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Research: Healthcare
Basilea Pharmaceutica has announced that Japanese partner Asahi Kasei Therapeutics has initiated an open-label Phase II safety and pharmacokinetics study of Cresemba in paediatric patients at risk of invasive fungal infections. Cresemba has been approved for adults in Japan since December 2022 and for paediatric use in the US, Canada, Europe and China. While we expect the direct commercial opportunity from the paediatric population to be modest, we see greater relevance from a lifecycle-management perspective, potentially supporting a two-year extension of regulatory protection in Japan, to end-2032. We note that eligibility for such an extension remains to be confirmed. With the US and European franchises approaching maturity from Q427 and H228, respectively, maintaining growth and extending the commercial tail in markets such as Japan and China is becoming increasingly strategically relevant, and we see this as a positive incremental step in this direction.
| Year end | Revenue (CHFm) | EBITDA (CHFm) | PBT (CHFm) | EPS (CHF) | P/E (x) | EV/EBITDA (x) |
|---|---|---|---|---|---|---|
| 12/24 | 208.5 | 62.9 | 60.6 | 6.44 | 10.4 | 12.6 |
| 12/25 | 232.4 | 53.4 | 46.2 | 3.31 | 20.1 | 14.8 |
The Phase II study focuses on safety and pharmacokinetics rather than a controlled efficacy comparison. This is supported by the existing paediatric approvals in several major markets, which provide useful clinical precedent, although Japanese approval remains subject to successful completion of the local programme. Serious fungal infections such as invasive aspergillosis and mucormycosis can be particularly debilitating in immunocompromised children, including those with haematological malignancies or immunodeficiency disorders, while treatment options remain limited. We therefore see a credible medical rationale, although the relatively small paediatric population means that a material uplift to Japanese sales is unlikely.
The more interesting read-through, in our view, is the potential extension of regulatory protection. Japan generally provides an eight-year re-examination period for new active ingredients, with qualifying paediatric development potentially extending this by two years. Cresemba’s December 2022 Japanese approval therefore implies protection to around December 2030, with potential extension to end-2032 if the programme meets the relevant requirements. Under the licensing agreement with Asahi Kasei, Basilea is eligible for double-digit tiered royalties and up to c CHF60m in regulatory and commercial milestones. It is currently unclear whether the study initiation triggers a milestone payment to Basilea.
Strategically, this potential extension matters as the geographic mix of Cresemba
growth continues to evolve. The US and European franchises are expected to begin facing
generic competition from Q427 and H228, respectively. Japan and the broader Asian
franchise should therefore become increasingly important in supporting the product’s
longer-term royalty tail. We remind readers that Cresemba remains Basilea’s key commercial
asset, with global in-market sales of
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Research: Investment Companies
Partners Group Private Equity (PEY) has published a circular outlining details of the board’s updated proposal for a dual-share class structure (Reorganisation Proposal), which was initially announced in June 2026, and notifying investors of the upcoming extraordinary general meeting (EGM) to be held on 7 October 2026. PEY’s board proposal is intended to give shareholders seeking an exit a defined pathway to liquidity over time, while allowing longer-term investors to retain exposure to the existing strategy and supporting a narrower share price discount to NAV. The key change from the proposal announced in June is that the maximum aggregate proportion of shares that can be redesignated as Realisation Shares has been extended to 40% from 30% previously, with no scale-back mechanism. If PEY receives valid elections for Realisation Shares of more than 40% of the ordinary shares in issue (excluding treasury shares), the Reorganisation Proposal will lapse, and, subject to shareholder approval, PEY would instead proceed with a proposed alternative to realise the entire portfolio and return net proceeds over time.