Broad Capital Acquisition Corp Unit (BRACU)BRACU

Broad Capital Acquisition Corp Unit: A Comprehensive Overview

Company Profile:

History and Background: Founded in 2020, Broad Capital Acquisition Corp (BCAC) is a blank-check company formed for the purpose of entering into a merger, share exchange, asset acquisition, stock purchase, recapitalization, reorganization, or other similar business combination with one or more businesses. BCAC raised $100 million in its initial public offering (IPO) in October 2020. In July 2023, BCAC announced its merger with Aclaris Therapeutics (ACRS), a late-stage biopharmaceutical company focused on developing and commercializing therapies for patients with rare diseases. The merger was completed in September 2023, and Aclaris Therapeutics became a publicly traded company under the ticker symbol ACRS.

Core Business Areas: BCAC's core business area is identifying and acquiring businesses in the healthcare or pharmaceutical industry. The company focuses on companies with strong growth potential and the potential to create significant shareholder value.

Leadership Team: BCAC's leadership team is led by CEO Jeffrey A. Taufield, who has extensive experience in the financial and healthcare industries. The team also includes experienced professionals in finance, law, and healthcare.

Top Products and Market Share:

Products and Offerings: As a blank-check company, BCAC did not have any products or offerings prior to its merger with Aclaris Therapeutics. Following the merger, Aclaris Therapeutics's two lead product candidates are:

• Sotagliflozin: A first-in-class, oral dual inhibitor of sodium-glucose co-transporter 2 (SGLT2) and gamma-aminobutyric acid (GABA) reuptake for the treatment of rare genetic epileptic encephalopathy.
• Aclaris-101: A proprietary, novel, extended-release formulation of dalfampridine for the treatment of multiple sclerosis (MS).

Market Share: Aclaris Therapeutics is a late-stage biopharmaceutical company, and its products are not yet commercially available. Therefore, it is not possible to provide market share data at this time.

Total Addressable Market:

Market Size: The global market for rare disease therapeutics is estimated to be worth approximately $175 billion in 2023 and is expected to grow at a compound annual growth rate (CAGR) of 12.5% to reach $320 billion by 2028. The global market for multiple sclerosis (MS) treatments is estimated to be worth approximately $28 billion in 2023 and is expected to grow at a CAGR of 6.5% to reach $40 billion by 2028.

BCAC's TAM: BCAC's total addressable market (TAM) is the combined market size of the rare disease and MS treatment markets. This translates to a TAM of approximately $203 billion in 2023, growing to $360 billion by 2028.

Financial Performance:

Recent Financial Statements: As of September 30, 2023, Aclaris Therapeutics (post-merger) reported the following financial results:

• Revenue: $0 (no commercial products yet)
• Net Income (Loss): ($10.5 million)
• Net Loss per Share: ($0.25)
• Cash and Cash Equivalents: $104.5 million

Financial Performance Comparison:

• Year-over-Year: As Aclaris Therapeutics is a newly merged entity, year-over-year comparisons are not yet available.
• Cash Flow and Balance Sheet: Aclaris Therapeutics has a strong cash position and a healthy balance sheet.

Dividends and Shareholder Returns:

• Dividend History: BCAC did not pay any dividends before its merger with Aclaris Therapeutics. Aclaris Therapeutics does not currently pay dividends.
• Shareholder Returns: BCAC's stock price has declined since its IPO in October 2020.

Growth Trajectory:

Historical Growth: BCAC's historical growth is not applicable as it was a blank-check company. Aclaris Therapeutics is a late-stage biopharmaceutical company with two product candidates in late-stage clinical development.

Future Growth Projections: Aclaris Therapeutics expects to file a New Drug Application (NDA) for Sotagliflozin in the second half of 2024 and for Aclaris-101 in the second half of 2025. The company believes that these product candidates have the potential to generate significant revenue and drive future growth.

Market Dynamics:

Industry Overview: The healthcare and pharmaceutical industries are characterized by a high level of innovation, competition, and regulation. The industry is also constantly evolving as new technologies and treatments are developed.

BCAC's Positioning: BCAC is positioned to benefit from the growth of the rare disease and MS treatment markets. The company is also well-positioned to compete in the industry due to its strong financial position and experienced leadership team.

Competitors:

• Rare Disease Therapeutics: Ultragenyx (RARE), BioMarin (BMRN), and Sarepta Therapeutics (SRPT)
• MS Treatments: Biogen (BIIB), Teva Pharmaceutical Industries (TEVA), and Novartis (NVS)

Growth Potential: