Surrozen (SRZN) Stifel 2024 Healthcare Conference summary

Clinical development updates

• Lead compound SZN-043 targets severe alcohol-associated hepatitis (SAH) and is in phase I-B trials, showing safety, tolerability, and no deaths in the first six patients at 0.5 mg/kg over 30 days.

• The trial uses a staggered, open-label, multiple ascending dose design with three cohorts (0.5, 1, and 1.5 mg/kg), each enrolling six patients, and measures safety, mortality, MELD, bilirubin, AST, and ALT.

• Interim data at 15 patients will trigger a $17.5M PIPE milestone if mortality is below 30%, with full 30-patient data expected in the first half of 2025.

• Planning for phase III is underway, with regulatory strategy informed by recent competitor experiences and FDA guidance.

• Commercial opportunity for SZN-043 is acute, targeting 200,000 annual U.S. hospitalizations for SAH, with potential for repeat interventions.

Platform and pipeline strategy

• Ophthalmology pipeline includes Frizzled-4 and VEGF bispecifics, with Frizzled-4 VEGF prioritized for retinopathies like wet AMD and DME; tri-specific (Frizzled-4 VEGF IL-6) may target uveitis.

• Partnership with Boehringer Ingelheim (BI) on 413 compound yielded $12.5M upfront and $10M milestone, with up to $576M in future milestones and royalties; BI's rights are limited to 413.

• EyeBio's clinical proof of concept and Merck's acquisition have de-risked the Frizzled-4 target, with additional industry interest from Roche.

• Frizzled 1/2/7 program for Fuchs endothelial corneal dystrophy (FECD) and geographic atrophy (GA) shows preclinical regeneration of corneal and RPE cells; FECD seen as faster to clinical proof of concept.

• Internal prioritization focuses on Frizzled-4 VEGF and Frizzled 1/2/7, with 8143 (tri-specific) more likely to be out-licensed.

Financial and operational outlook

• Ended quarter with $41M cash, burning $7–8M per quarter; additional capital expected from PIPE and BI milestones in 2025.

• $17.5M PIPE milestone expected at 15-patient interim readout, and $70M at phase I-B completion for 043.

• Continued clinical safety and efficacy in Wnt pathway programs support ongoing development and investor confidence.