Aerpio Reports Third Quarter 2020 Financial Results and Provides Business Update
- Enrollment completed in the 28-day Phase 2 razuprotafib glaucoma trial; topline data expected to be reported in December 2020 or possibly in early
- Initiated second clinical trial to evaluate razuprotafib for the prevention and treatment of acute respiratory distress syndrome (“ARDS”) in COVID-19 patients and announced first patient dosing in October
- First patients dosed with razuprotafib in the I-SPY COVID trial to treat ARDS in critically-ill COVID-19 patients
- Ended third quarter 2020 with $47.3 million in cash and cash equivalents
Conference Call Today, November 10, 2020 at 8:30 a.m. EST
Recent Company Highlights
August 4th, we announced a second randomized, double-blind Phase 2 clinical trial in patients with moderate-to-severe COVID-19 (“RESCUE” trial). The RESCUE trial is being supported by the U.S. Governmentoperating through the Medical Technology Enterprise Consortium(MTEC). MTEC is a 501(c)3 non-profit organization constructed by the U.S. Army Medical Research and Development Command (USAMRDC). The RESCUE trial is a stand-alone trial managed by Aerpio designed to evaluate patients with moderate-to-severe COVID-19 prior to initiating high flow oxygen or ventilator support. Endpoints will include proportion of subjects alive and respiratory failure-free at Day 28; length of hospitalization from baseline to Day 7; and baseline to Day 28, or death. On October 26th, Aerpio announced that it had dosed its first patient in this clinical trial. For more details about this clinical trial, please click here.
September 1st, Aerpio and Quantum Leap Healthcare Initiative announced dosing of the first razuprotafib patient in the I-SPY COVID Trial (Investigation of Serial Studies to Predict Your COVID Therapeutic Response with biomarker Integration and Adaptive Learning) to evaluate razuprotafib for the treatment of COVID-19-related ARDS in adult patients with critical COVID-19 (requiring high flow oxygen or ventilator support). The I-SPY COVID Trial is a “platform study” currently planned to evaluate four drug candidates. The goal of the study is to identify agents with the potential to result in substantial improvements to the clinical condition of participants with critical COVID-19. The study is designed to include critical COVID-19 patients who are already intubated or receiving high flow oxygen. For more details about the I-SPY COVID Trial, please click here.
September 15th, we announced that we have completed enrollment in the 28-day double-blind, placebo-controlled Phase 2 trial of razuprotafib in elevated intraocular pressure associated with open angle glaucoma (OAG) or ocular hypertension (OHT). The Phase 2 trial is evaluating adjunctive therapy of 40 mg /ml of razuprotafib, administered once, or twice-daily on top of a baseline of latanoprost ophthalmic solution 0.005%. The study enrolled a total of 194 patients.
- Our partner
Gossamer Bio(Nasdaq: GOSS) indicated that it has initiated its Phase 2 trial of GB004 in ulcerative colitis (NCT04556383). GB004 is an oral, gut-targeted HIF-1 alpha stabilizer that has been shown to improve disease indices in multiple models of inflammatory bowel disease. We out-licensed GB004 to Gossamer through an agreement under which we are eligible for up to a total of $90.0 millionin milestone payments related to regulatory approvals and commercial sales. In addition, we are also eligible to receive tiered royalties on sales of licensed products at percentages ranging from the low to mid-single digits as well as 20% of proceeds from any transaction that Gossamer completes that includes the GB004 program.
November 12th at 11 AM ET, we are hosting a Key Opinion Leader call with Samir Parikh, MD ( Beth Israel Deaconess/Harvard Medical School) and Wesley Self, MD ( Vanderbilt University) on new therapeutic agents in COVID-19 entitled “COVID-19: Evidence of Vascular Pathology and Potential of Vascular Stabilization via Tie2 Pathway Activation.” A link to the webcast can be found here.
“Enrollment in our Phase 2 glaucoma trial closed on time. We are now in the process of final database close activities and remain on track to report topline results from this study in December or possibly in early January 2021 to coincide with seasonal healthcare industry conferences. In addition, we continue to make progress in both ARDS clinical trials of COVID-19 patients. The potential for razuprotafib to prevent ARDS in COVID-19 patients or rescue current ARDS patients from COVID’s devastating effects is very exciting. Assuming success in COVID-19 patients, we have the potential to expand the usage of razuprotafib into other life threatening diseases that produce a severe ARDS syndrome. We hope to provide an update from our COVID programs in the first half of 2021,” said
Third Quarter 2020 Financial Highlights
As of September 30, 2020, cash and cash equivalents totaled $47.3 million, compared to
For the three months ended September 30, 2020, operating expenses totaled $5.9 million, an increase of 18.0% compared to $5.0 million for the same period in 2019.
Research and development expenses for the three months ended September 30, 2020, increased approximately $1.1 million, or 40.1%, to $4.0 million from $2.9 million in the three months ended September 30, 2019. This increase was primarily the result of increased expenses associated with our clinical programs.
General and administrative expenses for the three months ended September 30, 2020, decreased approximately $0.3 million, or 13.2%, to $1.9 million from $2.2 million, in the three months ended
Net loss attributable to common stockholders for the three months ended September 30, 2020, was $5.0 million, or $0.12 per share, compared to $4.6 million, or
Conference Call and Webcast
Aerpio management will host a live conference call at
A live audio webcast will be accessible here.
To ensure a timely connection to the webcast, it is recommended that users register at least 15 minutes prior to the start time. An archived version of the audio webcast will be available for replay on the Company’s Archived Events page here.
About Aerpio Pharmaceuticals
About Razuprotafib (formerly known as AKB-9778)
Razuprotafib binds to and inhibits vascular endothelial protein tyrosine phosphatase (VE-PTP), an important negative regulator of Tie2. Decreased Tie2 activity contributes to vascular instability in many diseases including diabetes and more recently has been shown to contribute to the development of increased IOP and glaucoma. Razuprotafib activates the Tie2 receptor irrespective of extracellular levels of its binding ligands, angiopoietin-1 (agonist) or angiopoietin-2 (antagonist) and may be the most efficient pharmacologic approach to maintain normal Tie2 activation. Aerpio is studying a topical ocular formulation of razuprotafib in open angle glaucoma and exploring the utility of subcutaneous razuprotafib for diabetic complications, including diabetic nephropathy. In addition, a subcutaneous formulation of razuprotafib is being explored for its therapeutic potential in treating or preventing ARDS associated with COVID-19.
Forward Looking Statements
This press release contains forward-looking statements. Statements in this press release that are not purely historical are forward-looking statements. Such forward-looking statements include, among other things, the Company’s product candidates, including razuprotafib, ARP-1536 and the bispecific antibody asset, the clinical development plan therefor and the therapeutic potential thereof, the Company’s plans and expectations with respect to razuprotafib and the development therefor and therapeutic potential thereof in addressing COVID-19 and the intended benefits from the Company’s collaboration with
These forward-looking statements are made as of the date of this press release, and the Company assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements, except as required by law. Investors should consult all the information set forth herein and should also refer to the risk factor disclosure set forth in the reports and other documents the Company files with the SEC available at www.sec.gov.
Investors & Media:
|CONDENSED CONSOLIDATED BALANCE SHEETS|
|Cash and cash equivalents||$||47,282||$||38,525|
|Prepaid research and development contracts||456||311|
|Other current assets||1,845||735|
|Total current assets||49,583||39,571|
|Furniture and equipment, net||137||164|
|Operating lease right-of-use asset||90||162|
|Liabilities and shareholders' equity|
|Accounts payable and accrued expenses||$||2,417||$||3,232|
|Current portion of operating lease liability||95||103|
|Total current liabilities||2,512||3,335|
|Operating lease liability, net of current portion||-||67|
|Total stockholders' equity||47,318||36,535|
|Total liabilities and stockholders' equity||$||49,830||$||39,937|
|CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE (LOSS) INCOME|
|(In thousands, except per share amounts)|
|Three months ended||Nine months ended|
|Research and development||3,986||2,845||9,364||10,695|
|General and administrative||1,875||2,161||6,357||8,215|
|Total operating expenses||5,861||4,967||15,721||19,786|
|Loss from operations||(5,861||)||(4,967||)||(721||)||(19,786||)|
|Interest and other income||906||319||1,123||962|
|Net and comprehensive (loss) income||$||(4,955||)||$||(4,648||)||$||402||$||(18,824||)|
|Net (loss) income per common share basic and diluted||$||(0.12||)||$||(0.11||)||$||0.01||$||(0.46||)|
|Weighted average common shares outstanding|
Source: Aerpio Pharmaceuticals, Inc.