Sign up Australia
Proactive Investors - Run By Investors For Investors
Why invest in MXCT?
MaxCyte: THE INVESTMENT CASE

MaxCyte defying the odds as it gears up for pivotal year

£1,000 invested at float two years ago would now be worth just north of £3,500
t-cell
INVESTMENT OVERVIEW: MXCT The Big Picture
The company is developing treatments for cancer that incite the body’s own immune system to tackle the killer disease

The life sciences sector can often be a graveyard for investors. That’s because the likelihood of success of drug candidate entering phase I clinical trials is 9.6%, according to the Bio Innovation Organisation, or just under 12% if the failure rates in the oncology sector are factored out of the equation.

In short you’d be better off spending your money at the local casino.

However, once in a while a company comes along that defies the odds and provides a decent return for investors along the way.

A case in point is MaxCyte (LON:MXCT), where £1,000 invested at float two years ago would now be worth just north of £3,500. Not a bad payback.

WATCH: MaxCyte gearing up for trial 

At this stage it should be pointed out MaxCyte isn’t the typical, binary, heads-you-win, tails-you-lose drug developer you find traditionally on AIM. It has a hybrid business. So, it sells and licenses its cell engineering technology to some of the world’s largest pharma and biotechnology companies.

This part of MaxCyte generated sales of around US$14mln last year. It is also using its platform, called CARMA, to develop treatments for cancer that incite the body’s own immune system to tackle the killer disease. That’s a hot area at the moment.

What’s new and innovative, even for this very new and innovative strand of research, is that CARMA is being designed to grapple with solid tumours.

The breakthroughs in this field, such as CAR T-cell immuno-therapies, fight blood-borne illness, and yet 90% of cancers are solid tumours.

READ: Company appoints biotech pioneer

Early results from pre-clinical research carried out by the world-famous Johns Hopkins Hospital in Baltimore have been encouraging. It also has a collaboration with Washington University in St. Louis.

Share price tracks progress

The advance in the share price, which has risen to around 250p today from 70p at IPO in March 2016, has closely followed the progress the company has made as its first drug candidate has edged closer to the clinic.

Last month, MaxCyte told investors it was in active discussions with the US Food & Drug Administration to begin the study of MCY-M11, which is based on its CARMA technology.

MaxCyte believes its discovery will address some of the most significant issues with current CAR-T therapies, including challenging side-effects and time-consuming manufacturing process that are involved.

CAR-T is a promising new way of getting T cells (white blood cells that helps ward off disease) to fight cancer by changing them in the lab so they can find and destroy cancer cells.

Financially the firm has the wherewithal to achieve its aims having raised £20mln of new funds.

It plans to use its new-found wealth to propel drugs such as MCY-M11 into the clinic as well as fast-tracking other promising candidates that aren’t as far along in the process.

Attracting attention

MaxCyte appears to be at that stage where it is attracting attention of senior figures in the industry.

In fact one of those movers and shakers, Richard Douglas, has joined the company as an independent director.

Douglas is one of the pioneers of biotechnology having been vice president of corporate development and corporate officer at Genzyme from 1989 until its sale to Sanofi in 2011.

“Richard's wealth of expertise in business and corporate development and his deep life sciences industry experience will bring invaluable perspective to the MaxCyte board,” said chief executive Doug Doerfler.

Experience like that will count for a great deal as the company attempts to keep up the current pace of development.

NOT FOR PUBLICATION, DISTRIBUTION OR RELEASE, DIRECTLY OR INDIRECTLY TO US PERSONS, AS DEFINED IN REGULATIONS PROMULGATED UNDER THE US SECURITIES ACT 1933, AS AMENDED (THE “US SECURITIES ACT”), OR IN OR INTO THE UNITED STATES, AUSTRALIA, CANADA, JAPAN OR THE REPUBLIC OF SOUTH AFRICA OR ANY OTHER JURISDICTION WHERE SUCH RELEASE OR PUBLICATION WOULD BE UNLAWFUL.”
View full MXCT profile View Profile

MaxCyte Timeline

Related Articles

Antibiotics
October 04 2017
US Food & Drug administration approval is yet to be granted but iclaprim, which has fast-track status, is closing in on the promised land.
mri scanner
January 31 2018
It is actively supporting the hunt for breakthrough treatments for Alzheimer’s, Parkinson’s, Huntingdon’s and multiple sclerosis
man on a ventilator
January 25 2018
The share price, 280p a year ago, has tracked the progress the firm has made in the clinic with its lead product Traumakine

No investment advice

The information on this Site is of a general nature only. It does not take your specific needs or circumstances into consideration, so you should look at your own financial position, objectives and requirements and seek financial advice before making any financial decisions. You acknowledge and understand that neither the Company, its related bodies corporate, the information providers or their affiliates will advise you personally about the nature, potential value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter. You should read our FSG and any other relevant disclosure documents and if necessary seek persona advice prior to making any investment decision.

You understand and agree that no Content (as defined below) published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person.

You understand that in certain circumstances the Company, its related bodies corporate, the information providers or their affiliates may have received, or be entitled to receive, financial or other consideration in connection with promoting, and providing information about, certain entities on the Site and in communications otherwise provided to you.

You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate. From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.

Before you act on any general advice we provide, please consider whether it is appropriate for your personal circumstances.

© Proactive Investors 2018

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use