Oncolytics Biotech (ONCY) Jefferies Global Healthcare Conference 2026 summary

Drug development overview

• Pelareorep is an intravenously delivered oncolytic virus, unique for its systemic delivery and ability to evade immune neutralization, targeting both healthy and tumor cells but selectively replicating in tumor cells.

• The virus turns inactive tumors into active ones by stimulating the immune system to attack the tumor, using a naturally occurring reovirus that does not require genetic modification or special manufacturing.

• Commercial scalability is high due to low production costs and straightforward manufacturing, with a focus on combination therapies in GI tumors, a market with significant unmet needs.

Clinical strategy and data

• Lead clinical focus is on second-line metastatic colorectal cancer, specifically RAS mutated, microsatellite stable tumors, representing about 45% of the market.

• Early single-arm studies showed a 33% response rate with a 19-month duration of response, far exceeding the current standard of care.

• A new controlled study (REO 033) was launched recently, with interim data expected by December or January, targeting a large, underserved market segment.

• Few competitors are pursuing registration-enabled studies in this indication, and prior data from similar studies showed strong efficacy benchmarks.

Forward-looking plans and innovation

• Preclinical work is underway to combine pelareorep with new mechanisms, including RAS inhibitors, aiming to delay resistance and enhance efficacy.

• Additional data on time to resistance and new combination strategies are expected by year-end.