CAR-T drug developer Chimeric Therapeutics (CHM: $0.005) has received a significant donation of $4 million (US$2.5 million) from a US-based philanthropic organization. This funding will assist the company in advancing its clinical programs.
Chimeric CEO Rebecca McQualter has been working on this non-dilutive funding option for some time, having had a previous connection with the undisclosed organization, which has not been involved with the company up until now.
This week, Chimeric announced a rights issue to raise up to $3.2 million at $0.005 per share. The funding round is being managed by Taylor Collison and PAC Partners. Chimeric finished the previous year with $5.1 million in funds.
One of the company’s leading programs is a Phase I/II study involving CHM CDH17, the first CAR-T therapy targeting CDH17. CDH17 is involved in the poor prognosis of neuroendocrine and gastrointestinal tumours.
Chimeric in-licensed the technology from the University of Pennsylvania in 2021. The University had been working on the program for a decade to develop and optimise the therapy for human use. In preclinical models, the therapy achieved the complete eradication of seven different tumours, as published in Nature in 2022. The University of Pennsylvania was also responsible for developing the world’s first approved CAR-T therapy.
In August of last year, Chimeric dosed the first patient in this study, with three patients having been treated so far. Up to 15 patients are expected to be enrolled in the first part of this study. The study aims to assess the therapy's safety, gather early efficacy data, and select the dose for the Phase II registration study.
Chimeric is currently capitalized at $8 million.
Bioshares Recommendation: Speculative Buy Class B
Disclaimer:
Information contained in this newsletter is not a complete analysis of every material fact respecting any company, industry or security. The opinions and estimates herein expressed represent the current judgement of the publisher and are subject to change. Blake Industry and Market Analysis Pty Ltd (BIMA) and any of their associates, officers or staff may have interests in securities referred to herein (Corporations Law s.849). Details contained herein have been prepared for general circulation and do not have regard to any person’s or company’s investment objectives, financial situation and particular needs. Accordingly, no recipients should rely on any recommendation (whether express or implied) contained in this document without consulting their investment adviser (Corporations Law s.851). The persons involved in or responsible for the preparation and publication of this report believe the information herein is accurate but no warranty of accuracy is given and persons seeking to rely on information provided herein should make their own independent enquiries. Details contained herein have been issued on the basis they are only for the particular person or company to whom they have been provided by Blake Industry and Market Analysis Pty Ltd. The Directors and/or associates declare interests in the following ASX Healthcare and Biotechnology sector securities: Analyst MP: 1AD, ACR, AVR, CGS, CUV, CYC, DXB, IMM, LBT, MX1, OPT, NEU, PAB, PXS,RNO,SOM. These interests can change at any time and are not additional recommendations. Holdings in stocks valued at less than $100 are not disclosed.
