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SEK435m
Research: Healthcare
Mendus has reported positive top-line data for its Phase I ALISON trial, which is evaluating lead off-the-shelf cancer vaccine, vididencel, in high-grade serous ovarian carcinoma (HGSC). The news corresponds to an updated analysis of samples taken from the 17 HGSC patients treated with vididencel. Encouragingly, 12 out of 17 (71%) showed a vaccine-induced immune response (VIR) against at least one tumour antigen commonly upregulated with HGSC, highlighting the potential of vididencel as an active immunotherapy to elicit effective anti-tumour responses. In addition, vididencel displayed a favourable safety profile in this patient population, consistent with prior clinical data for the candidate, providing a robust foundation for further development efforts, in our view. The long-term follow-up for the ALISON trial is ongoing and the next readout, based on a two-year follow-up, is anticipated in Q425.
Mendus |
Vididencel shines in ALISON trial (ovarian cancer) |
Clinical update |
Pharma and biotech |
18 December 2024 |
Share price performance
Business description
Analysts
Mendus is a research client of Edison Investment Research Limited |
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Mendus has reported positive top-line data for its Phase I ALISON trial, which is evaluating lead off-the-shelf cancer vaccine, vididencel, in high-grade serous ovarian carcinoma (HGSC). The news corresponds to an updated analysis of samples taken from the 17 HGSC patients treated with vididencel. Encouragingly, 12 out of 17 (71%) showed a vaccine-induced immune response (VIR) against at least one tumour antigen commonly upregulated with HGSC, highlighting the potential of vididencel as an active immunotherapy to elicit effective anti-tumour responses. In addition, vididencel displayed a favourable safety profile in this patient population, consistent with prior clinical data for the candidate, providing a robust foundation for further development efforts, in our view. The long-term follow-up for the ALISON trial is ongoing and the next readout, based on a two-year follow-up, is anticipated in Q425.
Year |
Revenue |
PBT* |
EPS* |
DPS |
P/E |
Yield |
12/22 |
3.4 |
(138.8) |
(14.0) |
0.0 |
N/A |
N/A |
12/23 |
29.6 |
(101.6) |
(4.4) |
0.0 |
N/A |
N/A |
12/24e |
5.2 |
(135.8) |
(2.8) |
0.0 |
N/A |
N/A |
12/25e |
0.0 |
(122.1) |
(2.4) |
0.0 |
N/A |
N/A |
Note: *PBT and EPS are normalised, excluding amortisation of acquired intangibles, exceptional items and share-based payments. EPS adjusted for the 20:1 share consolidation undertaken in June 2024.
ALISON is a single-centre Phase I study conducted by the University Medical Center Groningen (UMCG). It is designed to assess vididencel as a maintenance therapy for HGSC, an aggressive form of ovarian cancer associated with a high risk of recurring tumours that are typically unresponsive to first-line treatment options. In June 2024, Mendus and UMCG announced that 10 out of 17 patients treated with vididencel had stable disease, while the remaining seven had imaging-confirmed tumour recurrence at week 22. At this stage, 10 out of 15 (67%) of the evaluated patients showed a VIR, meeting the primary objective of the trial.
The latest update confirmed that 12 out of 17 (71%) of the evaluated patients displayed VIRs. Furthermore, at week 22, while stable disease was observed in two of five (40%) of the patients who did not display VIRs, eight out of 12 (67%) of the patients with VIRs had stable disease. We believe these results highlight the potential of vididencel, as an active immunotherapy, to prolong disease-free survival and overall survival for patients with ovarian cancer following first-line treatment. Vididencel was found to be safe, with only mild adverse reactions at the site of injection, which are typical for such treatments. The next update, expected in Q425, will likely be an important inflection point for the programme.
This update in ovarian cancer follows Mendus’s announcement of positive survival data from the Phase II ADVANCE II trial in AML, the primary target indication for vididencel. For a more detailed discussion of this programme, as well as an overview of Mendus’s highly active pipeline activities and manufacturing capabilities through its alliance with NorthX Biologics, we direct readers to our recently published outlook note on the company.
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Research: Investment Companies
Deutsche Beteiligungs (DBAG) reported an 8.5% NAV total return (TR) in FY24 (to end-September 2024), supported by positive movements in valuation multiples, which offset the negative impact from changes in earnings and the higher net debt of portfolio companies. DBAG’s portfolio remains affected by the subdued macroeconomic environment in Germany, although its continued portfolio shift away from more traditional industrial holdings likely provided a cushion. Following the convertible bond and promissory loan note issues earlier this year, along with several successful exits, DBAG’s strong balance sheet positions the company well to explore the many attractively priced investment opportunities that management sees in the current market environment. DBAG’s shares now trade at a 38% discount to the last reported NAV of its private markets investments, on top of which DBAG’s shares offer exposure to the company’s fund services business. Therefore, we consider the discount wide even considering the market headwinds.