Alector Reports Recent Business Highlights and Fourth Quarter and Full Year 2018 Financial Results
- Strong 2018 marked by the company’s first and second programs entering the clinic, targeting frontotemporal dementia and Alzheimer’s disease. Ten programs in Research and Development and two in
- Data from the first program validated differentiated approach with proof-of-mechanism data in plasma and cerebrospinal fluid in Phase 1.
- Ended year with $290 million in cash, cash equivalents and marketable securities.
“2018 was a pivotal year for
Recent Business Highlights
- Completed dosing in healthy volunteers for AL001 in the Phase 1 clinical study - In
February 2019, Alectorcompleted dose escalation of AL001 in healthy volunteers in its Phase 1 clinical study, called the INFRONTstudy. No drug-related serious adverse events or dose-limiting adverse events were reported, achieving the study’s primary endpoint. Moreover, significant increases in plasma and CNS progranulin levels were also observed, achieving the study’s secondary endpoint and proof-of-mechanism. AL001 is the company’s first product candidate for the treatment of a genetically-defined sub-population of patients with frontotemporal dementia ( FTD).
- Initiated dosing in healthy volunteers for AL002 in the Phase 1 clinical study - In
November 2018, Alectorinitiated its dosing of AL002 in healthy volunteers in its Phase 1 clinical study called the INVOKE study, investigating the company's second product candidate, AL002, for the treatment of patients with Alzheimer's disease. AL002 targets a triggering receptor expressed on myeloid cells 2 (TREM2).
- Strengthened board of directors with key appointments - In
November 2018, Alectoradded David Wehner, the chief financial officer of Richard Scheller, Ph.D., the chief scientific officer of 23andMe, and Louis Lavigne Jr., former executive vice president and chief financial officer of Genentech, to its board as independent directors.
- Completed successful initial public offering - In
February 2019, Alectorannounced the pricing and close of its initial public offering at a price of $19.00per share. The Company raised $185.1 millionin aggregate gross proceeds.
Fourth Quarter and Full Year 2018 Financial Results
Revenue. Collaboration and grant revenue for the fourth quarter of 2018 was
R&D Expenses. Total research and development expenses for the fourth quarter of 2018 were
G&A Expenses. Total general and administrative expenses for the fourth quarter of 2018 were
Net Loss. For the fourth quarter of 2018,
Cash Position. Cash, cash equivalents, and marketable securities were
Based on current operating plans, the company expects that its cash, cash equivalents, and marketable securities as of
Cautionary Note Regarding Forward-Looking Statements
This press release contains “forward-looking” statements within the meaning of The Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on our beliefs and assumptions and on information currently available to us on the date of this press release. Forward-looking statements may involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from those expressed or implied by the forward-looking statements. These statements include but are not limited to statements regarding the Company’s financial condition, results of operations and sufficiency of its cash, cash equivalents and marketable securities to fund its planned operations as well as statements regarding the Company’s approach to developing product candidates, and plans for the Company’s product candidates, clinical studies and anticipated regulatory and development milestones. Except as required by law, we assume no obligation to update these forward-looking statements publicly, or to update the reasons actual results could differ materially from those anticipated in the forward-looking statements, even if new information becomes available in the future. Important factors that could cause our actual results to differ materially are detailed from time to time in the reports
Selected Consolidated Balance Sheet Data
|As of December 31,|
|Cash, cash equivalents, and marketable securities||$||290,408||$||32,451|
|Total current liabilities (excluding deferred revenue)||13,043||8,425|
|Deferred revenue (including current portion)||174,620||202,128|
|Convertible preferred stock||210,520||77,485|
|Total stockholders’ deficit||(97,398||)||(52,033||)|
(1) Upon the closing of our IPO in
Consolidated Statement of Operations Data
(in thousands, except share and per share data)
|Three Months Ended
|Research and development||24,097||10,838||73,031||29,911|
|General and administrative||4,065||2,028||11,934||6,503|
|Total operating expenses||28,162||12,866||84,965||36,414|
|Loss from operations||(19,017||)||(9,807||)||(57,288||)||(32,679||)|
|Other income, net||1,644||29||5,040||199|
|Net loss per share, basic and diluted||$||(1.48||)||$||(0.94||)||$||(4.62||)||$||(3.55||)|
|Shares used in computing net loss per share, basic and diluted||11,741,481||10,418,532||11,302,788||9,142,688|
Source: Alector, LLC