MaxCyte PLC (LON:MXCT) said its revenues grew by 30% to US$10.9mln in the first half of 2020 and told investors that its research and development operation was expected to be self-funded by the end of the year.
The company licences out its technology, which generates a revenue stream and potential milestone payment, currently worth an estimated US$800mln, from life sciences companies that use its cell engineering know-how in drug development.
It has also begun advancing its own potential treatments, creating an R&D business called CARMA Cell Therapies.
Scientists working for CARMA are currently developing a potential therapy for ovarian cancer and peritoneal mesothelioma. Results from a phase I study are expected later this year.
In the meantime, management has been working with a strategic advisory firm called Locust Walk on “the capital acquisition process”.
Following on from this, MaxCyte said it expects CARMA Cell Therapies to be self-funded by the end of 2020.
“The near-term prospects of independent funding for CARMA can highlight the value of this pioneering therapeutic platform,” said Emma Ulker, Proactive’s healthcare analyst.
She pointed out that the IPO pricing of the pre-clinical stage cell therapy company, Nkarta Therapeutics, indicated a market valuation of over £200mln, “illustrating the scope of interest in innovation in the therapeutic space”.
The shares, up 7% at 236p, values the entire business, including the revenue-generating operations and the potential clinical milestone payments at just £157mln.
Assessing the financial performance of the commercial operation, MaxCyte said current trading had been strong and the momentum had continued into the early part of the second half.
It is launching an expanded range of ExPERT disposables to “broaden applications by customers”, and presumably, enhance revenues.
A successful US$30mln financing in May has provided the financial support for MaxCyte’s planned dual listing on US Nasdaq growth market next year.
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