Renouncable Rights Issue 1 for 5 at 5c + option. Trading has ceased now.
Share price is stuck at 5c ATM.
Let's have a shot at calculating what effect the rights SHOULD have.
Assume that all are exercised.
Estimate the original value based on the last sale before the announcement of the rights issue, 7.5c.
Post exercise you'll have 5 old shares + one new one and they should be worth (5x7.5c + 1x5)/6 = 7.1c
But also take into account that the new options reduce the upside of the shares a little. Options are worth between 0.1c and 0.5c so their effect on the shares is at most 1/5 of that, ie at most 0.1c
So the shares should be worth 7c each. The current low SP is a result of existing holders selling shares to exercise rights or buy rights. There will likely be an overhang for a while.
Phylogica announced today the first stage of their partnership with Roche (top 10 pharma) has been completed. The companies are collaborating to identify novel cell-penetrating peptides using Phylogica's drug discovery platform.
In the announcement, Roche's Dr Anton Haselbeck commented
"We scour the world looking for innovation that could lead to new medicines, and our collaboration with Phylogica has uncovered an exciting area of research. We now need to examine the results of Phylogica's thorough research and determine the best way of applying it to our drug development."
PYC up .2c to 4.8c
PYCO steady at 0.3c
options exericise price: 15c
maturing: 31 Aug 2011
At present PYC is heading in six unique ground breaking directions.
.Roche deal - transporting of macro-molecules into cells with the aid of a peptide carrier (cutting-edge).
.Medimmune deal- finding peptide antibiotics to counter the worldwide rise of antibiotic resistant hospital acquired infections (superbugs).
.Pfizer deal - next generation vaccine program
.MRC Hutchison Research Centre (Cambridge University) collaboration - development of a revolutionary approach to cancer research. 'Protein Interference', would have wide application in the identification and validation of new drug targets.
.CD40L internal program - next generation auto-immune disease treatment. The move from injectable meds to oral or nasal administration.
.Sonic Hedge-hog internal program - at the cutting-edge of cancer research.
My pick of the six, is the collaboration with MRC Hutchison (Cambridge university). This research should lead to a new way of thinking worldwide when it comes to cancer research. It will open the gate and who knows where the horse will bolt for cancer research and PYC.
At present there are intense ongoing discussions with the MRC Hutchison Institute concerning growth of the collaboration and the exciting commercial opportunities.
What value should be placed on PYC?
What should PYCs sp be sitting on to reflect it's potential?
Should PYC forget about an exit and build a biotech equivalent to microsoft?
15th feb 2011
DYOR and be amazed
Not to late to be in
For a company with a 20m market cap, PYC has a lot of big pharma friends.
Roche, AstraZeneca and Pfizer are sitting at PYCs table.
Another 3 big pharma are expected in the next 12mths.
PYCs sp hasn't been responding to their outstanding progress over the last few months, due to PYCs major shareholder, Biotech Capital selling down on all their biotech to return funds to their unit holders.
This is not a reflection on PYCs performance.
What this does, is create an opportunity for late comers to get into PYC at a very attractive price.
DYOR and be impressed.
Fancy meeting you here
Just a few powerful 3rd party quotes concerning PYC over the last 12mths:
"We scour the world looking for innovation that could lead to new medicines, and our collaboration with Phylogica has uncovered an exciting area of research.."....Dr Anton Haselbeck, Head of New Technologies in Roche's Pharma Research & Early Development unit.
"..In the past year we have established a research collaboration with Perth-based Phylogica. This partnership underscores our commitment to finding partners in Australia with novel technology platforms as well as therapies that could lead to the next step-change in medicine."....Stella Xu, Executive Director for Roche Partnering.
"I am excited to be transitioning our collaboration with Phylogica into a commercial operation. We have shown that the enormous structural diversity of Phylomer libraries can be harnessed in phenotypic screens that can identify and validate new targets for drug discovery with high efficiency."....Ashok Venkitaraman, Ursula Zoellner Professor of Cancer Research at the University of Cambridge, who directs the molecular therapeutics programme and the MRC Cancer Cell Unit in the Hutchison/MRC Research Centre.
Expecting a very strong 4mths
'Roche seeks 'Targeted Acquistions' not Abbott sized deal'.
PYC is not mentioned in the article (and much is said of Abbott) but the following paragraph from Roche's CEO is interesting:
"We've focused on smaller, bolt-on acquisitions," Schwan said in an interview today in Frankfurt when asked whether an acquisition of a portion of Abbott's business is attractive. "That's how I see us continuing in our M&A strategy. We are not interested in mega-mergers. We are interested in very targeted acquisitions which complement our technologies and portfolios."
Phylogica Peptide Fusion Kills Aggressive Breast Cancer Cells
• Phylogica’s peptide fusions kill aggressive, drug resistant breast cancer cells
• Phylomer peptide fusions significantly boost potency of cancer drugs
• In vivo evidence of potent Phylomer fusion activity against Myc – a ‘holy grail’ cancer target
Perth, Australia March 30 2015: A pilot study by one of Australia’s leading breast cancer experts, Associate Professor Pilar Blancafort, a member of the Harry Perkins Institute of Medical Research, shows that Phylogica’s cell penetrating peptides (CPPs) linked with the Omomyc drug kill aggressive drug resistant breast cancer cells in vivo.
Professor Blancafort also observed that Phylogica’s CPP fusion significantly improved the efficacy of existing anticancer drugs including the antibody Cetuximab and the chemotherapy agent Docetaxel. For example, a combination of Cetuximab and a Phylomer CPP-Omomyc fusion was more than three times more effective at killing drug resistant breast cancer cells than either of these agents alone.
Associate Professor Blancafort commented: “The ability to combine drugs to treat breast cancer is particularly exciting as it has the potential to lower the likelihood of resistance, improve drug activity and reduce chemotherapy side-effects.”
In a final pilot study, Associate Professor Blancafort tested the activity of Phylogica’s CPP fusion in an in vivo breast cancer model. A substantial reduction in tumour size was observed in tumours injected with Phylogica’s CPP fusion when compared to controls. This pilot study needs to be repeated using larger groups to confirm its significance.
Dr Paul Watt, Chief Scientific Officer of Phylogica said: “We were not expecting such a striking result from the pilot study. We believe this is the first time anyone has shown a CPP-Omomyc fusion protein to be active in vivo, as to our knowledge Omomyc has only previously been successfully delivered to tumours using a complex ‘gene therapy’ approach, associated with significant regulatory hurdles to clinical application.”
Phylogica enters transaction with UK biotech to identify and develop small molecule cancer drugs
• Non-exclusive license granted to PhoreMost Limited for phenotypic screening of Phylomer libraries to discover and develop small molecule drugs
• Phylogica obtains 7.5% stake in PhoreMost
• Phylogica obtains rights to develop therapeutic Phylomer peptides discovered from PhoreMost screens
• Agreement has potential to feed Phylogica’s peptide-based oncology pipeline and unlock significant value in Phylomer platform
Perth, Australia 7th April 2015: Phylogica Limited (ASX: PYC) has entered into a licensing agreement with PhoreMost Limited, a private biotechnology company based in Cambridge UK.
Under the agreement, Phylogica grants to Phoremost a world-wide non-exclusive license to use certain Phylomer libraries solely for phenotypic screening to identify novel targets involved in diseases such as cancer, and then to identify and develop small molecule drugs against these targets.
The license includes certain preference conditions that cap the number of similar phenotypic deals Phylogica may enter into during an 18 month option period. Importantly, Phylogica will retain all commercial rights to exploit any Phylomer peptides identified in the screens for therapeutic purposes.
As consideration for the license Phylogica will obtain a 7.5% equity stake in PhoreMost together with non-exclusive rights to commercialise any functional Phylomer peptides and associated disease targets that are identified by PhoreMost for peptide therapeutics, along with an option to negotiate exclusive rights for such purpose.
“We are delighted the PhoreMost agreement formalises our long standing collaboration with Professor Venkitaraman’s team at the University of Cambridge who are co-founders of Phoremost and who are world leaders in cutting-edge phenotypic screening approaches to identify novel disease targets involved in cancer,” said Phylogica CEO, Dr Richard Hopkins.
“The team is complemented by PhoreMost CEO Dr Chris Torrance, who co-founded and commercialised Horizon Discovery, a pioneering phenotypic screening company, which recently floated on the London Stock Exchange and is currently valued at >£150 million.”
“This agreement provides Phylogica’s shareholders with an equity stake in an innovative company with its own proprietary small molecule-based oncology programs. It also has the potential to feed Phylogica’s oncology pipeline with novel cancer targets and peptides, accelerating our path to product development and adding significant value to the company.”
Dr Torrance commented, “We have been very aware of Phylogica’s unique technology asset and its vast potential to generate novel drug candidates for diseases previously considered undruggable. This agreement is an important part of our quest to find and develop superior small molecule therapies through specialised phenotypic screening approaches.”
Using novel ‘phenotypic’ screening technologies developed in collaboration with Professor Venkitaraman, Phylogica’s Phylomer libraries will be used to probe the landscape of intracellular disease targets to identify the best new approaches for next-generation cancer therapy. A pipeline of these validated drug targets, the majority of which will have been drugged for the very first time, will be developed in partnership with Phylogica and other pharmaceutical companies to bring a multiplicity of new treatment options into the clinic.
Today's ANN sees PYC jockeying into a commanding position in the drug development of the intracellular space.
Till now we have seen PYC developing:
- cell-penetrating peptides and peptide drug molecules targeting intracellular 'transcription factors'.
- cell-penetrating peptides with the aim to provide efficient intracellar entry for 3rd party protein drug molecules.
To date, the PYC story has been all about peptide(small protein) drugs and 'cell-penetrating peptides' to attach to both peptide and protein drug molecules.
Today we see PYC lock into intracellular drug development using 'small molecule' drugs.
'Small molecule' drugs are able to access the inner cell without the need of a 'cell-penetrating peptide', but to-date small molecule drugs have not had success in blocking complex intracellular protein/protein interactions.
PhoreMost is attempting to change all that. They will be finding intracellular protein/protein targets that can be blocked by 'small molecule' drugs. PYC's peptide libraries will be used in the phenotypic screening to find both drug targets and to develop 'small molecule' drug molecules. A bi-product of the screening are peptides that are wholly owned by PYC and are potentially future drugs for PYC.
With PYC's equity stake in PhoreMost, PYC are hedging their bets. PYC can maintain their main focus, which is targeting intracellular 'transcription factors' with peptide/protein drugs. While they have a plan B progressing, targeting intracellular protein/protein interactions with 'small molecule' drugs.
None of the content posted on this website should be considered financial advice. Click here for more information. Opinions expressed are those of the respective authors and do not represent the views of Aussie Stock Forums management. Digital Point modules: Sphinx-based search