Shield Therapeutics - AEGIS-2 update

Shield Therapeutics (STX) has announced a technical update to findings from the AEGIS-H2H post-marketing study, which evaluated Feraccru/Accrufer versus IV iron. The update does not affect any of the product’s marketing approvals or prescribing information and was not discovered as a consequence of any due-diligence activities related to the ongoing US licence discussions. Successfully commercialising Feraccru through partners is key to STX realising its value. Importantly, the company reported an end-FY19 cash position of £4.1m and the post-period end upfront payment of $11.4m from ASK Pharm received in January 2020 extends the cash runway into 2021. Our valuation of STX is unchanged at £344.7m or 294p/share.