“Our number one priority is our review of strategic alternatives while continuing to build value in our internal and partnered programs” said
Recent Highlights
Presented SNS-510 Preclinical Data from Ongoing Program at the 32nd EORTC-NCI-AACR Symposium on Molecular Targets and Cancer Therapies. In
Bolstered Balance Sheet with Completion of Public Offering and Retiring Debt. In
Announced Review of Strategic Alternatives. In
Announced Reduction in Workforce to Streamline Resources. In
Financial Highlights
- Cash and cash equivalents totaled
$26.0 million as ofSeptember 30, 2020 , as compared to cash and cash equivalents and restricted cash totaled$34.6 million as ofDecember 31, 2019 . The decrease of$8.6 million was due to cash used in operating activities, mainly resulting from our net loss of$16.8 million for the nine months endedSeptember 30, 2020 , the$5.5 million principal payment of the SVB Loan Agreement, offset by the$12.6 million net proceeds from issuance of common stock and adjustments for non-cash items of$1.1 million . - Total revenue was nil and
$0.1 million for the three and nine months endedSeptember 30, 2020 , respectively, and nil for the comparable periods in 2019. The revenue during the nine months endedSeptember 30, 2020 was primarily due to revenue recognized from the upfront payment received under the license agreement with Denovo. - Research and development expense was
$2.2 million and$10.1 million for the three and nine months endedSeptember 30, 2020 , respectively, compared to$3.5 million and$10.5 million for the same periods in 2019. The decrease of$1.3 million between the comparable three months periods was primarily due to a$0.7 million decrease in clinical expenses and a$0.4 million decrease in professional service expenses due to the decision not to advance our clinical trial for vecabrutinib into Phase 2. The decrease is further due to a$0.2 million decrease in salary and personnel expenses due to lower headcount. The$0.4 million decrease in the comparable nine months period was primarily due to a$0.9 million decrease in salary and personnel expenses due to lower headcount and a$0.6 million decrease in clinical research organization (“CRO”) related expenses, partially offset by a$1.3 million increase in professional services mainly due to progress in the SNS-510 studies. - General and administrative expense was
$2.3 million and$6.6 million for the three and nine months endedSeptember 30, 2020 , respectively, compared to$2.5 million and$7.5 million for the same periods in 2019. The decrease of$0.2 million between the comparable three months periods was primarily due to a$0.4 million decrease in salary and personnel expenses due to lower headcount and less business-related travel, offset by a$0.1 million increase in professional service expenses and a$0.1 million increase inDelaware franchise tax due to reverse split. The$0.9 million decrease in the comparable nine months periods was primarily due to a$0.6 million decrease in salary and personnel expenses due to lower headcount and less business-related travels and a$0.3 million decrease in professional service expenses due to lower patent expenses. - Interest expense was
$0.2 million and$0.3 million for the three and nine months endedSeptember 30, 2020 , compared to$0.1 million and$0.4 million for the same periods in 2019, respectively. The increase in the interest expenses in the comparable three months periods was mainly due to the final payment related to the repayment of the outstanding debt under the SVB Loan Agreement inJuly 2020 . The decrease in the comparable nine months periods was mainly due to lower interest paid due to the lower interest rate on the lower principal amount under the SVB Loan Agreement as compared to our prior loan agreement withWestern Alliance Bank and Solar Capital Ltd. in 2019. - Net cash used in operating activities was
$15.8 million for the nine months endedSeptember 30, 2020 , as compared to$18.4 million for the same period in 2019. Net cash used in operating activities in the nine months endedSeptember 30, 2020 , resulted primarily from the net loss of$16.8 million , partially offset by adjustments for non-cash items of$1.1 million . Net cash used in operating activities in the nine months endedSeptember 30, 2019 , resulted primarily from the net loss of$18.0 million and changes in operating assets and liabilities of$1.8 million , offset by adjustments for non-cash items of$1.4 million .
Conference Call Information
Sunesis will host a conference call today at 4:30 p.m. Eastern Time. The call can be accessed by dialing (844) 296-7720 (
About Sunesis Pharmaceuticals
Sunesis is a biopharmaceutical company developing novel targeted inhibitors for the treatment of hematologic and solid cancers. Sunesis has built an experienced drug development organization committed to improving the lives of people with cancer. The Company is focused on advancing its novel kinase inhibitor pipeline, including first-in-class PDK1 inhibitor SNS-510. SNS-510 is in IND-enabling studies.
For additional information on Sunesis, please visit www.sunesis.com.
SUNESIS and the logos are trademarks of Sunesis Pharmaceuticals, Inc.
Forward-Looking Statements
This press release contains forward-looking statements, including statements related to Sunesis’ continued development and potential of its kinase inhibitor pipeline, including additional IND enabling studies related to SNS-510; Sunesis' ability to maximize stockholder value through Sunesis' strategic review process; and the sufficiency of Sunesis’ cash resources and financial position. Words such as “expect,” “will,” “look forward,” and similar expressions are intended to identify forward-looking statements. These forward-looking statements are based upon Sunesis' current expectations. Forward-looking statements involve risks and uncertainties. Sunesis' actual results and the timing of events could differ materially from those anticipated in such forward-looking statements as a result of these risks and uncertainties. These and other risk factors are discussed under "Risk Factors" in Sunesis' Quarterly Report on Form 10-Q for the quarter ended September 30, 2020 and Sunesis' other filings with the Securities and Exchange Commission. Sunesis expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in Sunesis' expectations with regard thereto or any change in events, conditions or circumstances on which any such statements are based.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||||
AND COMPREHENSIVE LOSS | ||||||||||||||||
(In thousands, except per share amounts) | ||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||
(Unaudited) | (Unaudited) | |||||||||||||||
Revenue: | ||||||||||||||||
License and other revenue | $ | - | $ | - | $ | 120 | $ | - | ||||||||
Total revenues | - | - | 120 | - | ||||||||||||
Operating expenses: | ||||||||||||||||
Research and development | 2,157 | 3,534 | 10,128 | 10,465 | ||||||||||||
General and administrative | 2,315 | 2,507 | 6,607 | 7,469 | ||||||||||||
Total operating expenses | 4,472 | 6,041 | 16,735 | 17,934 | ||||||||||||
Loss from operations | (4,472 | ) | (6,041 | ) | (16,615 | ) | (17,934 | ) | ||||||||
Interest expense | (167 | ) | (71 | ) | (302 | ) | (443 | ) | ||||||||
Other income, net | 1 | 170 | 114 | 334 | ||||||||||||
Net loss | (4,638 | ) | (5,942 | ) | (16,803 | ) | (18,043 | ) | ||||||||
Unrealized loss on available-for-sale securities | - | - | (1 | ) | - | |||||||||||
Comprehensive loss | $ | (4,638 | ) | $ | (5,942 | ) | $ | (16,804 | ) | $ | (18,043 | ) | ||||
Basic and diluted loss per common share: | ||||||||||||||||
Net loss | $ | (4,638 | ) | $ | (5,942 | ) | $ | (16,803 | ) | $ | (18,043 | ) | ||||
Shares used in computing basic and diluted loss per common share(1) | 15,929 | 10,507 | 12,748 | 7,897 | ||||||||||||
Basic and diluted loss per common share(1) | $ | (0.29 | ) | $ | (0.57 | ) | $ | (1.32 | ) | $ | (2.28 | ) | ||||
Note 1: Share and per-share data in the condensed consolidated statement of operations and comprehensive loss have been adjusted to give retroactive effect to the Reverse Split for all periods presented. | ||||||||||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | |||||||
(In thousands) | |||||||
2020 | 2019 | ||||||
(Unaudited) | (Note 2) | ||||||
ASSETS | |||||||
Current assets: | |||||||
Cash and cash equivalents | $ | 26,048 | $ | 12,761 | |||
Restricted cash | - | 5,500 | |||||
Marketable securities | - | 16,364 | |||||
Prepaids and other current assets | 1,576 | 1,697 | |||||
Total current assets | 27,624 | 36,322 | |||||
Property and equipment, net | - | 3 | |||||
Operating lease right-of-use asset | 409 | 817 | |||||
Other assets | - | 98 | |||||
Total assets | $ | 28,033 | $ | 37,240 | |||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||
Current liabilities: | |||||||
Accounts payable | $ | 150 | $ | 791 | |||
Accrued clinical expense | 380 | 521 | |||||
Accrued compensation | 901 | 985 | |||||
Other accrued liabilities | 1,727 | 1,109 | |||||
Notes payable | - | 5,465 | |||||
Operating lease liability - current | 409 | 545 | |||||
Total current liabilities | 3,567 | 9,416 | |||||
Other liabilities | - | 9 | |||||
Operating lease liability - long term | - | 272 | |||||
Total liabilities | 3,567 | 9,697 | |||||
Stockholders’ equity: | |||||||
Convertible preferred stock | 5,545 | 11,769 | |||||
Common stock | 2 | 11 | |||||
Additional paid-in capital | 718,522 | 698,562 | |||||
Accumulated other comprehensive income | - | 1 | |||||
Accumulated deficit | (699,603 | ) | (682,800 | ) | |||
Total stockholders’ equity | 24,466 | 27,543 | |||||
Total liabilities and stockholders’ equity | $ | 28,033 | $ | 37,240 | |||
Note 2: The consolidated balance sheet as of |
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Source:
2020 GlobeNewswire, Inc., source