10-Q
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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

 

FORM 10-Q

 

(Mark One)

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2022

OR

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _________________ to _________________

Commission File Number: 001-39311

 

CEREVEL THERAPEUTICS HOLDINGS, INC.

(Exact Name of Registrant as Specified in its Charter)

 

 

Delaware

85-3911080

( State or other jurisdiction of

incorporation or organization)

(I.R.S. Employer

Identification No.)

 

 

222 Jacobs Street, Suite 200

Cambridge, MA

02141

(Address of principal executive offices)

(Zip Code)

Registrant’s telephone number, including area code: (844) 304-2048

 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class

 

Trading

Symbol(s)

 

Name of each exchange on which registered

Common stock, par value $0.0001 per share

 

CERE

 

The NASDAQ Stock Market LLC

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

 

Large accelerated filer

 

 

Accelerated filer

 

 

 

 

 

Non-accelerated filer

 

 

Smaller reporting company

 

 

 

 

 

 

 

 

 

 

 

 

Emerging growth company

 

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes No

As of July 25, 2022, the registrant had 148,501,958 shares of common stock, par value $0.0001 per share, outstanding.

 

 

 

 

 


Table of Contents

 

 

 

Page

PART I.

FINANCIAL INFORMATION

5

Item 1.

Financial Statements (Unaudited)

5

 

Condensed Consolidated Balance Sheets

5

 

Condensed Consolidated Statements of Operations and Comprehensive Loss

6

 

Condensed Consolidated Statements of Stockholders' Equity

7

 

Condensed Consolidated Statements of Cash Flows

9

 

Notes to Condensed Consolidated Financial Statements

10

Item 2.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

21

Item 3.

Quantitative and Qualitative Disclosures About Market Risk

35

Item 4.

Controls and Procedures

35

PART II.

OTHER INFORMATION

36

Item 1.

Legal Proceedings

36

Item 1A.

Risk Factors

36

Item 2.

Unregistered Sales of Equity Securities and Use of Proceeds

84

Item 3.

Defaults Upon Senior Securities

84

Item 4.

Mine Safety Disclosures

84

Item 5.

Other Information

84

Item 6.

Exhibits

85

Signatures

86

 

 

i


CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

Certain statements in this Quarterly Report on Form 10-Q, or this Quarterly Report, may constitute “forward-looking statements” for purposes of the federal securities laws. Our forward-looking statements include, but are not limited to, statements regarding our or our management team’s expectations, hopes, beliefs, intentions or strategies regarding the future. In addition, any statements that refer to projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions, are forward-looking statements. The words “anticipate,” “believe,” “contemplate,” “continue,” “could,” “estimate,” “expect,” “intends,” “may,” “might,” “plan,” “possible,” “potential,” “predict,” “project,” “should,” “will,” “would,” “can” or the negative of these terms or other similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements in this Quarterly Report may include, for example, statements about:

the format, likelihood of success, cost and timing of our clinical trials and other product development activities, including the design of clinical trials and preclinical studies, the timing of initiation and completion of clinical trials and related preparatory work, our ability to collect and interpret clinical trial data and the timing and outcome of regulatory interactions;
our ability to recruit and enroll suitable patients in our clinical trials;
the potential attributes and benefits of our product candidates;
our ability to obtain and maintain regulatory approval for our product candidates, and any related restrictions, limitations or warnings in the label of an approved product candidate;
our ability to obtain funding for our operations, including funding necessary to complete further development, approval and, if approved, commercialization of our product candidates;
the period over which we anticipate our available financial resources will enable us to fund our operating expense and capital expenditure requirements;
the potential for our business development efforts to maximize the potential value of our portfolio;
our ability to identify, in-license or acquire additional product candidates;
our ability to maintain the Pfizer License Agreement (as defined herein);
our ability to compete with other companies currently marketing or engaged in the development of treatments for the indications that we are pursuing for our product candidates;
our ability to obtain and maintain intellectual property protection for our product candidates and the duration of such protection;
our ability to contract with and rely on third parties to assist in conducting our clinical trials and manufacturing our product candidates;
the size and growth potential of the markets for our product candidates, and our ability to serve those markets, either alone or in partnership with others;
the rate and degree of market acceptance of our product candidates, if approved;
the pricing and reimbursement of our product candidates, if approved;
regulatory developments in the United States and foreign countries;
the impact of laws, regulations, accounting standards, regulatory requirements, judicial decisions and guidance issued by authoritative bodies;
our ability to attract and retain key scientific, medical, commercial or management personnel;
our estimates regarding expenses, future revenue, capital requirements and needs for additional financing;
our future financial performance;
the ability to recognize the anticipated benefits of the tavapadon financing transaction (including our ability to receive future payments thereunder) and other financing and business development transactions; and
the effect of the ongoing COVID-19 pandemic, including as a result of the emergence of new variants, on the foregoing.

The forward-looking statements contained in this Quarterly Report are based on current expectations and beliefs concerning future developments and their potential effects on us. There can be no assurance that future developments affecting us will be those that we have anticipated. These forward-looking statements involve a number of risks, uncertainties (some of which are beyond our control) or other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements. These risks and uncertainties include, but are not limited to, those factors described in the section titled “Risk Factors” of this Quarterly Report. Should one or more of these risks or uncertainties materialize, or should any of our assumptions prove incorrect, actual results may vary in material respects from those projected in these forward-looking statements.

ii


Some of these risks and uncertainties may in the future be amplified by the ongoing COVID-19 pandemic, including as a result of the emergence of new variants, and there may be additional risks that we consider immaterial, or which are unknown. It is not possible to predict or identify all such risks. We do not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws.

You should read this Quarterly Report completely and with the understanding that our actual future results may be materially different from what we expect. We qualify all of our forward-looking statements by these cautionary statements.

This Quarterly Report contains summaries of certain provisions contained in some of the documents described herein, but reference is made to the actual documents for complete information. All of the summaries are qualified in their entirety by the actual documents. Copies of some of the documents referred to herein have been filed as exhibits to this Quarterly Report. Unless the context otherwise requires, reference in this Quarterly Report to the terms “Cerevel,” “the Company,” “we,” “us,” “our,” and similar designations refer to Cerevel Therapeutics Holdings, Inc. and, where appropriate, our consolidated subsidiaries.

We may from time to time provide estimates, projections and other information concerning our industry, the general business environment, and the markets for certain diseases, including estimates regarding the potential size of those markets and the estimated incidence and prevalence of certain medical conditions. Information that is based on estimates, forecasts, projections, market research or similar methodologies is inherently subject to uncertainties, and actual events, circumstances or numbers, including actual disease prevalence rates and market size, may differ materially from the information reflected in this Quarterly Report. Unless otherwise expressly stated, we obtained this industry, business information, market data, prevalence information and other data from reports, research surveys, studies and similar data prepared by market research firms and other third parties, industry, medical and general publications, government data, and similar sources, in some cases applying our own assumptions and analysis that may, in the future, prove not to have been accurate.
 

SUMMARY OF MATERIAL RISKS ASSOCIATED WITH OUR BUSINESS

Our business is subject to numerous risks and uncertainties that you should be aware of before making an investment decision, including those highlighted in the section entitled “Risk Factors.” These risks include, but are not limited to, the following:

The successful development of pharmaceutical products is highly uncertain.
We are a clinical-stage biopharmaceutical company with a limited operating history. We have incurred significant financial losses since our inception and anticipate that we will continue to incur significant financial losses for the foreseeable future.
We will need substantial additional funding, and if we are unable to raise capital when needed, we could be forced to delay, reduce or terminate our product discovery and development programs or commercialization efforts.
Due to the significant resources required for the development of our pipeline, and depending on our ability to access capital, we must prioritize the development of certain product candidates over others. Moreover, we may fail to expend our limited resources on product candidates or indications that may have been more profitable or for which there is a greater likelihood of success.
Our business is highly dependent on the success of our product candidates. If we are unable to successfully complete clinical development, obtain regulatory approval for or commercialize one or more of our product candidates, or if we experience delays in doing so, our business will be materially harmed.
The regulatory approval processes of the U.S. Food and Drug Administration, or the FDA, and comparable foreign authorities are lengthy, time-consuming and inherently unpredictable, and if we are ultimately unable to obtain regulatory approval for our product candidates, our business will be substantially harmed.
Business interruptions resulting from the ongoing COVID-19 pandemic or similar public health crises could cause a disruption of the development of our product candidates and adversely impact our business.
If our clinical trials fail to replicate positive results from earlier preclinical studies or clinical trials conducted by us or third parties, we may be unable to successfully develop, obtain regulatory approval for or commercialize our product candidates.
We may incur unexpected costs or experience delays in completing, or ultimately be unable to complete, the development and commercialization of our product candidates.
If we encounter difficulties enrolling patients in our clinical trials, our clinical development activities could be delayed or otherwise adversely affected.
Even if any of our product candidates receives regulatory approval, it may fail to achieve the degree of market acceptance by physicians, patients, third-party payors and others in the medical community necessary for commercial success, in which case we may not generate significant revenues or become profitable.

iii


Competitive products may reduce or eliminate the commercial opportunity for our product candidates, if approved. If our competitors develop technologies or product candidates more rapidly than we do, or their technologies or product candidates are more effective or safer than ours, our ability to develop and successfully commercialize our product candidates may be adversely affected.
We depend heavily on our executive officers, third-party consultants and others and our ability to compete in the biotechnology and pharmaceutical industries depends upon our ability to attract and retain highly qualified managerial, scientific and medical personnel. The loss of their services or our inability to hire and retain such personnel would materially harm our business.
BC Perception Holdings, LP, or Bain Investor, and Pfizer Inc., or Pfizer, have significant influence over us.
We rely on third parties to assist in conducting our clinical trials. If they do not perform satisfactorily, we may not be able to obtain regulatory approval or commercialize our product candidates, or such approval or commercialization may be delayed, and our business could be substantially harmed.
We depend and expect in the future to continue to depend on in-licensed intellectual property. Such licenses impose obligations on our business, and if we fail to comply with those obligations, we could lose license rights, which would substantially harm our business.

The risks described above should be read together with the text of the full risk factors discussed in the section entitled “Risk Factors” and the other information set forth in this Quarterly Report, including our condensed consolidated financial statements and the related notes, as well as in other documents that we file with the Securities and Exchange Commission, or the SEC. The risks summarized above or described in full elsewhere in this Quarterly Report are not the only risks that we face. Additional risks and uncertainties not presently known to us, or that we currently deem to be immaterial may also materially adversely affect our business, financial condition, results of operations and future growth prospects.

 

iv


 

PART I—FINANCIAL INFORMATION

Item 1. Financial Statements.

CEREVEL THERAPEUTICS HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(In thousands, except share amounts and per share data)

(Unaudited)

 

 

 

As of

 

 

 

June 30,
2022

 

 

December 31,
2021

 

ASSETS

 

Current assets:

 

 

 

 

 

 

Cash and cash equivalents

 

$

138,218

 

 

$

193,018

 

Marketable securities

 

 

392,990

 

 

 

372,670

 

Prepaid expenses and other current assets

 

 

8,933

 

 

 

12,329

 

Total current assets

 

 

540,141

 

 

 

578,017

 

Marketable securities

 

 

 

 

 

52,269

 

Property and equipment, net

 

 

29,314

 

 

 

28,449

 

Operating lease assets

 

 

22,573

 

 

 

23,251

 

Restricted cash

 

 

1,867

 

 

 

4,200

 

Other long-term assets

 

 

2,762

 

 

 

2,733

 

Total assets

 

$

596,657

 

 

$

688,919

 

LIABILITIES AND STOCKHOLDERS’ EQUITY

 

Current liabilities:

 

 

 

 

 

 

Accounts payable

 

$

11,008

 

 

$

11,298

 

Accrued expenses and other current liabilities

 

 

43,063

 

 

 

28,803

 

Operating lease liabilities, current portion

 

 

2,672

 

 

 

2,437

 

Total current liabilities

 

 

56,743

 

 

 

42,538

 

Operating lease liabilities, net of current portion

 

 

32,688

 

 

 

34,110

 

Financing liability, related party (Notes 5 and 6)

 

 

27,205

 

 

 

16,770

 

Financing liability (Notes 5 and 6)

 

 

27,205

 

 

 

16,770

 

Other long-term liabilities

 

 

2

 

 

 

2

 

Total liabilities

 

 

143,843

 

 

 

110,190

 

Commitments and contingencies (Notes 12 and 13)

 

 

 

 

 

 

Stockholders’ equity:

 

 

 

 

 

 

Preferred stock, $0.0001 par value: 10,000,000 shares authorized;
    
no shares issued and outstanding as of June 30, 2022 and
    December 31, 2021

 

 

 

 

 

 

Common stock, $0.0001 par value: 500,000,000 shares authorized;
    
148,395,282 and 147,719,523 shares issued and outstanding
    as of June 30, 2022 and December 31, 2021, respectively

 

 

15

 

 

 

15

 

Additional paid-in capital

 

 

1,219,820

 

 

 

1,195,944

 

Accumulated other comprehensive income (loss)

 

 

7,988

 

 

 

(986

)

Accumulated deficit

 

 

(775,009

)

 

 

(616,244

)

Total stockholders’ equity

 

 

452,814

 

 

 

578,729

 

Total liabilities and stockholders’ equity

 

$

596,657

 

 

$

688,919

 

 

 

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

5


 

CEREVEL THERAPEUTICS HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS

(In thousands, except share amounts and per share data)

(Unaudited)

 

 

 

 

For the Three Months Ended
June 30,

 

 

For the Six Months Ended
June 30,

 

 

 

2022

 

 

2021

 

 

2022

 

 

2021

 

Operating expenses:

 

 

 

 

 

 

 

 

 

 

 

 

Research and development

 

$

72,539

 

 

$

37,294

 

 

$

127,562

 

 

$

73,855

 

General and administrative

 

 

20,467

 

 

 

13,216

 

 

 

37,974

 

 

 

27,226

 

Total operating expenses

 

 

93,006

 

 

 

50,510

 

 

 

165,536

 

 

 

101,081

 

Loss from operations

 

 

(93,006

)

 

 

(50,510

)

 

 

(165,536

)

 

 

(101,081

)

Interest income, net

 

 

667

 

 

 

10

 

 

 

962

 

 

 

25

 

Other income (expense), net

 

 

1,868

 

 

 

(2,739

)

 

 

5,809

 

 

 

(3,164

)

Loss before income taxes

 

 

(90,471

)

 

 

(53,239

)

 

 

(158,765

)

 

 

(104,220

)

Income tax benefit (provision), net

 

 

 

 

 

 

 

 

 

 

 

 

Net loss

 

$

(90,471

)

 

$

(53,239

)

 

$

(158,765

)

 

$

(104,220

)

Net loss per share, basic and diluted

 

$

(0.61

)

 

$

(0.42

)

 

$

(1.07

)

 

$

(0.82

)

Weighted-average shares used in calculating net loss per share, basic and diluted

 

 

148,295,716

 

 

 

127,482,127

 

 

 

148,141,180

 

 

 

127,354,540

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Comprehensive loss:

 

 

 

 

 

 

 

 

 

 

 

 

Net loss

 

$

(90,471

)

 

$

(53,239

)

 

$

(158,765

)

 

$

(104,220

)

Other comprehensive income (loss)

 

 

 

 

 

 

 

 

 

 

 

 

Changes in fair value attributable to instrument-specific credit risk

 

 

9,554

 

 

 

 

 

 

10,830

 

 

 

 

Unrealized gains (losses) on securities available-for-sale

 

 

(232

)

 

 

 

 

 

(1,856

)

 

 

 

Total other comprehensive income (loss)

 

 

9,322

 

 

 

 

 

 

8,974

 

 

 

 

Comprehensive loss

 

$

(81,149

)

 

$

(53,239

)

 

$

(149,791

)

 

$

(104,220

)

 

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

6


 

CEREVEL THERAPEUTICS HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY

(In thousands, except share amounts)

(Unaudited)

 

 

 

Common stock

 

 

Additional
paid-in

 

 

Accumulated other
comprehensive

 

 

Accumulated

 

 

Total
stockholders’

 

 

 

Shares

 

 

Amount

 

 

capital

 

 

income (loss)

 

 

deficit

 

 

equity

 

Balance at December 31, 2021

 

 

147,719,523

 

 

$

15

 

 

$

1,195,944

 

 

$

(986

)

 

$

(616,244

)

 

$

578,729

 

Issuance of common stock under equity incentive plans related to vesting of RSUs

 

 

14,270

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issuance of common stock under equity incentive plans related to exercise of options

 

 

449,005

 

 

 

 

 

 

2,854

 

 

 

 

 

 

 

 

 

2,854

 

Equity-based compensation expense

 

 

 

 

 

 

 

 

8,558

 

 

 

 

 

 

 

 

 

8,558

 

Other comprehensive loss

 

 

 

 

 

 

 

 

 

 

 

(348

)

 

 

 

 

 

(348

)

Net loss

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(68,294

)

 

 

(68,294

)

Balance at March 31, 2022

 

 

148,182,798

 

 

$

15

 

 

$

1,207,356

 

 

$

(1,334

)

 

$

(684,538

)

 

$

521,499

 

Issuance of common stock under equity incentive plans related to vesting of RSUs

 

 

14,270

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issuance of common stock under equity incentive plans related to exercise of options

 

 

160,623

 

 

 

 

 

 

1,471

 

 

 

 

 

 

 

 

 

1,471

 

Issuance of common stock under equity incentive plans related to ESPP

 

 

37,591

 

 

 

 

 

 

845

 

 

 

 

 

 

 

 

 

845

 

Equity-based compensation expense

 

 

 

 

 

 

 

 

10,148

 

 

 

 

 

 

 

 

 

10,148

 

Other comprehensive income

 

 

 

 

 

 

 

 

 

 

 

9,322

 

 

 

 

 

 

9,322

 

Net loss

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(90,471

)

 

 

(90,471

)

Balance at June 30, 2022

 

 

148,395,282

 

 

$

15

 

 

$

1,219,820

 

 

$

7,988

 

 

$

(775,009

)

 

$

452,814

 

 

 

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

 

7


 

CEREVEL THERAPEUTICS HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY

(In thousands, except share amounts)

(Unaudited)

 

 

 

Common stock

 

 

Additional
paid-in

 

 

Accumulated other
comprehensive

 

 

Accumulated

 

 

Total
stockholders’

 

 

 

Shares

 

 

Amount

 

 

capital

 

 

loss

 

 

deficit

 

 

equity

 

Balance at December 31, 2020

 

 

127,123,954

 

 

$

13

 

 

$

775,417

 

 

$

 

 

$

(390,910

)

 

$

384,520

 

Issuance of common stock under equity incentive plans related to vesting of RSUs

 

 

14,270

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issuance of common stock under equity incentive plans related to exercise of options

 

 

186,892

 

 

 

 

 

 

742

 

 

 

 

 

 

 

 

 

742

 

Reclassification of private placement warrants from equity to other long-term liabilities

 

 

 

 

 

 

 

 

(305

)

 

 

 

 

 

 

 

 

(305

)

Equity-based compensation expense

 

 

 

 

 

 

 

 

6,060

 

 

 

 

 

 

 

 

 

6,060

 

Net loss

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(50,981

)

 

 

(50,981

)

Balance at March 31, 2021

 

 

127,325,116

 

 

$

13

 

 

$

781,914

 

 

$

 

 

$

(441,891

)

 

$

340,036

 

Issuance of common stock under equity incentive plans related to vesting of RSUs

 

 

14,270

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Issuance of common stock under equity incentive plans related to exercise of options

 

 

204,684

 

 

 

 

 

 

1,394

 

 

 

 

 

 

 

 

 

1,394

 

Issuance of common stock under equity incentive plans related to ESPP

 

 

40,589

 

 

 

 

 

 

435

 

 

 

 

 

 

 

 

 

435

 

Equity-based compensation expense

 

 

 

 

 

 

 

 

5,261

 

 

 

 

 

 

 

 

 

5,261

 

Net loss

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(53,239

)

 

 

(53,239

)

Balance at June 30, 2021

 

 

127,584,659

 

 

$

13

 

 

$

789,004

 

 

$

 

 

$

(495,130

)

 

$

293,887

 

 

 

The accompanying notes are an integral part of these unaudited condensed consolidated financial statements.

8


 

CEREVEL THERAPEUTICS HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(In thousands)

(Unaudited)

 

 

 

For the Six Months Ended
June 30,

 

 

 

2022

 

 

2021

 

Cash flows from operating activities:

 

 

 

 

 

 

Net loss

 

$

(158,765

)

 

$

(104,220

)

Adjustments to reconcile net loss to net cash flows used in operating activities:

 

 

 

 

 

 

Depreciation and amortization

 

 

2,341

 

 

 

664

 

Adjustments to operating lease expense

 

 

(495

)

 

 

(400

)

Equity-based compensation

 

 

18,706

 

 

 

11,321

 

Change in fair value of financing liabilities

 

 

(5,800

)

 

 

992

 

Change in fair value of private placement warrants

 

 

 

 

 

2,171

 

Amortization of premiums and accretion of discounts on marketable securities

 

 

1,012

 

 

 

 

Changes in operating assets and liabilities, net:

 

 

 

 

 

 

Prepaid expenses and other current assets

 

 

3,331

 

 

 

2,270

 

Other assets

 

 

(240

)

 

 

(757

)

Accounts payable

 

 

464

 

 

 

1,485

 

Accrued expenses and other liabilities

 

 

14,142

 

 

 

1,325

 

Operating lease liability

 

 

 

 

 

3,123

 

Net cash flows used in operating activities

 

 

(125,304

)

 

 

(82,026

)

Cash flows from investing activities:

 

 

 

 

 

 

Purchases of marketable securities

 

 

(141,566

)

 

 

 

Maturities and redemptions of marketable securities

 

 

170,647

 

 

 

 

Purchases of property and equipment

 

 

(3,329

)

 

 

(8,243

)

Net cash flows provided by (used in) investing activities

 

 

25,752

 

 

 

(8,243

)

Cash flows from financing activities:

 

 

 

 

 

 

Proceeds from the exercise of stock options and ESPP purchases

 

 

5,170

 

 

 

2,571

 

Proceeds from financing liability, related party

 

 

18,750

 

 

 

15,625

 

Proceeds from financing liability

 

 

18,750

 

 

 

15,625

 

Deferred costs related to financing activities

 

 

(251

)

 

 

(115

)

Net cash flows provided by financing activities

 

 

42,419

 

 

 

33,706

 

Net decrease in cash, cash equivalents and restricted cash

 

 

(57,133

)

 

 

(56,563

)

Cash, cash equivalents and restricted cash, beginning of the period

 

 

197,218

 

 

 

387,823

 

Cash, cash equivalents and restricted cash, end of the period

 

$

140,085