Physiomics Share Discussion Threads

[the stigologist] 13/6/2020 23:50

Investor Presentation slideshow from our repeat customer Bicycle Therapeutics (Founded by Nobel Prize winning scientist Sir Gregory Winter) which is all set to become a serious $1bn+ NASDAQ Biotech player

PYC did the data analysis for BCYC's lead compound BT1718 which is funded by Cancer Research UK

BCYC is a very exciting story in its own right which I'm looking to invest in myself.

But it speaks volumes about PYC software and consultancy services in Oncology (cancer) drug treatment dosing and combination modelling and simulation that Customers of the calibre of Bicycle/Cancer Research UK keep coming back for their expertise

[the stigologist] 12/6/2020 23:13

I have taken the time to annotate Physiomics recent RNS regarding a Fundraise (27th May 2020). My notes are in blue text

The fundraise level was at 3.5p but the shares closed this week close to 5p which represents, I believe, evidence of a well executed Fundraise because it seems there was little retail/bucket shop involvement and any Institutions partaking seem to be buying in the secondary market providing a strong underlying bid to the stock.

Company : Physiomics
Ticker : PYC
Share Price : 4.70p
Shares o/s : 95.6m
Market Cap : £4.5m
Cash : £1.2m (comprising £0.4m at y/e 2019 + Placing proceeds of £0.8m)
Revenue (CY 2019) : £0.8m
Price/Revenue : 5.5x



Physiomics completes £0.83m (gross) fundraise to fund growth opportunities

Physiomics plc (AIM: PYC), the oncology consultancy using mathematical models and its Virtual Tumour™ technology to support the development of cancer treatment regimens and personalised medicine solutions, is pleased to announce that it has completed a placing and subscription, conditional on Admission, to raise approximately £828,750 (gross) from the issue of 23,678,571 new ordinary shares of 0.4p each ("Ordinary Shares") at an issue price of 3.5p per share, through Hybridan LLP (the "Fundraise").

In the last few years, the Company has made significant progress, including:

• 70% compounded annual growth in total income FY 2017- 2019, culminating in its highest ever total income in FY 2019 of £783k

• >£1m of contracts announced with Merck KGaA since master services agreement announced in November 2017

• Significant new clients CellCentric Ltd (Apr 2018) and Bicycle Therapeutics plc (June 2019) added and repeat contracts signed with both

• Completion of a second Innovate UK grant project focused on personalised treatment of advanced prostate cancer (May 2019) and subsequent presentation of results at NIHR event at Royal Marsden Hospital

• Award of NIHR i4i grant (March 2020) to undertake an observational trial to generate data in support of personalised dosing tool in advanced prostate cancer

• Entering into discussions with companies with an established presence in the field of personalised medicine with a view to exploring how its technology could be commercialised

[NOTE : Of the 6 bullet points 3 are related to Personalised Medicine. Physiomics comparitors in its core M&S business are valued at 15-30x Revenue ! BUT Companies in the Personalised Medicine AI/ML space can be valued at HUNDREDS of Millions e.g. Google took over Deepmind for $500m in 2014 ; Benevolent AI is a £1bn+ Unicorn)]

On 3 March 2020, the Company announced, as part of its unaudited interim results statement, that it held cash and cash equivalents of £434k as at 31 December 2019 and that it had achieved a small positive cash inflow for the six months ended on the same date. On 19 March 2020, the Company further confirmed that it had a strong pipeline of work and the Directors believe that this has been further strengthened since that announcement.

[NOTE : Physiomics already had CASH and was CASHFLOW positive so why raise money ? In my experience when Companies with enough cash raise money it's because a Large Potential Customer is considering a large contract and they want to be sure that the much smaller player will be around to service them in ANY CIRCUMSTANCES so require evidence of a significantly stronger Balance Sheet... and guess what...]

In this regard, in the last two working days, the Company has received a strong indication that a significant contract is likely to be signed with a new large pharmaceutical client, with which it has been in discussions since late 2019. While is it still possible that the potential new client could withdraw, it is the Directors' opinion that this is unlikely. Should the contract be signed, the work is expected to take two of our technical staff around five months to complete.

[NOTE : Physiomics main employees all have backgrounds with GSK and AZN which could point to the 'Large Pharma' being one of those ? There are c.50 Large Pharmas worldwide and outsourcing of specialist but non-core functions like Modelling & Simulation is a big growth industry so even if it isn't GSK or AZN this time, I would expect them to get involved later. One of the major advantages of PYC tech is ability to model combination treatments. Interesting in this regard that PYC's existing Big Pharma customer Merck has major collaborations with Big Pharma like GSK and Pfizer combining treatments in the exact Immuno-oncology space Physiomics software plays into]

In order to further develop its business, the Company is raising funds through the Fundraise to enable it to carry out activities including increasing its sales & marketing spend, recruiting a further member of its technical team and further investing in its personalised medicine technology as well as for general working capital purposes.

Director Participation in the Fundraise

Dr Jim Millen (CEO), Dr Paul Harper (Chairman) and Dr Christophe Chassagnole (COO) have participated in the Fundraise in the amounts of £3,000, £5,000 and £3,000 respectively (the "Directors' Participation") and will be issued 85,715 Ordinary Shares, 142,857 Ordinary Shares and 85,715 Ordinary Shares respectively. On Admission, Dr Millen, Dr Harper and Dr Chassagnole will be interested in, in aggregate, 530,356, 668,564 and 602,723 Ordinary Shares respectively, representing 0.55%, 0.70% and 0.63%, of the Company's then enlarged issued share capital.

[NOTE : This is the first time I can recall that ALL Physiomics Directors participated with their own money in a Placing. Some have made derogatory comments about the 'size' of the involvement. Fact of the matter is many People do not have a lot of spare cash to throw at Investments, one would imagine Directors already have exposure to PYC they should if anything diversify not concentrate exposure, however Management collectively own Shares and Options exceeding 6% of the Company so they are well incentivised and aligned with shareholders]

Dr Jim Millen, CEO said: "We are delighted by the response to this over-subscribed fundraise. We thank our current shareholders for their continued support and have achieved another milestone by welcoming our first small-cap institutional fund onto the register. We believe this is reflective of our strong commercial traction over the last four years.

Our team is committed to continuing to support global pharma and biotech companies in their drug discovery and development endeavours, and these funds will be mainly focused on growing our already strong pipeline of new business opportunities. I look forward to continuing to update shareholders on our progress."

[the stigologist] 12/6/2020 19:00

Apparently people saying they could sell 500k above bid late Friday afternoon

I expect our Institutional Buyer knows there is news coming and wanted to get their order completed this week.

So news due is

1. Institutional Investor TR1 RNS
2. Contract from Large Pharma

We could also get news from left-field :

"There are multiple potential catalysts for share-price appreciation, including further contracts in oncological simulation, or potential industry collaborations on personalised medicine."

[the stigologist] 12/6/2020 16:06

Beautifully poised for next week

News due on multiple fronts

[stoop] 12/6/2020 14:43

Mm fishing for stock
Should turn blue soon

gla

[flashheart] 11/6/2020 10:46

He is often an investing tool that I use. Emphasis on the word 'tool'.

[wooster4] 11/6/2020 10:44

I see iamgreat has turned up here - has there ever been a better buy indicator.

[flashheart] 11/6/2020 10:24

Yes, accumulation still occurring in 200k blocks. TR1 will appear when they've had their fill. An interesting wait for holders......and then of course the contract(s).

[the stigologist] 11/6/2020 09:03

I think it's good news no II RNS yet

To my mind that suggests they are still accumulating which explains steady underlying bid stock has had since Placing

No retail PI bucket shop flippers

[flashheart] 11/6/2020 08:53

I think you're gonna be right.

[aimbagger] 11/6/2020 08:46

Agree, could see another red to blue day today.

[flashheart] 11/6/2020 08:44

Unbelievable that there are still some wishing to sell this morning. Madness.

[aimbagger] 11/6/2020 07:58

Hopefully we can breach 5p today pre major contract news. We know it's coming, anticipation is building.

[the stigologist] 10/6/2020 19:33

Great chart set-up (Golden Cross + Bull Flag?) on PYC

News due on -

1. New and First Institutional Shareholder
2. Significant Contract with a Large Pharma

[the stigologist] 10/6/2020 17:40

Apparently you can't vote posts up twice :-D

[rb1206] 10/6/2020 16:45

stig : Great research as usual and putting your money where you much is....weldone, keep up the good work.

[aimbagger] 10/6/2020 16:31

Superb day, hopefully news is close.

[spacedust] 10/6/2020 16:18

Why is that a eosiclous comparison? If they announce anything dosage related to covid then this will fly look at the market cap you boring Johnson's butt cheek

[spacedust] 10/6/2020 15:54

As long as you make money that all that's matters

And u can't write

[guss] 10/6/2020 15:51

Ha, so I can’t do math and you can’t read, priceless.

[spacedust] 10/6/2020 15:48

Hope this can do a nvct

[stoop] 10/6/2020 15:44

Looking at a strong finish

[mam fach] 10/6/2020 15:38

I'm holding on to mine.
Looks like news on the way.Price Creeping up nicely.

[markth126] 10/6/2020 15:34

Also only 95m shares in issue most which will be pretty sticky therefore likely to push up once herd arrives. And fast like last time good luck all right place right time hopefully