Advanced Oncotherapy: Leveraging the modularity of LIGHT

Advanced Oncotherapy plc (LON:AVO) goal is to deliver an affordable and novel PT system, called LIGHT, based on state-of-the-art technology developed originally at the world-renowned CERN. Over the past two years, important technical milestones have significantly de-risked the project. Now, AVO is working on the verification and validation phase, prior to LIGHT being used on the first patients to support CE marking. At its recent investor day, the company highlighted how its differentiated business model is attracting commercial partners that should enhance long-term shareholder returns. Additionally, it is reducing the cost of PT so that it becomes accessible to all.

  • Strategy: AVO is developing a compact and modular PT system, which is affordable for the payor, financially attractive to the operator, and generating superior patient outcomes. AVO benefits from technology know-how developed by ADAM (CERN spin-off), and relies on a world-class supplier base.
  • PT therapy: Currently, PTCOG estimates that there are 240 treatment rooms available in 97 PT centres worldwide. However, the number of treatment rooms needed by 2040 is estimated to be 10,000, which implies 20% CAGR for the next 20 years. To achieve this, costs need to be significantly reduced.
  • Attractions of LIGHT: Conventional cyclotron accelerators need to be installed into the deep sub-basement early in the construction of a PT centre. In contrast, AVO’s LIGHT system, with its linear accelerator, can be assembled into a ready-built structure. Being modular, it can be used as security in a financing deal.
  • Novel business model: Unlike conventional models which rely solely on the initial equipment sale followed by long-term service and maintenance contracts, AVO is adopting a model that combines traditional sales with customer profit-sharing arrangements, and facilitates the roll-out of technology upgrades.
  • Investment summary: After some years in development, Advanced Oncotherapy is nearing the finishing line with its first LIGHT PT system. However, the corporate goal is to have a pipeline of installations to satisfy the pent-up demand and bring down the cost of PT, thereby making this form of treatment available to many patients. The current EV only reflects the quantum of investment to get LIGHT where it is today, whereas the NPV of the cashflows from all potential sources of income from its novel business model is 214p (178p fully diluted).

DOWNLOAD THE FULL REPORT

Click to view all articles for the EPIC:
Or click to view the full company profile:
    Facebook
    Twitter
    LinkedIn
    Hardman & Co

    More articles like this

    Advanced Oncotherapy Plc

    Three ways to make proton therapy affordable

    If cost was not an issue, proton therapy would be the treatment of choice for most patients with localized tumours. Protons can be targeted more precisely than X-rays, so the tissues around the tumour receive two

    Advanced Oncotherapy Plc

    Q&A Advanced Oncotherapy plc COO Ed Lee

    Advanced Oncotherapy plc (LON:AVO) Chief Operating Officer Ed Lee talks to DirectorsTalk about his background, what that experience brings to AVO and how that knowledge can translate into shareholder value. Q1: Ed, thank you for taking

    Advanced Oncotherapy Plc

    Advanced Oncotherapy PLC – Technological update

    Nicolas Serandour, CEO of Advanced Oncotherapy PLC (LON:AVO), talks to BRR Media about the details of the technological update and it representing significant progress in validating the capabilities of the first in the next group of

    Advanced Oncotherapy Plc

    Q&A: Advanced Oncotherapy PLC Steve Myers

    Advanced Oncotherapy PLC (LON:AVO) subsidiary ADAM S.A. Executive Chairman professor Steve Myers talks to DirectorsTalk about the LIGHT system, it’s likely impact, the design, the progress being made and its future. Q1: Professor Myers, you became

    Advanced Oncotherapy Plc

    Proton Therapy Market – Global Forecast to 2022

    ReportsWorldwide has announced the addition of a new report title Proton Therapy Market (Actual & Potential), Patients Treated, List of Proton Therapy Centers, Start of Treatment, Specifications & Company Analysis – Global Forecast to 2022 to

    Advanced Oncotherapy Plc

    Advanced Oncotherapy Plc Harley Street construction update

    Advanced Oncotherapy Plc (LON:AVO), the developer of next-generation proton therapy systems for cancer treatment, announced today that excavation work at its flagship Harley Street site is progressing well and on time. Work has been completed on

    Advanced Oncotherapy Plc

    When Is Cancer Considered Cured?

    How is cancer cured? originally appeared on Quora: the place to gain and share knowledge, empowering people to learn from others and better understand the world. Answer by Gary Larson, Medical Director- Procure Proton Therapy Center

    Advanced Oncotherapy Plc

    Alan Green CEO of Brand Communications: Vox Markets Podcast

    Alan Green CEO of Brand Communications talks to The Vox Markets Podcast about Defenx PLC (LON:DFX) & Advanced Oncotherapy PLC (LON:AVO) (Interview starts at 36 minutes 23 seconds)   Defenx PLC provides security solutions with a range of

    Advanced Oncotherapy Plc

    Cancer-fight mum to jet to US for treatment

    A FAMILY from Tomatin are fundraising to help a young mum keep her boys by her side while she undergoes pioneering cancer treatment in the States. So far almost £17,000 has been raised to help the