Cover Page
Cover Page - shares | 9 Months Ended | |
Sep. 30, 2023 | Nov. 06, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2023 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q3 | |
Entity Registrant Name | VIRACTA THERAPEUTICS, INC. | |
Entity Central Index Key | 0001061027 | |
Entity Current Reporting Status | Yes | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Non-accelerated Filer | |
Entity Common Stock, Shares Outstanding | 38,624,553 | |
Entity Shell Company | false | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Securities Act File Number | 000-51531 | |
Entity Tax Identification Number | 94-3295878 | |
Entity Address, Address Line One | 2533 S. Coast Hwy. 101, Suite 210 | |
Entity Address, City or Town | Cardiff | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 92007 | |
City Area Code | 858 | |
Local Phone Number | 400-8470 | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity Interactive Data Current | Yes | |
Entity Incorporation, State or Country Code | DE | |
Trading Symbol | VIRX | |
Title of 12(b) Security | Common Stock, par value $0.0001 per share | |
Security Exchange Name | NASDAQ |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Current Assets: | ||
Cash and cash equivalents | $ 12,856 | $ 36,773 |
Short-term investments | 50,096 | 54,270 |
Prepaid expenses and other current assets | 1,490 | 2,704 |
Total current assets | 64,442 | 93,747 |
Property and equipment, net | 218 | 148 |
Operating lease right-of-use asset | 371 | 266 |
Other assets | 1,406 | 1,830 |
Total assets | 66,437 | 95,991 |
Current Liabilities: | ||
Accounts payable | 2,363 | 2,540 |
Accrued expenses | 8,506 | 7,193 |
Operating lease liability | 381 | 278 |
Current portion of long-term debt | 25,179 | 0 |
Total current liabilities | 36,429 | 10,011 |
Long-term debt, net | 0 | 24,877 |
Total liabilities | 36,429 | 34,888 |
Stockholders' equity: | ||
Convertible preferred stock, $0.0001 par value; 10,000,000 shares authorized as of September 30, 2023; 10,248 shares issued and outstanding as of September 30, 2023 and December 31, 2022 | 5,452 | 5,452 |
Common stock, $0.0001 par value; 400,000,000 shares authorized; 38,624,553 and 38,345,140 shares issued and outstanding at September 30, 2023 and December 31, 2022, respectively | 4 | 4 |
Additional paid-in capital | 276,784 | 270,699 |
Accumulated other comprehensive loss | (65) | (178) |
Accumulated deficit | (252,167) | (214,874) |
Total stockholders' equity | 30,008 | 61,103 |
Total liabilities and stockholders' equity | $ 66,437 | $ 95,991 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) (Unaudited) - $ / shares | Sep. 30, 2023 | Dec. 31, 2022 |
Preferred stock, par value | $ 0.0001 | |
Preferred stock, shares authorized | 10,000,000 | |
Preferred stock, shares issued | 10,248 | 10,248 |
Preferred stock, shares outstanding | 10,248 | 10,248 |
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 400,000,000 | 400,000,000 |
Common stock, shares issued | 38,624,553 | 38,345,140 |
Common stock, shares outstanding | 38,624,553 | 38,345,140 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Operating expenses: | ||||
Research and development | $ 8,158 | $ 7,139 | $ 23,962 | $ 19,559 |
General and administrative | 4,317 | 10,939 | 13,170 | 19,456 |
Total operating expenses | 12,475 | 18,078 | 37,132 | 39,015 |
Loss from operations | (12,475) | (18,078) | (37,132) | (39,015) |
Other income (expense) | ||||
Interest income | 827 | 474 | 2,593 | 534 |
Interest expense | (953) | (139) | (2,755) | (390) |
Other income | 1 | 1 | ||
Total other income (expense) | (125) | 335 | (161) | 144 |
Net loss | (12,600) | (17,743) | (37,293) | (38,871) |
Unrealized gain (loss) on short-term investments | 50 | (199) | 113 | (199) |
Comprehensive loss | $ (12,550) | $ (17,942) | $ (37,180) | $ (39,070) |
Net loss per share of common stock, basic | $ (0.33) | $ (0.47) | $ (0.97) | $ (1.03) |
Net loss per share of common stock, diluted | $ (0.33) | $ (0.47) | $ (0.97) | $ (1.03) |
Weighted-average shares used to compute basic net loss per share | 38,683,858 | 37,705,517 | 38,568,515 | 37,614,166 |
Weighted-average shares used to compute diluted net loss per share | 38,683,858 | 37,705,517 | 38,568,515 | 37,614,166 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Stockholders' Equity (Deficit) (Unaudited) - USD ($) $ in Thousands | Total | Common Stock [Member] | Preferred Stock [Member] Convertible preferred stock | Additional Paid-In Capital [Member] | Accumulated Other Comprehensive Loss | Accumulated Deficit [Member] |
Beginning Balance at Dec. 31, 2021 | $ 94,371 | $ 4 | $ 5,452 | $ 254,592 | $ (165,677) | |
Beginning Balance, shares at Dec. 31, 2021 | 37,425 | 10 | ||||
Issuance of common stock upon exercise of stock options | 7 | 7 | ||||
Issuance of common stock upon exercise of stock options, shares | 7 | |||||
Issuance of common stock upon vesting of restricted stock units | 53 | |||||
Issuance of common stock upon vesting of early exercised stock options, shares | 1 | |||||
Issuance of common stock upon vesting of early exercised stock options ,Value | 1 | 1 | ||||
Share-based compensation | 1,772 | 1,772 | ||||
Net loss | (10,546) | (10,546) | ||||
Ending Balance at Mar. 31, 2022 | 85,605 | $ 4 | $ 5,452 | 256,372 | (176,223) | |
Ending Balance, shares at Mar. 31, 2022 | 37,486 | 10 | ||||
Beginning Balance at Dec. 31, 2021 | 94,371 | $ 4 | $ 5,452 | 254,592 | (165,677) | |
Beginning Balance, shares at Dec. 31, 2021 | 37,425 | 10 | ||||
Unrealized gain (loss) on short-term investments | (199) | |||||
Net loss | (38,871) | |||||
Ending Balance at Sep. 30, 2022 | 67,812 | $ 4 | $ 5,452 | 267,103 | $ (199) | (204,548) |
Ending Balance, shares at Sep. 30, 2022 | 37,903 | 10 | ||||
Beginning Balance at Mar. 31, 2022 | 85,605 | $ 4 | $ 5,452 | 256,372 | (176,223) | |
Beginning Balance, shares at Mar. 31, 2022 | 37,486 | 10 | ||||
Issuance of common stock upon exercise of stock options | 24 | 24 | ||||
Issuance of common stock upon exercise of stock options, shares | 19 | |||||
Issuance of common stock upon vesting of restricted stock units | 48 | |||||
Issuance of common stock upon vesting of early exercised stock options, shares | 1 | |||||
Share-based compensation | 1,956 | 1,956 | ||||
Net loss | (10,582) | (10,582) | ||||
Ending Balance at Jun. 30, 2022 | 77,003 | $ 4 | $ 5,452 | 258,352 | (186,805) | |
Ending Balance, shares at Jun. 30, 2022 | 37,554 | 10 | ||||
Issuance of common stock upon exercise of stock options | 70 | 70 | ||||
Issuance of common stock upon exercise of stock options, shares | 57 | |||||
Issuance of common stock upon vesting of restricted stock units | 48 | |||||
Issuance of common stock upon vesting of early exercised stock options, shares | 1 | |||||
Issuance of common stock upon vesting of early exercised stock options ,Value | 1 | 1 | ||||
Share-based compensation | 7,646 | 7,646 | ||||
Issuance of common stock through "at the market" offering, net, shares | 243 | |||||
Issuance of common stock through "at the market" offering, net, Value | 1,034 | 1,034 | ||||
Unrealized gain (loss) on short-term investments | (199) | (199) | ||||
Net loss | (17,743) | (17,743) | ||||
Ending Balance at Sep. 30, 2022 | 67,812 | $ 4 | $ 5,452 | 267,103 | (199) | (204,548) |
Ending Balance, shares at Sep. 30, 2022 | 37,903 | 10 | ||||
Beginning Balance at Dec. 31, 2022 | 61,103 | $ 4 | $ 5,452 | 270,699 | (178) | (214,874) |
Beginning Balance, shares at Dec. 31, 2022 | 38,345 | 10 | ||||
Issuance of common stock upon exercise of stock options | 16 | 16 | ||||
Issuance of common stock upon exercise of stock options, shares | 18 | |||||
Issuance of common stock upon vesting of restricted stock units | 48 | |||||
Share-based compensation | 2,112 | 2,112 | ||||
Unrealized gain (loss) on short-term investments | 91 | 91 | ||||
Net loss | (12,209) | (12,209) | ||||
Ending Balance at Mar. 31, 2023 | 51,113 | $ 4 | $ 5,452 | 272,827 | (87) | (227,083) |
Ending Balance, shares at Mar. 31, 2023 | 38,411 | 10 | ||||
Beginning Balance at Dec. 31, 2022 | 61,103 | $ 4 | $ 5,452 | 270,699 | (178) | (214,874) |
Beginning Balance, shares at Dec. 31, 2022 | 38,345 | 10 | ||||
Unrealized gain (loss) on short-term investments | 113 | |||||
Net loss | (37,293) | |||||
Ending Balance at Sep. 30, 2023 | 30,008 | $ 4 | $ 5,452 | 276,784 | (65) | (252,167) |
Ending Balance, shares at Sep. 30, 2023 | 38,625 | 10 | ||||
Beginning Balance at Mar. 31, 2023 | 51,113 | $ 4 | $ 5,452 | 272,827 | (87) | (227,083) |
Beginning Balance, shares at Mar. 31, 2023 | 38,411 | 10 | ||||
Issuance of common stock upon exercise of stock options | 77 | 77 | ||||
Issuance of common stock upon exercise of stock options, shares | 64 | |||||
Issuance of common stock upon vesting of restricted stock units | 48 | |||||
Share-based compensation | 1,977 | 1,977 | ||||
Issuance of common stock through "at the market" offering, net, shares | 57 | |||||
Issuance of common stock through "at the market" offering, net, Value | 127 | 127 | ||||
Unrealized gain (loss) on short-term investments | (28) | (28) | ||||
Net loss | (12,484) | (12,484) | ||||
Ending Balance at Jun. 30, 2023 | 40,782 | $ 4 | $ 5,452 | 275,008 | (115) | (239,567) |
Ending Balance, shares at Jun. 30, 2023 | 38,580 | 10 | ||||
Issuance of common stock upon vesting of restricted stock units | 45 | |||||
Share-based compensation | 1,776 | 1,776 | ||||
Unrealized gain (loss) on short-term investments | 50 | 50 | ||||
Net loss | (12,600) | (12,600) | ||||
Ending Balance at Sep. 30, 2023 | $ 30,008 | $ 4 | $ 5,452 | $ 276,784 | $ (65) | $ (252,167) |
Ending Balance, shares at Sep. 30, 2023 | 38,625 | 10 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Operating activities | ||
Net loss | $ (37,293) | $ (38,871) |
Adjustments to reconcile net loss to net cash used in by operating activities: | ||
Share-based compensation expense | 5,865 | 11,374 |
Depreciation and amortization | 369 | 153 |
Amortization of premiums and accretion of discounts on short-term investments, net | (1,579) | (175) |
Change in operating assets and liabilities: | ||
Prepaid expenses and other assets | 1,215 | (894) |
Other assets | 424 | 425 |
Accounts payable | (178) | (1,285) |
Accrued expenses | 1,313 | 1,592 |
Lease liabilities, net | (1) | (3) |
Other long-term liabilities | 0 | 130 |
Net cash used in operating activities | (29,865) | (27,554) |
Investing activities | ||
Purchase of property and equipment | (138) | (45) |
Purchases of short-term investments | (59,656) | (54,418) |
Proceeds from maturity of short-term investments | 65,522 | 800 |
Net cash provided by (used in) investing activities | 5,728 | (53,663) |
Financing activities | ||
Issuance of common stock, net of issuance costs | 127 | 1,034 |
Issuance of common stock upon option exercises and from employee stock plan | 93 | 101 |
Net cash provided by financing activities | 220 | 1,135 |
Net decrease in cash and cash equivalents | (23,917) | (80,082) |
Cash and cash equivalents at beginning of period | 36,773 | 103,554 |
Cash and cash equivalents at end of period | 12,856 | 23,472 |
Supplemental disclosure of cash flow information | ||
Interest paid | 2,224 | 332 |
Interest and Other Income | 2,578 | 462 |
Supplemental disclosure of noncash activities | ||
Operating lease right-of-use assets obtained in exchange for operating lease liabilities | $ 381 | $ 0 |
Organization and Basis of Prese
Organization and Basis of Presentation | 9 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Basis of Presentation | 1. Organization and Basis of Presentation Viracta Therape utics, Inc. (“Viracta,” the “Company,” or the “combined company”), formerly known as Sunesis Pharmaceuticals, Inc., was incorporated in the state of Delaware in February 1998 and is based in San Diego, California. Viracta is a clinical-stage, precision oncology company focused on the treatment and prevention of virus-associated cancers that impact patients worldwide. Viracta’s lead product candidate is an all-oral combination therapy of its proprietary investigational drug, nanatinostat and the antiviral agent valganciclovir (collectively referred to as “Nana-val”). Nana-val is currently being investigated in multiple ongoing clinical trials, including NAVAL-1, a pivotal, global, multicenter, open-label Phase 2 basket trial for the treatment of multiple subtypes of relapsed/refractory (“R/R”) Epstein-Barr virus-positive (“EBV + ”) lymphoma, as well as a multinational, open-label Phase 1b/2 trial for the treatment of EBV + recurrent or metastatic nasopharyngeal carcinoma (“R/M NPC”) and other EBV + solid tumors. Viracta’s development pipeline also includes vecabrutinib, a clinical-stage non-covalent ITK/BTK inhibitor and VRx-510 (formerly SNS-510), a preclinical-stage PDK-1 inhibitor. Viracta is evaluating strategic partnerships and collaboration opportunities for vecabrutinib and VRx-510 in multiple oncology and other indication s . Merger Transaction between Private Viracta Therapeutics, Inc. and Sunesis Pharmaceuticals, Inc. and Name Change On November 29, 2020, the Company, then operating as Sunesis Pharmaceuticals, Inc., entered into an agreement and plan of merger and reorganization (the “Merger Agreement”) with privately-held Viracta Therapeutics, Inc. (“Private Viracta”) and Sol Merger Sub, Inc., a wholly-owned subsidiary of the Company (“Merger Sub”). On February 24, 2021, the transactions contemplated by the Merger Agreement were completed, and Merger Sub merged into Private Viracta, with Private Viracta surviving the merger as a wholly owned subsidiary of the Company (the “Merger”). Sunesis changed its name to Viracta Therapeutics, Inc. On February 25, 2021, the combined company’s common stock began trading on The Nasdaq Global Select Market under the ticker symbol “VIRX”. Except as otherwise indicated, references herein to “Viracta,” the “Company,” or the “combined company,” refer to Viracta Therapeutics, Inc. on a post-Merger basis, and the term “Private Viracta” refers to the business of privately-held Viracta Therapeutics, Inc., prior to the completion of the Merger. References to “Sunesis” refer to Sunesis Pharmaceuticals, Inc. prior to completion of the Merger. Liquidity, Risks, Uncertainties, and Going Concern As of September 30, 2023, the Company has devoted substantially all of its efforts to product development and has not realized product sales revenues from its planned principal operations. The Company has a limited operating history, and the sales and income potential of the Company’s business and market are unproven. The Company has experienced net losses since its inception and, as of September 30, 2023, had an accumulated deficit of $ 252.2 million. The Company expects to continue to incur net losses and operating cash outflows for at least the next several years. A successful transition to attaining profitable operations is dependent upon achieving a level of revenues adequate to support the Company’s cost structure. If the Company is unable to generate revenues adequate to support its cost structure, the Company will need to raise additional capital through the issuance of its common stock, through other equity or debt financings or through collaborations or partnerships with other companies. We may be unable to raise additional funds or to enter into such agreements or arrangements on favorable terms, or at all. If we are unable to raise capital or enter into such agreements as and when needed, we may have to significantly delay, scale back or discontinue the development or commercialization of one or more of our product candidates. As of September 30, 2023, the Company had cash, cash equivalents and short-term investments of $ 63.0 million and working capital of $ 28.0 million. On November 4, 2021, the Company entered into a loan and security agreement with Silicon Valley Bank, now a division of First-Citizens Bank and Trust Company (“SVB”), and Oxford Finance LLC (“Oxford”), collectively referred to as “Lenders,” for up to $ 50.0 million, with $ 5.0 million refinanced at the time of entering into the agreement and $ 45.0 million available under certain circumstances, as amended August 26, 2022. The second tranche of $ 20.0 million was drawn by the Company on December 29, 2022 and the third tranche of $ 25.0 million remains available at the Company's request subject to Lenders' discretion (see Note 4). Based on the Company’s current financial position and business plan, management believes that its existing cash, cash equivalents and short-term investments may not be sufficient to fund the Company’s planned operations for at least twelve months from the issuance date of these condensed consolidated financial statements. The Company’s current liquidity position, recurring net losses from operations and negative cash flows from operating activities raise substantial doubt about its ability to continue as a going concern. Because management’s equity and/or debt financing plans, along with collaborative or other funding arrangements have not yet been executed and are not fully within the Company’s control, such plans cannot be considered probable of being achieved. As a result, the Company has concluded that management’s plans do not alleviate substantial doubt about the Company’s ability to continue as a going concern. Due to these circumstances and based on management's assessment that the material adverse change clause under the SVB-Oxford Loan Facility (see Note 4) is not within the Company's control, all amounts due under the SVB-Oxford Loan Facility have been classified as a current liability as of September 30, 2023. The accompanying condensed consolidated financial statements have been prepared on a basis which assumes the Company will be able to continue as a going concern, and do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classifications of liabilities that may result from any uncertainty related to its ability to continue as a going concern. Viracta uses third party contract labs and facilities for the manufacture and testing of drug substance, drug product, and clinical trial material while providing internal oversight on technical development, quality and regulatory compliance. This outsourcing model allows Viracta to maintain a flexible infrastructure and capital efficiency while focusing its expertise on developing its products. For the nine months ended September 30, 2023 and 202 2, the Company had one contract lab that provided 20.0 % and two contract labs that provided 21.7 % of total third-party services, r espectively. The COVID-19 pandemic caused significant business disruption around the globe and its long-term impact remains uncertain. While the World Health Organization has determined that COVID-19 no longer represents a global health emergency and the Company has largely resumed normal operations, any resurgence or worsening of the COVID-19 pandemic may cause the Company to reinstitute certain mitigating measures. The Company does not yet know the full extent of potential delays or impacts on its business, its clinical trials, healthcare systems or the global economy as a whole. These effects could have a material impact on the Company’s operations, including the timing and ability of the Company to complete certain clinical trials and other efforts required to advance the development of its product candidates and raise additional capital. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Basis of Presentation and Principles of Consolidation The accompanying condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries and have been prepared in accordance with GAAP and follow the requirements of the U.S. Securities and Exchange Commission (“SEC”) for interim reporting. As permitted under those rules, certain footnotes or other financial information that are normally required by GAAP can be condensed or omitted. In management’s opinion, the unaudited interim financial statements have been prepared on the same basis as the audited financial statements and include all adjustments, which include only normal recurring adjustments, necessary for the fair presentation of the Company’s financial position and its results of operations and its cash flows for the periods presented. These statements do not include all disclosures required by GAAP and should be read in conjunction with the Company’s financial statements and accompanying notes for the year ended December 31, 2022 , which are contained in the Company’s Current Report on Form 10-K filed with the SEC on March 14, 2023. The results for interim periods are not necessarily indicative of the results expected for the full fiscal year or any other interim period. Use of Estimates The preparation of condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of expenses during the reporting period. Actual results could differ materially from those estimates. Short-Term Investments Short-term investments are marketable securities with maturities greater than three months from date of purchase that are specifically identified to fund current operations. These investments are classified as current assets, even though the stated maturity date may be one year or more beyond the current balance sheet date, which reflects management’s intention to use the proceeds from sales of these securities to fund our operations, as necessary. The cost of short-term investments is adjusted for amortization of premiums or accretion of discounts to maturity, and such amortization or accretion is included in interest income. Dividend and interest income is recognized as interest income on the statements of operations and comprehensive loss when earned. Short-term investments are classified as available-for-sale securities and carried at fair value with unrealized gains and non-credit related losses recorded in other comprehensive income (loss) and included as a separate component of stockholders’ equity. Realized gains and losses from the sale of available-for-sale securities are determined on a specific identification basis and included in interest income on the condensed consolidated statements of operations and comprehensive loss. Allowance for Credit Losses For available-for-sale securities in an unrealized loss position, we first assess whether we intend to sell, or if it is more likely than not that we will be required to sell, the security before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the security’s amortized cost basis is written down to fair value through earnings. For available-for-sale securities that do not meet the aforementioned criteria, we evaluate whether the decline in fair value has resulted from credit losses or other factors. In making this assessment, we consider the severity of the impairment, any changes in interest rates, market conditions, changes to the underlying credit ratings and forecasted recovery, among other factors. The credit-related portion of unrealized losses, and any subsequent improvements, are recorded in interest income through an allowance account. Any impairment that has not been recorded through an allowance for credit losses is included in other comprehensive income (loss) on the unaudited condensed statements of operations and comprehensive loss. We elected the practical expedient to exclude the applicable accrued interest from both the fair value and amortized costs basis of our available-for-sale securities for purposes of identifying and measuring an impairment. Accrued interest receivable on available-for-sale securities is recorded within prepaid expenses and other current assets on our unaudited condensed consolidated balance sheets. Our accounting policy is to not measure an allowance for credit loss for accrued interest receivable and to write-off any uncollectible accrued interest receivable as a reversal of interest income in a timely manner, which we consider to be in the period in which we determine the accrued interest will not be collected by us. Concentrations of Credit Risk Financial instruments that potentially subject the Company to significant concentrations of credit risk consist primarily of cash, cash equivalents and short-term investments. The Company maintains deposits in federally insured financial institutions in excess of federally insured limits. The Company has not experienced any losses in such accounts and believes it is not exposed to significant risk on its cash, cash equivalents and short-term investments. Cash and Cash Equivalents The Company considers all highly liquid investments with an original maturity from the date of purchase of three months or less to be cash equivalents. Clinical Trial and Contracts Accruals The Company accrues clinical trial costs based on work performed. In determining the amount to accrue, the Company relies on estimates of total costs incurred based on enrollment, the completion of clinical trials and other events. The Company follows this method because it believes reasonably dependable estimates of the costs applicable to various stages of a clinical trial can be made. However, the actual costs and timing of clinical trials are highly uncertain, subject to risks and may change depending on a number of factors. Differences between the actual clinical trial costs and the estimated clinical trial costs that have been accrued in any prior period are recognized in the subsequent period in which the actual costs become known. Historically, estimated accrued expenses have approximated actual expenses incurred; however, material differences could occur in the future. Research and Development Expenses Research and development costs are expensed as incurred. These costs consist primarily of salaries and other personnel-related expenses, including share-based compensation, facility-related expenses, contract manufacturing costs and services performed by clinical research organizations, research institutions, and other outside service providers. The Company makes estimates of its accrued expenses as of each balance sheet date in the condensed consolidated financial statements based on facts and circumstances known to us at that time. If the actual timing of the performance of services or the level of effort varies from the estimate, the Company will adjust the accrual accordingly. This process involves reviewing contracts and purchase orders, reviewing the terms of vendor agreements, communicating with applicable personnel to identify services that have been performed on the Company's behalf and estimating the level of service performed and the associated cost incurred for the services when it has not yet been invoiced or otherwise notified of actual cost. The majority of the Company's service providers invoice monthly in arrears for services performed. Share-Based Compensation The Company accounts for share-based compensation expense related to stock options granted to employees, members of the board of directors, and outside consultants by estimating the fair value of each stock option on the date of grant or modification date using the Black-Scholes option pricing model. The Company accounts for restricted stock units (“RSUs”) by determining the fair value of each restricted stock unit based on the closing market price of the common stock on the date of grant or modification date. The Company recognizes share-based compensation on a straight-line basis over the requisite service period of the stock-based award, and forfeitures are recognized as they occur. The estimate of fair value for share-based compensation for stock options requires management to make estimates and judgments about, among other things, employee exercise behavior and volatility of the Company’s common stock. The judgments directly affect the amount of compensation expense that will be recognized. Segment Reporting Operating segments are identified as components of an enterprise about which separate discrete financial information is used in making decisions regarding resource allocation and assessing performance. To date, the Company has viewed its operations and managed its business as one segment operating in the United States. All long-lived assets were located in the United States at September 30, 2023 and December 31, 2022. Investments The Company invests in available-for-sale securities consisting of money market funds, commercial paper, corporate debt securities, U.S. Treasury securities and U.S. agency bonds. Available-for-sale securities are classified as either cash, cash equivalents or short-term investments on the Company's unaudited condensed consolidated balance sheets. The following tables summarize, by major security type, the Company's cash equivalents and short-term investments that are measured at fair value on a recurring basis as of September 30, 2023 and December 31, 2022, in thousands: September 30, 2023 Maturities Amortized Cost Unrealized Gains Unrealized Losses Fair Value Cash equivalents: Money market funds 1 or less $ 11,472 $ — $ — $ 11,472 Total cash equivalents 11,472 — — 11,472 Short-term investments: Commercial paper 1 or less 19,915 — ( 12 ) 19,903 U.S. Treasury securities 1 or less 13,909 — ( 15 ) 13,894 Corporate debt securities 2 or less 2,835 — ( 3 ) 2,832 U.S. Agency bonds 1 or less 13,502 — ( 35 ) 13,467 Total short-term investments 50,161 — ( 65 ) 50,096 Total $ 61,633 $ — $ ( 65 ) $ 61,568 December 31, 2022 Maturities Amortized Cost Unrealized Gains Unrealized Losses Fair Value Cash equivalents: Money market funds 1 or less $ 15,492 $ — $ — $ 15,492 Total cash equivalents 15,492 — — 15,492 Short-term investments: U.S. Treasury securities 1 or less 19,785 — ( 109 ) 19,676 Commercial paper 1 or less 27,739 — ( 34 ) 27,705 Corporate debt securities 2 or less 1,872 — — 1,872 U.S. Agency bonds 2 or less 5,052 — ( 35 ) 5,017 Total short-term investments 54,448 — ( 178 ) 54,270 Total $ 69,940 $ — $ ( 178 ) $ 69,762 The Company has classified investments with remaining maturity at purchase of more than three months and remaining maturities of one year or less as short-term investments. The Company has also classified investments with remaining maturities of greater than one year as short-term investments, which reflects management's intention to use the proceeds from sales of these securities to fund operations, as necessary. As of September 30, 2023, the unrealized losses for available-for-sale investments were primarily due to changes in interest rates and not due to increased credit risks associated with specific securities. The Company does not currently intend to sell the investments before recovery of their amortized cost basis, which may be at the time of maturity. As of September 30, 2023, no allowance for credit losses was recorded and the Company did not recognize any impairment losses related to investments. As of September 30, 2023, none of the short-term investments were in a continuous unrealized loss position for a period greater than 12 months. Accrued interest receivable on available-for-sale securities was $ 0.1 million at September 30, 2023 and December 31, 2022. For the nine months ended September 30, 2023 and 2022, we have no t written off any accrued interest receivables. Fair Value Measurements The accounting guidance defines fair value, establishes a consistent framework for measuring fair value and expands disclosure for each major asset and liability category measured at fair value on either a recurring or non-recurring basis. Fair value is defined as an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market- based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, the accounting guidance establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows: Level 1: Observable inputs such as quoted prices in active markets. Level 2: Inputs, other than the quoted prices in active markets that are observable either directly or indirectly. Level 3: Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions. The carrying amounts of the Company’s cash and cash equivalents, prepaid expenses, accounts payable and accrued liabilities approximate fair values for these financial instruments due to their short maturities. Available-for-sale securities consist of U.S. Treasury securities, which are measured at fair value using Level 1 inputs and commercial paper, corporate debt securities, and U.S. Agency bonds, which is measured at fair value using Level 2 inputs. The Company determines the fair value of Level 2 related securities with the aid of valuations provided by third parties using proprietary valuation models and analytical tools. These valuation models and analytical tools use market pricing or prices for similar instruments that are both objective and publicly available, including matrix pricing or reported trades, benchmark yields, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids and/or offers. Below is a summary of assets, including cash equivalents and short-term investments, measured at fair value as of September 30, 2023 and December 31, 2022, in thousands. Fair Value Measurements Using September 30, 2023 Level 1 Level 2 Cash equivalents: Money market funds $ 11,472 $ 11,472 $ — Total cash equivalents 11,472 11,472 — Short-term investments: U.S. Treasury securities 13,894 13,894 — Commercial paper 19,903 — 19,903 Corporate debt securities 2,832 — 2,832 U.S. Agency bonds 13,467 — 13,467 Total short-term investments 50,096 13,894 36,202 Total $ 61,568 $ 25,366 $ 36,202 Fair Value Measurements Using December 31, 2022 Level 1 Level 2 Cash equivalents: Money market funds $ 15,492 $ 15,492 $ — Total cash equivalents 15,492 15,492 — Short-term investments: U.S. Treasury securities 19,676 19,676 — Commercial paper 27,705 — 27,705 Corporate debt securities 1,872 — 1,872 U.S. Agency bonds 5,017 — 5,017 Total short-term investments 54,270 19,676 34,594 Total $ 69,762 $ 35,168 $ 34,594 As of September 30, 2023 and December 31, 2022 , the Company had no liabilities measured at fair value on a recurring basis. Net Loss Per Share Basic loss per common share is computed by dividing net loss by the weighted average number of common shares and warrants to purchase common stock for nominal consideration outstanding during the period. Diluted loss per common share is computed by dividing net loss by the weighted average number of common shares outstanding, plus the impact of common shares, if dilutive, resulting from outstanding common stock equivalents. For all periods presented, there is no difference in the number of shares used to compute basic and diluted shares outstanding due to the Company's net loss position. The following common stock equivalent securities are excluded from the calculation of weighted average dilutive common shares because their inclusion would have been anti-dilutive: September 30, 2023 2022 Shares issuable upon conversion of preferred stock 292,799 292,799 Common stock options and RSUs outstanding 9,737,390 7,780,972 ESPP shares pending issuance 68,465 22,120 Warrants to purchase common stock 23,100 23,100 Total excluded securities 10,121,754 8,118,991 Recently Issued Accounting Pronouncements From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board or other standard setting bodies that the Company will adopt as of the specified effective date. The Company has evaluated recently issued accounting pronouncements and as a result, based on the Company's preliminary assessment, do not believe any will have a material impact on the condensed consolidated financial statements or related footnote disclosures. |
Financial Statement Details
Financial Statement Details | 9 Months Ended |
Sep. 30, 2023 | |
Financial Statement Details [Abstract] | |
Financial Statement Details [Text Block] | 3. Financial Statement Details Prepaid Expenses and Other Current Assets Prepaid expenses and other current assets consist of the following (in thousands): September 30, December 31, 2023 2022 Prepaid expenses $ 446 $ 780 ERC receivable 168 798 Prepaid insurance 588 567 Current deposits 161 442 Accrued interest receivable 127 112 Other — 5 Total prepaid expenses and other current assets $ 1,490 $ 2,704 For the year ended December 31, 2022, the Company recorded the $ 0.8 million receivable for the Employee Retention Credit (the "ERC"), after determining that the amount was both estimable and reasonably assured of collection. As of September 30, 2023, $ 0.6 million of the ERC receivable had been received. Accrued Expenses Accrued expenses consist of the following (in thousands): September 30, December 31, 2023 2022 Accrued payroll and benefits $ 2,333 $ 2,961 Accrued clinical trial and contract expenses 5,516 3,562 Accrued professional services and expenses 378 385 Other accrued expenses 279 285 Total accrued expenses $ 8,506 $ 7,193 |
Debt
Debt | 9 Months Ended |
Sep. 30, 2023 | |
Debt Disclosure [Abstract] | |
Debt | 4. Debt Loan Agreement On November 4, 2021, the Company entered into a loan and security agreement, as amended August 26, 2022 (the “SVB-Oxford Loan Facility”) with SVB an d Oxford for up to $ 50.0 million. The existing $ 5.0 million debt balance from the Company’s previous credit facility with SVB was replaced under this SVB-Oxford Loan Facility. Under the terms of the SVB-Oxford Loan Facility, the remaining $ 45.0 million was available in two additional tranches of $ 20.0 million and $ 25.0 million under certain circumstances, and the Company was under no obligation to draw funds in the future. The second tranche of $20.0 million was drawn by the Company on December 29, 2022. The third tranche of $25.0 million remains available at the Company's request subject to the Lenders' discretion . On March 10, 2023, SVB was closed by the California Department of Financial Protection and Innovation, which appointed the Federal Deposit Insurance Corporation as receiver. On March 26, 2023, it was announced that First-Citizens Bank & Trust Company would assume all of SVB's deposits and loans as of March 27, 2023. The Company has been informed by the lenders under the SVB-Oxford Loan Facility that the future tranche under the facility remains available subject to the lenders’ discretion on the same terms as set forth in the SVB-Oxford Loan Facility. The loan will be due on the scheduled maturity date of November 1, 2026 (the “Maturity Date”). In accordance with the original terms of the SVB-Oxford Loan Facility, repayment of the loan is interest only through December 31, 2023, and if evidence of positive Phase 1(b) data in the EBV + solid tumor trial sufficient to advance into Phase 2 is delivered to the Lenders and confirmed by the Company's board of directors prior to December 31, 2023 (the “Milestone”), the interest-only period would be extended through December 31, 2024. This period of interest only will be followed by 35 equal monthly payments of principal plus accrued interest commencing on January 1, 2024, or if the Milestone is achieved, the period of interest only will be followed by 23 equal monthly payments of principal plus accrued interest commencing on January 1, 2025. The per annum interest rate for any outstanding loan is equal to the greater of (i) 8.15 % and (ii) the sum of (a) the Prime Rate, as reported in The Wall Street Journal on the last business day of the month that immediately precedes the month in which the interest will accrue, plus (b) 4.90 %. As of September 30, 2023, the per annum interest rate was 13.40 % . The Company is subject to customary affirmative and restrictive covenants under the SVB-Oxford Loan Facility which also contains customary indemnification obligations and customary events of default, including a material adverse change clause. As of September 30, 2023, the Company is in compliance with all nonfinancial and financial covenants under the SVB-Oxford Loan Facility and there has been no material adverse change. The debt issuance costs are being accounted for as a debt discount. The debt discount is being amortized as interest expense over the term of the loan using the effective interest method. The carrying value of the debt approximates the fair value (Level 2) as of September 30, 2023. The following table summarizes future principal payments, including the final payment, under the terms of the SVB-Oxford Loan Facility (in thousands): Years Ending December 31, 2023 (remaining) $ — 2024 8,571 2025 8,571 2026 7,858 Total future principal payments 25,000 Final payment 314 Unamortized discount ( 135 ) Total, net $ 25,179 |
Stockholders' Equity
Stockholders' Equity | 9 Months Ended |
Sep. 30, 2023 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity | 5. Stockholders’ Equity Common Stock The total number of shares of common stock of Viracta outstanding as of September 30, 2023 and December 31, 2022 was 38,624,553 and 38,345,140 , respectively. Sale Agreement On May 28, 2021, the Company entered into an Open Market Sale Agreement SM (the “Sale Agreement”) with Jefferies LLC (the “Sales Agent”), under which the Company may offer and sell up to $ 50.0 million of shares (the “Shares”) of its common stock, par value $ 0.0001 per share, from time to time through the Sales Agent. The sales and issuances, if any, of the Shares by the Company under the Sale Agreement will be pursuant to the Company’s registration statement on Form S-3 (the “Registration Statement”), filed with the SEC on May 28, 2021 and declared effective by the SEC on June 4, 2021. Sales, if any, of the Shares pursuant to the Sale Agreement may be made in negotiated transactions or transactions that are deemed to be “at the market offerings” as defined in Rule 415(a)(4) promulgated under the Securities Act of 1933, as amended, including sales made directly on The Nasdaq Stock Market, or sales made into any other existing trading market for the common stock. The Sales Agent is not required to sell any specific amount of securities, but will act as the Company’s sales agent using commercially reasonable efforts to sell the Shares from time to time, consistent with its normal trading and sales practices, applicable state and federal laws, rules and regulations and the rules of The Nasdaq Stock Market, based upon instructions from the Company (including any price, time or size limits or other customary parameters or conditions the Company may impose). For the nine months ended September 30, 2023, the Company sold 56,700 shares of its common stock pursuant to the Sale Agreement at a weighted average price per share of $ 2.32 for $ 0.1 million, net of commissions. For the nine months ended September 30, 2022, the Company sold 242,672 shares of its common stock pursuant to the Sale Agreement at a weighted average price per share of $ 4.39 for $ 1.0 million, net of commissions. As of September 30, 2023, the Company had approximately $ 47.5 million available under the Sale Agreement. Convertible Preferred Stock In connection with the Merger, all of the outstanding shares of Private Viracta’s convertible preferred stock were converted into 18,811,552 shares of the Company’s common stock. With the Merger, the Company obtained 10,000,000 shares of authorized preferred stock available for future issuance in one or more series. Upon issuance, the Company can determine the rights, preferences, privileges and restrictions thereof. These rights, preference and privileges could include dividend rights, conversion rights, voting rights, terms of redemption, liquidation preferences, sinking fund terms and the number of shares constituting any series or the designation of such series, any or all of which may be greater than the rights of common stoc k. There were 10,248 shares of this preferred stock outstanding as of September 30, 2023 , of which 1,915 shares were Series E Stock and 8,333 shares were Series F Stock. The Series E Stock and Series F Stock are non-voting Series E and Series F Convertible Preferred Stock at a stated price of $ 500 and $ 600 per share, respectively. Each share of non-voting Series E Stock and Series F Stock is convertible at a conversion ratio equal to the stated price divided by the conversion price, which is $ 17.50 per share and $ 21.00 per share, respectively, provided that conversion will be prohibited if, as a result, the holder and its affiliates would own more than 9.98 % of the total number of shares of common stock then outstanding. In the event of the Company’s liquidation, dissolution, or winding up, holders of Series E and Series F Stock will receive a payment before any proceeds are distributed to the holders of Common Stock. Shares of Series E and Series F Stock will generally have no voting rights, except as required by law and except that the consent of holders of a majority of this outstanding Series E Stock will be required to amend the terms of the Series E and Series F Stock. Shares of the Series E and Series F Stock will not be entitled to receive any dividends, unless and until specifically declared by the Company’s board of directors, and will rank: • senior to all of the Company’s Common Stock; • senior to any class or series of the Company’s capital stock hereafter created specifically ranking by its terms junior to the Series E and Series F Stock; • on parity with any class or series of the Company’s capital stock hereafter created specifically ranking by its terms on parity with the Series E and Series F Stock; and • junior to any class or series of the Company’s capital stock hereafter created specifically ranking by its terms senior to the Series E and Series F Stock; in each case, as to distributions of assets upon the Company’s liquidation, dissolution or winding up whether voluntarily or involuntarily. Share-Based Compensation The share-based compensation cost recorded in the accompanying condensed consolidated statements of operations is presented below (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Research and development $ 591 $ 729 $ 1,976 $ 2,079 General and administrative 1,185 6,917 3,889 9,295 Total $ 1,776 $ 7,646 $ 5,865 $ 11,374 As of September 30, 2023, unrecognized compensation expense related to unvested options granted and unvested RSUs totaled $ 12.6 million and $ 0.3 million, respectively. The expense for unvested stock options and RSUs is expected to be recognized over a weighted-average period of 2.4 and 1.7 years, respectively. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 6. Commitments and Contingencies Leases In June 2020, the Company amended the existing office leases to enter into a noncancelable operating lease to extend the lease terms through August 2023 with a renewal option for an additional year (“Amended Lease”). In February 2023, the Company exercised the option for a one-year extension of the Amended Lease, extending the lease term from August 2023 to August 2024. The Amended Lease monthly base rent will increase approximately 4 % annually from $ 20,019 to $ 22,195 over the life of the lease, including utilities and other operating costs. Upon the execution of the one-year extension on the Amended Lease, the Company recorded an additional operating lease right-of-use (“ROU”) asset and corresponding lease liability for $ 0.2 million. In August 2020, the Company entered into an additional noncancelable operating lease agreement for certain office space with a lease term from August 2020 through August 2023 with a renewal option for an additional year (“New Lease”). In February 2023, the Company exercised the option for a one-year extension of the New Lease, extending the lease term from August 2023 to August 2024. The New Lease also includes a buyout option to terminate the lease prior to its expiration with at least one month’s prior written notice and a one-time payment equal to four months’ rent. The New Lease monthly base rent includes annual increases that range between 4 % to 9 % from $ 12,462 to $ 14,524 over the life of the lease, including utilities and other operating costs. In connection with the execution of the one-year extension on the New Lease, the Company recorded an additional operating lease ROU asset and corresponding lease liability for $ 0.2 million. The following table summarizes future minimum payments under the Company's operating leases as of September 30, 2023 (in thousands): Years Ending December 31, 2023 (remaining) $ 110 2024 294 Total lease payments 404 Less: imputed interest ( 23 ) Total operating lease liabilities $ 381 Total lease expense for the three months ended September 30, 2023 and 2022 was $ 0.1 million, and $ 0.3 million for the nine months ended September 30, 2023 and 2022. At September 30, 2023, the Company had remaining lease liabilities of approximately $ 0.4 million and operating lease ROU assets of $ 0.4 million. Other supplemental cash flow information consisted of the following: Nine Months Ended 2023 2022 Cash paid for amounts included in the measurement of operating lease liabilities $ 0.3 $ 0.3 Other supplemental information, as of September 30, 2023, consisted of the following: September 30, 2023 Weighted-average discount rate 14.8 % Weighted-average remaining lease term (in years) 0.9 Indemnifications As permitted under Delaware law, the Company indemnifies its officers, directors, and employees for certain events and occurrences while the officer, or director is, or was, serving at the Company’s request in such capacity. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Principles of Consolidation | Basis of Presentation and Principles of Consolidation The accompanying condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries and have been prepared in accordance with GAAP and follow the requirements of the U.S. Securities and Exchange Commission (“SEC”) for interim reporting. As permitted under those rules, certain footnotes or other financial information that are normally required by GAAP can be condensed or omitted. In management’s opinion, the unaudited interim financial statements have been prepared on the same basis as the audited financial statements and include all adjustments, which include only normal recurring adjustments, necessary for the fair presentation of the Company’s financial position and its results of operations and its cash flows for the periods presented. These statements do not include all disclosures required by GAAP and should be read in conjunction with the Company’s financial statements and accompanying notes for the year ended December 31, 2022 , which are contained in the Company’s Current Report on Form 10-K filed with the SEC on March 14, 2023. The results for interim periods are not necessarily indicative of the results expected for the full fiscal year or any other interim period. |
Use of Estimates | Use of Estimates The preparation of condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of expenses during the reporting period. Actual results could differ materially from those estimates. |
Short-Term Investments | Short-Term Investments Short-term investments are marketable securities with maturities greater than three months from date of purchase that are specifically identified to fund current operations. These investments are classified as current assets, even though the stated maturity date may be one year or more beyond the current balance sheet date, which reflects management’s intention to use the proceeds from sales of these securities to fund our operations, as necessary. The cost of short-term investments is adjusted for amortization of premiums or accretion of discounts to maturity, and such amortization or accretion is included in interest income. Dividend and interest income is recognized as interest income on the statements of operations and comprehensive loss when earned. Short-term investments are classified as available-for-sale securities and carried at fair value with unrealized gains and non-credit related losses recorded in other comprehensive income (loss) and included as a separate component of stockholders’ equity. Realized gains and losses from the sale of available-for-sale securities are determined on a specific identification basis and included in interest income on the condensed consolidated statements of operations and comprehensive loss. |
Allowance for Credit Losses | Allowance for Credit Losses For available-for-sale securities in an unrealized loss position, we first assess whether we intend to sell, or if it is more likely than not that we will be required to sell, the security before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the security’s amortized cost basis is written down to fair value through earnings. For available-for-sale securities that do not meet the aforementioned criteria, we evaluate whether the decline in fair value has resulted from credit losses or other factors. In making this assessment, we consider the severity of the impairment, any changes in interest rates, market conditions, changes to the underlying credit ratings and forecasted recovery, among other factors. The credit-related portion of unrealized losses, and any subsequent improvements, are recorded in interest income through an allowance account. Any impairment that has not been recorded through an allowance for credit losses is included in other comprehensive income (loss) on the unaudited condensed statements of operations and comprehensive loss. We elected the practical expedient to exclude the applicable accrued interest from both the fair value and amortized costs basis of our available-for-sale securities for purposes of identifying and measuring an impairment. Accrued interest receivable on available-for-sale securities is recorded within prepaid expenses and other current assets on our unaudited condensed consolidated balance sheets. Our accounting policy is to not measure an allowance for credit loss for accrued interest receivable and to write-off any uncollectible accrued interest receivable as a reversal of interest income in a timely manner, which we consider to be in the period in which we determine the accrued interest will not be collected by us. |
Concentrations of Credit Risk | Concentrations of Credit Risk Financial instruments that potentially subject the Company to significant concentrations of credit risk consist primarily of cash, cash equivalents and short-term investments. The Company maintains deposits in federally insured financial institutions in excess of federally insured limits. The Company has not experienced any losses in such accounts and believes it is not exposed to significant risk on its cash, cash equivalents and short-term investments. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers all highly liquid investments with an original maturity from the date of purchase of three months or less to be cash equivalents. |
Clinical Trial and Contracts Accruals | Clinical Trial and Contracts Accruals The Company accrues clinical trial costs based on work performed. In determining the amount to accrue, the Company relies on estimates of total costs incurred based on enrollment, the completion of clinical trials and other events. The Company follows this method because it believes reasonably dependable estimates of the costs applicable to various stages of a clinical trial can be made. However, the actual costs and timing of clinical trials are highly uncertain, subject to risks and may change depending on a number of factors. Differences between the actual clinical trial costs and the estimated clinical trial costs that have been accrued in any prior period are recognized in the subsequent period in which the actual costs become known. Historically, estimated accrued expenses have approximated actual expenses incurred; however, material differences could occur in the future. |
Research and Development Expenses | Research and Development Expenses Research and development costs are expensed as incurred. These costs consist primarily of salaries and other personnel-related expenses, including share-based compensation, facility-related expenses, contract manufacturing costs and services performed by clinical research organizations, research institutions, and other outside service providers. The Company makes estimates of its accrued expenses as of each balance sheet date in the condensed consolidated financial statements based on facts and circumstances known to us at that time. If the actual timing of the performance of services or the level of effort varies from the estimate, the Company will adjust the accrual accordingly. This process involves reviewing contracts and purchase orders, reviewing the terms of vendor agreements, communicating with applicable personnel to identify services that have been performed on the Company's behalf and estimating the level of service performed and the associated cost incurred for the services when it has not yet been invoiced or otherwise notified of actual cost. The majority of the Company's service providers invoice monthly in arrears for services performed. |
Share-Based Compensation | Share-Based Compensation The Company accounts for share-based compensation expense related to stock options granted to employees, members of the board of directors, and outside consultants by estimating the fair value of each stock option on the date of grant or modification date using the Black-Scholes option pricing model. The Company accounts for restricted stock units (“RSUs”) by determining the fair value of each restricted stock unit based on the closing market price of the common stock on the date of grant or modification date. The Company recognizes share-based compensation on a straight-line basis over the requisite service period of the stock-based award, and forfeitures are recognized as they occur. The estimate of fair value for share-based compensation for stock options requires management to make estimates and judgments about, among other things, employee exercise behavior and volatility of the Company’s common stock. The judgments directly affect the amount of compensation expense that will be recognized. |
Segment Reporting | Segment Reporting Operating segments are identified as components of an enterprise about which separate discrete financial information is used in making decisions regarding resource allocation and assessing performance. To date, the Company has viewed its operations and managed its business as one segment operating in the United States. All long-lived assets were located in the United States at September 30, 2023 and December 31, 2022. |
Investments | Investments The Company invests in available-for-sale securities consisting of money market funds, commercial paper, corporate debt securities, U.S. Treasury securities and U.S. agency bonds. Available-for-sale securities are classified as either cash, cash equivalents or short-term investments on the Company's unaudited condensed consolidated balance sheets. The following tables summarize, by major security type, the Company's cash equivalents and short-term investments that are measured at fair value on a recurring basis as of September 30, 2023 and December 31, 2022, in thousands: September 30, 2023 Maturities Amortized Cost Unrealized Gains Unrealized Losses Fair Value Cash equivalents: Money market funds 1 or less $ 11,472 $ — $ — $ 11,472 Total cash equivalents 11,472 — — 11,472 Short-term investments: Commercial paper 1 or less 19,915 — ( 12 ) 19,903 U.S. Treasury securities 1 or less 13,909 — ( 15 ) 13,894 Corporate debt securities 2 or less 2,835 — ( 3 ) 2,832 U.S. Agency bonds 1 or less 13,502 — ( 35 ) 13,467 Total short-term investments 50,161 — ( 65 ) 50,096 Total $ 61,633 $ — $ ( 65 ) $ 61,568 December 31, 2022 Maturities Amortized Cost Unrealized Gains Unrealized Losses Fair Value Cash equivalents: Money market funds 1 or less $ 15,492 $ — $ — $ 15,492 Total cash equivalents 15,492 — — 15,492 Short-term investments: U.S. Treasury securities 1 or less 19,785 — ( 109 ) 19,676 Commercial paper 1 or less 27,739 — ( 34 ) 27,705 Corporate debt securities 2 or less 1,872 — — 1,872 U.S. Agency bonds 2 or less 5,052 — ( 35 ) 5,017 Total short-term investments 54,448 — ( 178 ) 54,270 Total $ 69,940 $ — $ ( 178 ) $ 69,762 The Company has classified investments with remaining maturity at purchase of more than three months and remaining maturities of one year or less as short-term investments. The Company has also classified investments with remaining maturities of greater than one year as short-term investments, which reflects management's intention to use the proceeds from sales of these securities to fund operations, as necessary. As of September 30, 2023, the unrealized losses for available-for-sale investments were primarily due to changes in interest rates and not due to increased credit risks associated with specific securities. The Company does not currently intend to sell the investments before recovery of their amortized cost basis, which may be at the time of maturity. As of September 30, 2023, no allowance for credit losses was recorded and the Company did not recognize any impairment losses related to investments. As of September 30, 2023, none of the short-term investments were in a continuous unrealized loss position for a period greater than 12 months. Accrued interest receivable on available-for-sale securities was $ 0.1 million at September 30, 2023 and December 31, 2022. For the nine months ended September 30, 2023 and 2022, we have no t written off any accrued interest receivables. |
Fair Value Measurements | Fair Value Measurements The accounting guidance defines fair value, establishes a consistent framework for measuring fair value and expands disclosure for each major asset and liability category measured at fair value on either a recurring or non-recurring basis. Fair value is defined as an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market- based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, the accounting guidance establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value as follows: Level 1: Observable inputs such as quoted prices in active markets. Level 2: Inputs, other than the quoted prices in active markets that are observable either directly or indirectly. Level 3: Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions. The carrying amounts of the Company’s cash and cash equivalents, prepaid expenses, accounts payable and accrued liabilities approximate fair values for these financial instruments due to their short maturities. Available-for-sale securities consist of U.S. Treasury securities, which are measured at fair value using Level 1 inputs and commercial paper, corporate debt securities, and U.S. Agency bonds, which is measured at fair value using Level 2 inputs. The Company determines the fair value of Level 2 related securities with the aid of valuations provided by third parties using proprietary valuation models and analytical tools. These valuation models and analytical tools use market pricing or prices for similar instruments that are both objective and publicly available, including matrix pricing or reported trades, benchmark yields, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids and/or offers. Below is a summary of assets, including cash equivalents and short-term investments, measured at fair value as of September 30, 2023 and December 31, 2022, in thousands. Fair Value Measurements Using September 30, 2023 Level 1 Level 2 Cash equivalents: Money market funds $ 11,472 $ 11,472 $ — Total cash equivalents 11,472 11,472 — Short-term investments: U.S. Treasury securities 13,894 13,894 — Commercial paper 19,903 — 19,903 Corporate debt securities 2,832 — 2,832 U.S. Agency bonds 13,467 — 13,467 Total short-term investments 50,096 13,894 36,202 Total $ 61,568 $ 25,366 $ 36,202 Fair Value Measurements Using December 31, 2022 Level 1 Level 2 Cash equivalents: Money market funds $ 15,492 $ 15,492 $ — Total cash equivalents 15,492 15,492 — Short-term investments: U.S. Treasury securities 19,676 19,676 — Commercial paper 27,705 — 27,705 Corporate debt securities 1,872 — 1,872 U.S. Agency bonds 5,017 — 5,017 Total short-term investments 54,270 19,676 34,594 Total $ 69,762 $ 35,168 $ 34,594 As of September 30, 2023 and December 31, 2022 , the Company had no liabilities measured at fair value on a recurring basis. |
Net Loss Per Share | Net Loss Per Share Basic loss per common share is computed by dividing net loss by the weighted average number of common shares and warrants to purchase common stock for nominal consideration outstanding during the period. Diluted loss per common share is computed by dividing net loss by the weighted average number of common shares outstanding, plus the impact of common shares, if dilutive, resulting from outstanding common stock equivalents. For all periods presented, there is no difference in the number of shares used to compute basic and diluted shares outstanding due to the Company's net loss position. The following common stock equivalent securities are excluded from the calculation of weighted average dilutive common shares because their inclusion would have been anti-dilutive: September 30, 2023 2022 Shares issuable upon conversion of preferred stock 292,799 292,799 Common stock options and RSUs outstanding 9,737,390 7,780,972 ESPP shares pending issuance 68,465 22,120 Warrants to purchase common stock 23,100 23,100 Total excluded securities 10,121,754 8,118,991 |
Recent Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board or other standard setting bodies that the Company will adopt as of the specified effective date. The Company has evaluated recently issued accounting pronouncements and as a result, based on the Company's preliminary assessment, do not believe any will have a material impact on the condensed consolidated financial statements or related footnote disclosures. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Summary of short-term investments measured at fair value on a recurring basis | The following tables summarize, by major security type, the Company's cash equivalents and short-term investments that are measured at fair value on a recurring basis as of September 30, 2023 and December 31, 2022, in thousands: September 30, 2023 Maturities Amortized Cost Unrealized Gains Unrealized Losses Fair Value Cash equivalents: Money market funds 1 or less $ 11,472 $ — $ — $ 11,472 Total cash equivalents 11,472 — — 11,472 Short-term investments: Commercial paper 1 or less 19,915 — ( 12 ) 19,903 U.S. Treasury securities 1 or less 13,909 — ( 15 ) 13,894 Corporate debt securities 2 or less 2,835 — ( 3 ) 2,832 U.S. Agency bonds 1 or less 13,502 — ( 35 ) 13,467 Total short-term investments 50,161 — ( 65 ) 50,096 Total $ 61,633 $ — $ ( 65 ) $ 61,568 December 31, 2022 Maturities Amortized Cost Unrealized Gains Unrealized Losses Fair Value Cash equivalents: Money market funds 1 or less $ 15,492 $ — $ — $ 15,492 Total cash equivalents 15,492 — — 15,492 Short-term investments: U.S. Treasury securities 1 or less 19,785 — ( 109 ) 19,676 Commercial paper 1 or less 27,739 — ( 34 ) 27,705 Corporate debt securities 2 or less 1,872 — — 1,872 U.S. Agency bonds 2 or less 5,052 — ( 35 ) 5,017 Total short-term investments 54,448 — ( 178 ) 54,270 Total $ 69,940 $ — $ ( 178 ) $ 69,762 |
Summary of assets including cash equivalents and marketable securities, measured at fair value | Below is a summary of assets, including cash equivalents and short-term investments, measured at fair value as of September 30, 2023 and December 31, 2022, in thousands. Fair Value Measurements Using September 30, 2023 Level 1 Level 2 Cash equivalents: Money market funds $ 11,472 $ 11,472 $ — Total cash equivalents 11,472 11,472 — Short-term investments: U.S. Treasury securities 13,894 13,894 — Commercial paper 19,903 — 19,903 Corporate debt securities 2,832 — 2,832 U.S. Agency bonds 13,467 — 13,467 Total short-term investments 50,096 13,894 36,202 Total $ 61,568 $ 25,366 $ 36,202 Fair Value Measurements Using December 31, 2022 Level 1 Level 2 Cash equivalents: Money market funds $ 15,492 $ 15,492 $ — Total cash equivalents 15,492 15,492 — Short-term investments: U.S. Treasury securities 19,676 19,676 — Commercial paper 27,705 — 27,705 Corporate debt securities 1,872 — 1,872 U.S. Agency bonds 5,017 — 5,017 Total short-term investments 54,270 19,676 34,594 Total $ 69,762 $ 35,168 $ 34,594 |
Summary of antidilutive securities excluded from the calculation of weighted average dilutive common shares | The following common stock equivalent securities are excluded from the calculation of weighted average dilutive common shares because their inclusion would have been anti-dilutive: September 30, 2023 2022 Shares issuable upon conversion of preferred stock 292,799 292,799 Common stock options and RSUs outstanding 9,737,390 7,780,972 ESPP shares pending issuance 68,465 22,120 Warrants to purchase common stock 23,100 23,100 Total excluded securities 10,121,754 8,118,991 |
Financial Statement Details (Ta
Financial Statement Details (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Financial Statement Details [Abstract] | |
Schedule Of Prepaid Expenses and Other Current Assets | Prepaid expenses and other current assets consist of the following (in thousands): September 30, December 31, 2023 2022 Prepaid expenses $ 446 $ 780 ERC receivable 168 798 Prepaid insurance 588 567 Current deposits 161 442 Accrued interest receivable 127 112 Other — 5 Total prepaid expenses and other current assets $ 1,490 $ 2,704 |
Schedule of Accrued Liabilities | Accrued expenses consist of the following (in thousands): September 30, December 31, 2023 2022 Accrued payroll and benefits $ 2,333 $ 2,961 Accrued clinical trial and contract expenses 5,516 3,562 Accrued professional services and expenses 378 385 Other accrued expenses 279 285 Total accrued expenses $ 8,506 $ 7,193 |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Debt Disclosure [Abstract] | |
Summary of Future Minimum Payments Under Loan Facility | The following table summarizes future principal payments, including the final payment, under the terms of the SVB-Oxford Loan Facility (in thousands): Years Ending December 31, 2023 (remaining) $ — 2024 8,571 2025 8,571 2026 7,858 Total future principal payments 25,000 Final payment 314 Unamortized discount ( 135 ) Total, net $ 25,179 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Stockholders' Equity Note [Abstract] | |
Summary of Shared Based Compensation Cost Included in Condensed Statement Of Operations | The share-based compensation cost recorded in the accompanying condensed consolidated statements of operations is presented below (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Research and development $ 591 $ 729 $ 1,976 $ 2,079 General and administrative 1,185 6,917 3,889 9,295 Total $ 1,776 $ 7,646 $ 5,865 $ 11,374 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Future minimum rental payments for operating leases | The following table summarizes future minimum payments under the Company's operating leases as of September 30, 2023 (in thousands): Years Ending December 31, 2023 (remaining) $ 110 2024 294 Total lease payments 404 Less: imputed interest ( 23 ) Total operating lease liabilities $ 381 |
Schedule Of cash flow supplemental disclosures | Other supplemental cash flow information consisted of the following: Nine Months Ended 2023 2022 Cash paid for amounts included in the measurement of operating lease liabilities $ 0.3 $ 0.3 Other supplemental information, as of September 30, 2023, consisted of the following: September 30, 2023 Weighted-average discount rate 14.8 % Weighted-average remaining lease term (in years) 0.9 |
Organization and Basis of Pre_2
Organization and Basis of Presentation - Additional Information (Detail) - USD ($) $ in Thousands | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | Nov. 04, 2021 | |
Accumulated deficit | $ (252,167) | $ (214,874) | ||
Cash cash equivalents and short term investments | 63,000 | |||
Working capital | $ 28,000 | |||
Line of credit facility remaining | $ 45,000 | |||
Third Party Service Percentage | 20% | 21.70% | ||
Silicon Valley Bank ("SVB") and Oxford Finance LLC ("Oxford") [Member] | ||||
Line of credit maximum borrowing amount | 50,000 | |||
Line of Credit Facility, Current Borrowing Capacity | 5,000 | |||
Line of credit facility remaining | 45,000 | |||
Tranche Two [Member] | ||||
Line of credit facility remaining | 25,000 | |||
Tranche Two [Member] | Silicon Valley Bank ("SVB") and Oxford Finance LLC ("Oxford") [Member] | ||||
Line of credit facility remaining | 20,000 | |||
Tranche Three [Member] | Silicon Valley Bank ("SVB") and Oxford Finance LLC ("Oxford") [Member] | ||||
Line of credit facility remaining | $ 25,000 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Summary of short-term investments measured at fair value on a recurring basis (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2023 | Dec. 31, 2022 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities, Amortization cost | $ 61,633 | $ 69,940 |
Debt securities, Unrealized gains | 0 | 0 |
Debt securities, Unrealized losses | (65) | (178) |
Debt securities | 61,568 | 69,762 |
Cash and Cash Equivalents [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities, Amortization cost | 11,472 | 15,492 |
Debt securities, Unrealized gains | 0 | 0 |
Debt securities, Unrealized losses | 0 | 0 |
Debt securities | 11,472 | 15,492 |
Cash and Cash Equivalents [Member] | Money Market Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities, Amortization cost | 11,472 | 15,492 |
Debt securities, Unrealized gains | 0 | 0 |
Debt securities, Unrealized losses | 0 | 0 |
Debt securities | 11,472 | 15,492 |
Short-Term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities, Amortization cost | 50,161 | 54,448 |
Debt securities, Unrealized gains | 0 | 0 |
Debt securities, Unrealized losses | (65) | (178) |
Debt securities | 50,096 | 54,270 |
Short-Term Investments [Member] | Commercial Paper [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities, Amortization cost | 19,915 | 27,739 |
Debt securities, Unrealized gains | 0 | 0 |
Debt securities, Unrealized losses | (12) | (34) |
Debt securities | 19,903 | 27,705 |
Short-Term Investments [Member] | US Treasury Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities, Amortization cost | 13,909 | 19,785 |
Debt securities, Unrealized gains | 0 | 0 |
Debt securities, Unrealized losses | (15) | (109) |
Debt securities | 13,894 | 19,676 |
Short-Term Investments [Member] | Corporate debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities, Amortization cost | 2,835 | 1,872 |
Debt securities, Unrealized gains | 0 | 0 |
Debt securities, Unrealized losses | (3) | 0 |
Debt securities | 2,832 | 1,872 |
Short-Term Investments [Member] | U.S. Agency bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Debt securities, Amortization cost | 13,502 | 5,052 |
Debt securities, Unrealized gains | 0 | 0 |
Debt securities, Unrealized losses | (35) | (35) |
Debt securities | $ 13,467 | $ 5,017 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Summary of assets including cash equivalents and marketable securities, measured at fair value (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total | $ 0 | $ 0 |
Cash and Cash Equivalents [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total cash equivalents | 11,472 | 15,492 |
Cash and Cash Equivalents [Member] | Money Market Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total cash equivalents | 11,472 | 15,492 |
Cash and Cash Equivalents [Member] | US Treasury Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Short-term investments | 13,894 | |
Cash and Cash Equivalents [Member] | Fair Value Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total cash equivalents | 11,472 | 15,492 |
Cash and Cash Equivalents [Member] | Fair Value Level 1 [Member] | Money Market Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total cash equivalents | 11,472 | 15,492 |
Cash and Cash Equivalents [Member] | Fair Value Level 1 [Member] | US Treasury Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Short-term investments | 13,894 | |
Cash and Cash Equivalents [Member] | Fair Value Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total cash equivalents | 0 | 0 |
Cash and Cash Equivalents [Member] | Fair Value Level 2 [Member] | Money Market Funds [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total cash equivalents | 0 | 0 |
Cash and Cash Equivalents [Member] | Fair Value Level 2 [Member] | US Treasury Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Short-term investments | 0 | |
Short-Term Investments [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Short-term investments | 50,096 | 54,270 |
Total | 61,568 | 69,762 |
Short-Term Investments [Member] | Commercial Paper [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Short-term investments | 19,903 | 27,705 |
Short-Term Investments [Member] | US Treasury Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Short-term investments | 19,676 | |
Short-Term Investments [Member] | Corporate debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Short-term investments | 2,832 | 1,872 |
Short-Term Investments [Member] | U.S. Agency bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Short-term investments | 13,467 | 5,017 |
Short-Term Investments [Member] | Fair Value Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Short-term investments | 13,894 | 19,676 |
Total | 25,366 | 35,168 |
Short-Term Investments [Member] | Fair Value Level 1 [Member] | Commercial Paper [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Short-term investments | 0 | 0 |
Short-Term Investments [Member] | Fair Value Level 1 [Member] | US Treasury Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Short-term investments | 19,676 | |
Short-Term Investments [Member] | Fair Value Level 1 [Member] | Corporate debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Short-term investments | 0 | 0 |
Short-Term Investments [Member] | Fair Value Level 1 [Member] | U.S. Agency bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Short-term investments | 0 | 0 |
Short-Term Investments [Member] | Fair Value Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Short-term investments | 36,202 | 34,594 |
Total | 36,202 | 34,594 |
Short-Term Investments [Member] | Fair Value Level 2 [Member] | Commercial Paper [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Short-term investments | 19,903 | 27,705 |
Short-Term Investments [Member] | Fair Value Level 2 [Member] | US Treasury Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Short-term investments | 0 | |
Short-Term Investments [Member] | Fair Value Level 2 [Member] | Corporate debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Short-term investments | 2,832 | 1,872 |
Short-Term Investments [Member] | Fair Value Level 2 [Member] | U.S. Agency bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total Short-term investments | $ 13,467 | $ 5,017 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Additional Information (Detail) - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Liabilities measured at fair value on recurring basis | $ 0 | $ 0 | |
Available-for-sale securities | Other assets | ||
Available-for-sale securities, Accrued interest receivable | $ 100 | $ 100 | |
Available-for-sale, Accrued interest writeoff | $ 0 | $ 0 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Summary of Antidilutive Securities Excluded From the Calculation of Weighted Average Dilutive Common Shares (Detail) - shares | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 10,121,754 | 8,118,991 |
Shares issuable upon conversion of preferred stock [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 292,799 | 292,799 |
Common stock options and RSUs outstanding [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 9,737,390 | 7,780,972 |
ESPP shares pending issuance [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 68,465 | 0 |
Warrants to purchase common stock [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 23,100 | 23,100 |
Financial Statement Details -Sc
Financial Statement Details -Schedule Of Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Prepaid Expense, Current [Abstract] | ||
Prepaid expenses | $ 446 | $ 780 |
ERC receivable | 168 | 798 |
Prepaid Insurance | 588 | 567 |
Current deposits | 161 | 442 |
Accrued interest receivable | 127 | 112 |
Other | 0 | 5 |
Total prepaid expenses and other current assets | $ 1,490 | $ 2,704 |
Financial Statement Details -
Financial Statement Details - Schedule of Accrued Liabilities (Detail) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Payables and Accruals [Abstract] | ||
Accrued payroll and benefits | $ 2,333 | $ 2,961 |
Accrued clinical trial and contract expenses | 5,516 | 3,562 |
Accrued professional services and expenses | 378 | 385 |
Other accrued expenses | 279 | 285 |
Total accrued expenses | $ 8,506 | $ 7,193 |
Financial Statement Details (Ad
Financial Statement Details (Additional Information) (Details) - USD ($) $ in Millions | Sep. 30, 2023 | Dec. 31, 2022 |
Employee Retention Credit [Member] | ||
Line of Credit Facility [Line Items] | ||
Other Assets, Current | $ 0.6 | $ 0.8 |
Debt - Additional Information (
Debt - Additional Information (Detail) - USD ($) $ in Millions | 9 Months Ended | |
Nov. 04, 2021 | Sep. 30, 2023 | |
Debt [Line Items] | ||
Debt Instrument, Interest Rate | 13.40% | |
Line of credit facility remaining | $ 45 | |
Line of Credit Facility, Borrowing Capacity, Description | The second tranche of $20.0 million was drawn by the Company on December 29, 2022. The third tranche of $25.0 million remains available at the Company's request subject to the Lenders' discretion | |
Silicon Valley Bank ("SVB") and Oxford Finance LLC ("Oxford") [Member] | ||
Debt [Line Items] | ||
Line of credit maximum borrowing amount | 50 | |
Silicon Valley Bank [Member] | ||
Debt [Line Items] | ||
Repayments of Long-term Lines of Credit | 5 | |
Tranche One [Member] | ||
Debt [Line Items] | ||
Line of credit facility remaining | 20 | |
Tranche Two [Member] | ||
Debt [Line Items] | ||
Line of credit facility remaining | $ 25 | |
Term Loan Agreement [Member] | Silicon Valley Bank [Member] | ||
Debt [Line Items] | ||
Debt instrument, maturity date | Nov. 01, 2026 | |
Debt Instrument, Interest Rate | 4.90% | |
Term Loan Agreement [Member] | Silicon Valley Bank [Member] | Prime Rate [Member] | ||
Debt [Line Items] | ||
Debt Instrument, Interest Rate During Period | 8.15% |
Debt - Summary of Future Minimu
Debt - Summary of Future Minimum Payments Under Loan Facility (Detail) $ in Thousands | Sep. 30, 2023 USD ($) |
Debt Instrument [Line Items] | |
2023 (remaining) | $ 0 |
2024 | 8,571 |
2025 | 8,571 |
2026 | 7,858 |
Total Future minimum payments | 25,000 |
Final payment | 314 |
Unamortized discount | (135) |
Total, net | $ 25,179 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | |||||||||
May 28, 2021 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | |
Stockholders Equity [Line Items] | |||||||||||
Common stock, shares outstanding | 38,624,553 | 38,624,553 | 38,345,140 | ||||||||
Proceeds from issuance of common stock | $ 127 | $ 1,034 | |||||||||
Convertible preferred stock, shares issued upon conversion | 18,811,552 | 18,811,552 | |||||||||
Preferred stock, shares authorized | 10,000,000 | 10,000,000 | |||||||||
Common stock, shares issued | 38,624,553 | 38,624,553 | 38,345,140 | ||||||||
Preferred stock, shares outstanding | 10,248 | 10,248 | 10,248 | ||||||||
Stock-based compensation | $ 1,776 | $ 7,646 | $ 5,865 | 11,374 | |||||||
Common stock, shares authorized | 400,000,000 | 400,000,000 | 400,000,000 | ||||||||
Other income | $ 1 | $ 1 | |||||||||
Restricted Stock Units [Member] | |||||||||||
Stockholders Equity [Line Items] | |||||||||||
Unrecognised compensation expense related to unvested units | 300 | $ 300 | |||||||||
Restricted Stock units plan weighted average vesting period | 1 year 8 months 12 days | ||||||||||
Employee Stock Option [Member] | |||||||||||
Stockholders Equity [Line Items] | |||||||||||
Stock option plan weighted average vesting period | 2 years 4 months 24 days | ||||||||||
Unrecognised compensation expense related to unvested units | $ 12,600 | $ 12,600 | |||||||||
Series E and Series F Convertible Preferred Stock [Member] | |||||||||||
Stockholders Equity [Line Items] | |||||||||||
Percentage of outstanding common stock | 9.98% | 9.98% | |||||||||
Series E Convertible Preferred Stock [Member] | |||||||||||
Stockholders Equity [Line Items] | |||||||||||
Price per common share | $ 500 | $ 500 | |||||||||
Preferred stock, shares outstanding | 1,915 | 1,915 | |||||||||
Convertible share price per share | $ 17.5 | $ 17.5 | |||||||||
Series F Convertible Preferred Stock [Member] | |||||||||||
Stockholders Equity [Line Items] | |||||||||||
Price per common share | $ 600 | $ 600 | |||||||||
Preferred stock, shares outstanding | 8,333 | 8,333 | |||||||||
Convertible share price per share | $ 21 | $ 21 | |||||||||
Common Stock [Member] | |||||||||||
Stockholders Equity [Line Items] | |||||||||||
Proceeds from issuance of common stock | $ 100 | $ 1,000 | |||||||||
Common stock, shares issued | 56,700 | 242,672 | 56,700 | 242,672 | |||||||
Receivable from sale of common stock | $ 47,500 | ||||||||||
Weighted average exercise price | $ 2.32 | $ 4.39 | $ 2.32 | $ 4.39 | |||||||
Shares issued | 38,625 | 37,903 | 38,625 | 37,903 | 38,580 | 38,411 | 38,345 | 37,554 | 37,486 | 37,425 | |
Sales Agreement [Member] | |||||||||||
Stockholders Equity [Line Items] | |||||||||||
Common stock par value | $ 0.0001 | ||||||||||
Sales Agreement [Member] | Maximum [Member] | |||||||||||
Stockholders Equity [Line Items] | |||||||||||
Potential sales of common stock | $ 50,000 |
Stockholders' Equity - Summary
Stockholders' Equity - Summary of Shared Based Compensation Cost Included in Condensed Statement Of Operations (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Share Based Compensation Cost Included in Condensed Statement Of Operations [Line Items] | ||||
Total stock-based compensation expense | $ 1,776 | $ 7,646 | $ 5,865 | $ 11,374 |
Research and development [Member] | ||||
Share Based Compensation Cost Included in Condensed Statement Of Operations [Line Items] | ||||
Total stock-based compensation expense | 591 | 729 | 1,976 | 2,079 |
General and administrative [Member] | ||||
Share Based Compensation Cost Included in Condensed Statement Of Operations [Line Items] | ||||
Total stock-based compensation expense | $ 1,185 | $ 6,917 | $ 3,889 | $ 9,295 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||||
Aug. 31, 2020 | Jun. 30, 2020 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Loss Contingencies [Line Items] | |||||||
Lease liability | $ 381,000 | $ 381,000 | |||||
Operating lease right-of-use asset | 371,000 | 371,000 | $ 266,000 | ||||
Operating Lease Expense | $ 100,000 | $ 100,000 | $ 300,000 | $ 300,000 | |||
Operating lease weighted average discount rate | 14.80% | 14.80% | |||||
Operating lease weighted average remaining lease term | 10 months 24 days | 10 months 24 days | |||||
Cash paid for amounts included in the measurement of operating lease liabilities | $ 300 | $ 300 | |||||
Option to extend the lease | option for an additional year | ||||||
Original Operating Lease [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Operating lease right-of-use asset | $ 400,000 | $ 400,000 | |||||
Noncancelable operating lease agreement [Member] | Amended Operating Lease [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Operating lease right-of-use asset | $ 200,000 | ||||||
Description of Lease Term | August 2023 | ||||||
Percentage of increase in monthly base rent | 4% | ||||||
Additional noncancelable operating lease agreement [Member] | New Operating Lease [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Operating lease right-of-use asset | $ 200,000 | ||||||
Description of Lease Term | August 2020 through August 2023 | ||||||
Lease extended termination description | option to terminate the lease prior to its expiration with at least one month’s prior written notice and a one-time payment equal to four months’ rent. | ||||||
Option to extend the lease | option for an additional year | ||||||
Maximum [Member] | Noncancelable operating lease agreement [Member] | Amended Operating Lease [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Operating Leases Rent Expense | $ 22,195,000 | ||||||
Maximum [Member] | Additional noncancelable operating lease agreement [Member] | New Operating Lease [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Cash paid for amounts included in the measurement of operating lease liabilities | $ 14,524,000 | ||||||
Percentage of increase in monthly base rent | 9% | ||||||
Minimum [Member] | Noncancelable operating lease agreement [Member] | Amended Operating Lease [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Operating Leases Rent Expense | $ 20,019,000 | ||||||
Minimum [Member] | Additional noncancelable operating lease agreement [Member] | New Operating Lease [Member] | |||||||
Loss Contingencies [Line Items] | |||||||
Cash paid for amounts included in the measurement of operating lease liabilities | $ 12,462,000 | ||||||
Percentage of increase in monthly base rent | 4% |
Commitments and Contingencies_2
Commitments and Contingencies - chedule of Future Minimum Payments for Operating Leases (Details) $ in Thousands | Sep. 30, 2023 USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2023 (remaining) | $ 110 |
2024 | 294 |
Total lease payments | 404 |
Less: imputed interest | (23) |
Total operating lease liabilities | $ 381 |
Commitments and Contingencies_3
Commitments and Contingencies - Schedule Of Cash Flow Supplemental Disclosures (Details) - USD ($) | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Supplemental Cash Flow Information [Abstract] | ||
Cash paid for amounts included in the measurement of operating lease liabilities | $ 300 | $ 300 |
Weighted-average discount rate | 14.80% | |
Weighted-average remaining lease term (in years) | 10 months 24 days |