Amplia Therapeutics (ASX:ATX) Research Update – June 2024

Arrowhead is initiating coverage on Amplia Therapeutics Limited (Amplia or ATX or the company) with a fair value bracket of AUD 0.20 to AUD 0.28 per share (share price on February 23, 2024: AUD 0.072) based on a Relative Valuation (RV) methodology.

Report Highlights:

• Amplia’s core drug, narmafotinib, is undergoing Phase 2A clinical trials to test its efficacy when used in combination with gemcitabine and Abraxane; it has begun the trial across six sites in Australia and five sites in South Korea.
• In January 2024, the company received the US Food and Drug Administration (FDA) clearance for its Investigational New Drug (IND) application that will support clinical trials for narmafotinib in combination with FOLFIRINOX, a standard-of-care treatment for pancreatic cancer used in the US and Europe.
• Amplia, in partnership with the Stupack Lab at UCSD, is conducting preclinical studies to determine the potential of narmafotinib in ovarian cancer; the initial results demonstrate better tolerance and tumor reduction compared to PARP inhibitor (Niraparib) in a mouse model of maintenance therapy.
• Amplia has received grant funding to support its research collaboration with the Commonwealth Scientific and Industrial Research Organization (CSIRO) to develop novel topical formulations of narmafotinib to reduce scarring and aid in the healing of wounds and burns.
• AMP886 inhibits Acute Myeloid Leukemia (AML) in an established disease model, where it can enhance the efficacy of venetoclax therapy.
• Narmafotinib has shown effectiveness in decelerating the advancements of fibrosis in the lungs, similar to nintedanib, a standard-of-care medicine for IPF.
• Amplia has received separate Orphan Drug Designation from the US FDA for narmafotinib in the treatment of pancreatic cancer and IPF.
• ATX has completed the capital raise of AUD 4.27mn by way of Entitlement Offer, consisting of two-for-five fully paid ordinary shares at the offer price of AUD 0.055 per share.