Allarity Therapeutics partners with IBRI on cancer drug research

Published 04/06/2025, 13:20
Allarity Therapeutics partners with IBRI on cancer drug research

TARPON SPRINGS, Fla. - Allarity Therapeutics Inc. (NASDAQ: ALLR), a clinical-stage biopharmaceutical company with a market capitalization of $13.25 million, has announced a research collaboration with the Indiana Biosciences Research Institute (IBRI) to enhance the understanding of stenoparib, its cancer drug candidate. According to InvestingPro data, the company maintains a healthy liquidity position with a current ratio of 2.66, though it faces significant operational challenges with negative EBITDA of $16.32 million. The partnership focuses on investigating stenoparib’s dual mechanism of action as a PARP and WNT pathway inhibitor, which may offer a novel approach for treating various resistant cancers.

Stenoparib, currently in Phase 2 trials, is designed to selectively kill cancer cells by impairing DNA repair and inhibiting the WNT signaling pathway, often associated with advanced-stage diseases and chemoresistance. The collaboration aims to provide insights into the drug’s biological effects and support potential marketing approval efforts.

Thomas Jensen, CEO of Allarity Therapeutics, emphasized the importance of this research in understanding the drug’s dual biological effects, which could enhance patient selection strategies and potentially open new therapeutic opportunities. The company’s proprietary Drug Response Predictor (DRP®) technology is expected to benefit from these findings by potentially improving the selection of patients who are most likely to respond to stenoparib.

The partnership with IBRI is part of Allarity’s commitment to data-driven development and personalized oncology, aiming to address unmet medical needs in cancer treatment. InvestingPro analysis reveals the company is currently burning through cash rapidly, though it maintains more cash than debt on its balance sheet. For deeper insights into Allarity’s financial health and 10+ additional ProTips, consider exploring InvestingPro’s comprehensive analysis tools. Stenoparib, originally developed by Eisai Co. Ltd., targets PARP1/2 and tankyrase 1/2, with Allarity securing exclusive global rights for its development and commercialization.

The collaboration underscores Allarity’s strategy to engage with leading oncologists and biotech investors by providing a deeper mechanistic understanding of stenoparib’s action. It also aims to refine the DRP® companion diagnostic, which is based on mRNA expression profiles from patient biopsies and has shown significant predictive ability across clinical studies.

While the company has forward-looking expectations for the collaboration, it acknowledges the inherent risks and uncertainties in drug development and regulatory processes. The insights from the partnership with IBRI are anticipated to contribute to the ongoing Phase 2 trial in advanced ovarian cancer and a combination trial for recurrent small cell lung cancer. Trading at $0.88 per share, the stock has experienced significant pressure, declining 24.87% year-to-date. InvestingPro’s Fair Value analysis suggests the stock may be undervalued at current levels, though investors should note the company’s weak overall financial health score of 1.61 out of 5.

This research initiative is based on a press release statement and represents a factual account of Allarity Therapeutics’ collaborative efforts to advance cancer treatment.

In other recent news, Allarity Therapeutics has announced promising clinical data from its Phase 2 trial of stenoparib for advanced ovarian cancer. The trial results, presented at a recent oncology meeting, revealed that some patients experienced prolonged benefits, with one achieving a complete response lasting over ten months. Additionally, Allarity unveiled a new Drug Response Predictor (DRP®) for daratumumab, aiming to enhance patient selection in multiple myeloma treatments. In another development, the company has partnered with Shareholder Intelligence Services to investigate potential stock manipulation, focusing on illegal short-selling activities. Allarity has also settled a U.S. Securities and Exchange Commission (SEC) investigation regarding past FDA disclosures, agreeing to a $2.5 million civil penalty without admitting or denying the findings. These developments do not impact the company’s financial outlook, with operations expected to continue into 2026. CEO Thomas Jensen has emphasized the importance of these initiatives for advancing Allarity’s clinical programs, particularly the development of stenoparib.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.