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Post by JHam on Feb 7, 2021 16:18:18 GMT
Just discovered this one yesterday and like what my DD has uncovered so far. They are going after severe autoimmune and inflammatory disorders such as...: ⎼ AcuteGraft-versus-HostDisease(aGVHD) ⎼ Lupus/Lupus Nephritis ⎼ Uncontrolled Asthma ...by targeting the CD6-ALCAM pathway via their first-in class anti-CD6 antibody, itolizumab. They have P1b top-line data for Lupus coming this quarter, and most importantly (because of the indication/market size/lack of current treatment), P1b top-line data for aGVHD (acute graft-versus-host disease). Right now there are no approved first-line treatments for aGVHD. The only option is steroids, however, the response rate is very low. Those who do respond to steroids only have a 53% 5 year survival rate. And for those who don’t respond, their mortality rate is 95%! So the kicker...their aGVHD P1b interim data was spectacular. Like almost miraculous. They have 4 cohorts in escalating dosing cycles, 0.4, 0.8, 1.6 , 2.4 mg/kg and only 10 patients, so the sample size is obviously very small. That said, the data readout was as follows (I’ll post the slides below): 0.4 mg/kg cohort (4 patients), 2 CR (complete response), 50% ORR (overall response) 0.8 mg/kg cohort (3 patients) 3 CR, 100% ORR 1.6 mg/kg cohort (3 patients) 2 CR, 1 VGPR (very good partial response), 100% ORR So, taking away the lowest dose cohort, 100% (6/6) patients had an ORR, and 83% (5/6) had a CR, and even the one who didn’t have a CR still had a VGPR. Again, this without the final 2.4 mg/kg cohort which data was not yet compiled for the interim data readout, and again, for an indication with no first-line treatment. Next post will be about financials.
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Post by JHam on Feb 7, 2021 16:23:56 GMT
They are very well funded. They just raised $30M (last week) to add to their $90M cash position (end of Q3). So with that factored in with the new shares and warrants it looks like this: Current market cap: $245M Current pps: $8.49 o/s: 29M Float: 18M approx Debt: $10M Warrants: 1.28M attached to this recent round of financing immediately exercisable at $14 (could be more warrants, but haven’t had time to dig into that yet) Decheng Capital paid a 15% premium ($7 pricing off a $6.11 pps), which the market liked since the pps climbed on Friday. The aGVHD global market is supposed to grow from $510M in 2021 to 640M by 2026. aGVHD is the lowest hanging fruit for EQ as a proof of concept. If itolizumab works against aGVHD, it opens the door for literally countless other indications. They are FDA fast tracked for both aGVHD and Lupus, and have orphan status for aGVHD. I’m going to leave it here for now, but in summary, huge near term milestones for a platform that tackles diseases with no current treatments, $240M mc, $120M in cash, and warrants not exercisable until $14...I’m a buyer on Monday if it is still in the $8/9 area. January corporate presentation: ir.equilliumbio.com/static-files/ce92bffe-4517-478c-949f-be94be3f66ccH.C. Wainwright conference (January 2021): journey.ct.events/view/7404d56f-2885-42e5-819b-4fb69a8b2627
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Post by JHam on Feb 7, 2021 16:26:33 GMT
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Post by JHam on Feb 7, 2021 16:32:28 GMT
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Post by JHam on Feb 7, 2021 16:39:52 GMT
One last important thing behind this recent direct offering. Basically Decheng paid $30M for a seat on the board: sec.report/Document/0001564590-21-004194/Item 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers. Effective February 4, 2021, the Board increased the number of directors to eight and appointed Dr. Yu (Katherine) Xu, Ph.D., as a class II director of the Company, effective immediately. Dr. Xu was appointed by Decheng Capital Global Life Sciences Fund IV, L.P. pursuant to the terms of the Purchase Agreement. Dr. Xu does not have any family relationship with any director, executive officer or person nominated or chosen by us to become a director or executive officer. Dr. Xu is a partner at Decheng Capital and has been with the firm since May 2019. Prior to joining Decheng Capital, Dr. Xu was Partner, Senior Biotechnology Analyst, Co-Group Head of the Biopharmaceutical Equity Research team at William Blair & Company based in New York between 2011 and April 2019. Prior to joining William Blair, Dr. Xu was Senior Vice President and Senior Biotechnology Analyst at Wedbush Securities, Vice President and Senior Biotechnology Analyst at Credit Suisse, and Senior Biotechnology Analyst at Pacific Growth Equities. Dr. Xu was recognized by the Financial Times/StarMine “World’s Top Analysts” listing, ranking No. 7 overall for stock-picking in the United States for 2010, and No. 2 for stock-picking in biotechnology for 2011. She received the No. 2 ranking in the Wall Street Journal's “Best on the Street” listing for biotechnology for 2011 as well. Before her move to equity research, Dr. Xu was Vice President of Investment Banking at Petkevich & Partners, a boutique investment banking firm in San Francisco focused on the life sciences industry, where she advised companies on a variety of engagements including mergers and acquisitions, workouts, spinouts, and private placements. Dr. Xu holds a Ph.D. in developmental biology and a Ph.D. minor in engineering-economic systems and operations research from Stanford University Schools of Medicine and Engineering, respectively. She attended Peking University in Beijing before transferring to Kalamazoo College in Michigan in her junior year, where she gained her B.A. with honors. Dr. Xu serves on the board of directors for The 1990 Institute and The Overseas Young Chinese Forum, two China-related non-profit organizations. Dr. Xu will hold office until the annual meeting of shareholders at which Class II directors are appointed and until her successor shall have been elected and qualified or until her earlier death, resignation or removal. The Board has determined that Dr. Xu satisfies the definition of “independent” director, including, without limitation, the applicable requirements of the Nasdaq Listing Rules and the Securities Exchange Act of 1934, as amended. The committee or committees of the Board to which Dr. Xu will be appointed has not been determined.
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Post by JHam on Feb 8, 2021 14:52:20 GMT
I opened a small/medium position at $9.15. Could add more as the day goes on.
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Post by lcd on Feb 8, 2021 15:32:56 GMT
I just started a very small position at $9. Thanks for sharing your DD on this one JHam.
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Post by JHam on Feb 8, 2021 15:46:17 GMT
I just started a very small position at $9. Thanks for sharing your DD on this one JHam. Thanks for the company I just added more at $9.04 and have another order in under 9.
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Post by JHam on Feb 8, 2021 16:16:28 GMT
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Post by JHam on Feb 9, 2021 6:01:56 GMT
More on the relationship with Biocon: Because Equillium launched the company with a license and strategic partnership with Biocon Limited, a large Indian biopharma company that specializes in protein biologics, manufacturing does not appear to be a bottleneck.“Biocon makes itolizumab for us at commercial scale in an FDA-regulated facility in India,” Steel said.
Biocon is the fourth largest insulin supplier in the world, and also manufacturers trastuzumab and other biologics, so can handle the rigors of commercial scale and quality biologics production.Biocon’s prior clinical development work with itolizumab significantly de-risked Equillium’s programs.
“Itolizumab was developed for psoriasis in India (marketed as ALZUMab™). Last year Biocon completed a Phase II study for acute respiratory distress in COVID-19 patients, which led to an emergency use authorization to treat COVID-19 patients in India,” Steel said. “Biocon has generated a meaningful amount of clinical data, demonstrating itolizumab is an active immune modulating agent that has been safe and well tolerated.” Notably, Biocon is providing itolizumab to Equillium for clinical development at their cost of goods, and for development in up to three orphan indications (including GVHD) at no cost.“As a result, we’ve been very efficient with our capital,” Steel said. “Biocon has a vested interest in our success,” he explained, with rights to the program in India, Europe and parts of Asia, while Equillium holds the commercialization rights for the United States, Canada, Australia, and New Zealand.
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Post by JHam on Feb 9, 2021 13:17:37 GMT
One last important thing behind this recent direct offering. Basically Decheng paid $30M for a seat on the board: sec.report/Document/0001564590-21-004194/Item 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers. Effective February 4, 2021, the Board increased the number of directors to eight and appointed Dr. Yu (Katherine) Xu, Ph.D., as a class II director of the Company, effective immediately. Dr. Xu was appointed by Decheng Capital Global Life Sciences Fund IV, L.P. pursuant to the terms of the Purchase Agreement. Dr. Xu does not have any family relationship with any director, executive officer or person nominated or chosen by us to become a director or executive officer. Dr. Xu is a partner at Decheng Capital and has been with the firm since May 2019. Prior to joining Decheng Capital, Dr. Xu was Partner, Senior Biotechnology Analyst, Co-Group Head of the Biopharmaceutical Equity Research team at William Blair & Company based in New York between 2011 and April 2019. Prior to joining William Blair, Dr. Xu was Senior Vice President and Senior Biotechnology Analyst at Wedbush Securities, Vice President and Senior Biotechnology Analyst at Credit Suisse, and Senior Biotechnology Analyst at Pacific Growth Equities. Dr. Xu was recognized by the Financial Times/StarMine “World’s Top Analysts” listing, ranking No. 7 overall for stock-picking in the United States for 2010, and No. 2 for stock-picking in biotechnology for 2011. She received the No. 2 ranking in the Wall Street Journal's “Best on the Street” listing for biotechnology for 2011 as well. Before her move to equity research, Dr. Xu was Vice President of Investment Banking at Petkevich & Partners, a boutique investment banking firm in San Francisco focused on the life sciences industry, where she advised companies on a variety of engagements including mergers and acquisitions, workouts, spinouts, and private placements. Dr. Xu holds a Ph.D. in developmental biology and a Ph.D. minor in engineering-economic systems and operations research from Stanford University Schools of Medicine and Engineering, respectively. She attended Peking University in Beijing before transferring to Kalamazoo College in Michigan in her junior year, where she gained her B.A. with honors. Dr. Xu serves on the board of directors for The 1990 Institute and The Overseas Young Chinese Forum, two China-related non-profit organizations. Dr. Xu will hold office until the annual meeting of shareholders at which Class II directors are appointed and until her successor shall have been elected and qualified or until her earlier death, resignation or removal. The Board has determined that Dr. Xu satisfies the definition of “independent” director, including, without limitation, the applicable requirements of the Nasdaq Listing Rules and the Securities Exchange Act of 1934, as amended. The committee or committees of the Board to which Dr. Xu will be appointed has not been determined. Surprise surprise, lol 😆 www.globenewswire.com/news-release/2021/02/09/2172175/0/en/Equillium-Announces-the-Appointment-of-Katherine-Xu-to-the-Board-of-Directors.htmlEquillium Announces the Appointment of Katherine Xu to the Board of Directors
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Post by JHam on Feb 9, 2021 14:45:28 GMT
What a wild opening today. I was trying to grab shares in the low $8s but it was moving too fast. Waiting to see if it dips down again.
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Post by lcd on Feb 9, 2021 14:58:29 GMT
I see that drop down to $8.12 now. I will go ahead and put in a low buy order in case that happens again.
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Post by JHam on Feb 9, 2021 15:13:51 GMT
I see that drop down to $8.12 now. I will go ahead and put in a low buy order in case that happens again. It was crazy 12% swings both ways in split seconds for about a minute straight. I’m happy with my position for now. The plan was to add more after I shaved some off of KMPH, but if there are chances to buy this in the low $8s I’ll gladly do it. The biggest potential negative I see for this stock is the upcoming Lupus data. I don’t see how it would be bad in P1b though since it is the same drug with the same mechanism of action as for aGVHD. Even if the data isn’t great, this is all about aGVHD in short/mid term. I wouldn’t feel as comfortable if they hadn’t done the raise or if the warrants weren’t at $14, but I feel good for now holding this for a while and accumulating when I can.
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Post by JHam on Feb 10, 2021 16:03:32 GMT
Just added some here at $9 and have another small order in at $8.70.
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Post by JHam on Feb 11, 2021 11:31:19 GMT
$10.65 now premarket. Albeit on a small amount of shares.
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Post by lcd on Feb 11, 2021 13:10:37 GMT
I remember when seeing pre-market swings of >2% meant there must be some news, but this morning 4 stocks I own are up over 5% pre-market on no news. Interesting times to be an investor.
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Post by JHam on Feb 11, 2021 13:46:11 GMT
I remember when seeing pre-market swings of >2% meant there must be some news, but this morning 4 stocks I own are up over 5% pre-market on no news. Interesting times to be an investor. Yeah, someone is trying to entice people to start buying.
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Post by JHam on Feb 12, 2021 18:33:35 GMT
Full disclosure. I sold out of this today at $11 with a 20% profit. I needed to pay off something and didn’t want to dump my QUIK or KMPH positions and this one did the trick. I also got the feeling that there was a pump going on with many hyping up data today that was presented at a bio conference. EQ did indeed share data, but despite what people were pumping, it was old data.
I’m still extremely bullish on this stock and plan to immediately get back in as soon as KMPH does its thing (hopefully) in the next few weeks.
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Post by magnus123 on Feb 12, 2021 20:08:52 GMT
Full disclosure. I sold out of this today at $11 with a 20% profit. I needed to pay off something and didn’t want to dump my QUIK or KMPH positions and this one did the trick. I also got the feeling that there was a pump going on with many hyping up data today that was presented at a bio conference. EQ did indeed share data, but despite what people were pumping, it was old data. I’m still extremely bullish on this stock and plan to immediately get back in as soon as KMPH does its thing (hopefully) in the next few weeks. Another great call and a perfect trade. Well done!
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