Captor Therapeutics presents H1 2021 financial results and provides business update
- Completed successful initial public offering (IPO) with first listing date on April 19, 2021 on Warsaw Stock Exchange, raising c. PLN 150m (c. US$ 40m)
- Dr. Tom Shepherd named Chief Executive Officer in January 2021
- Investments in the development of innovative targeted protein degradation (TPD) drugs in oncology and autoimmune indications
- Net cash position of PLN 140m as of June 30th 2021 should fully fund Captor in the medium term
- Announced key preclinical data and revealed the identity of the drug target in one of its core pipeline projects targeting the undrugged target MCL-1 for the treatment of haematological, lung and breast cancers
Wrocław, Poland, October 15, 2021 - Captor Therapeutics S.A. (WSE:CTX), a biopharmaceutical company focused on the development of novel protein degradation drugs for cancer and autoimmune diseases, presented data from its H1 2021 report during the WSE Innovation Day. The report was issued on 30 September, 2021 and is available on company’s website. In addition to the financial results, the Company provided business highlights for the six months ending 30 June, 2021, and its outlook for the second half of the year.
“Captor has continued to build competitive advantages in the first half of 2021 through investing in our innovative and comprehensive targeted protein degradation drug discovery platform OptigradeTM, while developing a pipeline of high potential drug candidates in the area of severe oncological and autoimmune diseases. TPD-based medicines have greater potential than existing medicines in addressing molecular targets and as such, are a rare opportunity to transform the biopharmaceutical market, reflected in the rapid growth of this specialized sector. The TPD field is in its infancy and Captor is benefiting from rapidly adopting and advancing this technology. This has allowed us to develop a comprehensive set of tools to advance the next generation of TPD medicines and to develop drugs against both validated and more innovative targets” said Dr. Tom Shepherd, CEO of Captor Therapeutics. “Our portfolio consists of five major research projects at various stages of development. We are actively preparing our first clinical trials, which we expect to start in 2023 with minimum two drug candidates. Drugs based on TPD technology have the potential to significantly expand therapeutic possibilities by destroying or degrading molecular targets that are currently beyond the reach of classical inhibitor drugs, or so-called undruggable targets. Furthermore, targeted degradation of proteins makes it possible to switch off all pathogenic protein functions ” added Dr. Shepherd.
Radosław Krawczyk, Chief Financial Officer, said: “Captor successfully completed the first European IPO of a company specialized in drug discovery using TPD, and the largest in the biotechnology sector on the Warsaw Stock Exchange. The IPO was significantly oversubscribed and finally raised PLN 150 million (almost US$ 40 million), contributing to our strong cash position of PLN 140 million at the end of June, which should fully fund Captor in the medium term.”
H1 2021 Operational Highlights
- Tom Shepherd was appointed as Chief Executive Officer on in January 2021, after having been named Chief Business Officer in 2019. Dr. Shepherd has over 30 years of experience in biotech senior management positions in the US and Europe, leading multiple major licensing agreements and investment rounds. He holds a PhD in Biochemistry from Strathclyde University, Glasgow
- Tom Shepherd was also appointed by the Supervisory Board as the President of the Management Board from January 20, 2021
- Radosław Krawczyk was appointed Chief Financial Officer and Member of the Management Board. Mr. Krawczyk is experienced in corporate finance and investor relations, and is very familiar with the Warsaw Stock Exchange. He replaces Aleksandra Skibińska, who stepped down from her position as CFO and Member of the Management Board on June 21, 2021.
- On March 17, 2021, Maciej Wróblewski was appointed to the Supervisory Board following Luc Otten's resignation from his position as a Member of the Supervisory Board on January 7, 2021
- As of 30 June, 2021, expansion of the international scientific team to over 70 scientific specialists with 84 FTEs in total.
- The R&D work to further develop the company’s five basic research projects in oncology and autoimmune indications is successfully ongoing
- Significant increase in the TPD focused drug discovery capabilities at the laboratories in Wroclaw. The company made a number of investments, the most significant of which was the equipment investment in the newly established proteomics laboratory of over PLN 4 million
- Start of laboratory work in January 2021 in the collaboration with the Japanese company Sosei Heptares focused on discovery and development of novel small molecules that target the degradation of disease-associated G protein-coupled receptors (GPCRs)
H1 2021 Financial Highlights
- Successful IPO with first listing date on April 19, 2021 on Warsaw Stock Exchange, with 871,500 newly issued shares and raising ca. USD 40 m (PLN 150 m). The offering was several times oversubscribed due to high demand from retail and institutional investors
- Cash and cash equivalents position of PLN 140 m at the end of June 2021
- In addition to the cash position, Captor has secured Almost PLN 108 m in non-dilutive funding in agreements signed with the Polish NCBR
Post Period Events
- Release of additional preclinical data regarding the CT-03 pipeline program. The lead chemical series is being developed in hematological, lung and breast cancers
- Myeloid Leukaemia Cell Differentiation Protein (MCL-1) was publicly announced as the drug target of CT-03
Business Review and Outlook
Over the past six months, the Company continued its R&D efforts on the development of five research projects, with significant progress made to date and remaining on track to initiate its first clinical trials in 2023. This substantial progress also allowed the Company to announce that CT-03 would be developed to treat indications in hematological cancers, lung and breast cancers. Captor also disclosed its first target, stating that CT-03 was targeting MCL-1, a protein expressed across a wide range of cancers and associated with tumor cells escaping apoptosis and serving as a pro-surviving signal. Up to now, MCL-1 could not be addressed by classical drug development approaches and there are currently no approved drugs on the market. MCL-1 is therefore a highly attractive target with sound and powerful scientific rational to degrade this protein. Captor aims to initiate clinical trials with CT-03 in 2023.
The Company, in partnership with Japanese company Sosei Heptares, also continued to work on the discovery and development of novel small molecules that target the degradation of disease-associated GPCRs. This activity is in line with the business model adopted by the Company, in which partnerships with other biopharmaceutical entities are a key element that allows the Company to accelerate its development and mitigate operational risks.
Captor's successful IPO and the strengthening of its leadership and scientific teams mark the next stage of development for the Company. Captor is focused on advancing its drug pipeline through preclinical development, taking the most advanced projects to initial clinical phase and expanding its portfolio of intellectual property. The Company will also continue to expand the capabilities of its TPD laboratories in Wroclaw and its business presence in Basel, Switzerland.
In H1 2021, Captor generated ca. PLN 1.5m in revenues, generated from its partnership with Sosei Heptares, compared to no revenues generated over the same period last year. Cash outflow was also mitigated by PLN 9.8m received in grants and donation, down 30% over the same period last year.
Operating costs in H1 2021 were up 31% over H1 2020, to PLN 22.2m, the growth being primarily driven by an increase in employee costs as the company expanded its operations in Poland and Switzerland as well as costs associated with the IPO. A large part of this increase was in the form of non-cash employee share incentive program related costs.
These revenues generations and costs led Captor Therapeutics to report PLN12.8m in Net Loss, or PLN 3.10 loss per share in H1 2021.
Operating Cash Flow was an outflow of PLN 15.1m, more than compensated by a Net Financing Cash Flow of PLN 144.5m, mostly driven by the net proceeds of the Initial Public Offering that occurred in H1 2021, leading Captor Therapeutics to end H1 2021 with PLN 140m in Cash and Cash equivalents.
About Captor Therapeutics
Captor Therapeutics is a biopharmaceutical company focused on leveraging Targeted Protein Degradation (TPD) technology to discover and develop breakthrough drug candidates in diseases with high unmet medical needs. TPD is a revolutionary approach to developing new drugs that can address novel molecular targets which are deemed “undruggable” with classical drug development approaches, as well as providing additional treatment options for diseases where existing drugs fail to provide optimal medical benefit. Captor is currently developing therapeutics for undertreated severe conditions, including malignancies and autoimmune diseases.
More information on Captor Therapeutics is available at: http://www.captortherapeutics.com
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