AdAlta (ASX:1AD) has announced it will accelerate its 'East to West' cellular immunotherapy growth strategy by executing two non-binding term sheets to in-license clinical-stage CAR-T products, bringing total products in advanced due diligence to three.
The company said the decision follows a strategic review of its pipeline. It said it will continue to advance its antifibrotic drug, AD-214, which is being developed for fatal diseases such as idiopathic pulmonary fibrosis through external partners and investors. It will cease internal discovery R&D to focus resources on its 'East to West' growth strategy.
AdAlta said the strategy is focused on in-licensing clinical stage, highly differentiated cellular immunotherapies for solid cancers from Asia (East), and providing a pathway to markets in the West. It will establish manufacturing and conduct the first clinical trials under a USA FDA investigational new drug application in Australia.
AdAlta CEO and managing director Tim Oldham said, “Our decision to accelerate AdAlta’s 'East to West' strategy represents a substantial opportunity for the company. This strategy is already providing us access to Eastern advances in cellular immunotherapies and will, in turn, help drug candidates flowing from biotech innovation in that region reach Western-regulated markets.
"We believe AdAlta can make a series of modest investments, leveraged with third-party capital and focused on single clinical trials per asset, that could see value realisation in relatively short time periods. The strategy is already receiving positive feedback from strategic and financial investors who are potential sources of nondilutive funding and from our Asian in-licensing partners. The alignment of the strategy with industry growth trends was validated at JPMorgan Week and by the signing of these two new term sheets."