Cover
Cover - shares | 3 Months Ended | |
Mar. 31, 2023 | Apr. 25, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2023 | |
Document Transition Report | false | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q1 | |
Current Fiscal Year End Date | --12-31 | |
Entity File Number | 001-39567 | |
Entity Registrant Name | C4 Therapeutics, Inc. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 47-5617627 | |
Entity Address, Address Line One | 490 Arsenal Way | |
Entity Address, Address Line Two | Suite 120 | |
Entity Address, City or Town | Watertown | |
Entity Address, State or Province | MA | |
Entity Address, Postal Zip Code | 02472 | |
City Area Code | 617 | |
Local Phone Number | 231-0700 | |
Title of 12(b) Security | Common Stock, $0.0001 par value per share | |
Trading Symbol | CCCC | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 49,063,761 | |
Entity Central Index Key | 0001662579 | |
Amendment Flag | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 49,476 | $ 29,754 |
Marketable securities, current | 220,849 | 246,399 |
Accounts receivable | 528 | 1,473 |
Prepaid expenses and other current assets | 7,599 | 9,931 |
Total current assets | 278,452 | 287,557 |
Marketable securities, non-current | 34,706 | 60,962 |
Property and equipment, net | 7,640 | 7,400 |
Right-of-use asset | 68,599 | 70,116 |
Restricted cash | 3,279 | 3,279 |
Other assets | 3,360 | 1,526 |
Total assets | 396,036 | 430,840 |
Current liabilities: | ||
Accounts payable | 1,034 | 1,172 |
Accrued expenses and other current liabilities | 16,295 | 19,769 |
Deferred revenue, current | 14,937 | 16,618 |
Operating lease liability, current | 4,827 | 4,700 |
Long-term debt − related party, current and net of discount | 2,287 | 2,287 |
Total current liabilities | 39,380 | 44,546 |
Deferred revenue, net of current | 15,845 | 16,895 |
Operating lease liability, net of current | 69,720 | 70,970 |
Long-term debt − related party, net of current and discount | 8,621 | 9,195 |
Total liabilities | 133,566 | 141,606 |
Commitments and contingencies (see Note 11) | ||
Stockholders’ equity: | ||
Preferred stock, par value of $0.0001 per share; 10,000,000 shares authorized, and no shares issued or outstanding as of March 31, 2023 and December 31, 2022, respectively | 0 | 0 |
Common stock, par value of $0.0001 per share; 150,000,000 shares authorized, and 49,052,509 and 48,966,216 shares issued and outstanding as of March 31, 2023 and December 31, 2022, respectively | 5 | 5 |
Additional paid-in capital | 695,605 | 689,256 |
Accumulated other comprehensive loss | (2,470) | (4,137) |
Accumulated deficit | (430,670) | (395,890) |
Total stockholders’ equity | 262,470 | 289,234 |
Total liabilities and stockholders’ equity | $ 396,036 | $ 430,840 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Mar. 31, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value per share (in dollars per share) | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value per share (in dollars per share) | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 150,000,000 | 150,000,000 |
Common stock, shares issued | 49,052,509 | 48,966,216 |
Common stock, shares outstanding | 49,052,509 | 48,966,216 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Loss - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Income Statement [Abstract] | ||
Revenue from collaboration agreements | $ 3,759 | $ 7,654 |
Operating expenses: | ||
Research and development | 29,042 | 26,203 |
General and administrative | 10,945 | 12,820 |
Total operating expenses | 39,987 | 39,023 |
Loss from operations | (36,228) | (31,369) |
Other income (expense), net: | ||
Interest expense and amortization of long-term debt − related party | (606) | (527) |
Interest and other income, net | 2,054 | 276 |
Total other income (expense), net | 1,448 | (251) |
Net loss | $ (34,780) | $ (31,620) |
Net loss per share − basic (in dollars per share) | $ (0.71) | $ (0.65) |
Net loss per share − diluted (in dollars per share) | $ (0.71) | $ (0.65) |
Weighted-average number of shares used in computed net loss per share − basic | 49,032,319 | 48,734,827 |
Weighted-average number of shares used in computed net loss per share − diluted | 49,032,319 | 48,734,827 |
Other comprehensive income (loss) | ||
Unrealized gain (loss) on marketable securities | $ 1,667 | $ (2,875) |
Comprehensive loss | $ (33,113) | $ (34,495) |
Revenue from Contract with Customer, Product and Service [Extensible Enumeration] | Collaborative Arrangement [Member] | Collaborative Arrangement [Member] |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Stockholders’ Equity - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-In Capital | Accumulated Other Comprehensive Loss | Accumulated Deficit |
Beginning balance (in shares) at Dec. 31, 2021 | 48,688,875 | ||||
Beginning balance at Dec. 31, 2021 | $ 389,606 | $ 5 | $ 658,091 | $ (775) | $ (267,715) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Issuance of common stock upon exercise of stock options (in shares) | 52,707 | ||||
Issuance of common stock upon exercise of stock options | 260 | 260 | |||
Issuances of common stock under 2020 ESPP (in shares) | 8,028 | ||||
Issuance of common stock under 2020 ESPP | 220 | 220 | |||
Stock-based compensation | 8,879 | 8,879 | |||
Change in unrealized loss, net on marketable securities | (2,875) | (2,875) | |||
Net loss | (31,620) | (31,620) | |||
Other (in shares) | 1,880 | ||||
Other | 59 | 59 | |||
Ending balance (in shares) at Mar. 31, 2022 | 48,751,490 | ||||
Ending balance at Mar. 31, 2022 | 364,529 | $ 5 | 667,509 | (3,650) | (299,335) |
Beginning balance (in shares) at Dec. 31, 2022 | 48,966,216 | ||||
Beginning balance at Dec. 31, 2022 | 289,234 | $ 5 | 689,256 | (4,137) | (395,890) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Issuance of common stock upon exercise of stock options (in shares) | 11,759 | ||||
Issuance of common stock upon exercise of stock options | 56 | 56 | |||
Issuance of common stock upon vesting of restricted stock units, net of shares repurchased for tax withholding (in shares) | 48,730 | ||||
Issuance of common stock upon vesting of restricted stock units, net of shares repurchased for tax withholding | (94) | (94) | |||
Issuances of common stock under 2020 ESPP (in shares) | 20,748 | ||||
Issuance of common stock under 2020 ESPP | 104 | 104 | |||
Stock-based compensation | 6,251 | 6,251 | |||
Change in unrealized loss, net on marketable securities | 1,667 | 1,667 | |||
Net loss | (34,780) | (34,780) | |||
Other (in shares) | 5,056 | ||||
Other | 32 | 32 | |||
Ending balance (in shares) at Mar. 31, 2023 | 49,052,509 | ||||
Ending balance at Mar. 31, 2023 | $ 262,470 | $ 5 | $ 695,605 | $ (2,470) | $ (430,670) |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Cash flows used in operating activities: | ||
Net loss | $ (34,780) | $ (31,620) |
Adjustments to reconcile net loss to cash used in operating activities: | ||
Stock-based compensation expense | 6,251 | 8,938 |
Depreciation and amortization expense | 545 | 305 |
Reduction in carrying amount of right-of-use asset | 1,517 | 1,184 |
(Amortization) accretion of (premium) discount on marketable securities | (646) | 664 |
Amortization of debt discount − related party | 176 | 176 |
Other | 32 | 0 |
Changes in operating assets and liabilities: | ||
Accounts receivable | 945 | 3,944 |
Prepaid expenses and other current and long-term assets | 498 | 309 |
Accounts payable | (138) | (1,152) |
Accrued expenses and other current liabilities | (3,670) | (3,766) |
Operating lease liability | (1,124) | 304 |
Deferred revenue | (2,731) | (5,882) |
Net cash used in operating activities | (33,125) | (26,596) |
Cash flows provided by (used in) investing activities: | ||
Proceeds from maturities of marketable securities | 65,557 | 72,387 |
Purchases of marketable securities | (11,437) | (76,219) |
Purchases of property and equipment | (589) | (172) |
Net cash provided by (used in) investing activities | 53,531 | (4,004) |
Cash flows (used in) provided by financing activities: | ||
Payment of long-term debt − related party | (750) | 0 |
Payments for repurchase of common stock for tax withholding | (94) | 0 |
Proceeds from exercise of stock options | 56 | 260 |
Other | 104 | 220 |
Net cash (used in) provided by financing activities | (684) | 480 |
Net change in cash, cash equivalents and restricted cash | 19,722 | (30,120) |
Cash, cash equivalents and restricted cash at beginning of period | 33,033 | 79,403 |
Cash, cash equivalents and restricted cash at end of period | 52,755 | 49,283 |
Reconciliation of cash, cash equivalents and restricted cash: | ||
Cash, cash equivalents and restricted cash at end of period | 52,755 | 49,283 |
Less: restricted cash | (3,279) | (3,279) |
Cash and cash equivalents at end of the period | 49,476 | 46,004 |
Supplemental disclosures of cash flow information: | ||
Cash paid for interest − related party | 430 | 473 |
Cash paid for leases | 2,120 | 908 |
Supplemental disclosures of non-cash investing and financing activities: | ||
Capital expenditures in accounts payable and accrued expenses | 196 | 52 |
Operating lease liabilities arising from obtaining right-of-use assets | $ 0 | $ 44,067 |
Nature of the business and basi
Nature of the business and basis of presentation | 3 Months Ended |
Mar. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of the business and basis of presentation | Nature of the business and basis of presentation C4 Therapeutics, Inc., or, together with its subsidiary, the Company, is a clinical-stage biopharmaceutical company dedicated to the advancement of targeted protein degradation science to develop a new generation of small-molecule medicines to transform how disease is treated. The Company leverages its proprietary technology platform, TORPEDO ( T arget OR iented P rot E in D egrader O ptimizer), to efficiently design and optimize small-molecule medicines that harness the body’s natural protein recycling system to rapidly degrade disease-causing protein, offering the potential to overcome drug resistance, drug undruggable targets, and improve patient outcomes. The Company uses its TORPEDO platform to advance multiple targeted oncology programs to the clinic while expanding its research platform to deliver the next wave of medicines for difficult-to-treat diseases. The Company was incorporated in Delaware on October 7, 2015 and has its principal office in Watertown, Massachusetts. Liquidity and capital resources Since its inception, the Company’s primary activities have been focused on research and development activities, building the Company’s intellectual property, recruiting and retaining personnel, and raising capital to support these activities. To date, the Company has funded its operations primarily with proceeds received from the sales of redeemable convertible preferred stock, public offerings of the Company’s common stock, through its collaboration agreements, and debt financing. The Company has incurred recurring losses since its inception, including net losses of $34.8 million and $31.6 million for the three months ended March 31, 2023 and 2022, respectively. In addition, as of March 31, 2023, the Company had an accumulated deficit of $430.7 million. To date, the Company has not generated any revenue from product sales as none of its product candidates have been approved for commercialization. The Company expects to continue to generate operating losses for the foreseeable future. The Company expects that its cash, cash equivalents, and marketable securities of $305.0 million as of March 31, 2023 will be sufficient to fund its operations for at least the next twelve months from the date of issuance of these condensed consolidated financial statements. Accordingly, the condensed consolidated financial statements have been prepared on a basis that assumes the Company will continue as a going concern and contemplates the realization of assets and satisfaction of liabilities and commitments in the ordinary course of business. Risks and uncertainties The Company is subject to risks common to other life science companies in the early development stage including, but not limited to, uncertainty of ability to raise additional financing, product development and commercialization, development by its competitors of new technological innovations, dependence on key personnel, market acceptance of products, lack of marketing and sales history, product liability, protection of proprietary technology and intellectual property, and compliance with the Food and Drug Administration, or the FDA, and other government regulations. If the Company does not successfully advance its programs into and through human clinical trials and commercialize any of its product candidates either directly or through collaborations with other companies, the Company may be unable to produce product revenue or achieve profitability. There can be no assurance that the Company’s research and development efforts will be successful, adequate protection for the Company’s intellectual property will be obtained, any products developed will obtain necessary government regulatory approval, or any approved products will be commercially viable. Even if the Company’s product development efforts are successful, it is uncertain when, if ever, the Company will generate significant revenue from product sales. The Company operates in an environment of rapid change in technology and substantial competition from pharmaceutical and biotechnology companies. |
Summary of significant accounti
Summary of significant accounting policies | 3 Months Ended |
Mar. 31, 2023 | |
Accounting Policies [Abstract] | |
Summary of significant accounting policies | Summary of significant accounting policies Basis of presentation and consolidation The accompanying unaudited interim condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America, or U.S. GAAP, and applicable rules and regulations of the Securities and Exchange Commission, or the SEC, regarding interim financial reporting, and the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. These condensed consolidated financial statements include the accounts of C4 Therapeutics, Inc. and its subsidiary, C4T Securities Corporation. All intercompany balances and transactions have been eliminated in consolidation. Unaudited interim financial information The accompanying condensed consolidated balance sheet as of March 31, 2023, the condensed consolidated statements of operations and comprehensive loss, the condensed consolidated statements of stockholders’ equity, and the condensed consolidated statements of cash flows for the three months ended March 31, 2023 and 2022, and the related interim disclosures are unaudited. These unaudited condensed consolidated financial statements include all adjustments necessary, consisting of only normal recurring adjustments, to fairly state the financial position and the results of the Company’s operations and cash flows for interim periods in accordance with U.S. GAAP. Interim period results are not necessarily indicative of results of operations or cash flows for a full year or any subsequent interim period. The accompanying condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements as of and for year ended December 31, 2022, and notes thereto, which are included in the Company’s Annual Report on Form 10-K that was filed with the SEC on February 23, 2023. Use of estimates The preparation of condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. The Company bases its estimates and assumptions on historical experience when available and on various factors that it believes to be reasonable under the circumstances. This process may result in actual results differing materially from those estimated amounts used in the preparation of the condensed consolidated financial statements if these results differ from historical experience or other assumptions do not turn out to be substantially accurate, even if such assumptions are reasonable when made. Significant estimates and assumptions reflected in these condensed consolidated financial statements include, but are not limited to, amounts and timing of revenues recognized under the Company’s research and development collaboration arrangements, prepaid and accrued research and development expense, incremental borrowing rate used in the measurement of lease liabilities, and estimated volatility used in fair valuation of stock options. The Company assesses estimates on an ongoing basis; however, actual results could materially differ from those estimates. Significant accounting policies |
Fair value measurements
Fair value measurements | 3 Months Ended |
Mar. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair value measurements | Fair value measurements The following table presents information about the Company’s financial assets measured at fair value on a recurring basis and indicates the level of the fair value hierarchy utilized to determine such fair values as of March 31, 2023 (in thousands): Fair Value Level 1 Level 2 Level 3 Cash equivalents: Money market funds $ 49,223 $ 49,223 $ — $ — Marketable securities: Corporate debt securities 194,619 — 194,619 — U.S. government debt securities 48,081 — 48,081 — U.S. Treasury securities 12,855 — 12,855 — Total cash equivalents and marketable securities $ 304,778 $ 49,223 $ 255,555 $ — There have been no transfers between fair value levels during the three months ended March 31, 2023. The following table sets forth the fair value of the Company’s financial assets by level within the fair value hierarchy at December 31, 2022 (in thousands): Fair Value Level 1 Level 2 Level 3 Cash equivalents: Money market funds $ 28,705 $ 28,705 $ — $ — U.S. Treasury securities 799 — 799 — Marketable securities: Corporate debt securities 234,327 — 234,327 — U.S. government debt securities 47,641 — 47,641 — U.S. Treasury securities 25,393 — 25,393 — Total cash equivalents and marketable securities $ 336,865 $ 28,705 $ 308,160 $ — The Company classifies its money market funds, which are valued based on quoted market prices in active markets, with no valuation adjustment, as Level 1 assets within the fair value hierarchy. Marketable securities consist of U.S. Treasury securities, U.S. government debt securities, and corporate debt securities, all of which are classified as available-for-sale pursuant to ASC 320, Investments – Debt and Equity Securities . Marketable securities are classified within Level 2 of the fair value hierarchy because pricing inputs are other than quoted prices in active markets, which are either directly or indirectly observable as of the reporting date, and fair value is determined using models or other valuation methodologies on a recurring basis. |
Marketable securities
Marketable securities | 3 Months Ended |
Mar. 31, 2023 | |
Marketable Securities [Abstract] | |
Marketable securities | Marketable securities Marketable securities as of March 31, 2023 consisted of the following (in thousands): Amortized Gross Gross Fair Marketable securities, current: Corporate debt securities $ 166,148 $ 5 $ (1,280) $ 164,873 U.S. government debt securities 43,993 — (872) 43,121 U.S. Treasury securities 12,937 4 (86) 12,855 Marketable securities, non-current: Corporate debt securities 29,947 2 (203) 29,746 U.S. government debt securities 5,000 — (40) 4,960 Total marketable securities, current and non-current $ 258,025 $ 11 $ (2,481) $ 255,555 Marketable securities as of December 31, 2022 consisted of the following (in thousands): Amortized Gross Gross Fair Marketable securities, current: Corporate debt securities $ 183,270 $ 2 $ (2,068) $ 181,204 U.S. government debt securities 40,986 — (1,184) 39,802 U.S. Treasury securities 25,650 — (257) 25,393 Marketable securities, non-current: Corporate debt securities 53,592 2 (471) 53,123 U.S. government debt securities 8,000 — (161) 7,839 Total marketable securities, current and non-current $ 311,498 $ 4 $ (4,141) $ 307,361 Marketable securities classified as current have maturities of less than one year and are classified as available-for-sale. Marketable securities classified as non-current are those that: (i) have a maturity of greater than one year, and (ii) are not intended to be liquidated within the next twelve months, although these funds are available for use and, therefore, are classified as available-for-sale. No available-for-sale debt securities held as of March 31, 2023 or December 31, 2022 had remaining maturities greater than five years. Marketable securities in unrealized loss positions as of March 31, 2023 consisted of the following (in thousands, except number of securities): Number of Fair Gross Marketable securities in continuous unrealized loss position for less than 12 months: Corporate debt securities 50 $ 109,002 $ (573) U.S. government debt securities 3 6,949 (50) Marketable securities in continuous unrealized loss position for greater than 12 months: Corporate debt securities 37 74,460 (910) U.S. government debt securities 10 41,132 (862) U.S. Treasury securities 3 9,949 $ (86) Total marketable securities in unrealized loss position 103 $ 241,492 $ (2,481) Marketable securities in unrealized loss positions as of December 31, 2022, consisted of the following (in thousands, except number of securities): Number of Fair Gross Marketable securities in continuous unrealized loss position for less than 12 months: Corporate debt securities 63 $ 134,027 $ (1,262) U.S. government debt securities 6 15,748 (245) U.S. Treasury securities 4 5,575 (11) Marketable securities in continuous unrealized loss position for greater than 12 months: Corporate debt securities 36 82,375 (1,277) U.S. government debt securities 7 31,892 (1,100) U.S. Treasury securities 4 19,817 (246) Total marketable securities in unrealized loss position 120 $ 289,434 $ (4,141) Based on factors such as historical experience, market data, issuer-specific factors, and current economic conditions, the Company did not record an allowance for credit losses at March 31, 2023 and December 31, 2022, related to these securities. |
Property and equipment
Property and equipment | 3 Months Ended |
Mar. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Property and equipment | Property and equipment Property and equipment consisted of the following (in thousands): March 31, December 31, Property and equipment: Laboratory equipment $ 8,814 $ 8,757 Leasehold improvements 4,762 4,682 Furniture and fixtures 1,181 1,181 Construction in progress 652 183 Office equipment 621 529 Computer equipment 191 191 Total property and equipment 16,221 15,523 Less: accumulated depreciation (8,581) (8,123) Total property and equipment, net $ 7,640 $ 7,400 |
Leases
Leases | 3 Months Ended |
Mar. 31, 2023 | |
Leases [Abstract] | |
Leases | Leases The Company leases office and laboratory space under a non-cancelable operating lease. In addition, the Company subleases a portion of its office and laboratory space. There have been no material changes to the Company’s lease or sublease during the three months ended March 31, 2023. For additional information, please read Note 6, Leases , to the audited condensed consolidated financial statements included in the Company's Annual Report on Form 10-K for the year ended December 31, 2022. |
Accrued expenses and other curr
Accrued expenses and other current liabilities | 3 Months Ended |
Mar. 31, 2023 | |
Payables and Accruals [Abstract] | |
Accrued expenses and other current liabilities | Accrued expenses and other current liabilities Accrued expenses and other current liabilities consisted of the following (in thousands): March 31, December 31, Accrued expenses and other current liabilities: Accrued research and development $ 11,154 $ 9,824 Accrued compensation and benefits 2,071 6,831 Accrued professional fees 1,812 1,062 Other 1,258 2,052 Total accrued expenses and other current liabilities $ 16,295 $ 19,769 |
Collaboration and license agree
Collaboration and license agreements | 3 Months Ended |
Mar. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Collaboration and license agreements | Collaboration and license agreements Roche Collaboration and License Agreement In March 2016, the Company entered into a license agreement with Roche, which was amended in June 2016 and amended further in March 2017. The Company and Roche amended and restated that agreement (as so amended) in December 2018. This amended and restated agreement is referred to as the Roche Agreement. Under the Roche Agreement, the Company and Roche agreed to collaborate in the research, development, manufacture and commercialization of target-binding degrader medicines using the Company’s proprietary TORPEDO platform for the treatment of cancers and other indications. Under the Roche Agreement, the Company may elect to opt into certain co-development rights, in which case the Company will receive an increased royalty rate on future product sales from products directed to that target. In addition, if the Company opts into certain co-detailing rights, it is also entitled to reimbursement of certain commercialization costs. Upon entry into the Roche Agreement, the Company received additional upfront consideration of $40.0 million from Roche. In November 2020, the Company signed a further amendment, the effect of which was to provide that the parties would develop up to five potential targets, with Roche maintaining its option rights to license and commercialize products directed to those targets. The November 2020 amendment also provides a mechanism through which the Company and Roche can mutually agree to terminate the Roche Agreement on a target-by-target basis by the entry into a Mutual Target Termination Agreement. Upon the entry into a Mutual Target Termination Agreement, the Roche Agreement provides that all rights and responsibilities for know-how and other intellectual property in support of products that use inhibition as their mode of action revert to Roche and all rights and responsibilities for know-how and other intellectual property in support of products that use degradation as their mode of action revert to the Company. In support of this allocation of rights, Roche provides the Company, and the Company provides Roche, with a perpetual irrevocable, fully paid up, exclusive (even as to party granting the license), sublicensable (including in multiple tiers) license to the patents and know-how that are allocated to a party under a Mutual Target Termination Agreement. As the research activities with Roche have progressed and evolved over time, there are now three targets on which the parties continue to collaborate, with Roche maintaining its option rights to license and commercialize products directed to those three targets. Under the Roche Agreement, the Company receives annual research plan payments of $1.0 million for up to three years for each active research plan. For certain targets, Roche is required to pay the Company fees of $2.0 million and $3.0 million upon the progression of targets to the lead series identification achievement and good laboratory practice toxicology study phase, respectively. Finally, adjustments were made to the option exercise fees, whereby targets that have progressed through standard good laboratory practice, or GLP, toxicology studies at the time of exercise now have option exercise fees of $7.0 million to $12.0 million and those progressed through Phase 1 trials have option exercise fees of $20.0 million. For each target option exercised by Roche, the Company is eligible to receive milestone payments ranging from $260.0 million to $275.0 million upon the achievement of certain development and commercial milestones with respect to corresponding products, subject to certain reductions and exclusions based on intellectual property coverage. Roche is also required to pay the Company up to $150.0 million per target in one-time sales-based milestone payments upon the achievement of specified levels of net sales of a product directed to such target. Finally, Roche is required to pay the Company tiered royalties ranging from the mid-single digits to mid-teen percentages on net sales of products sold by Roche pursuant to its exercise of its option rights, subject to certain reductions. For sales of products for which the Company exercises its co-development right, the applicable royalty rates will be increased by a low-single digit percentage. The collaboration is managed by a joint research committee. The Company has control over the joint research committee prior to Roche’s exercise of its option rights as to a particular target, with Roche assuming control of the joint research committee thereafter. Roche may terminate the Roche Agreement on a target-by-target or product-by-product basis under several scenarios upon at least 90 days’ prior written notice. Roche Agreement accounting At commencement, the Company identified twelve performance obligations within the Roche Agreement, represented by the six potential research and development targets then included in the collaboration and the option rights held by Roche for each of those six targets. A non-exclusive royalty-free license to use the Company’s intellectual property to conduct research and development activities and participation on joint research committee were identified as promised services. However, the Company determined that the research and development license and research and development services were not distinct from one another, and participation on the joint research committee was determined to be quantitatively and qualitatively immaterial. The total transaction price of the Roche Agreement is allocated to the performance obligations based on their relative standalone selling price. The allocated transaction price is recognized as revenue from collaboration agreements in one of two ways: • Research and development targets: The Company recognizes the portion of the transaction price allocated to each of the research and development performance obligations as the research and development services are provided, using an input method, in proportion to costs incurred to date for each research development target as compared to total costs incurred and expected to be incurred in the future to satisfy the underlying obligation related to said research and development target. The transfer of control occurs over this period and, in management’s judgment, is the best measure of progress towards satisfying the performance obligation. • Option rights: The transaction price allocated to the options rights, which are considered material rights, is recognized in the period that Roche elects to exercise or elects to not exercise its option right to license and commercialize the underlying research and development target. The following table summarizes the allocation of the total transaction price to the identified performance obligations under the arrangement, and the amount of the transaction price unsatisfied as of March 31, 2023 (in thousands): Transaction Transaction Performance obligations: Research and development targets $ 61,074 $ 25,189 Option rights 6,748 2,502 Total $ 67,822 $ 27,691 Amounts due to the Company that have not yet been received are recorded as accounts receivable and amounts received that have not yet been recognized as revenue are recorded as deferred revenue on the Company’s condensed consolidated balance sheet. Biogen Collaboration Research and License Agreement In December 2018, the Company entered into a collaboration research and license agreement, or the Biogen Agreement, with Biogen. In February 2020, the Company and Biogen amended the Biogen Agreement to provide further clarity around Biogen’s ownership of target binding moieties (which are portions of molecules), and any related intellectual property that are directed at or bind to collaboration targets. This amendment further provided that Biogen licenses to the Company rights to use these Biogen target binding moieties and any related intellectual property as needed in order to conduct the research and development activities contemplated under the Biogen Agreement. Pursuant to the terms of the Biogen Agreement, the Company and Biogen agreed to collaborate on research activities to develop novel treatments for neurological conditions such as Alzheimer's disease and Parkinson's disease through medicines that rely on target protein degradation, or TPD, as their mode of action, all of which are created using the Company’s degrader technology. Under the terms of the Biogen Agreement, the Company was engaged to develop TPD therapeutics that utilize degrader technology for up to five target proteins over a period of 54 months, ending in June 2023. On a target-by-target basis, after successful completion of a defined target evaluation period, Biogen assumes full rights and responsibility for continued development of each target. In exchange for the non-exclusive research license from Biogen, as well as a $45.0 million nonrefundable upfront payment, the Company has granted a license to develop, commercialize, and manufacture products related to each of the targets (which is contingent on not cancelling the agreement), performs initial research services for drug discovery, has provided a non-exclusive research and commercial license to its intellectual property, and participates on the joint steering committee, or the Biogen JSC. The Company was also obligated to participate in early research activities for other potential targets or sandbox activities, at Biogen’s election up to a maximum amount; any work performed for these services is reimbursed by Biogen, and Biogen reimburses the Company for certain full-time equivalent, or FTE, costs. The Company’s obligations under the sandbox activities were completed as of August 31, 2021. For any target, following the achievement of development candidate criteria and prior to any IND-enabling study, Biogen will bear all costs and expenses of and will have sole discretion and decision-making authority with respect to the performance of further activities with respect to any degrader under development under the Biogen Agreement and all products that incorporate that degrader. Biogen is also required to pay the Company up to $35.0 million per target in development milestones and $26.0 million per target in one-time sales-based payments for the first product to achieve certain levels of net sales. In addition, Biogen is required to pay the Company royalties on a licensed product-by-licensed product basis, on worldwide net product sales. All milestone and sales-based payments are made after the Company has met the defined criteria in the joint research plan for that target, at which time Biogen will have control of the products related to the targets for commercialization; the receipt of these payments is contingent on the further development of products directed to the targets to commercialization by Biogen, without any additional research and development efforts from the Company. The collaboration is managed by the Biogen JSC, which Biogen has control over, and Biogen may terminate the Biogen Agreement on a target-by-target or product-by-product basis under several scenarios, upon at least 90 days’ prior written notice. Biogen Agreement accounting The Company recognizes revenue under the Biogen Agreement from two types of services: (i) research and development services, and (ii) sandbox activities, which are discovery-type research services. • Research and development services: The Company identified one performance obligation at the outset of the Biogen Agreement, representing a combined performance obligation consisting of (1) the licenses, (2) the research activities for the target evaluation phase for all five targets, and (3) the joint research plan phase for each target. The Company determined that the licenses and research activities were not distinct from one another, as the licenses have limited value without the performance of the research activities by the Company. Participation on the Biogen JSC to oversee the research activities and the technology transfer associated with the Biogen License Agreement were determined to be quantitatively and qualitatively immaterial and therefore are excluded from performance obligations. The Company recognizes the transaction price allocated to this performance obligation as the research and development services are provided, using an input method, in proportion to costs incurred to date for each research development target as compared to total costs incurred and expected to be incurred in the future to satisfy the underlying obligation related to said research and development target. The transfer of control occurs over this period and, in management’s judgment, is the best measure of progress towards satisfying the performance obligation. • Sandbox activities: Biogen had the option to fund sandbox activities in exchange for consideration at market rates, whereby the Company would perform discovery-type research at Biogen’s election to develop other potential targets that may be used as replacement targets for the initially nominated targets or two additional targets under the Biogen Agreement. Revenues earned under this option were recognized as services were performed and were not included in the transaction price allocated to the performance obligation described above. The Company recognized FTE reimbursement received for sandbox activities as revenue as incurred each quarter. As noted above, sandbox activities fully concluded on August 31, 2021. As of March 31, 2023, the total transaction price of the Biogen Agreement of $55.0 million is allocated to the research and development services performance obligation and $9.1 million of the allocated transaction price remains unsatisfied. Amounts due to the Company that have not yet been received are recorded as accounts receivable and amounts received that have not yet been recognized as revenue are recorded in deferred revenue on the Company’s condensed consolidated balance sheet. Calico Collaboration and License Agreement In March 2017, the Company entered into a collaboration and license agreement, or the Calico Agreement, with Calico whereby the Company and Calico agreed to collaborate to develop and commercialize small molecule protein degraders for diseases of aging, including cancer, for a five-year period ending in March 2022. In August 2021, the Company provided an extension option to Calico, which Calico exercised in September 2021, resulting in a $1.0 million extension payment to extend the research term with respect to a certain program for up to a one-year period that ended in March 2023. In addition, Calico reimbursed the Company for a number of FTEs, depending on the stage of the research, at specified market rates. As of March 13, 2023, the research term of the Calico Agreement has expired, and the Company's research activities associated with the agreement are substantially complete. Under the terms of the Calico Agreement, the Company was engaged to develop and commercialize small molecule protein degraders for up to five target proteins over the research term. Under the Calico Agreement, the Company was required to perform initial research and development activities for the nominated targets for drug discovery and preclinical development over the applicable research term, with the intent to provide a development candidate for each target to Calico once the agreed-upon research is complete. In addition, the Company provided Calico with a non-exclusive research and commercial license to its intellectual property and participated on the Calico joint research committee, or the Calico JRC. Once Calico nominated a target and paid the applicable target initiation fee, the Company commenced research and development activities for that target. Calico was obligated to reimburse the Company for its research and development activities for each target at specified levels through the identification of a development candidate, after which time Calico would assume full responsibility for candidate development and Calico would be entitled to pursue commercial development of products related to that target. Under the Calico Agreement, Calico paid an upfront amount of $5.0 million and certain annual payments totaling $5.0 million through June 30, 2020 and paid target initiation fees and reimbursed the Company for a number of FTEs, depending on the stage of the research, at specified market rates. For each target, the Company is eligible to receive up to $132.0 million in potential development and commercial milestone payments, on sales of all products resulting from the collaboration efforts. Calico is also required to pay the Company up to $65.0 million in one-time sales-based payments for the first product to achieve certain levels of net sales. In addition, Calico is required to pay the Company royalties, at percentages in the mid-single digits, on a licensed product-by-licensed product basis, on worldwide net product sales. All milestone and sales-based payments are made after the Company has met the defined criteria in the joint research plan for that target, at which time Calico will have control of the products related to targets for commercialization; the receipt of these payments by the Company is contingent on the further development of the targets to commercialized products by Calico, without any additional research and development efforts required by the Company. Calico Agreement accounting The Company identified one performance obligation at the outset of the Calico Agreement, which consists of: (i) the non-exclusive license and (ii) the research activities for the target evaluation phase for five targets and the joint research plan phase for two targets. The Company determined that the license and research activities were not distinct from one another, as the license has limited value without the performance of the research activities by the Company. The transaction price consists of the upfront amount, the committed anniversary payments, the target initiation fees related to the targets nominated at the execution of the Calico Agreement, and the extension payment upon exercise of the extension option discussed above. Initially, the Company amortized the transaction price on a straight-line basis over the initial five-year term of the Calico Agreement. Beginning in September 2021, as a result of the extension of the research term for one program and Calico’s obligation to pay an additional $1.0 million in transaction price, the Company amortized the revised transaction price on a straight-line basis over the six-year term of the Calico Agreement. Straight-line amortization of the transaction price was considered the best measure of progress because the customer had access to research and development services throughout the period. Incremental fees for research and development services were paid at agreed upon FTE rates and recognized in the period incurred. As of March 31, 2023, the total transaction price of the Calico Agreement of $13.0 million was allocated to the research and development services performance obligation and the transaction price has been full allocated and satisfied. Amounts due to the Company that have not yet been received are recorded as accounts receivable on the Company’s condensed consolidated balance sheet. Summary of revenue recognized from collaboration agreements Revenue from collaboration agreements for the three months ended March 31, 2023 and 2022 in the condensed consolidated statements of operations and comprehensive loss was as follows (in thousands): Three Months Ended March 31, 2023 2022 Revenue from collaboration agreements: Roche Agreement $ 353 $ 1,123 Biogen Agreement 2,336 4,716 Calico Agreement 1,070 1,815 Total revenue from collaboration agreements $ 3,759 $ 7,654 Financial information related to the collaboration and license agreements consisted of the following in the Company’s condensed consolidated balance sheet as of March 31, 2023 (in thousands): Accounts Deferred Revenue, Deferred Revenue, Deferred Revenue, Supplemental information: Roche Agreement $ — $ 5,847 $ 15,845 $ 21,692 Biogen Agreement — 9,090 — 9,090 Calico Agreement 528 — — — Total $ 528 $ 14,937 $ 15,845 $ 30,782 Financial information related to the collaboration and license agreements consisted of the following in the Company’s condensed consolidated balance sheet as of December 31, 2022 (in thousands): Accounts Deferred Revenue, Deferred Revenue, Deferred Revenue, Supplemental information: Roche Agreement $ 417 $ 4,649 $ 16,895 $ 21,544 Biogen Agreement — 11,427 — 11,427 Calico Agreement 1,056 542 — 542 Total $ 1,473 $ 16,618 $ 16,895 $ 33,513 Supplemental financial information related to the collaboration and license agreements for the three months ended March 31, 2023 and 2022 are (in thousands): Three Months Ended March 31, 2023 2022 Revenue recognized that was included in the contract liability at the beginning of the period $ 3,231 $ 6,267 Revenue recognized from performance obligations fully or partially satisfied in previous periods $ — $ 115 As of March 31, 2023, the aggregate amount of the transaction price allocated to performance obligations under the Roche Agreement and the Biogen Agreement that were partially unsatisfied was $36.8 million. |
Long-term debt _ related party
Long-term debt – related party | 3 Months Ended |
Mar. 31, 2023 | |
Debt Disclosure [Abstract] | |
Long-term debt – related party | Long-term debt – related party Long-term debt – related party consisted of the following (in thousands): March 31, December 31, Outstanding principal amount of long-term debt — related party $ 11,750 $ 12,500 Less: Long-term debt — related party, current 3,000 3,000 Long-term debt — related party, net of current 8,750 9,500 Less: Unamortized debt issuance costs and debt discount, net of current (129) (305) Long-term debt — related party, net of current and discount $ 8,621 $ 9,195 On June 5, 2020, contemporaneously with the completion of its Series B Financing, the Company entered into a Credit Agreement, or the Credit Agreement, with Perceptive Credit Holdings III, LP, an affiliate of Perceptive Advisors LLC, or Perceptive, that provided for an aggregate principal borrowing amount of up to $20.0 million, available in two tranches of $12.5 million and $7.5 million. Perceptive was considered a related party to the Company based on its ownership of the Company’s common stock at inception of the Credit Agreement. In June 2020, the Company drew down on the first tranche of $12.5 million, or the Term Loan, which was outstanding as of March 31, 2023. The Company elected not to draw down the second tranche, which expired on June 30, 2021. The Term Loan bears interest at a variable rate using the greater of LIBOR or 1.75%, plus 9.50%. The interest rate was 14.17% as of March 31, 2023, and the Term Loan is secured by a lien on substantially all of the Company’s assets. When the LIBOR interest rate is discontinued in the future, it is expected that the interest rate of the Term Loan would switch to Secured Overnight Financing Rate, or SOFR. As of March 31, 2023, the effect of switching from LIBOR to SOFR would not be material to the Company’s condensed consolidated financial statements. The Credit Agreement requires the Company to maintain a minimum aggregate cash balance of $3.0 million in one or more controlled accounts and contains various affirmative and negative covenants that limit its ability to engage in specified types of transactions. The Company was required to make interest-only payments on the Term Loan through December 5, 2022. In 2023, the Company began making monthly principal payments equal to 2.0% of the Term Loan, plus interest. These payments will continue until June 5, 2024, or the Maturity Date, at which time the outstanding principal and unpaid interest balance is due. If the Company pays off the Term Loan prior to the Maturity Date, it will be required to pay a prepayment fee, which was $0.5 million as of March 31, 2023. The following table contains the anticipated future minimum payments on long-term debt as of March 31, 2023 for each of the years ending December 31, 2023 and December 31, 2024 (in thousands): Undiscounted, minimum long-term debt payments: 2023 (nine months ending December 31) $ 2,250 2024 9,500 Total undiscounted, minimum long-term debt payments $ 11,750 |
Stock-based compensation
Stock-based compensation | 3 Months Ended |
Mar. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-based compensation | Stock-based compensation Stock-based compensation expense for the three months ended March 31, 2023 and 2022 was classified in the Company’s condensed consolidated statement of operations and comprehensive loss as follows (in thousands): Three Months Ended March 31, 2023 2022 Stock-based compensation expense: Research and development $ 2,583 $ 3,612 General and administrative 3,668 5,326 Total stock-based compensation expense $ 6,251 $ 8,938 Stock options During the three months ended March 31, 2023, the Company granted stock options for the purchase of 1,890,550 shares of common stock with a weighted average exercise price of $5.76 per share and a weighted average grant-date fair value of $4.27 per shares. As of March 31, 2023, the unrecognized compensation cost related to outstanding stock options was $55.2 million, which is expected to be recognized over a weighted-average period of 2.8 years. Performance-based restricted stock units During the three months ended March 31, 2023, the Company did not grant any performance-based restricted stock units, or PSUs. There were 60,776 PSUs that vested during the three months ended March 31, 2023 upon their respective achievement of performance-based vesting criteria. Upon vesting, each PSU automatically converted into one share of the Company’s common stock. The Company indirectly repurchased 12,046 shares of its common stock through net-share settlement as consideration for employee tax withholding obligations arising upon vesting of the PSUs, which tax amounts were remitted to the applicable revenue authorities in cash. As of March 31, 2023, the unrecognized compensation cost related to outstanding PSUs with performance-based vesting criteria that are considered not probable of achievement was $8.9 million. Time-based restricted stock units During the three months ended March 31, 2023, the Company issued restricted stock units, or RSUs, to its employees that were subject to time-based vesting conditions. These RSUs are valued on the grant date using the grant date market price of the underlying shares. Upon vesting, each RSU automatically converts into one share of the Company’s common stock. The following table summarizes the Company’s RSU activity for the three months ended March 31, 2023: Shares Weighted-Average Outstanding as of December 31, 2022 — $ — Issued 724,500 5.68 Vested — — Forfeited (2,980) $ 5.67 Outstanding as of March 31, 2023 721,520 $ — As of March 31, 2023, the unrecognized compensation cost related to outstanding RSUs was $4.0 million, which is expected to be recognized over a weighted-average period of 3.9 years. |
Commitment and contingencies
Commitment and contingencies | 3 Months Ended |
Mar. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and contingencies | Commitments and contingencies Legal proceedings The Company is not currently party to any material legal proceedings. At each reporting date, the Company evaluates whether or not a potential loss amount or a potential range of loss is probable and reasonably estimable under the provisions of the authoritative guidance that addresses accounting for contingencies. The Company expenses as incurred the costs related to such legal proceedings. |
Loss per share
Loss per share | 3 Months Ended |
Mar. 31, 2023 | |
Earnings Per Share [Abstract] | |
Loss per share | Loss per shareFor periods in which the Company reports a net loss attributable to common stockholders, potentially dilutive securities have been excluded from the computation of diluted net loss per share as their effects would be anti-dilutive. Therefore, the weighted average number of common shares outstanding used to calculate both basic and diluted net loss per share is the same. For purposes of the dilutive net loss per share calculation, stock options, and restricted stock units for which the performance or market vesting conditions have been met are considered to be common stock equivalents, while restricted stock units with performance or market vesting conditions that were not met as of March 31, 2023 are not considered to be common stock equivalents. The Company excluded the following potential common shares presented based on amounts outstanding at period end from the computation of diluted net loss per share for the periods indicated because including them would have had an anti-dilutive effect: As of March 31, 2023 2022 Anti-dilutive common stock equivalents: Options to purchase common stock 8,464,159 7,321,491 Total anti-dilutive common stock equivalents 8,464,159 7,321,491 Basic and diluted loss per share is computed by dividing net loss by the weighted-average common shares outstanding for the three months ended March 31, 2023 and 2022 (in thousands, except share and per share data): Three Months Ended March 31, 2023 2022 Numerator: Net loss $ (34,780) $ (31,620) Denominator: Weighted-average number of shares used in computed net loss per share − basic and diluted 49,032,319 48,734,827 Net loss per share − basic and diluted $ (0.71) $ (0.65) |
Summary of significant accoun_2
Summary of significant accounting policies (Policies) | 3 Months Ended |
Mar. 31, 2023 | |
Accounting Policies [Abstract] | |
Basis of presentation | The accompanying unaudited interim condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America, or U.S. GAAP, and applicable rules and regulations of the Securities and Exchange Commission, or the SEC, regarding interim financial reporting, and the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. |
Consolidation | These condensed consolidated financial statements include the accounts of C4 Therapeutics, Inc. and its subsidiary, C4T Securities Corporation. All intercompany balances and transactions have been eliminated in consolidation. |
Unaudited interim financial information | Unaudited interim financial information The accompanying condensed consolidated balance sheet as of March 31, 2023, the condensed consolidated statements of operations and comprehensive loss, the condensed consolidated statements of stockholders’ equity, and the condensed consolidated statements of cash flows for the three months ended March 31, 2023 and 2022, and the related interim disclosures are unaudited. These unaudited condensed consolidated financial statements include all adjustments necessary, consisting of only normal recurring adjustments, to fairly state the financial position and the results of the Company’s operations and cash flows for interim periods in accordance with U.S. GAAP. Interim period results are not necessarily indicative of results of operations or cash flows for a full year or any subsequent interim period. The accompanying condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements as of and for year ended December 31, 2022, and notes thereto, which are included in the Company’s Annual Report on Form 10-K that was filed with the SEC on February 23, 2023. |
Use of estimates | Use of estimates The preparation of condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. The Company bases its estimates and assumptions on historical experience when available and on various factors that it believes to be reasonable under the circumstances. This process may result in actual results differing materially from those estimated amounts used in the preparation of the condensed consolidated financial statements if these results differ from historical experience or other assumptions do not turn out to be substantially accurate, even if such assumptions are reasonable when made. Significant estimates and assumptions reflected in these condensed consolidated financial statements include, but are not limited to, amounts and timing of revenues recognized under the Company’s research and development collaboration arrangements, prepaid and accrued research and development expense, incremental borrowing rate used in the measurement of lease liabilities, and estimated volatility used in fair valuation of stock options. The Company assesses estimates on an ongoing basis; however, actual results could materially differ from those estimates. |
Fair value measurements (Tables
Fair value measurements (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of financial assets measured at fair value on a recurring basis | The following table presents information about the Company’s financial assets measured at fair value on a recurring basis and indicates the level of the fair value hierarchy utilized to determine such fair values as of March 31, 2023 (in thousands): Fair Value Level 1 Level 2 Level 3 Cash equivalents: Money market funds $ 49,223 $ 49,223 $ — $ — Marketable securities: Corporate debt securities 194,619 — 194,619 — U.S. government debt securities 48,081 — 48,081 — U.S. Treasury securities 12,855 — 12,855 — Total cash equivalents and marketable securities $ 304,778 $ 49,223 $ 255,555 $ — There have been no transfers between fair value levels during the three months ended March 31, 2023. The following table sets forth the fair value of the Company’s financial assets by level within the fair value hierarchy at December 31, 2022 (in thousands): Fair Value Level 1 Level 2 Level 3 Cash equivalents: Money market funds $ 28,705 $ 28,705 $ — $ — U.S. Treasury securities 799 — 799 — Marketable securities: Corporate debt securities 234,327 — 234,327 — U.S. government debt securities 47,641 — 47,641 — U.S. Treasury securities 25,393 — 25,393 — Total cash equivalents and marketable securities $ 336,865 $ 28,705 $ 308,160 $ — |
Marketable securities (Tables)
Marketable securities (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Marketable Securities [Abstract] | |
Summary of marketable securities | Marketable securities as of March 31, 2023 consisted of the following (in thousands): Amortized Gross Gross Fair Marketable securities, current: Corporate debt securities $ 166,148 $ 5 $ (1,280) $ 164,873 U.S. government debt securities 43,993 — (872) 43,121 U.S. Treasury securities 12,937 4 (86) 12,855 Marketable securities, non-current: Corporate debt securities 29,947 2 (203) 29,746 U.S. government debt securities 5,000 — (40) 4,960 Total marketable securities, current and non-current $ 258,025 $ 11 $ (2,481) $ 255,555 Marketable securities as of December 31, 2022 consisted of the following (in thousands): Amortized Gross Gross Fair Marketable securities, current: Corporate debt securities $ 183,270 $ 2 $ (2,068) $ 181,204 U.S. government debt securities 40,986 — (1,184) 39,802 U.S. Treasury securities 25,650 — (257) 25,393 Marketable securities, non-current: Corporate debt securities 53,592 2 (471) 53,123 U.S. government debt securities 8,000 — (161) 7,839 Total marketable securities, current and non-current $ 311,498 $ 4 $ (4,141) $ 307,361 |
Summary of marketable securities in unrealized loss position | Marketable securities in unrealized loss positions as of March 31, 2023 consisted of the following (in thousands, except number of securities): Number of Fair Gross Marketable securities in continuous unrealized loss position for less than 12 months: Corporate debt securities 50 $ 109,002 $ (573) U.S. government debt securities 3 6,949 (50) Marketable securities in continuous unrealized loss position for greater than 12 months: Corporate debt securities 37 74,460 (910) U.S. government debt securities 10 41,132 (862) U.S. Treasury securities 3 9,949 $ (86) Total marketable securities in unrealized loss position 103 $ 241,492 $ (2,481) Marketable securities in unrealized loss positions as of December 31, 2022, consisted of the following (in thousands, except number of securities): Number of Fair Gross Marketable securities in continuous unrealized loss position for less than 12 months: Corporate debt securities 63 $ 134,027 $ (1,262) U.S. government debt securities 6 15,748 (245) U.S. Treasury securities 4 5,575 (11) Marketable securities in continuous unrealized loss position for greater than 12 months: Corporate debt securities 36 82,375 (1,277) U.S. government debt securities 7 31,892 (1,100) U.S. Treasury securities 4 19,817 (246) Total marketable securities in unrealized loss position 120 $ 289,434 $ (4,141) |
Property and equipment (Tables)
Property and equipment (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Summary of property and equipment | Property and equipment consisted of the following (in thousands): March 31, December 31, Property and equipment: Laboratory equipment $ 8,814 $ 8,757 Leasehold improvements 4,762 4,682 Furniture and fixtures 1,181 1,181 Construction in progress 652 183 Office equipment 621 529 Computer equipment 191 191 Total property and equipment 16,221 15,523 Less: accumulated depreciation (8,581) (8,123) Total property and equipment, net $ 7,640 $ 7,400 |
Accrued expenses and other cu_2
Accrued expenses and other current liabilities (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Payables and Accruals [Abstract] | |
Summary of accrued liabilities | Accrued expenses and other current liabilities consisted of the following (in thousands): March 31, December 31, Accrued expenses and other current liabilities: Accrued research and development $ 11,154 $ 9,824 Accrued compensation and benefits 2,071 6,831 Accrued professional fees 1,812 1,062 Other 1,258 2,052 Total accrued expenses and other current liabilities $ 16,295 $ 19,769 |
Collaboration and license agr_2
Collaboration and license agreements (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Summary of allocation of transaction price | The following table summarizes the allocation of the total transaction price to the identified performance obligations under the arrangement, and the amount of the transaction price unsatisfied as of March 31, 2023 (in thousands): Transaction Transaction Performance obligations: Research and development targets $ 61,074 $ 25,189 Option rights 6,748 2,502 Total $ 67,822 $ 27,691 |
Schedule of revenue from collaboration agreements | Revenue from collaboration agreements for the three months ended March 31, 2023 and 2022 in the condensed consolidated statements of operations and comprehensive loss was as follows (in thousands): Three Months Ended March 31, 2023 2022 Revenue from collaboration agreements: Roche Agreement $ 353 $ 1,123 Biogen Agreement 2,336 4,716 Calico Agreement 1,070 1,815 Total revenue from collaboration agreements $ 3,759 $ 7,654 |
Schedule of financial information related to collaboration and license agreements | Financial information related to the collaboration and license agreements consisted of the following in the Company’s condensed consolidated balance sheet as of March 31, 2023 (in thousands): Accounts Deferred Revenue, Deferred Revenue, Deferred Revenue, Supplemental information: Roche Agreement $ — $ 5,847 $ 15,845 $ 21,692 Biogen Agreement — 9,090 — 9,090 Calico Agreement 528 — — — Total $ 528 $ 14,937 $ 15,845 $ 30,782 Financial information related to the collaboration and license agreements consisted of the following in the Company’s condensed consolidated balance sheet as of December 31, 2022 (in thousands): Accounts Deferred Revenue, Deferred Revenue, Deferred Revenue, Supplemental information: Roche Agreement $ 417 $ 4,649 $ 16,895 $ 21,544 Biogen Agreement — 11,427 — 11,427 Calico Agreement 1,056 542 — 542 Total $ 1,473 $ 16,618 $ 16,895 $ 33,513 |
Schedule of supplemental financial information related to collaboration and license agreements | Supplemental financial information related to the collaboration and license agreements for the three months ended March 31, 2023 and 2022 are (in thousands): Three Months Ended March 31, 2023 2022 Revenue recognized that was included in the contract liability at the beginning of the period $ 3,231 $ 6,267 Revenue recognized from performance obligations fully or partially satisfied in previous periods $ — $ 115 |
Long-term debt _ related party
Long-term debt – related party (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of long-term debt | Long-term debt – related party consisted of the following (in thousands): March 31, December 31, Outstanding principal amount of long-term debt — related party $ 11,750 $ 12,500 Less: Long-term debt — related party, current 3,000 3,000 Long-term debt — related party, net of current 8,750 9,500 Less: Unamortized debt issuance costs and debt discount, net of current (129) (305) Long-term debt — related party, net of current and discount $ 8,621 $ 9,195 |
Summary of future minimum payments | The following table contains the anticipated future minimum payments on long-term debt as of March 31, 2023 for each of the years ending December 31, 2023 and December 31, 2024 (in thousands): Undiscounted, minimum long-term debt payments: 2023 (nine months ending December 31) $ 2,250 2024 9,500 Total undiscounted, minimum long-term debt payments $ 11,750 |
Stock-based compensation (Table
Stock-based compensation (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of stock-based compensation expense | Stock-based compensation expense for the three months ended March 31, 2023 and 2022 was classified in the Company’s condensed consolidated statement of operations and comprehensive loss as follows (in thousands): Three Months Ended March 31, 2023 2022 Stock-based compensation expense: Research and development $ 2,583 $ 3,612 General and administrative 3,668 5,326 Total stock-based compensation expense $ 6,251 $ 8,938 |
Summary of RSU activity | The following table summarizes the Company’s RSU activity for the three months ended March 31, 2023: Shares Weighted-Average Outstanding as of December 31, 2022 — $ — Issued 724,500 5.68 Vested — — Forfeited (2,980) $ 5.67 Outstanding as of March 31, 2023 721,520 $ — As of March 31, 2023, the unrecognized compensation cost related to outstanding RSUs was $4.0 million, which is expected to be recognized over a weighted-average period of 3.9 years. |
Loss per share (Tables)
Loss per share (Tables) | 3 Months Ended |
Mar. 31, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of diluted net loss per share attributable to common stockholders | The Company excluded the following potential common shares presented based on amounts outstanding at period end from the computation of diluted net loss per share for the periods indicated because including them would have had an anti-dilutive effect: As of March 31, 2023 2022 Anti-dilutive common stock equivalents: Options to purchase common stock 8,464,159 7,321,491 Total anti-dilutive common stock equivalents 8,464,159 7,321,491 |
Schedule of basic and diluted loss per share | Basic and diluted loss per share is computed by dividing net loss by the weighted-average common shares outstanding for the three months ended March 31, 2023 and 2022 (in thousands, except share and per share data): Three Months Ended March 31, 2023 2022 Numerator: Net loss $ (34,780) $ (31,620) Denominator: Weighted-average number of shares used in computed net loss per share − basic and diluted 49,032,319 48,734,827 Net loss per share − basic and diluted $ (0.71) $ (0.65) |
Nature of the business and ba_2
Nature of the business and basis of presentation (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |||
Net loss | $ 34,780 | $ 31,620 | |
Accumulated deficit | 430,670 | $ 395,890 | |
Cash, cash equivalents and marketable securities | $ 305,000 |
Fair value measurements (Detail
Fair value measurements (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Marketable securities | $ 255,555 | $ 307,361 |
Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 304,778 | 336,865 |
Recurring | Corporate debt securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Marketable securities | 194,619 | 234,327 |
Recurring | U.S. government debt securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Marketable securities | 48,081 | 47,641 |
Recurring | U.S. Treasury securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Marketable securities | 12,855 | 25,393 |
Money market funds | Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Cash equivalents | 49,223 | 28,705 |
U.S. Treasury securities | Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Cash equivalents | 799 | |
Level 1 | Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 49,223 | 28,705 |
Level 1 | Recurring | Corporate debt securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Marketable securities | 0 | 0 |
Level 1 | Recurring | U.S. government debt securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Marketable securities | 0 | 0 |
Level 1 | Recurring | U.S. Treasury securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Marketable securities | 0 | 0 |
Level 1 | Money market funds | Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Cash equivalents | 49,223 | 28,705 |
Level 1 | U.S. Treasury securities | Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Cash equivalents | 0 | |
Level 2 | Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 255,555 | 308,160 |
Level 2 | Recurring | Corporate debt securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Marketable securities | 194,619 | 234,327 |
Level 2 | Recurring | U.S. government debt securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Marketable securities | 48,081 | 47,641 |
Level 2 | Recurring | U.S. Treasury securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Marketable securities | 12,855 | 25,393 |
Level 2 | Money market funds | Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Cash equivalents | 0 | 0 |
Level 2 | U.S. Treasury securities | Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Cash equivalents | 799 | |
Level 3 | Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 0 | 0 |
Level 3 | Recurring | Corporate debt securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Marketable securities | 0 | 0 |
Level 3 | Recurring | U.S. government debt securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Marketable securities | 0 | 0 |
Level 3 | Recurring | U.S. Treasury securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Marketable securities | 0 | 0 |
Level 3 | Money market funds | Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Cash equivalents | $ 0 | 0 |
Level 3 | U.S. Treasury securities | Recurring | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Cash equivalents | $ 0 |
Marketable securities - Summary
Marketable securities - Summary of marketable securities (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Marketable securities, current: | ||
Fair Value | $ 220,849 | $ 246,399 |
Marketable securities, non-current: | ||
Fair Value | 34,706 | 60,962 |
Amortized Cost | 258,025 | 311,498 |
Gross Unrealized Gains | 11 | 4 |
Gross Unrealized Losses | (2,481) | (4,141) |
Fair Value | 255,555 | 307,361 |
Corporate debt securities | ||
Marketable securities, current: | ||
Amortized Cost | 166,148 | 183,270 |
Gross Unrealized Gains | 5 | 2 |
Gross Unrealized Losses | (1,280) | (2,068) |
Fair Value | 164,873 | 181,204 |
Marketable securities, non-current: | ||
Amortized Cost | 29,947 | 53,592 |
Gross Unrealized Gains | 2 | 2 |
Gross Unrealized Losses | (203) | (471) |
Fair Value | 29,746 | 53,123 |
U.S. government debt securities | ||
Marketable securities, current: | ||
Amortized Cost | 43,993 | 40,986 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (872) | (1,184) |
Fair Value | 43,121 | 39,802 |
Marketable securities, non-current: | ||
Amortized Cost | 5,000 | 8,000 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (40) | (161) |
Fair Value | 4,960 | 7,839 |
U.S. Treasury securities | ||
Marketable securities, current: | ||
Amortized Cost | 12,937 | 25,650 |
Gross Unrealized Gains | 4 | 0 |
Gross Unrealized Losses | (86) | (257) |
Fair Value | $ 12,855 | $ 25,393 |
Marketable securities - Summa_2
Marketable securities - Summary of marketable securities in unrealized loss position (Details) $ in Thousands | Mar. 31, 2023 USD ($) security | Dec. 31, 2022 USD ($) security |
Number of Securities | ||
Total marketable securities in unrealized loss position, number of securities | security | 103 | 120 |
Fair Value | ||
Total marketable securities in unrealized loss position | $ 241,492 | $ 289,434 |
Gross Unrealized Losses | ||
Total marketable securities in unrealized loss position | $ (2,481) | $ (4,141) |
Corporate debt securities | ||
Number of Securities | ||
Marketable securities in continuous unrealized loss position for less than 12 months, number of securities | security | 50 | 63 |
Marketable securities in continuous unrealized loss position for greater than 12 months, number of securities | security | 37 | 36 |
Fair Value | ||
Marketable securities in continuous unrealized loss position for less than 12 months | $ 109,002 | $ 134,027 |
Marketable securities in continuous unrealized loss position for greater than 12 months | 74,460 | 82,375 |
Gross Unrealized Losses | ||
Marketable securities in continuous unrealized loss position for less than 12 months | (573) | (1,262) |
Marketable securities in continuous unrealized loss position for greater than 12 months | $ (910) | $ (1,277) |
U.S. government debt securities | ||
Number of Securities | ||
Marketable securities in continuous unrealized loss position for less than 12 months, number of securities | security | 3 | 6 |
Marketable securities in continuous unrealized loss position for greater than 12 months, number of securities | security | 10 | 7 |
Fair Value | ||
Marketable securities in continuous unrealized loss position for less than 12 months | $ 6,949 | $ 15,748 |
Marketable securities in continuous unrealized loss position for greater than 12 months | 41,132 | 31,892 |
Gross Unrealized Losses | ||
Marketable securities in continuous unrealized loss position for less than 12 months | (50) | (245) |
Marketable securities in continuous unrealized loss position for greater than 12 months | $ (862) | $ (1,100) |
U.S. Treasury securities | ||
Number of Securities | ||
Marketable securities in continuous unrealized loss position for less than 12 months, number of securities | security | 4 | |
Marketable securities in continuous unrealized loss position for greater than 12 months, number of securities | security | 3 | 4 |
Fair Value | ||
Marketable securities in continuous unrealized loss position for less than 12 months | $ 5,575 | |
Marketable securities in continuous unrealized loss position for greater than 12 months | $ 9,949 | 19,817 |
Gross Unrealized Losses | ||
Marketable securities in continuous unrealized loss position for less than 12 months | (11) | |
Marketable securities in continuous unrealized loss position for greater than 12 months | $ (86) | $ (246) |
Marketable securities - Narrati
Marketable securities - Narrative (Details) - USD ($) | Mar. 31, 2023 | Dec. 31, 2022 |
Marketable Securities [Abstract] | ||
Allowance for credit loss | $ 0 | $ 0 |
Property and equipment (Details
Property and equipment (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2023 | Mar. 31, 2022 | Dec. 31, 2022 | |
Property Plant And Equipment [Line Items] | |||
Property and equipment | $ 16,221 | $ 15,523 | |
Less: accumulated depreciation | (8,581) | (8,123) | |
Total property and equipment, net | 7,640 | 7,400 | |
Depreciation and amortization expense | 545 | $ 305 | |
Laboratory equipment | |||
Property Plant And Equipment [Line Items] | |||
Property and equipment | 8,814 | 8,757 | |
Leasehold improvements | |||
Property Plant And Equipment [Line Items] | |||
Property and equipment | 4,762 | 4,682 | |
Furniture and fixtures | |||
Property Plant And Equipment [Line Items] | |||
Property and equipment | 1,181 | 1,181 | |
Construction in progress | |||
Property Plant And Equipment [Line Items] | |||
Property and equipment | 652 | 183 | |
Office equipment | |||
Property Plant And Equipment [Line Items] | |||
Property and equipment | 621 | 529 | |
Computer equipment | |||
Property Plant And Equipment [Line Items] | |||
Property and equipment | $ 191 | $ 191 |
Accrued expenses and other cu_3
Accrued expenses and other current liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Accrued expenses and other current liabilities: | ||
Accrued research and development | $ 11,154 | $ 9,824 |
Accrued compensation and benefits | 2,071 | 6,831 |
Accrued professional fees | 1,812 | 1,062 |
Other | 1,258 | 2,052 |
Total accrued expenses and other current liabilities | $ 16,295 | $ 19,769 |
Collaboration and license agr_3
Collaboration and license agreements - Narrative (Details) $ in Thousands | 1 Months Ended | 3 Months Ended | 40 Months Ended | ||||||
Sep. 30, 2021 USD ($) | Aug. 31, 2021 | Nov. 30, 2020 USD ($) target | Feb. 29, 2020 USD ($) protein | Dec. 31, 2018 USD ($) target | Mar. 31, 2017 USD ($) target_protein | Mar. 31, 2023 USD ($) target performanceObligation | Mar. 31, 2022 USD ($) | Jun. 30, 2020 USD ($) | |
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Revenue recognized that was included in the contract liability at the beginning of the period | $ 3,231 | $ 6,267 | |||||||
Transaction price allocated to performance obligation | $ 67,822 | ||||||||
Restated Roche Agreement | |||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Additional upfront consideration received | $ 40,000 | ||||||||
Number of potential targets | target | 5 | 6 | |||||||
Number of targets | target | 3 | ||||||||
Annual research plan payments receivables | $ 1,000 | ||||||||
Annual research plan payments periods | 3 years | ||||||||
Restated Roche Agreement | Minimum | |||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Option exercise fees | $ 7,000 | ||||||||
Written notice period for termination of agreement | 90 days | ||||||||
Restated Roche Agreement | Minimum | Research, development and commercial milestones | |||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Amount eligible to receive | 260,000 | ||||||||
Restated Roche Agreement | Maximum | |||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Option exercise fees | 12,000 | ||||||||
Option exercise fees, through Phase 1 trials | 20,000 | ||||||||
Restated Roche Agreement | Maximum | Research, development and commercial milestones | |||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Amount eligible to receive | 275,000 | ||||||||
Restated Roche Agreement | Maximum | One-time sales-based payments | |||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Amount eligible to receive | 150,000 | ||||||||
Restated Roche Agreement | Lead Series Identification Achievement | |||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Upfront fees | 2,000 | ||||||||
Restated Roche Agreement | Good Laboratory Practice (“GLP”) Toxicology (“Tox”) Study Phase | |||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Upfront fees | $ 3,000 | ||||||||
Biogen License Agreement | |||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Number of targets | performanceObligation | 5 | ||||||||
Research agreement, period | 54 months | ||||||||
Nonrefundable upfront payment | $ 45,000 | ||||||||
Number of performance obligation | performanceObligation | 1 | ||||||||
Number of additional targets | target | 2 | ||||||||
Biogen License Agreement | Research and development services | |||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Revenue recognized that was included in the contract liability at the beginning of the period | $ 55,000 | ||||||||
Transaction price allocated to performance obligation | $ 9,100 | ||||||||
Biogen License Agreement | Minimum | |||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Written notice period for termination of agreement | 90 days | ||||||||
Biogen License Agreement | Maximum | |||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Number of targeted protein degradation | protein | 5 | ||||||||
Biogen License Agreement | Maximum | Research and development milestones | |||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Payment received | $ 35,000 | ||||||||
Biogen License Agreement | Maximum | One-time sales-based payments | |||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Payment received | $ 26,000 | ||||||||
Calico License Agreement | |||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Number of targets | target | 5 | ||||||||
Number of performance obligation | performanceObligation | 1 | ||||||||
Research term | 5 years | ||||||||
Amount payable for extend research term option | $ 1,000 | ||||||||
Research extend term | 1 year | ||||||||
Upfront payment | $ 5,000 | ||||||||
Annual payments | $ 5,000 | ||||||||
Initial contractual term on straight line basis | 5 years | ||||||||
Additional transaction price allocated to performance obligation | $ 1,000 | ||||||||
Contractual term | 6 years | ||||||||
Calico License Agreement | Research and development services | |||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Revenue recognized that was included in the contract liability at the beginning of the period | $ 13,000 | ||||||||
Calico License Agreement | Maximum | |||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Number of target proteins | target_protein | 5 | ||||||||
Calico License Agreement | Maximum | One-time sales-based payments | |||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Payment received | $ 65,000 | ||||||||
Calico License Agreement | Maximum | Potential research, development and commercial milestone payments | |||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Payment received | $ 132,000 | ||||||||
Restated Roche Agreement And Biogen License Agreement | |||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |||||||||
Transaction price allocated to performance obligation | $ 36,800 |
Collaboration and license agr_4
Collaboration and license agreements - Summary of allocation of transaction price (Details) $ in Thousands | Mar. 31, 2023 USD ($) |
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |
Transaction Price Allocated | $ 67,822 |
Transaction Price Unsatisfied | 27,691 |
Research and development targets | |
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |
Transaction Price Allocated | 61,074 |
Transaction Price Unsatisfied | 25,189 |
Option rights | |
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |
Transaction Price Allocated | 6,748 |
Transaction Price Unsatisfied | $ 2,502 |
Collaboration and license agr_5
Collaboration and license agreements - Schedule of revenue from collaboration agreements (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||
Revenue from collaboration agreements | $ 3,759 | $ 7,654 |
Roche Agreement | ||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||
Revenue from collaboration agreements | 353 | 1,123 |
Biogen Agreement | ||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||
Revenue from collaboration agreements | 2,336 | 4,716 |
Calico Agreement | ||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||
Revenue from collaboration agreements | $ 1,070 | $ 1,815 |
Collaboration and license agr_6
Collaboration and license agreements - Schedule of financial information related to collaboration and license agreements (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||
Accounts Receivable | $ 528 | $ 1,473 |
Deferred revenue, current | 14,937 | 16,618 |
Deferred revenue, net of current | 15,845 | 16,895 |
Deferred revenue, total | 30,782 | 33,513 |
Roche Agreement | ||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||
Accounts Receivable | 0 | 417 |
Deferred revenue, current | 5,847 | 4,649 |
Deferred revenue, net of current | 15,845 | 16,895 |
Deferred revenue, total | 21,692 | 21,544 |
Biogen Agreement | ||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||
Accounts Receivable | 0 | 0 |
Deferred revenue, current | 9,090 | 11,427 |
Deferred revenue, net of current | 0 | 0 |
Deferred revenue, total | 9,090 | 11,427 |
Calico Agreement | ||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||
Accounts Receivable | 528 | 1,056 |
Deferred revenue, current | 0 | 542 |
Deferred revenue, net of current | 0 | 0 |
Deferred revenue, total | $ 0 | $ 542 |
Collaboration and license agr_7
Collaboration and license agreements - Schedule of supplemental financial information related to collaboration and license agreements (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Revenue recognized that was included in the contract liability at the beginning of the period | $ 3,231 | $ 6,267 |
Revenue recognized from performance obligations fully or partially satisfied in previous periods | $ 0 | $ 115 |
Long-term debt _ related part_2
Long-term debt – related party - Schedule of long-term debt (Details) - USD ($) $ in Thousands | Mar. 31, 2023 | Dec. 31, 2022 |
Debt Disclosure [Abstract] | ||
Outstanding principal amount of long-term debt — related party | $ 11,750 | $ 12,500 |
Less: Long-term debt — related party, current | 3,000 | 3,000 |
Long-term debt — related party, net of current | 8,750 | 9,500 |
Less: Unamortized debt issuance costs and debt discount, net of current | (129) | (305) |
Long-term debt − related party, net of current and discount | $ 8,621 | $ 9,195 |
Long-term debt _ related part_3
Long-term debt – related party - Narrative (Details) - Credit Agreement with Perceptive Life Sciences Master Fund LTD - Term Loan - USD ($) $ in Millions | 3 Months Ended | |
Jun. 05, 2020 | Mar. 31, 2023 | |
Long Term Debt And Warrant Liability [Line Items] | ||
Aggregate principal borrowing amount | $ 20 | |
Floor interest rate | 1.75% | |
Interest at variable rate | 14.17% | |
Balance to be maintained in bank account while debt is outstanding, minimum | $ 3 | |
Percentage of principal payments until maturity | 2% | |
Prepayment fee | $ 0.5 | |
LIBOR | ||
Long Term Debt And Warrant Liability [Line Items] | ||
Applicable margin rate | 9.50% | |
Tranche one | ||
Long Term Debt And Warrant Liability [Line Items] | ||
Aggregate principal borrowing amount | $ 12.5 | |
Amount withdrawn | $ 12.5 | |
Tranche two | ||
Long Term Debt And Warrant Liability [Line Items] | ||
Aggregate principal borrowing amount | $ 7.5 |
Long-term debt _ related part_4
Long-term debt – related party - Summary of future minimum payments (Details) $ in Thousands | Mar. 31, 2023 USD ($) |
Long-term Debt, Fiscal Year Maturity [Abstract] | |
2023 (nine months ending December 31) | $ 2,250 |
Less: Long-term debt — related party, current | 9,500 |
Total undiscounted, minimum long-term debt payments | $ 11,750 |
Stock-based compensation - Sche
Stock-based compensation - Schedule of stock-based compensation expense (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||
Total stock-based compensation expense | $ 6,251 | $ 8,938 |
Research and development | ||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||
Total stock-based compensation expense | 2,583 | 3,612 |
General and administrative | ||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||
Total stock-based compensation expense | $ 3,668 | $ 5,326 |
Stock-based compensation - Narr
Stock-based compensation - Narrative (Details) $ / shares in Units, $ in Millions | 3 Months Ended |
Mar. 31, 2023 USD ($) $ / shares shares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Stock options granted (in shares) | 1,890,550 |
Stock options granted, weighted average exercise price (in dollars per share) | $ / shares | $ 5.76 |
Stock options granted, weighted average grant date fair value (in dollars per share) | $ / shares | $ 4.27 |
Stock Options | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Unrecognized compensation costs | $ | $ 55.2 |
Expected to be recognized over a weighted average period | 2 years 9 months 18 days |
Performance-based RSUs | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Unrecognized compensation costs | $ | $ 8.9 |
Units vested (in shares) | 60,776 |
Share-based compensation, number of common stock issuable per RSU vested (in shares) | 1 |
Number of shares retained to cover statutory minimum withholding taxes | 12,046 |
Time-based RSUs | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Unrecognized compensation costs | $ | $ 4 |
Expected to be recognized over a weighted average period | 3 years 10 months 24 days |
Units vested (in shares) | 0 |
Stock-based compensation - Summ
Stock-based compensation - Summary of RSU activity (Details) - Time-based RSUs | 3 Months Ended |
Mar. 31, 2023 $ / shares shares | |
Shares | |
Outstanding, beginning balance (in shares) | shares | 0 |
Granted (in shares) | shares | 724,500 |
Vested (in shares) | shares | 0 |
Forfeited (in shares) | shares | (2,980) |
Outstanding, ending balance (in shares) | shares | 721,520 |
Weighted-Average Grant Date Fair Value | |
Outstanding, beginning balance (in dollars per share) | $ / shares | $ 0 |
Granted (in dollars per share) | $ / shares | 5.68 |
Vested (in dollars per share) | $ / shares | 0 |
Forfeited (in dollars per share) | $ / shares | 5.67 |
Outstanding, ending balance (in dollars per share) | $ / shares | $ 0 |
Loss per share - Schedule of di
Loss per share - Schedule of diluted net loss per share attributable to common stockholders (Details) - shares | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Total anti-dilutive common stock equivalents (in shares) | 8,464,159 | 7,321,491 |
Options to purchase common stock | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Total anti-dilutive common stock equivalents (in shares) | 8,464,159 | 7,321,491 |
Loss per share - Schedule of ba
Loss per share - Schedule of basic and diluted loss per share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2023 | Mar. 31, 2022 | |
Numerator: | ||
Net loss | $ (34,780) | $ (31,620) |
Denominator: | ||
Weighted-average number of shares used in computed net loss per share − basic | 49,032,319 | 48,734,827 |
Weighted-average number of shares used in computed net loss per share − diluted | 49,032,319 | 48,734,827 |
Net loss per share − basic (in dollars per share) | $ (0.71) | $ (0.65) |
Net loss per share − diluted (in dollars per share) | $ (0.71) | $ (0.65) |