Not much discussion on the Quarterly today because it reflects activities that most would be aware of and the subsequent announcement of the granting of the Japanese patent attracted most interest.
However, I did have a close look at the Quarterly and it reinforces with me that quite apart from Cvac the early stage Oral Vaccine process currently in mouse model phase could have massive implications if successful. Further, it provides detail on the Cripto-1 mAB that is the subject of the granted Japanese patent and it seems that could have huge potential for financial benefit also. I have copied the Sections of the Quarterly that detail these issues and pasted them below.
Also, the other very relevant issue I took account of is the Quarterly cash burn. Unless one has some sort of estimates guide it is difficult to work out whether the cash burn is within expected limits or not. So I went to the Nomura report that is on Prima Biomeds website. Nomura estimated that the monthly cash burn for PRR would be about AUD$1.5mill per month translating to about $4.5mill per quarter.
I was very pleased looking at the net reduction in cash advised in the Quarterly that it was $3.527mill nearly $1mill less than the Nomura estimate. I realise that this can fluctuate in different quarters dependent on the extent of activities but the December quarter is well within Nomura's budget estimate.
I hope I have not bored you with this summary of the quarterly report. Below are the sections relative to the Cripto-1 mAB and the oral vaccine delivery process.
"Update on Research Program on Oral Delivery System for cervical cancer vaccines
In December the Company provided updates on two of its other clinical programs.
The first was an update on its research program to develop an oral delivery system for cervical cancer vaccines. Prima announced in November 2009 that it had engaged University of New South Wales (UNSW) and University of Queensland (UQ) to undertake a research program to develop an oral delivery system for vaccines for cervical cancer.
The Company’s research program has progressed to the testing of various formulations of a nanoparticle oral vaccine delivery system in a mouse model. Work carried out to date has shown that a coated nanoparticle protein delivery system is feasible and can be administered safely in a mouse model.
In 2012, the UNSW and UQ laboratory teams will work to determine which oral formulation best delivers an immunogenic dose of protein to the lower gastrointestinal tract.This collaborative work will be supported, in part, by a competitive Australian Research Council (ARC)grant. Such grants are determined on the merit of the research and are highly sought after and regarded by the academic community.
The development of an oral delivery system for cervical cancer vaccines is potentially a major breakthrough in drug delivery for cervical cancer treatment as it would provide a suitable large scale alternative method of drug delivery to injection, which is currently the prime method of delivery.
...Update on Cripto-1 immunotherapy cancer treatment program:
During the quarter, Prima also updated the market on its pre-clinical testwork on the Cripto-1 cancer monoclonal antibody (mAB) cancer treatment.
The Company has a licensing agreement for the development of a Cripto-1 mAB with leading Dutch antibody development company Bioceros (see ASX announcement, 17 August 2010).
The development program for a Cripto-1 mAB is progressing well, with several hybrid mAB’s having been synthesized from hybridoma cell lines. The lead mAB’s that have been synthesized bind to Cripto-1 positive MCF-7 breast cancer cell lines. The search continues for the most active humanized IgM or IgG mAB against the target, and will be the focus of work to be conducted in 2012.
Cripto-1 is a protein found in high levels on the surface of a number of different types of malignant tumor cells. It facilitates growth of the tumor cells, and contributes to their spreading throughout the body. The antibody works by binding to the Cripto-1 molecule interfering with local development of the tumor, and preventing distant seeding of tumor cells.
The antibody may be administered in combination with cytotoxic drugs (chemotherapy drugs) to create an even more lethal potent additive effect on tumor cell destruction.
There is a large global market for mAB treatments. According to leading pharmaceutical industry research group, GBI Pharmaceutical Research, the global mAB market was worth US$46.8 billion in sales, in 2010.
PRR Price at posting:
15.3¢ Sentiment: Buy Disclosure: Held
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