Over 3 years ago, Starpharma did a capital raising at $1.50 to raise $50m, which to be honest, was probably the single best thing this company has ever done. (Even though institutional shareholders would disagree having seen their investment tank to 12 cents)
Importantly though, part of the justification for this raising, in the company’s own words was to expedite the pipeline development of new DEP candidates. But in over 3.5 years, ZERO new drugs have entered the clinic. That is an abysmal indictment on the company.
I am still intrigued as to exactly what happened at the 11th hour that stopped DEP- Gemcitabine going into the clinic. I wonder who on the board raised concerns and why?
Posters have said that at the 2022 AGM, shareholders were told the decision was in part to conserve cash. Well since then, the cash balance has dropped significantly. In addition, AstraZeneca have terminated two partnered trials, revenue from VivaGel BV and Viraleze have collapsed, and IMO future licence deals for the 3 internal DEP are looking doubtful.
So how and possibly when is DEP-Gemcitabine going to go into the clinic? Maybe it won’t at all. Undoubtedly all the current and on-hold programs are part of a review by the new CEO. Only 20 days until we get a CEO update if she is to be believed.
The DEP-Gemcitabine timeline (all ASX announcements) for those unfamiliar:
Jul 2022: Manufacture of product is now complete. Preparations for trial commencement are well advanced.
Aug 2022: Preparations for trial commencement are well advanced. CRO and site selection processes, regulatory and ethics preparations nearing completion.
Oct 2022: Other internal preclinical DEP programs (including DEP gemcitabine) continue to progress.
Nov 2022: At the AGM we are told it’s not going ahead!!
P.S. This type of thing does little for the credibility and reliability of the company. However, to be honest I think it may have been a good thing if members of the BoD said hold on, no, let’s not commit to another cash-draining and endless DEP fishing expedition with everything else going on.
Reasoned opinions welcome…
SPL Price at posting:
15.0¢ Sentiment: Sell Disclosure: Not Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)