Immutep crashes 90% as Phase III lung cancer trial discontinued

Immutep (IMM) crashed 90% today after the Independent Data Monitoring Committee (IDMC) recommended its flagship TACTI-004 Phase III trial be discontinued for futility.

Shares had been suspended since March 6, pending the outcome of the pre-specified interim futility analysis. On trading resumption, IMM hit an all-time low of 2.8 cents.

"We are very disappointed and surprised with the outcome of the futility analysis, in light of efti's performance in every other clinical trial," said CEO Marc Voigt.

Key numbers from H1 FY26:

• Revenue $4.1m (vs nil pcp) 

• R&D expenses $46.6m vs. $25.3m pcp (up 84%)

• Net loss $44.9m vs. $22.4m pcp (up 100%)

• Cash and term deposits $99.1m vs. $73.9m pcp (up 34%)

• Total liabilities $47m, including $25.8m unearned revenue from the Dr. Reddy's licensing deal

• NTA per share 6.31 cps vs. 11.30 cps pcp (down 44%)

What happened and why it matters so much

TACTI-004 was evaluating eftilagimod alfa (efti) in combination with MSD's KEYTRUDA® and chemotherapy in first line non-small cell lung cancer. Efti is Immutep's experimental immunotherapy, designed to activate the body's immune system to fight cancer.

The trial had activated 140 clinical sites across 27 countries, with dual primary endpoints of progression-free survival and overall survival.

Enrolments had reached approximately 50% of the targeted 756 patients at the time the trial was halted.

The IDMC reviewed the data and concluded the trial was unlikely to demonstrate a meaningful benefit and recommended it be stopped. Immutep announced it will halt enrollment immediately and wind down the study, including patient follow-up and site close-out.

The balance sheet as of 31 December 2025 makes for interesting reading relative to IMM's ~$50m market cap:

• Cash and cash equivalents: $72.7m

• Bank term deposits: $26.4m

• Dr. Reddy's licensing deal upfront payment received January 2026: $29.9m

• Total liabilities: $47m (including $25.8m unearned revenue from Dr. Reddy's)

That leaves a net cash position of approximately $82m against a market cap of ~$50m — an enterprise value of roughly negative $32m. Effectively, the market is pricing the remaining pipeline, including earlier-stage trials across four cancer indications and an autoimmune programme, for less than nothing.

Immutep (IMM) chart

Share price reaction

IMM had traded between roughly $0.20 and $0.45 for the better part of three years, with a brief run toward $0.65 in 2021. Shares had recovered to approximately $0.40 in the weeks before the March 6 trading halt. This was buoyed by Dr. Reddy's licensing deal in December 2025, strong TACTI-004 enrolment updates, and encouraging data from smaller trials.

But today's open erased all of that and then some.

Where to from here and what happens to the cash now?

With TACTI-004 gone, IMM's cost base shrinks dramatically. Research and development spending had run at $46.6m in the December half, driven almost entirely by TACTI-004 clinical costs. 

With $99.1m in cash and term deposits as of 31 December 2025, IMM previously guided its cash runway to Q2 CY2027. According to the company, that runway will now extend "well beyond" that mark.

IMM retains a pipeline of earlier-stage trials across head and neck cancer, breast cancer, soft tissue sarcoma, and autoimmune disease, though none of which are in registrational Phase III studies.

The key question now for shareholders is whether management pursues further clinical development with the remaining funds or pivots elsewhere.

The company said it will "reassess capital allocation priorities" once its data review is complete.