On May 14, 2024 Transgene (Euronext Paris: TNG), a biotech company that designs and develops virus-based immunotherapies for the treatment of cancer, reported a business update, including its financial position as of March 31, 2024 (Press release, Transgene, MAY 14, 2024, View Source [SID1234643264]).

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Key events and upcoming milestones

Transgene and its partner NEC reported updated TG4050 Phase I data at AACR (Free AACR Whitepaper) 2024 (see April 9 press release here), showing first clinical benefit for patients treated in the adjuvant setting for head and neck cancer, a patient population at high risk of relapse.

Almost all treated patients (16/17) developed a specific immune response against the selected personalized antigen targets. All patients who received TG4050 remain disease-free after a median follow-up of 18.6 months, comparing favorably to the observational arm which saw 3 out of 16 patients relapse during the same period.

These data provide a robust clinical proof of principle for the Company’s lead candidate.

Additional data on the 24-month median follow up of patients will be reported in H2 2024.

Following these promising data, the randomized Phase I trial will be expanded to a randomized Phase I/II trial in the adjuvant setting of head and neck cancer. The Phase II part is expected to start enrolling patients in Q2 2024 within the framework of an extended collaboration between Transgene and NEC.

TG4050 has potential applicability across a range of solid tumors where the medical need is still significant despite the existing therapeutic option including immunotherapies.

Across 2024, Transgene expects to communicate progress and significant results on all of its clinical stage assets.

TG4050 Randomized Phase I part of trial (head and neck):
– 24-month patient follow up H2 2024
Randomized Phase II part to start (head and neck) H1 2024
Preliminary work to launch additional Phase I trial 2024
TG4001 Randomized Phase II: topline results H2 2024
TG6050 Initial data from Phase I trial H2 2024
BT-001 Initial data from combination part of Phase I H2 2024

Operating revenue
Q1
In millions of euros 2024 2023
Government funding for research expenditures 1.6 1.5
Revenue from collaborative and licensing agreements 0.1 0.1
Other income – –
Operating revenue 1.7 1.6

During the first quarter of 2024, operating revenue mostly comprised government funding for research expenditures, which mainly consisted of accrual of 25% of the research tax credit expected for 2024 (€1.6 million in the first quarter of 2024 compared to €1.5 million for the same period in 2023).

Cash, cash equivalents and other financial assets

Cash, cash equivalents and other financial assets stood at €13.7 million as of March 31, 2024, compared to €15.7 million as of December 31, 2023. In the first quarter of 2024, Transgene’s net cash burn was €11.2 million, excluding Institut Mérieux’s credit facility, compared to €9.8 million for the
same period in 2023.

In March 2024, the Company signed an amendment to the current account advance agreement with Institut Mérieux (TSGH) raising the available amount to a maximum of €66 million. At the end of March 2024, Transgene has used €22.4 million. The credit facility will be available until the end of 2025 and Transgene is able to draw on and repay the facility at its discretion.

As a result, the Company confirms its financial visibility until Q4 2025, enabling the Company to reach important development milestones and deliver significant news flow on its portfolio.