Good morning, Armchair Army,
Welcome to today's edition of The Armchair Analyst, a 5-minute daily update on the ASX life-sciences sector.
First came the Space Race.
Who gets to the Moon first… wins.
Then space became about satellites, science and national infrastructure.
Then private companies landed.
They made rockets cheaper, reusable, and far more accessible.
Now, space is becoming an industry, and the race is no longer just about getting there, but about who can build the biggest business above Earth.
Three years ago, I was living in London.
There, I met a startup building a robot for “Space Mining”.
It was the first time that I genuinely considered the possibility of “space industries”...
While my mind started to race about the potential, it couldn’t overcome the potential cost.
… but I bet that's how the early seafarers felt when they ventured out to lands unknown.
Ignore the cost…
The opportunity is somewhere over the horizon.
New materials.
New prospects.
New science.
So I could understand the idea of space mining.
(although I think it’s a longggg way away)
BUT, when I woke up this morning to the headline:
“Space Drugs: Varda raises US$251 million at a US$1.6 billion valuation”.
I had to think.
… Space Drugs?
A bridge too far? Or a genius move?
(Source: Fierce Pharma)
What on Earth are Space Drugs?
Space drugs (or, more formally, space pharmaceuticals) are about researching and manufacturing medications in microgravity.
Different gravity conditions in space can help produce crystal structures or formulations that are difficult to achieve on Earth.
(very cool)
The company will launch a miniature lab into space…
THEN the lack of gravity changes how molecules move and crystals form.
The end goal is to form crystalline drug structures that would be difficult to manufacture on Earth.
… that’s the theory anyways.
But there have been some advancements…
Merck has sent its cancer drug Keytruda to the International Space Station.
There, experiments found it formed more uniform crystals and a less viscous mixture than the samples grown on Earth.
(Now those experiments helped researchers work out how to produce more uniform crystals back on Earth… so it was a worthwhile trip)
ALSO, Varda crystallised an HIV drug in orbit and brought it back to Earth.
Testing showed the material remained physically and chemically stable through the journey.
So… will drugs be made in space?
Maybe one day…
But it all comes down to economics.
Do the benefits outweigh the cost?
It’s the same question that any space industry will face.
Space mining, space tourism… and now space pharmaceuticals.
Technology advancements in space travel SHOULD drive that cost down.
… and who knows.
Maybe “made in space” will be printed on the side of a medicine box in my lifetime.
Let’s dive in…
The Pulse Check
Artrya Limited (ASX: AYA) has signed a five-year commercial agreement with Huntsville Hospital Health System. Minimum of US$0.5M in revenue. (AYA)
🪑 This is AYA’s first commercial customer converted from the SAPPHIRE study. Nice work.
Optiscan Imaging Ltd (ASX: OIL) lodges its 510(k) submission with the U.S. FDA for its InForm™ digital pathology device. (OIL)
🪑 Massive. Clock starts now.
I’d expect 510(k) approvals mid-to-late next year.
Island Pharmaceuticals (ASX: ILA) commences GMP production of Galidesivir API, with a first 5kg batch for Ebola emergency-use in Uganda and a second batch for a Marburg study under the FDA Animal Rule. (ILA)
🪑 On track to get Galidesivir to the Uganda Ebola outbreak in the next month or so.
Adheris Health (ASX: AHE) announces the Board and Management have acquired 4.2% of shares alongside a long-term shareholder. (AHE)
🪑 Skin in the game.
I like it.
Arovella Therapeutics (ASX: ALA) starts screening patients for its Phase 1 ALA-101 trial. (ALA)
🪑 Milestone ticked.
TruScreen Group Limited (ASX: TRU) announces the resignation of CEO Martin Dillon, with Tony Ho stepping in as Executive Chairman and Interim CEO. (TRU)
Sanofi pays Regeneron $1B upfront and US$7B in milestones to find Dupixent's successor. (BioXconomy)
See you all next week,
The Armchair Analyst
