Highlights

  • Immutep received an upfront payment of approximately AUD 30 million from Dr. Reddy’s and is eligible for up to AUD 528 million in potential milestone payments, plus royalties.
  • The TACTI-004 (KEYNOTE-F91) Phase III trial in first-line non-small cell lung cancer remains on track, with futility analysis expected in Q1 CY2026.
  • Immutep reported a pro-forma cash position of AUD 129.3 million, extending its funding runway well into Q2 CY2027.

Immutep Limited (ASX:IMM) shares fell 2.95% to AUD 0.43 today, following a six-month surge of 58.15%. The Sydney-based immunotherapy company recently reported its quarterly activities for Q2 FY26, highlighting progress across multiple clinical trials, a strategic collaboration with Dr. Reddy’s, and a reinforced cash position. Despite today’s cooling, the stock has delivered substantial gains amid continued development of its novel immunotherapies targeting cancer and autoimmune diseases.

Strategic Collaboration Expands Market Reach

In January 2026, Immutep announced a strategic collaboration with Dr. Reddy’s for the commercialisation of its first-in-class immunotherapy, eftilagimod alfa (efti), outside North America, Europe, Japan, and Greater China. The upfront payment of ~AUD 30 million was received by Immutep, with potential milestone payments of up to ~AUD 528 million plus royalties on future sales. Under the agreement, Immutep retains global manufacturing rights while supplying Dr. Reddy’s in licensed markets, and keeps full rights in key pharmaceutical regions.

Clinical Trials Progress Across Multiple Cancer Types

Immutep reported continued advancement in its oncology pipeline. The TACTI-004 (KEYNOTE-F91) Phase III trial for first-line non-small cell lung cancer (1L NSCLC) remains on track, with 289 patients enrolled and a futility analysis expected in early 2026. Data from the INSIGHT-003 Phase I trial showed objective response rates (ORR) of 61.7% in patients with low or no PD-L1 expression, surpassing historical controls.

The EFTISARC-NEO Phase II trial in soft tissue sarcoma met its primary endpoint, demonstrating median tumour hyalinization/fibrosis of 51.5%, exceeding the prespecified 35%. The study also highlighted statistically significant immune activation, correlating with clinical responses. In metastatic breast cancer, AIPAC-003 Phase II/III reported ORR of 41.9% (30 mg) and 48.5% (90 mg) in heavily pretreated patients.

Cash Position Supports Operations into 2027

Immutep ended Q2 FY26 with cash, cash equivalents, and term deposits totaling AUD 99.1 million. The subsequent ~AUD 30 million upfront payment from Dr. Reddy’s increases the pro-forma cash balance to AUD 129.3 million, extending operational funding well into Q2 CY2027, not including potential milestone payments.

During the quarter, net cash used in operating activities was AUD 9.45 million, reflecting continued investment in clinical trials. The company also received a AUD 4.6 million R&D tax incentive from the French government to support ongoing development.

Outlook

Despite today’s 2.95% decline, Immutep shares have posted a six-month increase of 58.15%. Investors are monitoring the progress of its clinical trials and strategic agreements, which underpin the company’s pipeline development and long-term funding horizon. The combination of international collaborations, clinical trial milestones, and a solid cash position positions Immutep as a notable player in the Australian biotechnology sector.