Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2022 | Jul. 31, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2022 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | RPTX | |
Entity Registrant Name | Repare Therapeutics Inc. | |
Entity Central Index Key | 0001808158 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 41,937,795 | |
Title of 12(b) Security | Common shares, no par value | |
Security Exchange Name | NASDAQ | |
Entity File Number | 001-39335 | |
Entity Incorporation, State or Country Code | A8 | |
Entity Tax Identification Number | 00-0000000 | |
Entity Address, Address Line One | 7210 Frederick-Banting | |
Entity Address, Address Line Two | Suite 100 | |
Entity Address, City or Town | St-Laurent | |
Entity Address, State or Province | QC | |
Entity Address, Country | CA | |
Entity Address, Postal Zip Code | H4S 2A1 | |
City Area Code | 857 | |
Local Phone Number | 412-7018 | |
Document Quarterly Report | true | |
Document Transition Report | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 275,834 | $ 334,427 |
Marketable securities | 6,255 | 7,439 |
Research and development tax credits receivable | 2,598 | 2,580 |
Income tax receivable | 799 | 0 |
Other receivables | 1,010 | 654 |
Prepaid expenses | 3,242 | 6,314 |
Total current assets | 289,738 | 351,414 |
Property and equipment, net | 5,124 | 5,604 |
Operating lease right-of-use assets | 6,456 | 7,491 |
Other assets | 497 | 586 |
Deferred tax assets | 6,229 | 3,620 |
TOTAL ASSETS | 308,044 | 368,715 |
CURRENT LIABILITIES: | ||
Accounts payable | 4,991 | 2,302 |
Accrued expenses and other current liabilities | 20,459 | 18,622 |
Operating lease liability, current portion | 2,135 | 1,721 |
Deferred revenue, current portion | 11,855 | 11,921 |
Income tax payable | 0 | 523 |
Total current liabilities | 39,440 | 35,089 |
Operating lease liability, net of current portion | 4,495 | 5,592 |
Deferred revenue, net of current portion | 38,592 | 39,613 |
TOTAL LIABILITIES | 82,527 | 80,294 |
SHAREHOLDERS’ EQUITY | ||
Preferred shares, no par value per share; unlimited shares authorized as of September 30, 2021 and December 31, 2020, respectively; 0 shares issued and outstanding as of September 30, 2021, and December 31, 2020, respectively | 0 | 0 |
Common shares, no par value per share; unlimited shares authorized as of September 30, 2021 and December 31, 2020; 37,133,938 and 36,902,924 shares issued and outstanding as of September 30, 2021 and December 31, 2020, respectively | 481,380 | 480,699 |
Additional paid-in capital | 27,253 | 17,988 |
Accumulated deficit | (283,116) | (210,266) |
Total shareholders’ equity | 225,517 | 288,421 |
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ 308,044 | $ 368,715 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) (Unaudited) - $ / shares | 6 Months Ended | 12 Months Ended |
Jun. 30, 2022 | Dec. 31, 2021 | |
Statement of Financial Position [Abstract] | ||
Preferred stock par value | $ 0 | $ 0 |
Preferred stock shares authorized | Unlimited | Unlimited |
Preferred stock shares issued | 0 | 0 |
Preferred stock shares outstanding | 0 | 0 |
Common stock par value | $ 0 | $ 0 |
Common stock shares authorized | Unlimited | Unlimited |
Common stock shares issued | 41,923,472 | 41,850,162 |
Common stock shares outstanding | 41,923,472 | 41,850,162 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Revenue: | ||||
Collaboration agreements | $ 679 | $ 279 | $ 1,087 | $ 445 |
Operating expenses: | ||||
Research and development, net of tax credits | 31,475 | 20,205 | 57,933 | 36,714 |
General and administrative | 7,938 | 6,741 | 16,717 | 11,978 |
Total operating expenses | 39,413 | 26,946 | 74,650 | 48,692 |
Loss from operations | (38,734) | (26,667) | (73,563) | (48,247) |
Other income, net | ||||
Realized and unrealized gain (loss) on foreign exchange | 141 | (94) | 124 | (125) |
Interest income | 544 | 38 | 673 | 102 |
Other expense | (11) | (7) | (19) | (14) |
Total other income (expense), net | 674 | (63) | 778 | (37) |
Loss before income taxes | (38,060) | (26,730) | (72,785) | (48,284) |
Income tax recovery (expense) | (33) | 421 | (65) | 558 |
Net loss and comprehensive loss | (38,093) | (26,309) | (72,850) | (47,726) |
Net loss attributable to common shareholders-basic | (38,093) | (26,309) | (72,850) | (47,726) |
Net loss attributable to common shareholders-diluted | $ (38,093) | $ (26,309) | $ (72,850) | $ (47,726) |
Net loss per share attributable to common shareholders--basic | $ (0.91) | $ (0.71) | $ (1.74) | $ (1.29) |
Net loss per share attributable to common shareholders-diluted | $ (0.91) | $ (0.71) | $ (1.74) | $ (1.29) |
Weighted-average common shares outstanding-basic | 41,899,509 | 37,036,683 | 41,880,666 | 36,977,040 |
Weighted-average common shares outstanding-diluted | 41,899,509 | 37,036,683 | 41,880,666 | 36,977,040 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Shareholders' Equity (Unaudited) - USD ($) $ in Thousands | Total | 2020 Employee Share Purchase Plan | Common Shares | Common Shares 2020 Employee Share Purchase Plan | Additional Paid-in Capital | Additional Paid-in Capital 2020 Employee Share Purchase Plan | Accumulated Deficit |
Balance at Dec. 31, 2020 | $ 286,830 | $ 384,313 | $ 5,875 | $ (103,358) | |||
Balance, Shares at Dec. 31, 2020 | 36,902,924 | ||||||
Exercise of stock options | 183 | $ 297 | (114) | ||||
Exercise of stock options, Shares | 87,786 | ||||||
Share-based compensation expense | 2,057 | 2,057 | |||||
Net loss and comprehensive loss | (21,417) | (21,417) | |||||
Balance at Mar. 31, 2021 | 267,653 | $ 384,610 | 7,818 | (124,775) | |||
Balance, Shares at Mar. 31, 2021 | 36,990,710 | ||||||
Balance at Dec. 31, 2020 | 286,830 | $ 384,313 | 5,875 | (103,358) | |||
Balance, Shares at Dec. 31, 2020 | 36,902,924 | ||||||
Net loss and comprehensive loss | (47,726) | ||||||
Balance at Jun. 30, 2021 | 245,089 | $ 385,454 | 10,719 | (151,084) | |||
Balance, Shares at Jun. 30, 2021 | 37,109,506 | ||||||
Balance at Mar. 31, 2021 | 267,653 | $ 384,610 | 7,818 | (124,775) | |||
Balance, Shares at Mar. 31, 2021 | 36,990,710 | ||||||
Exercise of stock options | 449 | $ 731 | (282) | ||||
Exercise of stock options, Shares | 115,497 | ||||||
Share-based compensation expense | 3,183 | 3,183 | |||||
Issuance of common shares | 113 | $ 113 | |||||
Issuance of common shares, Shares | 3,299 | ||||||
Net loss and comprehensive loss | (26,309) | (26,309) | |||||
Balance at Jun. 30, 2021 | 245,089 | $ 385,454 | 10,719 | (151,084) | |||
Balance, Shares at Jun. 30, 2021 | 37,109,506 | ||||||
Balance at Dec. 31, 2021 | 288,421 | $ 480,699 | 17,988 | (210,266) | |||
Balance, Shares at Dec. 31, 2021 | 41,850,162 | ||||||
Exercise of stock options | 28 | $ 46 | (18) | ||||
Exercise of stock options, Shares | 12,235 | ||||||
Share-based compensation expense | 4,755 | 4,755 | |||||
Issuance of common shares under the 2020 Employee Share Purchase Plan | $ 213 | $ 303 | $ (90) | ||||
Issuance of common shares under the 2020 Employee Share Purchase Plan, Shares | 16,807 | ||||||
Net loss and comprehensive loss | (34,757) | (34,757) | |||||
Balance at Mar. 31, 2022 | 258,660 | $ 481,048 | 22,635 | (245,023) | |||
Balance, Shares at Mar. 31, 2022 | 41,879,204 | ||||||
Balance at Dec. 31, 2021 | $ 288,421 | $ 480,699 | 17,988 | (210,266) | |||
Balance, Shares at Dec. 31, 2021 | 41,850,162 | ||||||
Exercise of stock options, Shares | 56,503 | ||||||
Net loss and comprehensive loss | $ (72,850) | ||||||
Balance at Jun. 30, 2022 | 225,517 | $ 481,380 | 27,253 | (283,116) | |||
Balance, Shares at Jun. 30, 2022 | 41,923,472 | ||||||
Balance at Mar. 31, 2022 | 258,660 | $ 481,048 | 22,635 | (245,023) | |||
Balance, Shares at Mar. 31, 2022 | 41,879,204 | ||||||
Exercise of stock options | 205 | $ 332 | (127) | ||||
Exercise of stock options, Shares | 44,268 | ||||||
Share-based compensation expense | 4,745 | 4,745 | |||||
Net loss and comprehensive loss | (38,093) | (38,093) | |||||
Balance at Jun. 30, 2022 | $ 225,517 | $ 481,380 | $ 27,253 | $ (283,116) | |||
Balance, Shares at Jun. 30, 2022 | 41,923,472 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Cash Flows From Operating Activities: | ||
Net loss and comprehensive loss for the period | $ (72,850) | $ (47,726) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Share-based compensation expense | 9,500 | 5,240 |
Depreciation expense | 1,039 | 734 |
Non-cash lease expense | 1,091 | 748 |
Foreign exchange gain | (136) | (13) |
Amortization of premiums on marketable securities | 34 | 54 |
Deferred tax | (2,609) | (626) |
Changes in operating assets and liabilities: | ||
Prepaid expenses | 3,072 | 4,622 |
Research and development tax credits receivable | (31) | (627) |
Other receivables | (358) | 556 |
Other non-current assets | 89 | |
Accounts payable | 2,698 | 1,155 |
Accrued expenses and other current liabilities | 3,334 | 4,509 |
Operating lease liability, current portion | 460 | (272) |
Income taxes | (1,322) | 44 |
Operating lease liability, net of current portion | (1,123) | (238) |
Deferred revenue | (1,087) | (445) |
Net cash used in operating activities | (58,199) | (32,285) |
Cash Flows From Investing Activities: | ||
Purchases of property and equipment | (2,056) | (1,201) |
Proceeds from maturities of marketable securities | 5,150 | 3,750 |
Purchase of marketable securities | (4,000) | (3,438) |
Net cash used in investing activities | (906) | (889) |
Cash Flows From Financing Activities: | ||
Proceeds from exercise of stock options | 233 | 632 |
Proceeds from issuance of common stock under the 2020 Employee Share Purchase Plan | 213 | |
Net cash provided by financing activities | 446 | 632 |
Effect of exchange rate fluctuations on cash held | 66 | (1) |
Net Decrease In Cash And Cash Equivalents And Restricted Cash | (58,593) | (32,543) |
Cash and cash equivalents and restricted cash at beginning of period | 334,427 | 326,396 |
Cash and cash equivalents and restricted cash at end of period | 275,834 | 293,853 |
Reconciliation Of Cash And Cash Equivalents And Restricted Cash | ||
Cash and cash equivalents | 275,834 | 293,635 |
Restricted cash | 218 | |
Total cash and cash equivalents and restricted cash | 275,834 | 293,853 |
Supplemental Disclosure Of Cash Flow Information: | ||
Property and equipment purchases incurred but not yet paid | 222 | 38 |
Right-of-use asset obtained in exchange for new operating lease liability | $ 56 | $ 705 |
Organization and Nature of Busi
Organization and Nature of Business | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Nature of Business | 1. Organization and Nature of Business Repare Therapeutics Inc. (“Repare” or the “Company”) is a precision medicine oncology company focused on the development of synthetic lethality-based therapies for patients with cancer. The Company was incorporated under the Canada Business Corporations Act on September 6, 2016 . On June 23, 2020, immediately prior to the completion of its initial public offering (the “IPO”), the Company was continued as a corporation under the Business Corporations Act (Québec) . The Company’s common shares are listed on the Nasdaq Global Select Market under the ticker symbol “RPTX”. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in conformity with generally accepted accounting principles in the United States of America (“U.S. GAAP”). Any reference in these notes to applicable guidance is meant to refer to the authoritative U.S. GAAP as found in the Accounting Standards Codification (“ASC”) and as amended by Accounting Standards Updates (“ASU”) of the Financial Accounting Standards Board (“FASB”). The unaudited condensed consolidated financial statements have been prepared on the same basis as the audited annual consolidated financial statements as of and for the year ended December 31, 2021, and, in the opinion of management, reflect all adjustments, consisting of normal recurring adjustments, necessary for the fair presentation of the Company’s consolidated financial position as of June 30, 2022, the consolidated results of its operations for the three and six months ended June 30, 2022 and 2021, its statements of shareholders’ equity for the three and six months ended June 30, 2022 and 2021 and its consolidated cash flows for the six months ended June 30, 2022 and 2021. These unaudited condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and the accompanying notes for the year ended December 31, 2021 included in the Company’s Annual Report on Form 10-K, filed with the Securities and Exchange Commission (the “SEC”) on March 1, 2022 (the “Annual Report”). The condensed consolidated balance sheet data as of December 31, 2021 presented for comparative purposes was derived from the Company’s audited consolidated financial statements but does not include all disclosures required by U.S. GAAP. The results for the three and six months ended June 30, 2022 are not necessarily indicative of the operating results to be expected for the full year or for any other subsequent interim period. The Company’s significant accounting policies are disclosed in the audited consolidated financial statements for the year ended December 31, 2021 included in the Annual Report. There have been no changes to the Company's significant accounting policies since the date of the audited consolidated financial statements for the year ended December 31, 2021 included in the Annual Report. Principles of Consolidation These unaudited condensed consolidated financial statements of the Company include the accounts of the Company and its wholly-owned subsidiary, Repare Therapeutics USA Inc. (“Repare USA”), which was incorporated under the laws of Delaware on June 1, 2017. The financial statements of Repare USA are prepared for the same reporting period as the parent company, using consistent accounting policies. All intra-group transactions, balances, income, and expenses are eliminated in full upon consolidation. Smaller Reporting Company We qualify as a “smaller reporting company” under the Exchange Act as of June 30, 2022 because the market value of our common shares held by non-affiliates was less than $560 million as of June 30, 2022 and our revenue for the year ended December 31, 2021 were less than $100 million. As a smaller reporting company, we may rely on exemptions from certain disclosure requirements that are available to smaller reporting companies. For so long as we remain a smaller reporting company, we are permitted and intend to rely on such exemptions from certain disclosure and other requirements that are applicable to other public companies that are not smaller reporting companies. Use of Estimates The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in consolidated financial statements and accompanying notes. Significant estimates and assumptions reflected in these unaudited condensed consolidated financial statements include, but are not limited to, estimates related to revenue recognition, accrued research and development expenses, share-based compensation, right-of-use assets and lease liabilities and income taxes. Estimates are periodically reviewed in light of changes in circumstances, facts and experience. The Company bases its estimates on historical experience and other market specific or other relevant assumptions that it believes to be reasonable under the circumstances. Actual results could materially differ from those estimates. Changes in estimates are recorded in the period in which they become known. COVID-19 Pandemic With the continued spread of the ongoing COVID-19 pandemic, including variants of COVID-19, the Company established a cross-functional task force and has implemented business continuity plans designed to address and mitigate the impact of the COVID-19 pandemic on its employees and its business, including its preclinical studies and its ongoing and planned clinical trials. The Company has taken measures to secure its research and development activities, while work in its laboratories and facilities has been re-organized to reduce risk of COVID-19 transmission. While the Company is experiencing limited financial impacts at this time, given the global economic slowdown, the overall disruption of global healthcare systems and the other risks and uncertainties associated with the COVID-19 pandemic, the Company’s business, financial condition, and results of operations could be materially adversely affected. The Company cannot predict the ultimate impact, if any, of the COVID-19 pandemic related to both known and unknown risks, including future quarantines, closures and other restrictions resulting from the pandemic. The Company continues to monitor the COVID-19 pandemic as it evolves its business continuity plans, clinical development plans and response strategy. The Company’s clinical trial sites may be affected by the COVID-19 outbreak due to prioritization of hospital resources toward the COVID-19 outbreak, travel or quarantine restrictions imposed by governments, and the inability to access sites for initiation, patient enrollment and monitoring. As a result, patient screening, new patient enrollment, monitoring and data collection may be affected or delayed. The Company is aware that several clinical sites involved in its clinical studies temporarily stopped or delayed enrolling new patients, with exemptions if appropriate, and it is possible that these or other clinical sites may be similarly affected in the future. These developments may delay the Company’s clinical trial timelines. Some of the Company’s third-party manufacturers, which it uses for the supply of materials for product candidates or other materials necessary to manufacture product to conduct preclinical tests and clinical trials, and contract research organizations may be impacted by COVID-19. Should they experience disruptions, such as temporary closures or suspension of services, the Company would likely experience delays in advancing clinical trials. As of the date of these financial statements, the Company is not aware of any specific event or circumstance that would require the Company to update its estimates, assumptions and judgments or revise the carrying value of its assets or liabilities. Actual results could differ from these estimates, and any such differences may be material to the Company’s consolidated financial statements. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 3. 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 June 30, 2022 and December 31, 2021: Description Financial Assets Quoted Significant Significant (in thousands) As of June 30, 2022 Assets Cash equivalents Money market funds $ 218,740 $ 218,740 $ — $ — Marketable securities U.S. Treasury notes 6,255 6,255 — — Total financial assets $ 224,995 $ 224,995 $ — $ — As of December 31, 2021 Assets Cash equivalents Money market funds $ 2,535 $ 2,535 $ — $ — Marketable securities U.S. Treasury notes 7,439 7,439 — — Total financial assets $ 9,974 $ 9,974 $ — $ — When developing fair value estimates, the Company maximizes the use of observable inputs and minimizes the use of unobservable inputs. When available, the Company uses quoted market prices to measure the fair value. The valuation technique used to measure fair value for the Company’s Level 1 assets is a market approach, using prices and other relevant information generated by market transactions involving identical or comparable assets. If market prices are not available, the fair value measurement is based on models that use primarily market-based parameters including yield curves, volatilities, credit ratings and currency rates. In certain cases where market rate assumptions are not available, the Company is required to make judgements about assumptions market participants would use to estimate the fair value of a financial instrument. During the six months ended June 30, 2022 , there were no transfers between fair value measure levels. |
Cash and Cash Equivalents and M
Cash and Cash Equivalents and Marketable Securities | 6 Months Ended |
Jun. 30, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Cash and Cash Equivalents and Marketable Securities | 4. Cash and Cash Equivalents and Marketable Securities As of June 30, 2022 and December 31, 2021, cash and cash equivalents and marketable securities were comprised of the following: Amortized Cost Unrealized Gains Unrealized Losses Fair Value (in thousands) As of June 30, 2022 Money market funds included in cash and $ 218,740 $ — $ — $ 218,740 Marketable securities: U.S. Treasury notes 6,255 — — 6,255 Total $ 224,995 $ — $ — $ 224,995 As of December 31, 2021 Money market funds included in cash and $ 2,535 $ — $ — $ 2,535 Marketable securities: U.S. Treasury notes 7,439 — — 7,439 Total $ 9,974 $ — $ — $ 9,974 The amortized cost of marketable securities at June 30, 2022 is equal to their fair value. Accordingly, no unrealized gains or losses were recognized in the six months ended June 30, 2022 and 2021. The maturities of the Company’s money market funds included in cash and cash equivalents, and marketable securities is less than one year. |
Accrued Expenses and Other Curr
Accrued Expenses and Other Current Liabilities | 6 Months Ended |
Jun. 30, 2022 | |
Payables and Accruals [Abstract] | |
Accrued Expenses and Other Current Liabilities | 5. Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities as of June 30, 2022 and December 31, 2021 consisted of the following: June 30, December 31, (in thousands) Accrued compensation and benefits $ 3,694 $ 4,867 Accrued research and development expense 15,106 11,272 Accrued professional services 844 387 Accrued property and equipment purchases 222 1,719 Other 593 377 Total accrued expenses and other current liabilities $ 20,459 $ 18,622 |
Collaboration and License Agree
Collaboration and License Agreement | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Collaboration and License Agreement | 6. Collaboration and License Agreement In May 2020, the Company entered into a collaboration and license agreement with Bristol-Myers Squibb Company (“Bristol Myers Squibb”), pursuant to which the Company and Bristol Myers Squibb have agreed to collaborate in the research and development of potential new product candidates for the treatment of cancer (the “BMS Agreement”). The Company is providing Bristol Myers Squibb access to a selected number of its existing screening campaigns and novel campaigns. The Company is responsible for carrying out early-stage research activities directed to identifying potential targets for potential licensing by Bristol Myers Squibb, in accordance with a mutually agreed upon research plan, and will be solely responsible for such costs. The collaboration consists of programs directed to both druggable targets and to targets commonly considered undruggable to traditional small molecule approaches. Upon Bristol Myers Squibb’s election to exercise its option to obtain exclusive worldwide licenses for the subsequent development, manufacturing and commercialization of a program, Bristol Myers Squibb will then be solely responsible for all such worldwide activities and costs. The collaboration term will expire 42 months after the effective date of the BMS Agreement. The BMS Agreement will expire, assuming that Bristol Myers Squibb has exercised at least one option for a program, on a licensed product-by-licensed product and country-by-country basis on expiration of the applicable royalty term and in its entirety upon expiration of the last royalty term. Either party may terminate earlier upon an uncured material breach of the agreement by the other party, or the insolvency of the other party. Additionally, Bristol Myers Squibb may terminate the BMS Agreement for any or no reason on a program-by-program basis upon specified written notice. Under the terms of the BMS Agreement, Bristol Myers Squibb paid the Company an initial nonrefundable upfront fee of $ 50.0 million in June 2020. The Company is also entitled to receive up to $ 301.0 million in total milestones on a program-by-program basis, consisting of $ 176.0 million in the aggregate for certain specified research, development and regulatory milestones and $ 125.0 million in the aggregate for certain specified commercial milestones. The Company is further entitled to a tiered percentage royalty on annual net sales ranging from high-single digits to low-double digits, subject to certain specified reductions. The Company assessed the BMS Agreement in accordance with ASC 606, Revenue from Contracts with Customers, and concluded that Bristol Myers Squibb is a customer based on the agreement structure. At inception, the Company identified several performance obligations under the BMS Agreement, being (i) research activities for each campaign over the collaboration term, as well as (ii) a selected number of material rights associated with options to obtain exclusive development, manufacturing, and commercial licenses to targets identified. The Company determined that the options to obtain the exclusive development, manufacturing and commercialization licenses were material rights under ASC 606 because there are minimal amounts to be paid to the Company upon exercise of such options. The Company determined that the transaction price at the onset of the BMS agreement is the total non-refundable upfront payment received of $ 50.0 million. Additional consideration is to be paid to the Company upon the exercise of options to license targets and future milestone payments. The Company utilized the most likely method approach and concluded that these amounts were constrained as they represent option fees and milestone payments that can only be achieved subsequent to option exercises. As such, the Company excluded this additional consideration from the transaction price. The Company has allocated the transaction price of $ 50.0 million to each performance obligation based on the relative stand-alone selling price of each performance obligation at inception, which was determined based on each performance obligation’s estimated stand-alone selling price. The Company has determined the estimated stand-alone selling price at contract inception of the research activities based on internal estimates of the costs to perform the services, inclusive of a reasonable profit margin. Significant inputs used to determine the total costs to perform the research activities included the length of time required, the internal hours expected to be incurred on the services and the number and costs of various studies that will be performed to complete the research plan. The Company determined the estimated stand-alone selling price at contract inception of the material rights associated with options to obtain exclusive licenses to druggable targets and undruggable targets based on the fees Bristol Myers Squibb would pay to exercise these options, the probability-weighted value of expected future cash flows associated with each license related to each target and the probability that these options would be exercised by Bristol Myers Squibb. In developing such estimates, the Company also considered applicable market conditions and relevant entity-specific factors, including those factors contemplated in negotiating the agreement, probability of success and the time needed to commercialize a product candidate pursuant to the associated license. Based on the relative stand-alone selling price, the allocation of the transaction price to the separate performance obligations was as follows: Performance obligation Transaction price (in thousands) Research services $ 6,405 Options to license druggable target lesions 31,148 Options to license undruggable targets 12,447 Total transaction price $ 50,000 Revenue associated with the options has been deferred and will be recognized at the point in time when options to license are exercised by Bristol Myers Squibb or upon expiry of such options. Revenue associated with the research activities has been deferred and will be recognized on a proportional performance basis over the period of service for research activities, being the collaboration term, using input-based measurements of total costs of research incurred to estimated proportion performed. Progress towards completion is remeasured at the end of each reporting period. The Company recognized $ 0.7 million and $ 0.3 million for the three months ended June 30, 2022 and 2021, respectively, and $ 1.1 million and $ 0.4 million for the six months ended June 30, 2022 and 2021, respectively, as revenue associated with the BMS Agreement in relation to research activities performed. In October 2021, the Company received notification from Bristol Myers Squibb of their option exercise for two druggable targets directed at a single synthetic lethal lesion, pursuant to the terms of the BMS Agreement. As a result, the Company recognized $ 6.5 million as revenue in the fourth quarter of 2021 with regards to the achievement of the performance obligation from Bristol Myers Squibb and the related option fees received. No amounts were recognized in the three and six months ended June 30, 2022 and 2021. As of June 30, 2022, there was $ 41.4 million (December 31, 2021 - $ 42.5 million ) of deferred revenue related to the BMS Agreement, of which $ 2.8 million (December 31, 2021 - $ 2.9 million ) was classified as current and $ 38.6 million (December 31, 2021 - $ 39.6 million ) was classified as non-current in the condensed consolidated balance sheet based on the period the services are expected to be performed and the expected timing of potential option exercises. |
Leases
Leases | 6 Months Ended |
Jun. 30, 2022 | |
Leases [Abstract] | |
Leases | 7. Leases The Company has historically entered into lease arrangements for its facilities. As of June 30, 2022 , the Company had four operating leases with required future minimum payments. The Company’s leases generally do not include termination or purchase options. Operating Leases The following tables contain a summary of the lease costs recognized under ASC 842 and other information pertaining to the Company’s operating leases for the three and six months ended June 30, 2022 and 2021: Three Months Ended Six Months Ended 2022 2021 2022 2021 (in thousands) Operating Leases Lease Costs Operating lease costs $ 615 $ 424 $ 1,231 $ 843 Short-term lease costs 8 2 16 5 Variable lease costs 33 54 100 110 Total lease costs $ 656 $ 480 $ 1,347 $ 958 Six Months Ended 2022 2021 (in thousands, except as specified otherwise) Other Operating Lease Information Operating cash flows used for operating leases $ 802 $ 605 Right-of-use assets obtained in exchange for new operating lease liability $ 56 $ 705 Weighted-average remaining lease term (in years) 2.91 3.90 Weighted-average discount rate 4.0 % 4.6 % |
Share-Based Compensation
Share-Based Compensation | 6 Months Ended |
Jun. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Share-Based Compensation | 8. Share-Based Compensation 2020 Employee Share Purchase Plan In June 2020, the Company’s board of directors adopted, and the Company’s shareholders approved the 2020 Employee Share Purchase Plan (the “ESPP”). The maximum number of common shares that may be issued under the ESPP was initially 327,000 . Additionally, the number of shares reserved and available for issuance under the ESPP automatically increases each January 1, beginning on January 1, 2021 and each January 1 thereafter through January 31, 2030, by the lesser of (1) 1.0 % of the total number of common shares outstanding on December 31 of the preceding calendar year, (2) 3,300,000 common shares, or (3) such smaller number of common shares as the Company’s board of directors may designate. As of June 30, 2022 , the number of common shares that may be issued under the ESPP is 1,087,781 . The ESPP enables eligible employees to purchase common shares of the Company at the end of each offering period at a price equal to 85 % of the fair market value of the shares on the first business day or the last business day of the offering period, whichever is lower. Participation in the ESPP is voluntary. Eligible employees become participants in the ESPP by enrolling in the plan and authorizing payroll deductions. At the end of each offering period, accumulated payroll deductions are used to purchase the Company’s shares at the discounted price. The Company makes no contributions to the ESPP. A participant may withdraw from the ESPP or suspend contributions to the ESPP. If the participant elects to withdraw during an offering, all contributions are refunded as soon as administratively practicable. If a participant elects to withdraw or suspend contributions, they will not be able to re-enroll in the current offering but may elect to participate in future offerings. The ESPP purchases only whole shares of the Company’s shares. The Company’s first ESPP offering period began February 16, 2021 and ended on August 15, 2021, with subsequent offering periods on a rolling six-month basis. The Company issued 16,807 common shares under the ESPP during the six months ended June 30, 2022 at an average price per share of $ 12.71 . Cash received from purchases under the ESPP for the six months ended June 30, 2022 was $ 0.2 million. Option Plan and 2020 Plan In December 2016, as further amended in December 2017 and September 2019, the Company adopted the Repare Therapeutics Inc. Option Plan (the “Option Plan”) for the issuance of share options and other share-based awards to directors, officers, employees or consultants. The Option Plan authorized up to 4,074,135 shares of the Company’s common shares to be issued. In June 2020, the Company’s board of directors adopted, and the Company’s shareholders approved the 2020 Equity Incentive Plan (the “2020 Plan”). The 2020 Plan became effective on the effective date of the IPO, at which time the Company ceased granting awards under the Option Plan. The 2020 Plan allows the Company’s compensation committee to grant equity-based and cash-based incentive awards to the Company’s officers, employees, directors and consultants. A total of 3,600,000 common shares were initially reserved for issuance under the 2020 Plan, plus the number of shares (not to exceed 3,807,448 shares) consisting of (i) 298,605 common shares that were available for the issuance of awards under the Option Plan at the time the 2020 Plan became effective, which ceased to be available for future issuance under the Option Plan at such time and (ii) any shares subject to outstanding options or other share awards that were granted under the Option Plan that terminate or expire prior to exercise or settlement; are forfeited because of the failure to vest; or are reacquired or withheld (or not issued) to satisfy a tax withholding obligation or the purchase or exercise price. In addition, the number of shares reserved and available for issuance under the 2020 Plan automatically increases each January 1, beginning on January 1, 2021 and each January 1 thereafter through January 1, 2030, by 5 % of the outstanding number of common shares on the immediately preceding December 31, or such lesser number of shares as determined by the Company’s board of director s. As of June 30, 2022 , the number of common shares reserved for issuance under the 2020 Plan is 7,922,525 . Total outstanding stock options as of June 30, 2022 was as follows: 2022 Number of Weighted Outstanding at beginning of period 5,322,591 $ 14.76 Granted 2,883,567 $ 14.54 Exercised ( 56,503 ) $ 4.12 Cancelled or forfeited ( 175,252 ) $ 19.00 Outstanding at end of period 7,974,403 $ 14.66 During the six months ended June 30, 2022, an aggregate of 56,503 options were exercised at a weighted-average exercise price of $ 4.12 per share, for aggregate proceeds of $ 0.2 million . As a result, an amount of $ 0.1 million previously included in additional paid-in capital related to the exercised options has been credited to common shares and deducted from additional paid-in capital. The fair value of stock options, and the assumptions used in the Black Scholes option-pricing model to determine the grant date fair value of stock options granted to employees and non-employees were as follows, presented on a weighted average basis: Three Months Ended Six Months Ended 2022 2021 2022 2021 Risk-free interest rate 2.92 % 0.92 % 2.00 % 0.72 % Expected terms (in years) 5.59 5.59 5.97 5.99 Expected volatility 78.85 % 76.44 % 78.55 % 75.59 % Expected dividend yield 0.00 % 0.00 % 0.00 % 0.00 % Share-Based Compensation Share-based compensation expense was allocated as follows: Three Months Ended Six Months Ended 2022 2021 2022 2021 (in thousands) Research and development $ 2,440 $ 1,441 $ 4,751 $ 2,428 General and administrative 2,305 1,742 4,749 2,812 Total share-based compensation expense $ 4,745 $ 3,183 $ 9,500 $ 5,240 Share-based compensation expense by type of award was as follows: Three Months Ended Six Months Ended 2022 2021 2022 2021 (in thousands) Stock options $ 4,695 $ 3,122 $ 9,407 $ 5,148 ESPP 50 61 93 92 Total share-based compensation expense $ 4,745 $ 3,183 $ 9,500 $ 5,240 As of June 30, 2022 , there was $ 49.0 million of unrecognized share-based compensation expense related to unvested stock options to be recognized over a weighted average period of 2.2 years. |
Net Loss per Share
Net Loss per Share | 6 Months Ended |
Jun. 30, 2022 | |
Earnings Per Share [Abstract] | |
Net Loss per Share | 9. Net Loss per Share The following table summarizes the computation of basic and diluted net loss per share attributable to common shareholders of the Company: Three Months Ended Six Months Ended 2022 2021 2022 2021 (in thousands, except share and per share amounts) Numerator: Net loss attributable to common shareholders $ ( 38,093 ) $ ( 26,309 ) $ ( 72,850 ) $ ( 47,726 ) Net loss attributable to common shareholders—basic and diluted $ ( 38,093 ) $ ( 26,309 ) $ ( 72,850 ) $ ( 47,726 ) Denominator: Weighted-average number of common shares outstanding—basic 41,899,509 37,036,683 41,880,666 36,977,040 Net loss per share attributable to common shareholders—basic $ ( 0.91 ) $ ( 0.71 ) $ ( 1.74 ) $ ( 1.29 ) The Company’s potentially dilutive securities, which include options, have been excluded from the computation of diluted net loss per share attributable to common shareholders as the effect would be to reduce the net loss per share attributable to common shareholders. Therefore, the weighted average number of common shares outstanding used to calculate both basic and diluted net loss per share attributable to common shareholders is the same. The Company excluded the following potential common shares, presented based on amounts outstanding at each period end, from the computation of diluted net loss per share attributable to common shareholders for the periods indicated because including them would have had an anti-dilutive effect: Three Months Ended Six Months Ended 2022 2021 2022 2021 Options to purchase common shares 7,974,403 5,258,005 7,974,403 5,258,005 |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2022 | |
Subsequent Events [Abstract] | |
Subsequent Events | 10. Subsequent Events (a) Roche Collaboration and License Agreement On June 1, 2022, the Company entered into a collaboration and license agreement (the “Roche Agreement”) with Hoffmann-La Roche Inc. and F. Hoffmann-La Roche Ltd (collectively, “Roche”) regarding the development and commercialization of the Company’s product candidate camonsertib (also known as RP-3500) and specified other ATR (Ataxia-Telangiectasia and Rad3-related protein kinase) inhibitors (the “Licensed Products”). The transaction was subject to clearance under the Hart-Scott-Rodino Antitrust Improvements Act of 1976 and other customary closing conditions, which were met on July 13, 2022. The Company granted Roche a worldwide, exclusive, sublicensable license to develop, manufacture, and commercialize the Licensed Products. Roche will assume development of camonsertib with the potential to expand development into additional tumors and multiple combination studies. The Company has agreed to complete specified ongoing clinical trials at the Company’s expense. The Company also retained the right to conduct specified clinical trials of camonsertib in combination with the Company’s PKMYT1 compound (also known as RP-6306). Under the terms of the Roche Agreement, the Company received an upfront payment of $ 125 million in July 2022, and is eligible to receive up to $ 1.172 billion in potential clinical, regulatory, commercial and sales milestones, including an estimated $55 million in potential near-term payments, and royalties on global net sales ranging from high-single-digits to high-teens. The Roche Agreement also provides the Company with the ability to opt-in to a 50/50 U.S. co-development and profit share arrangement, including participation in U.S. co-promotion if U.S. regulatory approval is received. If the Company chooses to exercise its co-development and profit share option, it will continue to be eligible to receive certain clinical, regulatory, commercial and sales milestone payments, in addition to full ex-U.S. royalties. The Company is currently assessing the accounting implications from the Roche Agreement which became effective on July 13, 2022 upon the clearance of the closing conditions. The Company does not expect a cash tax impact from the closing of the Roche Agreement as it should have sufficient tax losses to cover the impact. (b) Sales Agreement On August 4, 2022, the Company entered into a Common Shares Sales Agreement, or the Sales Agreement, with Cowen and Company, LLC, or Cowen, as sales agent, pursuant to which the Company may offer and sell, from time to time, common shares, or the ATM Shares. The ATM Shares to be sold under the Sales Agreement, if any, will be issued and sold pursuant to the Company's shelf registration statement on Form S-3 (File No. 333-257668), which was declared effective by the Securities and Exchange Commission, or SEC, on April 25, 2022, up to a maximum aggregate amount of $ 125.0 million. The Company will file a prospectus supplement with the SEC on August 4, 2022 in connection with the offer and sale of the ATM Shares pursuant to the Sales Agreement. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in conformity with generally accepted accounting principles in the United States of America (“U.S. GAAP”). Any reference in these notes to applicable guidance is meant to refer to the authoritative U.S. GAAP as found in the Accounting Standards Codification (“ASC”) and as amended by Accounting Standards Updates (“ASU”) of the Financial Accounting Standards Board (“FASB”). The unaudited condensed consolidated financial statements have been prepared on the same basis as the audited annual consolidated financial statements as of and for the year ended December 31, 2021, and, in the opinion of management, reflect all adjustments, consisting of normal recurring adjustments, necessary for the fair presentation of the Company’s consolidated financial position as of June 30, 2022, the consolidated results of its operations for the three and six months ended June 30, 2022 and 2021, its statements of shareholders’ equity for the three and six months ended June 30, 2022 and 2021 and its consolidated cash flows for the six months ended June 30, 2022 and 2021. These unaudited condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and the accompanying notes for the year ended December 31, 2021 included in the Company’s Annual Report on Form 10-K, filed with the Securities and Exchange Commission (the “SEC”) on March 1, 2022 (the “Annual Report”). The condensed consolidated balance sheet data as of December 31, 2021 presented for comparative purposes was derived from the Company’s audited consolidated financial statements but does not include all disclosures required by U.S. GAAP. The results for the three and six months ended June 30, 2022 are not necessarily indicative of the operating results to be expected for the full year or for any other subsequent interim period. The Company’s significant accounting policies are disclosed in the audited consolidated financial statements for the year ended December 31, 2021 included in the Annual Report. There have been no changes to the Company's significant accounting policies since the date of the audited consolidated financial statements for the year ended December 31, 2021 included in the Annual Report. |
Principles of Consolidation | Principles of Consolidation These unaudited condensed consolidated financial statements of the Company include the accounts of the Company and its wholly-owned subsidiary, Repare Therapeutics USA Inc. (“Repare USA”), which was incorporated under the laws of Delaware on June 1, 2017. The financial statements of Repare USA are prepared for the same reporting period as the parent company, using consistent accounting policies. All intra-group transactions, balances, income, and expenses are eliminated in full upon consolidation. |
Smaller Reporting Company | Smaller Reporting Company We qualify as a “smaller reporting company” under the Exchange Act as of June 30, 2022 because the market value of our common shares held by non-affiliates was less than $560 million as of June 30, 2022 and our revenue for the year ended December 31, 2021 were less than $100 million. As a smaller reporting company, we may rely on exemptions from certain disclosure requirements that are available to smaller reporting companies. For so long as we remain a smaller reporting company, we are permitted and intend to rely on such exemptions from certain disclosure and other requirements that are applicable to other public companies that are not smaller reporting companies. |
Use of Estimates | Use of Estimates The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in consolidated financial statements and accompanying notes. Significant estimates and assumptions reflected in these unaudited condensed consolidated financial statements include, but are not limited to, estimates related to revenue recognition, accrued research and development expenses, share-based compensation, right-of-use assets and lease liabilities and income taxes. Estimates are periodically reviewed in light of changes in circumstances, facts and experience. The Company bases its estimates on historical experience and other market specific or other relevant assumptions that it believes to be reasonable under the circumstances. Actual results could materially differ from those estimates. Changes in estimates are recorded in the period in which they become known. |
COVID-19 Pandemic | COVID-19 Pandemic With the continued spread of the ongoing COVID-19 pandemic, including variants of COVID-19, the Company established a cross-functional task force and has implemented business continuity plans designed to address and mitigate the impact of the COVID-19 pandemic on its employees and its business, including its preclinical studies and its ongoing and planned clinical trials. The Company has taken measures to secure its research and development activities, while work in its laboratories and facilities has been re-organized to reduce risk of COVID-19 transmission. While the Company is experiencing limited financial impacts at this time, given the global economic slowdown, the overall disruption of global healthcare systems and the other risks and uncertainties associated with the COVID-19 pandemic, the Company’s business, financial condition, and results of operations could be materially adversely affected. The Company cannot predict the ultimate impact, if any, of the COVID-19 pandemic related to both known and unknown risks, including future quarantines, closures and other restrictions resulting from the pandemic. The Company continues to monitor the COVID-19 pandemic as it evolves its business continuity plans, clinical development plans and response strategy. The Company’s clinical trial sites may be affected by the COVID-19 outbreak due to prioritization of hospital resources toward the COVID-19 outbreak, travel or quarantine restrictions imposed by governments, and the inability to access sites for initiation, patient enrollment and monitoring. As a result, patient screening, new patient enrollment, monitoring and data collection may be affected or delayed. The Company is aware that several clinical sites involved in its clinical studies temporarily stopped or delayed enrolling new patients, with exemptions if appropriate, and it is possible that these or other clinical sites may be similarly affected in the future. These developments may delay the Company’s clinical trial timelines. Some of the Company’s third-party manufacturers, which it uses for the supply of materials for product candidates or other materials necessary to manufacture product to conduct preclinical tests and clinical trials, and contract research organizations may be impacted by COVID-19. Should they experience disruptions, such as temporary closures or suspension of services, the Company would likely experience delays in advancing clinical trials. As of the date of these financial statements, the Company is not aware of any specific event or circumstance that would require the Company to update its estimates, assumptions and judgments or revise the carrying value of its assets or liabilities. Actual results could differ from these estimates, and any such differences may be material to the Company’s consolidated financial statements. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
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 June 30, 2022 and December 31, 2021: Description Financial Assets Quoted Significant Significant (in thousands) As of June 30, 2022 Assets Cash equivalents Money market funds $ 218,740 $ 218,740 $ — $ — Marketable securities U.S. Treasury notes 6,255 6,255 — — Total financial assets $ 224,995 $ 224,995 $ — $ — As of December 31, 2021 Assets Cash equivalents Money market funds $ 2,535 $ 2,535 $ — $ — Marketable securities U.S. Treasury notes 7,439 7,439 — — Total financial assets $ 9,974 $ 9,974 $ — $ — |
Cash and Cash Equivalents and_2
Cash and Cash Equivalents and Marketable Securities (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Summary of Cash and Cash Equivalents and Marketable Securities | As of June 30, 2022 and December 31, 2021, cash and cash equivalents and marketable securities were comprised of the following: Amortized Cost Unrealized Gains Unrealized Losses Fair Value (in thousands) As of June 30, 2022 Money market funds included in cash and $ 218,740 $ — $ — $ 218,740 Marketable securities: U.S. Treasury notes 6,255 — — 6,255 Total $ 224,995 $ — $ — $ 224,995 As of December 31, 2021 Money market funds included in cash and $ 2,535 $ — $ — $ 2,535 Marketable securities: U.S. Treasury notes 7,439 — — 7,439 Total $ 9,974 $ — $ — $ 9,974 |
Accrued Expenses and Other Cu_2
Accrued Expenses and Other Current Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Expenses and Other Current Liabilities | Accrued expenses and other current liabilities as of June 30, 2022 and December 31, 2021 consisted of the following: June 30, December 31, (in thousands) Accrued compensation and benefits $ 3,694 $ 4,867 Accrued research and development expense 15,106 11,272 Accrued professional services 844 387 Accrued property and equipment purchases 222 1,719 Other 593 377 Total accrued expenses and other current liabilities $ 20,459 $ 18,622 |
Collaboration and License Agr_2
Collaboration and License Agreement (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Transaction Price Performance Obligations | Based on the relative stand-alone selling price, the allocation of the transaction price to the separate performance obligations was as follows: Performance obligation Transaction price (in thousands) Research services $ 6,405 Options to license druggable target lesions 31,148 Options to license undruggable targets 12,447 Total transaction price $ 50,000 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Leases [Abstract] | |
Summary of Lease Costs | The following tables contain a summary of the lease costs recognized under ASC 842 and other information pertaining to the Company’s operating leases for the three and six months ended June 30, 2022 and 2021: Three Months Ended Six Months Ended 2022 2021 2022 2021 (in thousands) Operating Leases Lease Costs Operating lease costs $ 615 $ 424 $ 1,231 $ 843 Short-term lease costs 8 2 16 5 Variable lease costs 33 54 100 110 Total lease costs $ 656 $ 480 $ 1,347 $ 958 |
Summary of Other Operating Lease Information | Six Months Ended 2022 2021 (in thousands, except as specified otherwise) Other Operating Lease Information Operating cash flows used for operating leases $ 802 $ 605 Right-of-use assets obtained in exchange for new operating lease liability $ 56 $ 705 Weighted-average remaining lease term (in years) 2.91 3.90 Weighted-average discount rate 4.0 % 4.6 % |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of Outstanding Stock Options | Total outstanding stock options as of June 30, 2022 was as follows: 2022 Number of Weighted Outstanding at beginning of period 5,322,591 $ 14.76 Granted 2,883,567 $ 14.54 Exercised ( 56,503 ) $ 4.12 Cancelled or forfeited ( 175,252 ) $ 19.00 Outstanding at end of period 7,974,403 $ 14.66 |
Schedule of Fair Value of Stock Options Determined on Grant Date Using Black Scholes Option-Pricing Model | The fair value of stock options, and the assumptions used in the Black Scholes option-pricing model to determine the grant date fair value of stock options granted to employees and non-employees were as follows, presented on a weighted average basis: Three Months Ended Six Months Ended 2022 2021 2022 2021 Risk-free interest rate 2.92 % 0.92 % 2.00 % 0.72 % Expected terms (in years) 5.59 5.59 5.97 5.99 Expected volatility 78.85 % 76.44 % 78.55 % 75.59 % Expected dividend yield 0.00 % 0.00 % 0.00 % 0.00 % |
Schedule of Share-based Compensation Expense | Share-based compensation expense was allocated as follows: Three Months Ended Six Months Ended 2022 2021 2022 2021 (in thousands) Research and development $ 2,440 $ 1,441 $ 4,751 $ 2,428 General and administrative 2,305 1,742 4,749 2,812 Total share-based compensation expense $ 4,745 $ 3,183 $ 9,500 $ 5,240 Share-based compensation expense by type of award was as follows: Three Months Ended Six Months Ended 2022 2021 2022 2021 (in thousands) Stock options $ 4,695 $ 3,122 $ 9,407 $ 5,148 ESPP 50 61 93 92 Total share-based compensation expense $ 4,745 $ 3,183 $ 9,500 $ 5,240 |
Net Loss per Share (Tables)
Net Loss per Share (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Earnings Per Share [Abstract] | |
Summary of Computation of Basic and Diluted Net Loss Per Share Attributable To Common Shareholders | The following table summarizes the computation of basic and diluted net loss per share attributable to common shareholders of the Company: Three Months Ended Six Months Ended 2022 2021 2022 2021 (in thousands, except share and per share amounts) Numerator: Net loss attributable to common shareholders $ ( 38,093 ) $ ( 26,309 ) $ ( 72,850 ) $ ( 47,726 ) Net loss attributable to common shareholders—basic and diluted $ ( 38,093 ) $ ( 26,309 ) $ ( 72,850 ) $ ( 47,726 ) Denominator: Weighted-average number of common shares outstanding—basic 41,899,509 37,036,683 41,880,666 36,977,040 Net loss per share attributable to common shareholders—basic $ ( 0.91 ) $ ( 0.71 ) $ ( 1.74 ) $ ( 1.29 ) |
Computation of Diluted Net Loss Per Share in Attributable to Common Shareholders Indicate to Anti Diluted Effect | The Company excluded the following potential common shares, presented based on amounts outstanding at each period end, from the computation of diluted net loss per share attributable to common shareholders for the periods indicated because including them would have had an anti-dilutive effect: Three Months Ended Six Months Ended 2022 2021 2022 2021 Options to purchase common shares 7,974,403 5,258,005 7,974,403 5,258,005 |
Organization and Nature of Bu_2
Organization and Nature of Business - Additional Information (Details) | 6 Months Ended |
Jun. 30, 2022 | |
Organization and Nature of Business [Line Items] | |
Entity incorporation, date of incorporation | Sep. 06, 2016 |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Financial Assets Measured at Fair Value on a Recurring Basis (Details) - Fair Value Measurements, Recurring - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Assets | ||
Total financial assets | $ 224,995 | $ 9,974 |
Money Market Funds | ||
Assets | ||
Total financial assets | 218,740 | 2,535 |
U.S. Treasury Notes | ||
Assets | ||
Total financial assets | 6,255 | 7,439 |
Quoted Prices in Active Markets for identical Assets (Level 1) | ||
Assets | ||
Total financial assets | 224,995 | 9,974 |
Quoted Prices in Active Markets for identical Assets (Level 1) | Money Market Funds | ||
Assets | ||
Total financial assets | 218,740 | 2,535 |
Quoted Prices in Active Markets for identical Assets (Level 1) | U.S. Treasury Notes | ||
Assets | ||
Total financial assets | $ 6,255 | $ 7,439 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) | Jun. 30, 2022 USD ($) |
Fair Value Disclosures [Abstract] | |
Fair value, assets, transfers between levels | $ 0 |
Cash and Cash Equivalents and_3
Cash and Cash Equivalents and Marketable Securities - Summary of Cash and Cash Equivalents and Marketable Securities (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 | Jun. 30, 2021 |
Schedule Of Available For Sale Securities [Line Items] | |||
Amortized Cost | $ 224,995,000 | $ 9,974,000 | |
Unrealized Gains | 0 | 0 | $ 0 |
Unrealized Losses | 0 | 0 | $ 0 |
Fair Value | 224,995,000 | 9,974,000 | |
Money Market Funds | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Amortized Cost | 218,740,000 | 2,535,000 | |
Unrealized Gains | 0 | 0 | |
Unrealized Losses | 0 | 0 | |
Fair Value | 218,740,000 | 2,535,000 | |
U.S. Treasury Notes | |||
Schedule Of Available For Sale Securities [Line Items] | |||
Amortized Cost | 6,255,000 | 7,439,000 | |
Unrealized Gains | 0 | 0 | |
Unrealized Losses | 0 | 0 | |
Fair Value | $ 6,255,000 | $ 7,439,000 |
Cash and Cash Equivalents and_4
Cash and Cash Equivalents and Marketable Securities - Additional Information (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 | Jun. 30, 2021 |
Investments, Debt and Equity Securities [Abstract] | |||
Unrealized gains | $ 0 | $ 0 | $ 0 |
Unrealized losses | $ 0 | $ 0 | $ 0 |
Accrued Expenses and Other Cu_3
Accrued Expenses and Other Current Liabilities - Schedule of Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Payables and Accruals [Abstract] | ||
Accrued compensation and benefits | $ 3,694 | $ 4,867 |
Accrued research and development expense | 15,106 | 11,272 |
Accrued professional services | 844 | 387 |
Accrued property and equipment purchases | 222 | 1,719 |
Other | 593 | 377 |
Total accrued expenses and other current liabilities | $ 20,459 | $ 18,622 |
Collaboration and License Agr_3
Collaboration and License Agreement - Additional Information (Details) - Bristol-Myers Squibb Company - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | |||||
Jun. 30, 2020 | May 30, 2020 | Jun. 30, 2022 | Dec. 31, 2021 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | May 31, 2020 | |
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||||||||
Non-refundable upfront payment received | $ 50,000,000 | $ 50,000,000 | ||||||
Options to License Druggable Target Lesions | ||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||||||||
Non-refundable upfront payment received | 31,148,000 | 31,148,000 | ||||||
Collaboration and License Agreement | ||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||||||||
Collaboration term expiration period | 42 months | |||||||
Initial nonrefundable upfront fee received | $ 50,000,000 | |||||||
Non-refundable upfront payment received | $ 50,000,000 | |||||||
Deferred revenue recognized | 700,000 | $ 300,000 | 1,100,000 | $ 400,000 | ||||
Revenue Recognized | 0 | $ 6,500,000 | $ 0 | 0 | $ 0 | |||
Deferred revenue | 41,400,000 | 42,500,000 | 41,400,000 | |||||
Deferred revenue, current | 2,800,000 | 2,900,000 | 2,800,000 | |||||
Deferred revenue, noncurrent | $ 38,600,000 | $ 39,600,000 | $ 38,600,000 | |||||
Collaboration and License Agreement | Maximum | ||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||||||||
Milestone payments entitled to be received | 301,000,000 | |||||||
Collaboration and License Agreement | Maximum | Research, Development and Regulatory Milestones | ||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||||||||
Milestone payments entitled to be received | 176,000,000 | |||||||
Collaboration and License Agreement | Maximum | Commercial Milestones | ||||||||
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | ||||||||
Milestone payments entitled to be received | $ 125,000,000 |
Collaboration and License Agr_4
Collaboration and License Agreement - Schedule of Transaction Price Performance Obligations (Details) - Bristol-Myers Squibb Company $ in Thousands | Jun. 30, 2022 USD ($) |
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |
Transaction price | $ 50,000 |
Research Activities | |
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |
Transaction price | 6,405 |
Options to License Druggable Target Lesions | |
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |
Transaction price | 31,148 |
Options to License Undruggable Targets | |
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items] | |
Transaction price | $ 12,447 |
Leases - Additional Information
Leases - Additional Information (Details) | 6 Months Ended |
Jun. 30, 2022 Lease | |
Lessee Lease Description [Line Items] | |
Number of operating leases | 4 |
Lessee, operating lease, existence of option to terminate | false |
Leases - Summary of Lease Costs
Leases - Summary of Lease Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Lease Costs | ||||
Operating lease costs | $ 615 | $ 424 | $ 1,231 | $ 843 |
Short-term lease costs | 8 | 2 | 16 | 5 |
Variable lease costs | 33 | 54 | 100 | 110 |
Total lease costs | $ 656 | $ 480 | $ 1,347 | $ 958 |
Leases - Summary of Other Opera
Leases - Summary of Other Operating Lease Information (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Leases [Abstract] | ||
Operating cash flows used for operating leases | $ 802 | $ 605 |
Right-of-use asset obtained in exchange for new operating lease liability | $ 56 | $ 705 |
Weighted-average remaining lease term (in years) | 2 years 10 months 28 days | 3 years 10 months 24 days |
Weighted-average discount rate | 4% | 4.60% |
Share-Based Compensation - Addi
Share-Based Compensation - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 3 Months Ended | 6 Months Ended | |||||
Jun. 30, 2020 | Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Common stock shares issued | 41,923,472 | 41,923,472 | 41,850,162 | |||||
Share-based compensation expense | $ 4,745 | $ 3,183 | $ 9,500 | $ 5,240 | ||||
Weighted average exercise price, Granted | $ 14.54 | |||||||
Number of options exercised | 56,503 | |||||||
Options, weighted-average exercise price | $ 4.12 | |||||||
Aggregate proceeds from exercise of options | $ 233 | $ 632 | ||||||
Unrecognized share-based compensation expense related to unvested stock options | $ 49,000 | $ 49,000 | ||||||
Unrecognized share-based compensation expense related to unvested stock options, weighted average period | 2 years 2 months 12 days | |||||||
Decrease in additional paid-in capital as exercised options credited to common shares | $ 100 | |||||||
Common Shares | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Number of options exercised | 44,268 | 12,235 | 115,497 | 87,786 | ||||
2020 Employee Share Purchase Plan | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Shares of common stock reserved for future issuance | 1,087,781 | 1,087,781 | ||||||
Annual increases in number of shares available for issuance as percentage of outstanding shares common stock on final day of preceding calendar year | 1% | |||||||
Annual increases in number of shares available for issuance maximum number of common stock issued | 3,300,000 | |||||||
Purchase price of shares as percentage of fair market value of common stock on date of purchase | 85% | |||||||
Common stock shares issued | 0 | 16,807 | 16,807 | |||||
Shares issued, price per share | $ 12.71 | $ 12.71 | ||||||
Cash received from purchases under ESPP | $ 200 | |||||||
2020 Employee Share Purchase Plan | Maximum | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Shares of common stock reserved for future issuance | 327,000 | |||||||
Option Plan | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Shares of common stock reserved for future issuance | 298,605 | |||||||
Option Plan | Common Shares | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Number of shares ceased granting | 4,074,135 | |||||||
2020 Equity Incentive Plan | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Shares of common stock reserved for future issuance | 7,922,525 | 7,922,525 | ||||||
2020 Equity Incentive Plan | Maximum | ||||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||||||
Shares of common stock reserved for future issuance | 3,807,448 | |||||||
Annual increases in number of shares available for issuance as percentage of outstanding shares common stock on final day of preceding calendar year | 5% | |||||||
Shares of common stock initially reserved for future issuance | 3,600,000 |
Share-Based Compensation - Sche
Share-Based Compensation - Schedule of Outstanding Stock Options (Details) | 6 Months Ended |
Jun. 30, 2022 $ / shares shares | |
Share-Based Payment Arrangement [Abstract] | |
Number of shares, Outstanding at beginning of period | shares | 5,322,591 |
Number of shares, Granted | shares | 2,883,567 |
Number of shares, Exercised | shares | (56,503) |
Number of shares, Cancelled or forfeited | shares | (175,252) |
Number of shares, Outstanding at end of period | shares | 7,974,403 |
Weighted average exercise price, Outstanding at beginning of period | $ / shares | $ 14.76 |
Weighted average exercise price, Granted | $ / shares | 14.54 |
Weighted average exercise price, Exercised | $ / shares | 4.12 |
Weighted average exercise price, Cancelled or forfeited | $ / shares | 19 |
Weighted average exercise price, Outstanding at end of period | $ / shares | $ 14.66 |
Share-Based Compensation - Sc_2
Share-Based Compensation - Schedule of Fair Value of Stock Options Determined on Grant Date Using Black Scholes Option-Pricing Model (Details) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Share-Based Payment Arrangement [Abstract] | ||||
Risk-free interest rate | 2.92% | 0.92% | 2% | 0.72% |
Expected terms (in years) | 5 years 7 months 2 days | 5 years 7 months 2 days | 5 years 11 months 19 days | 5 years 11 months 26 days |
Expected volatility | 78.85% | 76.44% | 78.55% | 75.59% |
Expected dividend yield | 0% | 0% | 0% | 0% |
Share-Based Compensation - Sc_3
Share-Based Compensation - Schedule of Share-based Compensation Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||
Total share-based compensation expense | $ 4,745 | $ 3,183 | $ 9,500 | $ 5,240 |
Research and Development | ||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||
Total share-based compensation expense | 2,440 | 1,441 | 4,751 | 2,428 |
General and Administrative | ||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||
Total share-based compensation expense | 2,305 | 1,742 | 4,749 | 2,812 |
Stock Options | ||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||
Total share-based compensation expense | 4,695 | 3,122 | 9,407 | 5,148 |
Two Thousand Twenty Employee Share Purchase Plan [Member] | ||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||
Total share-based compensation expense | $ 50 | $ 61 | $ 93 | $ 92 |
Net Loss per Share - Summary of
Net Loss per Share - Summary of Basic and Diluted Net Loss per Share Attributable to Common Stockholders (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Numerator: | ||||
Net loss attributable to common shareholders | $ (38,093) | $ (26,309) | $ (72,850) | $ (47,726) |
Net loss attributable to common shareholders-basic | (38,093) | (26,309) | (72,850) | (47,726) |
Net loss attributable to common shareholders-diluted | $ (38,093) | $ (26,309) | $ (72,850) | $ (47,726) |
Denominator: | ||||
Weighted-average common shares outstanding-basic | 41,899,509 | 37,036,683 | 41,880,666 | 36,977,040 |
Weighted-average common shares outstanding-diluted | 41,899,509 | 37,036,683 | 41,880,666 | 36,977,040 |
Net loss per share attributable to common shareholders--basic | $ (0.91) | $ (0.71) | $ (1.74) | $ (1.29) |
Net loss per share attributable to common shareholders-diluted | $ (0.91) | $ (0.71) | $ (1.74) | $ (1.29) |
Net Loss per Share - Computatio
Net Loss per Share - Computation of Diluted Net Loss Per Share in Attributable to Common Shareholders Indicate to Anti Diluted Effect (Details) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Options to Purchase Common Shares | ||||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share amount | 7,974,403 | 5,258,005 | 7,974,403 | 5,258,005 |
Subsequent Events (Additional I
Subsequent Events (Additional Information) (Details) - Subsequent Events - USD ($) $ in Millions | Aug. 04, 2022 | Jul. 13, 2022 |
Roche Agreement | ||
Subsequent Event [Line Items] | ||
Upfront payment | $ 125 | |
Roche Agreement | Research, Development and Regulatory Milestones | ||
Subsequent Event [Line Items] | ||
Milestones payments | $ 1,172 | |
Sales Agreement | Maximum | Common Shares | ||
Subsequent Event [Line Items] | ||
Aggregate offering price | $ 125 |