SAN DIEGO, Aug. 7 /PRNewswire-FirstCall/ -- SGX Pharmaceuticals
(NASDAQ:SGXP) today announced its financial results for the three
and six months ended June 30, 2008. For the three months ended June
30, 2008, the Company posted revenues of $4.3 million and a net
loss of $7.2 million. For the six months ended June 30, 2008,
revenues were $21.3 million and the net loss was $3.5 million. The
revenue in the six month period includes $10.8 million of revenue
earned in the first quarter attributable to the one-time
recognition of an upfront payment related to the Company's
collaboration with Novartis. Cash, cash equivalents and short-term
investments totaled $23.7 million at June 30, 2008 compared to
$39.0 million at December 31, 2007. Total revenues for the three
months ended June 30, 2008 were $4.3 million compared to $8.5
million for the three months ended June 30, 2007. Total revenues
for the six months ended June 30, 2008 were $21.3 million, compared
to $19.5 million for the six months ended June 30, 2007. The
decrease of $4.2 million for the three month period was primarily
attributable to a decrease in revenues recognized under our
Novartis collaboration due to the conclusion of the research term
in late March 2008 and a decrease in revenues earned under our
federal research grant. The increase of $1.8 million for the six
month period was primarily due to an increase in revenue recognized
under the Novartis collaboration, as noted previously, offset by a
decrease in revenues from the Company's federal research grant.
This decrease was primarily due to the recognition of $3.5 million
of revenue during the first quarter of 2007 in connection with an
agreement on the reimbursement of overhead costs incurred on grant
research efforts since the commencement of the grant in July 2005.
Research and development expenses for the three months ended June
30, 2008 and 2007 were $9.2 million and $10.5 million,
respectively. Research and development expenses for the six months
ended June 30, 2008 and 2007 were $20.6 million and $20.5 million,
respectively. The decrease of $1.3 million for the three month
period was primarily attributable to a decrease in preclinical and
clinical costs incurred in connection with the research and
development activities of our oncology pipeline. Research and
development expenses for the six month periods were generally
consistent from period to period. General and administrative
expenses for the three months ended June 30, 2008 and 2007 were
$2.3 million and $2.1 million, respectively. General and
administrative expenses for the six months ended June 30, 2008 and
2007 were $4.4 million in each period. The increase of $0.2 million
for the three month period was primarily attributable to an
increase in legal and professional fees offset by a decrease in
share-based compensation expense. SGX reported a net loss for the
three months ended June 30, 2008 of $7.2 million, or $0.35 per
share. This compares with a net loss for the three months ended
June 30, 2007 of $4.0 million, or $0.26 per share. For the six
months ended June 30, 2008, the net loss was $3.5 million, or $0.17
per share. This compares with a net loss for the six months ended
June 30, 2007 of $5.1 million, or $0.33 per share. The net loss for
the six months ended June 30, 2008 is less than the net loss for
the three months ended June 30, 2008 due to the Company's reporting
net income in the first quarter of 2008 as a result of the $10.8
million of revenue earned in the first quarter that was
attributable to the one-time recognition of the remaining portion
of the upfront payment related to the Company's collaboration with
Novartis. About SGX Pharmaceuticals SGX Pharmaceuticals, Inc. is a
biotechnology company focused on the discovery, development and
commercialization of novel, targeted therapeutics directed at
addressing unmet medical needs in oncology. Our drug development
programs target the MET receptor tyrosine kinase, an enzyme
implicated in a broad array of cancers, and the BCR-ABL tyrosine
kinase enzyme for the treatment of Chronic Myelogenous Leukemia, or
CML. Our drug discovery activities are focused on a portfolio of
other protein and enzyme targets that have been implicated in human
cancers, including JAK2, RON, ALK, RAS and IKKe. More information
on the pipeline and drug discovery platform can be found at
http://www.sgxpharma.com/ and in the Company's various filings with
the Securities and Exchange Commission. Merger Agreement with Eli
Lilly and Company On July 8, 2008, SGX Pharmaceuticals, Inc.
entered into an Agreement and Plan of Merger (the "Merger
Agreement") with Eli Lilly and Company, an Indiana corporation
("Lilly"), and REM Merger Sub, Inc., a Delaware corporation and a
wholly-owned subsidiary of Lilly ("Merger Sub"). Pursuant to the
Merger Agreement, Merger Sub will merge with and into SGX (the
"Merger"), with SGX continuing as the surviving corporation and a
wholly-owned subsidiary of Lilly. As a result of the Merger, each
share of SGX common stock issued and outstanding immediately prior
to the effective time of the Merger (other than shares held by
Lilly or Merger Sub or by stockholders of SGX who have validly
exercised their appraisal rights under Delaware law) will be
converted into the right to receive $3.00 in cash, without
interest. Pursuant to the terms of the Merger Agreement and as
permitted under the applicable SGX equity plans, all of SGX's
unvested stock options will vest prior to the effective time of the
Merger. Any issued and outstanding stock options with an exercise
price per share greater than or equal to $3.00 that are not
exercised prior to the effective time of the Merger will terminate.
Any issued and outstanding stock options with an exercise price per
share less than $3.00 will be converted into the right to receive a
payment equal to the product of (1) the excess of $3.00 per share
over the exercise price per share of such stock options and (2) the
number of shares of SGX common stock subject to such stock options.
The completion of the Merger is subject to the satisfaction or
waiver of a number of closing conditions, including, among others,
(1) adoption of the Merger Agreement by the holders of a majority
of SGX's outstanding common stock, (2) subject to certain
exceptions, the absence of any material adverse effect on SGX from
and after the date of the Merger Agreement, (3) the expiration or
termination of the waiting period under the Hart-Scott-Rodino
Antitrust Improvements Act of 1976, as amended, (4) the absence of
any legal prohibitions on the closing of the Merger and (5) subject
to certain exceptions, the continued accuracy of SGX's
representations and warranties as of the effective time of the
Merger. The special meeting of stockholders to consider and vote
upon the proposal to adopt the Merger Agreement and to transact
such other business as may properly come before the special meeting
(or any adjournment, postponement or continuance thereof) is
scheduled for 9:00 a.m., California time, on August 20, 2008, at
SGX's corporate headquarters located at 10505 Roselle Street, San
Diego, California 92121. Additional Information SGX filed a
definitive proxy statement with the Securities and Exchange
Commission on July 21, 2008 with respect to the proposed merger
transaction with Eli Lilly and Company. Before making any voting or
investment decision with respect to the merger, investors and
stockholders of SGX are urged to read the proxy statement and the
other relevant materials carefully in their entirety because they
contain important information about the merger. The proxy statement
and other relevant materials, and any other documents filed by SGX
with the SEC, may be obtained free of charge at the SEC's website
at http://www.sec.gov/. In addition, investors and stockholders may
obtain free copies of the documents filed with the SEC by going to
SGX's Investor Relations page on its corporate website at
http://www.sgxpharma.com/ or by directing a written request to SGX
at 10505 Roselle Street, San Diego, California 92121 -- Attention:
Corporate Secretary. Participants in the Solicitation SGX and its
directors and executive officers may be deemed to be participants
in the solicitation of proxies from SGX stockholders in connection
with the merger. Certain directors and executive officers of SGX
may have direct or indirect interests in the merger due to, among
other things, securities holdings, pre-existing or future
indemnification arrangements, vesting of equity awards, or rights
to severance payments in connection with the merger. Additional
information regarding the directors and executive officers of SGX
and their interests in the merger is contained in the definitive
proxy statement that SGX filed with the SEC. Forward Looking
Statements Statements in this press release that are not strictly
historical in nature are forward-looking statements. These
statements include, but are not limited to, statements related to
research and development programs, the proposed merger transaction,
including whether the merger transaction will be approved by SGX's
stockholders, whether the other conditions to closing of the
proposed transaction will be met and if any of the potential
benefits of the proposed merger will be realized, the potential of
the Company's inhibitors as treatments for certain cancers, and the
ability to discover, develop, build a pipeline of and commercialize
cancer therapeutics. These statements are only predictions based on
current information and expectations and involve a number of risks
and uncertainties. Actual events or results may differ materially
from those projected in any of such statements due to various
factors, including the risks and uncertainties inherent in drug
discovery, development and commercialization, which include,
without limitation, the potential failure of development candidates
to advance through preclinical studies or demonstrate safety and
efficacy in clinical testing. The results of early preclinical
studies or clinical trials may not be predictive of future results,
and the Company cannot provide any assurances that any of its
compounds or development candidates will have favorable results in
preclinical studies or future clinical trials. In addition, results
may be affected by the failure to enter into new collaborations on
any of its research and development programs in the event that the
merger transaction is not consummated, competition from other
biotechnology and pharmaceutical companies, its effectiveness at
managing its financial resources, the scope and validity of patent
protection for its products, and its ability to obtain additional
funding to support its operations. For a discussion of these and
other factors, please refer to the risk factors described in the
Company's annual report on Form 10-K for the year ended December
31, 2007 and the Company's most recent quarterly report on Form
10-Q as well as subsequent filings with the Securities and Exchange
Commission. You are cautioned not to place undue reliance on these
forward-looking statements, which speak only as of the date hereof.
This caution is made under the safe harbor provisions of the
Private Securities Litigation Reform Act of 1995. All
forward-looking statements are qualified in their entirety by this
cautionary statement and SGX undertakes no obligation to revise or
update this press release to reflect events or circumstances after
the date hereof. SGX PHARMACEUTICALS, INC. CONSOLIDATED STATEMENTS
OF OPERATIONS (in thousands, except per share data) (unaudited)
Three Months Ended Six Months Ended June 30, June 30, 2008 2007
2008 2007 Revenue: Collaborations and commercial agreements $2,882
$5,722 $17,883 $11,369 Grants 1,424 2,784 3,395 8,105 Total revenue
4,306 8,506 21,278 19,474 Expenses: Research and development 9,237
10,524 20,586 20,542 General and administrative 2,263 2,126 4,384
4,359 Total operating expenses 11,500 12,650 24,970 24,901 Loss
from operations (7,194) (4,144) (3,692) (5,427) Interest income
(expense), net (7) 131 212 316 Net loss $(7,201) $(4,013) $(3,480)
$(5,111) Basic and diluted net loss per share $(0.35) $(0.26)
$(0.17) $(0.33) Shares used to compute basic and diluted net loss
per share 20,650 15,337 20,590 15,281 Three Months Ended Three
Months Ended June 30, 2008 (1) June 30, 2007 (1) Stock- Stock-
based Reported based Reported compensation GAAP compensation GAAP
non-GAAP expense results non-GAAP expense results Net loss $(6,339)
$(862) $(7,201) $(2,911) $(1,102) $(4,013) Basic and diluted net
loss per share $(0.31) $(0.04) $(0.35) $(0.19) $(0.07) $(0.26)
Research and development expenses $8,870 $367 $9,237 $9,975 $549
$10,524 General and administrative expenses $1,768 $495 $2,263
$1,573 $553 $2,126 Six Months Ended Six Months Ended June 30, 2008
(1) June 30, 2007 (1) Stock- Stock- based Reported based Reported
compensation GAAP compensation GAAP non-GAAP expense results
non-GAAP expense results Net loss $(1,992) $(1,488) $(3,480)
$(3,020) $(2,091) $(5,111) Basic and diluted net loss per share
$(0.10) $(0.07) $(0.17) $(0.20) $(0.14) $(0.33) Research and
development expenses $19,925 $661 $20,586 $19,492 $1,050 $20,542
General and administrative expenses $3,557 $827 $4,384 $3,318
$1,041 $4,359 SGX PHARMACEUTICALS, INC. CONDENSED CONSOLIDATED
BALANCE SHEETS (in thousands) (unaudited) June 30, December 31,
2008 2007 Assets Cash, cash equivalents and short-term investments
$23,676 $38,990 Accounts receivable 954 2,706 Other current assets
1,217 1,187 Property and equipment, net 3,504 3,889 Other assets
4,286 4,284 Total assets $33,637 $51,056 Liabilities and
stockholder's equity Current liabilities $9,676 $24,991 Deferred
revenue, long-term 792 1,042 Stockholder's equity 23,169 25,023
Total liabilities and stockholder's equity $33,637 $51,056 (1) In
addition to disclosing financial results calculated in accordance
with generally accepted accounting principles (GAAP), this table
contains non-GAAP financial measures that exclude the effect of
non-cash stock compensation expense. The Company believes that the
presentation of results excluding non-cash stock compensation
expense provides meaningful supplemental information to both
management and investors that is indicative of the Company's core
operating results. The Company believes these non-GAAP financial
measures facilitate comparison of operating results across
reporting periods, and uses these non-GAAP financial measures when
evaluating its financial results, as well as for internal planning
and forecasting purposes. These non-GAAP financial measures should
not be considered a substitute for, or superior to, financial
measures calculated in accordance with GAAP. DATASOURCE: SGX
Pharmaceuticals, Inc. CONTACT: Bonnie Feldman, Sr. Director,
Investor Relations, +1-858-344-8860, or Todd Myers, Chief Financial
Officer, +1-858-558-4850, both of SGX Pharmaceuticals Web site:
http://www.sgxpharma.com/
Copyright
Sgx Pharmaceuticals (MM) (NASDAQ:SGXP)
過去 株価チャート
から 5 2024 まで 6 2024
Sgx Pharmaceuticals (MM) (NASDAQ:SGXP)
過去 株価チャート
から 6 2023 まで 6 2024