Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2023 | Nov. 01, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2023 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q3 | |
Current Fiscal Year End Date | --12-31 | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity File Number | 001-39655 | |
Entity Registrant Name | GALECTO, INC. | |
Entity Central Index Key | 0001800315 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 37-1957007 | |
Entity Address, Address Line One | 75 State Street | |
Entity Address, Address Line Two | Suite 100 | |
Entity Address, City or Town | Boston | |
Entity Address, State or Province | MA | |
Entity Address, Postal Zip Code | 02109 | |
City Area Code | +45 | |
Local Phone Number | 70 70 52 10 | |
Title of 12(b) Security | Common Stock, par value $0.00001 per share | |
Trading Symbol | GLTO | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 27,112,697 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Current assets | ||
Cash and cash equivalents | $ 23,078 | $ 32,786 |
Marketable securities | 21,100 | 27,438 |
Prepaid expenses and other current assets | 2,876 | 3,686 |
Total current assets | 47,054 | 63,910 |
Marketable securities, non-current | 5,832 | |
Operating lease right-of-use asset | 453 | 810 |
Equipment, net | 125 | 357 |
Other assets, non-current | 2,417 | 2,279 |
Total assets | 50,049 | 73,188 |
Current liabilities | ||
Accounts payable | 4,477 | 3,350 |
Accrued expenses and other current liabilities | 8,078 | 7,757 |
Total current liabilities | 12,555 | 11,107 |
Operating lease liabilities, non-current | 112 | 328 |
Total liabilities | 12,667 | 11,435 |
Commitments and contingencies (Note 9) | ||
Stockholders’ equity | ||
Preferred stock, par value of $0.00001 per share; 10,000,000 shares authorized at September 30, 2023 and December 31, 2022; no shares issued or outstanding as of September 30, 2023 and December 31, 2022 | ||
Common stock, par value of $0.00001 per share; 300,000,000 shares authorized at September 30, 2023 and December 31, 2022; 27,112,697 and 25,652,392 shares issued and outstanding at September 30, 2023 and December 31, 2022, respectively | ||
Additional paid-in capital | 286,946 | 279,733 |
Accumulated deficit | (249,610) | (217,736) |
Accumulated other comprehensive loss | 46 | (244) |
Total stockholders’ equity | 37,382 | 61,753 |
Total liabilities and stockholders' equity | $ 50,049 | $ 73,188 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Sep. 30, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.00001 | $ 0.00001 |
Preferred stock, authorized | 10,000,000 | 10,000,000 |
Preferred stock, issued | 0 | 0 |
Preferred stock, outstanding | 0 | 0 |
Common stock, par value | $ 0.00001 | $ 0.00001 |
Common stock, authorized | 300,000,000 | 300,000,000 |
Common stock, issued | 27,112,697 | 25,652,392 |
Common stock, outstanding | 27,112,697 | 25,652,392 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Loss - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Operating expenses | ||||
Research and development | $ 2,551 | $ 10,494 | $ 21,002 | $ 37,436 |
General and administrative | 3,304 | 3,128 | 9,504 | 10,246 |
Restructuring costs | 2,728 | 2,728 | ||
Total operating expenses | 8,583 | 13,622 | 33,234 | 47,682 |
Loss from operations | (8,583) | (13,622) | (33,234) | (47,682) |
Other income (expense), net | ||||
Interest income, net | 473 | 221 | 1,349 | 438 |
Loss on sale of marketable securities | (70) | |||
Foreign exchange transaction gain (loss), net | (26) | (329) | 11 | (241) |
Total other income, net | 447 | (108) | 1,360 | 127 |
Net loss | $ (8,136) | $ (13,730) | $ (31,874) | $ (47,555) |
Net loss per common share, basic | $ (0.3) | $ (0.54) | $ (1.21) | $ (1.88) |
Net loss per common share, diluted | $ (0.3) | $ (0.54) | $ (1.21) | $ (1.88) |
Weighted-average number of shares used in computing net loss per common share, basic | 27,104,777 | 25,491,786 | 26,391,987 | 25,342,153 |
Weighted-average number of shares used in computing net loss per common share, diluted | 27,104,777 | 25,491,786 | 26,391,987 | 25,342,153 |
Other comprehensive loss, net of tax | ||||
Currency translation gain (loss) | $ 127 | $ (344) | $ 117 | $ (1,233) |
Unrealized gain (loss) on marketable securities | 56 | (82) | 173 | (442) |
Reclassification adjustment for loss included in net income | 70 | |||
Other comprehensive gain (loss), net of tax | 183 | (426) | 290 | (1,605) |
Total comprehensive loss | $ (7,953) | $ (14,156) | $ (31,584) | $ (49,160) |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Changes in Stockholders' Equity - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-In Capital | Accumulated Deficit | Accumulated Other Comprehensive Income (Loss) |
Beginning balance at Dec. 31, 2021 | $ 117,223 | $ 273,655 | $ (156,112) | $ (320) | |
Beginning balance (in shares) at Dec. 31, 2021 | 25,261,832 | ||||
Stock-based compensation expense | 4,222 | 4,222 | |||
Issuance of common stock; net of issuance costs | 442 | 442 | |||
Issuance of common stock; net of issuance costs (in shares) | 319,197 | ||||
Other comprehensive gain (loss), net | (1,605) | (1,605) | |||
Net loss | (47,555) | (47,555) | |||
Ending balance at Sep. 30, 2022 | 72,727 | 278,319 | (203,667) | (1,925) | |
Ending balance (in shares) at Sep. 30, 2022 | 25,581,029 | ||||
Beginning balance at Jun. 30, 2022 | 85,065 | 276,501 | (189,937) | (1,499) | |
Beginning balance (in shares) at Jun. 30, 2022 | 25,342,138 | ||||
Stock-based compensation expense | 1,398 | 1,398 | |||
Issuance of common stock; net of issuance costs | 420 | 420 | |||
Issuance of common stock; net of issuance costs (in shares) | 238,891 | ||||
Other comprehensive gain (loss), net | (426) | (426) | |||
Net loss | (13,730) | (13,730) | |||
Ending balance at Sep. 30, 2022 | 72,727 | 278,319 | (203,667) | (1,925) | |
Ending balance (in shares) at Sep. 30, 2022 | 25,581,029 | ||||
Beginning balance at Dec. 31, 2022 | 61,753 | 279,733 | (217,736) | (244) | |
Beginning balance (in shares) at Dec. 31, 2022 | 25,652,392 | ||||
Stock-based compensation expense | 4,337 | 4,337 | |||
Issuance of common stock; net of issuance costs | 2,876 | 2,876 | |||
Issuance of common stock; net of issuance costs (in shares) | 1,460,305 | ||||
Other comprehensive gain (loss), net | 290 | 290 | |||
Net loss | (31,874) | (31,874) | |||
Ending balance at Sep. 30, 2023 | 37,382 | 286,946 | (249,610) | 46 | |
Ending balance (in shares) at Sep. 30, 2023 | 27,112,697 | ||||
Beginning balance at Jun. 30, 2023 | 43,700 | 285,311 | (241,474) | (137) | |
Beginning balance (in shares) at Jun. 30, 2023 | 27,021,899 | ||||
Stock-based compensation expense | 1,464 | 1,464 | |||
Issuance of common stock; net of issuance costs | 171 | 171 | |||
Issuance of common stock; net of issuance costs (in shares) | 90,798 | ||||
Other comprehensive gain (loss), net | 183 | 183 | |||
Net loss | (8,136) | (8,136) | |||
Ending balance at Sep. 30, 2023 | $ 37,382 | $ 286,946 | $ (249,610) | $ 46 | |
Ending balance (in shares) at Sep. 30, 2023 | 27,112,697 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Changes in Stockholders' Equity (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2023 | Sep. 30, 2022 | |
Statement of Stockholders' Equity [Abstract] | |||
Common stock issuance costs, net | $ 0.1 | $ 0.2 | $ 0.2 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows - USD ($) | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Cash flows from operating activities: | ||
Net loss | $ (31,874,000) | $ (47,555,000) |
Adjustment to reconcile net loss to net cash used in operating activities: | ||
Depreciation | 246,000 | 21,000 |
Stock-based compensation | 4,337,000 | 4,222,000 |
Amortization of premiums and discounts on marketable securities | (406,000) | 447,000 |
Net loss on sale of marketable securities | 70,000 | |
Amortization of right of use lease asset | 355,000 | 305,000 |
Accretion of lease liability | 40,000 | 36,000 |
Changes in operating assets and liabilities: | ||
Prepaid expenses and other current assets | 812,000 | 7,802,000 |
Other assets, noncurrent | (141,000) | (785,000) |
Accounts payable | 1,127,000 | 376,000 |
Accrued expenses and other current liabilities | 445,000 | 3,919,000 |
Operating lease liabilities | (378,000) | (342,000) |
Net cash used in operating activities | (25,437,000) | (31,484,000) |
Cash flows from investing activities: | ||
Purchases of marketable securities | (25,937,000) | (40,656,000) |
Proceeds from sale of marketable securities | 38,687,000 | 38,865,000 |
Purchases of property and equipment | (155,000) | |
Net cash provided by (used in) investing activities | 12,750,000 | (1,946,000) |
Cash flows from financing activities: | ||
Proceeds from issuance of common stock, net of issuance costs | 2,876,000 | 442,000 |
Net cash provided by financing activities | 2,876,000 | 442,000 |
Net decrease in cash and cash equivalents | (9,811,000) | (32,988,000) |
Effect of exchange rate changes on cash and cash equivalents | 103,000 | (1,239,000) |
Cash and cash equivalents, beginning of period | 32,786,000 | 62,563,000 |
Cash and cash equivalents, end of period | $ 23,078,000 | 28,336,000 |
Supplemental disclosures of noncash activities: | ||
Operating lease liabilities arising from obtaining right-of-use assets | $ 449,000 |
Description of Business, Organi
Description of Business, Organization and Liquidity | 9 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Description of Business, Organization and Liquidity | 1. DESCRIPTION OF BUSINESS, ORGANIZATION AND LIQUIDITY Business and Organization Galecto, Inc., together with its consolidated subsidiaries (the “Company” or “Galecto”), is a clinical-stage biotechnology company developing novel therapeutics that are designed to target the biological processes that lie at the heart of fibrotic diseases and cancer. The Company’s initial focus is on the development of small molecule inhibitors of galectin-3 and lysyl oxidase-like 2 ("LOXL2”), which play key roles in regulating fibrosis and cancer. As of September 30, 2023, the Company’s wholly owned subsidiaries were PharmAkea, Inc. or PharmAkea, Galecto Securities Corporation, and Galecto Biotech AB, a Swedish company. Galecto Biotech ApS, a Danish operating company, is a wholly-owned subsidiary of Galecto Biotech AB. Risks and uncertainties The Company is subject to risks common to companies in the biotechnology industry, including, but not limited to, new technological innovations, protection of proprietary technology, dependence on key personnel, compliance with government regulations and the need to obtain additional financing. Product candidates currently under development will require significant additional research and development efforts, including extensive preclinical and clinical testing and regulatory approval, prior to commercialization. These efforts require significant amounts of additional capital, adequate personnel infrastructure and extensive compliance reporting capabilities. The Company’s product candidates are in development. There can be no assurance that the Company’s research and development will be successfully completed, that adequate protection for the Company’s intellectual property will be obtained, that any products developed will obtain necessary government regulatory approval or that 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. In addition, the Company is dependent upon the services of its employees and consultants. In September 2023, the Company undertook an organizational restructuring and determined to conduct a comprehensive exploration of strategic alternatives. The restructuring and pursuit of strategic alternatives involves risks. There can be no assurance that the Company’s significantly reduced workforce will be sufficient to pursue the strategic alternatives and the development of the Company’s product candidates. Additionally, availability of suitable third parties with which to conduct contemplated strategic transactions may be limited and whether the Company will be able to pursue a strategic transaction, or whether any transaction, if pursued, will be completed on attractive terms or at all is uncertain. Liquidity and management plans Since inception, the Company has devoted substantially all its efforts to business planning, research and development, recruiting management and technical staff and raising capital, and has financed its operations primarily through the issuance of redeemable convertible preferred shares, debt financings, the Company’s initial public offering (“IPO”) and sales of the Company's common stock in "at-the-market" offerings. As of September 30, 2023, the Company had an accumulated deficit of $ 249.6 million, from recurring losses since inception in 2011. The Company has incurred recurring losses and has no sales as none of its product candidates have obtained the necessary regulatory approval for commercialization and to be marketed as approved products. The Company expects to continue to incur losses following the Company’s reduced clinical development and corporate general and administrative activities resulting from the restructuring and its exploration of strategic alternatives. The Company had negative cash flows from operating activities during the nine months ended September 30, 2023 and 2022 of $ 25.4 million and $ 31.5 million, respectively, and current projections indicate that the Company will have continued negative cash flows for the foreseeable future. Net losses incurred for the three and nine months ended September 30, 2023 were $ 8.1 million and $ 31.9 million, respectively. Net losses incurred for the three and nine months ended September 30, 2022 were $ 13.7 million and $ 47.6 million, respectively. At September 30, 2023, the Company’s cash, cash equivalents and marketable securities amounted to $ 44.2 million and current assets amounted to $ 47.1 million and current liabilities amounted to $ 12.6 million. At December 31, 2022 , the Company’s cash, cash equivalents and marketable securities amounted to $ 66.1 million, current assets amounted to $ 63.9 million and current liabilities amounted to $ 11.1 million. On September 26, 2023, the Company announced a restructuring plan to reduce the Company's operations to preserve financial resources, resulting in a reduction of the Company’s workforce by up to 29 people, or approximately 70 % of the Company's existing headcount. As a result, the Company estimates that it will incur approximately $ 3.4 million in restructuring charges in connection with the restructuring, consisting primarily of cash-based expenses related to employee severance and notice period payments, benefits and related costs. The Company incurred restructuring charges of $ 2.7 million in the third quarter of 2023 and expects that the execution of the restructuring plan will be substantially complete by the end of the fourth quarter of 2023. Additionally, the Company has initiated a process to evaluate strategic alternatives in order to maximize stockholder value. As part of the strategic review process, the Company is exploring potential strategic alternatives that include, without limitation, an acquisition, merger, business combination or other transactions. The Company is also exploring strategic alternatives related to its product candidates and related assets, including, without limitation, licensing transactions and asset sales. There can be no assurance that the strategic review process will result in the Company pursuing a transaction, or that any transaction, if pursued, will be completed on terms favorable to the Company and its stockholders. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accompanying interim condensed consolidated financial statements have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”). The accompanying interim condensed consolidated financial statements as of September 30, 2023 and for the three and nine months ended September 30, 2023 and 2022, and related interim information contained within the notes to the interim condensed consolidated financial statements, are unaudited. In management’s opinion, the unaudited interim condensed consolidated financial statements have been prepared on the same basis as the Company’s audited consolidated financial statements and include all adjustments (including normal recurring adjustments) necessary for the fair presentation of the Company’s financial position as of September 30, 2023, results of operations, statement of stockholders’ equity for the three and nine months ended September 30, 2023 and 2022 and its cash flows for the nine months ended September 30, 2023 and 2022. All intercompany balances and transactions have been eliminated. These unaudited interim condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and accompanying notes contained in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2022, as filed with the Securities and Exchange Commission (“SEC”) on March 9, 2023 ("2022 Consolidated Financial Statements"). The results for the three and nine months ended September 30, 2023 are not necessarily indicative of the results expected for the full fiscal year or any interim period. For the nine months ended September 30, 2023, there have been no changes to the significant accounting policies as disclosed in Note 2 to the 2022 Consolidated Financial Statements. Recently issued accounting standards The Company periodically reviews new accounting standards that are issued and has not identified any new standards that it believes merit further discussion or would have a significant impact on its financial statements. |
Investments
Investments | 9 Months Ended |
Sep. 30, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments | 3. INVESTMENTS Cash in excess of the Company’s immediate requirements is invested in accordance with the Company’s investment policy that primarily seeks to maintain adequate liquidity and preserve capital. A summary of the Company’s available-for-sale investments as of September 30, 2023 and December 31, 2022 consisted of the following (in thousands): At September 30, 2023 Amortized Gross Unrealized Gross Unrealized Fair Marketable securities: Cost Gains Losses Value Corporate bonds $ 21,193 $ — $ ( 93 ) $ 21,100 Total $ 21,193 $ — $ ( 93 ) $ 21,100 At December 31, 2022 Amortized Gross Unrealized Gross Unrealized Fair Marketable securities: Cost Gains Losses Value Corporate bonds $ 27,573 $ — $ ( 135 ) $ 27,438 Total $ 27,573 $ — $ ( 135 ) $ 27,438 Marketable securities, noncurrent: Corporate bonds $ 5,963 $ — $ ( 131 ) $ 5,832 Total $ 5,963 $ — $ ( 131 ) $ 5,832 |
Property and Equipment, Net
Property and Equipment, Net | 9 Months Ended |
Sep. 30, 2023 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment, Net | 4. PROPERTY AND EQUIPMENT, NET Property and equipment as of September 30, 2023 consisted of the following (in thousands): September 30, December 31, 2023 2022 Equipment $ 430 $ 419 Less: accumulated depreciation ( 305 ) ( 62 ) Equipment, net $ 125 $ 357 Depreciation expense for the three and nine months ended September 30, 2023 was $ 211,000 and $ 246,000 , respectively. Depreciation expense for the three and nine months ended September 30, 2022 was $ 6,000 and $ 21,000 , respectively. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 5. FAIR VALUE MEASUREMENTS Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value are performed in a manner to maximize the use of observable inputs and minimize the use of unobservable inputs. The Company classified its money market funds within Level 1 because their fair values are based on their quoted market prices. The Company classified its debt securities within Level 2 because their fair values are determined using alternative pricing sources or models that utilized market observable inputs. A summary of the assets that are measured at fair value as of September 30, 2023 and December 31, 2022 is as follows (in thousands): Fair Value Measurement at Assets: Carrying Quoted Prices in Significant Significant Money market funds (1) $ 18,853 $ 18,853 $ — $ — Debt securities 21,100 — 21,100 — Total $ 39,953 $ 18,853 $ 21,100 $ — Fair Value Measurement at Assets: Carrying Quoted Prices in Significant Significant Money market funds (1) $ 16,445 16,445 — — Debt securities 33,270 — 33,270 — Total $ 49,715 $ 16,445 $ 33,270 $ — (1) Money market funds with maturities of 90 days or less at the date of purchase are included within cash and cash equivalents in the accompanying condensed consolidated balance sheets and are recognized at fair value . |
Prepaid Expenses and Other Curr
Prepaid Expenses and Other Current Assets | 9 Months Ended |
Sep. 30, 2023 | |
Prepaid Expense and Other Assets, Current [Abstract] | |
Prepaid Expenses and Other Current Assets | 6. PREPAID EXPENSES AND OTHER CURRENT ASSETS Prepaid expenses and other current assets consist of the following (in thousands): September 30, December 31, 2023 2022 Contract research and development costs $ 1,433 $ 1,450 Research and development tax credit receivable 781 792 Prepaid insurance costs 109 805 Value-added tax refund receivable 419 587 Other 134 52 Total prepaid expenses and other current assets $ 2,876 $ 3,686 |
Leases
Leases | 9 Months Ended |
Sep. 30, 2023 | |
Leases [Abstract] | |
Leases | 7. LEASES The Company has the following operating leases: Location Primary Use Lease Renewal Option Copenhagen, Denmark Corporate headquarters January 2025 None London, United Kingdom Office space February 2024 None Gothenburg, Sweden Office space November 2023 None Gothenburg, Sweden Office space August 2026 None Stevenage, United Kingdom Laboratory space August 2025 None The Company has no finance leases and has elected to apply the short-term lease exception to all leases of one year or less. Rent expense for the three and nine months ended September 30, 2023 was $ 0.2 million and $ 0.5 million, respectively. Rent expense for the three and nine months ended September 30, 2022 was $ 0.1 million and $ 0.4 million, respectively. Quantitative information regarding the Company’s leases for the three and nine months ended September 30, 2023 and 2022 was as follows: Three Months Ended Nine Months Ended Lease Cost 2023 2022 2023 2022 Operating lease cost (in thousands) $ 135 $ 125 $ 411 $ 368 Other Information Operating cash flows paid for amounts included (in thousands) $ 121 $ 134 $ 394 $ 368 Operating lease liabilities arising from obtaining (in thousands) $ — $ 449 $ — $ 449 As of September 30, 2023 and December 31, 2022 , the weighted average remaining lease term for operating leases was 1.3 years and 1.8 years, respectively. As of September 30, 2023 and December 31, 2022 , the weighted average discount rate for operating leases was 8 % for both periods. Operating lease liabilities at September 30, 2023 are as follows (in thousands): Operating Future Lease Payments Leases 2023 (excluding the period ended September 30, 2023) $ 147 2024 291 2025 51 2026 — 2027 — Total lease payments 489 Less: imputed interest ( 25 ) Total lease liabilities $ 464 |
Accrued Expenses and Other Curr
Accrued Expenses and Other Current Liabilities | 9 Months Ended |
Sep. 30, 2023 | |
Payables and Accruals [Abstract] | |
Accrued Expenses and Other Current Liabilities | 8. ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES Accrued expenses and other current liabilities consist of the following (in thousands): September 30, December 31, 2023 2022 Contract research and development costs $ 3,342 $ 6,145 Employee compensation costs 4,035 597 Operating lease liabilities, current 352 476 Other liabilities 349 539 Total accrued expenses and other current liabilities $ 8,078 $ 7,757 |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 9. COMMITMENTS AND CONTINGENCIES During the three and nine months ended September 30, 2023 , there were no material changes to the Company’s commitments and contingencies as disclosed in Note 9 of the 2022 Consolidated Financial Statements. Further, the Company’s commitments related to lease agreements are disclosed in Note 7 to the Company’s unaudited interim condensed consolidated financial statements. |
Stock-Based Compensation
Stock-Based Compensation | 9 Months Ended |
Sep. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-Based Compensation | 10. STOCK-BASED COMPENSATION Employee equity plan In March 2020, the Company's Board of Directors and stockholders approved the 2020 Stock Option and Grant Plan (“2020 Plan”). Holders of stock options under the 2020 Plan shall be entitled to exercise the vested portion of the stock option during the term of the grant. If a qualified exit, as defined in the 2020 Plan, occurs, then all of the holders' unvested options shall vest immediately. In October 2020, the Company's Board of Directors and stockholders approved the 2020 Equity Incentive Plan (“2020 Equity Plan”). Following the adoption of the 2020 Equity Plan, no further options are available to be issued under the 2020 Plan. Stock options granted under the 2020 Equity Plan generally vest over a four-year period and expire ten years from the grant date. The shares available for grant under the 2020 Equity Plan will cumulatively increase by 5 percent of the number of shares of common stock issued and outstanding on January 1 st each year. At September 30, 2023 , the Company had 645,815 shares available for future grant under the 2020 Equity Plan. The following table sets forth the activity for the Company’s stock options during the nine months ended September 30, 2023: Number of Weighted- Weighted- Aggregate Outstanding at December 31, 2022 5,778,885 $ 5.43 7.9 $ — Granted 1,923,350 1.28 — 433,020 Cancelled ( 401,979 ) 2.57 — 11,445 Outstanding at September 30, 2023 7,300,256 $ 4.49 6.9 $ - Vested and expected to vest at September 30, 2023 6,996,114 $ 4.45 6.9 $ - Vested and exercisable at September 30, 2023 4,299,129 $ 5.31 5.7 $ - The weighted-average grant date fair value of all stock options granted for the nine months ended September 30, 2023 was $ 0.95 . The intrinsic value at September 30, 2023 and December 31, 2022 was based on the closing price of the Company’s common stock on that date of $ 0.72 and $ 1.15 per share, respectively. In November 2022, the Company's Board of Directors approved the 2022 Inducement Plan (the “Inducement Plan”), which allows for the grant of equity awards to be made to a new employee where the equity award is a material inducement to an employee entering into employment with the Company. The Inducement Plan was adopted by the Company's Board of Directors without stockholder approval pursuant to Nasdaq Listing Rule 5635(c)(4). A total of 250,000 shares of the Company's common stock have been reserved for issuance under the Inducement Plan. As of September 30, 2023 , no shares have been issued under the Inducement Plan. Stock-based compensation The grant date fair value of stock options vested during the nine months ended September 30, 2023 and 2022 was $ 5.0 million and $ 5.7 million, respectively. Total unrecognized compensation expense related to unvested options granted under the Company’s stock-based compensation plan was $ 6.9 million at September 30, 2023 , which is expected to be recognized over a weighted average period of 1.8 years. The Company recorded stock-based compensation expense related to the issuance of stock as follows (in thousands): Three Months Ended Nine Months Ended 2023 2022 2023 2022 Research and development $ 712 $ 657 $ 2,082 $ 1,980 General and administrative 752 741 2,255 2,242 Total stock-based compensation $ 1,464 $ 1,398 $ 4,337 $ 4,222 The Company uses a Black-Scholes option pricing model to determine fair value of its stock options. The Black-Scholes option pricing model includes various assumptions, including the fair value of common shares, expected life of stock options, the expected volatility based on the historical volatility of a publicly traded set of peer companies and the expected risk-free interest rate based on the implied yield on a U.S. Treasury security. The fair values of the options granted were estimated using the following assumptions: Nine Months Ended September 30, 2023 2022 Risk-free interest rate 3.8 % 1.7 % Expected term (in years) 6.0 6.0 Expected volatility 91.0 % 90.0 % Expected dividend yield — — |
Restructuring Activies
Restructuring Activies | 9 Months Ended |
Sep. 30, 2023 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Activies | 11. RESTRUCTURING ACTIVIES In September 2023, the Company’s Board of Directors approved a restructuring plan (the “Restructuring Plan”) to reduce the Company’s operating costs and better align its workforce with the needs of its business. The Restructuring Plan eliminated approximately 70 % of the Company’s workforce. Employees affected by the Restructuring Plan obtained involuntary termination benefits pursuant to a one-time benefit arrangement. For employees who were notified of their termination in September 2023 and have no requirements to provide future service, the Company recognized the liability for the termination benefits in full at fair value for the period ended September 30, 2023. For employees who are required to render services beyond a minimum retention period to receive their one-time termination benefits, the Company is recognizing the termination benefits ratably over their future service periods. The service periods began in October 2023 and all will end in December 2023. The Company recorded employee termination benefit charges during the three months ended September 30, 2023 of $ 2.7 million and has included them as operating expenses in the Condensed Consolidated Statements of Operations and Comprehensive Loss. In addition, the Board of Directors approved arrangements designed to provide that the Company will have the continued dedication and commitment of its remaining employees, including executives, determined to be key to the Company’s planned go-forward operations. The Board of Directors approved, and management implemented, a retention program for employees remaining with the Company which includes cash retention bonuses totaling $ 1.2 million for certain retained employees, provided that they remain within the Company through various requisite service periods. As a result, these cash retention bonuses are being accrued over the requisite service period. During the period ended September 30, 2023, there has been no retention accrual recognized. |
Net Loss Per Share
Net Loss Per Share | 9 Months Ended |
Sep. 30, 2023 | |
Earnings Per Share [Abstract] | |
Net Loss Per Share | 12. NET LOSS PER SHARE Basic and diluted net loss per share is calculated as follows (in thousands except share and per share amounts): Three Months Ended Nine Months Ended 2023 2022 2023 2022 Net loss $ ( 8,136 ) $ ( 13,730 ) $ ( 31,874 ) $ ( 47,555 ) Weighted-average number of shares used in computing net loss 27,104,777 25,491,786 26,391,987 25,342,153 Net loss per common share, basic and diluted $ ( 0.30 ) $ ( 0.54 ) $ ( 1.21 ) $ ( 1.88 ) The following outstanding potentially dilutive securities have been excluded from the calculation of diluted net loss per share, as their effect is anti-dilutive: Nine Months Ended 2023 2022 Stock options to purchase common stock 7,300,256 5,810,228 |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2023 | |
Subsequent Events [Abstract] | |
Subsequent Events | 13. SUBSEQUENT EVENTS The Company has evaluated subsequent events through the date on which the unaudited interim condensed consolidated financial statements were issued. The Company has concluded that no subsequent events have occurred that require disclosure to the unaudited interim condensed consolidated financial statements. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Recently issued accounting standards | Recently issued accounting standards The Company periodically reviews new accounting standards that are issued and has not identified any new standards that it believes merit further discussion or would have a significant impact on its financial statements. |
Investments (Tables)
Investments (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Summary of Available-for-Sale Investments | A summary of the Company’s available-for-sale investments as of September 30, 2023 and December 31, 2022 consisted of the following (in thousands): At September 30, 2023 Amortized Gross Unrealized Gross Unrealized Fair Marketable securities: Cost Gains Losses Value Corporate bonds $ 21,193 $ — $ ( 93 ) $ 21,100 Total $ 21,193 $ — $ ( 93 ) $ 21,100 At December 31, 2022 Amortized Gross Unrealized Gross Unrealized Fair Marketable securities: Cost Gains Losses Value Corporate bonds $ 27,573 $ — $ ( 135 ) $ 27,438 Total $ 27,573 $ — $ ( 135 ) $ 27,438 Marketable securities, noncurrent: Corporate bonds $ 5,963 $ — $ ( 131 ) $ 5,832 Total $ 5,963 $ — $ ( 131 ) $ 5,832 |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Property, Plant and Equipment [Abstract] | |
Summary of Property and Equipment | Property and equipment as of September 30, 2023 consisted of the following (in thousands): September 30, December 31, 2023 2022 Equipment $ 430 $ 419 Less: accumulated depreciation ( 305 ) ( 62 ) Equipment, net $ 125 $ 357 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Summary of Assets Measured at Fair Value | A summary of the assets that are measured at fair value as of September 30, 2023 and December 31, 2022 is as follows (in thousands): Fair Value Measurement at Assets: Carrying Quoted Prices in Significant Significant Money market funds (1) $ 18,853 $ 18,853 $ — $ — Debt securities 21,100 — 21,100 — Total $ 39,953 $ 18,853 $ 21,100 $ — Fair Value Measurement at Assets: Carrying Quoted Prices in Significant Significant Money market funds (1) $ 16,445 16,445 — — Debt securities 33,270 — 33,270 — Total $ 49,715 $ 16,445 $ 33,270 $ — (1) Money market funds with maturities of 90 days or less at the date of purchase are included within cash and cash equivalents in the accompanying condensed consolidated balance sheets and are recognized at fair value . |
Prepaid Expenses and Other Cu_2
Prepaid Expenses and Other Current Assets (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Prepaid Expense and Other Assets, Current [Abstract] | |
Schedule of Prepaid Expenses and Other Current Assets | Prepaid expenses and other current assets consist of the following (in thousands): September 30, December 31, 2023 2022 Contract research and development costs $ 1,433 $ 1,450 Research and development tax credit receivable 781 792 Prepaid insurance costs 109 805 Value-added tax refund receivable 419 587 Other 134 52 Total prepaid expenses and other current assets $ 2,876 $ 3,686 |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Leases [Abstract] | |
Summary of Operating Leases | The Company has the following operating leases: Location Primary Use Lease Renewal Option Copenhagen, Denmark Corporate headquarters January 2025 None London, United Kingdom Office space February 2024 None Gothenburg, Sweden Office space November 2023 None Gothenburg, Sweden Office space August 2026 None Stevenage, United Kingdom Laboratory space August 2025 None |
Quantitative Information Regarding Leases | Quantitative information regarding the Company’s leases for the three and nine months ended September 30, 2023 and 2022 was as follows: Three Months Ended Nine Months Ended Lease Cost 2023 2022 2023 2022 Operating lease cost (in thousands) $ 135 $ 125 $ 411 $ 368 Other Information Operating cash flows paid for amounts included (in thousands) $ 121 $ 134 $ 394 $ 368 Operating lease liabilities arising from obtaining (in thousands) $ — $ 449 $ — $ 449 |
Summary of Operating Lease Liabilities | Operating lease liabilities at September 30, 2023 are as follows (in thousands): Operating Future Lease Payments Leases 2023 (excluding the period ended September 30, 2023) $ 147 2024 291 2025 51 2026 — 2027 — Total lease payments 489 Less: imputed interest ( 25 ) Total lease liabilities $ 464 |
Accrued Expenses And Other Cu_2
Accrued Expenses And Other Current Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Expenses and Other Current Liabilities | Accrued expenses and other current liabilities consist of the following (in thousands): September 30, December 31, 2023 2022 Contract research and development costs $ 3,342 $ 6,145 Employee compensation costs 4,035 597 Operating lease liabilities, current 352 476 Other liabilities 349 539 Total accrued expenses and other current liabilities $ 8,078 $ 7,757 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Summary of Stock Options Activity | The following table sets forth the activity for the Company’s stock options during the nine months ended September 30, 2023: Number of Weighted- Weighted- Aggregate Outstanding at December 31, 2022 5,778,885 $ 5.43 7.9 $ — Granted 1,923,350 1.28 — 433,020 Cancelled ( 401,979 ) 2.57 — 11,445 Outstanding at September 30, 2023 7,300,256 $ 4.49 6.9 $ - Vested and expected to vest at September 30, 2023 6,996,114 $ 4.45 6.9 $ - Vested and exercisable at September 30, 2023 4,299,129 $ 5.31 5.7 $ - |
Summary of Stock-based Compensation Expense | The Company recorded stock-based compensation expense related to the issuance of stock as follows (in thousands): Three Months Ended Nine Months Ended 2023 2022 2023 2022 Research and development $ 712 $ 657 $ 2,082 $ 1,980 General and administrative 752 741 2,255 2,242 Total stock-based compensation $ 1,464 $ 1,398 $ 4,337 $ 4,222 |
Summary of Fair Value Assumptions of Options Granted | The fair values of the options granted were estimated using the following assumptions: Nine Months Ended September 30, 2023 2022 Risk-free interest rate 3.8 % 1.7 % Expected term (in years) 6.0 6.0 Expected volatility 91.0 % 90.0 % Expected dividend yield — — |
Net Loss Per Share (Tables)
Net Loss Per Share (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Basic and Diluted Net Loss Per Share | Basic and diluted net loss per share is calculated as follows (in thousands except share and per share amounts): Three Months Ended Nine Months Ended 2023 2022 2023 2022 Net loss $ ( 8,136 ) $ ( 13,730 ) $ ( 31,874 ) $ ( 47,555 ) Weighted-average number of shares used in computing net loss 27,104,777 25,491,786 26,391,987 25,342,153 Net loss per common share, basic and diluted $ ( 0.30 ) $ ( 0.54 ) $ ( 1.21 ) $ ( 1.88 ) |
Schedule of Antidilutive Securities Excluded from Calculation of Diluted Net Loss Per Share | The following outstanding potentially dilutive securities have been excluded from the calculation of diluted net loss per share, as their effect is anti-dilutive: Nine Months Ended 2023 2022 Stock options to purchase common stock 7,300,256 5,810,228 |
Description of Business, Orga_2
Description of Business, Organization and Liquidity - Additional Information (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 26, 2023 USD ($) People | Sep. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) | Sep. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) | Dec. 31, 2022 USD ($) | |
Description Of Business Organization And Liquidity [Line Items] | ||||||
Accumulated deficit | $ 249,610 | $ 249,610 | $ 217,736 | |||
Net loss | (8,100) | $ (13,700) | (31,874) | $ (47,555) | ||
Cash, cash equivalents and marketable securities | 44,200 | 44,200 | 66,100 | |||
Current assets | 47,054 | 47,054 | 63,910 | |||
Current liabilities | 12,555 | 12,555 | $ 11,107 | |||
Restructuring charges | $ 3,400 | $ 2,700 | ||||
Work force reduction precentage | 70% | |||||
Number of employees reduced due to restructuring | People | 29 | |||||
Clinical Development and Corporate General and Administrative Activities | ||||||
Description Of Business Organization And Liquidity [Line Items] | ||||||
Net loss | $ (25,400) | $ (31,500) |
Investments - Summary of Availa
Investments - Summary of Available-for-Sale Investments (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Schedule of Available for Sale Securities [Line Items] | ||
Debt Securities, Available-for-sale, Type [Extensible List] | us-gaap:CorporateDebtSecuritiesMember | us-gaap:CorporateDebtSecuritiesMember |
Investments - Current | ||
Schedule of Available for Sale Securities [Line Items] | ||
Amortized Cost | $ 21,193 | $ 27,573 |
Gross Unrealized Losses | (93) | (135) |
Fair Value | $ 21,100 | 27,438 |
Investments - Noncurrent | ||
Schedule of Available for Sale Securities [Line Items] | ||
Amortized Cost | 5,963 | |
Gross Unrealized Losses | (131) | |
Fair Value | $ 5,832 |
Property and Equipment, Net - S
Property and Equipment, Net - Summary of Property and Equipment (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Property Plant And Equipment [Line Items] | ||
Total property and equipment | $ 430 | $ 419 |
Less: accumulated depreciation | (305) | (62) |
Equipment, net | $ 125 | $ 357 |
Property and Equipment, Net - A
Property and Equipment, Net - Additional Information (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Property, Plant and Equipment [Abstract] | ||||
Depreciation expense | $ 211,000 | $ 6,000 | $ 246,000 | $ 21,000 |
Fair Value Measurements - Summa
Fair Value Measurements - Summary of Assets Measured at Fair Value (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Assets fair value | $ 39,953 | $ 49,715 | |
Money Market Funds | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Assets fair value | [1] | 18,853 | 16,445 |
Debt Securities | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Assets fair value | 21,100 | 33,270 | |
Level 1 | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Assets fair value | 18,853 | 16,445 | |
Level 1 | Money Market Funds | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Assets fair value | [1] | 18,853 | 16,445 |
Level 2 | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Assets fair value | 21,100 | 33,270 | |
Level 2 | Debt Securities | |||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||
Assets fair value | $ 21,100 | $ 33,270 | |
[1] Money market funds with maturities of 90 days or less at the date of purchase are included within cash and cash equivalents in the accompanying condensed consolidated balance sheets and are recognized at fair value |
Prepaid Expenses and Other Cu_3
Prepaid Expenses and Other Current Assets - Schedule of Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Prepaid Expense and Other Assets, Current [Abstract] | ||
Contract research and development costs | $ 1,433 | $ 1,450 |
Research and development tax credit receivable | 781 | 792 |
Prepaid insurance costs | 109 | 805 |
Value-added tax refund receivable | 419 | 587 |
Other | 134 | 52 |
Total prepaid expenses and other current assets | $ 2,876 | $ 3,686 |
Leases - Summary of Operating L
Leases - Summary of Operating Leases (Details) | 9 Months Ended |
Sep. 30, 2023 | |
Copenhagen, Denmark | |
Operating Leased Assets [Line Items] | |
Operating lease, expiration date | Jan. 31, 2025 |
Operating lease,renewal option | None |
London,United Kingdom | |
Operating Leased Assets [Line Items] | |
Operating lease, expiration date | Feb. 29, 2024 |
Operating lease,renewal option | None |
Gothenburg, Sweden | |
Operating Leased Assets [Line Items] | |
Operating lease, expiration date | Nov. 30, 2023 |
Operating lease,renewal option | None |
Gothenburg, Sweden | |
Operating Leased Assets [Line Items] | |
Operating lease, expiration date | Aug. 31, 2026 |
Operating lease,renewal option | None |
Stevenage, United Kingdom | |
Operating Leased Assets [Line Items] | |
Operating lease, expiration date | Aug. 31, 2025 |
Operating lease,renewal option | None |
Leases - Additional Information
Leases - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Leases [Line Items] | |||||
Rent expense | $ 0.2 | $ 0.1 | $ 0.5 | $ 0.4 | |
Weighted average remaining lease term for operating leases | 1 year 3 months 18 days | 1 year 3 months 18 days | 1 year 9 months 18 days | ||
Weighted average discount rate for operating leases | 8% | 8% | 8% |
Leases - Quantitative Informati
Leases - Quantitative Information Regarding Leases (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Lease Cost | ||||
Operating lease cost (in thousands) | $ 135 | $ 125 | $ 411 | $ 368 |
Operating cash flows paid for amounts included in the measurement of lease liabilities (in thousands) | $ 121 | 134 | $ 394 | 368 |
Operating lease liabilities arising from obtaining right-of-use assets (in thousands) | $ 449 | $ 449 |
Leases - Summary of Operating_2
Leases - Summary of Operating Lease Liabilities (Details) $ in Thousands | Sep. 30, 2023 USD ($) |
Future Lease Payments | |
2023 (excluding the period ended September 30, 2023) | $ 147 |
2024 | 291 |
2025 | 51 |
Total lease payments | 489 |
Less: imputed interest | (25) |
Total lease liabilities | $ 464 |
Accrued Expenses and Other Cu_3
Accrued Expenses and Other Current Liabilities - Schedule of Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Payables and Accruals [Abstract] | ||
Contract research and development costs | $ 3,342 | $ 6,145 |
Employee compensation costs | 4,035 | 597 |
Operating lease liabilities, current | $ 352 | $ 476 |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Accrued Liabilities and Other Liabilities | Accrued Liabilities and Other Liabilities |
Other liabilities | $ 349 | $ 539 |
Total accrued expenses and other current liabilities | $ 8,078 | $ 7,757 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Oct. 31, 2020 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | Nov. 30, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Issuance and sale of common stock | $ 171 | $ 420 | $ 2,876 | $ 442 | |||
Number of options, granted | 1,923,350 | ||||||
Stock Options | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Weighted-average grant date fair value of stock options granted | $ 0.95 | ||||||
Intrinsic value per share of stock options | $ 0.72 | $ 1.15 | |||||
Fair value of stock options vested | $ 5,000 | $ 5,700 | |||||
2020 Plan | Unvested Options | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Unrecognized compensation expense | $ 6,900 | $ 6,900 | |||||
2020 Plan | Stock Options | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares available for future grant | 0 | ||||||
2020 Equity Incentive Plan | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares available for future grant | 645,815 | 645,815 | |||||
2020 Equity Incentive Plan | Unvested Options | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Unrecognized compensation expense that is expected to be recognized over a weighted-average period | 1 year 9 months 18 days | ||||||
2020 Equity Incentive Plan | Stock Options | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock options, vesting period | 4 years | ||||||
Stock options, expiration period | 10 years | ||||||
Percentage increase of number of shares of common stock issued and outstanding | 5% | ||||||
Common Stock | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of aggregate shares of common stock sold | 90,798 | 238,891 | 1,460,305 | 319,197 | |||
Common Stock | 2022 Inducement Plan | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares available for future grant | 250,000 | ||||||
Shares issued | 0 |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Stock Options Activity (Details) - USD ($) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2023 | Dec. 31, 2022 | |
Share-Based Payment Arrangement [Abstract] | ||
Number of Options, Outstanding | 5,778,885 | |
Number of Options, Granted | 1,923,350 | |
Number of Options, Cancelled | (401,979) | |
Number of Options, Outstanding | 7,300,256 | 5,778,885 |
Number of Options, Vested and expected to vest | 6,996,114 | |
Number of Options, Vested and exercisable | 4,299,129 | |
Weighted average exercise price per share, Outstanding | $ 5.43 | |
Weighted average exercise price per share, Granted | 1.28 | |
Weighted average exercise price per share, Cancelled | 2.57 | |
Weighted average exercise price per share, Outstanding | 4.49 | $ 5.43 |
Weighted average exercise price per share, Vested and expected | 4.45 | |
Weighted average exercise price per share, Vested and exercisable | $ 5.31 | |
Weighted average remaining contractual term (in years), Outstanding | 6 years 10 months 24 days | 7 years 10 months 24 days |
Weighted average remaining contractual term (in years), Vested and expected to vest | 6 years 10 months 24 days | |
Weighted average remaining contractual term (in years), Vested and exercisable | 5 years 8 months 12 days | |
Aggregate intrinsic value, Granted | $ 433,020 | |
Aggregate intrinsic value, Cancelled | $ 11,445 |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary of Stock-based Compensation Expenses Related to Issuance of Stock (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total stock-based compensation | $ 1,464 | $ 1,398 | $ 4,337 | $ 4,222 |
Research and Development | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total stock-based compensation | 712 | 657 | 2,082 | 1,980 |
General and Administrative | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total stock-based compensation | $ 752 | $ 741 | $ 2,255 | $ 2,242 |
Stock-Based Compensation - Su_3
Stock-Based Compensation - Summary of Fair Value Assumptions of Options Granted (Details) | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | ||
Risk-free interest rate | 3.80% | 1.70% |
Expected term (in years) | 6 years | 6 years |
Expected volatility | 91% | 90% |
Expected dividend yield | 0% | 0% |
Restructuring Activies - Additi
Restructuring Activies - Additional Information (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 9 Months Ended |
Sep. 30, 2023 | Sep. 30, 2023 | Sep. 30, 2023 | |
Restructuring Cost and Reserve [Line Items] | |||
Employee termination benefit charges | $ 2,728,000 | $ 2,728,000 | |
Employees retention bonus payable | 1,200,000 | ||
Retention accrual recognized | $ 0 | ||
Restructuring Plan | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring plan, eliminated workforce | 70% | ||
Employee termination benefit charges | $ 2,700,000 |
Net Loss Per Share - Schedule o
Net Loss Per Share - Schedule of Basic and Diluted Net Loss Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Earnings Per Share [Abstract] | ||||
Net loss | $ (8,136) | $ (13,730) | $ (31,874) | $ (47,555) |
Weighted-average number of shares used in computing net loss per common share, basic | 27,104,777 | 25,491,786 | 26,391,987 | 25,342,153 |
Weighted-average number of shares used in computing net loss per common share, diluted | 27,104,777 | 25,491,786 | 26,391,987 | 25,342,153 |
Net loss per common share, basic | $ (0.3) | $ (0.54) | $ (1.21) | $ (1.88) |
Net loss per common share, diluted | $ (0.3) | $ (0.54) | $ (1.21) | $ (1.88) |
Net Loss Per Share - Schedule_2
Net Loss Per Share - Schedule of Antidilutive Securities Excluded from Calculation of Diluted Net Loss Per Share (Details) - shares | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Stock Options to Purchase Common Stock | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from computation of earnings per share | 7,300,256 | 5,810,228 |