Admedus Limited's (ASX: AHZ) therapeutic Human Papilloma Virus (HPV) vaccine has met with outstanding success in pre-clinical studies which showed it prevented disease progression and inhibited tumour formation.
The vaccine will now be progressed into a Phase Ib clinical studies.
The HPV Vaccine is designed to target and clear HPV-positive tumour cells and has shown exceptional preclinical activity in a series of preclinical models.
Lee Rodne, CEO of Admedus said: “The latest preclinical data from the HPV studies is extremely exciting and clearly shows the potential of the technology.
“We now look forward to taking this programme into clinical studies.”
In the TC-1 tumour model, treatment with the HPV vaccine achieved 100% survival and 87.5% (7 of 8) had no detectable tumours after 50 days.
In addition, the vaccine provided 100% protection against HPV-positive tumour cell formation, as disclosed previously.
In a similar study, Mkrtichyan et al 2013 published paper showed that following treatment with ADXS-HPV vaccine, none survived beyond day 45. With the addition of the anti-PD-1 antibody, an overall survival rate of 20% after 50 days was achieved.
“The HPV vaccine programme has progressed well and shown some very positive data,” said Professor Ian Frazer.
The Admedus Group is progressing the HPV therapeutic vaccine into a Phase Ib study in patients infected with HPV.
Admedus owns a major interest in Admedus Vaccines which is developing the next generation of vaccines with a Brisbane-based research group lead by Professor Ian Frazer.
The vaccine programmes target disease with significant global potential, such as Herpes and Human Papillomavirus.
Analysis
Today's news provides a strong platform to advance the HPV vaccine to Phase Ib clinical studies.
Over the last twelve months Admedus has increased its holding in Ian Frazer's vaccines from 50.1% to 66.3%. The Phase Ib clinical trial is a catalyst for share price growth.
Commercialising a pipeline of next generation vaccines including immunotherapies with Professor Ian Frazer’s team provide revenue upside as well as add significant value drivers over the next 12 –36 months.
The growth in revenues from CardioCell sales underpin the company, and upside potential from the HPV and HSV vaccines are global in scale and potential revenues.
This market capitalisation of Admedus of circa $160 million (of which $14.4 million is cash) severely discounts and understates the current worth and our valuation of the businesses.
Often unsaid but one of the strengths of Admedus is the management team. Evidence of this is the company’s record in meeting milestones in 2013/14 and the use of invested capital.
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