Full Press Release Details
| Company Contact: | Investor Relations Contact: |
| Senesco Technologies, Inc. | Lippert/Heilshorn & Associates, Inc. |
| Leslie J. Browne, Ph.D. | Anne Marie Fields |
| President & Chief Executive Officer | afields@lhai.com |
| (732) 296-8400 | (212) 838-3777 |
TECHNOLOGIES REPORTS FISCAL YEAR 2010 FINANCIAL RESULTS
NEW BRUNSWICK, N.J. (September 29,
2010) - Senesco Technologies, Inc. ("Senesco" or the "Company") (NYSE
Amex: SNT) reported financial results for the 12 months ended June 30, 2010
Fourth Quarter Highlights
2010 was a transformational year for Senesco as the Company made advances in a
number of areas critical to building a sustainable biopharmaceutical
company. During Fiscal 2010, the Company significantly simplified and
strengthened its capital structure and raised over $10 million to fund the
ongoing clinical development of our proprietary gene regulatory
platform. In addition, earlier scale-up constraints were resolved,
giving us the ability to produce larger batches of our therapeutic candidate.
This is particularly important as it gives us confidence that we can produce a
reliable supply of SNS01-T for our planned Phase Ib/2a study in multiple myeloma
patients," stated Leslie J. Browne, Ph.D., President and Chief Executive Officer
of Senesco. "I am delighted to have joined Senesco at this exciting
cross-road and look forward to advancing the Company's potentially
ground-breaking therapeutic approach to treating cancer into clinical
pleased to report that our toxicology studies are near completion and we remain
on track to submit our Investigational New Drug Application with the U.S. Food
and Drug Administration by December 31, 2010 to begin a Phase 1a/2b study with
SNS01-T to treat multiple myeloma. We expect to be treating patients
in the first half of 2011," added Dr. Browne.
Year Financial Results
for Fiscal 2010 was $140,000 compared with $275,000 for the 12 months
ended June 30, 2009 ("Fiscal 2009"). Revenue for both periods
consisted of milestone payments in connection with certain agricultural license
and development expenses for Fiscal 2010 were $2,637,407 compared with
$2,353,962 for Fiscal 2009. The increase was primarily due to higher costs
incurred in connection with the Company's development of SNS01-T for multiple
myeloma and the cost of the research performed at the University of Waterloo due
to the weakening of the U.S. dollar versus the Canadian dollar.
and administrative expenses were $2,349,116 for Fiscal 2010 compared with
$2,205,739 for Fiscal 2009. The increase was primarily due to an increase
in professional fees and other general and administrative expenses, which was
partially offset by a decrease in payroll and benefits.
applicable to common shares for Fiscal 2010 was $19,623,027 or $0.67 per share
on 29,112,976 weighted-average common shares outstanding, compared with a net
loss for Fiscal 2009 of $5,726,869, or $0.30 per share, on 18,888,142
weighted-average common shares outstanding. The higher net loss in Fiscal
2010 was primarily the result of amortization of debt discount and financing
costs, which was partially offset by a change in the fair value of a warrant
June 30, 2010, Senesco had cash and cash equivalents of $8,026,296, compared
with cash, cash equivalents and short-term investments of $1,430,569 as of June
30, 2009. The Company believes that its cash resources are sufficient
to fund the current business plan for at least the
Senesco Technologies, Inc.
Technologies is leveraging proprietary technology that regulates programmed cell
death, or apoptosis. Accelerating apoptosis may have application in
treating cancer, while delaying apoptosis may have application in certain
inflammatory and ischemic diseases. The Company is preparing to initiate a
human clinical trial in multiple myeloma with its lead therapeutic candidate
SNS01-T. Senesco has already partnered with leading-edge companies engaged
in agricultural biotechnology, and is entitled to earn research and development
milestones and royalties if its gene-regulating platform technology is
incorporated into its partners' products.
statements included in this press release are forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995. Actual results could differ materially from such statements
expressed or implied herein as a result of a variety of factors, including, but
not limited to: the ability of the Company to consummate additional financings;
the development of the Company's gene technology; the approval of the Company's
patent applications; the successful implementation of the Company's research and
development programs and collaborations; the success of the Company's license
agreements; the acceptance by the market of the Company's products; success of
the Company's preliminary studies and preclinical research; competition and the
timing of projects and trends in future operating performance, the Company's
ability to comply with the continued listing standards of the NYSE/AMEX, as well
as other factors expressed from time to time in the Company's periodic filings
with the Securities and Exchange Commission (the "SEC"). As a result,
this press release should be read in conjunction with the Company's periodic
filings with the SEC. The forward-looking statements contained herein
are made only as of the date of this press release, and the Company undertakes
no obligation to publicly update such forward-looking statements to reflect
subsequent events or circumstances.
TECHNOLOGIES, INC. AND SUBSIDIARY
DEVELOPMENT STAGE COMPANY)
| June 30, | June 30, | |||||||
| 2010 | 2009 | |||||||
| ASSETS | ||||||||
| CURRENT ASSETS: | ||||||||
| Cash and cash equivalents | $ | 8,026,296 | $ | 380,569 | ||||
| Short-term investments | - | 1,050,000 | ||||||
| Prepaid research supplies and expenses | 1,304,795 | 1,161,348 | ||||||
| Total Current Assets | 9,331,091 | 2,591,917 | ||||||
| Equipment, furniture and fixtures, net | 4,554 | 5,986 | ||||||
| Deferred financing costs, net of accumulated amortization of $592,308 as of June 30, 2009 | - | 632,324 | ||||||
| Intangibles, net | 4,568,895 | 3,884,999 | ||||||
| Deferred income tax assets, net | - | - | ||||||
| Security deposit | 7,187 | 7,187 | ||||||
| TOTAL ASSETS | $ | 13,911,727 | $ | 7,122,413 | ||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
| CURRENT LIABILITIES: | ||||||||
| Accounts payable | $ | 557,420 | $ | 976,680 | ||||
| Accrued expenses | 576,857 | 355,937 | ||||||
| Line of credit | 2,194,844 | - | ||||||
| Total Current Liabilities | 3,329,121 | 1,332,617 | ||||||
| Warrant liabilities ($490,438 to related parties) | 2,493,794 | - | ||||||
| Convertible notes, net of discount of $9,448,783 as of June 30, 2009 | - | 6,217 | ||||||
| Grant payable | 99,728 | 99,728 | ||||||
| Deferred rent | 8,060 | 16,017 | ||||||
| TOTAL LIABILITIES | 5,930,703 | 1,454,579 | ||||||
| STOCKHOLDERS' EQUITY: | ||||||||
| Preferred stock, $0.01 par value, authorized 5,000,000 shares | ||||||||
| Series A 10,297 shares issued and 8,035 shares outstanding | 80 | - | ||||||
| (liquidation preference of $8,235,875 at June 30, 2010) | ||||||||
| Series B 1,200 shares issued and outstanding | 12 | - | ||||||
| (liquidation preference of $1,210,000 at June 30, 2010) | ||||||||
| Common stock, $0.01 par value, authorized 250,000,000 shares, | ||||||||
| issued and outstanding 50,092,204 and 19,812,043, respectively | 500,922 | 198,120 | ||||||
| Capital in excess of par | 58,321,169 | 41,419,613 | ||||||
| Deficit accumulated during the development stage | (50,841,159 | ) | (35,949,899 | ) | ||||
| Total Stockholders' Equity | 7,981,024 | 5,667,834 | ||||||
| TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ | 13,911,727 | $ | 7,122,413 |
SENESCO TECHNOLOGIES, INC.
(A DEVELOPMENT STAGE
CONSOLIDATED STATEMENTS OF
| Year ended June 30, | ||||||||
| 2010 | 2009 | |||||||
| Revenue | $ | 140,000 | $ | 275,000 | ||||
| Operating expenses | ||||||||
| General and administrative | 2,349,116 | 2,205,739 | ||||||
| Research and development | 2,637,407 | 2,353,962 | ||||||
| Total operating expenses | 4,986,523 | 4,559,701 | ||||||
| Loss from operations | (4,846,523 | ) | (4,284,701 | ) | ||||
| Other non-operating income (expense) | ||||||||
| Fair value - warrant liability | 2,516,661 | - | ||||||
| Loss on extinguishment of debt | (361,877 | ) | - | |||||
| Amortization of debt discount and finance costs | (10,081,107 | ) | (478,000 | ) | ||||
| Interest expense - convertible notes | (586,532 | ) | (1,007,244 | ) | ||||
| Interest (expense) income - net | (24,135 | ) | 43,076 | |||||
| Net loss | (13,383,513 | ) | (5,726,869 | ) | ||||
| Preferred dividends including beneficial conversion | ||||||||
| Feature of $5,330,039 | ( 6,239,514 | ) | - | |||||
| Loss applicable to common shares | $ | (19,623,027 | ) | $ | (5,726,869 | ) | ||
| Basic and diluted net loss per common share | $ | (0.67 | ) | $ | (0.30 | ) | ||
| Basic and diluted weighted-average number | ||||||||
| of common shares outstanding | 29,112,976 | 18,888,142 |