Epcoritamab is a monoclonal antibody commercialized by Genmab, with a leading Pre-Registration program in Diffuse Large B-Cell Lymphoma. According to Globaldata, it is involved in 15 clinical trials, of which 1 was completed, 13 are ongoing, and 1 is planned. GlobalData uses proprietary data and analytics to provide a complete picture of Epcoritamab’s valuation in its risk-adjusted NPV model (rNPV). Buy the model here.

The revenue for Epcoritamab is expected to reach an annual total of $1.84 bn by 2035 globally based off GlobalData’s Expiry Model. The drug’s revenue forecasts along with estimated costs are used to measure the value of an investment opportunity in that drug, otherwise known as net present value (NPV). Applying the drug’s phase transition success rate to remaining R&D costs and likelihood of approval (LoA) to sales related costs provides a risk-adjusted NPV model (rNPV). The rNPV model is a more conservative valuation measure that accounts for the risk of a drug in clinical development failing to progress.

Epcoritamab Overview

Epcoritamab (GEN-3013) is under development for the treatment of lymphoma, relapsed and refractory chronic lymphocytic leukemia, diffuse large b-cell lymphoma, primary mediastinal b-cell lymphoma, follicular lymphoma, Burkitt-like lymphoma/leukemia, nodal marginal zone b-cell lymphoma, mantle cell lymphoma, marginal zone b-cell lymphoma (nodal marginal zone B-cell lymphoma and extranodal marginal zone B-cell lymphoma), high-grade b-cell lymphoma, small lymphocytic lymphoma and B-cell non-Hodgkin lymphoma, indolent NHL. The drug candidate is administered subcutaneously. It is a bi-specific antibody targeting CD20 and CD3. It is developed based on DuoBody technology that generates stable bi-specific antibody therapeutics.

Genmab Overview

Genmab is a biotechnology company that develops differentiated human antibody therapies for the treatment of cancer and other diseases. The company’s marketed antibodies include ofatumumab (Kesimpta) for the treatment of relapsing multiple sclerosis, daratumumab (Darzalex) for the treatment of AL amyloidosis and multiple myeloma, and teprotumumab (Tepezza) for thyroid eye disease. Its products are based on proprietary antibody technologies, namely, HexaBody, DuoBody, DuoHexaBody, and HexElect technologies. The company works in partnership with various pharmaceutical and biotechnology companies for the co-development and commercialization of antibody-based products. It operates in Denmark, the Netherlands, Japan, and the US. Genmab is headquartered in Copenhagen, Denmark.

The company reported revenues of (Danish Krone) DKK8,482 million for the fiscal year ended December 2021 (FY2021), a decrease of 16.1% over FY2020. In FY2021, the company’s operating margin was 35.6%, compared to an operating margin of 62.4% in FY2020. In FY2021, the company recorded a net margin of 35.5%, compared to a net margin of 47.1% in FY2020. The company reported revenues of DKK4,087 million for the third quarter ended September 2022, an increase of 29.3% over the previous quarter.

For a complete picture of Epcoritamab’s valuation, buy the drug’s risk-adjusted NPV model (rNPV) here.

GlobalData

GlobalData, the leading provider of industry intelligence, provided the underlying data, research, and analysis used to produce this article.

To create this model, GlobalData takes into account factors including patent law, known and projected regulatory approval processes, cash flows, drug margins and company expenses. Combining these data points with GlobalData’s world class analysis creates high value models that companies can use to help in evaluation processes for each drug or company.

The rNPV method integrates the probability of a drug reaching a clinical stage into the cash flow at that time, which provides a more accurate valuation, as it considers the probability that the drug never makes it through the clinical pathway to commercialization. GlobalData’s rNPV model uses proprietary likelihood of approval (LoA) and phase transition success rate (PTSR) data for the indication in the highest development stage, which can be found on GlobalData’s Pharmaceutical Intelligence Center.