2nd Jan 2024 12:45
(Alliance News) - Angle PLC has hit a "landmark achievement", says Berenberg, as its pilot study partnership with Eisai Inc may lead to major market expansion.
On Tuesday, the Surrey-based medical diagnostics provider announced the venture with the Tokyo-based pharmaceutical company for trial's of the latter's BB-1701 antibody-drug conjugate. This "novel therapeutic" targets the proteins that accelerate breast cancer cell growth while minimising damage to the surrounding tissue.
During the trials, Angle will provide circulating-tumour-cells analysis using its innovative Portrait HER2 assay to assess the response of breast cancer patients to Eisai's product.
To Berenberg, this represents a valuable contract, worth USD250,000 to Angle over the duration of the study, but also opens the door to further penetration of the oncology pharmaceuticals market.
According to Berenberg, Tokyo-based Eisai, which generated around USD5.24 billion in annual sales in 2022, possesses "global stature and strong pipeline emphasis on oncology". Partnering with them on a compound said to be "revolutionising breast cancer treatment" will be Angle's aperture into the world of "high-profile pharmaceutical collaborations".
The pilot study, if successful, will offer the possibility of further large-scale projects and grant Angle what Berenberg terms "substantial opportunity for growth and market expansion".
Angle's niche products, now with the endorsement of a major pharmaceutical player, could result in it trading well above current valuation as funding for biotechnology recovers.
Taking into account this contract and Angle's other opportunities across breast cancer, ovarian cancer, prostate cancer, pharma services and research use, Berenberg has set the company a price target of 120 pence.
This is a ten-fold increase on Angle's current share price of 12.12 pence each, up 3.2% in London at midday on Tuesday. It rates Angle at 'buy'.
By Hugh Cameron, Alliance News reporter
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