Juno Therapeutics Inc (NASDAQ:JUNO) has received yet another cash boost, from an Alaska based, state-run fund. The latter has been known to open stakes in biotech startups and it seems that Juno is its latest target. These ventures have been spread out over a course of 3-years. The Alaska Permanent Fund opened its first position in Juno, at a price of $129 million, for a 25% stake. It currently commands a $1 billion stake in the company.
Currently, Juno is one of the three biotech companies that have received a massive amount of cash, from the fund. However, Juno is the furthest, in terms of the development of its product pipeline, amongst the three. The company has also announced that it would be filing for an accelerated approval of its lead drug candidate, JCAR105.
With this new drug, Juno aims to develop a new therapy to treat cancer. The process would involve the extraction of a patient’s T-cells, re-engineering them to target cancerous cells, before injecting them back into the patient. It is important to note here that the fund’s investment comes at a time, when most investors are being cautious of biotech stocks. However, the amount of the fund’s investment signifies that it is ready to wait for its returns.
In its 4Q2015 results, Juno reported a loss of 54-cents per share. The figure was in line with analyst estimates and well below the figures for the preceding year, $1.73 per share. The revenues for the quarter stood at $4.2 million, which included $3.8 million from an agreement with Celgene Corporation. One of the most significant highlight of the quarter was the fact that Juno had successfully lowered its R&D expenses, by 58% from a year ago. Unfortunately, administrative expenses surged by 159.9% for the same period. As such the company has issued a guidance of spending $220-250 million during 2016.
Juno Therapeutics Inc (NASDAQ:JUNO) gained 7.47% during the March 4 trading session, to reach a close at $43.75.