BioLineRx (BLRX) 6-K 16 Aug 22 2022 Q2 BioLineRx Reports Second Quarter 2022 Financial Results Financial data

Document and Entity Information

Document and Entity Information	6 Months Ended
	Jun. 30, 2022
Document And Entity Information [Abstract]
Entity Registrant Name	BioLineRx Ltd.
Entity Central Index Key	0001498403
Document Type	6-K
Document Period End Date	Jun. 30, 2022
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2022
Entity File Number	001-35223
Entity Address, Address Line One	2 HaMa’ayan Street
Entity Address, Address Line Two	Modi’in
Entity Address, Postal Zip Code	7177871
Entity Address, Country	IL

CONDENSED CONSOLIDATED INTERIM

CONDENSED CONSOLIDATED INTERIM STATEMENTS OF FINANCIAL POSITION (UNAUDITED) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
CURRENT ASSETS
Cash and cash equivalents	$ 14,000	$ 12,990
Short-term bank deposits	29,146	44,145
Prepaid expenses	717	127
Other receivables	240	142
Total current assets	44,103	57,404
NON-CURRENT ASSETS
Property and equipment, net	810	952
Right-of-use assets, net	1,221	1,331
Intangible assets, net	21,704	21,704
Total non-current assets	23,735	23,987
Total assets	67,838	81,391
CURRENT LIABILITIES
Current maturities of long-term loan	1,013	2,757
Accounts payable and accruals:
Trade	7,338	5,567
Other	1,132	1,227
Current maturities of lease liabilities	149	168
Total current liabilities	9,632	9,719
NON-CURRENT LIABILITIES
Warrants	186	1,859
Lease liabilities	1,452	1,726
Total non-current liabilities	1,638	3,585
COMMITMENTS AND CONTINGENT LIABILITIES
Total liabilities	11,270	13,304
EQUITY
Ordinary shares	21,157	21,066
Share premium	339,670	339,346
Warrants	975	975
Capital reserve	13,596	13,157
Other comprehensive loss	(1,416)	(1,416)
Accumulated deficit	(317,414)	(305,041)
Total equity	56,568	68,087
Total liabilities and equity	$ 67,838	$ 81,391

CONDENSED CONSOLIDATED INTERI_2

CONDENSED CONSOLIDATED INTERIM STATEMENTS OF COMPREHENSIVE LOSS (UNAUDITED) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Income Statement Abstract
RESEARCH AND DEVELOPMENT EXPENSES	$ (5,395)	$ (5,139)	$ (9,830)	$ (9,417)
SALES AND MARKETING EXPENSES	(1,158)	(330)	(1,795)	(484)
GENERAL AND ADMINISTRATIVE EXPENSES	(1,049)	(1,044)	(2,056)	(2,061)
OPERATING LOSS	(7,602)	(6,513)	(13,681)	(11,962)
NON-OPERATING INCOME (EXPENSES), NET	458	(217)	1,726	(4,778)
FINANCIAL INCOME	80	130	147	247
FINANCIAL EXPENSES	(379)	(242)	(565)	(541)
NET LOSS AND COMPREHENSIVE LOSS	$ (7,443)	$ (6,842)	$ (12,373)	$ (17,034)
LOSS PER ORDINARY SHARE - BASIC	$ (0.01)	$ (0.01)	$ (0.02)	$ (0.03)
LOSS PER ORDINARY SHARE - DILUTED	$ (0.01)	$ (0.01)	$ (0.02)	$ (0.03)
WEIGHTED AVERAGE NUMBER OF SHARES USED IN CALCULATION OF LOSS PER ORDINARY SHARE	715,365,554	669,138,994	715,260,781	614,780,845

CONDENSED INTERIM STATEMENTS OF

CONDENSED INTERIM STATEMENTS OF CHANGES IN EQUITY (UNAUDITED) - USD ($) $ in Thousands	Ordinary shares [Member]	Share premium [Member]	Warrants [Member]	Capital reserve [Member]	Other comprehensive loss [Member]	Accumulated deficit [Member]	Total
BALANCE at Dec. 31, 2020	$ 9,870	$ 279,241	$ 0	$ 12,322	$ (1,416)	$ (277,987)	$ 22,030
CHANGES FOR
Issuance of share capital, net	8,386	37,495	975	0	0	0	46,856
Warrants exercised	2,235	18,967	0	0	0	0	21,202
Employee stock options exercised	5	41	0	(39)	0	0	7
Employee stock options forfeited and expired	0	143	0	(143)	0	0	0
Share-based compensation	0	0	0	832	0	0	832
Comprehensive loss for the period	0	0	0	0	0	(17,034)	(17,034)
BALANCE at Jun. 30, 2021	20,496	335,887	975	12,972	(1,416)	(295,021)	73,893
BALANCE at Mar. 31, 2021	18,731	321,920	975	12,616	(1,416)	(288,179)	64,647
CHANGES FOR
Issuance of share capital, net	1,581	12,516	0	0	0	0	14,097
Warrants exercised	184	1,444	0	0	0	0	1,628
Employee stock options exercised	0	3	0	(1)	0	0	2
Employee stock options forfeited and expired	0	4	0	(4)	0	0	0
Share-based compensation	0	0	0	361	0	0	361
Comprehensive loss for the period	0	0	0	0	0	(6,842)	(6,842)
BALANCE at Jun. 30, 2021	20,496	335,887	975	12,972	(1,416)	(295,021)	73,893
BALANCE at Dec. 31, 2021	21,066	339,346	975	13,157	(1,416)	(305,041)	68,087
CHANGES FOR
Issuance of share capital and warrants, net	89	177	0	0	0	0	266
Employee stock options exercised	2	12	0	(12)	0	0	2
Employee stock options forfeited and expired	0	135	0	(135)	0	0	0
Share-based compensation	0	0	0	586	0	0	586
Comprehensive loss for the period	0	0	0	0	0	(12,373)	(12,373)
BALANCE at Jun. 30, 2022	21,157	339,670	975	13,596	(1,416)	(317,414)	56,568
BALANCE at Mar. 31, 2022	21,066	339,444	975	13,315	(1,416)	(309,971)	63,413
CHANGES FOR
Issuance of share capital, net	89	177	0	0	0	0	266
Employee stock options exercised	2	12	0	(12)	0	0	2
Employee stock options forfeited and expired	0	37	0	(37)	0	0	0
Share-based compensation	0	0	0	330	0	0	330
Comprehensive loss for the period	0	0	0	0	0	(7,443)	(7,443)
BALANCE at Jun. 30, 2022	$ 21,157	$ 339,670	$ 975	$ 13,596	$ (1,416)	$ (317,414)	$ 56,568

CONDENSED CONSOLIDATED INTERI_3

CONDENSED CONSOLIDATED INTERIM CASH FLOW STATEMENTS (UNAUDITED) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
CASH FLOWS - OPERATING ACTIVITIES
Net loss for the period	$ (12,373)	$ (17,034)
Adjustments required to reflect net cash used in operating activities (see appendix below)	498	3,977
Net cash used in operating activities	(11,875)	(13,057)
CASH FLOWS - INVESTING ACTIVITIES
Investments in short-term deposits	(9,000)	(58,000)
Maturities of short-term deposits	24,141	15,776
Purchase of property and equipment	(62)	(38)
Net cash provided by (used in) investing activities	15,079	(42,262)
CASH FLOWS - FINANCING ACTIVITIES
Issuance of share capital and warrants, net of issuance costs	266	46,856
Exercise of warrants	0	10,907
Employee stock options exercised	2	7
Repayments of loan	(1,812)	(1,648)
Repayments of lease liabilities	(88)	(122)
Net cash provided by (used in) financing activities	(1,632)	56,000
INCREASE IN CASH AND CASH EQUIVALENTS	1,572	681
CASH AND CASH EQUIVALENTS - BEGINNING OF PERIOD	12,990	16,831
EXCHANGE DIFFERENCES ON CASH AND CASH EQUIVALENTS	(562)	(28)
CASH AND CASH EQUIVALENTS - END OF PERIOD	14,000	17,484
Income and expenses not involving cash flows:
Depreciation and amortization	314	362
Exchange differences on cash and cash equivalents	562	28
Fair value adjustments of warrants	(1,673)	4,889
Share-based compensation	586	832
Interest and exchange differences on short-term deposits	(142)	(103)
Interest on loan	68	176
Exchange differences on lease liability	(205)	(26)
Total income and expense not involving cash flows	(490)	6,158
Changes in operating asset and liability items:
Increase in prepaid expenses and other receivables	(688)	(1,212)
Increase (decrease) in accounts payable and accruals	1,676	(969)
Total Change in operating asset and liability	988	(2,181)
Total Adjustments required to reflect net cash used in operating acivities	498	3,977
Supplemental information on interest received in cash	146	39
Supplemental information on interest paid in cash	217	350
Supplemental information on non-cash transactions:
Acquisition of right-of-use asset	0	171
Exercise of warrants (portion related to accumulated fair value adjustments)	$ 0	$ 10,295

GENERAL INFORMATION

GENERAL INFORMATION	6 Months Ended
	Jun. 30, 2022
Disclosure of general information [Abstract]
GENERAL INFORMATION	NOTE 1 – GENERAL INFORMATION a. General BioLineRx Ltd. (“BioLineRx”), headquartered in Modi’in, Israel, was incorporated and commenced operations in April 2003. BioLineRx and its subsidiaries (collectively, the “Company”) are engaged in the development of therapeutics, primarily in clinical stages, with a focus on the field of oncology. The Company’s American Depositary Shares (“ADSs”) are traded on the NASDAQ Capital Market, and its ordinary shares are traded on the Tel Aviv Stock Exchange (“TASE”). Each ADS represents 15 ordinary shares. In March 2017, the Company acquired Agalimmune Ltd. (“Agalimmune”), a privately held company incorporated in the United Kingdom, with a focus on the field of immuno-oncology. Although the Company has succeeded in generating significant revenues from a number of out-licensing transactions in the past, it cannot determine with reasonable certainty if and when it will become profitable on a current basis. Management believes that the Company’s current cash and other resources will be sufficient to fund its projected cash requirements into the first half of 2024. However, in the event that the Company does not begin to generate sustainable cash flows from its operating activities in the future, the Company will need to carry out significant cost reductions or raise additional funding. b. Approval of financial statements The condensed consolidated interim financial statements of the Company as of June 30, 2022, and for the three and six months then ended, were approved by the Board of Directors on August 15, 2022, and signed on its behalf by the Chairman of the Board, the Chief Executive Officer and the Chief Financial Officer.

BASIS OF PREPARATION

BASIS OF PREPARATION	6 Months Ended
	Jun. 30, 2022
Disclosure of basis of preparation [Abstract]
BASIS OF PREPARATION	NOTE 2 – BASIS OF PREPARATION The Company’s condensed consolidated interim financial statements as of June 30, 2022 and for the three and six months then ended (the “interim financial statements”) have been prepared in accordance with International Accounting Standard No. 34, “Interim Financial Reporting” (“IAS 34”). These interim financial statements, which are unaudited, do not include all disclosures necessary for a fair presentation of financial position, results of operations, and cash flows in conformity with International Financial Reporting Standards (“IFRS”). The condensed consolidated interim financial statements should be read in conjunction with the Company’s annual financial statements as of December 31, 2021 and for the year then ended and their accompanying notes, which have been prepared in accordance with IFRS. The results of operations for the three and six months ended June 30, 2022 are not necessarily indicative of the results that may be expected for the entire fiscal year or for any other interim period. The preparation of financial statements in conformity with IFRS requires management to make estimates, judgments and assumptions that may affect the reported amounts of assets, liabilities, equity and expenses, as well as the related disclosures of contingent assets and liabilities, in the process of applying the Company’s accounting policies. These inputs also consider, among other things, the implications of pandemics and wars across the globe on the Company’s activities, and the resultant effects on critical and significant accounting estimates, most significantly in relation to the value of intangible assets. In this regard, U.S. and global markets are currently experiencing volatility and disruption following the escalation of geopolitical tensions and the ongoing military conflict between Russia and Ukraine. Although the length and impact of the ongoing military conflict are highly unpredictable, the conflict in Ukraine could lead to market disruptions, including significant volatility in commodity prices, credit and the capital markets. As of the date of release of these financial statements, the Company estimates there are no material effects of this conflict on its financial position and results of operations.

SIGNIFICANT ACCOUNTING POLICIES

SIGNIFICANT ACCOUNTING POLICIES	6 Months Ended
	Jun. 30, 2022
Disclosure of significant accounting policies [Abstract]
SIGNIFICANT ACCOUNTING POLICIES	NOTE 3 – SIGNIFICANT ACCOUNTING POLICIES The accounting policies and calculation methods applied in the preparation of these interim financial statements are consistent with those applied in the preparation of the annual financial statements as of December 31, 2021 and for the year then ended.

AT-THE-MARKET (ATM) SALES AGREE

AT-THE-MARKET (ATM) SALES AGREEMENT WITH BTIG	6 Months Ended
	Jun. 30, 2022
Disclosure Of Issuances Of Share Capital [Abstract]
AT-THE-MARKET ("ATM") SALES AGREEMENT WITH BTIG	NOTE 4 – AT-THE-MARKET (“ATM”) SALES AGREEMENT WITH HCW The Company maintains an ATM facility with H.C. Wainwright & Co., LLC (“HCW”) pursuant to an ATM sales agreement entered into in September 2021. In accordance with the agreement, the Company is entitled, at its sole discretion, to offer and sell through HCW, acting as sales agent, ADSs having an aggregate offering price of up to $25.0 million throughout the period during which the ATM facility remains in effect. The Company has agreed to pay HCW a commission of 3.0% of the gross proceeds from the sale of ADSs under the facility. During the six months ended June 30, 2022, the Company issued a total of 203,775 ADSs under the program for total gross proceeds of approximately $0.3 million. From the effective date of the agreement through the issuance date of this report, 606,102 ADSs have been sold under the program for total gross proceeds of approximately $1.4 million.

SHAREHOLDERS' EQUITY

SHAREHOLDERS' EQUITY	6 Months Ended
	Jun. 30, 2022
Disclosure of classes of share capital [abstract]
SHAREHOLDERS' EQUITY	NOTE 5 – SHAREHOLDERS’ EQUITY As of December 31, 2021 and June 30, 2022, share capital is composed of ordinary shares, as follows: Number of ordinary shares December 31, June 30, 2021 2022 Authorized share capital 1,500,000,000 1,500,000,000 Issued and paid-up share capital 715,156,008 718,283,665 In USD and NIS December 31, June 30, 2021 2022 Authorized share capital (in NIS) 150,000,000 150,000,000 Issued and paid-up share capital (in NIS) 71,515,600 71,828,367 Issued and paid-up share capital (in USD) 21,066,368 21,157,309

SHAREHOLDERS' EQUITY (Tables)

SHAREHOLDERS' EQUITY (Tables)	6 Months Ended
	Jun. 30, 2022
Disclosure of classes of share capital [abstract]
Schedule of Share Capital	Number of ordinary shares December 31, June 30, 2021 2022 Authorized share capital 1,500,000,000 1,500,000,000 Issued and paid-up share capital 715,156,008 718,283,665 In USD and NIS December 31, June 30, 2021 2022 Authorized share capital (in NIS) 150,000,000 150,000,000 Issued and paid-up share capital (in NIS) 71,515,600 71,828,367 Issued and paid-up share capital (in USD) 21,066,368 21,157,309

AT-THE-MARKET (ATM) SALES AGR_2

AT-THE-MARKET (ATM) SALES AGREEMENT WITH BTIG (Narrative) (Details) - HCW [Member] - USD ($) $ in Millions	6 Months Ended	12 Months Ended
	Jun. 30, 2022	Dec. 31, 2021
Disclosure of terms and conditions of share-based payment arrangement [line items]
Aggregate offering price		$ 25
Percentage of commission on sales agreement		3%
Gross proceeds from issuing shares	$ 0.3	$ 1.4
Number of American depositary shares sold	203,775	606,102

SHAREHOLDERS' EQUITY (Schedule

SHAREHOLDERS' EQUITY (Schedule of Share Capital) (Details)	Jun. 30, 2022 ILS (₪) shares	Jun. 30, 2022 USD ($) shares	Dec. 31, 2021 ILS (₪) shares	Dec. 31, 2021 USD ($) shares
Number of Ordinary Shares
Authorized share capital	1,500,000,000	1,500,000,000	1,500,000,000	1,500,000,000
Issued and paid-up share capital	718,283,665	718,283,665	715,156,008	715,156,008
Authorized share capital | ₪	₪ 150,000,000		₪ 150,000,000
Issued and paid-up share capital	₪ 71,828,367	$ 21,157,309	₪ 71,515,600	$ 21,066,368