Last close As at 05/08/2026
EUR3.26
▲ 0.05 (1.56%)
Market capitalisation
EUR77m
Research: Healthcare
OSE Immunotherapeutics has announced a considerable expansion of its partnership with Boehringer Ingelheim (BI), including the start of two new projects. The first project aims to broaden the scope of BI 765063 and BI 770371 (two immuno-oncology anti-SIRPα monoclonal antibodies (mAbs) being evaluated as part of the initial collaboration and licence agreement), by investigating the candidates in cardiovascular-renal-metabolic (CRM) diseases. The second project will be a new preclinical program to develop immune-cell activating treatments based on OSE’s cis-targeting anti-PD1/cytokine platform. Under the new collaboration terms, OSE will receive an initial payment of €38.8m, comprising a one-time partial royalty buy-out of €25.3m for the BI 765063 and BI 770371 programs, and a €13.5m upfront payment for the new preclinical program. Additionally, OSE could also receive a €17.5m near-term milestone payment for the new preclinical project. We view the announced expansion as especially encouraging in light of the challenging funding environment. OSE’s share price increased by c 15% on 22 May following the announcement.
OSE Immunotherapeutics |
Another partnership win – Boehringer Ingelheim |
Partnership update |
Pharma and biotech |
23 May 2024 |
Share price performance
Business description
Analysts
OSE Immunotherapeutics is a research client of Edison Investment Research Limited |
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OSE Immunotherapeutics has announced a considerable expansion of its partnership with Boehringer Ingelheim (BI), including the start of two new projects. The first project aims to broaden the scope of BI 765063 and BI 770371 (two immuno-oncology anti-SIRPα monoclonal antibodies (mAbs) being evaluated as part of the initial collaboration and licence agreement), by investigating the candidates in cardiovascular-renal-metabolic (CRM) diseases. The second project will be a new preclinical program to develop immune-cell activating treatments based on OSE’s cis-targeting anti-PD1/cytokine platform. Under the new collaboration terms, OSE will receive an initial payment of €38.8m, comprising a one-time partial royalty buy-out of €25.3m for the BI 765063 and BI 770371 programs, and a €13.5m upfront payment for the new preclinical program. Additionally, OSE could also receive a €17.5m near-term milestone payment for the new preclinical project. We view the announced expansion as especially encouraging in light of the challenging funding environment. OSE’s share price increased by c 15% on 22 May following the announcement.
Year |
Revenue |
PBT* |
EPS* |
DPS |
P/E |
Yield |
12/22 |
18.3 |
(18.0) |
(0.96) |
0.0 |
N/A |
N/A |
12/23 |
2.2 |
(23.2) |
(1.18) |
0.0 |
N/A |
N/A |
12/24e |
56.9 |
25.3 |
1.15 |
0.0 |
7.2 |
N/A |
12/25e |
65.5 |
33.7 |
1.49 |
0.0 |
5.6 |
N/A |
Note: *PBT and EPS are normalised, excluding amortisation of acquired intangibles, exceptional items and share-based payments.
According to the announcement, the existing collaboration between OSE and BI has grown to include two new projects to develop first-in-class treatments in addition to the ongoing anti-SIRPα mAb immuno-oncology programs. The first new project is focused on BI 765063 and BI 770371, which are currently being assessed in Phase I trials for advanced solid tumours. This new project will explore the potential of these candidates in CRM diseases, a collection of interconnected indications relating to cardiovascular disease, chronic kidney disease and metabolic diseases such as type 2 diabetes, which are believed to exacerbate one another from the early stages of onset. Given the high prevalence of these conditions, we believe there is a sizeable opportunity in this space; BI intends to launch a Phase II trial by end-2024. The second project will focus on a new preclinical program to advance OSE’s cis-targeting anti-PD1/cytokine platform through an asset acquisition intended to bolster BI’s pipeline of novel immune-modulatory cancer candidates.
BI will pay OSE €25.3m as a one-time payment to expand the deal terms for the BI 765063 and BI 770371 programs. Furthermore, BI has the option for an additional buyout, which would trigger an additional one-time payment to OSE, and increase one of the sales milestones. For the new program for immune-cell activating treatments based on the cis-targeting anti-PD1/cytokine platform, BI will pay €13.5m upfront to acquire the preclinical asset, and OSE may be entitled to a further €17.5m in near-term milestone payments (specific terms and eligibility thresholds were not disclosed). We remind readers that the partnership between OSE and BI began in 2018, and the original terms for up to €1.1bn in development, regulatory and sales milestone payments remain in place as per the initial agreement.
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Research: Investment Companies
Worldwide Healthcare Trust’s (WWH’s) co-managers, Sven Borho and Trevor Polischuk, at global healthcare specialist OrbiMed, are bullish on the outlook for the healthcare industry. They believe that high levels of innovation will be the most important driver of the sector’s performance, although continued robust levels of product approvals and an acceleration in M&A activity are also important considerations. The managers’ successful long-term strategy of favouring emerging (smaller-cap) biotech companies over large-cap pharma companies provided an earnings headwind between early 2021 and mid-2022 as growth stocks were under pressure in a rising interest rate environment. However, performance appears to have turned a corner in recent months and it should be remembered that WWH has significantly outperformed its benchmark since launch in April 1995.