ADC Therapeutics SA (NASDAQ:ADCT) is a commercial-stage biotechnology company pioneering the development of next-generation antibody-drug conjugates (ADCs) for the treatment of hematologic malignancies and solid tumors. Founded in 2011 and headquartered in Lausanne, Switzerland, ADC Therapeutics was built on a single mission: to harness the precision of monoclonal antibodies and the power of chemotherapy into one highly targeted therapeutic platform capable of selectively destroying cancer cells while sparing healthy tissue.
With decades of academic research and proprietary linker-payload technology at its core, ADC Therapeutics has emerged as a global leader in the rapidly growing field of ADCs—a therapeutic class that has captured the attention of pharmaceutical giants, oncologists, and investors alike. The company’s approach combines disease-specific antibody engineering with potent cytotoxins, allowing for highly selective tumor targeting and potentially improved clinical outcomes over traditional therapies.
ADC Therapeutics’ lead product, Zynlonta® (loncastuximab tesirine-lpyl), is a CD19-directed ADC that received accelerated approval from the U.S. Food and Drug Administration (FDA) in 2021 for the treatment of relapsed or refractory diffuse large B-cell lymphoma (DLBCL). The approval was a major milestone not just for the company but for the ADC field as a whole, marking a turning point in the clinical validation of targeted payload delivery. Zynlonta’s approval confirmed the viability of ADC Therapeutics’ science and laid the foundation for a broader commercial and clinical expansion strategy across multiple cancer types.
Since its IPO in 2020, ADC Therapeutics has worked aggressively to advance its pipeline, expand Zynlonta’s use through combination studies like LOTIS-5 and LOTIS-7, and introduce new investigational ADCs targeting markers such as PSMA, CD25, and AXL. With a diversified portfolio, deep in-house R&D capabilities, and strategic collaborations with industry leaders, the company continues to push the boundaries of what ADCs can achieve in oncology.
As of 2025, ADC Therapeutics has strategically aligned its resources to focus on the most promising programs. It has streamlined operations, fortified its balance sheet through institutional financing, and doubled down on clinical programs with the greatest potential for near-term impact. This includes an exciting next-generation exatecan-based ADC targeting prostate-specific membrane antigen (PSMA)—a key emerging target in solid tumors like prostate cancer.
Today, ADC Therapeutics stands as a global biotech innovator with an expanding presence in the U.S. and EU markets, a strong commercial asset in Zynlonta, and a pipeline positioned to capitalize on the accelerating adoption of ADC technologies. With a clear scientific vision, operational discipline, and multiple late-stage catalysts on the horizon, the company is poised to shape the future of cancer treatment through targeted, next-generation biologics that redefine what precision oncology can achieve.
$100 Million Private Placement Signals Institutional Confidence and Extends Cash Runway to 2028
On June 12, 2025, ADC Therapeutics announced a $100 million private investment in public equity (PIPE) financing, selling 13.0 million common shares at $3.53 per share and issuing pre-funded warrants to purchase an additional 15.7 million shares at $3.43. This financing, led by respected institutional investor Redmile Group and supported by firms such as Guggenheim Securities, Jefferies, and RBC Capital Markets, represents a significant vote of confidence in the company’s long-term vision.
More importantly, this funding extends ADC Therapeutics’ projected cash runway into 2028, ensuring that key clinical programs can advance through multiple late-stage milestones without the near-term threat of dilution. The company stated that proceeds from the PIPE will be used to support the clinical development and commercialization of Zynlonta, advance its PSMA-targeting ADC program, and provide general working capital. In a capital-constrained biotech environment, ADC Therapeutics now stands out as one of the few small-cap oncology players with sufficient liquidity to self-fund into regulatory catalysts.
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Strategic Restructuring Reduces Burn Rate While Preserving Core Value Drivers
As part of its transformation, ADC Therapeutics is executing a corporate streamlining plan that includes a 30% global workforce reduction, the wind-down of its UK operations, and the closure of non-core early-stage preclinical solid tumor programs. This operational restructuring, expected to be substantially completed by September 2025, will result in one-time cash charges between $6 million and $7 million but is projected to dramatically reduce recurring R&D and SG&A expenses.
These moves are not just about cost-cutting—they represent a disciplined refocus on the company’s most valuable and near-commercial assets. With Zynlonta at the center of this strategic reset and new capital supporting its late-stage trials, ADC Therapeutics is emerging leaner, more capital-efficient, and far better positioned to execute than it was a year ago.
Zynlonta Expansion Trials Hold Multi-Billion Dollar Market Potential
ADC Therapeutics’ lead asset, Zynlonta, is currently approved as monotherapy for relapsed/refractory DLBCL. However, the company’s true value lies in its ability to expand Zynlonta’s indications through combination therapy and earlier-line treatment settings. The ongoing LOTIS-7 trial, which combines Zynlonta with Roche’s bispecific antibody glofitamab (Columvi®), is showing blockbuster promise. Initial Phase 1b data reported an astonishing 93.3% overall response rate and an 86.7% complete response rate, including in patients who had previously failed CAR-T therapy—one of the most difficult-to-treat populations in hematologic oncology.
The LOTIS-7 trial is now expanding to enroll up to 100 patients at the recommended dose, with fuller data expected in the second half of 2025 and top-line results targeted for the first half of 2026. If these results hold, it could lead to compendia inclusion, increased off-label adoption, and future supplemental biologics license applications (sBLAs). This would significantly elevate Zynlonta’s commercial trajectory and establish ADC Therapeutics as a cornerstone player in B-cell lymphoma therapy.
Phase 3 LOTIS-5 Trial Could Drive Confirmatory Approval in Second-Line+ DLBCL
In parallel, the LOTIS-5 Phase 3 confirmatory trial of Zynlonta in combination with rituximab is expected to reach the necessary number of progression-free survival (PFS) events by the end of 2025, with topline results anticipated by early 2026. A positive outcome would support a full FDA approval in second-line and later DLBCL patients, potentially accelerating uptake and reimbursement access across multiple oncology centers. Regulatory filing is expected in the first half of 2026, with publication and compendia inclusion likely in 2027—events that could dramatically reshape the drug’s revenue outlook.
Emerging PSMA-Targeting ADC Adds Blue-Sky Potential in Prostate Cancer
Beyond hematologic malignancies, ADC Therapeutics is also advancing a next-generation exatecan-based ADC targeting PSMA, a clinically validated marker in metastatic castration-resistant prostate cancer. IND-enabling activities are expected to be completed by year-end 2025. While still early in development, this program offers significant upside in a large and underserved oncology segment where ADCs have yet to make a major commercial impact. With fewer than three PSMA-targeting ADCs in active development globally, ADC Therapeutics is in a strong position to carve out a leadership role in this future-facing field.
Analyst Targets and Technicals Suggest Major Re-Rating Potential
Wall Street is beginning to take notice. Guggenheim recently reiterated its “Buy” rating on ADCT and raised its price target to $10 following the LOTIS-7 results and PIPE funding news. This target represents over 200% upside from current trading levels near $3.00. The average analyst price target sits at approximately $8.42, with a growing consensus that the company’s leaner cost base and extended cash runway significantly de-risk the path forward.
Technically, ADCT appears to be building a base with RSI and MACD momentum signaling a bullish reversal pattern. Should the company deliver additional positive trial updates in the coming quarters, the stock could quickly re-rate back to pre-2023 levels, particularly as institutional interest continues to grow.
Conclusion: ADC Therapeutics Is One Clinical Catalyst Away From Rediscovery
ADC Therapeutics is executing one of the most compelling under-the-radar turnaround stories in the oncology sector. Its $100 million PIPE, disciplined restructuring, and deep clinical pipeline form a strategic trifecta that positions the company for outsized returns. With near-term catalysts from LOTIS-7 and LOTIS-5, a cash runway extending into 2028, and renewed institutional participation, ADCT is no longer just a speculative biotech—it is a focused, well-capitalized innovator with real-world data, commercial presence, and pipeline optionality.
For investors seeking exposure to targeted oncology, ADC Therapeutics offers a rare combination of deep discount valuation and high-value catalysts within a 6–18 month horizon. As the ADC space gains momentum globally, ADC Therapeutics is well-positioned to emerge as a second-wave leader in what may become one of the most lucrative therapeutic classes of the next decade.
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