Kazia Therapeutics

AU: KZA

Market CapAU$193.5m

Last Close AU$1.41

Kazia Therapeutics’ lead asset is paxalisib, a PI3K inhibitor licensed from Genentech that can cross the BBB. It is entering a pivotal study for GBM and is being investigated for other brain cancers such as breast cancer brain metastases.

Investment summary

Kazia is developing the anti-cancer compound paxalisib (GDC-0084) for glioblastoma (GBM) multiforme. Paxalisib is a PI3K inhibitor, a well understood class with activity across a wide range of tumor types and multiple previously approved drugs. Paxalisib, unlike other drugs of this class, can cross the blood brain barrier (BBB), opening the potential to treat cancers of the brain. The pivotal GBM AGILE study is currently enrolling patients. The second product candidate is EVT801, a novel small molecule inhibitor VEGFR3 with a Phase I expected to begin enrollment by the end of the year.

Y/E Jun	Revenue (A$m)	EBITDA (A$m)	PBT (A$m)	EPS (fd) (c)	P/E (x)	P/CF (x)
2020A	1.1	(10.8)	(10.8)	(14.19)	N/A	N/A
2021A	15.2	(4.4)	(4.4)	(3.62)	N/A	N/A
2022E	2.2	(16.3)	(16.3)	(11.53)	N/A	N/A
2023E	2.1	(15.2)	(15.2)	(10.25)	N/A	N/A

Industry outlook

GBM is the most common primary cancer of the brain with 11,500 new cases reported in the United States per year. There are very limited treatment options for GBM and there is a very low survival rate. Paxalisib is currently being developed for use in the adjuvant setting after initial resection and radiation treatment. EVT801 will target the multi billion angiogenesis cancer market.

Last updated on 24/11/2020