Hyloris FIRST LOOK: Collaboration with AFT to develop HY-094 for iron deficiency

Hyloris entered into a late-stage research and development program in collaboration with AFT to introduce an injectable iron deficiency therapy (HY-094) to the global market – development costs and net margin from sales and licensing will be distributed equally. This announcement brings a new later stage product to the company's pipeline, for which Hyloris expects phase 3 development to start in the near-term. Given the size of the market, we expect this will be a high volume product and Hyloris will need to find a commercialisation partner with a large footprint. We note that Hyloris previously stated that its YE24 cash position of € 23.6m is sufficient to fund its existing pipeline prior to this announcement, and we'd be keen to learn how the company plans to fund this new pipeline addition, for which costs are expected to be within € 7m. We reiterate our € 5 TP and Hold rating.