Targovax has announced that one of the trials with ONCOS-102, which is sponsored by Ludwig Institute for Cancer Research, will be in the spotlight at this year’s ASCO meeting. This is an open-label Phase I/II trial that is exploring the combination of intraperitoneally delivered ONCOS-102 and systemically administered checkpoint inhibitor durvalumab (anti-PD-L1, Imfinzi, AstraZeneca) in patients with ovarian or colorectal cancers metastasised to the peritoneum. An abstract from the dose-escalation part of the trial will be presented at ASCO. Although Targovax is not sponsoring the trial, this may become a new opportunity for the company. Targovax’s two lead trials with ONCOS-102 in melanoma and mesothelioma are on track to deliver data later this year. Our valuation is virtually unchanged at NOK1.52bn or NOK20.0 per share.

Peritoneal malignancies uniquely suitable indication

The abstract was published online last week and describes the dose-escalation part of the study. The combination treatment had an acceptable tolerability profile and no dose-limiting toxicities were observed. As a result, the high dose level was selected for the expansion phase, which is ongoing. Targovax has not confirmed its future intention in this setting, which we believe will depend on the data and any potential interest from partners. Patients with peritoneal metastasis can be treated with intraperitoneal chemotherapy, but there are limited number of chemotherapy options available. ONCOS-102 can also be used for intraperitoneal therapy and, if successful, this trial can open up opportunities with administration into cavities and address significant unmet needs.

Two lead trials on track to deliver data in 2020

Targovax started 2020 with the first randomised data readout from its Phase I/II trial with oncolytic virus ONCOS-102 in unresectable mesothelioma. It will present further data by mid-2020. Interim results released in July 2019 from Part 1 of the Phase I trial with ONCOS-102 in refractory melanoma were the hallmark event last year. More data from this trial are expected later this year (H220). In addition, Targovax has hired Dr Victor Levitsky, a medical doctor with a PhD in virology, as chief scientific officer. One of his key focus areas will be the new generation of oncolytic viruses, so we expect this programme to gain importance as it advances towards clinical trials.

Valuation: NOK1.52bn or NOK20.0 per share

Our valuation is virtually unchanged at NOK1.52bn or NOK20.0/share. The timely private placement of NOK101m in January 2020 ensured funding for 2020. In our view, this and the upcoming newsflow from both key clinical trials helped the share price to rebound to pre-COVID-19 levels.

ONCOS-102 plus durvalumab (Imfinzi) dose escalation abstract to be presented at ASCO

Targovax reported that an abstract from the ongoing investigator-led Phase II trial in peritoneal malignancies had been selected for the poster discussion session ‘Developmental Therapeutics –Immunotherapy’ and will be presented on 29 May at the ASCO 2020 virtual meeting. The abstract was published online last week and describes the dose escalation part of the study. This trial is a collaboration among Ludwig Institute for Cancer Research, Cancer Research Institute (CRI, New York City), AstraZeneca and Targovax. Ludwig Institute is the official sponsor that runs the study. AstraZeneca supplies durvalumab and Targovax supplies ONCOS-102.

https://www.edisongroup.com/publication/oncos-102-plus-durvalumab-trial-in-spotlight/26953/