Friday, March 11, 2022
Lineage Cell Therapeutics (LCTX)
FY2021 Reported With Updates For Pipeline Development
Lineage Cell Therapeutics is a clinical-stage biotechnology company developing novel cell therapies for unmet medical needs. Lineage’s programs are based on its robust proprietary cell-based therapy platform and associated in-house development and manufacturing capabilities. With this platform Lineage develops and manufactures specialized, terminally differentiated human cells from its pluripotent and progenitor cell starting materials. These differentiated cells are developed to either replace or support cells that are dysfunctional or absent due to degenerative disease or traumatic injury or administered as a means of helping the body mount an effective immune response to cancer. Lineage’s clinical programs are in markets with billion dollar opportunities and include three allogeneic (“off-the-shelf”) product candidates: (i) OpRegen®, a retinal pigment epithelium transplant therapy in Phase 1/2a development for the treatment of dry age-related macular degeneration, a leading cause of blindness in the developed world; (ii) OPC1, an oligodendrocyte progenitor cell therapy in Phase 1/2a development for the treatment of acute spinal cord injuries; and (iii) VAC, an allogeneic dendritic cell therapy platform for immuno-oncology and infectious disease, currently in clinical development for the treatment of non-small cell lung cancer. For more information, please visit www.lineagecell.com or follow the Company on Twitter @LineageCell.
Robert LeBoyer, Vice President, Research Analyst, Life Sciences, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
Full Year Financials In Line With Expectations. Lineage Cell reported a 4Q21 loss of $28.2 million or $(0.17) per share, and a loss of $43.0 million or $(0.26) per share for FY21. The larger than expected loss in 4Q21 was due to the accrual of $20.6 million for future obligations payable to its licensors under the December 2021 Genentech/Roche Agreement. The company ended the year with $55.7 million in cash, excluding proceeds from the Genentech agreement.
Genentech/Roche Agreement Transformed The Company. In December 2021, Lineage Cell made a collaboration and licensing agreement covering OpRegen, its retinal pigmented epithelial cell transplant for ophthalmologic indications. Genentech/Roche will take over the clinical development and commercialization, in exchange for $50 million in upfront fees, $620 million in potential milestone payments, then …
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.