Avacta

Background

Avacta is a pre-clinical stage biotechnology company developing biotherapeutics based on its proprietary Affimer protein technology that benefits from near-term revenues from research and diagnostic reagents

Investment Notes

The enterprise value of Avacta does not reflect the value that big pharma is prepared to pay for new technologies and assets. The median up-front paid is US$17m and US$40m for pre-clinical and Phase I assets respectively. These figures were exemplified superbly by the deals that Molecular Partners has secured for its comparable DARPin technology.