BOTHELL, Wash. and VANCOUVER, British Columbia, May 15, 2017 /PRNewswire/ -- OncoGenex
Pharmaceuticals, Inc. (NASDAQ: OGXI) today announced financial
results for the first quarter ended March
31, 2017.
Recent Events
- In January 2017, Achieve Life
Science, Inc. (Achieve) and OncoGenex announced they entered
into a definitive merger agreement.
- In February 2017, OncoGenex
announced that apatorsen results from two randomized Phase 2
clinical trials were presented at the American Society of
Clinical Oncology (ASCO) 2017 Genitourinary Cancers Symposium,
held February 16th-
18th in Orlando. Clinical data from trials in
bladder and prostate cancers demonstrated apatorsen was
well-tolerated and improved patient outcomes when administered in
combination with standard-of-care treatments.
- In March 2017, Achieve announced
a strategic collaboration with the National Center for
Complementary and Integrative Health (NCCIH) at
the National Institutes of Health (NIH) to conduct
non-clinical studies in support of an overall clinical development
plan for cytisine as a smoking cessation treatment. As part of the
collaboration, Achieve is providing cytisine to
the NIH to conduct a series of non-clinical studies
required by the U.S. Food and Drug Administration (FDA)
to support the submission of an Investigational New Drug (IND)
application. The collaboration commenced in March
2015 and results of the studies are expected in the
second-quarter of 2017.
- In March 2017, the Society
for Research in Nicotine and Tobacco (SRNT) held a symposium
on cytisine research at its annual conference held
in Florence, Italy. The
symposium was chaired by Professor Nancy Rigotti,
MD, Massachusetts General Hospital/Harvard Medical School, with presentations from
Associate Professor Natalie Walker, PhD, National
Institute for Health Innovation, University of Auckland, on "Cytisine versus Varenicline for
Smoking Cessation: Two Clinical Trials from the Australasian
Cytisine Trialist Group," and "The Challenge to Getting Cytisine
Licensed For Use Worldwide: Policy Considerations." Dr.
Walker was the principal investigator of the 1,310 patient
phase 3 CASCAID trial published in the New England Journal of
Medicine in December, 2014 titled "Cytisine versus Nicotine for
Smoking Cessation".
Financial Results
As of March 31, 2017, the
company's cash, cash equivalents, and short-term investments were
$16.5 million compared with
$25.5 million as of December 31, 2016. Based on current expectations,
OncoGenex believes that its cash, cash equivalents, and short-term
investments will be sufficient to fund its currently planned
operations for at least the next 12 months.
Revenue for the three months ended March 31, 2017 decreased to zero from
$2.9 million
for three months ended March 31,
2016. Total operating expenses for the three months ended
March 31, 2017 were $3.3
million compared to $7.4 million
for the same period in 2016. Net loss for the three months
ended March 31, 2017 was $3.3 million compared to $3.7 million for the same period in 2016.
As of May 15, 2017 OncoGenex had
30,087,485 shares outstanding.
About OncoGenex
OncoGenex is a biopharmaceutical company committed to the
development and commercialization of new therapies that address
treatment resistance in cancer patients. The company's product
candidate, apatorsen (OGX-427), is designed to inhibit production
of Hsp27, disable cancer cells' defenses and overcome treatment
resistance. Hsp27 is an intracellular protein that protects cancer
cells by helping them survive, leading to resistance and more
aggressive cancer phenotypes. Both the potential single-agent
activity and synergistic activity of apatorsen with cancer
treatments may increase the overall benefit of existing therapies
and augment the durability of treatment outcomes, which could lead
to increased patient survival. More information is available
at www.OncoGenex.com and at the company's Twitter
account: https://twitter.com/OncoGenex_IR.
About Achieve and Cytisine
Achieve is developing cytisine as a smoking cessation aid. Cytisine
is a plant-based alkaloid with a high binding affinity to the
nicotinic acetylcholine receptor. It is an established smoking
cessation treatment that has been approved and marketed in Central
and Eastern Europe for more than 15 years. It is
estimated that over 20 million people have used cytisine to help
combat nicotine addiction, including approximately 2,000 patients
in Phase 3 clinical trials conducted
in Europe and New Zealand. Achieve's focus is to
address the global smoking health epidemic, which is currently the
leading cause of preventable death and is responsible for nearly
six million people losing their lives annually worldwide.
Discussions have been held with FDA and a European
regulatory agency to determine the clinical and regulatory pathway
towards making cytisine widely available.
Important Additional Information about the Proposed
Merger
This communication is being made in respect of the proposed merger
involving OncoGenex Pharmaceuticals, Inc. and Achieve Life Science,
Inc. OncoGenex has filed a registration statement on Form S-4 (File
No. 333-216961) with the Securities and Exchange Commission (SEC),
which contains a preliminary proxy statement/prospectus/information
statement and other relevant materials, and plans to file with the
SEC other documents regarding the proposed transaction. The final
proxy statement/prospectus/information statement will be sent to
the stockholders of OncoGenex and Achieve. The proxy
statement/prospectus/information statement contains information
about OncoGenex, Achieve, the proposed merger and related matters.
STOCKHOLDERS ARE URGED TO READ THE PROXY
STATEMENT/PROSPECTUS/INFORMATION STATEMENT (INCLUDING ANY
AMENDMENTS OR SUPPLEMENTS) AND OTHER DOCUMENTS FILED WITH THE SEC
CAREFULLY IN THEIR ENTIRETY AS THEY BECOME AVAILABLE, AS THEY
CONTAIN IMPORTANT INFORMATION THAT STOCKHOLDERS SHOULD CONSIDER
BEFORE MAKING A DECISION ABOUT THE MERGER AND RELATED
MATTERS. In addition to receiving the final proxy
statement/prospectus/information statement and proxy card by mail,
stockholders will also be able to obtain the proxy
statement/prospectus/information statement, as well as other
filings containing information about OncoGenex, without charge,
from the SEC's website (http://www.sec.gov) or, without charge, by
directing a written request to: OncoGenex Pharmaceuticals,
Inc., 19820 North Creek Parkway, Suite 201, Bothell, WA 98011, Attention: Investor
Relations or to Achieve Life Science, Inc., 30 Sunnyside Avenue,
Mill Valley, CA 94941, Attention: Rick Stewart.
This communication shall not constitute an offer to sell or the
solicitation of an offer to sell or the solicitation of an offer to
buy any securities, nor shall there be any sale of securities in
any jurisdiction in which such offer, solicitation or sale would be
unlawful prior to registration or qualification under the
securities laws of any such jurisdiction. No offering of securities
in connection with the proposed merger shall be made except by
means of a prospectus meeting the requirements of Section 10
of the Securities Act of 1933, as amended.
Participants in Solicitation
OncoGenex and its executive officers and directors may be deemed to
be participants in the solicitation of proxies from OncoGenex's
stockholders with respect to the matters relating to the proposed
merger. Achieve and its officers and directors may also be deemed a
participant in such solicitation. Information regarding OncoGenex's
executive officers and directors is available in OncoGenex's proxy
statement on Schedule 14A, filed with the SEC on April 21, 2016. Information regarding any
interest that OncoGenex, Achieve or any of the executive officers
or directors of OncoGenex or Achieve may have in the transaction
with Achieve will be set forth in the final proxy
statement/prospectus/information statement that OncoGenex will file
with the SEC in connection with its stockholder vote on matters
relating to the proposed merger. Stockholders will be able to
obtain this information by reading the final proxy
statement/prospectus/information statement when it becomes
available.
OncoGenex' Forward Looking Statements
This press release contains forward-looking statements within the
meaning of the "safe harbor" provisions of the Private Securities
Litigation Reform Act of 1995, including, but not limited to,
statements regarding the proposed merger with Achieve Life Science;
the development of apatorsen and cytisine; the potential benefits
of apatorsen and cytisine; and the adequacy of cash reserves.
All statements other than statements of historical fact are
statements that could be deemed forward-looking statements.
OncoGenex and/or Achieve may not actually achieve the proposed
merger, or any plans or product development goals in a timely
manner, if at all, or otherwise carry out the intentions or meet
the expectations or projections disclosed in these forward-looking
statements. These statements are based on management's current
expectations and beliefs and are subject to a number of risks,
uncertainties and assumptions that could cause actual results to
differ materially from those described in the forward-looking
statements, including, among others, the failure of the OncoGenex
or Achieve stockholders to approve the transaction; the failure of
either party to meet the closing conditions of the transaction;
delays in completing the transaction and the risk that the
transaction may not be completed at all; the failure to realize the
anticipated benefits from the transaction or delay in realization
thereof; the success of the combined businesses; operating costs
and business disruption during the pendency of and following the
proposed merger; the risk that product candidates will not receive
regulatory approval or be successfully commercialized; the risk
that new developments in the rapidly evolving cancer therapy
landscape require changes in business strategy or clinical
development plans; the risk that product candidates may not
demonstrate the hypothesized or expected benefits; general
business and economic conditions; and the other factors described
in our risk factors set forth in OncoGenex's filings with
the Securities and Exchange Commission from time to time,
including its Annual Report on Form 10-K and Quarterly Reports on
Form 10-Q. OncoGenex undertakes no obligation to update the
forward-looking statements contained herein or to reflect events or
circumstances occurring after the date hereof, other than as may be
required by applicable law.
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Consolidated
Statements of Loss
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(In thousands,
except per share and share data)
|
(unaudited)
|
|
|
|
|
|
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|
|
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Three months ended
March 31,
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2017
|
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2016
|
|
|
|
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|
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|
|
|
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Collaboration
revenue
|
|
$
—
|
|
$
2,940
|
|
|
|
|
|
Operating
expenses:
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|
|
|
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Research and
development
|
|
912
|
|
4,642
|
General and
administrative
|
|
2,532
|
|
2,299
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Restructuring
costs (recovery)
|
|
(98)
|
|
431
|
Total operating expenses
|
|
3,346
|
|
7,372
|
Loss from
operations
|
|
(3,346)
|
|
(4,432)
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Other income
(expense)
|
|
77
|
|
725
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Net loss
|
|
$
(3,269)
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|
$
(3,707)
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Basic and diluted net
loss per share
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$
(0.11)
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$
(0.12)
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|
|
|
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|
Weighted average
number of basic and diluted common shares
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30,076,160
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29,827,824
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|
|
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Consolidated
Balance Sheets
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(In
thousands)
|
|
|
|
|
|
|
|
March
31,
|
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December
31,
|
|
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2017
|
|
2016
|
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(unaudited)
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Assets:
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|
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Cash, cash
equivalents, short term investments and restricted cash
|
|
$
16,722
|
|
$
25,735
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Interest
receivable
|
|
—
|
|
32
|
Amounts
receivable
|
|
237
|
|
478
|
Prepaid
expenses and other current assets
|
|
765
|
|
954
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Property,
equipment and other assets
|
|
179
|
|
271
|
Total
assets
|
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$
17,903
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$
27,470
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Liabilities and
stockholders' equity:
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Accounts
payable and accrued liabilities
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$
1,745
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$
8,166
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Current
portion of long-tem obligations
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|
55
|
|
57
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Warrant
liability
|
|
180
|
|
232
|
Long term
liabilities
|
|
32
|
|
49
|
Stockholders'
equity
|
|
15,891
|
|
18,966
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Total liabilities and
stockholders' equity
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$
17,903
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$
27,470
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visit:http://www.prnewswire.com/news-releases/oncogenex-pharmaceuticals-inc-reports-financial-results-for-first-quarter-2017-300457033.html
SOURCE OncoGenex Pharmaceuticals, Inc.