Analyse CM-CIC : recommandation achat maintenue

The facts:

NicOx has jointly announced with the NCI (US National Cancer Institute) the termination of the phase I trial studying NCX 4016’s potential (NOaspirin) in the preventive treatment of colon cancer.

This decision is a precautionary measure due to genotoxicity observed in vitro
with one of its principal metabolites, NCX 4015. However, these results do not
agree with those obtained previously in vivo during tests on NCX 4016 which
pointed to an absence of genotoxicity. NCX 4015 would be a metabolite for NCX
4016 alone without impacting the rest of the portfolio.
NicOx should, however, carry out additional tests on NCX 4016 in order to confirm or infirm these new results. Furthermore, the development of NCX 4016 in the treatment of diabetes will be delayed pending the results of these complementary trials.


Conclusion:

The genotoxic nature of NCX 4015 must be confirmed. The value of the NCX 4016 project (colon cancer) is not factored into our current valuation of NicOx (given the stage of development).
Nevertheless, the NCX 4016 project as part of diabetes treatment represents EUR1.3 per share (project delayed for the moment).
This announcement does not cast doubt on the company’s potential.

Buy recommendation maintained.