Oratrope is a small molecule commercialized by Lumos Pharma, with a leading Phase II program in Growth Hormone Deficiency. According to Globaldata, it is involved in 17 clinical trials, of which 7 were completed, 5 are ongoing, 2 are planned, and 3 were terminated. GlobalData uses proprietary data and analytics to provide a complete picture of Oratrope’s valuation in its risk-adjusted NPV model (rNPV). Buy the model here.
The revenue for Oratrope is expected to reach an annual total of $68 mn by 2034 in the US 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.
Ibutamoren mesylate (MK-677) is under development for the treatment of pediatric growth hormone deficiency (PGHD), Turner syndrome, children born small for gestational age (SGA), idiopathic short stature, nonalcoholic fatty liver disease (NAFLD) and Prader Willi syndrome. It is administered orally. MK-0677 is a synthetic GHRS, ghrelin mimetic compound. MK-0677 is active growth hormone secretagogue that acts on the growth hormone secretagogue receptor in the anterior pituitary to stimulate the release of growth hormone. It was under development for the treatment of Alzheimer's disease, fibromyalgia, sarcopenia in post-hip fracture patients and chronic renal failure in end-stage renal disease patients.
Lumos Pharma Overview
Lumos Pharma, formerly NewLink Genetics is a clinical-stage biopharmaceutical company that focuses on the development and commercialization of new therapies for the treatment of unmet medical needs of rare diseases. It’s lead investigating candidate, LUM-201 (ibutamoren) is an oral growth hormone stimulating therapy for the treatment of pediatric growth hormone deficiency (PGHD), turner syndrome, children born small for gestational age (SGA), and other rare endocrine disorders. Lumos Pharma is headquartered in Austin, Texas, the US.
The company reported revenues of (US Dollars) US$1.5 million for the fiscal year ended December 2022 (FY2022), compared to a revenue of US$0.2 million in FY2021. The operating loss of the company was US$32 million in FY2022, compared to an operating loss of US$31.4 million in FY2021. The net loss of the company was US$31.1 million in FY2022, compared to a net loss of US$30.4 million in FY2021. The company reported revenues of US$0.7 million for the first quarter ended March 2023, an increase of 35% over the previous quarter.
For a complete picture of Oratrope’s valuation, buy the drug’s risk-adjusted NPV model (rNPV) here.