Adverum Biotechnologies Reports Recent Business Progress and Fourth Quarter 2019 Financial Results
-- Cohort 3 dosing complete and cohort 4 screening underway in OPTIC Phase 1 trial of ADVM-022 in wet AMD --
-- New OPTIC data to be presented in
-- Data from all four cohorts of OPTIC planned in 2020 --
-- Company to host conference call today at
“2020 is poised to be an exciting year of execution as we rapidly advance our development efforts for our lead programs ADVM-022 for wet AMD and for diabetic retinopathy,” said
Recent Progress
- Completed patient dosing in cohort 3 (n=9, three-fold lower dose compared to cohort 1, 2 x 10^11 vg/eye) of the OPTIC Phase 1 clinical trial of ADVM-022 in wet age-related macular degeneration (wet AMD). Patients are being screened in cohort 4 (n=9, dose 6 x 10^11).
- In cohorts 3 and 4, patients are receiving prophylactic topical steroid eye drops for a total of 6 weeks instead of prophylactic oral steroids for 13 days used in cohorts 1 and 2.
- At the Angiogenesis, Exudation, and Degeneration 2020 Annual Meeting in
February 2020 , presented new data from OPTIC cohorts 1 and 2. Results demonstrated that in treatment-experienced patients previously requiring frequent anti-VEGF injections to maintain vision, ADVM-022 demonstrated a robust efficacy signal and evidence of a dose response:- Cohort 1 (6 x 10^11 vg/eye): 6 of 6 patients remained rescue-injection-free at a median follow up of 50 weeks, with 3 patients at 52 weeks.
- Cohort 2 (three-fold lower dose 2 x 10^11 vg/eye): 4 of 6 patients remained rescue injection free at 24 weeks.
- In both cohorts combined, 10 of 12 (83%) patients remained rescue injection free. For these patients:
- Vision was generally maintained as demonstrated by stable mean best corrected visual acuity (BCVA) compared to baseline.
- Retinal anatomy improvements were achieved and maintained as demonstrated by mean central subfield thickness (CST) compared to baseline.
- ADVM-022 continued to demonstrate a favorable safety profile and be well tolerated.
- Raised approximately
$140.8 million in net proceeds from an underwritten public offering inFebruary 2020 - Moved to the company’s new
Redwood City corporate headquarters inJanuary 2020 , which includes approximately 81,000 square feet of office, laboratory, and manufacturing space to advance the development of Adverum’s novel gene therapies - Appointed
Angela Thedinga as chief technology officer.Ms. Thedinga previously served as Adverum’s vice president, program management, and has deep experience transitioning and expanding viral vector gene therapy manufacturing and analytical capabilities from academic to commercial scale, which will be important as ADVM-022 advances in development toward potential commercialization.
Future Plans
Second Quarter of 2020:
- Present new clinical data from the OPTIC trial in
May 2020 - Submit an investigational new drug application for ADVM-022 in diabetic retinopathy, a key VEGF-driven cause of vision loss among working-age adults
Second Half of 2020:
- Present clinical data from cohorts 1-4 of the OPTIC trial
- Begin enrolling patients in a planned Phase 1/2 clinical trial for ADVM-022 in diabetic retinopathy
Financial Results for the Three Months Ended
- Cash, cash equivalents and short-term investments were
$166.0 million as ofDecember 31, 2019 , of which$25.8 million in net proceeds was raised through an at-the-market program during this quarter, compared to$162.0 million atSeptember 30, 2019 and$205.1 million as ofDecember 31, 2018 . Adverum expects this year-end cash position, together with approximately$140.8 million in net proceeds raised inFebruary 2020 , to fund operations into 2022. - Research and development expenses were
$11.4 million for the three months endedDecember 31, 2019 , compared to$11.6 million for the same period in 2018. - General and administrative expenses were
$8.3 million for the three months endedDecember 31, 2019 , compared to$5.2 million for the same period in 2018. General and administrative expenses increased primarily due to higher consultant and professional service expenses and increased facilities costs related to the company’s new facility, partially offset by lower stock-based compensation expenses. - Net loss was
$18.9 million , or$0.29 per basic and diluted share, for the three months endedDecember 31, 2019 , compared to$15.7 million , or$0.25 per basic and diluted share, for the same period in 2018. - Shares of common stock outstanding were 79.7 million as of
February 28, 2020 .
Conference Call Information
Individuals can participate in today’s conference call at
About
Forward-looking Statements
Statements contained in this press release regarding events or results that may occur in the future are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, but are not limited to statements regarding: Adverum’s plans to advance ADVM-022 in 2020, all other statements under the caption “Future Plans”, Adverum’s expectations that its current cash will fund operations into 2022, and the potential benefits of ADVM-022, all of which are based on certain assumptions made by Adverum on current conditions, expected future developments and other factors Adverum believes are appropriate in the circumstances. Adverum may not achieve any of these in a timely manner, or at all, or otherwise carry out the intentions or meet the expectations disclosed in its forward-looking statements, and you should not place undue reliance on these forward-looking statements. Actual results and the timing of events could differ materially from those anticipated in such forward-looking statements as a result of various risks and uncertainties, which include risks inherent to, without limitation: Adverum’s novel technology, which makes it difficult to predict the time and cost of product candidate development and obtaining regulatory approval; the results of early clinical trials not always being predictive of future results; the potential for future complications or side effects in connection with use of ADVM-022; obtaining regulatory approval for gene therapy product candidates; enrolling patients in clinical trials; reliance on third parties for conducting the OPTIC trial and vector production; and ability to fund operations through completion of the OPTIC trial and thereafter. Risks and uncertainties facing Adverum are described more fully in Adverum’s Form 10-K filed with the
Investor and Media Inquiries:
Investors:
mlacy@adverum.com
1-650-304-3892
Media:
ccecchini@lifescicomms.com
1-646-876-5196
Consolidated Balance Sheets | |||||||
(In thousands) | |||||||
2019 | 2018 | ||||||
Assets | |||||||
Current assets: | |||||||
Cash and cash equivalents | $ | 65,897 | $ | 154,949 | |||
Short-term investments | 100,138 | 50,130 | |||||
Prepaid expenses and other current assets | 9,835 | 3,675 | |||||
Total current assets | 175,870 | 208,754 | |||||
Operating lease right-of-use asset | 20,963 | - | |||||
Property and equipment, net | 24,884 | 3,586 | |||||
Restricted cash | 999 | 999 | |||||
Deposit and other long-term assets | 11 | 156 | |||||
Total assets | $ | 222,727 | $ | 213,495 | |||
Liabilities and stockholders' equity | |||||||
Current liabilities: | |||||||
Accounts payable | $ | 4,103 | $ | 1,707 | |||
Accrued expenses and other current liabilities | 11,271 | 8,784 | |||||
Lease liability, current portion | 4,034 | - | |||||
Deferred rent, current portion | - | 228 | |||||
Total current liabilities | 19,408 | 10,719 | |||||
Deferred rent, net of current portion | - | 1,366 | |||||
Lease liability, net of current portion | 28,214 | - | |||||
Other noncurrent liabilities | 148 | 243 | |||||
Total liabilities | 47,770 | 12,328 | |||||
Stockholders' equity: | |||||||
Common stock | 7 | 6 | |||||
Additional paid-in capital | 560,704 | 522,503 | |||||
Accumulated other comprehensive loss | (725 | ) | (799 | ) | |||
Accumulated deficit | (385,029 | ) | (320,543 | ) | |||
Total stockholders' equity | 174,957 | 201,167 | |||||
Total liabilities and stockholders' equity | $ | 222,727 | $ | 213,495 |
Consolidated Statements of Operations and Comprehensive Loss | ||||||||||||||||
(In thousands except per share data) | ||||||||||||||||
Three Months Ended |
Year Ended |
|||||||||||||||
2019 | 2018 | 2019 | 2018 | |||||||||||||
(Unaudited) | ||||||||||||||||
Collaboration and license revenue | $ | - | $ | 70 | $ | 250 | $ | 1,612 | ||||||||
Operating expenses: | ||||||||||||||||
Research and development | 11,374 | 11,642 | 40,419 | 50,133 | ||||||||||||
General and administrative | 8,279 | 5,187 | 28,376 | 24,560 | ||||||||||||
Impairment of goodwill and intangible asset | - | - | - | 5,000 | ||||||||||||
Total operating expenses | 19,653 | 16,829 | 68,795 | 79,693 | ||||||||||||
Operating loss | (19,653 | ) | (16,759 | ) | (68,545 | ) | (78,081 | ) | ||||||||
Other income, net | 728 | 1,100 | 4,059 | 4,204 | ||||||||||||
Net loss before income taxes | (18,925 | ) | (15,659 | ) | (64,486 | ) | (73,877 | ) | ||||||||
Income tax benefit | - | - | - | 1,250 | ||||||||||||
Net loss | (18,925 | ) | (15,659 | ) | (64,486 | ) | (72,627 | ) | ||||||||
Other comprehensive income | ||||||||||||||||
Net unrealized gain on marketable securities | 6 | 39 | 33 | 168 | ||||||||||||
Foreign currency translation adjustment | 14 | 17 | 41 | (4 | ) | |||||||||||
Comprehensive loss | $ | (18,905 | ) | $ | (15,603 | ) | $ | (64,412 | ) | $ | (72,463 | ) | ||||
Net loss per share — basic and diluted | $ | (0.29 | ) | $ | (0.25 | ) | $ | (1.01 | ) | $ | (1.18 | ) | ||||
Weighted-average common shares outstanding - basic and diluted | 65,104 | 62,915 | 64,102 | 61,375 |
Source: Adverum Biotechnologies, Inc.