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COPENHAGEN - Evaxion Biotech (EVAX), a clinical-stage TechBio company with a current market capitalization of $11.9 million, has announced advancements in its Phase 2 trial for the EVX-01 cancer vaccine, including a high immune response rate and the dosing of the first patient in a trial extension. The company also reported a strengthened financial position with sufficient cash to support operations until mid-2026.
Evaxion’s EVX-01, a personalized cancer vaccine candidate for advanced melanoma, demonstrated an 80% hit-rate for triggering tumor-specific immune responses, according to data presented at the American Association for Cancer Research (AACR) Annual Meeting in April. This rate surpasses previously reported figures for similar vaccine candidates. According to InvestingPro analysis, the stock currently shows signs of being slightly undervalued, with analysts maintaining a strong buy consensus.
The company’s AI-Immunology™ platform has been further optimized through the analysis of extensive cancer samples, supporting the development of a precision cancer vaccine targeting non-conventional endogenous retrovirus (ERV) tumor antigens.
Evaxion’s collaboration with MSD on the EVX-B2 and EVX-B3 programs is progressing, with potential option exercises anticipated in the second half of the year, which could lead to significant milestone payments and royalties on future sales.
Financially, Evaxion’s cash and cash equivalents have risen to $17.8 million as of March 31, 2025, from $6.0 million at the end of 2024, due to successful capital market initiatives. The company’s R&D expenses decreased to $2.2 million in the first quarter of 2025, compared to $2.8 million in the same period of 2024, reflecting cost management efforts.
Despite no revenue recorded in the first quarter of 2025, financial income was driven by $2.2 million from remeasurement of derivative liabilities. The net loss for the period was $1.6 million, or $(0.01) per share, compared to a net income of $1.2 million, or $0.03 per share, in the first quarter of 2024. Analyst projections compiled by InvestingPro indicate expectations of continued losses this year, with price targets ranging from $6.00 to $19.75.
Evaxion’s agreement with the European Investment Bank to convert €3.5 million of a €7 million loan into an equity-type instrument is expected to finalize in the second quarter of 2025, which will enhance the company’s equity and financial flexibility.
The information in this article is based on a press release statement by Evaxion Biotech.
In other recent news, Evaxion Biotech has reported improved financial results for the fourth quarter of 2024, with revenue reaching $3.3 million, primarily from a licensing agreement with MSD. The company also reduced its net loss to $10.6 million, a notable improvement from the previous year’s $22 million loss. These results have extended Evaxion’s cash runway to mid-2026, providing financial stability as it continues to advance its personalized cancer vaccine programs. Additionally, Evaxion’s lead vaccine candidate, EVX-01, has shown a promising tumor-specific immune response in 80% of cases during its phase 2 trial, which is being conducted in combination with Merck & Co.’s KEYTRUDA®. The company plans to present the latest immune response data at the upcoming American Association for Cancer Research (AACR) Annual Meeting. Furthermore, Evaxion has extended the EVX-01 trial to a third year to assess the vaccine’s full potential, with a two-year clinical data readout expected in the second half of 2025. In other developments, Evaxion’s strategic initiatives have been bolstered by a recent $17 million capital raise through a public offering, ensuring a solid foundation for future growth.
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