Redx Pharma PLC (LON:REDX) has said its current cash runway provides the group with the ability to deliver multiple inflexion points by the end of next year.
The drug developer, which has one candidate in the clinic and another set to undergo a phase I study, had over £48mln in the bank as of the end of last year.
Results from a first in man study of RXC004, a potentially best-in-class porcupine inhibitor targeting solid tumours, are expected by the middle of this year. RXC007, for fibrosis, is set to enter phase I in the first half.
"Key milestones lie ahead of us in the coming months," said chief executive Lisa Anson.
The update was provided alongside results for the year ended September 30, 2020 – a transformational 12 months for the company.
In the period, Redx licensed RXC006, its preclinical stage porcupine inhibitor programme to AstraZeneca in return for £12.4mln in early payments and £262mln in deferred ‘milestones’ and royalties.
It also inked a two-target research collaboration with Jazz Pharmaceuticals, with £7.3mln received on signing and a further £7.3mln due in the second year of the collaboration.
Redx ended the period with £27.5mln on its balance sheet, supported by funding from life sciences investors.
This was supplemented by a placing and open offer of stock in December, which left it with £48.2mln at the end of 2020. This provides funding out to the final quarter of 2022.
“2020 was a transformational year for the company,” said chairman Iain Ross in the results statement.
“Redx has overcome the common industry challenge of funding and has ended the period with a strong balance sheet and the backing of new specialist life science investors.”
Revenues for the period were £5.7mln, and the annual loss was £9.2mln.