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Completed underwritten public offering of common stock that raised $46.2 million in net proceeds
Received FDA Breakthrough Therapy designation for PB2452
Results from Phase 1 clinical trial of PB2452 published in the New England Journal of Medicine and presented at the American College of Cardiology’s Annual Scientific Session
MALVERN, Pa. and SAN DIEGO, May 09, 2019 (GLOBE NEWSWIRE) -- PhaseBio Pharmaceuticals, Inc. (Nasdaq: PHAS), a clinical-stage biopharmaceutical company focused on the development and commercialization of novel therapies for orphan diseases, today reported financial results for the first quarter ended March 31, 2019 and provided a corporate update.
“Our priorities for 2019 include advancing our clinical stage development programs, creating value by partnering our early-stage programs and building on our strong financial position,” said Jonathan P. Mow, Chief Executive Officer of PhaseBio. “We have recently made significant progress on all three fronts: presenting positive Phase 1 results and receiving Breakthrough Therapy designation for our lead program, PB2452; signing a licensing agreement with ImmunoForge for PB1023; and completing an upsized and oversubscribed underwritten public offering of our common stock, which generated net proceeds of $46.2 million. With our first quarter performance and recent developments providing a strong tailwind, we are in an excellent position to execute on our strategic objectives, which are focused on delivering important medicines to patients with significant unmet medical needs.”
First Quarter and Recent Corporate Progress
First Quarter 2019 Financial Results
Cash and cash equivalents at March 31, 2019 were $51.9 million, compared to $61.0 million at December 31, 2018. The decrease primarily reflects cash used in operating activities.
Results of Operations
Three Months Ended March 31, 2019
PhaseBio reported a net loss of $7.3 million for the three months ended March 31, 2019, compared with a net loss of $4.4 million for the same period in 2018. This resulted in a net loss of $0.30 per share for the three months ended March 31, 2019, compared to a net loss of $5.90 per share for the corresponding period in 2018, on both a basic and diluted basis.
Grant revenue was $0.7 million for the three months ended March 31, 2019, as PhaseBio incurred allowable costs qualifying for reimbursement under the government grants. PhaseBio did not record any grant revenue for the three months ended March 31, 2018.
Research and development expense increased to $5.7 million for the three months ended March 31, 2019, as compared to $2.2 million for the three months ended March 31, 2018, reflecting an increase in manufacturing, clinical and preclinical development activities primarily related to PB2452.
General and administrative expense increased to $2.3 million for the three months ended March 31, 2019, compared to $0.6 million for the three months ended March 31, 2018, primarily attributable to increases in professional services including legal, marketing and other consulting services, personnel expense due to additional headcount and expenses associated with being a public company.
PhaseBio Pharmaceuticals, Inc. is a clinical-stage biopharmaceutical company focused on the development and commercialization of novel therapies to treat orphan diseases, with an initial focus on cardiopulmonary disorders. The company’s lead development candidate is PB2452, a novel reversal agent for the antiplatelet therapy ticagrelor. PhaseBio is also leveraging its proprietary elastin-like polypeptide (“ELP”) technology platform to develop therapies with the potential for less-frequent dosing and improved pharmacokinetics. PhaseBio’s second product candidate PB1046, which is based on ELP, is a once-weekly vasoactive intestinal peptide receptor agonist for the treatment of pulmonary arterial hypertension.
PhaseBio is located in Malvern, PA and San Diego, CA. For more information, please visit www.phasebio.com.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “anticipates,” “believes,” “expects,” “intends,” “projects,” and “future” or similar expressions are intended to identify forward-looking statements.
Forward-looking statements include statements concerning or implying the conduct of our clinical trials and the timing of the release of the results of our clinical trials. Forward-looking statements are based on management's current expectations and are subject to various risks and uncertainties that could cause actual results to differ materially and adversely from those expressed or implied by such forward-looking statements. Accordingly, these forward-looking statements do not constitute guarantees of future performance, and you are cautioned not to place undue reliance on these forward-looking statements.
Risks regarding our business are described in detail in our Securities and Exchange Commission filings, including in our Quarterly Report on Form 10-Q for the quarter ended March 31, 2019. These forward-looking statements speak only as of the date hereof, and PhaseBio Pharmaceuticals, Inc. disclaims any obligation to update these statements except as may be required by law.
|PhaseBio Pharmaceuticals, Inc.|
|Condensed Balance Sheets|
|Cash and cash equivalents||$||51,894||$||61,031|
|Other receivable, prepaid expenses and other current assets||2,181||1,597|
|Property and equipment, net||380||355|
|Operating lease right-of-use assets||1,899||—|
|Other non-current assets||32||43|
|Liabilities and stockholders' equity:|
|Current portion of long-term debt||$||423||$||—|
|Accounts payable, accrued expenses and other current liabilities||3,374||4,577|
|Operating lease liabilities||1,666||—|
|Total liabilities and stockholders' equity||$||56,386||$||63,026|
|PhaseBio Pharmaceuticals, Inc.|
|Condensed Statements of Operations|
|(in thousands, except share and per share amounts)|
|Three Months Ended March 31,|
|Research and development||5,721||2,235|
|General and administrative||2,316||643|
|Total operating expenses||8,037||2,878|
|Loss from operations||(7,384||)||(2,878||)|
|Other income (expense)||91||(1,525||)|
|Net loss per common share, basic and
|Weighted average common shares
outstanding, basic and diluted
PhaseBio Pharmaceuticals, Inc.
Chief Financial Officer