Patrys Limited (ASX: PAB) shares are tumbling in late morning trade. At the time of writing, the Patrys share price has slumped 16.33% following the company's latest announcement.
Below we take a look at the ASX healthcare company's update on its clinical trial preparation.
What update did Patrys report?
The Patrys share price is tanking after the company reported there were unanticipated delays in its PAT-DX1 clinical trial program.
Across a number of pre-clinical studies, PAT-DX1 has demonstrated significant ability to kill cancer cells.
In February, Patrys reported it had selected a "stable, high-yielding cell line suitable for the commercial production of clinical-grade PAT-DX1". The company's commercial contract manufacturer used this cell line to prepare the production and purification processes at its facility.
While the required materials were ordered 6 months in advance, the company reported that the COVID-19 pandemic has disrupted global reagent production and supply chains. Due to the proprietary nature of the reagents, Patrys said it is unable to source them from other suppliers.
Patrys now expects the engineering run for PAT-DX1 will be pushed back to the fourth quarter of this year. This will delay the start of its GMP toxicology studies to the first quarter of 2022, "pending the availability of GMP grade PAT-DX1".
The company anticipates it will now submit a Human Research Ethics Application (HREA) for the phase 1 clinical trial in the second half of 2022.
Commenting on the delay, Patrys CEO James Campbell said it was obviously disappointing for the company and its loyal shareholders. He stressed that the delay is "based solely on global supply chains, not technical obstacles".
Campbell added:
The recent data from ongoing pre-clinical studies has been extremely positive and has highlighted the many ways our deoxymabs may be able to improve the health of patients with a range of difficult to treat cancers.
We continue to work with our global suppliers to prepare for and initiate the first PAT-DX1 clinical trial in late 2022. In addition, we will continue to pursue a range of unique development opportunities for both PAT-DX1 and PAT-DX3.
Patrys share price snapshot
Despite today's slide, the Patrys share price remains up more than 300% over the past 12 months, well outpacing the 28% gains posted by the All Ordinaries Index (ASX: XAO).
Year to date, the Patrys share price also continues to charge ahead, up 105% in 2021.
