On Tuesday, LAVA Therapeutics N.V. LVTX initiated a course of to evaluation strategic choices.
The corporate applied value curtailment, together with a workforce discount, and has retained a monetary advisor to help the strategic analysis course of.
LAVA Therapeutics will proceed to enroll in Section 1 scientific research evaluating the protection and pharmacokinetics of LAVA-1266 in hematologic malignancies, together with acute myeloid leukemia (AML) and myelodysplastic syndrome (MDS), and help its partnerships with Pfizer Inc and Johnson and Johnson.
In 2020, Lava Therapeutics announced a analysis and license settlement with Janssen Biotech, Inc. to find and develop novel bispecific antibodies to gamma-delta T cells for most cancers.
In March 2024, LAVA Therapeutics introduced that Pfizer achieved a improvement milestone for PF-08046052 (previously SGN-EGFRd2 /LAVA-1223), prompting the primary milestone cost of $7 million to LAVA.
LAVA granted Seagen (acquired by Pfizer in December 2023) a worldwide unique license to PF-08046052 in September 2022.
As of December 31, 2024, the corporate’s money stability was $76.6 million.
In December, the corporate’s mentioned money runway prolonged into 2027, based mostly on a money stability of $78.9 million as of September 30, 2024.
On Thursday, HC Wainwright downgraded LAVA Therapeutics to Impartial from Purchase with a value goal of $1.50, citing pipeline overhang regardless of substantial money reserve.
Analyst Arthur He writes, “Whereas we’re not shocked by administration’s resolution given the difficult market situations, it does generate uncertainties relating to the corporate’s solely scientific asset, LAVA-1266 for hematological malignancies, because it depends upon the result of the strategic evaluation.”
HC Wainwright expects three doable outcomes for LAVA Therapeutics within the subsequent 12 months:
- Buying a number of confirmed drug candidates
- Merging with one other firm by way of a reverse merger
- Persevering with its present operations whereas ready for preliminary scientific outcomes from LAVA-1266
LAVA-1266 might be sidelined in favor of recent initiatives within the first two situations. Given this uncertainty, HC Wainwright believes it’s best to attend for extra readability.
Worth Motion: LVTX inventory is down 0.78% at $1.28 on the final test Friday.
Learn Subsequent:
Picture by way of Shutterstock.
Market Information and Knowledge dropped at you by Benzinga APIs
© 2025 Benzinga.com. Benzinga doesn’t present funding recommendation. All rights reserved.
