Medlab Clinical

AU: MDC

Market CapAU$27m

Last Close AU$0.08

Based in Australia, Medlab Clinical is developing therapeutics using its proprietary delivery platform NanoCelle. Its most advanced programme is in cancer pain management with lead drug candidate NanaBis, a medicinal cannabis product for cancer-related bone pain. It is also developing a synthetic THC/CBD analogy of NanaBis.

Investment summary

Medlab’s proprietary platform, NanoCelle, is a patented nanomicellar formulation that can improve the delivery of drugs. Medlab’s lead product is NanaBis, a combination of THC and CBD (1:1) cannabinoids encapsulated in NanoCelle particles, which enable a convenient buccal spray formulation. A recent breakthrough was Medlab’s announcement that it had successfully produced a synthetic version of NanaBis, which will allow it to move away from a botanical extract. Once the product reformulation is completed, NanaBis will re-enter clinical development (potentially Phase III) as a fully synthetic, non-opioid pain relief drug aimed at a vast market. Using NanoCelle delivery technology, Medlab is also expanding beyond cannabinoids and is pursuing several small and large molecule programmes (including a non-invasive mRNA COVID-19 vaccine).

Y/E Jun	Revenue (A$m)	EBITDA (A$m)	PBT (A$m)	EPS (c)	P/E (x)	P/CF (x)
2020A	5.8	(12.3)	(13.5)	(5.9)	N/A	N/A
2021A	8.1	(11.4)	(12.4)	(4.2)	N/A	N/A
2022E	8.0	(11.7)	(12.7)	(3.7)	N/A	N/A
2023E	10.4	(9.9)	(11.0)	(3.2)	N/A	N/A

Industry outlook

There is a growing consensus in the medical community that medicinal cannabis has a place in chronic pain management. With the opioid crisis unravelling, we believe support for non-opioid pain killers from various stakeholders will only grow.

Last updated on 23/05/2022