Currency in EUR
Last close As at 08/06/2023
EUR0.07
— 0.00 (0.00%)
Market capitalisation
EUR10m
Research: Healthcare
Pixium on 6 July reported that it has raised €7.3m through its shareholder rights offering initiative. The subscription rate was >94% and 14.68m new shares have been issued on 8 July at a subscription price of €0.50/share, resulting in €7.3m in gross proceeds. This financing round should enable Pixium to start the PRIMAvera pivotal study on Prima, which we expect will begin recruitment in H121. We estimate Pixium’s cash on hand should now extend its cash runway into Q421. Our enterprise value of €105.9m is unchanged but our equity value per share (inclusive of net cash) decreases to €2.73 (from €3.95 previously) as the cash proceeds from the offering are offset by a ~54% increase in shares outstanding.
Pixium Vision |
€7.3m capital increase completed |
Financing update |
Healthcare equipment |
9 July 2020 |
Share price performance
Business description
Next events
Analysts
Pixium Vision is a research client of Edison Investment Research Limited |
Pixium on 6 July reported that it has raised €7.3m through its shareholder rights offering initiative. The subscription rate was >94% and 14.68m new shares have been issued on 8 July at a subscription price of €0.50/share, resulting in €7.3m in gross proceeds. This financing round should enable Pixium to start the PRIMAvera pivotal study on Prima, which we expect will begin recruitment in H121. We estimate Pixium’s cash on hand should now extend its cash runway into Q421. Our enterprise value of €105.9m is unchanged but our equity value per share (inclusive of net cash) decreases to €2.73 (from €3.95 previously) as the cash proceeds from the offering are offset by a ~54% increase in shares outstanding.
Year end |
Revenue (€m) |
PBT* |
EPS* |
DPS |
P/E |
Yield |
12/18 |
1.6 |
(7.7) |
(0.42) |
0.0 |
N/A |
N/A |
12/19 |
1.8 |
(9.8) |
(0.44) |
0.0 |
N/A |
N/A |
12/20e |
1.7 |
(8.1) |
(0.26) |
0.0 |
N/A |
N/A |
12/21e |
1.6 |
(11.0) |
(0.26) |
0.0 |
N/A |
N/A |
Note: *PBT and EPS are normalised, excluding amortisation of acquired intangibles, exceptional items and share-based payments.
Pivotal study on track to start in H121
Pixium intends to file a regulatory submission in H220 with at least the European regulators for approval to start the PRIMAvera pivotal study. We expect this registration-enabling study will start in H121 and could lead to EU commercialisation in H223. Pixium remains in discussions to explore the possibility of conducting this study in parallel in Europe and the US, which if accepted by the FDA could lead to a US launch earlier than our baseline estimate of H225.
Financial runway extended into Q421
We now estimate Pixium’s pro-forma gross cash at mid-2020 (after including rights offering proceeds) at €15.5m (net cash estimated at €8.1m, assuming €7.4m H120 gross debt excluding lease liabilities). Given our unchanged assumptions of H220 and 2021 operating cash burn rates (excluding net interest) of €4.4m and €9.9m, respectively, we believe Pixium has sufficient cash on hand to fund its operations into Q421. Given the €7.3m in gross proceeds from the rights offering, we now assume that Pixium will need to raise €37.5m (from €45m previously) in funds between mid-2020 and year end 2023, modelled as illustrative debt, to bring Prima to commercial launch. We expect that part of this requirement will be fulfilled using the remaining (or unused) €6.25m in tranches from the ESGO funding facility. Altogether, we now model that Pixium will raise €2.5m in H220 (from €10m previously), €12.5m in both 2021 and 2022, and €10m in 2023.
Valuation: Unchanged €105.9m rNPV
Our pipeline rNPV (enterprise value) of €105.9m is unchanged but our equity value (inclusive of €8.1m pro forma H120e net cash) has increased to €114.0m following the capital increase (vs €106.7m previously). Given the increase in shares outstanding, our equity value per share is now €2.73 (from €3.95 previously).
Exhibit 1: Financial summary
€000s |
2017 |
2018 |
2019 |
2020e |
2021e |
2022e |
||
Year end 31 December |
IFRS |
IFRS |
IFRS |
IFRS |
IFRS |
IFRS |
||
PROFIT & LOSS |
||||||||
Revenue |
|
|
2,535 |
1,598 |
1,782 |
1,700 |
1,600 |
1,600 |
Cost of Sales |
(1,124) |
(41) |
0 |
0 |
0 |
0 |
||
General & Administrative |
(5,324) |
(2,019) |
(3,815) |
(2,900) |
(2,973) |
(3,847) |
||
Research & Development |
(7,817) |
(5,297) |
(6,320) |
(6,000) |
(8,000) |
(10,400) |
||
EBITDA |
|
|
(11,731) |
(5,758) |
(8,352) |
(7,200) |
(9,373) |
(12,647) |
Depreciation |
(936) |
(677) |
(448) |
(449) |
(531) |
(639) |
||
Amortization |
0 |
0 |
0 |
0 |
0 |
0 |
||
Operating Profit (before exceptionals) |
|
(12,666) |
(6,435) |
(8,801) |
(7,649) |
(9,903) |
(13,286) |
|
Exceptionals |
0 |
(5,859) |
(69) |
0 |
0 |
0 |
||
Other |
0 |
0 |
0 |
0 |
0 |
0 |
||
Operating Profit |
(12,666) |
(12,294) |
(8,870) |
(7,649) |
(9,903) |
(13,286) |
||
Net Interest |
(876) |
(1,277) |
(1,006) |
(450) |
(1,121) |
(2,187) |
||
Profit Before Tax (norm) |
|
|
(13,542) |
(7,712) |
(9,806) |
(8,099) |
(11,025) |
(15,473) |
Profit Before Tax (FRS 3) |
|
|
(13,542) |
(13,571) |
(9,876) |
(8,099) |
(11,025) |
(15,473) |
Tax |
0 |
0 |
0 |
0 |
0 |
0 |
||
Profit After Tax and minority interests (norm) |
(13,542) |
(7,712) |
(9,806) |
(8,099) |
(11,025) |
(15,473) |
||
Profit After Tax and minority interests (FRS 3) |
(13,542) |
(13,571) |
(9,876) |
(8,099) |
(11,025) |
(15,473) |
||
Average Number of Shares Outstanding (m) |
13.3 |
18.5 |
22.3 |
30.7 |
42.0 |
42.5 |
||
EPS - normalised (€) |
|
|
(1.02) |
(0.42) |
(0.44) |
(0.26) |
(0.26) |
(0.36) |
EPS - normalised and fully diluted (€) |
|
(1.02) |
(0.42) |
(0.44) |
(0.26) |
(0.26) |
(0.36) |
|
EPS - (IFRS) (€) |
|
|
(1.02) |
(0.73) |
(0.44) |
(0.26) |
(0.26) |
(0.36) |
Dividend per share (€) |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
0.0 |
||
BALANCE SHEET |
||||||||
Fixed Assets |
|
|
9,649 |
3,666 |
4,507 |
4,457 |
4,151 |
3,555 |
Intangible Assets |
7,680 |
2,623 |
2,361 |
2,361 |
2,361 |
2,361 |
||
Tangible Assets |
1,970 |
1,042 |
2,145 |
2,096 |
1,789 |
1,194 |
||
Current Assets |
|
|
14,241 |
17,756 |
9,107 |
15,528 |
16,853 |
14,869 |
Cash |
10,532 |
15,629 |
6,792 |
13,218 |
14,455 |
12,471 |
||
Other |
3,710 |
2,126 |
2,316 |
2,310 |
2,398 |
2,398 |
||
Current Liabilities |
|
|
(2,752) |
(2,044) |
(2,880) |
(2,880) |
(2,037) |
(2,037) |
Creditors |
(2,752) |
(2,044) |
(2,880) |
(2,880) |
(2,037) |
(2,037) |
||
Short term borrowings |
0 |
0 |
0 |
0 |
0 |
0 |
||
Long Term Liabilities |
|
|
(9,302) |
(8,023) |
(7,033) |
(11,193) |
(23,693) |
(36,193) |
Long term borrowings |
(9,130) |
(7,870) |
(5,787) |
(9,947) |
(22,447) |
(34,947) |
||
Other long term liabilities |
(172) |
(153) |
(1,246) |
(1,246) |
(1,246) |
(1,246) |
||
Net Assets |
|
|
11,836 |
11,355 |
3,700 |
5,912 |
(4,727) |
(19,807) |
CASH FLOW |
||||||||
Operating Cash Flow |
|
|
(10,605) |
(6,174) |
(7,282) |
(6,816) |
(9,917) |
(12,253) |
Net Interest |
(876) |
(1,277) |
(1,006) |
(450) |
(1,121) |
(2,187) |
||
Tax |
0 |
0 |
0 |
0 |
0 |
0 |
||
Capex |
(191) |
(31) |
(34) |
(400) |
(224) |
(44) |
||
Acquisitions/disposals |
0 |
0 |
0 |
0 |
0 |
0 |
||
Financing |
519 |
14,068 |
2,034 |
9,932 |
0 |
0 |
||
Net Cash Flow |
(11,153) |
6,587 |
(6,288) |
2,266 |
(11,263) |
(14,484) |
||
Opening net debt/(cash) |
|
|
(12,911) |
(1,401) |
(7,760) |
(1,004) |
(3,271) |
7,992 |
Other |
(357) |
(228) |
(468) |
0 |
0 |
(0) |
||
Closing net debt/(cash) |
|
|
(1,401) |
(7,760) |
(1,004) |
(3,271) |
7,992 |
22,476 |
Lease debt |
N/A |
N/A |
1,346 |
1,346 |
1,346 |
1,346 |
||
Closing net debt/(cash) inclusive of IFRS 16 lease debt |
(1,401) |
(7,760) |
342 |
(1,925) |
9,338 |
23,822 |
Source: Company accounts, Edison Investment Research
|
|
Research: Healthcare
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