The share market may be struggling to get into gear on Thursday but that isn't stopping one ASX All Ords stock from racing higher.
In morning trade, its shares are up a massive 58% to 76 cents thanks to some big news.
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Which ASX All Ords stock is rocketing?
The stock in question is Dimerix Ltd (ASX: DXB), which is a clinical-stage biopharmaceutical company working to improve the lives of patients with inflammatory diseases, including kidney diseases.
This morning, investors have been scrambling to buy its shares after it entered into an exclusive U.S. licensing agreement with Amicus Therapeutics (NASDAQ: FOLD) for the commercialisation of its Phase 3 drug candidate DMX-200.
DMX-200 is a small molecule inhibitor of the chemokine receptor 2 (CCR2) under development in a pivotal Phase 3 study, ACTION3, for the treatment of Focal Segmental Glomerulosclerosis (FSGS) kidney disease.
In early 2024, the ASX All Ords stock reported positive interim results from the ACTION3 trial in FSGS. It showed that DMX-200 was performing better than placebo in reducing proteinuria with no safety concerns to date. Full enrolment of ACTION3 is expected by year-end 2025.
Big money deal
According to the release, the deal will see Amicus Therapeutics gain exclusive rights to commercialise DMX-200 for all indications in the United States, while Dimerix retains the rights in other global markets.
As part of the agreement, the ASX All Ords stock will receive the following:
- US$30 million (~A$48 million) upfront.
- Up to US$75 million (~A$199 million) in milestone payments tied to Phase 3 trial success and regulatory approval.
- US$35 million (A$56 million) on first commercial sale in the U.S.
- Up to US$410 million (A$653 million) in commercial milestone payments.
- Tiered royalties on net sales in the U.S. ranging from low-teens to low-twenties.
- Up to US$40 million (A$64 million) for future indication milestones
Commenting on the news, the ASX All Ords stock's CEO and managing director, Dr Nina Webster, said:
We are delighted to partner with Amicus in the United States. The Amicus team has a remarkable history of successfully delivering rare disease medicines to those in need. Their expertise and resources will be crucial to help achieve our mutual objective of commercializing this innovative treatment.
I'm grateful to the dedicated Dimerix team, trial participants, and investigators for their continued commitment to developing a new therapy for patients with FSGS who currently have a poor prognosis and very limited treatment options.
Following today's gain, the Dimerix share price is now up almost 140% since this time last year.
