Company: TELO
Filing Date: 2025-11-20
Form Type: PREM14A
Source: 0001493152-25-024463
Chunk: 60

Company: Telomir Pharmaceuticals, Inc.
Filing Date: 2025-11-20
Form: PREM14A
Chunk 60
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 based on the incidence rates of Stages I - III breast cancer (as Telomir-1 is expected to only treat these stages) in the North American female population from 2025 until 2045, which amounted to 7,805,000.

Moore then determined the market share of each indication, and the estimated revenue earned from each indication, assuming the list price of similar drugs in the European market. For breast cancer, Moore based the analysis on the current list prices of treatments that are close to actual treatments used nowadays. The chosen benchmark used for the price of the AMD treatment is based on two existing drugs that were recently approved by the FDA for the treatment of late-stage AMD, Syfovre (by Apellis) and Izervay (by Iveric Bio, a company of Astella). For breast cancer, the drug used as the benchmarks were Adjuvant (after surgery) and Neoadjuvant (before surgery). Revenues for the existing drugs are 70% of the list prices.

Moore assumed that TELO will be entitled to an upfront payment upon signing the agreement with a pharma company and, afterward, to royalties paid based on the revenues that this third party will generate from the sales of Telomir-1. The upfront and royalty rates assumed for each indication were an upfront amount of $30,000,000 based on a royalty rate of 10%. Moore also assumed that TELI will incur R&D expenses until the end of the Phase II clinical trials and G&A expenses throughout its lifespan. Also, TELI will finance the costs of the IND, Phase I, and Phase II clinical trials. For each of the indications, Telomir-1 is expected to assume a total of $16,017,000 of R&D costs through Phase III testing (collectively).

Summary of Analysis

Moore began its analysis through performing the income approach and the risk-adjusted net present value (rNPV) method. This method enhances standard DCF analysis by adjusting cash flow projections for the probability of success, i.e., adjusting for the probability of successfully advancing through clinical trials and regulatory approval. The rates used in the TELO valuation were based upon research performed and published by the Biotechnology Innovation Organization (BIO).

According to the rNPV method used in this valuation, all the revenues and expenses in the model are multiplied by the probability of success. The probability of success of TELO’s indication developments are for Phase I is 52%, Phase II