Report
Franc Gregori ...
  • Lala Gregorek
  • Philippa Gardner

Arecor Therapeutics: Growth plans starting to stack up

Arecor’s innovative and lower risk pipeline is making tangible progress; at partners where assets are under licence, and internal in-house development of the proprietary diabetes and specialty hospital programmes. The growth potential is becoming better defined as the first partnered asset approaches commercialisation. While near-term revenues will continue to include a variable milestone element, over the medium-to-longer term, income streams will be comprised of success-based milestones coupled with recurring sales-based royalties or equivalent. Upcoming catalysts include key Phase I data in Type II diabetes for AT278 (ultra-concentrated rapid insulin), anticipated milestones from partners, and the prospect of further licensing agreements for its proprietary assets as well as technology partnerships. Ahead of these catalysts our Arecor valuation remains £176m, or 575p per share.
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Trinity Delta
Trinity Delta

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Analysts
Franc Gregori

Lala Gregorek

Philippa Gardner

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