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Ice, I don’t know which is worse - the derampers or your complete lack of objectivity.

Ice,

Ic152 raises some valid points, such as: “Where are the comms on FDA regulation increasing lifetime levels of Dox, and why?” In my opinion, AVCT’s communications are poor at times.

Rather than even attempting to address these concerns, they were dismissed as “bed-wetting.” I agree with Ic152’s response to your post - “frankly immature”.

Evening Aldebaran,

Regarding Affyxell - AVCT receives milestone payments in the form of shareholdings in the joint venture. So no cash payments.

The below is from the recent PL research note, that you might find interesting.

PARTNERSHIPS

AffyXell

AffyXell is a joint venture with Daewoong Pharmaceutical in South Korea based on the Affimer technology. The JV was formed in 2020. AffyXell is developing engineered stem cells to secrete affimers, with the aim of treating autoimmune diseases. The first two products are targeted at treatment for Graft vs Host Disease (GvHD) in organ transplantation (AFX001), multiple sclerosis and type 1 diabetes (AFX002). Currently, both are at the discovery stage, with AFX001 in pre-IND trials for GvHD.

AffyXell raised additional funding in 2024 to continue development of the programmes; this reduced the Avacta shareholding to 21%. Avacta has received two milestones since the formation of the JV, which result in an increase in its shareholding in the JV.

The agreement commenced in 2021 and GenScript ProBio took an equity stake in AffyXell in 2022. AffyXell has a strategic partnership with GenScript ProBio, a subsidiary of GenScript Biotech, which provides end-to-end CDMO services, from drug discovery to commercialisation.

LG Chem

Avacta has been working with LG Chem, a Korean chemical company, since 2018. The agreement is a multi-target development partnership and licensing deal worth up to $310m with a focus on oncology and inflammatory diseases.

The lead programme focuses on the development of an Affimer PD-L1

checkpoint inhibitor, originally developed by Avacta, incorporating Affimer XT technology to give a serum half-life extension. The programme was at the pre-clinical stage and preparing for an IND submission at the end of 2022. LG Chem renewed its collaboration with Avacta in June 2022, triggering a license renewal payment of $2m. No further information on the progress of the partnership is available.

POINT Biopharma (Eli Lilly)

In 2021, Avacta signed a licensing agreement for the development of tumour-activated radiopharmaceuticals with POINT Biopharma. The agreement included development milestone payments for the first radiopharmaceutical FAP-activated drug totalling $9.5m, with subsequent drugs up to $8m each, and a royalty due on commercialisation. Point Biopharma was acquired by Eli Lilly in late 2023 for $1.4bn. Since acquisition there has been no update on the

progress of the POINT Biopharma portfolio although we believe development is ongoing.

Sorry B2HS2L, I don’t understand your point. The research note states that salivary gland cancer has the “POTENTIAL for a rapid route to market through an orphan indication..” I don’t think it is saying there is one - just that there is an expectation of one?

It bugs me too BV. I couldn’t even pay to view the Peel Hunt research note. I am an AVCT investor, PL & PH are their joint brokers and yet I can’t even access their research. It’s definitely not a level playing field.

BV, I had to upgrade to the paid version of Research Tree (£8 per month) to access it….I must remember to cancel my subscription.

It has my email address ‘embedded’ as a watermark, so I’m sorry I can’t share the PDF on here.

Thanks GMCC for the X roundup. Some interesting snippets.

From Sandy’s tweet re partnerships:

* Partnership discussions are underway. [FAP-Dox]

* This programme has significant partner interest. [AVA6103]

* Avacta has multiple discussions ongoing around the use of this technology. [pre|CISION platform]

* Avacta has already begun discussions with a range of potential partners for FAP-Dox (AVA6000).

* Avacta is in discussions around using the technology to optimise partners' onco-targeted therapies. [pre|CISION platform]

From RAH’s tweet: The maximum allowable cumulative dose of FAP-Dox has been increased to the equivalent of 550mg/m2 of conventional doxorubicin. “Discussions ongoing with regulatory agencies to liberalise the dosing of FAP-Dox (AVA6000) further”.

Morning BV, yes AVCT are listed as attending the BIO-Europe Spring event. Attendees are listed under the ‘who will you meet tab?’

https://informaconnect.com/bioeurope-spring/

Bella, the cardiologist CC referred to during the SD presentation, as requesting that breast cancer be added to the trial, was Dr. Anthony Yu from MSKCC. He is a member of the Scientific Advisory Board.

Approximately 22:37 into the presentation.

https://avacta.com/video-presentations-from-rd-spotlight-next-generation-of-precision-medicines/

https://www.mskcc.org/cancer-care/doctors/anthony-yu

Good observation, D-G, on the importance of the share price.

AVCT’s current SP could be a great entry point for new investors (like in your case with WG.) or those able to add significantly. But for many long-term holders, who have shouldered most of the risk and are sitting on significant losses, it is a different story…

Ice, you’re a bit quiet today - only 18 posts today on LSE. Best get cranking them out, your daily average is nearly 30. Thank goodness you are also now sharing your wisdom with the WG. board.

Opti, I don’t have a crystal ball, but we are potentially vulnerable to a lowball takeover offer. My views are different to Ice’s re the current SP. I think he is pompously naive.

Ice, given your love of AI, I asked ChatGPT what the average share price premium is for pharmaceutical takeovers of biotech companies. Its answer:

“It typically ranges between 40% and 80% above the target company’s pre-announcement share price. However, this can vary significantly based on factors like market conditions, competition, and the strategic value of the acquisition.”

It also listed recent examples of pharma-biotech takeover premiums:

• Pfizer’s $43B acquisition of Seagen (2023): ~33% premium.

• Sanofi’s $2.9B acquisition of Provention Bio (2023): ~273% premium.

• Amgen’s $27.8B acquisition of Horizon Therapeutics (2022): ~48% premium.

• GSK’s $1.9B acquisition of Bellus Health (2023): ~103% premium.

Now, let’s apply that to AVCT:

• A 100% premium on a 40p share price would only result in an 80p offer, leaving many long-term holders still in the red.

• Even a best-case scenario from the examples (273% premium, like Provention Bio) would only bring the offer to around 149p.

This is one of the reasons why I don’t share your disregard for the current poor SP. As AI itself points out:

“The share price helps establish a starting point for valuation.”

A 40p share price leaves us vulnerable to a lowball offer.

And the starting share price is important because even a high premium on a low base can still result in a disappointing offer for long-term shareholders.

Why did McMuff’s post make you laugh, ICE?

Shareholders judge companies on multiple criteria, and the share price is obviously a key one. I’m not talking about daily fluctuations, but you can’t ignore the fact that, despite significant scientific progress, the SP has gone backwards over the last year. That’s frustrating for investors - any rational person can surely see that.

Your blinkered, almost patronisingly sanctimonious approach can be hard to take at times.

Why did last month’s corporate deck omit STS from the “rapid route to market” slide (No. 23), when the November corporate slide deck & the SD slides included it?

I’m not suggesting this is due to negative news - if anything, I think SGC’s recent data has been so good that it has simply pulled away from STS in the pecking order. My point is it comes back to the poor comms. Unless they have a really good reason for the silence - but then why release the slide deck without clarification?

The commitment to improving communications at the last AGM still hasn’t really materialised.

https://avacta.com/wp-content/uploads/2025/01/Avacta-_Corp_Deck_Jan_2025.pdf

Excellent post Road Runner.

Agree Harrogate4, it’s worth a try emailing the post to Avacta & Consilium. But given Consilium’s appalling track record of responding I wouldn’t hold out much hope for a reply. Their Investor Relations are unfortunately 💩

Thanks D-G. I considered using LSE for RNS alerts (cheers Ice for the link) but ended up paying for VOX. I like the way notifications ping on my phone so I don’t miss them, particularly if there is a (rare) intraday RNS.

But LSE looks a good free alternative.

Yuyus, I’m not invested in AI, but I can see the appeal - it’s rapidly becoming the norm to run questions through it (Icecool is our resident ‘expert’). If I was going to invest in AI, I would perhaps consider a fund rather than an individual share?

With AVCT, the advantages of the Tempus AI collaboration are clear. Previously, they relied on empirical analysis, which, as CC put it, “takes a long time.” Now, with access to the wealth of data within the Tempus database, they can collaboratively quickly identify both FAP expression and cancer indications most sensitive to the intended warhead. This should significantly accelerate the drug development of AVA6103 (and the future pipeline) and clinical probability of success.

I read a post on X yesterday regarding how long Consilium takes to respond to emails - if they reply at all. I’m still waiting for a response to an email I sent over eight weeks ago.

I was wondering if anyone else has encountered the same lack of comms from them? I don’t rate Consilium at all, but I would be interested in anyone else’s experience of them.

Ice you ask me “What’s the plan if Avacta does a placing at, say, 32p? How are you playing it?”

I don’t know if another raise is on the cards. If there is, I’ll look to participate. But if it happens in the 30p range, it’ll be a bitter pill to swallow.

Brilliant science alone isn’t enough - you also need a commercially savvy board that can maximise shareholder returns and fully capitalise on the company’s huge potential. And the jury is out on the board’s commercial acumen.