X4 Pharmaceuticals Provides Corporate Update and Reports Fourth Quarter and Full Year 2019 Financial Results
– Pivotal Phase 3 clinical trial of lead candidate mavorixafor in WHIM syndrome ongoing with top-line results expected in the second half of 2021 –
– Initial Phase 1b results in ongoing Waldenström’s macroglobulinemia (WM) and Severe Congenital Neutropenia (SCN) trials expected in the second half of 2020 –
– Conference call today at
“2019 was a remarkable year for X4, with significant achievements across the entire organization,” said
Key 2019 Program Achievements and Upcoming Milestones
- Initiated Pivotal Phase 3 Clinical Trial of Mavorixafor for the Treatment of WHIM Syndrome –
June 2019 : The 4WHIM trial is a pivotal Phase 3 global clinical trial of mavorixafor for the treatment of WHIM (Warts, Hypogammaglobulinemia, Infections, and Myelokathexis) syndrome, a rare, inherited, primary immunodeficiency disease.- Top-line data from the trial are expected in the second half of 2021.
- Company to hold Analyst Day, which will also be webcast, on
April 7, 2020 to discuss strategic focus on WHIM. - Phase 2 open-label extension study data update expected in mid-2020.
- Received Orphan Drug Designation from the
European Commission for Mavorixafor for the Treatment of WHIM Syndrome –July 2019 - Received Scientific Advice from the
European Medicines Agency to align the Phase 3 registration trial globally.
- Received Scientific Advice from the
- Announced Positive Data from Phase 2a Trial of Mavorixafor in Clear Cell Renal Cell Carcinoma (ccRCC) Patients –
September 2019 : Data presented at theEuropean Society for Medical Oncology (ESMO) demonstrated that mavorixafor, in combination with axitinib, yielded clinically meaningful improvements in median progression-free survival (mPFS) in a heavily pretreated advanced ccRCC patient population, and was generally well tolerated. - Initiated Phase 1b Clinical Trial of Mavorixafor in Patients with Severe Congenital Neutropenia (SCN) –
November 2019 : The Phase 1b trial is a 14-day, proof-of-concept trial designed to assess the safety and tolerability of daily, oral mavorixafor in up to 45 patients with SCN and other selected congenital neutropenia disorders. The trial will evaluate the neutrophil response and genetic profiles in this patient population as an independent agent or in combination with granulocyte-colony stimulating factor (G-CSF).- Initial data from this trial are expected in the second half of 2020.
- Received Breakthrough Therapy Designation from
U.S. FDA for Mavorixafor for the Treatment of WHIM Syndrome –November 2019 : Highlighting the severity of the disease and the relevance of mavorixafor’s Phase 2 clinical trial data to support the drug’s role as a potential disease-modifying therapeutic option to this underserved patient population, Breakthrough Therapy Designation could expedite the development and regulatory review of mavorixafor. - Initiated Phase 1b Clinical Trial of Mavorixafor in Combination with Ibrutinib in Patients with Waldenström’s Macroglobulinemia –
December 2019 : The Phase 1b multi-center, open-label, dose-escalation clinical trial is designed to assess the safety and tolerability of mavorixafor in combination with ibrutinib as well as to obtain certain efficacy signals in patients with Waldenström’s macroglobulinemia, a rare form of non-Hodgkin’s lymphoma, who have acquired a “gain of function” mutation in CXCR4 in addition to the MYD88 mutation, which is a hallmark of Waldenström’s.- Initial data from this trial are expected in the second half of 2020.
- Granted New Composition of Matter Patent by
U.S. PTO for Mavorixafor –February 2020 : Patent expected to provide exclusivity through 2038.
Key 2019 Corporate Highlights
- Shares of X4 Pharmaceuticals Began Trading on the Nasdaq Capital Market Under the Symbol “XFOR” –
March 2019 - Completed Two Public Stock Offerings that Raised Gross Proceeds of
$150.8 Million: The first offering was completed in April and the second offering was completed in November. Announced Multiple Development and Collaboration Agreements:- Announced Collaboration with
The Leukemia & Lymphoma Society (LLS) –May 2019 : Mavorixafor selected for LLS’ Therapy Acceleration Program® (TAP), a strategic initiative creating an alliance to develop mavorixafor for patients with Waldenström’s macroglobulinemia. Announced Partnership with Invitae to Provide No-Cost Genetic Testing to Patients –June 2019 : The collaborative PATH4WARD program provides greater access to faster and earlier diagnosis for individuals who may carry genetic mutations known to be associated with WHIM syndrome and SCN.- Entered into
Oncology Development and Commercialization Agreement with Abbisko for Mavorixafor inGreater China –July 2019 : Provided Abbisko Therapeutics with the exclusive rights inChina ,Taiwan ,Hong Kong , andMacau to develop and commercialize mavorixafor in combination with checkpoint inhibitors or other agents in solid tumor oncology indications.
- Announced Collaboration with
- Strengthened Leadership Team and Board of Directors Throughout the Year: Appointed
E. Lynne Kelley , M.D., as Chief Medical Officer andMurray W. Stewart , M.D., to Board of Directors inApril 2019 ; appointedRenato Skerlj , Ph.D., as Senior Vice President of Research and Development andWilliam E. Aliski to Board of Directors inSeptember 2019 ; appointedDerek Meisner , J.D., as General Counsel inNovember 2019 .
Financial Results
- Cash, Cash Equivalents & Restricted Cash: X4 had
$128.1 million in cash, cash equivalents and restricted cash, as ofDecember 31, 2019 . We expect that our cash and cash equivalents will fund our operations into early 2022. - Research and Development Expenses were
$7.1 million for the fourth quarter of 2019, and$30.2 million for the year endedDecember 31, 2019 , as compared to$4.7 million and$20.3 million for the comparable periods in 2018, respectively. - General and Administrative Expenses were
$3.9 million for the fourth quarter of 2019, and$17.6 million for the year endedDecember 31, 2019 , as compared to$3.4 million and$8.7 million for the comparable periods in 2018, respectively. - Net Loss: X4 reported a net loss of
$10.8 million for the fourth quarter of 2019, and a net loss of$52.8 million for the year endedDecember 31, 2019 , as compared to a net loss of$11.3 million and a net loss of$33.3 million for the comparable periods in 2018, respectively. Net loss of$52.8 million for the year endedDecember 31, 2019 includes$3.9 million of non-cash losses related to the sale of in-process research and development intangible assets.
Conference Call and Webcast
The Company will host a webcast and conference call to discuss its fourth quarter and full year 2019 results and provide an update on recent corporate activities today at
About Mavorixafor
Mavorixafor is an investigational, oral, targeted therapy that antagonizes the chemokine receptor CXCR4 via allosteric inhibition. The CXCR4 receptor plays a key role in enabling the trafficking of immune cells and effective immunosurveillance. Over-stimulation of CXCR4 results in various immune-system deficiencies.
About
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. These statements may be identified by the words “may,” “will,” “could,” “would,” “should,” “expect,” “plan,” “anticipate,” “intend,” “believe,” “estimate,” “predict,” “project,” “potential,” “continue,” “target” or other similar terms or expressions that concern X4's expectations, strategy, plans or intentions. Forward-looking statements include, without limitation, statements regarding the clinical development of mavorixafor, Waldenström’s, SCN or X4's other product candidates or programs, as well as statements regarding intellectual property protection and cash flows. These statements are subject to various risks and uncertainties including, without limitation, the risk that trials and studies may be delayed and may not have satisfactory outcomes, potential adverse effects arising from the testing or use of mavorixafor or other product candidates, and the risk that costs required to develop product candidates or to expand X4’s operations will be higher than anticipated. Any forward-looking statements in this press release are based on management's current expectations and beliefs. Actual events or results may differ materially from those expressed or implied by any forward-looking statements contained herein, including, without limitation, the risks and uncertainties described in the section entitled “Risk Factors” in X4’s Annual Report on Form 10-K filed with the
CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||||
(in thousands, except per share amounts) | ||||||||||||||||
Year Ended |
|
Three Months Ended |
||||||||||||||
|
|
|
||||||||||||||
2019 |
|
2018 |
|
2019 |
|
2018 |
||||||||||
Operating expenses: | ||||||||||||||||
Research and development |
$ |
30,163 |
|
$ |
20,346 |
|
$ |
7,065 |
|
$ |
4,689 |
|
||||
General and administrative |
|
17,640 |
|
|
8,739 |
|
|
3,914 |
|
|
3,365 |
|
||||
Loss on transfer of nonfinancial assets |
|
3,900 |
|
|
- |
|
|
(104 |
) |
|
- |
|
||||
Total operating expenses |
|
51,703 |
|
|
29,085 |
|
|
10,875 |
|
|
8,054 |
|
||||
Loss from operations |
|
(51,703 |
) |
|
(29,085 |
) |
|
(10,875 |
) |
|
(8,054 |
) |
||||
Other income (expense), net |
|
(1,104 |
) |
|
(4,200 |
) |
|
38 |
|
|
(3,228 |
) |
||||
Net loss |
|
(52,807 |
) |
|
(33,285 |
) |
|
(10,837 |
) |
|
(11,282 |
) |
||||
Adjustments related to convertible preferred stock |
|
(592 |
) |
|
(3,022 |
) |
|
- |
|
|
(756 |
) |
||||
Net loss attributable to common stockholders |
$ |
(53,399 |
) |
$ |
(36,307 |
) |
$ |
(10,837 |
) |
$ |
(12,038 |
) |
||||
Net loss per share attributable to common stockholders- basic and diluted |
$ |
(4.63 |
) |
$ |
(79.15 |
) |
$ |
(0.66 |
) |
$ |
(25.33 |
) |
||||
Weighted average common shares outstanding-basic and diluted |
|
11,530 |
|
|
459 |
|
|
16,466 |
|
|
475 |
|
||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||||||||||
(in thousands) | ||||||||||||||||
Year Ended 2019 |
Three Months Ended 2019 |
|||||||||||||||
Net loss |
$ |
(52,807 |
) |
$ |
(10,837 |
) |
||||||||||
Adjustments to reconcile net loss to net cash used in operating activities |
|
7,988 |
|
|
856 |
|
||||||||||
Changes in operating assets and liabilities |
|
(3,236 |
) |
|
740 |
|
||||||||||
Net cash used in operating activities |
|
(48,055 |
) |
|
(9,241 |
) |
||||||||||
Net cash provided by investing activities |
|
27,232 |
|
|
21 |
|
||||||||||
Net cash provided by financing activities |
|
140,661 |
|
|
60,284 |
|
||||||||||
Impact of foreign exchange on cash, cash equivalents and restricted cash |
|
(250 |
) |
|
16 |
|
||||||||||
Net increase in cash, cash equivalents and restricted cash |
$ |
119,588 |
|
$ |
51,080 |
|
||||||||||
Cash, cash equivalents and restricted cash at beginning of period |
$ |
8,498 |
|
$ |
77,006 |
|
||||||||||
Cash, cash equivalents and restricted cash at end of period |
$ |
128,086 |
|
$ |
128,086 |
|
||||||||||
CONSOLIDATED BALANCE SHEETS | ||||||||||||||||
(in thousands) | ||||||||||||||||
|
|
|
||||||||||||||
2019 |
|
2019 |
||||||||||||||
Current assets: | ||||||||||||||||
Cash and cash equivalents |
$ |
126,184 |
|
$ |
76,251 |
|
||||||||||
Research and development incentive receivable |
|
1,998 |
|
|
1,730 |
|
||||||||||
Prepaid expenses and other current assets |
|
1,096 |
|
|
1,234 |
|
||||||||||
Total current assets |
|
129,278 |
|
|
79,215 |
|
||||||||||
Property and equipment, net |
|
403 |
|
|
348 |
|
||||||||||
|
27,109 |
|
|
27,109 |
|
|||||||||||
Right-of-use assets |
|
1,959 |
|
|
2,110 |
|
||||||||||
Other assets |
|
1,949 |
|
|
755 |
|
||||||||||
Total assets |
$ |
160,698 |
|
$ |
109,537 |
|
||||||||||
Current liabilities: | ||||||||||||||||
Accounts payable |
$ |
2,088 |
|
$ |
1,704 |
|
||||||||||
Accrued expenses |
|
6,461 |
|
|
5,697 |
|
||||||||||
Current portion of lease liability |
|
898 |
|
|
878 |
|
||||||||||
Total current liabilities |
|
9,447 |
|
|
8,279 |
|
||||||||||
Long-term debt, including accretion, net of discount and current portion |
|
20,097 |
|
|
19,986 |
|
||||||||||
Lease liabilities |
|
1,918 |
|
|
2,147 |
|
||||||||||
Other liabilities |
|
16 |
|
|
18 |
|
||||||||||
Total liabilities |
|
31,478 |
|
|
30,430 |
|
||||||||||
Total stockholders' equity |
|
129,220 |
|
|
79,107 |
|
||||||||||
Total liabilities and stockholders' equity |
$ |
160,698 |
|
$ |
109,537 |
|
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Investors and Media:
Director,
Candice.Ellis@x4pharma.com
Source: