Micromet May Have Strong BiTE

Micromet Inc. (MITI - Analyst Report) last week announced the publication of data in the peer-reviewed Journal of Immunotherapy demonstrating the potent anti-tumor activity of a BiTE antibody binding to carcinoembryonic antigen and to CD3 on T cells. The new study shows that novel BiTE antibodies have strong activity against CEA-expressing cancer cells in vitro and in animals, even in the presence of high levels of soluble CEA.

Micromet and MedImmune are jointly developing MT111/MEDI-565, a CEA-specific BiTE, which is currently in pre-clinical development.

We view the results as significant given that the company’s BiTE antibody platform technology underpins the company’s pipeline and stock’s value. We currently rate the stock with a Hold recommendation pending a detailed update on the company’s pipeline scheduled for April 24, 2009.