite substantial for small company

Https://www.sharesoc.org/events/discovery-company-webinar-12-december-500pm/

Ahh fair dos! Yes I couldn’t see the advfn post either!