The market cap of antisense therapeutics is currently 23M $. Compared to companies in the same field such as Benitec ($BNIKF) with a market cap of 150M $ and the progression of the pipeline of antisense therapeutics, this company is significantly undervalued. Two compounds (ATL1102 and ATL1103) have already successful passed the Phase I trail and are currently in Phase 2 (ATL1102 is used for multiple indications and has only been in Phase 2 for Multiple Sclerosis). Furthermore, ATL1102 is in preclinical development for treatment of Asthma and ATL1101 is currently also in preclinical development. Benitec has a broader portfolio and has partnered with better know companies, however, Benitec is still in Phase 1 trials compared to Antisense Therapeutics. Thus my investment thesis is to consider this company fairly valued at a Market cap around 75M $, which is a conservative approach. Consequently I am expecting the price per share to increase to ~0.40AUD $ by the end of 2014
Given the partnership with one of the leaders in the field of RNA therapeutics ($ISIS) this company has significant upside potential over the next year(s) and I personally consider this as a long term investment."
