Commissioned Research: A1M Pharma

A1M Pharma has commissioned Nordea Markets to produce a research report with the aim of providing investors with quality research on the company.

Institutional & Private investors need quality research, which should be balanced, insightful, timely, readable and financially rigorous, and should also be made readily available.

A1M Pharma is a preclinical stage biotech company focused on establishing a treatment platform with ROSgard, a recombinant version of the endogenous A1M protein. The protein fulfils various important bodily functions, including working as a protector against free haemoglobin, an antioxidant, as a radical inhibitor and as a tissue‐repair agent. It can thus potentially be used in multiple therapeutic and diagnostic settings. The company currently targets two indications: kidney protection in radiation therapy (PRRT) and pre‐eclampsia (toxaemia in pregnancy), two areas with unmet medical needs. In 2018 the company is expected to enter a new phase, as it starts clinical trials with its product candidate ROSgard after the timely execution of the preclinical development plan.

On the verge of entering a new phase

Marketing material commissioned by A1M Pharma

Emerging from research project to treatment platform
A1M Pharma is a preclinical stage biotech company focused on establishing a treatment platform with ROSgard, a recombinant version of the endogenous A1M protein. The protein fulfils various important bodily functions, including working as a protector against free haemoglobin, an antioxidant, as a radical inhibitor and as a tissue‐repair agent. It can thus potentially be used in multiple therapeutic and diagnostic settings.

Biological drug based on an endogenous protein
As ROSgard is a biological drug based on the endogenous A1M protein, it could mitigate the risk of safety issues in the coming clinical trials. In a preclinical setting, A1M Pharma has so far been able to demonstrate a solid safety profile in different animal models. It also has an extensive scientific foundation built on more than 40 years of university research on the A1M protein.

Clinical trials to commence in 2018
The company currently targets two indications: kidney protection in radiation therapy (PRRT) and pre‐eclampsia (toxaemia in pregnancy), two areas with unmet medical needs. We estimate the market opportunity within PRRT in the range of USD 560m‐1,960m and pre‐eclampsia at USD 1,200m‐3,200m. ROSgard should enter an adaptive phase I/II study in PRRT in 2018 followed by studies in pre‐eclampsia in H2 2019. We see a need for additional financing to finalise the PRRT study, the amount and timing depending on outstanding warrants and potential strategic partnerships.

Valuation
Based on our fundamental DCF approach, with variations in sales growth, EBIT margin and WACC assumptions, we derive an equity value per share of SEK 11.0 to SEK 28.0.

For the investor that is interested in A1 Pharma, we provide the full downloadable report here.

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