The proposed Placing announced this morning, to raise £19.3m, represents an important inflection point for Realm. Both of the company’s lead programmes (PR022 in atopic dermatitis and PR013 in allergic conjunctivitis) are due to enter Phase II by the end of 2017, with data expected in mid-2018. Although the initial Phase II trials are fully funded through to completion by existing cash resources ($15.56m at period-end), the additional capital from the Placing will provide greater flexibility following next year’s read-outs, including a potential partnering and/or further development of one or more programmes. In addition, it will fund studies of the potential utility of topical hypochlorous acid in additional large indications such as acne, psoriasis and dry eye. In our view, Realm following the capital raise is exceptionally well placed to execute its commercial strategy: we reiterate our highly positive stance.
