Shield Therapeutics (STX ), a commercial stage pharmaceutical company, updated today on its Accrufer product, its new shareholder loan facility, and results for the year ended 31 December 2021 (FY21).

Accrufer

In FY21, Shield successfully launched Accrufer - a novel iron therapy to treat anemia - in the US with subscriptions growing 100% in just the first 3 months of 2022. Accrufer sales reached c. 2,500 prescriptions in the 6 months following its US launch in July 2021. 

There are an estimated 20 million people in the US suffering from anemia, representing a significant medical need. Out of 100 million eligible lives, 40% now have coverage for Accrufer in both private and Medicaid segments.

Interest in Accrufer is growing fast, with 1,100 Health Care providers introduced to it in the first 3 months of the year, with 700 first time writers during the same period. Year on year, Feraccru - the brand name in Europe - volume increased 60% in 2021 , mostly due to increased demand in Germany.

Greg Madison, CEO of Shield Therapeutics, stated: "Twelve months ago, awareness of Accrufer and its clinical application was low along with the Company's profile so it's rewarding to stand here today with a rapidly growing business highlighted by increasing prescriptions, expanding payer coverage, growing awareness and first-time writers...Based on all our collective insights, we are even more confident today about Accrufer becoming the oral iron of choice, and the potential for significant value creation."

Loan Facility

In addition to the status update on Accrufer, Shield elaborated on a $10m shareholder loan facility it will obtain from AOP Orphan International AG (AOP), which owns 13.1% of Shield's issued share capital. Upon completion, the transaction will extend Shield's cash runway to approximately the end of 2022.

The loan facility is structured to be fully withdrawn by 1 August 2022 with interest of 7%+LIBOR payable monthly. As the loan is convertible into Shield ordinary shares, it is subject to approval by Shield shareholders. A general meeting of Shield is expected to be scheduled for the last week of July 2022 for this purpose.

Shield had previously initiated efforts to raise $30m in equity, but due to extremely challenging equity market conditions opted for the shareholder loan instead.

Outlook

Despite markets' focus on the shareholder loan news, the company reported solid progress in FY21. It completed a £27.6m fundraise and it launched Accrufer in the US to much success, and also acquired a license agreement in the Republic of Korea.

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