Evaxion A/S — Call Transcript 2025

Good day, and thank you for standing by. Welcome to the Evaxion Out-Licenses Vaccine Candidate EVX-B3 to MSD webcast and conference call. At this time, all participants are in the listen-only mode. After the speaker's presentation, there'll be a question-and-answer session. To ask a question during the session, you will need to press star one and one on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star one and one again. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your first speaker today, Interim CEO and CSO, Birgitte Rønø. Please go ahead. Thank you. Good morning and good afternoon, and thank you all for joining us, and a warm welcome to this exciting conference call. I'm Birgitte Rønø, CSO and Interim CEO of Evaxion, and I'm joined today by Thomas Schmidt, our CFO, and Ms. Kronborg, VP of Investor Relations and Communication. Earlier today, we shared an important update. MSD, or Merck, has exercised its option to license our EVX-B3 program, and this marks a significant milestone not just for Evaxion, but for the broader field of AI-driven drug development. It is the first time a pharmaceutical company has in-licensed a vaccine candidate discovered using AI, and we are extremely proud to be leading this change. Today's call will, of course, focus on this major milestone, and alongside, MSD holds an option on a vaccine candidate, EVX-B2, for which the evaluation period is extended with a decision period on potential in-licensing now expected in the first half of 2026. Let's begin by walking through the agenda for today's presentation. I'll begin with the highlights of the MSD deal, and then I'll walk you through our proprietary AI-Immunology platform and how it enables novel vaccine target discovery. Then Thomas will present our financial and cash position, and I will return with some conclusive remarks before we open the floor for a Q&A session. Before we dive into the detail, I would like to remind everyone that today's presentation may contain forward-looking statements, and these are subject to risk and uncertainties, and actual results may differ materially. This is a historic moment not just for Evaxion, but also because it marks the first-ever in-licensing of an AI-discovered vaccine candidate by a major pharmaceutical company. The exercise fee of $7.5 million extends our runway into the first half of 2027. The deal confirms our strategy of value creation through partnerships, even with industry giants like MSD. It also validates our AI-Immunology platform and our R&D pipeline, and further, it ensures future development of the EVX-B3 candidate without cost for Evaxion. Not related to the EVX-B3 deal as such, the EVX-B2 evaluation period has been extended. Let's take a closer look on how this partnership with MSD has evolved over time. In 2023, we began a target discovery collaboration on EVX-B3, addressing a bacterial pathogen with high unmet medical needs where no vaccine is available. One year later, in 2024, the collaboration expanded to include EVX-B2 with an upfront payment of $3.2 million and potential milestones up to $592 million per product, and now, in 2025, MSD has exercised its option on EVX-B3 while extending the evaluation period for EVX-B2, demonstrating commitment to both programs. It fits into our broader pipeline and strategic milestones for this year. As you can see, 2025 is shaping up to be a pivotal year for Evaxion. We have already achieved several key milestones, and more are on the horizon. We've completed EVX-01 dosing and released supplemental Phase 2 data. We've added a new infectious disease vaccine pipeline candidate, and we've now seen that MSD has exercised the option, which brings in $7.5 million. Looking ahead, we expect further progress of our cancer vaccine candidates, the CMV program, and also progress within improving our AI-Immunology platform. Further, we also anticipate an additional new business development agreement. Now let's shift focus to the technology that powers these breakthroughs. AI-Immunology is the heart of our innovation. It's our proprietary platform that has been validated in three clinical trials. It is fast. We can do target discovery within just 24 hours. It is scalable, and we can apply AI-Immunology to over 100 different diseases. We have also seen that we can reduce the testing by 80%, and the platform is also delivery platform agnostic. It works across protein, DNA, messenger RNA, and peptide modalities. It is extremely accurate. We have seen in our EVX-01 Phase 2 trial that we have a 80% hit rate of the vaccine target that we have administered to the patients. It is also cost-effective. We can see that it is 90% cheaper than reverse vaccinology, which is the standard way that a pharma is identifying novel vaccine targets. So let me describe how our AI-Immunology works in more detail. We feed in genomic, transcriptomic, or proteomic data, and then our AI model identifies the most promising antigens for vaccine development. It then spits out a range shortlist that we can start working on, and it accelerates vaccine validation and design. We have used AI-Immunology in our EVX-B3 program. EVX-B3 is a prime example of our platform's potential. It targets a bacterial pathogen with no approved vaccine despite decades of research. Previous efforts have yielded little progress. EVX-B3 could be a breakthrough addressing recurrent infections and severe complications caused by this pathogen. Now MSD has decided to in-license this program, which underscores the potential of the EVX-B3 vaccine candidate as such, and also the ability of our AI platform to identify therapeutically relevant vaccine targets. Now let's turn to the second program under evaluation, EVX-B2. MSD's decision to extend and expand this evaluation period for EVX-B2 reflects their continued interest and commitment to this program. With further testing underway, a licensing decision is expected in the first half of 2026. If MSD decides to exercise, Evaxion, we'll receive $2.5 million in option fee and up to $592 million in milestones, as well as royalties on sales. Let's take a closer look at what makes EVX-B2 so promising. EVX-B2 addresses a critical unmet medical need: gonorrhea. With rising antibiotic resistance and no existing prophylactic vaccine, our multi-component approach offers a compelling solution. The preclinical data is strong, and the global impact could be significant, as more than 80 million new infections were reported globally in 2020. Yeah, sorry. Now I will hand over to Thomas, who will walk us through how this deal impacts our cash position. Yes, thank you, Birgitte. As Birgitte said, truly a remarkable day for us as Evaxion, as we've now out-license the B3 program. The program in itself and the deal that we have made with MSD is obviously that here and now we receive $7.5 million on the in-licensing of the B3 program, which obviously also means that all future costs in development now will be dealt with from MSD perspective. We will have no cost further involved in that. But we will have potential milestones to support our future cash generation, as hopefully the program progresses through development phase, regulatory approvals, and sales, with a total of up to $592 million, as well as royalties included in the deal. So truly a remarkable change also in terms of how we can generate future cash. If we do look at our cash position and what this also means for our cash position, first and foremost, let me also just mention the initiatives that we have done throughout 2025 so far with the focus to strengthen our financial position. Earlier in the year, in January, we have done capital market activities and public offering, totaling close to $17 million. In July, we also announced that we did an agreement with the European Investment Bank to convert debt into equity worth $4.1 million. The $4.1 million, I should, of course, mention, is not cash income, but will improve not only our balance sheet, but also the upcoming and forthcoming interest rates to be paid, therefore, also improving our cash flow as we move forward. Now, as of today, here in September, and as announced today, we then will receive $7.5 million income from the in-license of the MSD or out-licensed, sorry, of the MSD B3 program. That will bring our cash runway into the first half year of 2027. So really also gives us a nice cash position and a nice cash runway to fund the continued operations of our company. I think as a biotech TechBio company, that is really, really a good position that we have moved ourselves into with these initiatives. With that, I hand it back to Birgitte. Thank you, Thomas. So as we conclude today's presentation, I would like to highlight the significance of this deal. The deal represents a strong validation from a global leader in vaccine development, reinforcing the credibility of our AI platform and the strength of our R&D pipeline. It also confirms our strategy as it underlines our ability to out-licensed and monetize assets through high-value partnerships. Moreover, it underscores the uniqueness and value of our proprietary AI-Immunology platform, which continues to deliver differentiated vaccine candidates. Finally, as Thomas just alluded to, the agreement strengthens our financial position, extending our cash runway into the first half of 2027 and provides a solid foundation for continued execution. Thank you for your attention, and we are now happy to take your questions. Thank you. To ask a question, you will need to press star one and one on your telephone and wait for your name to be announced. To withdraw your question, please press star one and one again. We will now go to your first question. One moment, please. Your first question today comes from the line of Thomas Flaten from Lake Street. Please go ahead. Yeah, hey guys, I appreciate you taking the questions. First question for Thomas. Will this be recorded as revenue, or will it be just a pure balance sheet transaction when we look to update our model? Yeah, hi Thomas, thanks. Yes, so the $7.5 million that we will now receive from Merck will be recorded as revenue. Excellent. And Birgitte, can you maybe give us some more detail on the nature of the extension of the evaluation period into the first half? Was it just work they didn't complete? Was there incremental interest in doing some different work? I'm just trying to understand. That's a pretty significant delay, and I'm just trying to understand what caused that. Of course. We have been working with the MSD Research Lab on the B2 for almost a year now, and they have done several experiments confirming our bindings. We know that they're interested in strengthening the data package. With this extension, and I would also call it expansion, they're conducting several new experiments. Okay. So just to clarify, it's an extension and an expansion? Yes. Excellent. I appreciate you taking the question. Thank you. Thank you. Your next question today comes from the line of Kevin DeGeeter from Ladenburg Thalmann. Please go ahead. Hey, thanks for taking my questions. Really exciting announcement. I guess just sort of stepping back, one of the promises of AI, or sort of target discovery, is the ability to kind of scale and scale rapidly. How many potential targets could you sort of look at with other pharmas, perhaps from a business development perspective, with the available resources and kind of just stepping back, kind of any learnings from this experience from Merck? I mean, this is a bit of a unique opportunity to take a target of interest by Merck and just really sort of run it all the way through to license. Yeah, I'm just trying to understand if you can do more business development, how quickly can this model kind of scale? Yeah, thank you for that question. It definitely depends on how far we take these programs. Our AI-Immunology platform would be able to identify promising targets within 24 hours. Then, of course, after AI-Immunology ranking the top candidates, we would do some design experiments, and we'd also manufacture these candidates for preclinical testing. In terms of limitations or indications, we don't really see any limitations. AI-Immunology is also scalable. We expect that we can use the platform in other disease areas where there is a strong immunological component. I don't see that there are any limitations in terms of how many deals can you make within this space as it is scalable to other therapeutic areas. One key example, autoimmune diseases, where I think there's in the past been a focus on several targets, and not a lot of new ideas are coming out in this space. We would definitely be able to use AI-Immunology and target these diseases in a different way than what has been done in the past. Very exciting. Just as sort of my follow-up, you mentioned business development in your prepared comments. Getting this license agreement done, I think is likely to help in any future business development discussions. Is your priority more with regard to potentially outlicensing the Evaxion developed programs, many of which you've already disclosed to the investment community, or is it more focused from a business development resource perspective on opportunities like this one with Merck, where the pharma brings you a candidate that the investment community hasn't learned about previously and may not know that much about initially? Yeah, really great question. The answer is we will do both. We definitely welcome any requests on target discovery collaboration, similar to what we have done with MSD. But we will also continue with our own R&D pipeline, taking programs to preclinical development and also select candidates into early clinical development. It will be the focus is on both of these two tracks. Thank you for taking my questions. Thank you. We will now go to the next question. The next question comes from the line of Swayampakula Ramakanth from H.C. Wainwright. Please go ahead. Thank you. Good afternoon, Birgitte. Congratulations. With the added $7.5 million to your balance sheet, where do you see the immediate need for funds? Is that going to be utilized more in pipeline/new molecule development, or is it going to be earmarked more for expanding your AI models and trying to bring another new AI-Immunology platform? Yeah, thank you for that question. We will definitely invest in improving our AI-Immunology platform in the future. This is not a very costly exercise. We use, yeah, public data for improving AI-Immunology and then building new tools. This is more a resource-demanding exercise. We will, of course, also invest in our R&D pipeline in the future, and since we have our own lab and animal facility, we can actually move fast and also pretty cost-effective from AI target discovery into preclinical development. Of course, it becomes more costly if you take programs into the clinic. Ambition of it actually is to continue to do early preclinical studies and late preclinical studies, and also taking them into the clinic. Fantastic. Thanks. Regarding EVX-B2, the decision that Merck is yet to make, I know you gave some color regarding how they want to progress from here. But in your own discussions, based on all the data discussions that you did on B3, what do you surmise Merck is thinking regarding the B2 program? How definite are you that they would follow through and pick up that option as well, I mean, exercise that option as well before the end of first half 2026? Yeah. So as I mentioned, MSD will do more testing of EVX-B2, so expanding the evaluation program. I think I will not speculate on when they will decide, and I will not speculate on what exactly they would like to see. But there's no doubt that they have continued interest in this program. Very good. Coming to EVX-01, it's exciting that within a month from here, we're going to see the two-year data point. Merck also has interest in melanoma with Keytruda potentially losing its patents in 2028. Do you see a path forward with Merck on that or any other currently anti-PD-1 therapies which are out there for melanoma? Yeah, so it's very exciting that we will be presenting two-year data from our EVX-01 Phase 2 study at ESMO on October 17. As we've mentioned earlier on, we are looking for a partner for this, our main asset, and Merck could definitely be a good fit. But it could also be another pharma company with an interest in personalized cancer vaccines. I don't see that we are limited or that it can only be MSD. It can definitely be another pharma company. The last question for me. On the docket, you still have two clinical candidates to announce. One is an ERV, and the other is an infectious disease. So when you plan to announce the lead candidates for these two programs, would you also be presenting any preclinical data around them, or would it just be the candidates? No, we will definitely be presenting preclinical data on this vaccine candidate later this year. Yes. We are extremely excited about the ERV-based cancer vaccines and their potential within this shared vaccine field. Perfect. Thank you very much. Thanks for taking all my questions, Birgitte. Congratulations again. Thank you. Thank you. As a reminder, if you would like to ask a question, please press star one and one on your telephone keypad. We will now go to the next question, and your next question today comes from the line of Soumit Roy from JonesTrading. Please go ahead. Good morning, everyone. Congratulations again on the outlicensing deal. A quick one. Broadly looking at the business development perspective, the ROI seems to be better in the infectious disease area. Is this where we can see the company completely converting over the years, or oncology still remains a major focus? I'm not entirely sure what you mean. Could you perhaps repeat? Your question was around whether we would solely focus on one therapy area? Yeah. If you would focus more into the infectious disease area because the ROI and turnaround seems to be much more effective there. Going to flu vaccines, which are highly mutable year to year, and there is a demand for an effective flu vaccine every year. Do you see the company more effective in the infectious disease area than oncology? Yeah. Thank you for that question. We do have the ambition of staying in oncology and also continue in infectious diseases and further to expand into other therapeutic areas. We do see a clear fit for AI-Immunology, so our core platform, in several diseases where there is a strong immunological component. We will definitely try to scale into additional therapy areas as well. Got it. On the oncology side, EVX-01, we have the two-year data coming. I understand these patients will continue with the two to three booster dosing after two years and follow up. Will there be any further development into Phase 2, or will we wait for partnership, and then meanwhile you move into EVX-03 or any other targets? Yeah. We are definitely looking for a partner for EVX-01. We will, as you mentioned, we now have a subset of patients in this expansion phase of the trial. They will receive EVX-01 as monotherapy, and we will, of course, monitor their clinical status, but also T-cell responses in these patients. But yes, we are looking for a partner that can continue the development of this very exciting asset. Great. You probably addressed it in the previous question. Did you give us a timeline on when the next candidate in oncology will be announced, or do you have an idea? We have a milestone coming up in this fall, and that is lead candidate nomination of our ERV-based cancer vaccine. But we have not yet disclosed anything around the next or the timing of our next candidate that will enter into the clinic. Got it. Thank you. Congratulations again on the deal today. Thank you. Thank you. Thank you. Once again, if you would like to ask a question, please press star one and one on your telephone keypad. That is star one and one if you would like to ask a question. There are currently no further questions. I will hand the call back to Birgitte Rønø for closing remarks. Yes. Thank you. And thank you for participating. If you have any further questions, please do not hesitate to reach out to us. Thank you. Thank you. That concludes today's conference call. Thank you for participating. You may now disconnect.

Speaker 1: Good day, and thank you for standing by. Welcome to the Evaxion Out-Licenses Vaccine Candidate EVX-B3 to MSD webcast and conference call. At this time, all participants are in the listen-only mode. After the speaker's presentation, there'll be a question-and-answer session. To ask a question during the session, you will need to press star one and one on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star one and one again. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your first speaker today, Interim CEO and CSO, Birgitte Rønø. Please go ahead. Good day, and thank you for standing by. good day and thank you for standing by welcome to the evaxion out-licenses vaccine candidate evx-b3 to Welcome to the Evaxion Out-Licenses Vaccine Candidate EVX-B3 to MSD webcast and conference call. good day and thank you for standing by welcome to the evaxion out-licenses vaccine candidate evx-b3 to msd webcast and conference call At this time, all participants are in the listen-only mode. at this time all participants are in the listen-only mode After the speaker's presentation, there'll be a question-and-answer session. after the speaker's presentation there'll be a question-and-answer session To ask a question during the session, you will need to press star one and one on your telephone. to ask a question during the session you will need to press star one and one on your telephone You will then hear an automated message advising your hand is raised. you will then hear an automated message advising your hand is raised To withdraw your question, please press star one and one again. to withdraw your question please press star one and one again Please be advised that today's conference is being recorded. please be advised that today's conference is being recorded I would now like to hand the conference over to your first speaker today, Interim CEO and CSO, Birgitte Rønø. i would now like to hand the conference over to your first speaker today interim ceo and cso birgitte rønø Please go ahead. please go ahead

Speaker 4: Thank you. Good morning and good afternoon, and thank you all for joining us, and a warm welcome to this exciting conference call. I'm Birgitte Rønø, CSO and Interim CEO of Evaxion, and I'm joined today by Thomas Schmidt, our CFO, and Ms. Kronborg, VP of Investor Relations and Communication. Earlier today, we shared an important update. MSD, or Merck, has exercised its option to license our EVX-B3 program, and this marks a significant milestone not just for Evaxion, but for the broader field of AI-driven drug development. It is the first time a pharmaceutical company has in-licensed a vaccine candidate discovered using AI, and we are extremely proud to be leading this change. Thank you. thank you G ood morning and good afternoon, and thank you all for joining us, and a warm welcome to this exciting conference call. g ood morning and good afternoon and thank you all for joining us and a warm welcome to this exciting conference call I'm Birgitte Rønø, CSO and Interim CEO of Evaxion, and I'm joined today by Thomas Schmidt, our CFO, and Ms. Kronborg, VP of Investor Relations and Communication. i'm birgitte rønø cso and interim ceo of evaxion and i'm joined today by thomas schmidt our cfo and ms kronborg vp of investor relations and communication E arlier today, we shared an important update. e arlier today we shared an important update MSD, or Merck, has exercised its option to license our EVX-B3 program, and this marks a significant milestone not just for Evaxion, but for the broader field of AI-driven drug development. msd or merck has exercised its option to license our evx-b3 program and this marks a significant milestone not just for evaxion but for the broader field of ai-driven drug development It is the first time a pharmaceutical company has in-licensed a vaccine candidate discovered using AI, and we are extremely proud to be leading this change. it is the first time a pharmaceutical company has in-licensed a vaccine candidate discovered using ai and we are extremely proud to be leading this change Today's call will, of course, focus on this major milestone, and alongside, MSD holds an option on a vaccine candidate, EVX-B2, for which the evaluation period is extended with a decision period on potential in-licensing now expected in the first half of 2026. Let's begin by walking through the agenda for today's presentation. I'll begin with the highlights of the MSD deal, and then I'll walk you through our proprietary AI-Immunology platform and how it enables novel vaccine target discovery. Then Thomas will present our financial and cash position, and I will return with some conclusive remarks before we open the floor for a Q&A session. Before we dive into the detail, I would like to remind everyone that today's presentation may contain forward-looking statements, and these are subject to risk and uncertainties, and actual results may differ materially. Today's call will, of course, focus on this major milestone, and alongside, MSD holds an option on a vaccine candidate, EVX-B2, for which the evaluation period is extended with a decision period on potential in-licensing now expected in the first half of 2026. today's call will of course focus on this major milestone and alongside msd holds an option on a vaccine candidate evx-b2 for which the evaluation period is extended with a decision period on potential in-licensing now expected in the first half of 2026 Let's begin by walking through the agenda for today's presentation. let's begin by walking through the agenda for today's presentation I'll begin with the highlights of the MSD deal, and then I'll walk you through our proprietary AI-Immunology platform and how it enables novel vaccine target discovery. i'll begin with the highlights of the msd deal and then i'll walk you through our proprietary ai-immunology platform and how it enables novel vaccine target discovery Then Thomas will present our financial and cash position, and I will return with some conclusive remarks before we open the floor for a Q&A session. then thomas will present our financial and cash position and i will return with some conclusive remarks before we open the floor for a q&a session Before we dive into the detail, I would like to remind everyone that today's presentation may contain forward-looking statements, and these are subject to risk and uncertainties, and actual results may differ materially. before we dive into the detail i would like to remind everyone that today's presentation may contain forward-looking statements and these are subject to risk and uncertainties and actual results may differ materially This is a historic moment not just for Evaxion, but also because it marks the first-ever in-licensing of an AI-discovered vaccine candidate by a major pharmaceutical company. The exercise fee of $7.5 million extends our runway into the first half of 2027. The deal confirms our strategy of value creation through partnerships, even with industry giants like MSD. It also validates our AI-Immunology platform and our R&D pipeline, and further, it ensures future development of the EVX-B3 candidate without cost for Evaxion. Not related to the EVX-B3 deal as such, the EVX-B2 evaluation period has been extended. Let's take a closer look on how this partnership with MSD has evolved over time. In 2023, we began a target discovery collaboration on EVX-B3, addressing a bacterial pathogen with high unmet medical needs where no vaccine is available. This is a historic moment not just for Evaxion, but also because it marks the first-ever in-licensing of an AI-discovered vaccine candidate by a major pharmaceutical company. this is a historic moment not just for evaxion but also because it marks the first-ever in-licensing of an ai-discovered vaccine candidate by a major pharmaceutical company The exercise fee of $7.5 million extends our runway into the first half of 2027. the exercise fee of $7.5 million extends our runway into the first half of 2027 The deal confirms our strategy of value creation through partnerships, even with industry giants like MSD. the deal confirms our strategy of value creation through partnerships even with industry giants like msd It also validates our AI-I mmunology platform and our R&D pipeline, and further, it ensures future development of the EVX-B3 candidate without cost for Evaxion. it also validates our ai-i mmunology platform and our r&d pipeline and further it ensures future development of the evx-b3 candidate without cost for evaxion N ot related to the EVX-B3 deal as such, the EVX-B2 evaluation period has been extended. n ot related to the evx-b3 deal as such the evx-b2 evaluation period has been extended L et's take a closer look on how this partnership with MSD has evolved over time. l et's take a closer look on how this partnership with msd has evolved over time In 2023, we began a target discovery collaboration on EVX-B3, addressing a bacterial pathogen with high unmet medical needs where no vaccine is available. in 2023 we began a target discovery collaboration on evx-b3 addressing a bacterial pathogen with high unmet medical needs where no vaccine is available One year later, in 2024, the collaboration expanded to include EVX-B2 with an upfront payment of $3.2 million and potential milestones up to $592 million per product, and now, in 2025, MSD has exercised its option on EVX-B3 while extending the evaluation period for EVX-B2, demonstrating commitment to both programs. It fits into our broader pipeline and strategic milestones for this year. As you can see, 2025 is shaping up to be a pivotal year for Evaxion. We have already achieved several key milestones, and more are on the horizon. We've completed EVX-01 dosing and released supplemental Phase 2 data. We've added a new infectious disease vaccine pipeline candidate, and we've now seen that MSD has exercised the option, which brings in $7.5 million. One year later, in 2024, the collaboration expanded to include EVX-B2 with an upfront payment of $3.2 million and potential milestones up to $592 million per product, and now, in 2025, MSD has exercised its option on EVX-B3 while extending the evaluation period for EVX-B2, demonstrating commitment to both programs. one year later in 2024 the collaboration expanded to include evx-b2 with an upfront payment of $3.2 million and potential milestones up to $592 million per product and now in 2025 msd has exercised its option on evx-b3 while extending the evaluation period for evx-b2 demonstrating commitment to both programs It fits into our broader pipeline and strategic milestones for this year. it fits into our broader pipeline and strategic milestones for this year As you can see, 2025 is shaping up to be a pivotal year for Evaxion. as you can see 2025 is shaping up to be a pivotal year for evaxion We have already achieved several key milestones, and more are on the horizon. we have already achieved several key milestones and more are on the horizon We've completed EVX-01 dosing and released supplemental Phase 2 data. we've completed evx-01 dosing and released supplemental phase 2 data We've added a new infectious disease vaccine pipeline candidate, and we've now seen that MSD has exercised the option, which brings in $7.5 million. we've added a new infectious disease vaccine pipeline candidate and we've now seen that msd has exercised the option which brings in $7.5 million Looking ahead, we expect further progress of our cancer vaccine candidates, the CMV program, and also progress within improving our AI-Immunology platform. Further, we also anticipate an additional new business development agreement. Now let's shift focus to the technology that powers these breakthroughs. AI-Immunology is the heart of our innovation. It's our proprietary platform that has been validated in three clinical trials. It is fast. We can do target discovery within just 24 hours. It is scalable, and we can apply AI-Immunology to over 100 different diseases. We have also seen that we can reduce the testing by 80%, and the platform is also delivery platform agnostic. It works across protein, DNA, messenger RNA, and peptide modalities. It is extremely accurate. Looking ahead, we expect further progress of our cancer vaccine candidates, the CMV program, and also progress within improving our AI-Immunology platform. looking ahead we expect further progress of our cancer vaccine candidates the cmv program and also progress within improving our ai-immunology platform Further, we also anticipate an additional new business development agreement. further we also anticipate an additional new business development agreement N ow let's shift focus to the technology that powers these breakthroughs. AI-Immunology is the heart of our innovation. n ow let's shift focus to the technology that powers these breakthroughs ai-immunology is the heart of our innovation It's our proprietary platform that has been validated in three clinical trials. it's our proprietary platform that has been validated in three clinical trials It is fast. it is fast We can do target discovery within just 24 hours. we can do target discovery within just 24 hours It is scalable, and we can apply AI-Immunology to over 100 different diseases. it is scalable and we can apply ai-immunology to over 100 different diseases We have also seen that we can reduce the testing by 80%, and the platform is also delivery platform agnostic. we have also seen that we can reduce the testing by 80% and the platform is also delivery platform agnostic It works across protein, DNA, messenger RNA, and peptide modalities. it works across protein, dna messenger rna and peptide modalities It is extremely accurate. it is extremely accurate We have seen in our EVX-01 Phase 2 trial that we have a 80% hit rate of the vaccine target that we have administered to the patients. It is also cost-effective. We can see that it is 90% cheaper than reverse vaccinology, which is the standard way that a pharma is identifying novel vaccine targets. So let me describe how our AI-Immunology works in more detail. We feed in genomic, transcriptomic, or proteomic data, and then our AI model identifies the most promising antigens for vaccine development. It then spits out a range shortlist that we can start working on, and it accelerates vaccine validation and design. We have used AI-Immunology in our EVX-B3 program. EVX-B3 is a prime example of our platform's potential. It targets a bacterial pathogen with no approved vaccine despite decades of research. Previous efforts have yielded little progress. We have seen in our EVX-01 Phase 2 trial that we have a 80% hit rate of the vaccine target that we have administered to the patients. we have seen in our evx-01 phase 2 trial that we have a 80% hit rate of the vaccine target that we have administered to the patients It is also cost-effective. it is also cost-effective We can see that it is 90% cheaper than reverse vaccinology, which is the standard way that a pharma is identifying novel vaccine targets. we can see that it is 90% cheaper than reverse vaccinology which is the standard way that a pharma is identifying novel vaccine targets So let me describe how our AI-Immunology works in more detail. so let me describe how our ai-immunology works in more detail We feed in genomic, transcriptomic, or proteomic data, and then our AI model identifies the most promising antigens for vaccine development. we feed in genomic transcriptomic or proteomic data and then our ai model identifies the most promising antigens for vaccine development It then spits out a range shortlist that we can start working on, and it accelerates vaccine validation and design. it then spits out a range shortlist that we can start working on and it accelerates vaccine validation and design We have used AI-Immunology in our EVX-B3 program. EVX-B3 is a prime example of our platform's potential. we have used ai-immunology in our evx-b3 program evx-b3 is a prime example of our platform's potential It targets a bacterial pathogen with no approved vaccine despite decades of research. it targets a bacterial pathogen with no approved vaccine despite decades of research Previous efforts have yielded little progress. previous efforts have yielded little progress EVX-B3 could be a breakthrough addressing recurrent infections and severe complications caused by this pathogen. Now MSD has decided to in-license this program, which underscores the potential of the EVX-B3 vaccine candidate as such, and also the ability of our AI platform to identify therapeutically relevant vaccine targets. Now let's turn to the second program under evaluation, EVX-B2. MSD's decision to extend and expand this evaluation period for EVX-B2 reflects their continued interest and commitment to this program. With further testing underway, a licensing decision is expected in the first half of 2026. If MSD decides to exercise, Evaxion, we'll receive $2.5 million in option fee and up to $592 million in milestones, as well as royalties on sales. Let's take a closer look at what makes EVX-B2 so promising. EVX-B2 addresses a critical unmet medical need: gonorrhea. EVX-B3 could be a breakthrough addressing recurrent infections and severe complications caused by this pathogen. evx-b3 could be a breakthrough addressing recurrent infections and severe complications caused by this pathogen Now MSD has decided to in-license this program, which underscores the potential of the EVX-B3 vaccine candidate as such, and also the ability of our AI platform to identify therapeutically relevant vaccine targets. now msd has decided to in-license this program which underscores the potential of the evx-b3 vaccine candidate as such and also the ability of our ai platform to identify therapeutically relevant vaccine targets Now let's turn to the second program under evaluation, EVX-B2. now let's turn to the second program under evaluation evx-b2 MSD's decision to extend and expand this evaluation period for EVX-B2 reflects their continued interest and commitment to this program. msd's decision to extend and expand this evaluation period for evx-b2 reflects their continued interest and commitment to this program With further testing underway, a licensing decision is expected in the first half of 2026. with further testing underway a licensing decision is expected in the first half of 2026 If MSD decides to exercise, Evaxion , we'll receive $2.5 million in option fee and up to $592 million in milestones, as well as royalties on sales. if msd decides to exercise, evaxion we'll receive $2.5 million in option fee and up to $592 million in milestones as well as royalties on sales Let's take a closer look at what makes EVX-B2 so promising. let's take a closer look at what makes evx-b2 so promising EVX-B2 addresses a critical unmet medical need: gonorrhea. evx-b2 addresses a critical unmet medical need gonorrhea With rising antibiotic resistance and no existing prophylactic vaccine, our multi-component approach offers a compelling solution. The preclinical data is strong, and the global impact could be significant, as more than 80 million new infections were reported globally in 2020. Yeah, sorry. Now I will hand over to Thomas, who will walk us through how this deal impacts our cash position. With rising antibiotic resistance and no existing prophylactic vaccine, our multi-component approach offers a compelling solution. with rising antibiotic resistance and no existing prophylactic vaccine our multi-component approach offers a compelling solution The preclinical data is strong, and the global impact could be significant, as more than 80 million new infections were reported globally in 2020. the preclinical data is strong and the global impact could be significant as more than 80 million new infections were reported globally in 2020 Yeah, sorry. yeah sorry Now I will hand over to Thomas, who will walk us through how this deal impacts our cash position. now i will hand over to thomas who will walk us through how this deal impacts our cash position

Speaker 2: Yes, thank you, Birgitte. As Birgitte said, truly a remarkable day for us as Evaxion, as we've now out-license the B3 program. The program in itself and the deal that we have made with MSD is obviously that here and now we receive $7.5 million on the in-licensing of the B3 program, which obviously also means that all future costs in development now will be dealt with from MSD perspective. We will have no cost further involved in that. But we will have potential milestones to support our future cash generation, as hopefully the program progresses through development phase, regulatory approvals, and sales, with a total of up to $592 million, as well as royalties included in the deal. So truly a remarkable change also in terms of how we can generate future cash. Yes, thank you, Birgitte. yes thank you birgitte A s Birgitte said, truly a remarkable day for us as Evaxion, as we've now out-license the B3 program. a s birgitte said truly a remarkable day for us as evaxion as we've now out-license the b3 program T he program in itself and the deal that we have made with MSD is obviously that here and now we receive $7.5 million on the in-licensing of the B3 program, which obviously also means that all future costs in development now will be dealt with from MSD perspective. t he program in itself and the deal that we have made with msd is obviously that here and now we receive $7.5 million on the in-licensing of the b3 program which obviously also means that all future costs in development now will be dealt with from msd perspective W e will have no cost further involved in that. w e will have no cost further involved in that But we will have potential milestones to support our future cash generation, as hopefully the program progresses through development phase, regulatory approvals, and sales, with a total of up to $592 million, as well as royalties included in the deal. but we will have potential milestones to support our future cash generation as hopefully the program progresses through development phase regulatory approvals and sales with a total of up to $592 million as well as royalties included in the deal So truly a remarkable change also in terms of how we can generate future cash. so truly a remarkable change also in terms of how we can generate future cash If we do look at our cash position and what this also means for our cash position, first and foremost, let me also just mention the initiatives that we have done throughout 2025 so far with the focus to strengthen our financial position. Earlier in the year, in January, we have done capital market activities and public offering, totaling close to $17 million. In July, we also announced that we did an agreement with the European Investment Bank to convert debt into equity worth $4.1 million. The $4.1 million, I should, of course, mention, is not cash income, but will improve not only our balance sheet, but also the upcoming and forthcoming interest rates to be paid, therefore, also improving our cash flow as we move forward. If we do look at our cash position and what this also means for our cash position, first and foremost, let me also just mention the initiatives that we have done throughout 2025 so far with the focus to strengthen our financial position. if we do look at our cash position and what this also means for our cash position first and foremost let me also just mention the initiatives that we have done throughout 2025 so far with the focus to strengthen our financial position Earlier in the year, in January, we have done capital market activities and public offering, totaling close to $17 million. earlier in the year in january we have done capital market activities and public offering totaling close to $17 million In July, we also announced that we did an agreement with the European Investment Bank to convert debt into equity worth $4.1 million. in july we also announced that we did an agreement with the european investment bank to convert debt into equity worth $4.1 million The $4.1 million, I should, of course, mention, is not cash income, but will improve not only our balance sheet, but also the upcoming and forthcoming interest rates to be paid, t herefore, also improving our cash flow as we move forward. the $4.1 million i should of course mention is not cash income but will improve not only our balance sheet but also the upcoming and forthcoming interest rates to be paid, t herefore also improving our cash flow as we move forward Now, as of today, here in September, and as announced today, we then will receive $7.5 million income from the in-license of the MSD or out-licensed, sorry, of the MSD B3 program. That will bring our cash runway into the first half year of 2027. So really also gives us a nice cash position and a nice cash runway to fund the continued operations of our company. I think as a biotech TechBio company, that is really, really a good position that we have moved ourselves into with these initiatives. With that, I hand it back to Birgitte. Now, as of today, here in September, and as announced today, we then will receive $7.5 million income from the in-license of the MSD or out-licensed, sorry, of the MSD B3 program. now as of today here in september and as announced today we then will receive $7.5 million income from the in-license of the msd or out-licensed sorry of the msd b3 program That will bring our cash runway into the first half year of 2027. that will bring our cash runway into the first half year of 2027 So really also gives us a nice cash position and a nice cash runway to fund the continued operations of our company. I think as a biotech TechBio company, that is really, really a good position that we have moved ourselves into with these initiatives. so really also gives us a nice cash position and a nice cash runway to fund the continued operations of our company i think as a biotech techbio company that is really really a good position that we have moved ourselves into with these initiatives W ith that, I hand it back to Birgitte. w ith that i hand it back to birgitte

Speaker 4: Thank you, Thomas. So as we conclude today's presentation, I would like to highlight the significance of this deal. The deal represents a strong validation from a global leader in vaccine development, reinforcing the credibility of our AI platform and the strength of our R&D pipeline. It also confirms our strategy as it underlines our ability to out-licensed and monetize assets through high-value partnerships. Moreover, it underscores the uniqueness and value of our proprietary AI-Immunology platform, which continues to deliver differentiated vaccine candidates. Finally, as Thomas just alluded to, the agreement strengthens our financial position, extending our cash runway into the first half of 2027 and provides a solid foundation for continued execution. Thank you for your attention, and we are now happy to take your questions. Thank you, Thomas. thank you thomas So as we conclude today's presentation, I would like to highlight the significance of this deal. so as we conclude today's presentation i would like to highlight the significance of this deal T he deal represents a strong validation from a global leader in vaccine development, reinforcing the credibility of our AI platform and the strength of our R&D pipeline. t he deal represents a strong validation from a global leader in vaccine development reinforcing the credibility of our ai platform and the strength of our r&d pipeline It also confirms our strategy as it underlines our ability to out-licensed and monetize assets through high-value partnerships. it also confirms our strategy as it underlines our ability to out-licensed and monetize assets through high-value partnerships M oreover, it underscores the uniqueness and value of our proprietary AI-Immunology platform, which continues to deliver differentiated vaccine candidates. m oreover it underscores the uniqueness and value of our proprietary ai-immunology platform which continues to deliver differentiated vaccine candidates F inally, as Thomas just alluded to, the agreement strengthens our financial position, extending our cash runway into the first half of 2027 and provides a solid foundation for continued execution. f inally as thomas just alluded to the agreement strengthens our financial position extending our cash runway into the first half of 2027 and provides a solid foundation for continued execution T hank you for your attention, and we are now happy to take your questions. t hank you for your attention and we are now happy to take your questions

Speaker 1: Thank you. To ask a question, you will need to press star one and one on your telephone and wait for your name to be announced. To withdraw your question, please press star one and one again. We will now go to your first question. One moment, please. Your first question today comes from the line of Thomas Flaten from Lake Street. Please go ahead. Thank you. thank you To ask a question, you will need to press star one and one on your telephone and wait for your name to be announced. to ask a question you will need to press star one and one on your telephone and wait for your name to be announced To withdraw your question, please press star one and one again. to withdraw your question please press star one and one again We will now go to your first question. we will now go to your first question One moment, please. one moment please Y our first question today comes from the line of Thomas Flaten from Lake Street. y our first question today comes from the line of thomas flaten from lake street Please go ahead. please go ahead

Speaker 7: Yeah, hey guys, I appreciate you taking the questions. First question for Thomas. Will this be recorded as revenue, or will it be just a pure balance sheet transaction when we look to update our model? Yeah, hey guys, I appreciate you taking the questions. yeah hey guys i appreciate you taking the questions First question for Thomas. first question for thomas Will this be recorded as revenue, or will it be just a pure balance sheet transaction when we look to update our model? will this be recorded as revenue or will it be just a pure balance sheet transaction when we look to update our model

Speaker 2: Yeah, hi Thomas, thanks. Yes, so the $7.5 million that we will now receive from Merck will be recorded as revenue. Yeah, hi Thomas, thanks. yeah hi thomas thanks Yes, so the $7.5 million that we will now receive from Merck will be recorded as revenue. yes so the $7.5 million that we will now receive from merck will be recorded as revenue

Speaker 7: Excellent. And Birgitte, can you maybe give us some more detail on the nature of the extension of the evaluation period into the first half? Was it just work they didn't complete? Was there incremental interest in doing some different work? I'm just trying to understand. That's a pretty significant delay, and I'm just trying to understand what caused that. Excellent. excellent And Birgitte, can you maybe give us some more detail on the nature of the extension of the evaluation period into the first half? and birgitte can you maybe give us some more detail on the nature of the extension of the evaluation period into the first half Was it just work they didn't complete? was it just work they didn't complete Was there incremental interest in doing some different work? was there incremental interest in doing some different work I'm just trying to understand. i'm just trying to understand That's a pretty significant delay, and I'm just trying to understand what caused that. that's a pretty significant delay and i'm just trying to understand what caused that

Speaker 4: Of course. We have been working with the MSD Research Lab on the B2 for almost a year now, and they have done several experiments confirming our bindings. We know that they're interested in strengthening the data package. With this extension, and I would also call it expansion, they're conducting several new experiments. Of course. of course W e have been working with the MSD Research Lab on the B2 for almost a year now, and they have done several experiments confirming our bindings. w e have been working with the msd research lab on the b2 for almost a year now and they have done several experiments confirming our bindings We know that they're interested in strengthening the data package. we know that they're interested in strengthening the data package W ith this extension, and I would also call it expansion, they're conducting several new experiments. w ith this extension and i would also call it expansion they're conducting several new experiments

Speaker 7: Okay. So just to clarify, it's an extension and an expansion? Okay. okay So just to clarify, it's an extension and an expansion? so just to clarify it's an extension and an expansion

Speaker 4: Yes. Yes. yes

Speaker 7: Excellent. I appreciate you taking the question. Thank you. Excellent. excellent I appreciate you taking the question. i appreciate you taking the question Thank you. thank you

Speaker 1: Thank you. Your next question today comes from the line of Kevin DeGeeter from Ladenburg Thalmann. Please go ahead. Thank you. thank you Your next question today comes from the line of Kevin DeGeeter from Ladenburg Thalmann. your next question today comes from the line of kevin degeeter from ladenburg thalmann Please go ahead. please go ahead

Speaker 5: Hey, thanks for taking my questions. Really exciting announcement. I guess just sort of stepping back, one of the promises of AI, or sort of target discovery, is the ability to kind of scale and scale rapidly. How many potential targets could you sort of look at with other pharmas, perhaps from a business development perspective, with the available resources and kind of just stepping back, kind of any learnings from this experience from Merck? I mean, this is a bit of a unique opportunity to take a target of interest by Merck and just really sort of run it all the way through to license. Yeah, I'm just trying to understand if you can do more business development, how quickly can this model kind of scale? Hey, thanks for taking my questions. hey thanks for taking my questions Really exciting announcement. really exciting announcement I guess just sort of stepping back, one of the promises of AI, or sort of target discovery, is the ability to kind of scale and scale rapidly. i guess just sort of stepping back one of the promises of ai or sort of target discovery is the ability to kind of scale and scale rapidly How many potential targets could you sort of look at with other pharmas, perhaps from a business development perspective, with the available resources and kind of just stepping back, kind of any learnings from this experience from Merck? how many potential targets could you sort of look at with other pharmas perhaps from a business development perspective with the available resources and kind of just stepping back kind of any learnings from this experience from merck I mean, this is a bit of a unique opportunity to take a target of interest by Merck and just really sort of run it all the way through to license. i mean this is a bit of a unique opportunity to take a target of interest by merck and just really sort of run it all the way through to license Yeah, I'm just trying to understand if you can do more business development, how quickly can this model kind of scale? yeah i'm just trying to understand if you can do more business development how quickly can this model kind of scale

Speaker 4: Yeah, thank you for that question. It definitely depends on how far we take these programs. Our AI-Immunology platform would be able to identify promising targets within 24 hours. Then, of course, after AI-Immunology ranking the top candidates, we would do some design experiments, and we'd also manufacture these candidates for preclinical testing. In terms of limitations or indications, we don't really see any limitations. AI-Immunology is also scalable. We expect that we can use the platform in other disease areas where there is a strong immunological component. I don't see that there are any limitations in terms of how many deals can you make within this space as it is scalable to other therapeutic areas. Yeah, thank you for that question. yeah thank you for that question I t definitely depends on how far we take these programs. i t definitely depends on how far we take these programs O ur AI-Immunology platform would be able to identify promising targets within 24 hours. o ur ai-immunology platform would be able to identify promising targets within 24 hours T hen, of course, after AI-Immunology ranking the top candidates, we would do some design experiments, and we'd also manufacture these candidates for preclinical testing. t hen of course after ai-immunology ranking the top candidates we would do some design experiments and we'd also manufacture these candidates for preclinical testing I n terms of limitations or indications, we don't really see any limitations. i n terms of limitations or indications we don't really see any limitations AI-Immunology is also scalable. ai-immunology is also scalable We expect that we can use the platform in other disease areas where there is a strong immunological component. I don't see that there are any limitations in terms of how many deals can you make within this space as it is scalable to other therapeutic areas. we expect that we can use the platform in other disease areas where there is a strong immunological component i don't see that there are any limitations in terms of how many deals can you make within this space as it is scalable to other therapeutic areas One key example, autoimmune diseases, where I think there's in the past been a focus on several targets, and not a lot of new ideas are coming out in this space. We would definitely be able to use AI-Immunology and target these diseases in a different way than what has been done in the past. One key example, autoimmune diseases, where I think there's in the past been a focus on several targets, and not a lot of new ideas are coming out in this space. one key example autoimmune diseases where i think there's in the past been a focus on several targets and not a lot of new ideas are coming out in this space We would definitely be able to use AI-Immunology and target these diseases in a different way than what has been done in the past. we would definitely be able to use ai-immunology and target these diseases in a different way than what has been done in the past

Speaker 5: Very exciting. Just as sort of my follow-up, you mentioned business development in your prepared comments. Getting this license agreement done, I think is likely to help in any future business development discussions. Is your priority more with regard to potentially outlicensing the Evaxion developed programs, many of which you've already disclosed to the investment community, or is it more focused from a business development resource perspective on opportunities like this one with Merck, where the pharma brings you a candidate that the investment community hasn't learned about previously and may not know that much about initially? Very exciting. very exciting J ust as sort of my follow-up, you mentioned business development in your prepared comments. j ust as sort of my follow-up you mentioned business development in your prepared comments Getting this license agreement done, I think is likely to help in any future business development discussions. getting this license agreement done i think is likely to help in any future business development discussions Is your priority more with regard to potentially outlicensing the Evaxion developed programs, many of which you've already disclosed to the investment community, or is it more focused from a business development resource perspective on opportunities like this one with Merck, where the pharma brings you a candidate that the investment community hasn't learned about previously and may not know that much about initially? is your priority more with regard to potentially outlicensing the evaxion developed programs many of which you've already disclosed to the investment community or is it more focused from a business development resource perspective on opportunities like this one with merck where the pharma brings you a candidate that the investment community hasn't learned about previously and may not know that much about initially

Speaker 4: Yeah, really great question. The answer is we will do both. We definitely welcome any requests on target discovery collaboration, similar to what we have done with MSD. But we will also continue with our own R&D pipeline, taking programs to preclinical development and also select candidates into early clinical development. It will be the focus is on both of these two tracks. Yeah, really great question. yeah really great question T he answer is we will do both. t he answer is we will do both We definitely welcome any requests on target discovery collaboration, s imilar to what we have done with MSD. we definitely welcome any requests on target discovery collaboration s imilar to what we have done with msd But we will also continue with our own R&D pipeline, t aking programs to preclinical development and also select candidates into early clinical development. but we will also continue with our own r&d pipeline t aking programs to preclinical development and also select candidates into early clinical development I t will be the focus is on both of these two tracks. i t will be the focus is on both of these two tracks

Speaker 5: Thank you for taking my questions. Thank you for taking my questions. thank you for taking my questions

Speaker 1: Thank you. We will now go to the next question. The next question comes from the line of Swayampakula Ramakanth from H.C. Wainwright. Please go ahead. Thank you. thank you We will now go to the next question. we will now go to the next question T he next question comes from the line of Swayampakula Ramakanth from H.C. t he next question comes from the line of swayampakula ramakanth from h.c Wainwright. wainwright Please go ahead. please go ahead

Speaker 6: Thank you. Good afternoon, Birgitte. Congratulations. With the added $7.5 million to your balance sheet, where do you see the immediate need for funds? Is that going to be utilized more in pipeline/new molecule development, or is it going to be earmarked more for expanding your AI models and trying to bring another new AI-Immunology platform? Thank you. thank you Good afternoon, Birgitte. good afternoon birgitte Congratulations. congratulations With the added $7.5 million to your balance sheet, where do you see the immediate need for funds? with the added $7.5 million to your balance sheet where do you see the immediate need for funds Is that going to be utilized more in pipeline/new molecule development, or is it going to be earmarked more for expanding your AI models and trying to bring another new AI-I mmunology platform? is that going to be utilized more in pipeline/new molecule development or is it going to be earmarked more for expanding your ai models and trying to bring another new ai-i mmunology platform

Speaker 4: Yeah, thank you for that question. We will definitely invest in improving our AI-Immunology platform in the future. This is not a very costly exercise. We use, yeah, public data for improving AI-Immunology and then building new tools. This is more a resource-demanding exercise. We will, of course, also invest in our R&D pipeline in the future, and since we have our own lab and animal facility, we can actually move fast and also pretty cost-effective from AI target discovery into preclinical development. Of course, it becomes more costly if you take programs into the clinic. Ambition of it actually is to continue to do early preclinical studies and late preclinical studies, and also taking them into the clinic. Yeah, thank you for that question. yeah thank you for that question W e will definitely invest in improving our AI-Immunology platform in the future. w e will definitely invest in improving our ai-immunology platform in the future This is not a very costly exercise. this is not a very costly exercise We use, yeah, public data for improving AI-Immunology and then building new tools. we use yeah public data for improving ai-immunology and then building new tools T his is more a resource-demanding exercise. t his is more a resource-demanding exercise We will, of course, also invest in our R&D pipeline in the future, and since we have our own lab and animal facility, we can actually move fast and also pretty cost-effective from AI target discovery into preclinical development. we will of course also invest in our r&d pipeline in the future and since we have our own lab and animal facility we can actually move fast and also pretty cost-effective from ai target discovery into preclinical development O f course, it becomes more costly if you take programs into the clinic. o f course it becomes more costly if you take programs into the clinic Ambition of it actually is to continue to do early preclinical studies and late preclinical studies, and also taking them into the clinic. ambition of it actually is to continue to do early preclinical studies and late preclinical studies and also taking them into the clinic

Speaker 6: Fantastic. Thanks. Regarding EVX-B2, the decision that Merck is yet to make, I know you gave some color regarding how they want to progress from here. But in your own discussions, based on all the data discussions that you did on B3, what do you surmise Merck is thinking regarding the B2 program? How definite are you that they would follow through and pick up that option as well, I mean, exercise that option as well before the end of first half 2026? Fantastic. fantastic Thanks. thanks Regarding EVX-B2, the decision that Merck is yet to make, I know you gave some color regarding how they want to progress from here. regarding evx-b2 the decision that merck is yet to make i know you gave some color regarding how they want to progress from here But in your own discussions, based on all the data discussions that you did on B3, what do you surmise Merck is thinking regarding the B2 program? but in your own discussions based on all the data discussions that you did on b3 what do you surmise merck is thinking regarding the b2 program H ow definite are you that they would follow through and pick up that option as well, I mean, exercise that option as well before the end of first half 2026? h ow definite are you that they would follow through and pick up that option as well i mean exercise that option as well before the end of first half 2026

Speaker 4: Yeah. So as I mentioned, MSD will do more testing of EVX-B2, so expanding the evaluation program. I think I will not speculate on when they will decide, and I will not speculate on what exactly they would like to see. But there's no doubt that they have continued interest in this program. Yeah. yeah So as I mentioned, MSD will do more testing of EVX-B2, so expanding the evaluation program. so as i mentioned msd will do more testing of evx-b2 so expanding the evaluation program I think I will not speculate on when they will decide, and I will not speculate on what exactly they would like to see. i think i will not speculate on when they will decide and i will not speculate on what exactly they would like to see But there's no doubt that they have continued interest in this program. but there's no doubt that they have continued interest in this program

Speaker 6: Very good. Coming to EVX-01, it's exciting that within a month from here, we're going to see the two-year data point. Merck also has interest in melanoma with Keytruda potentially losing its patents in 2028. Do you see a path forward with Merck on that or any other currently anti-PD-1 therapies which are out there for melanoma? Very good. very good C oming to EVX-01, it's exciting that within a month from here, we're going to see the two-year data point. Merck also has interest in melanoma with Keytruda potentially losing its patents in 2028. c oming to evx-01 it's exciting that within a month from here we're going to see the two-year data point merck also has interest in melanoma with keytruda potentially losing its patents in 2028 D o you see a path forward with Merck on that or any other currently anti-PD-1 therapies which are out there for melanoma? d o you see a path forward with merck on that or any other currently anti-pd-1 therapies which are out there for melanoma

Speaker 4: Yeah, so it's very exciting that we will be presenting two-year data from our EVX-01 Phase 2 study at ESMO on October 17. As we've mentioned earlier on, we are looking for a partner for this, our main asset, and Merck could definitely be a good fit. But it could also be another pharma company with an interest in personalized cancer vaccines. I don't see that we are limited or that it can only be MSD. It can definitely be another pharma company. Yeah, so it's very exciting that we will be presenting two-year data from our EVX-01 Phase 2 study at ESMO on October 17. yeah so it's very exciting that we will be presenting two-year data from our evx-01 phase 2 study at esmo on october 17 As we've mentioned earlier on, we are looking for a partner for this, our main asset, and Merck could definitely be a good fit. as we've mentioned earlier on we are looking for a partner for this our main asset and merck could definitely be a good fit But it could also be another pharma company with an interest in personalized cancer vaccines. I don't see that we are limited or that it can only be MSD. but it could also be another pharma company with an interest in personalized cancer vaccines i don't see that we are limited or that it can only be msd It can definitely be another pharma company. it can definitely be another pharma company

Speaker 6: The last question for me. On the docket, you still have two clinical candidates to announce. One is an ERV, and the other is an infectious disease. So when you plan to announce the lead candidates for these two programs, would you also be presenting any preclinical data around them, or would it just be the candidates? The last question for me. the last question for me O n the docket, you still have two clinical candidates to announce. o n the docket you still have two clinical candidates to announce One is an ERV, and the other is an infectious disease. one is an erv and the other is an infectious disease So when you plan to announce the lead candidates for these two programs, would you also be presenting any preclinical data around them, or would it just be the candidates? so when you plan to announce the lead candidates for these two programs would you also be presenting any preclinical data around them or would it just be the candidates

Speaker 4: No, we will definitely be presenting preclinical data on this vaccine candidate later this year. Yes. We are extremely excited about the ERV-based cancer vaccines and their potential within this shared vaccine field. No, we will definitely be presenting preclinical data on this vaccine candidate later this year. no we will definitely be presenting preclinical data on this vaccine candidate later this year Yes. yes We are extremely excited about the ERV-based cancer vaccines and their potential within this shared vaccine field. we are extremely excited about the erv-based cancer vaccines and their potential within this shared vaccine field

Speaker 6: Perfect. Thank you very much. Thanks for taking all my questions, Birgitte. Congratulations again. Perfect. perfect Thank you very much. thank you very much Thanks for taking all my questions, Birgitte. thanks for taking all my questions birgitte Congratulations again. congratulations again

Speaker 4: Thank you. Thank you. thank you

Speaker 1: Thank you. As a reminder, if you would like to ask a question, please press star one and one on your telephone keypad. We will now go to the next question, and your next question today comes from the line of Soumit Roy from JonesTrading. Please go ahead. Thank you. thank you As a reminder, if you would like to ask a question, please press star one and one on your telephone keypad. as a reminder if you would like to ask a question please press star one and one on your telephone keypad We will now go to the next question, and your next question today comes from the line of Soumit Roy from JonesTrading. we will now go to the next question and your next question today comes from the line of soumit roy from jonestrading Please go ahead. please go ahead

Speaker 3: Good morning, everyone. Congratulations again on the outlicensing deal. A quick one. Broadly looking at the business development perspective, the ROI seems to be better in the infectious disease area. Is this where we can see the company completely converting over the years, or oncology still remains a major focus? Good morning, everyone. good morning everyone Congratulations again on the outlicensing deal. congratulations again on the outlicensing deal A quick one. a quick one Broadly looking at the business development perspective, the ROI seems to be better in the infectious disease area. broadly looking at the business development perspective the roi seems to be better in the infectious disease area Is this where we can see the company completely converting over the years, or oncology still remains a major focus? is this where we can see the company completely converting over the years or oncology still remains a major focus

Speaker 4: I'm not entirely sure what you mean. Could you perhaps repeat? Your question was around whether we would solely focus on one therapy area? I'm not entirely sure what you mean. i'm not entirely sure what you mean Could you perhaps repeat? could you perhaps repeat Y our question was around whether we would solely focus on one therapy area? y our question was around whether we would solely focus on one therapy area

Speaker 3: Yeah. If you would focus more into the infectious disease area because the ROI and turnaround seems to be much more effective there. Going to flu vaccines, which are highly mutable year to year, and there is a demand for an effective flu vaccine every year. Do you see the company more effective in the infectious disease area than oncology? Yeah. yeah If you would focus more into the infectious disease area because the ROI and turnaround seems to be much more effective there. if you would focus more into the infectious disease area because the roi and turnaround seems to be much more effective there Going to flu vaccines, which are highly mutable year to year, and there is a demand for an effective flu vaccine every year. going to flu vaccines which are highly mutable year to year and there is a demand for an effective flu vaccine every year Do you see the company more effective in the infectious disease area than oncology? do you see the company more effective in the infectious disease area than oncology

Speaker 4: Yeah. Thank you for that question. We do have the ambition of staying in oncology and also continue in infectious diseases and further to expand into other therapeutic areas. We do see a clear fit for AI-Immunology, so our core platform, in several diseases where there is a strong immunological component. We will definitely try to scale into additional therapy areas as well. Yeah. yeah T hank you for that question. t hank you for that question W e do have the ambition of staying in oncology and also continue in infectious diseases and further to expand into other therapeutic areas. w e do have the ambition of staying in oncology and also continue in infectious diseases and further to expand into other therapeutic areas We do see a clear fit for AI-Immunology, so our core platform, in several diseases where there is a strong immunological component. we do see a clear fit for ai-immunology so our core platform in several diseases where there is a strong immunological component W e will definitely try to scale into additional therapy areas as well. w e will definitely try to scale into additional therapy areas as well

Speaker 3: Got it. On the oncology side, EVX-01, we have the two-year data coming. I understand these patients will continue with the two to three booster dosing after two years and follow up. Will there be any further development into Phase 2, or will we wait for partnership, and then meanwhile you move into EVX-03 or any other targets? Got it. got it On the oncology side, EVX-01, we have the two-year data coming. I understand these patients will continue with the two to three booster dosing after two years and follow up. on the oncology side evx-01 we have the two-year data coming i understand these patients will continue with the two to three booster dosing after two years and follow up Will there be any further development into Phase 2, or will we wait for partnership, and then meanwhile you move into EVX-03 or any other targets? will there be any further development into phase 2 or will we wait for partnership and then meanwhile you move into evx-03 or any other targets

Speaker 4: Yeah. We are definitely looking for a partner for EVX-01. We will, as you mentioned, we now have a subset of patients in this expansion phase of the trial. They will receive EVX-01 as monotherapy, and we will, of course, monitor their clinical status, but also T-cell responses in these patients. But yes, we are looking for a partner that can continue the development of this very exciting asset. Yeah. yeah W e are definitely looking for a partner for EVX-01. w e are definitely looking for a partner for evx-01 We will, as you mentioned, we now have a subset of patients in this expansion phase of the trial. we will as you mentioned we now have a subset of patients in this expansion phase of the trial T hey will receive EVX-01 as monotherapy, and we will, of course, monitor their clinical status, but also T-cell responses in these patients. t hey will receive evx-01 as monotherapy and we will of course monitor their clinical status but also t-cell responses in these patients But yes, we are looking for a partner that can continue the development of this very exciting asset. but yes we are looking for a partner that can continue the development of this very exciting asset

Speaker 3: Great. You probably addressed it in the previous question. Did you give us a timeline on when the next candidate in oncology will be announced, or do you have an idea? Great. great You probably addressed it in the previous question. you probably addressed it in the previous question Did you give us a timeline on when the next candidate in oncology will be announced, or do you have an idea? did you give us a timeline on when the next candidate in oncology will be announced or do you have an idea

Speaker 4: We have a milestone coming up in this fall, and that is lead candidate nomination of our ERV-based cancer vaccine. But we have not yet disclosed anything around the next or the timing of our next candidate that will enter into the clinic. We have a milestone coming up in this fall, and that is lead candidate nomination of our ERV-based cancer vaccine. we have a milestone coming up in this fall and that is lead candidate nomination of our erv-based cancer vaccine But we have not yet disclosed anything around the next or the timing of our next candidate that will enter into the clinic. but we have not yet disclosed anything around the next or the timing of our next candidate that will enter into the clinic

Speaker 3: Got it. Thank you. Congratulations again on the deal today. Got it. got it Thank you. thank you C ongratulations again on the deal today. c ongratulations again on the deal today

Speaker 4: Thank you. Thank you. thank you

Speaker 2: Thank you. Thank you. thank you

Speaker 1: Thank you. Once again, if you would like to ask a question, please press star one and one on your telephone keypad. That is star one and one if you would like to ask a question. There are currently no further questions. I will hand the call back to Birgitte Rønø for closing remarks. Thank you. thank you Once again, if you would like to ask a question, please press star one and one on your telephone keypad. once again if you would like to ask a question please press star one and one on your telephone keypad That is star one and one if you would like to ask a question. that is star one and one if you would like to ask a question There are currently no further questions. there are currently no further questions I will hand the call back to Birgitte Rønø for closing remarks. i will hand the call back to birgitte rønø for closing remarks

Speaker 4: Yes. Thank you. And thank you for participating. If you have any further questions, please do not hesitate to reach out to us. Thank you. Yes. yes Thank you. thank you And thank you for participating. and thank you for participating I f you have any further questions, please do not hesitate to reach out to us. i f you have any further questions please do not hesitate to reach out to us Thank you. thank you

Speaker 1: Thank you. That concludes today's conference call. Thank you for participating. You may now disconnect. Thank you. thank you That concludes today's conference call. that concludes today's conference call Thank you for participating. thank you for participating You may now disconnect. you may now disconnect