Q1 2023 Cellectis S.A. Earnings Call
Good morning, everyone and welcome to selective first first quarter of 2023 earnings call. At this time all participants are in a listen only mode. Later, we will conduct a question and answer session and instructions will follow at that time. Please be aware that today's conference call is being recorded.
I'd now like to introduce the first speaker Arthur stall Chief Business Officer. Please go ahead Sir.
Good morning, and welcome everyone to select this first quarter of 2023, corporate update and financial results Conference call.
Joining me on the call today with prepared remarks are Dr. Terrell officially got our Chief Executive Officer, Dr. Theyre being Wang our Chief Financial Officer, and Dr. Marc <unk>, our Chief Medical Officer.
Yesterday evening selective issued a press release reporting its financial results for the three months period ended March 31st 2023.
The report and press release are available on our website and selected telecom.
As a reminder, we will make statements regarding selected financial outlook. In addition to its manufacturing regulatory and product development standards in pounds and product development of its licensed partners.
These forward statements, which are based on management's current expectations and assumptions and on information currently available to management.
Information provided or otherwise publicly reported by our licensed partners.
Are subject to risks and uncertainties that may cause actual results to differ from those forecasted.
A description of these risks can be found in our most recent form 20-F filed with the Securities Exchange Commission S E T and the financial reports, including the management report for the year ended on December 31, 2022, and subsequent filings selected it makes with the SEC from time to time.
I would now like to turn the call over to Andre.
Thank you Arthur good morning, and thanks for everyone for joining us today.
<unk> made significant progress with the pipeline this quarter we.
We took a notable step forward with the first patient being dosed in France with our in house manufactured product candidate New car T 22 evaluated in the valleys tier one clinical study.
This is an important advancement for the selected team who has worked tirelessly to expand valleys tier one clinical study to Europe .
New car T. 22 is currently the most advanced allogeneic car T cell product enter blocker for relapsed or refractory b cell acute lymphoblastic leukemia.
We believe that our off the shelf treatment approach.
Coupled with our ability to manufacture your car T product candidates.
Completely in house.
Give us a competitive advantage under market.
It's potentially maximize the chances.
For eligible patients to be treated without delay.
Depicted the bumping shrunk our partnerships proved to be an exciting highlights for select.
Last month, we announced that we had implemented the use of no fees I went to the map.
Selected investigators medicine called coded.
Coated E L F 52.
Part of the link for depletion regimen for your car T 22 in the valleys tier one clinical trial.
<unk> Q1, two three in the Abilene zero, one clinical trial.
For your car T 20 by 22, the <unk> clinical trial.
This followed the partnership.
And supply is the agreement that we entered with regarding Alex isn't it.
This quarter, we were proud to present encouraging preclinical data.
As a T shirt for cancer research annual meeting on.
Palin Mach one car T cells in hand.
I think as he is targeting triple negative breast cancer.
The data showed the capability of armored allogeneic <unk> car T cells.
To keep the gene editing.
So and the immune suppressive tumor microenvironment, suggesting that it could be an effective option.
Treating patients with limited therapeutic options.
We're proud of these results reinforced the performance of our technology and our commitment to treat cancer patients.
We also announce the two abstracts have been accepted.
Coming American society of cell and gene therapy annual meeting.
Selected smoked presented clinical data on the amyloid zero, one clinical trial and the groundbreaking new car T 123.
That's we're already showcased in an oral presentation at the 2022 ash annual meeting.
As well as preclinical data on multiplex engineering or superior generation of car T cells.
Those presentation will take place on May 17th in Los Angeles.
This quarter like this announced the closing of the global offering of $25 million.
Depositary shares.
In February the net proceeds of the global offering its approximately $22 $8 million.
Finally in April we announced that the drove down of the first tranche of the 20 million euros under the finance contract for up to 40 million euros credit facility made with European investment Bank in December 2022.
But this plan to use the net proceeds of the firm to focus on the development pipeline with allogeneic car T cell product candidate.
Your car T 22, your car T 20 by 'twenty, two and your car T 123, and decided to stop enrollment and treatment of patients with your car T. Yes, one.
So I try to speed up enrollment of patients into melon easier one study evaluating new car T y.
The company would have had to invest a meaningful amount of resources.
Therefore to optimize resources liked it decided to focus its efforts on the valley Gerald Wong amyloid zero, one naturally tier one study and stop Melanie Sarawak.
Lastly, based on your current plan, we anticipate our cash runway to take us into the third quarter of 2024.
We're excited about the drive in our clinical trial building on the momentum of our lead product candidates in our pipeline and upcoming milestones for 2023.
I would like to turn the call over to Dr. Mark spreadsheet.
Chief Medical Officer, who will give us an overview of these clinical trial Mark. Please go ahead.
Thank you Andre as Andre mentioned, we have made progress in our Bali O. One clinical trial with the dosing of our first patient in Europe with our in house manufactured product candidate you acquired 22.
You've heard 22 is an allogeneic car T cell product candidates that target CD 22, and is evaluated in the valley Oh, one clinical study of phase one to a open label study designed to evaluate the safety and clinical activity of the product candidate in patients with relapsed refractory b cell.
Cute lymphoblastic leukemia.
The last preliminary data presented in a live webcast last December support the continued administration of <unk> 22. After F. C. A limbo depletion in patients with relapsed refractory b cell a O L and are very encouraging for patients who have limited if any treatment options.
Especially for those who have failed prior CD 19, directed car T cell therapy, and allogeneic stem cell transplant.
The value of one study is actively enrolling patients after F C. A and then part of depletion.
Our army of one study evaluating new car at $1 23 in patients with relapsed refractory AML continues to progress and enroll patients in the FCA two dose regimen harm we look forward to sharing clinical data from this program when it becomes available.
Next I'll move on to our Melanie one clinical trial of our C. S. One directed tailing gene edited allogeneic car T cell product candidate being evaluated in patients with relapsed or refractory multiple myeloma.
As Andre previously mentioned in order to focus on the development of our pipeline of Allogeneic car T cell product candidates. You acquired 22, you acquired 20 by 22 and <unk> three we decided to stop enrollment and treatment of patients in the Melanie one study evaluating C U E.
Last one.
Lastly, I will speak about our <unk>, one study evaluating <unk> <unk> 'twenty by 'twenty two.
You hired 20 by 'twenty two is select us as first allogeneic <unk> car T cell product candidate being developed for patients with relapsed or refractory b cell non hodgkin lymphoma.
<unk> 'twenty by 'twenty. Two is also the first product candidate selected has designed developed and manufactured completely in house.
In addition, the advantage of your acquired 20 by 'twenty two is that it goes beyond the highly competitive CD 19 antigen directed therapy space by providing a dual antigen CD 20, and CD 22 targeted allogeneic alternative.
So like this is now enrolling patients in an absolutely Oh one trial.
Lastly, as Ondrej mentioned select this announced that we have implemented the use of Sanofi is al choose a man as a select this investigational medicinal product coded as C. O L. S 52, as part of the LIFO depletion regimen in the Bally O. One homily O one and then.
And then naturally our one clinical trials.
As previously reported the importance around <unk> and the lymphoid depletion regimen was demonstrated in our Bollea one anomaly one studies, where the addition of this lymphoid depletion agent to the Fludarabine and cyclophosphamide regimen was associated with sustained input depletion and.
The higher U car T cell expansion, allowing for greater clinical activity.
We believe these encouraging outcomes are a meaningful step forward to a safe effective and controllable therapeutic window for our allogeneic car T cell product candidates.
With that I would like to hand, the call over to Dr. Being one select as soon as Chief Financial Officer for an overview of our financials for the first quarter of 2023.
Please go ahead.
Thank you Mark.
I'll provide a brief overview of our financials for the first quarter of 2023.
Like to highlight that our financials, our cash cash equivalents and restricted cash position was select us excluding calix as of March 31st Tony twenty-three was 88 million.
Paired with $95 million as of December 31, 2022.
This difference mainly reflects 30 million of cash out which includes 6 million of payments.
R&D expenses 4 million for SG&A suppliers 15 million for staff costs 4 million for rent and taxes.
Millions of reimbursement of the PGE load and a 23 million net cash inflow from the capital raise closed in February .
This cash position is expected to be sufficient to fund so like the stand alone operations into the third quarter of 2024.
On January 13, 2000, and twenty-three Calix C base and certain other parties entered into a merger agreement pursuant to which Calix C bus will emerge in an all stock transaction.
Following the closing of the proposed calix murder select us SA is expected to own approximately 2.4% of the <unk>.
Equity interests of the combined company.
Accordingly.
Proposed K lakes merger is consumed that would result in a loss of control or calix and calix.
No longer be a consolidated subsidiary.
The closing of the proposed calix merger is expected in the second quarter of 2023.
In this context calix is presented as discontinued operations in our financial statement for the year three months period ended March 31.
The net loss, excluding K legs was $20 million in the three months of 2023 compared to a loss of 28 million three months ago 2022.
0.5 million decrease in net loss between 2023.
Tony Toy too was primarily due to a decrease of $4 million in purchases and external expense as a result of quality and manufacturing internalization.
Decrease of $3 million in personnel expenses due to headcount rationalization.
And almost fully offset by an increase of net financial loss of $5 million due to site Tobey is convertible no loss in fair value and the increase of other operating expense of $1 million.
The net loss attributable to shareholders are a select us, including helix was $30 million or 58 per share in the three months of Tony twenty-three compared to a loss of $32 million or 70 cents per share in the three months of 'twenty to 'twenty two.
There's 2 million decrease in net loss between 2023.
2022 was primarily driven by a decrease of net income from discontinued operation.
Attributable to shareholders of selectors of $1 million.
The adjusted net loss attributable to shareholders of select us, including Calix, which excludes noncash stock based compensation expenses was $28 million or 55 cents per share.
And the three month of 2023 compared to a loss of $29 million or 64 cents per share in 2022.
The tranche a of 20 million euro or the credit facility. We got from the European investment Bank was received in April .
We are laser focused on spending our cash on developing our clinical candidates and operating our state of the art manufacturing facility in Paris and in Raleigh.
In addition, our focus on maintaining an efficient corporate infrastructure should also enable a more limited growth in G&A spend.
Back to you Andre.
Thank you binnie.
Closeout this call I would like to reiterate how excited we are about the continued progress of our clinical trial.
Coming milestones for 2020 three.
Pioneering this field selected continuously leverage as gene editing and the theory of breakthrough innovation into clinical development in order to transform the lives of.
Patient with cancer and rare genetic diseases.
And we look forward to continuing this effort in the second quarter of 2023 and beyond with that I would like to open the call for Q&A.
Yeah.
Thank you we will now be conducting a question and answer session. If you would like to ask a question. Please press star one on your telephone keypad, a confirmation tone will indicate your line is another question queue. You May press star two if he would like to remove your question from the queue.
Participants using speaker equipment, it may be necessary to pick up your handset before pressing the star key.
One moment, please only call for a question.
Okay.
Our first question comes from Gena Wang with Barclays. Please proceed with your question.
Thank you for taking my questions I have three very quick one first one is you call. Once you see you will present data at the Aes GCT to abstract looks similar.
That's just last ash, so wondering what kind of a new data we will see at TCT.
Second question is are you cartoony chew since you completed the first patients are complete.
Complete 2018.
Dose limiting tox Hewitt any additional waiting kiewit for you in order to dose the next patient and what would be the plan for next steps.
Lastly, very quickly furby.
According to the cash guidance or should we expect largely flat quarter over quite a billing.
Hi, Gena. Thank you so much for are these great questions. So I will start with Mark for the first two on 123 in 'twenty, two and then being for the financial question.
Thanks, [laughter]. Thanks Gena for the question. So in regards to your first question about 123.
Yes, there is an oral presentation at <unk> coming up in a couple of weeks and it is an encore.
The presentation of the of the Ash presentation in that in that Forum.
As you know we are as we discussed in December we are proceeding with enrollment in the two dose regimen arm.
And that data will be presented later when available.
In terms of your second question about 'twenty two.
Yes, there is a full DLT waiting period of 28 days between the first and second patient, but subsequent patients can be enrolled simultaneously.
And we will be updating the 'twenty two data later this year as well.
Hi, Gena regarding the cash burn question, yes quarter over.
Quarter over quarter burn should be flat for the rest of this year.
Thank you very much.
Okay.
Our next question comes from Seattle.
Cargo.
With your question.
Hi, Thanks for taking our question D C Kwan for Yanan.
Back to you call. It 22 can you comment on how your in house product performs compared to the previous panned out so far.
Yeah.
Hi, Glen Great question that would be for mark as well.
Hi, Thank you for the question. So yeah. As you know we are currently enrolling both in the EU and the U S with our it completely in house manufactured you Cry 22 products and as I said from the previous question, we will be updating that data later this year.
Got it.
Another question now and until something I Wonder if you can comment on how adding Adam Tuesday may affect the old barrels head fake teeth.
Thank you.
Sure So as we've already presented at.
As our prior two times with the 22 product and and last December with the 123 product beyond she's a mab component of Lindbergh completion.
It's very important for allowing for sustained lymphoma depletion and optimal yield.
Expansion and therefore, it kind of clinical activity and what we did show in looking at the Aes that were presented for both products, whereas that there was no significant difference in terms of safety with the use of either with or without the use of alemtuzumab those were very equivalent.
Got it and that's question a very quick one for the two dose regimen given that some.
Researchers suggest Ah patient.
Pardon me, a fact that a great out C. R. A.
Is it the company's plan that you would adjust the dose level based on patients disease burden.
Thank you.
Yeah, Great question, so with the two dose regimen as we discussed in December .
We're starting we began enrollment with dose level dose level, two which was the dose that was cleared for safety.
As a single dose regimen by the data safety monitoring board for the study.
And so the the regimen is T doses of dose level to.
That are given during the study.
And the you know.
The hypothesis going in obviously is that with the second dose there will be given in a in a state where there's a much lower disease burden.
And therefore as has been shown before a much lower level of potential Crs in.
In that situation.
Got it thank you so much.
Our next question comes from Eagle National debt.
Citigroup. Please proceed with your question.
Oh, hi, Thanks, just a few questions could you just comment on the level of enthusiasm for enrolling.
Your car a 'twenty one 'twenty two program please.
Mark.
Sure. Thanks for the question. So there is and there is an extreme extreme.
Enthusiasm for this study from all the investigators that have the study opened so far theyre very excited too.
To proceed with this dual allogeneic car T. So and in particular, because it does not involve CD 19, so it's out of the 19th space.
Okay.
And then you mentioned or you call 22, you completed the 28 day, you'll see periods. It can you.
Comment any further on the safety that was observed in that on that initial period.
Yeah. So for as we said for the 22 there'll be a data update later this year about the the patients enrolled with a P to them that we will.
Disclose at that time.
Okay, and then with regard to Melanie Oh, one is the reason for that because you just had difficulty competing with the B C. M. A bi specifics is.
Is that right or is there a difference.
Yeah. Thanks, Yigal Andrea do you want to take this one first.
Hi, yes.
It definitely the competition between older.
Called out that are currently either approved or in the clinical the block that makes our enrollment are difficult and.
What we're getting currently in the trial or patients as we've shown in the past with multiple lines of treatment.
And also we need to we manufactured the product.
So the current prologue that we're using.
It was essentially manufactured that social cure and we think that it's essential to manufacturer ourselves prologue, we'd see it with 'twenty, two and 'twenty by 'twenty two.
It makes a huge difference and so the arbitration has like either you open more sites and probably outside the United States.
And you can get this thing going or you try to focus and focus has been it's a choice in the current.
Conditions.
I see thank you.
Given the drive we have for 'twenty, two and 'twenty by country.
Okay.
Okay got it got it thanks.
Yeah.
Yeah.
Our next question comes from Sal <unk> with Goldman Sachs. Please proceed with your question.
Hi, This is Amit on for Zalviso. Thank you for taking our question.
Just another question on the <unk> One program do you anticipate bringing it back at some point given the opportunity for a non b S. B CMA targeted car T and car T. In the multiple myeloma space and then.
Are there any patients that have been dosed already from this program and would we see data from those patients.
And then just a quick follow up on C. D. On CD 20 by 'twenty two I guess I'm. You know are you targeting mostly the CD 19, naive or C. D 19 relapsed patients.
Then in that context, what clinical profile are you looking to achieve relative to the approved CD 19 therapy or therapies or <unk>.
Our CD 19 program. Thank you.
Hi, Thank you very much for the question I'll leave the first question on San Juan as Andre and then Mark for 'twenty by 'twenty two.
Yes. Thank you very much for the question well.
We really like the target T S. One.
And we believe that it's a very interesting alternative to the CMA.
We've already presented data in the past and we showed Uh huh.
Your car T shifts one can provide like meaningful tumor reduction in like had some patients that trend.
Into southern CR, because like the M protein is still quite high but then.
D G P R Mark.
Correct me concerning this but we definitely think that it's a it's a great target for us it's something that has been an arbitration that we really needed to do and I think that is healthy for the company, but of course, if we have a dip.
Potentials to to change of course, so Oh this, especially if we have like the means to do it we would definitely we started as we believe that's yes. One is a huge alternative to two two to two bcm in all the multiple myeloma.
Current products that are developed it's a validated target was limited.
It was Susan that.
And.
Cell phone into depleting so its great its own space. So theres a lot of features are extremely interesting, but you have to we manufactured the product currently.
Given the performance of our group currently and this is something we would like to focus on their current a driver in the company, which our 'twenty to 'twenty, one 2021 to two.
Mark.
Okay. Thanks, Andre So and now go to the 'twenty one 'twenty two question. So yes. So patients that have had prior CD 19 directed therapy of any variety are eligible for this study and in addition.
Patients that obviously could not receive CD 19, directed therapy for one reason or another are also eligible for this study.
Thank you and just.
A follow up what Tom.
Profile are you hoping to achieve with this program. Thank you.
Right now it's it would be considered as an additional line past CD 19 directed therapy.
Our next question comes from Kelly <unk> with Jefferies. Please proceed with your question.
Yeah.
Hi, This is Paul on for Kelly. She I have a couple of question. One is you mentioned runway into the third quarter of 24 I just wanted to make sure does it include any milestone payments also any thoughts on <unk> on <unk>.
H M in Florida.
Oh.
Thank you hi, Thank you for the question so being for the runway and then Mark a two dose regimen on 22.
Yes, we've included some probability adjusted.
What I'm, saying pretty conservative bar part.
On the milestone to provide the runway guidance to third quarter of 2024.
And then for the second question about 'twenty two so right now the trial is structured obviously is a single dose.
Our regimen, which we will you know continue to evaluate as we move forward.
Okay.
Our next question comes from how did the same with Oppenheimer. Please proceed with your question.
Great. Thank you thanks for the question.
Yep.
Good to hear everybody's voice.
Just wanted to.
Costco more holistic question, maybe just stepping back.
You had mentioned previously that.
I believe is for value among the patients would be post.
<unk> car T in stem cell therapy.
And correct me if I'm wrong can.
Can you give us an idea for Bali and I think you mentioned this for for Emily and then for National Mi.
What line of patients generally are you recruiting.
You know for these for these studies right now.
And then secondly.
I assume you know you have ongoing discussions with regulators if you get to a recommended phase two dose can you just kind of walk us through quickly what sort of dose expansion trials could be look forward toward these I know.
That could be.
Well there might be some hypotheticals, there, but it would be nice to get it. Thank you.
Thank you hard task for the questions and I'll give them to mark.
Thanks for your time is good to hear you.
In terms of the the first question in terms of the studies.
What we did you know that these patients are all heavily heavily pre treated and so what you know what we've disclosed for 'twenty two from the obvious prior to ashes, where we presented our a lot of these patients fail 19 directed therapy.
At least you know some blended tumor map some blended tumor biopsies 19 are.
That's how I guess are car T cells.
As well as in its use of mab as well as allogeneic stem cell transplant. So they really truly really have no other treatment options for a lot of these patients due to all the lines of therapy that they failed for 123, it's very similar because.
Does AML as you know very aggressive very refractory.
In these patients once they relapse.
And are they failed multiple different chemotherapeutic regimens.
You know some small molecule targeted regimens and almost a you know greater than almost three quarters. Two thirds to three quarters have failed an allogeneic stem cell transplant and those that haven't failed transplant have been such that they've been refractory and haven't had a significant risk.
Bonds to even go on to transplant. So again. This is the kind of you know heavily pretreated patients we're seeing.
123, as we've presented before and was 20 to 20 by 'twenty two as we just discussed and again these are going to be patients that are going to be a heavily pre treated and and they will be an additional line at least in one additional line beyond their first CD 19 directed therapy.
In terms of your second question again this is stuff that's currently being discussed.
Discuss with.
With the regulators you know what we have yes, you know what we have disclosed obviously the AR. The ALR study will be open to Hum young adults and older adults and down to the age of 12, once we get into expansion from their PD.
Hatrick perspective for one twenty-three, it's obviously right now it's adults 18 and 18 to 65.
And for 'twenty, one 'twenty two and it's also in the adult space, but we are with 18 to 80 and currently as we've discussed the the logical first expansion cohort is in the large b cell.
Homer space due to the.
Due to the incidents to high incidence.
Great. Thank you Mark really appreciate all the color.
Okay.
Our next question comes from Jack Allen with <unk>. Please proceed with your question.
Great. Thank you for taking my questions and congratulations on all the progress in the quarter I guess the first question I just wanted to confirm you mentioned the S. G. T. A presentation of the AML data will be an encore presentation will there be any additional follow up of patients in that in that presentation or it will just be a more of an encore as it relates to ash.
Then as it relates to 'twenty, one 'twenty two.
A few comments that you're enrolling patients in the study, but I was wondering if you could provide some additional thoughts around.
The dose levels that you've reached an end what we should think about as it relates to data readouts as they move through the year from the 2022 program. Thank you so much.
Hi, Jack Thank you so much on a these are great questions for Mark.
Hi, Jeff. Thanks for your question. So yeah. So in terms of the SEC T. R O for $1 23, it will be an encore of the ash presentation.
With the with the data cutoff used for ash for 'twenty, one 'twenty two.
As we've discussed.
Discussed before we expect to disclose first in first in human data for this study later this year. So we'll go we'll go through the first patients that have been treated.
Great. Thanks, so much.
Our next question comes from Sylvan sure Ken Janke Yan Securities JMP Securities. Please proceed with your question.
Yeah, Good morning, and thanks for taking my question.
Question about your manufacturing capabilities. So clearly you can manufacture for.
All in house and in the U S and in Europe at this point.
Are there any access cash.
Capacities that you could potentially monetize in the short term or.
What do you do you just kind of fully use that for yourself. Thank you.
Thanks, Kevin Great question, and I think that one would be for Andre.
Okay.
Well first of all we're extremely proud of.
<unk> kicked off.
And I think that it will.
Yes.
A blessing.
The strategy that we took initially it was like before Covid.
To integrate all the chain of manufacturing means like some buffers to DNA two rovs too.
Final prologue to even for commercial that had been internalized and did.
Those tomorrow internalizing things and I don't know in which a physician who would be wouldnt have taken this decision previously with the.
Second thing that we're excited about.
This year as Mark is saying since the beginning of the cold.
Is present you the data to date the total debt that's been manufactured internally in the performance of our manufacturing now.
Now is this manufacturing is essentially.
For internal use.
We're always open to manufacturer for our partners.
This is not positioned itself as a potential CMO and this is not our business and there is an offer that is driven by series of setting those outside.
Now if there's a potential to monetize this so there's always this option is always open but we don't think so.
Something must be discussed today because.
The opportunity of this but it's definitely an asset that's late this has.
And it's a very strong asset.
We'd like to keep internal so far.
I think that makes a big difference and there is two categories of cell and gene therapy companies the ones that know how to manufacture the cobalt and others inflicted is among the first to get the dirty that I think would distinguished himself.
Okay.
Thank you.
Thanks for the question.
Our next question comes from Ingrid guests Shlomo with Garnier. Please proceed with your question.
Hi, Thanks for taking my questions good morning.
I have two questions for me so far.
First one you mentioned that you have.
Hum great to say, if they were arent as Margaret Kirkpatrick.
Sure.
Can you just remind us how the regulatory landscape might look like but we have key aren't there's nothing.
And of course <unk> got enough.
Or do you have to do something you've kind of allowed to get this approved.
Absolutely because she regimen Chicago restart.
<unk>.
And my second question is regarding them.
Next you have to be obtained from the ERP launch when do you know roughly expect timeline.
Rebecca.
Thanks.
Okay. Thank you Ingrid that maybe I can speak a little bit about the alemtuzumab given the partnership that we have with Sanofi and then hand, it over to being for D. I B.
So you're absolutely right and weed in 2020, one we signed up a strong partnership with Sanofi.
On the supply of Alemtuzumab and as you know the Alemtuzumab is already an approved product in other indications. So we definitely expect to leverage that and the agency's familiarity with that product of course will have to demonstrate that the importance of attitudes of mapping our car T trials, which as Mark has highlighted we have OLED.
And then disclose data for so you got to win 23 in new car 'twenty, two but we definitely expect that through a partnership with Sanofi in the agencies prior familiarity with Alemtuzumab.
The approach will be streamlined as opposed to a completely novel agent.
And being for the EIB.
Great. Thank you Andrew for the question.
So first of all.
Also want to highlight and there was a question earlier on the cash runway.
Is the cash balance that we reported for Q1 does not include the.
The 20 million Euro tranche a of the EIB.
She came in because that came in April so that 20 million Euro is not reflected in Q1 cash balance and that's in tranche a.
And your question regarding tranche B.
We have already satisfy the financial precedent conditions for tranche B, which is.
As a result of our equity raise in February and also as a result of the 50 million Euro.
Milestone payment that came in in December of 2022.
When do we plan to draw on it depends on when we plan to issue the warrants for the necessary drawdown of the tranche B, which is 50 million euro and that we have not made a decision at this point, but I just wanted to highlight that we have satisfied the precedent conditions to draw this 15 billion euros.
Great and you can ask a follow up and Oh, yeah current cash guidance.
So much risk adjusting and taking to account for it to have that cause that change or is that not in your current right.
So our cash guidance for the third quarter of 'twenty 'twenty four assumes that we will draw down on tranche b of the European investment Bank loan.
It's clear thank you very much.
Thank you for your question.
We have reached the end of our question and answer session I would now like to turn the floor back over to Mr. Shaw for closing comments.
Okay.
Well. Thank you everyone for attending this this earning call. We're extremely proud of what has been achieved so far we think that 'twenty two 'twenty three and next 12 to 18 months are going to be extremely rich has been described in the presentation.
The.
Event rates for the company and we're very excited by the products. We're developing we think that the company is focused more than ever.
Its resources and grateful of Bedford, the bluffing and.
Look forward for the next subject.
So very much and wish you a great day.
This concludes today's conference you may disconnect your lines at this time. Thank you for your participation.
Yeah.
Okay.
Okay.
[music].
Uh-huh.
[music].
Yes.
Uh huh.
Yeah.
Okay.
Okay.
[music].
Yeah.
[music].
Yes.
[music].
Yeah.
Okay.
Okay.
[music].
Okay.
[music].
Yeah.
[music].
Yeah.
[music].
Okay.
Uh huh.
Uh huh.
Yeah.
Yeah.
Okay.
Okay.
[music].
Yeah.
[music].