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Pharma & Biotech

Destiny Pharma focus on partnership plans for key asset

Destiny Pharma PLC (AIM:DEST, OTC:DTTYF) said it will focus on finding a partner for lead asset XF-73 nasal and maximising its potential while developing its second key asset, NTCD-M3, in collaboration with Sebela Pharmaceuticals.

The clinical-stage biotechnology company focusing on anti-infectives provided an update on its strategy alongside its interim results.

Destiny has a partnership deal for NTCD-M3 with Sebela Pharmaceuticals worth up to £461 million (US$570 million).

Under the terms of this agreement, Sebela will finance the North American development and commercialisation of the C. difficile treatment.

Destiny has received an £809,000 ($1 million) upfront payment from its partner, boosting cash and short-term deposits to £9.8 million as of 30 June and the company is funded through to the first quarter of 2025 following a £7.3 million fundraiser earlier this year.

Expenditure on research and development during the period was £1.9 million. This contributed to an operating loss of £3.2 million for the six months to end June.

Chief executive Chris Tovey told investors: "Destiny's priorities remain the partnering of our XF-73 nasal asset, as we look to maximise the substantial market potential for this product, whilst progressing NTCD-M3 to commencement of clinical studies in collaboration with our partner, Sebela Pharmaceuticals."

Recent research suggested there is a potential US$2 billion global market for a drug such as XF-73 nasal, a gel designed to prevent post-operative infections, which is ready to move into phase III clinical trials.

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