Summary
Sareum Holdings plc is a biopharmaceutical company that specializes in discovering and developing new therapeutic drugs. The company focuses primarily on cancer and autoimmune diseases and is known for leveraging its proprietary drug discovery platform to identify and design new small molecule compounds with therapeutic potential.
The company is based in the United Kingdom and operates mainly in the pre-clinical and early clinical phases of drug development. Sareum seeks to partner with larger pharmaceutical organizations to advance its compounds through the development pipeline and into commercialization.
Operations
How the idea of the company came about?
Sareum Holdings plc was conceptualized from the aim to discover and develop innovative therapeutic drugs for cancer and autoimmune diseases. It emerged from the identification of the need for more targeted and effective treatments within these widespread and impactful health conditions.
Mission
The mission of Sareum Holdings is to leverage its proprietary drug discovery platform to generate novel small molecule therapeutic candidates that can provide significant improvements over current treatment options for patients suffering from cancer and autoimmune diseases.
Main offerings
- Discovery and development of innovative small molecule drugs.
- Therapies targeting cancer and autoimmune diseases.
- Partnership opportunities for co-development and commercialization of their drug candidates.
- Research and development services to identify and develop kinase inhibitors.
Current strategy
The current strategy of Sareum Holdings plc revolves around advancing their lead drug development programs to clinical trials, securing partnerships with pharmaceutical entities to enhance development and commercializing efforts, and continuing research to expand their portfolio of therapeutic candidates.
Team
The key players at Sareum encompass experienced individuals with a strong background in biopharmaceuticals, research, and development. Notably, the team consists of:
- Dr. Tim Mitchell - CEO, expertise in drug discovery and development.
- Dr. John Reader - CSO, oversees research and development activities.
- Michael Owen - Non-executive Chairman, brings extensive leadership experience.
- Other scientific experts and experienced professionals in finance and operations.
Market
Sareum Holdings plc operates in the biotech and pharmaceutical market, focusing on the discovery and development of innovative drugs for cancer and autoimmune diseases. Their market can be further segmented as follows:
- Oncology Market: Sareum focuses on developing therapies targeting cancers with significant unmet medical needs. The company seeks to address various forms of cancer through its drug development programs.
- Autoimmune Disease Therapeutics Market: Sareum is also engaged in creating treatments for immune-mediated diseases, tapping into the growing demand for new and effective autoimmune therapies.
- Research and Development: Sareum operates in the R&D sector of pharma, with its efforts in early-stage discovery and partnerships with other pharmaceutical entities to further drug development and commercialization.
Its target market is global, with a focus on regions that have strong patent protections and established regulatory frameworks for drug approval, such as the United States, Europe, and parts of Asia. As Sareum's products progress through clinical trials, their market potential also includes partnerships with larger pharma companies for further development and distribution.
Competition
As of my last update, Sareum Holdings plc operates in the biopharmaceutical industry, particularly focusing on the discovery and development of innovative drug candidates aimed at cancers and autoimmune diseases. The competitors of Sareum Holdings plc typically include other biotech and pharmaceutical companies working on similar drug targets or within the same therapeutic areas. Some of these competitors might be:
- AstraZeneca plc
- GlaxoSmithKline plc
- Roche Holding AG
- Novartis AG
- Merck & Co., Inc.
- Bristol Myers Squibb Company
- Incyte Corporation
- Nektar Therapeutics
- Blueprint Medicines Corporation
It is important to note, however, that the competitive landscape is dynamic and can change as companies progress through drug development, achieve regulatory approvals, form strategic partnerships, or shift their research focus.
Financials
| YEAR | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17 | 18 | 19 | 20 | 21 | 22 | 23 | 24 | 25 | 26 | 27 | 28 | 29 | 30 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Development Stage | Preclinical | Phase 1 | Phase 2 | Phase 2 | Phase 3 | Phase 3 | Phase 3 | Approval | Approval | Ramp | Ramp | Revenue | Revenue | Revenue | Revenue | Revenue | Revenue | Revenue | Revenue | Revenue | Off Patent | Off Patent | Off Patent | Off Patent | Off Patent | Off Patent | Off Patent | Off Patent | Off Patent | Off Patent |
| Likelihood of Reaching Revenue | 10% | 20% | 30% | 30% | 67% | 67% | 67% | 81% | 81% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% |
| REVENUE ($1,000s) | ||||||||||||||||||||||||||||||
| Orphan Drug Tax Credits | ||||||||||||||||||||||||||||||
| 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||
| Product Revenue | ||||||||||||||||||||||||||||||
| 393,063 | 809709.619 | 834000.907 | 859020.934 | 884791.56 | 911335.31 | 938675.37 | 966835.63 | 995840.7 | 1025715.9 | 1056487.4 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||
| COSTS ($1,000s) | ||||||||||||||||||||||||||||||
| Manufacturing & Marketing (0%) | ||||||||||||||||||||||||||||||
| 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||
| In-licensing Royalty (75%) | ||||||||||||||||||||||||||||||
| 294,797 | 607282.214 | 625500.68 | 644265.701 | 663593.67 | 683501.48 | 704006.53 | 725126.72 | 746880.52 | 769286.94 | 792365.55 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||
| Clinical Trials | ||||||||||||||||||||||||||||||
| 1,500 | 3,750 | 3,750 | 12,500 | 12,500 | 12,500 | |||||||||||||||||||||||||
| 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||
| Animal Studies | ||||||||||||||||||||||||||||||
| 500 | 500 | 500 | 500 | 500 | 500 | |||||||||||||||||||||||||
| 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||
| FDA Fees | ||||||||||||||||||||||||||||||
| 310 | ||||||||||||||||||||||||||||||
| 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||
| NDA/BLA Preparation Fees | ||||||||||||||||||||||||||||||
| 500 | 500 | |||||||||||||||||||||||||||||
| 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||
| Overheads | 2,000 | |||||||||||||||||||||||||||||
| 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||
| Net Cash Flow | (2,000) | (2,000) | (4,250) | (4,250) | (13,000) | (13,000) | (13,000) | (810) | (500) | 98,266 | 202,427 | 208,500 | 214,755 | 221,198 | 227,834 | 234,669 | 241,709 | 248,960 | 256,429 | 264,122 | ||||||||||
| NPV | 318,428 | 368,492 | 426,066 | 494,863 | 573,981 | 675,028 | 791,232 | 924,866 | 1,064,528 | 1,224,782 | 1,295,493 | 1,257,026 | 1,205,804 | 1,139,707 | 1,056,285 | 952,719 | 825,758 | 671,656 | 486,100 | 264,122 | ||||||||||
| Risk-added Cash Flow | (20,000) | (10,000) | (14,167) | (14,167) | (19,403) | (19,403) | (19,403) | (1,000) | (617) | 98,266 | 202,427 | 208,500 | 214,755 | 221,198 | 227,834 | 234,669 | 241,709 | 248,960 | 256,429 | 264,122 | ||||||||||
| rNPV | 26,973 | 66,638 | 118,401 | 141,048 | 373,174 | 444,100 | 525,665 | 748,905 | 862,172 | 1,224,782 | 1,295,493 | 1,257,026 | 1,205,804 | 1,139,707 | 1,056,285 | 952,719 | 825,758 | 671,656 | 486,100 | 264,122 |
| Description | Value | Commentary |
|---|---|---|
| SDC - 1801 | ||
| Orphan drug? | No | Orphan if <200,000 U.S. patients |
| Preclinical | ||
| Duration | 1 | |
| Annual Cost | $2,000,000 | 8 Scientists at $250,000 per scientist |
| Likelihood of Reaching Revenue | 10% | |
| Clinical Phase 1 | ||
| Duration | 1 | |
| Number of Subjects | 60 | 20-80 |
| Cost Per Patient | $25,000 | $8,000-15,000 |
| Animal Studies Phase 1 | $500,000 | |
| Annual Overhead (Other Costs) | ||
| Likelihood of Reaching Revenue | 20% | 20% for a chemical pharmaceutical |
| Clinical Phase 2 | ||
| Duration | 2 | |
| Number of Subjects | 300 | 100-300 |
| Cost Per Patient | $25,000 | $8,000-15,000 |
| Animal Studies Phase 1 | $1,000,000 | |
| Annual Overhead (Other Costs) | ||
| Likelihood of Reaching Revenue | 30% | 30% for a chemical pharmaceutical |
| Clinical Phase 3 | ||
| Duration | 3 | |
| Number of Subjects | 3000 | 1,000-5,000 |
| Cost Per Patient | $12,500 | $4,000-7,500 |
| Animal Studies Phase 1 | $1,500,000 | |
| Annual Overhead (Other Costs) | ||
| Likelihood of Reaching Revenue | 67% | 67% for a chemical pharmaceutical |
| Approval | ||
| Duration | 2 | 0.5-1 for fast-track |
| FDA Fees (PDUFA II) | $309,647 | |
| NDA/BLA Preparation Fees | $1,000,000 | $500,000-1,000,000 |
| Annual Overhead (Other Costs) | ||
| Likelihood of Reaching Revenue | 81% | |
| Financials | ||
| Patient Population | ||
| Annual Revenue Per Patient | ||
| Peak Market Penetration | ||
| Patient Polpulation Growth Rate | ||
| Ramp to Market Peak | 2 | Maximum 4 Years |
| Discount Rate | 15% | |
| In-licensing Royalty Rate | 75% | |
| Manufacturing and Marketing Offset | 0% | |
| Year Patent Protection and Revenues End | 21 | |
| Annual Ramp Overhead (Other Costs) | ||
| Annual Peak Revenue Overhead (Other Costs) | ||
Risks
Investing in any company, including Sareum Holdings plc, involves certain risks that potential investors should be aware of before making investment decisions:
Drug development risk
1. Clinical Trials: The success of Sareum relies heavily on the results of clinical trials. Unfavorable outcomes can impact the company's value.
2. Regulatory Approval: There is no guarantee that Sareum's products will receive the necessary regulatory approvals, which are essential for commercialization.
Financial risk
1. Funding Requirements: Sareum may require additional financing to continue its operations, which could dilute existing shareholders or lead to increased debt.
2. Revenue Dependence: As a biotech company, Sareum may have limited sources of revenue and could be heavily reliant on the success of a single product or a small portfolio of products.
Market and competition risk
1. Market Competition: Sareum operates in a highly competitive industry, and any advances by competitors can impact its market position.
2. Market Penetration: Successfully commercializing products requires effective marketing and sales strategies, which can be challenging for smaller companies.
Intellectual property risk
1. Patent Protection: The ability of Sareum to protect its intellectual property through patents and prevent infringement is crucial to its success.
2. Dependence on Licensing: Sareum's operations might depend on licenses from third parties, which could be subject to renegotiation or termination.
Operational risk
1. Management Team: Sareum's success is partly dependent on the expertise and experience of its management team. Any changes could disrupt operations.
2. Research and Development: The lengthy and uncertain R&D process in the biotech field poses significant operational risks.
External risks
1. Economic Conditions: Economic downturns can affect the availability of capital and the overall investment climate.
2. Regulatory Changes: Changes in healthcare laws, policies, and regulatory environment can pose compliance challenges and affect profitability.