What the company does
Specifically, its technology detects evidence of the body’s natural response to cancer, enabling detection four years or more before standard clinical diagnosis.
Founded in 2002, it launched its platform technology in 2009, followed by its first commercial tests – EarlyCDT-Lung and EarlyCDT-Liver.
EarlyCDT-Lung was used in the largest-ever trial for the early detection of lung cancer using biomarkers – the National Health Service’s Early Cancer Detection Test-Lung Cancer Scotland (ECLS) study of 12,210 high-risk smokers in Scotland.
Oncimmune also develops precision medicine and patient tools that allow doctors to place people being treated for cancer and autoimmune diseases into certain patient sub-groups, a process called stratification.
How it is doing
The firm has clinched a five-year US$28mln partnership with Biodesix Inc to sell its EarlyCDT lung test as as Notify Lung for use by doctors in identifying nodules at high risk of lung cancer.
It will be offered in the US, the world’s largest healthcare market, alongside Biodesix’s Notify XL2 product via a national sales force plugged directly into pulmonologists and, corporately, into national hospital systems.
As would be expected of a company in the formative stages of commercial development, Oncimmune was loss-making. The comprehensive loss for the six months to November 30 was just under £5.8mln. Revenues of £310,000 were almost three times those of a year ago. As at the period-end, the firm had just over £7.5mln in cash.
What the boss says: Adam Hill, chief executive
“We look forward to the commercial rollout of EarlyCDT Lung in several markets, including the US, in 2020 to further expand the reach of our technology to patients.”
“With multiple late-stage negotiations underway and a strong conviction in the vital importance of our technology, we have growing confidence in the business to further change patients’ lives and deliver growth.”
- In January, Oncimmune joined a consortium of leading companies, charities and academics researching the early detection of liver cancer brought together by the Oxford Centre for Early Cancer Detection (OxCODE)
- A report has showed the EarlyCDT Lung product is more cost-effective than the current method of diagnosis – computed tomography (CT) surveillance
What the broker says
Analysts at finnCap commented: “The US is one (of) the largest addressable markets in the world, and Biodesix has a direct US national sales force who sell direct into pulmonologists and corporately into national hospital systems. Oncimmune is progressing with active discussions with NHS England partners.
“Together with the expected publication of supportive health economic data, regulatory clearance in Russia and filing in China by its partners in H1 CY 2020, this should build momentum in what is clearly an unmet market need.”
finnCap has a target price of 150p on Oncimmune.