- Atreca Inc (NASDAQ:BCEL) announced a licensing agreement with Zymeworks Inc (NYSE:ZYME) to utilize their ZymeLink technology to develop novel antibody-drug conjugates (ADCs).
- The agreement includes a two-year research term for Atreca to evaluate antibodies as ADCs using ZymeLink with the option for a third year.
- Atreca can acquire three commercial licenses to develop three unique ADC programs. Specific deal terms were not disclosed.
- The Company also declared ATRC-301, an ADC targeting a novel epitope on EphA2, as the Company's next clinical candidate.
- EphA2 is a validated and potentially high-value target widely expressed across several cancer types, with 12 tumor types displaying >50% target epitope prevalence in patient samples evaluated.
- According to HC Wainwright, expansion of the preclinical pipeline and new licensing agreement provide multiple catalyst opportunities for Atreca.
- The analyst reiterated the Buy rating with the price target of $25.
- Valuation is currently based solely on the ATRC-101 opportunities in ovarian (26%), colorectal (41%), and NSCLC (33%) cancer indications.
- Also See: Atreca Inks Licensing Pact With Gates Research On Malaria Antibody
- Atreca has initiated IND-enabling studies for ATRC-301, including a non-human primate toxicology study for which data are expected in 2H of 2022.
- It anticipates submitting an IND application for ATRC-301 in 2H of 2023.
- Atreca also highlighted four additional lead-stage programs in oncology, including ADC leads APN-497444 and APN-959038, CD3-engager lead APN-346958, and IL-15 superagonist (SA) conjugate lead APN-541885.
- Price Action: BCEL shares are down 2.90% at $3.01 during the premarket session on the last check Wednesday.
