Synta Reports Third Quarter 2015 Financial Results
Announces Reduction in Force, Appointment of
To align its resources with the Company’s operational needs going
forward, Synta announced today that it is reducing its workforce by
approximately 60% to 33 full time employees. The Company estimates
annual savings of at least
The Company also announced today the appointment of
“We continue to evaluate our strategic options following the outcome of
our Phase 3 GALAXY-2 trial of ganetespib in lung cancer,” said
Third Quarter 2015 Financial Results
There were no revenues recognized in the third quarters of 2015 and 2014.
Research and development expenses were $14.4 million for the third quarter in 2015, compared to $16.2 million for the same period in 2014. General and administrative expenses were $3.0 million for the third quarter in 2015, compared to $3.2 million for the same period in 2014. The Company anticipates that costs under its ganetespib program will decrease significantly in 2016 following the termination of the GALAXY-2 trial and the subsequent restructuring in the fourth quarter of 2015.
The Company reported a net loss of $17.6 million, or $0.13 per basic and
diluted share, in the third quarter of 2015, compared to a net loss of
As of September 30, 2015, the Company had $88.3 million in cash, cash equivalents and marketable securities, compared to $97.7 million in cash, cash equivalents and marketable securities as of December 31, 2014.
More detailed financial information and analysis may be found in the
Company's Quarterly Report on Form 10-Q, which was filed with the
Securities and Exchange Commission (
Guidance
The Company expects its cash resources of approximately
About Synta Pharmaceuticals
Synta Pharmaceuticals Corp. is an innovative, agile biopharmaceutical company focused on research, development and commercialization of novel oncology medicines that have the potential to change the lives of cancer patients. Synta’s oncology drug candidate, ganetespib, a novel heat shock protein 90 (Hsp90) inhibitor, is currently being evaluated in several investigator sponsored clinical trials including clinical trials in acute myeloid leukemia (AML), ovarian cancer, breast cancer, and other tumor types. Building on its extensive expertise in the science of Hsp90, Synta also has a novel proprietary Hsp90 inhibitor Drug Conjugate (HDC) small molecule drug development program. IND enabling studies have commenced for the lead candidate from the HDC program, STA-12-8666, and preclinical evaluation of additional HDC candidates is ongoing. For more information, please visit www.syntapharma.com.
Safe Harbor Statement
This media release may contain forward-looking statements about
Synta Pharmaceuticals Corp. |
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Three Months Ended September 30, |
Nine Months Ended September 30, |
|||||||||||||||
2015 |
2014 |
2015 |
2014 |
|||||||||||||
Revenues: | ||||||||||||||||
Total revenues |
$ | — | $ | — | $ | — | $ | — | ||||||||
Operating expenses: |
||||||||||||||||
Research and development | 14,413 | 16,208 | 46,972 | 52,552 | ||||||||||||
General and administrative | 2,981 | 3,241 | 10,258 | 11,505 | ||||||||||||
Total operating expenses | 17,394 | 19,449 | 57,230 | 64,057 | ||||||||||||
Loss from operations | (17,394 | ) | (19,449 | ) | (57,230 | ) | (64,057 | ) | ||||||||
Interest expense, net | (234 | ) | (517 | ) | (905 | ) | (1,752 | ) | ||||||||
Net loss | $ | (17,628 | ) | $ | (19,966 | ) | $ | (58,135 | ) | $ | (65,809 | ) | ||||
Basic and diluted net loss per common share | $ | (0.13 | ) | $ | (0.19 | ) | $ | (0.46 | ) | $ | (0.69 | ) | ||||
Basic and diluted weighted average number of common shares outstanding | 135,971,551 | 105,774,949 | 125,648,990 | 95,160,945 | ||||||||||||
Synta Pharmaceuticals Corp. |
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September 30, |
December 31, |
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Assets | ||||||
Cash, cash equivalents and marketable securities | $ | 88,252 | $ | 97,690 | ||
Other current assets | 1,975 | 1,656 | ||||
Property, plant and equipment, net | 561 | 1,024 | ||||
Other non-current assets | 226 | 305 | ||||
Total assets | $ | 91,014 | $ | 100,675 | ||
Liabilities and Equity | ||||||
Current liabilities | $ | 30,633 | $ | 30,889 | ||
Long-term liabilities | 11 | 4,650 | ||||
Stockholders’ equity | 60,370 | 65,136 | ||||
Total liabilities and Stockholders’ equity
|
$ |
91,014 |
$ |
100,675 |
View source version on businesswire.com: http://www.businesswire.com/news/home/20151105006964/en/
Source:
Investors:
Synta Pharmaceuticals Corp.
Daniel Cole,
781-541-7250
[email protected]
or
Argot
Partners
Andrea Rabney, 212-600-1494
[email protected]
or
Media:
Argot
Partners
Eliza Schleifstein, 917-763-8106
[email protected]