[Market Focus] Antrogen Applies for Japanese Approval of Allogeneic Stem Cell Therapy... Target Market Cap Estimated at 500 Billion Won

Antrogen is showing strong performance. This appears to be influenced by news that its Japanese partner company is submitting a new drug application for a treatment for epidermolysis bullosa in Japan.

As of 11:14 a.m. on July 9, Antrogen was trading at 28,850 won, up 4.91% from the previous day.

The previous day, Antrogen announced that its Japanese partner, I’rom Group, had completed the submission of a new drug application to the Pharmaceuticals and Medical Devices Agency (PMDA) in Japan for 'ALLO-ASCEB,' a treatment for epidermolysis bullosa.

The key feature of this application is the expansion of indications. Through a pre-NDA meeting with the PMDA, discussions were held not only for DEB (dystrophic epidermolysis bullosa), which was previously studied in clinical trials, but also for JEB (junctional epidermolysis bullosa) and severe EBS (simplex type). It has been reported that the Japanese PMDA views the mechanism of reducing inflammation and promoting tissue regeneration positively.

Although J-TEC in Japan has received approval for an epidermolysis bullosa treatment, its approach involves harvesting and cultivating a patient’s own healthy skin tissue. In contrast, Antrogen’s allogeneic stem cell therapy is considered to offer easier patient access. There are also expectations that the Japanese government may expand insurance coverage for this rare disease.

Huh Hyemin, a researcher at Kiwoom Securities, stated, "If all patients in Japan (1,030 people) use the company’s treatment, the maximum operating profit could exceed 105 billion won. However, assuming a conservative scenario where only half of the 613 DEB patients receive the treatment, sales are projected at 63 billion won and operating profit at more than 31 billion won." She added, "Applying a 20x multiple to a conservatively estimated net profit of about 25 billion won, the appropriate market capitalization would be around 500 billion won."