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Allarity Therapeutics: The end of a challenging year - Edison

Like virtually all other businesses, the defining feature of 2020 for Allarity has been COVID-19 and its response to it. However, we believe the company has been able to deliver on two of its strategic objectives, albeit with delays: to clean up its capital structure and advance its new focused pipeline. Allarity now fully owns all of its lead assets and all three are progressing, either in clinical studies (stenoparib and Ixempra) or towards NDA filing (dovitinib).

We have lowered our valuation to SEK1,007m or SEK4.21 per share from SEK1,029m or SEK5.18 per share, which is driven by delays in the timeline for dovitinib and lower net cash, but offset by rolling forward our NPVs. We expect the company to need SEK850m in additional capital to reach profitability in 2025.
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