STOCKS TELEGRAPH

Tag: biotherapeutic

  • Zymeworks, Inc. (ZYME) Stock Undergoes Minor Volatility AsZanidatamab Development Continues

    Zymeworks, Inc. (ZYME) Stock Undergoes Minor Volatility AsZanidatamab Development Continues

    Zymeworks, Inc. (ZYME) stock prices were down by 5.05% as of the market closing on June 18th, 2021, bringing the price per share down to USD$36.25 at the end of the trading day. After-hours trading saw the stock climb by 7.56%, bringing it up to USD$38.99.

    Zanidatamab Development

    The company continues to enroll patients for its global pivotal trial for zanidatamab, a HER2-targeted bispecific antibody, monotherapy for patients previously treated HER2 gene-amplified BTC (HerIZON-BTC-01. Enrolment is continuing throughout sites across North and South America, Europe, and Asia, with the trial having been initiate based on encouraging data. This data highlighted a 40% confirmed objective response rate for zanidatamab monotherapy in BTC. The development of the treatment has been supported by various special designations in the U.S and EU.

    FDA Clearance

    ZYME also recently received clearance from the U.S Food and Drug Administration for the first randomized Phase 3 clinical trial for zanidatamab. HeriZON-GEA-01 is a randomized study of zanidatamab that is conducted across multiple centers, in combination with chemotherapy with or without BeiGene’s PD-1 targeted antiboy, tislelizumab. The regimen is designed as a first line treatment for patients with HER2-positive unrespectable locally advanced or metastatic GEA. Clinical data that supports the study from an ongoing Phase 2 clinical trial evaluating zanidatamab is expected to be presented in the second half of 2021.

    Presenting Zanidatamab Data

    April saw the presentation of preclinical data at the American Association for Cancer Research, which will reveal new insights into the unique mechanisms of action of zanidatamab. The presentation will also facilitate the introduction of the company’s fourth therapeutic platform, ProTECT, as well as describe two new preclinical assets focused on both the cykotine, IL-12, and the immune-oncology target, 4-1BB.

    Revenue Reports

    Revenue for the quarter ended March 31st, 2021 was reported at USD$0.6 million, down from the USD$8.3 million reported for the same quarter of the prior year. The revenue for 2021 was primarily related to support for research from partners. The massive year-over-year difference is largely attributable to the USD$5 million from BeiGene for a development milestone and USD$3.3 million from our partners for research support, drug supply, and other payments.

    Future Outlook for ZYME

    Armed with the continued development of zanidatamab, ZYME is poised to continue its trajectory of success. The company is keen to push for the commercialization and proliferation of its flagship treatment to usher in continued growth. Current and potential investors are hopeful that management will leverage the resources at their disposal to facilitate significant and sustained increases in shareholder value.

  • Progenity Inc. (PROG) Stock Skyrockets as Next Target of Reddit-Driven Meme Stock Phenomenon

    Progenity Inc. (PROG) Stock Skyrockets as Next Target of Reddit-Driven Meme Stock Phenomenon

    Progenity Inc. (PROG) stock prices soared by a massive 28.92% as of the market closing on June 11th, 2021, bringing the price per share up to USD$3.21 at the end of the trading day. Pre-market fluctuations saw the stock surge by another 12.77%, bringing it up to USD$3.62.

    Meme Stock Phenomenon

    The past several trading days have seen the stock market being dominated by the meme stock phenomenon that spurred the GME and AMC developments earlier in the year. In the absence of any significant news or developments, the recent surge in PROG stock prices is likely to be attributable to the coordinated pump by investors who are users of the popular social media platform, Reddit. With a relatively high percentage of shorted shares, at 6.7%, the company is a prime target for Reddit-driven retail investors.

    Private Placement

    Concurrent with the surge in stock price, PROG announced on June 10th, 2021 that it had entered into a definitive securities purchase agreement with two leading healthcare-focused investment funds. The agreement will see the sale of units comprised of shares of common stock and warrants. The stocks are interchangeable with pre-funded warrants to purchase common stock and the warrants are for the purchase of common stock.

    Details of the Placement

    The private placement is expected to result in the generation of gross proceeds amounting to USD$40 million before the deduction of expenses related to the offering. As per the agreement, the closing of the placement will be followed by the issuance of units representing 16,194,332 shares of common stock (or pre-funded warrants. Warrants will also be issues concurrently, which will allow for the purchase of an aggregate of another 16,194,332 shares of common stock.

    Pricing of Placement

    Each unit issues by PROG will consist of one share of common stock, as well as one warrant to purchase one share of common stock. The price of each combined unit has been set at USD$2.47. Each warrant will have an exercise price of USD$2.84 per share with the option to be exercised at any time within 5 years of the issuance.

    Closing of the Placement

    The price per unit was partially determined by the average of the last five closing price of PROG’s common stock on the Nasdaq Global Market. Should the warrants be exercise for cash, the company will see the generation of additional gross proceeds of almost USD$46 million. The closing date of the placement is expected for June 14th, 2021, pending the satisfaction of customary closing conditions.

    Future Outlook for PROG

    Armed with a solid liquidity position from their private placement, as well as the fortuitous surge in value of their equity, PROG is poised to capitalize on the opportunities presented to it. The company is keen to continue its trajectory of success and usher in more organic growth over the long-term. Current and potential investors are hopeful that the management will leverage the resources at their disposal to facilitate significant and sustained increases in shareholder value.