Established in 2017, Maiwei Biotech is an innovative biopharmaceutical company with a full industrial chain layout. Focusing on the field of multiple diseases, the two products have now been commercialized, and a platform-based enterprise with a full R&D, production and sales industry chain layout has been established.
The ADC technology platform is leading, and the Nectin-4 ADC has great potential. Maiwei Biotech's ADC drug development platform is based on two third-generation antibody-conjugated drug technologies. Currently, three products have entered the clinical stage, namely Nectin-4 ADC, B7H3 ADC, and Trop2 ADC. Among them, Nectin-4 ADC has entered the third phase of registration and is the first in its class. In published data, it has shown excellent efficacy and safety for urothelial cancer (UC), cervical cancer (CC), esophageal cancer, etc., and is expected to become the best in its class. We expect its total peak sales for multiple domestic indications to exceed 4 billion yuan in the future. Next-generation camptothecin ADC B7-H3 ADC and TROP2 ADC are undergoing phase 1 clinical trials.
Innovative drug pipelines are rich, and multiple differentiated varieties are double reported by China and the US. A number of innovative varieties reported by China and the US, such as IL-33, IL11, and TMPRSS6, are in the clinical phase. Among them, TMPRSS6 antibody (9MW3011) granted rights outside of Greater China and Southeast Asia to DISC MEDICINE in January 2023, with a total transaction value of US$412.5 million. In the late-stage pipeline, third-generation long-term G-CSF has been declared for marketing, and VEGF ophthalmology drugs are in phase III.
Similar drug pipelines have been commercialized, and the journey to sea has been very rewarding. 1) In March 2022, an adalimumab biosimilar drug (Junmaikang) was launched, becoming the company's first commercial product. In March 2023, a desulumab biosimilar drug (melisumab, 60 mg) was launched. It is the second product marketed domestically. 2) Overseas “Belt and Road” and South American markets. Currently, the company's adalimumab and desumab have signed cooperation agreements with many countries.
Profit forecast and valuation suggestions: The company has an experienced commercialization team. In recent years, it has concentrated on implementing biopharmaceutical products and high-quality innovative product pipelines. The total revenue for 2023/24/25 is estimated at RMB 1.28, 2.44, and 853 million yuan, respectively. Calculated using the DCF method, assuming a sustainable growth rate of 3%, WACC of 10.1%, the company's reasonable equity value is 17.8 billion yuan, and the corresponding share price is 44.55 yuan; the first coverage gives the company a “buy” rating.
Risk warning: new drug development risk, drug registration approval risk, risk of commercialization falling short of expectations