Full Press Release Details
Selecta Biosciences Announces First Quarter 2017
Financial Results and Provides Corporate Update
Watertown, Mass., May 11, 2017 - Selecta Biosciences, Inc. (NASDAQ: SELB), a clinical-stage biopharmaceutical company focused on unlocking the full potential of biologic therapies by avoiding unwanted immune responses, today reported financial results for the first quarter ended March 31, 2017 and provided a corporate update.
"Selecta continues to make great strides in 2017," said Werner Cautreels, Ph.D., CEO and Chairman of Selecta. "Enrollment in the Phase 2 trial of our lead product candidate, SEL-212, continues to be faster than anticipated, and we remain on track to complete the trial in 2017. In addition, we recently added a clinical-stage oncology product candidate, LMB-100, to our proprietary pipeline and plan to combine it with SVP-Rapamycin in a clinical program for mesothelioma and pancreatic cancer with our collaborators at NCI. We also obtained a key license for our MMA gene therapy program, and we began dosing patients in a Phase 1 trial of our nicotine vaccine candidate for smoking cessation and relapse prevention. These programs highlight the far-reaching potential of our Synthetic Vaccine Particles (SVP ) technology platform and the strong execution of the Selecta team."
SEL-212 Phase 2 Trial Update
In the fourth quarter of 2016, Selecta began enrolling patients with symptomatic gout and elevated serum uric acid levels (above 6.0 mg/dL) in an open-label, multiple ascending dose Phase 2 clinical trial of SEL-212 (SVP-Rapamycin in combination with pegsiticase). The primary and secondary endpoints for this trial include safety, tolerability, pharmacokinetics, reduction of serum uric acid levels and reduction of ADA levels. Data also are being collected regarding flares and additional laboratory and clinical assessments. Patients are being enrolled in multiple ascending dose cohorts to enable the identification of the optimal dose ratio of SVP-Rapamycin and pegsiticase, the minimal effective dose level of SEL-212 for repeat monthly administration, and the dose regimen to take forward into Phase 3.
As of May 10, 2017, a total of 58 patients had been dosed in the Phase 2 trial in eight cohorts. During the week of June 12, 2017, Selecta is presenting at the Annual European Congress of Rheumatology (EULAR 2017) in Madrid, Spain and at the Federation of Clinical Immunology Societies Annual Meeting (FOCIS 2017) in Chicago and plans to report additional data from the ongoing Phase 2 trial at that time. The company expects that it will complete the trial in 2017 and initiate its Phase 3 program in 2018.
Additional Recent Business Highlights and Activities
First Quarter Financial Results:
Conference Call Reminder
Selecta management will host a conference call at 5:00 p.m. ET today to provide a corporate update and review the company's first quarter financial results. Investors and the public can access a live and archived webcast of this call via the Investors & Media section of the company's website, http://selectabio.com. Individuals may also participate in the call via telephone by dialing (877) 270-2148 (domestic) or (412) 902-6510 (international) and may access a teleconference replay for one week by dialing (877) 344-7529 (domestic) or (412) 317-0088 (international) and using confirmation code 10106207.
About Selecta Biosciences, Inc.
Selecta Biosciences, Inc. is a clinical-stage biopharmaceutical company that is focused on unlocking the full potential of biologic therapies by avoiding unwanted immune responses. Selecta plans to combine its tolerogenic Synthetic Vaccine Particles (SVP ) to a range of biologics for rare and serious diseases that require new treatment options. The company's current proprietary pipeline includes SVP-enabled enzyme, oncology and gene therapies. SEL-212, the company's lead candidate in Phase 2, is being developed to treat severe gout patients and resolve their debilitating symptoms, including flares and gouty arthritis. Selecta's clinical oncology candidate, LMB-100, is in a Phase 1 program targeting pancreatic cancer and mesothelioma. Its two proprietary gene therapy product candidates are being developed for rare inborn errors of metabolism and have the potential to enable repeat administration. The use of SVP is also being explored in the development of vaccines and treatments for allergies and autoimmune diseases. Selecta is based in Watertown, Massachusetts. For more information, please visit http://selectabio.com and follow @SelectaBio on Twitter.
Forward-Looking Statements
Any statements in this press release about the future expectations, plans and prospects of Selecta Biosciences, Inc. ("the company"), including without limitation, statements regarding the progress of the Phase 1/2 clinical program of SEL-212 including the pace of enrollment, the potential of SEL-212 to treat severe gout patients and resolve their debilitating symptoms, whether the Phase 2 of SEL-212 will be completed in 2017 and whether the Phase 3 trial will be initiated in 2018,the company's ability to unlock the full potential of biologic therapies, the potential applications for products utilizing the SVP platform in areas such as enzyme therapy, gene therapy, oncology therapy, vaccines and treatments for allergies and autoimmune diseases, whether the combination of LMB-100 and SVP-Rapamycin may allow patients to avoid antibody responses and benefit from a full treatment of LMB-100, whether Selecta and NCI initiate a Phase 1b clinical trial of the LMB-100 and SVP-Rapamycin combination, the potential of the company's two gene therapy product candidates to enable repeat administration, the progress of the company's Phase I clinical trial in SELA-070, statements regarding the ability of SELA-070 to achieve smoking cessation and relapse prevention, statements regarding SELA-070's ability to produce a high level of anti-nicotine antibodies and ultimately prevent nicotine from crossing the blood-brain barrier, the sufficiency of the company's cash, cash equivalents, investments, and restricted cash and other statements containing the words "anticipate,"
"believe," "continue," "could," "estimate," "expect," "hypothesize," "intend," "may," "plan," "potential," "predict," "project," "should," "target," "would," and similar expressions, constitute forward-looking statements within the meaning of The Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including, but not limited to, the following: the uncertainties inherent in the initiation, completion and cost of clinical trials including their uncertain outcomes, the unproven approach of the company's SVP technology, undesirable side effects of the company's product candidates, its reliance on third parties to manufacture its product candidates and to conduct its clinical trials, the company's inability to maintain its existing or future collaborations, licenses or contractual relationships, its inability to protect its proprietary technology and intellectual property, potential delays in regulatory approvals, the availability of funding sufficient for its foreseeable and unforeseeable operating expenses and capital expenditure requirements, substantial fluctuation in the price of its common stock, a significant portion of the company's total outstanding shares have recently become eligible to be sold into the market, and other important factors discussed in the "Risk Factors" section of the company's Annual Report on Form 10-K filed with the Securities and Exchange Commission, or SEC, on March 28, 2017, and in other filings that the company makes with the SEC. In addition, any forward-looking statements included in this press release represent the company's views only as of the date of its publication and should not be relied upon as representing its views as of any subsequent date. The company specifically disclaims any obligation to update any forward-looking statements included in this press release.
Selecta Biosciences, Inc. and Subsidiaries
Consolidated Balance Sheets
(In thousands, except for shares and par value)
| March 31, 2017 | December 31, 2016 | |||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 26,637 | $ | 58,656 | ||||
| Short-term deposits and investments | 41,885 | 25,485 | ||||||
| Restricted cash | 81 | 78 | ||||||
| Accounts receivable | 63 | 215 | ||||||
| Prepaid expenses and other current assets | 2,820 | 2,382 | ||||||
| Total current assets | 71,486 | 86,816 | ||||||
| Property and equipment, net | 2,054 | 2,047 | ||||||
| Restricted cash and other deposits | 316 | 316 | ||||||
| Other assets | - | 122 | ||||||
| Total assets | $ | 73,856 | $ | 89,301 | ||||
| Liabilities and stockholders' equity | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 1,317 | $ | 3,882 | ||||
| Accrued expenses | 5,521 | 3,921 | ||||||
| Loans payable, current portion | 4,519 | 4,067 | ||||||
| Deferred revenue, current portion | 1,947 | 1,836 | ||||||
| Total current liabilities | 13,304 | 13,706 | ||||||
| Non current liabilities: | ||||||||
| Deferred rent and lease incentive | 210 | 222 | ||||||
| Loans payable, net of current portion | 6,867 | 7,977 | ||||||
| Deferred revenue, net of current portion | 12,385 | 12,439 | ||||||
| Total liabilities | 32,766 | 34,344 | ||||||
| Stockholders' equity: | ||||||||
| Preferred stock, $0.0001 par value; 10,000,000 shares authorized; no shares issued and outstanding at March 31, 2017 and December 31, 2016, respectively. | - | - | ||||||
| Common stock, $0.0001 par value; 200,000,000 shares authorized; 18,552,385 and 18,438,742 shares issued and outstanding as of March 31, 2017 and December 31, 2016, respectively. | 1 | 1 | ||||||
| Additional paid-in capital | 212,249 | 211,125 | ||||||
| Receivable from stock option exercises | (70 | ) | (75 | ) | ||||
| Accumulated deficit | (166,710 | ) | (151,576 | ) | ||||
| Accumulated other comprehensive loss | (4,380 | ) | (4,518 | ) | ||||
| Total stockholders' equity | 41,090 | 54,957 | ||||||
| Total liabilities, redeemable convertible preferred stock and stockholders' equity | $ | 73,856 | $ | 89,301 |
Selecta Biosciences, Inc. and Subsidiaries
Consolidated Statements of Operations and Comprehensive Loss
(Unaudited, amounts in thousands, except share and per share data)
| Three Months Ended March 31, | ||||||||
| 2017 | 2016 | |||||||
| Grant and collaboration revenue | $ | 137 | $ | 2,088 | ||||
| Operating expenses: | ||||||||
| Research and development | 11,044 | 6,648 | ||||||
| General and administrative | 3,875 | 2,381 | ||||||
| Total operating expenses | 14,919 | 9,029 | ||||||
| Loss from operations | (14,782 | ) | (6,941 | ) | ||||
| Investment income | 113 | 13 | ||||||
| Foreign currency transaction gain (loss), net | (165 | ) | (220 | ) | ||||
| Interest expense | (300 | ) | (310 | ) | ||||
| Other expense, net | - | (18 | ) | |||||
| Net loss | (15,134 | ) | (7,476 | ) | ||||
| Other comprehensive loss: | ||||||||
| Foreign currency translation adjustment | 123 | 231 | ||||||
| Unrealized gain (loss) on securities | 15 | - | ||||||
| Comprehensive loss | $ | (14,996 | ) | $ | (7,245 | ) | ||
| Net loss | (15,134 | ) | (7,476 | ) | ||||
| Accretion of redeemable convertible preferred stock | - | (2,356 | ) | |||||
| Net loss attributable to common stockholders | $ | (15,134 | ) | $ | (9,832 | ) | ||
| Net loss per share attributable to common stockholders | ||||||||
| Basic and diluted | $ | (0.82 | ) | $ | (4.52 | ) | ||
| Weighted average common shares outstanding | ||||||||
| Basic and diluted | 18,474,227 | 2,175,037 |
Contact Information:
Selecta Biosciences, Inc.