CARDIOL THERAPEUTICS Original-Research: Cardiol Therapeutics (von GBC AG): BUY

Directive transparence : information réglementée

16/11/2021 11:01

Original-Research: Cardiol Therapeutics - von GBC AG

Einstufung von GBC AG zu Cardiol Therapeutics

Unternehmen: Cardiol Therapeutics
ISIN: CA14161Y2006

Anlass der Studie: Research Update
Empfehlung: BUY
Kursziel: 17,49 CAD
Kursziel auf Sicht von: 31.12.2022
Letzte Ratingänderung:
Analyst: Julien Desrosiers; Felix Haugg

GBC AG to present an investor round table conference call with Cardiol Therapeutics and will present latest development.

With the completion of the Public Offering, the company will have raised more than $ 52.4 million in cash. Included is $ 2.4 million from the warrants' accelerated expiration date of June 4, 2020. On November 2nd, the company filed a preliminary prospectus, and on November 3rd, the company announced the pricing. Cardiol Therapeutics announced the closing of its $50 million public offering less than 24 hours later. This demonstrates the American markets' appetite for Cardiol Therapeutics and the significance of their NASDAQ listing. The holder of each share of the offering received a half warrant for $3.75 until November 5, 2024.

With higher costs due to the expansion of recruitment for their LANCER study in Brazil, Mexico and Canada, this new influx of cash can allow the company to run full steam ahead without compromising R&D.

As discussed in our initial coverage report (June 2021), http://www.moreir. de/d/22609.pdf, we believe that the LANCER study could produce its first results in the fourth quarter of 2021 or the first quarter of 2022. The inclusion of new markets for patients recruitment indicates that the company is on track to meet their timeline. We believe that with the additional funds raised, the company could also increase the number of participants.

Cardiol Therapeutics also received approval from Health Canada for its CardiolRxTM for Acute Myocarditis Phase II Clinical Trial. The approval comes after the U.S. Food and Drug Administration (FDA) granted clearance to proceed with Cardiol Therapeutics' Investigational New Drug (IND) application to begin this trial, as announced by the company on August 24th, 2021. The trial's primary endpoints will be left ventricular function (ejection fraction and longitudinal strain) and myocardial edema (extracellular volume), both of which have been shown to predict long-term prognosis in patients with acute myocarditis after 12 weeks of double-blind therapy.

The resurgence of the COVID-19 crisis in Europe has boosted the projected demand for their treatments in development. Finally, because of their strong cash position, we believe the capital increase has resulted in a lower company risk. Based on this we reduced BETA in our model, considered the cash inflow but adjusted for dilution. The different effects balance each other out. As a result, we maintain our current rating and price target.

Upcoming Event: GBC AG to present Cardiol Therapeutics Investors round table

In light of the above new developments, we are organizing an online investor presentation on 24.11.2021 15.00h (UTC+1). Here, the CEO of the company will present the latest developments and be available for questions via chat function.

Investors and press can register for the call with following link


Die vollständige Analyse können Sie hier downloaden: http://www.more-ir.de/d/23089.pdf

Kontakt für Rückfragen
Halderstraße 27
86150 Augsburg
0821 / 241133 0
Offenlegung möglicher Interessenskonflikte nach § 85 WpHG und Art. 20 MAR. Beim oben analysierten Unternehmen ist folgender möglicher Interessenkonflikt gegeben: (5a,6a,7,11); Einen Katalog möglicher Interessenkonflikte finden Sie unter: http://www.gbc-ag.de/de/Offenlegung
Date and time of completion of this research: 15/11/2021 (06:00 pm) Date and time of first distribution: 16/11/2021 (11:00 am)

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