Cover Page
Cover Page - shares | 6 Months Ended | |
Dec. 31, 2022 | Feb. 09, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity File Number | 001-39267 | |
Entity Registrant Name | BENITEC BIOPHARMA INC. | |
Entity Tax Identification Number | 84-4620206 | |
Document Period End Date | Dec. 31, 2022 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q2 | |
Entity Central Index Key | 0001808898 | |
Current Fiscal Year End Date | --06-30 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Incorporation, State or Country Code | DE | |
Entity Address, Address Line One | 3940 Trust Way | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 94545 | |
City Area Code | 510 | |
Local Phone Number | 780-0819 | |
Title of 12(b) Security | Common Stock, par value $0.0001 | |
Trading Symbol | BNTC | |
Security Exchange Name | NASDAQ | |
Entity Common Stock, Shares Outstanding | 27,981,161 | |
Entity Address, City or Town | Hayward |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2022 | Jun. 30, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 10,537 | $ 4,062 |
Restricted cash | 14 | 14 |
Trade and other receivables | 68 | 3 |
Prepaid and other assets | 356 | 741 |
Total current assets | 10,975 | 4,820 |
Property and equipment, net | 139 | 222 |
Deposits | 25 | 25 |
Other assets | 116 | 135 |
Right-of-use assets | 650 | 771 |
Total assets | 11,905 | 5,973 |
Current liabilities: | ||
Trade and other payables | 1,830 | 1,880 |
Accrued employee benefits | 396 | 400 |
Lease liabilities, current portion | 263 | 252 |
Total current liabilities | 2,489 | 2,532 |
Lease liabilities, less current portion | 422 | 559 |
Total liabilities | 2,911 | 3,091 |
Commitments and contingencies (Note 11) | ||
Stockholders' equity: | ||
Common stock, $0.0001 par value-160,000,000 shares authorized; 27,981,161 shares and 8,171,690 shares issued and outstanding at December 31, 2022 and June 30, 2022, respectively | 3 | 1 |
Additional paid-in capital | 168,720 | 152,453 |
Accumulated deficit | (158,831) | (148,327) |
Accumulated other comprehensive loss | (898) | (1,245) |
Total stockholders' equity | 8,994 | 2,882 |
Total liabilities and stockholders' equity | $ 11,905 | $ 5,973 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2022 | Jun. 30, 2022 |
Statement of Financial Position [Abstract] | ||
Common Stock Par Value | $ 0.0001 | $ 0.0001 |
Common Stock Shares Authorized | 160,000,000 | 160,000,000 |
Common Stock, Shares Issued | 27,981,161 | 8,171,690 |
Common Stock, Shares Outstanding | 27,981,161 | 8,171,690 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenue: | ||||
Licensing revenues from customers | $ 14 | $ 25 | $ 14 | $ 25 |
Total revenues | 14 | 25 | 14 | 25 |
Operating expenses | ||||
Research and development | 3,761 | 3,146 | 6,421 | 5,926 |
General and administrative | 1,863 | 1,714 | 3,783 | 3,756 |
Total operating expenses | 5,624 | 4,860 | 10,204 | 9,682 |
Loss from operations | (5,610) | (4,835) | (10,190) | (9,657) |
Other income (loss): | ||||
Foreign currency transaction gain (loss) | 161 | 48 | (346) | (193) |
Interest expense, net | (9) | (11) | (18) | (12) |
Other income, net | 50 | 50 | ||
Unrealized loss on investment | (3) | (23) | 0 | (5) |
Total other income (loss), net | 199 | 14 | (314) | (210) |
Net loss | (5,411) | (4,821) | (10,504) | (9,867) |
Other comprehensive income: | ||||
Unrealized foreign currency translation (loss) gain | (160) | (57) | 347 | 182 |
Total other comprehensive income | (160) | (57) | 347 | 182 |
Total comprehensive loss | $ (5,571) | $ (4,878) | $ (10,157) | $ (9,685) |
Net loss per share: | ||||
Basic | $ (0.2) | $ (0.59) | $ (0.55) | $ (1.21) |
Diluted | $ (0.2) | $ (0.59) | $ (0.55) | $ (1.21) |
Weighted average number of shares outstanding: | ||||
Basic | 27,561,766 | 8,171,690 | 19,208,738 | 8,171,690 |
Diluted | 27,561,766 | 8,171,690 | 19,208,738 | 8,171,690 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Common stock | Additional Paid-in Capital | Accumulated Deficit | Accumulated Other Comprehensive Loss |
Balance at the beginning at Jun. 30, 2021 | $ 20,010 | $ 1 | $ 151,583 | $ (130,119) | $ (1,455) |
Balance at the beginning (In shares) at Jun. 30, 2021 | 8,171,690 | ||||
Share-based compensation | 271 | 271 | |||
Foreign currency translation gain | 239 | 239 | |||
Net loss | (5,045) | (5,045) | |||
Balance at end at Sep. 30, 2021 | 15,475 | $ 1 | 151,854 | (135,164) | (1,216) |
Balance at end (In shares) at Sep. 30, 2021 | 8,171,690 | ||||
Balance at the beginning at Jun. 30, 2021 | 20,010 | $ 1 | 151,583 | (130,119) | (1,455) |
Balance at the beginning (In shares) at Jun. 30, 2021 | 8,171,690 | ||||
Foreign currency translation gain | 182 | ||||
Net loss | (9,867) | ||||
Balance at end at Dec. 31, 2021 | 10,836 | $ 1 | 152,093 | (139,985) | (1,273) |
Balance at end (In shares) at Dec. 31, 2021 | 8,171,690 | ||||
Balance at the beginning at Sep. 30, 2021 | 15,475 | $ 1 | 151,854 | (135,164) | (1,216) |
Balance at the beginning (In shares) at Sep. 30, 2021 | 8,171,690 | ||||
Share-based compensation | 239 | 239 | |||
Foreign currency translation gain | (57) | (57) | |||
Net loss | (4,821) | (4,821) | |||
Balance at end at Dec. 31, 2021 | 10,836 | $ 1 | 152,093 | (139,985) | (1,273) |
Balance at end (In shares) at Dec. 31, 2021 | 8,171,690 | ||||
Balance at the beginning at Jun. 30, 2022 | 2,882 | $ 1 | 152,453 | (148,327) | (1,245) |
Balance at the beginning (In shares) at Jun. 30, 2022 | 8,171,690 | ||||
Issuance of common stock, pre-funded warrants, and common warrants sold for cash, net of offering costs of $1,869 | 16,015 | $ 2 | 16,013 | ||
Issuance of common stock, pre-funded warrants, and common warrants sold for cash, net of offering costs of $1,869, Shares | 17,637,843 | ||||
Share-based compensation | 302 | 302 | |||
Foreign currency translation gain | 507 | 507 | |||
Net loss | (5,093) | (5,093) | |||
Balance at end at Sep. 30, 2022 | 14,613 | $ 3 | 168,768 | (153,420) | (738) |
Balance at end (In shares) at Sep. 30, 2022 | 25,809,533 | ||||
Balance at the beginning at Jun. 30, 2022 | 2,882 | $ 1 | 152,453 | (148,327) | (1,245) |
Balance at the beginning (In shares) at Jun. 30, 2022 | 8,171,690 | ||||
Foreign currency translation gain | 347 | ||||
Net loss | (10,504) | ||||
Balance at end at Dec. 31, 2022 | 8,994 | $ 3 | 168,720 | (158,831) | (898) |
Balance at end (In shares) at Dec. 31, 2022 | 27,981,161 | ||||
Balance at the beginning at Sep. 30, 2022 | 14,613 | $ 3 | 168,768 | (153,420) | (738) |
Balance at the beginning (In shares) at Sep. 30, 2022 | 25,809,533 | ||||
Exercise of pre-funded warrants, Shares | 2,171,628 | ||||
Share-based compensation | (48) | (48) | |||
Foreign currency translation gain | (160) | (160) | |||
Net loss | (5,411) | (5,411) | |||
Balance at end at Dec. 31, 2022 | $ 8,994 | $ 3 | $ 168,720 | $ (158,831) | $ (898) |
Balance at end (In shares) at Dec. 31, 2022 | 27,981,161 |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended |
Sep. 30, 2022 | Dec. 31, 2022 | |
Equity [Abstract] | ||
Payments For Stock Issuance Costs | $ 1,869 | $ 1,869 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Cash flows from operating activities: | ||||
Net loss | $ (5,411) | $ (4,821) | $ (10,504) | $ (9,867) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||||
Depreciation and amortization | 41 | 55 | 83 | 107 |
Amortization of right-of-use assets | 121 | 108 | ||
Unrealized gain on investment | 3 | 23 | 0 | 5 |
Share-based compensation expense | 254 | 510 | ||
Changes in operating assets and liabilities: | ||||
Trade and other receivables | (50) | 0 | ||
Other assets | 388 | 470 | ||
Trade and other payables | (50) | 1,146 | ||
Accrued employee benefits | (5) | (5) | ||
Lease liabilities | (125) | (96) | ||
Net cash used in operating activities | (9,888) | (7,622) | ||
Cash flows from financing activities: | ||||
Proceeds from issuance of common stock, pre-funded warrants, and common warrants | 17,884 | |||
Shares and pre-funded warrant issuance costs | (1,869) | |||
Net cash provided by financing activities | 16,015 | |||
Effects of exchange rate changes on cash, cash equivalents, and restricted cash | 348 | 182 | ||
Net increase (decrease) in cash, cash equivalents, and restricted cash | 6,475 | (7,440) | ||
Cash, cash equivalents, and restricted cash, beginning of period | 4,076 | 19,783 | ||
Cash, cash equivalents, and restricted cash, end of period | $ 10,551 | $ 12,343 | 10,551 | 12,343 |
Supplemental disclosure of cash flow information: | ||||
Re-measurement of operating lease right-of-use assets and liabilities | $ 0 | $ 794 |
Business
Business | 6 Months Ended |
Dec. 31, 2022 | |
Schedule Of Entities In Control [Abstract] | |
Business | 1. Business Benitec Biopharma Inc. (the “Company”) is a corporation formed under the laws of Delaware, United States of America, on November 22, 2019 and listed on the Nasdaq Capital Market (“Nasdaq”) under the symbol “BNTC”. Benitec Biopharma Inc. is the parent entity of a number of subsidiaries including the previous parent entity Benitec Biopharma Limited (“BBL”). BBL was incorporated under the laws of Australia in 1995 and was listed on the Australian Securities Exchange, or ASX, from 1997 until April 15, 2020. On August 14, 2020, BBL reorganized as a Proprietary Limited company and changed its name to Benitec Biopharma Proprietary Limited. The Company’s business focuses on the development of novel genetic medicines. Our proprietary platform, called DNA-directed During the year ended June 30, 2021, the Company completed an organization restructuring as part of the commercial desire to provide a more efficient structure for the future as the Company transitioned its operations to the United States. The Company’s fiscal year end is June 30. References to a particular “fiscal year” are to our fiscal year end June 30 of that calendar year. The consolidated financial statements of Benitec Biopharma Inc. are presented in United States dollars and consist of Benitec Biopharma Inc. and its wholly owned subsidiaries: Principal place of Benitec Biopharma Proprietary Limited (“BBL”) Australia Benitec Australia Proprietary Limited Australia Benitec Limited United Kingdom Benitec, Inc. USA Benitec LLC USA RNAi Therapeutics, Inc. USA Tacere Therapeutics, Inc. USA Benitec IP Holdings, Inc. USA |
Basis of Presentation and Summa
Basis of Presentation and Summary of Significant Accounting Policies | 6 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Basis of presentation and summary of significant accounting policies | 2. Basis of Presentation and Summary of Significant Accounting Policies Basis of Presentation The Company’s consolidated financial statements contained in this Quarterly Report on Form 10-Q 10-Q S-X. 10-K Reference is frequently made herein to the Financial Accounting Standards Board (the “FASB”) Accounting Standards Codification (“ASC”). This is the source of authoritative GAAP recognized by the FASB to be applied to non-governmental Principles of Consolidation The consolidated financial statements include the Company’s accounts and the accounts of its wholly owned subsidiaries. All intercompany transactions and balances have been eliminated. Use of Estimates The preparation of the Company’s consolidated financial statements requires management to make estimates and assumptions that impact the reported amounts of assets, liabilities and expenses and the disclosure of contingent assets and liabilities in the Company’s consolidated financial statements and accompanying notes. The most significant estimates and assumptions in the Company’s consolidated financial statements include the estimates of useful lives of property and equipment, valuation of the operating lease liability and relate right-of-use Risks and Uncertainties The Company is subject to risks and uncertainties common to early-stage companies in the biotechnology industry, including, but not limited to, development by competitors of new technological innovations, protection of proprietary technology, dependence on key personnel, reliance on single- source vendors and collaborators, availability of raw materials, patentability of the Company’s products and processes and clinical efficacy and safety of the Company’s products under development, compliance with government regulations and the need to obtain additional financing to fund operations. 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 or maintained, 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 technological change and substantial competition from other pharmaceutical and biotechnology companies. In addition, the Company is dependent upon the services of its employees, consultants and other third parties. Moreover, the current COVID-19 start-up Segment Reporting Operating segments are identified as components of an enterprise about which separate discrete financial information is available for evaluation by the chief operating decision-maker in making decisions regarding resource allocation and assessing performance. The Company views its operations and manages its business in one operating segment. Foreign Currency Translation and Other Comprehensive Income (Loss) The Company’s functional currency and reporting currency is the United States dollar. BBL’s functional currency is the Australian dollar (AUD). Assets and liabilities are translated at the exchange rate in effect at the balance sheet date. Revenues and expenses are translated at the average rate of exchange prevailing during the reporting period. Equity transactions are translated at each historical transaction date spot rate. Translation adjustments arising from the use of different exchange rates from period to period are included as a component of stockholders’ equity as “Accumulated other comprehensive loss.” Gains and losses resulting from foreign currency translation are included in the consolidated statements of operations and comprehensive loss as other comprehensive income (loss). Other comprehensive income for all periods presented consists entirely of foreign currency translation gains and losses. Fair Value Measurements The Company measures its financial assets and liabilities in accordance with GAAP using ASC 820, Fair Value Measurements. For certain financial instruments, including cash and cash equivalents, accounts receivable, and accounts payable, the carrying amounts approximate fair value due to their short maturities. The Company follows accounting guidance for financial assets and liabilities. ASC 820 defines fair value, provides guidance for measuring fair value and requires certain disclosures. The guidance utilizes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. The following is a brief description of those three levels: Level 1: Observable inputs such as quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2: Inputs, other than quoted prices that are observable, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. Level 3: Unobservable inputs in which little or no market data exists, therefore developed using estimates and assumptions developed by us, which reflect those that a market participant would use. Cash and Cash Equivalents Cash and cash equivalents include cash on hand and at banks, short-term deposits with an original maturity of three months or less with financial institutions, and bank overdrafts. Bank overdrafts are reflected as a current liability on the consolidated balance sheets. There were no cash equivalents as of December 31, 2022 and June 30, 2022. Concentrations of Risk Financial instruments that potentially subject the Company to significant concentration of credit risk consist primarily of cash and cash equivalents. The Company maintains deposits at federally insured financial institutions in excess of federally insured limits. The Company has not experienced any losses in such accounts, and management believes that the Company is not exposed to significant credit risk due to the financial position of the depository institutions in which those deposits are held. Trade and Other Receivables As amounts become uncollectible, they will be charged to an allowance and operations in the period when a determination of collectability is made. Any estimates of potentially uncollectible customer accounts receivable will be made based on an analysis of individual customer and historical write-off Property and Equipment Property and equipment are stated at cost, net of accumulated depreciation and amortization. Expenditures for maintenance and repairs are expensed as incurred; additions, renewals, and improvements are capitalized. When property and equipment are retired or otherwise disposed of, the related cost and accumulated depreciation and amortization are removed from the respective accounts, and any gain or loss is included in operations. Depreciation and amortization of property and equipment is calculated using the straight-line basis over the following estimated useful lives: Software 3- 4 Lab equipment 3- 7 Computer hardware 3-5 Leasehold improvements shorter of the lease term or estimated useful lives Impairment of Long-Lived Assets Property and equipment are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of long-lived assets to be held and used is measured by a comparison of the carrying amount of an asset to the estimated undiscounted future cash flows expected to be generated by the asset. If the carrying amount of an asset exceeds its estimated undiscounted future cash flows, an impairment charge is recognized by the amount by which the carrying amount of the asset exceeds the fair value of the assets. Fair value is generally determined using the asset’s expected future discounted cash flows or market value, if readily determinable. Trade and other payables These amounts represent liabilities for goods and services provided to the Company prior to the end of the period and which are unpaid. Due to their short-term nature, they are measured at amortized cost and are not discounted. The amounts are unsecured and are usually paid within 30 days of recognition. Leases At lease commencement, the Company records a lease liability based on the present value of lease payments over the expected lease term. The Company calculates the present value of lease payments using the discount rate implicit in the lease, unless that rate cannot be readily determined. In that case, the Company uses its incremental borrowing rate, which is the rate of interest that the Company would have to pay to borrow on a collateralized basis an amount equal to the lease payments over the expected lease term. The Company records a corresponding right-of-use After lease commencement, the Company measures its leases as follows: (i) the lease liability based on the present value of the remaining lease payments using the discount rate determined at lease commencement; and (ii) the right-of-use Basic and Diluted Net Loss Per Share Basic net loss per share is calculated by dividing net loss by the weighted-average number of common shares outstanding during the period. Diluted net loss per share is calculated by dividing net loss by the weighted-average number of common shares outstanding plus potential common shares. Stock options, warrants and convertible instruments are considered potential common shares and are included in the calculation of diluted net loss per share using the treasury stock method when their effect is dilutive. Potential common shares are excluded from the calculation of diluted net income (loss) per share when their effect is anti-dilutive. As of December 31, 2022, and June 30, 2022, there were 40,684,965 and 845,159 potential common shares, respectively, that were excluded from the calculation of diluted net loss per share because their effect was anti-dilutive. Revenue Recognition The Company recognizes revenue in accordance with that core principle by applying the following steps: Step 1: Identify the contract(s) with a customer. Step 2: Identify the performance obligations in the contract. Step 3: Determine the transaction price. Step 4: Allocate the transaction price to the performance obligations in the contract. Step 5: Recognize revenue when (or as) the entity satisfies a performance obligation. The Company applies judgement in determining whether contracts entered into fall within the scope of ASC 606, Revenue from Contracts with Customers (“ASC 606”). In doing so, management considers the commercial substance of the transaction and how risks and benefits of the contract accrue to the various parties to the contract. Management has also made the judgement that the grant of the license and transfer of associated know-how know-how know-how Licensing revenues Revenue from licensees of the Company’s intellectual property reflects the transfer of a right to use the intellectual property as it exists at the point in time in which the license is transferred to the customer. Consideration can be variable and is estimated using the most likely amount method and is constrained to the extent that it is probable that a significant reversal will not occur. Revenue is recognized as or when the performance obligations are satisfied. The Company recognizes contract liabilities for consideration received in respect of unsatisfied performance obligations and reports these amounts as other liabilities in the consolidated balance sheet. Similarly, if the Company satisfies a performance obligation before it receives the consideration, the Company recognizes either a contract asset or a receivable in its consolidated balance sheet, depending on whether something other than the passage of time is required before the consideration is due. Royalties Revenue from licensees of the Company’s intellectual property reflect a right to use the intellectual property as it exists at the point in time in which the license is granted. Where consideration is based on sales of product by the licensee, revenue is recognized when the customer’s subsequent sales of products occur. Services revenue Revenue is earned (constrained by variable considerations) from the provision of research and development services to customers. Services revenue is recognized when performance obligations are either satisfied over time or at a point in time. Generally, the provision of research and development services under a contract with a customer will represent satisfaction of a performance obligation over time where the Company retains the right to payment for services performed but not yet completed. Research and Development Expense Research and development costs are expensed when incurred. Research and development expenses relate primarily to the cost of conducting clinical and preclinical trials. Preclinical and clinical development costs are a significant component of research and development expenses. Estimates have been used in determining the expense liability under certain preclinical and clinical trial contracts where services have been performed but not yet invoiced. Generally, the costs, and therefore estimates, associated with preclinical and clinical trial contracts are based on the number of animal subjects, samples or tissues requiring analyses, patients, drug administration cycles, the type of treatment and the outcome since the length of time before actual amounts can be determined will vary depending on the total samples requiring primary and repeated analyses, the length of the patient cycles and the timing of the invoices by the preclinical and clinical trial partners. Share-based Compensation Expense The Company records share-based compensation in accordance with ASC 718, Stock Compensation. ASC 718 requires the fair value of all share-based compensation awarded to employees and non-employees non-employee Income Taxes The Company is subject to Australia and United States income tax laws. The Company follows ASC 740, Income Taxes, which requires an asset and liability approach to financial accounting and reporting for income taxes. Deferred income tax assets and liabilities are computed annually for temporary differences between the financial statements and tax bases of assets and liabilities that will result in taxable or deductible amounts in the future based on enacted tax laws and rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established when necessary to reduce deferred tax assets to the amount more likely than not to be realized. For uncertain tax positions that meet a “more likely than not” threshold, the Company recognizes the benefit of uncertain tax positions in the consolidated financial statements. The Company’s practice is to recognize interest and penalties, if any, related to uncertain tax positions in income tax expense in the consolidated statements of operations. Recent Accounting Pronouncements In June 2016, the FASB issued ASU No. 2016-13: 2019-10: |
Going concern
Going concern | 6 Months Ended |
Dec. 31, 2022 | |
Going Concern [Abstract] | |
Going concern | 3. Going Concern The accompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern. For the six months ended December 31, 2022, and 2021, the Company incurred a net loss of $10.5 million and $9.9 million and used cash of $9.9 million and $7.6 million in operations, respectively. The Company expects to continue to incur additional operating losses in the foreseeable future. The Company’s business focuses on the development of novel genetic medicines and, at this stage in the Company’s development, the Company has not established a source of revenue to cover its full operating costs, and as such, is dependent on funding operations through capital financing activities. As of December 31, 2022, the Company had $10.5 million in cash and cash equivalents. The Company has performed a review of its cash flow forecasts and has concluded that substantial doubt exists as to its ability to continue as a going concern. The Company’s ability to continue as a going concern is dependent upon its ability to generate revenue and obtain adequate financing. While the Company believes in its ability to generate revenue and raise additional funds, there can be no assurances to that effect. The financial statements do not include any adjustments to reflect the possible future effects on the recoverability and classification of assets or the amounts and classification of liabilities that might be necessary if the Company is unable to continue as a going concern due to unsuccessful product development or commercialization, or the inability to obtain adequate financing in the future. |
Cash, cash equivalents, and res
Cash, cash equivalents, and restricted cash | 6 Months Ended |
Dec. 31, 2022 | |
Cash and Cash Equivalents [Abstract] | |
Cash, cash equivalents, and restricted cash | 4. Cash, cash equivalents, and restricted cash December 31, June 30, (US$’000) 2022 2022 Cash at bank $ 10,537 $ 4,062 Restricted cash 14 14 Total $ 10,551 $ 4,076 |
Prepaid and other assets
Prepaid and other assets | 6 Months Ended |
Dec. 31, 2022 | |
Other Assets [Abstract] | |
Prepaid and other assets | 5. Prepaid and other assets December 31, June 30, (US$’000) 2022 2022 Prepaid expenses $ 468 $ 871 Market value of listed shares 4 5 Total other assets 472 876 Less: non-current (116 ) (135 ) Current portion $ 356 $ 741 |
Property and equipment, net
Property and equipment, net | 6 Months Ended |
Dec. 31, 2022 | |
Property, Plant and Equipment, Net [Abstract] | |
Property and equipment, net | 6. Property and equipment, net December 31, June 30, (US$’000) 2022 2022 Software $ 6 $ 6 Lab equipment 1,343 1,343 Computer hardware 31 31 Leasehold improvements 24 24 Total property and equipment, gross 1,404 1,404 Accumulated depreciation and amortization (1,265 ) (1,182 ) Total property and equipment, net $ 139 $ 222 Depreciation and amortization expense was $ |
Trade and other payables
Trade and other payables | 6 Months Ended |
Dec. 31, 2022 | |
Payables and Accruals [Abstract] | |
Trade and other payables | 7. Trade and other payables December 31, June 30, (US$’000) 2022 2022 Trade payable $ 531 $ 422 Accrued license fees 118 120 Accrued professional fees — 131 Accrued OPMD project costs 825 1,089 Accrued consultant fees 56 47 Accrued legal fees 259 — Other payables 41 71 Total $ 1,830 $ 1,880 |
Leases
Leases | 6 Months Ended |
Dec. 31, 2022 | |
Leases [Abstract] | |
Leases | 8. Leases The Company has entered into an operating lease for office space under an agreement that expires in 2025. The lease requires the Company to pay utilities, insurance, taxes and other operating expenses. The Company’s lease does not contain any residual value guarantees or material restrictive covenants. The tables below show the changes during the six months ended December 31, 2022: (US$’000) Operating of- Balance at July 1, 2022 $ 771 Amortization of right of use asset (121 ) Operating lease right-of-use $ 650 (US$’000) Operating Balance at July 1, 2022 $ 811 Principal payments on operating lease liabilities (126 ) Operating lease liabilities at December 31, 2022 685 Less: non-current (422 ) Current portion at December 31, 2022 $ 263 As of December 31, 2022, the Company’s operating lease has a remaining lease term of 2.45 years and a discount rate of 4.67%. The maturities of the operating lease liabilities are as follows: (US$’000) December 31, 2023 $ 289 2024 300 2025 138 Total operating lease payments 727 Less imputed interest (42 ) Present value of operating lease liabilities $ 685 The Company recorded lease liabilities and right-of-use |
Stockholders' equity
Stockholders' equity | 6 Months Ended |
Dec. 31, 2022 | |
Equity [Abstract] | |
Stockholders' equity | 9. Stockholders’ equity Common Stock On December 8, 2021, the stockholders of the Company approved an amendment (the “Charter Amendment”) to the Company’s Amended and Restated Certificate of Incorporation to increase the total number of authorized shares of common stock of the Company from 10,000,000 to 40,000,000. On December 7, 2022, the stockholders of the Company approved another amendment to the Company’s Amended and Restated Certificate of Incorporation to increase the number of authorized shares of common stock from 40,000,000 to 160,000,000. The Charter Amendment was filed with the Secretary of State of the State of Delaware and became effective December 9, 2022. Warrants On December 6, 2019, certain investors (the “Investors”) were issued 4 Purchase Warrants that were exercisable into 214,190 fully paid shares of common stock should the Purchase Warrants be exercised in full (“Purchase Warrants”). The exercise price for the Purchase Warrants is US$10.50 per share issued on exercise of a Purchase Warrant. The Purchase Warrants are exercisable, in whole or in part, any time from the date of issue until the fifth anniversary of the date of issue (December 6, 2024). On April 22, 2020, the Company issued 37,417 shares of common stock in connection with a cashless exercise of Purchase Warrants exercisable for 107,095 shares of common stock. The activity related to warrants during the six months ended December 31, 2022, is summarized as follows: Common Weighted- Outstanding at July 1, 2022 107,095 $ 10.50 Pre-funded warrants issued September 15, 2022 12,171,628 $ 0.0001 Series 2 Warrants issued September 15, 2022 29,809,471 $ 0.66 Outstanding at September 30, 2022 42,088,194 $ 0.49 Pre-funded warrants exercised 2,171,628 $ 0.0001 Outstanding at December 31, 2022 39,916,566 $ 0.52 Exercisable at December 31, 2022 39,916,566 $ 0.52 On September 15, 2022, we closed an underwritten public offering in which we issued and sold (i) 17,637,843 shares of the Company’s common stock, (ii) 12,171,628 pre-funded warrants, with each pre-funded warrant immediately exercisable for one share of common stock at an exercise price of $0.0001 per share until exercised in full and (iii) 29,809,471 common warrants, the Series 2 Warrants, with each common warrant accompanying each issued share of common stock and/or pre-funded warrant and exercisable for one share of common stock at an exercise price of $0.66 per share. The Series 2 warrants sold in the offering became exercisable commencing December 9, 2022, the date on which the Company had both (a) received approval from its stockholders to increase the number of shares of common stock it is authorized to issue and (b) effected such stockholder approval by filing with the Secretary of State of the State of Delaware a certificate of amendment to its amended and restated certificate of incorporation, and will expire on the fifth anniversary of such initial exercise date. The combined purchase price for each share of common stock and accompanying common warrant was $0.60, which was allocated as $0.59 per share of common stock and $0.01 per common warrant. On October 17, 2022 and October 27, 2022, investors exercised 2,004,961 and 166,667 pre-funded warrants, respectively, at an exercise price of $0.0001 per share. As of December 31, 2022, there were 39,916,566 warrants outstanding. Equity Incentive Plan Employee Share Option Plan In connection with its re-domiciliation re-domiciliation one-third re-domiciliation, Equity and Incentive Compensation Plan On December 9, 2020, the Company’s stockholders approved the Company’s 2020 Equity and Incentive Compensation Plan and, on December 8, 2021, the Company’s stockholders approved an amendment to increase the maximum number of shares that may be issued under such plan to 1,850,000 (as amended, the “2020 Plan”). The 2020 Plan provides for the grant of various equity awards. Currently, only stock options are issued under the 2020 Plan. Each option when exercised entitles the option holder to one share of the Company’s common stock. Options are exercisable on or before an expiry date, do not carry any voting or dividend rights, and are not transferable except on death of the option holder or in certain other limited circumstances. Employee stock options vest in increments of one-third Non-employee one-third ercis Equity Awards The activity related to equity awards, which are comprised of stock options during the six months ended December 31, 2022 is summarized as follows: Stock Weighted- Weighted- Aggregate Outstanding at June 30, 2022 738,064 $ 6.95 7.18 years $ — Expired 5,665 $ 45.92 Granted 36,000 $ 0.17 9.93 years Outstanding at December 31, 2022 768,399 $ 6.35 6.89 years $ 64.80 Exercisable at December 31, 2022 456,688 $ 8.58 6.71 years $ — Share-Based Compensation Expense The classification of share-based compensation expense is summarized as follows: Three Months Ended Six Months Ended December 31, 2022 (US$’000) 2022 2021 2022 2021 Research and development $ 30 $ 80 $ 60 $ 161 General and administrative (78 ) 159 194 349 Total share-based compensation expense $ (48 ) $ 239 $ 254 $ 510 As of December 31, 2022, there was $0.3 million of unrecognized share-based compensation expense related to stock options issued under the Share Option Plan and the 2020 Plan. Non-employee option awards-related stock-based compensation expense for the three-month period ended September 30, 2022 was overstated by $167 thousand. The Company determined that this overstatement is immaterial to the previously issued condensed consolidated financial statements for the three-month period ended September 30, 2022 and corrected the amount in the three-month period ended December 31, 2022. |
Income taxes
Income taxes | 6 Months Ended |
Dec. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Income taxes | 10. Income taxes For the three and six months ended December 31, 2022, and December 31, 2021, the Company did not recognize a provision or benefit for income taxes as it has incurred net losses. In addition, the net deferred tax assets generated from net operating losses are fully offset by a valuation allowance as the Company believes it is not more likely than not that the benefit will be realized. |
Commitments and contingencies
Commitments and contingencies | 6 Months Ended |
Dec. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and contingencies | 11. Commitments and contingencies Contract commitments The Company enters into contracts in the normal course of business with third-party contract research organizations, contract development and manufacturing organizations and other service providers and vendors. These contracts generally provide for termination on notice and, therefore, are cancellable contracts and not considered contractual obligations and commitments. Contingencies From time to time, the Company may become subject to claims and litigation arising in the ordinary course of business. The Company is not a party to any material legal proceedings, nor is it aware of any material pending or threatened litigation. |
Related party transactions
Related party transactions | 6 Months Ended |
Dec. 31, 2022 | |
Related Party Transactions [Abstract] | |
Related party transactions | 12. Related party transactions During the six months ended December 31, 2022, the Company did not enter into any related party transactions. As of December 31, 2021, the Company had entered into a related party transaction with Francis Abourizk Lightowlers for legal fees totaling $1 thousand. Peter Francis, a non-executive |
Basis of Presentation and Sum_2
Basis of Presentation and Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The Company’s consolidated financial statements contained in this Quarterly Report on Form 10-Q 10-Q S-X. 10-K Reference is frequently made herein to the Financial Accounting Standards Board (the “FASB”) Accounting Standards Codification (“ASC”). This is the source of authoritative GAAP recognized by the FASB to be applied to non-governmental |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the Company’s accounts and the accounts of its wholly owned subsidiaries. All intercompany transactions and balances have been eliminated. |
Use of Estimates | Use of Estimates The preparation of the Company’s consolidated financial statements requires management to make estimates and assumptions that impact the reported amounts of assets, liabilities and expenses and the disclosure of contingent assets and liabilities in the Company’s consolidated financial statements and accompanying notes. The most significant estimates and assumptions in the Company’s consolidated financial statements include the estimates of useful lives of property and equipment, valuation of the operating lease liability and relate right-of-use |
Risks and Uncertainties | Risks and Uncertainties The Company is subject to risks and uncertainties common to early-stage companies in the biotechnology industry, including, but not limited to, development by competitors of new technological innovations, protection of proprietary technology, dependence on key personnel, reliance on single- source vendors and collaborators, availability of raw materials, patentability of the Company’s products and processes and clinical efficacy and safety of the Company’s products under development, compliance with government regulations and the need to obtain additional financing to fund operations. 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 or maintained, 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 technological change and substantial competition from other pharmaceutical and biotechnology companies. In addition, the Company is dependent upon the services of its employees, consultants and other third parties. Moreover, the current COVID-19 start-up |
Segment Reporting | Segment Reporting Operating segments are identified as components of an enterprise about which separate discrete financial information is available for evaluation by the chief operating decision-maker in making decisions regarding resource allocation and assessing performance. The Company views its operations and manages its business in one operating segment. |
Foreign Currency Translation and Other Comprehensive Income (Loss) | Foreign Currency Translation and Other Comprehensive Income (Loss) The Company’s functional currency and reporting currency is the United States dollar. BBL’s functional currency is the Australian dollar (AUD). Assets and liabilities are translated at the exchange rate in effect at the balance sheet date. Revenues and expenses are translated at the average rate of exchange prevailing during the reporting period. Equity transactions are translated at each historical transaction date spot rate. Translation adjustments arising from the use of different exchange rates from period to period are included as a component of stockholders’ equity as “Accumulated other comprehensive loss.” Gains and losses resulting from foreign currency translation are included in the consolidated statements of operations and comprehensive loss as other comprehensive income (loss). Other comprehensive income for all periods presented consists entirely of foreign currency translation gains and losses. |
Fair Value Measurements | Fair Value Measurements The Company measures its financial assets and liabilities in accordance with GAAP using ASC 820, Fair Value Measurements. For certain financial instruments, including cash and cash equivalents, accounts receivable, and accounts payable, the carrying amounts approximate fair value due to their short maturities. The Company follows accounting guidance for financial assets and liabilities. ASC 820 defines fair value, provides guidance for measuring fair value and requires certain disclosures. The guidance utilizes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. The following is a brief description of those three levels: Level 1: Observable inputs such as quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2: Inputs, other than quoted prices that are observable, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. Level 3: Unobservable inputs in which little or no market data exists, therefore developed using estimates and assumptions developed by us, which reflect those that a market participant would use. |
Cash and Cash Equivalents | Cash and Cash Equivalents Cash and cash equivalents include cash on hand and at banks, short-term deposits with an original maturity of three months or less with financial institutions, and bank overdrafts. Bank overdrafts are reflected as a current liability on the consolidated balance sheets. There were no cash equivalents as of December 31, 2022 and June 30, 2022. |
Concentrations of Risk | Concentrations of Risk Financial instruments that potentially subject the Company to significant concentration of credit risk consist primarily of cash and cash equivalents. The Company maintains deposits at federally insured financial institutions in excess of federally insured limits. The Company has not experienced any losses in such accounts, and management believes that the Company is not exposed to significant credit risk due to the financial position of the depository institutions in which those deposits are held. |
Trade and Other Receivables | Trade and Other Receivables As amounts become uncollectible, they will be charged to an allowance and operations in the period when a determination of collectability is made. Any estimates of potentially uncollectible customer accounts receivable will be made based on an analysis of individual customer and historical write-off |
Property and Equipment | Property and Equipment Property and equipment are stated at cost, net of accumulated depreciation and amortization. Expenditures for maintenance and repairs are expensed as incurred; additions, renewals, and improvements are capitalized. When property and equipment are retired or otherwise disposed of, the related cost and accumulated depreciation and amortization are removed from the respective accounts, and any gain or loss is included in operations. Depreciation and amortization of property and equipment is calculated using the straight-line basis over the following estimated useful lives: Software 3- 4 Lab equipment 3- 7 Computer hardware 3-5 Leasehold improvements shorter of the lease term or estimated useful lives |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets Property and equipment are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of long-lived assets to be held and used is measured by a comparison of the carrying amount of an asset to the estimated undiscounted future cash flows expected to be generated by the asset. If the carrying amount of an asset exceeds its estimated undiscounted future cash flows, an impairment charge is recognized by the amount by which the carrying amount of the asset exceeds the fair value of the assets. Fair value is generally determined using the asset’s expected future discounted cash flows or market value, if readily determinable. |
Trade and other payables | Trade and other payables These amounts represent liabilities for goods and services provided to the Company prior to the end of the period and which are unpaid. Due to their short-term nature, they are measured at amortized cost and are not discounted. The amounts are unsecured and are usually paid within 30 days of recognition. |
Leases | Leases At lease commencement, the Company records a lease liability based on the present value of lease payments over the expected lease term. The Company calculates the present value of lease payments using the discount rate implicit in the lease, unless that rate cannot be readily determined. In that case, the Company uses its incremental borrowing rate, which is the rate of interest that the Company would have to pay to borrow on a collateralized basis an amount equal to the lease payments over the expected lease term. The Company records a corresponding right-of-use After lease commencement, the Company measures its leases as follows: (i) the lease liability based on the present value of the remaining lease payments using the discount rate determined at lease commencement; and (ii) the right-of-use |
Basic and Diluted Net Loss Per Share | Basic and Diluted Net Loss Per Share Basic net loss per share is calculated by dividing net loss by the weighted-average number of common shares outstanding during the period. Diluted net loss per share is calculated by dividing net loss by the weighted-average number of common shares outstanding plus potential common shares. Stock options, warrants and convertible instruments are considered potential common shares and are included in the calculation of diluted net loss per share using the treasury stock method when their effect is dilutive. Potential common shares are excluded from the calculation of diluted net income (loss) per share when their effect is anti-dilutive. As of December 31, 2022, and June 30, 2022, there were 40,684,965 and 845,159 potential common shares, respectively, that were excluded from the calculation of diluted net loss per share because their effect was anti-dilutive. |
Revenue Recognition | Revenue Recognition The Company recognizes revenue in accordance with that core principle by applying the following steps: Step 1: Identify the contract(s) with a customer. Step 2: Identify the performance obligations in the contract. Step 3: Determine the transaction price. Step 4: Allocate the transaction price to the performance obligations in the contract. Step 5: Recognize revenue when (or as) the entity satisfies a performance obligation. The Company applies judgement in determining whether contracts entered into fall within the scope of ASC 606, Revenue from Contracts with Customers (“ASC 606”). In doing so, management considers the commercial substance of the transaction and how risks and benefits of the contract accrue to the various parties to the contract. Management has also made the judgement that the grant of the license and transfer of associated know-how know-how know-how Licensing revenues Revenue from licensees of the Company’s intellectual property reflects the transfer of a right to use the intellectual property as it exists at the point in time in which the license is transferred to the customer. Consideration can be variable and is estimated using the most likely amount method and is constrained to the extent that it is probable that a significant reversal will not occur. Revenue is recognized as or when the performance obligations are satisfied. The Company recognizes contract liabilities for consideration received in respect of unsatisfied performance obligations and reports these amounts as other liabilities in the consolidated balance sheet. Similarly, if the Company satisfies a performance obligation before it receives the consideration, the Company recognizes either a contract asset or a receivable in its consolidated balance sheet, depending on whether something other than the passage of time is required before the consideration is due. Royalties Revenue from licensees of the Company’s intellectual property reflect a right to use the intellectual property as it exists at the point in time in which the license is granted. Where consideration is based on sales of product by the licensee, revenue is recognized when the customer’s subsequent sales of products occur. Services revenue Revenue is earned (constrained by variable considerations) from the provision of research and development services to customers. Services revenue is recognized when performance obligations are either satisfied over time or at a point in time. Generally, the provision of research and development services under a contract with a customer will represent satisfaction of a performance obligation over time where the Company retains the right to payment for services performed but not yet completed. |
Research and Development Expense | Research and Development Expense Research and development costs are expensed when incurred. Research and development expenses relate primarily to the cost of conducting clinical and preclinical trials. Preclinical and clinical development costs are a significant component of research and development expenses. Estimates have been used in determining the expense liability under certain preclinical and clinical trial contracts where services have been performed but not yet invoiced. Generally, the costs, and therefore estimates, associated with preclinical and clinical trial contracts are based on the number of animal subjects, samples or tissues requiring analyses, patients, drug administration cycles, the type of treatment and the outcome since the length of time before actual amounts can be determined will vary depending on the total samples requiring primary and repeated analyses, the length of the patient cycles and the timing of the invoices by the preclinical and clinical trial partners. |
Share-based Compensation Expense | Share-based Compensation Expense The Company records share-based compensation in accordance with ASC 718, Stock Compensation. ASC 718 requires the fair value of all share-based compensation awarded to employees and non-employees non-employee |
Income Taxes | Income Taxes The Company is subject to Australia and United States income tax laws. The Company follows ASC 740, Income Taxes, which requires an asset and liability approach to financial accounting and reporting for income taxes. Deferred income tax assets and liabilities are computed annually for temporary differences between the financial statements and tax bases of assets and liabilities that will result in taxable or deductible amounts in the future based on enacted tax laws and rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established when necessary to reduce deferred tax assets to the amount more likely than not to be realized. For uncertain tax positions that meet a “more likely than not” threshold, the Company recognizes the benefit of uncertain tax positions in the consolidated financial statements. The Company’s practice is to recognize interest and penalties, if any, related to uncertain tax positions in income tax expense in the consolidated statements of operations. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In June 2016, the FASB issued ASU No. 2016-13: 2019-10: |
Business (Tables)
Business (Tables) | 6 Months Ended |
Dec. 31, 2022 | |
Schedule Of Entities In Control [Abstract] | |
Summary of entities in control | The consolidated financial statements of Benitec Biopharma Inc. are presented in United States dollars and consist of Benitec Biopharma Inc. and its wholly owned subsidiaries: Principal place of Benitec Biopharma Proprietary Limited (“BBL”) Australia Benitec Australia Proprietary Limited Australia Benitec Limited United Kingdom Benitec, Inc. USA Benitec LLC USA RNAi Therapeutics, Inc. USA Tacere Therapeutics, Inc. USA Benitec IP Holdings, Inc. USA |
Basis of Presentation and Sum_3
Basis of Presentation and Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Summary of property and equipment | Depreciation and amortization of property and equipment is calculated using the straight-line basis over the following estimated useful lives: Software 3- 4 Lab equipment 3- 7 Computer hardware 3-5 Leasehold improvements shorter of the lease term or estimated useful lives |
Cash, cash equivalents, and r_2
Cash, cash equivalents, and restricted cash (Tables) | 6 Months Ended |
Dec. 31, 2022 | |
Cash and Cash Equivalents [Abstract] | |
Schedule of cash, cash equivalents, and restricted cash and Restricted cash equivalents | December 31, June 30, (US$’000) 2022 2022 Cash at bank $ 10,537 $ 4,062 Restricted cash 14 14 Total $ 10,551 $ 4,076 |
Prepaid and other assets (Table
Prepaid and other assets (Tables) | 6 Months Ended |
Dec. 31, 2022 | |
Other Assets [Abstract] | |
Summary of other current assets | December 31, June 30, (US$’000) 2022 2022 Prepaid expenses $ 468 $ 871 Market value of listed shares 4 5 Total other assets 472 876 Less: non-current (116 ) (135 ) Current portion $ 356 $ 741 |
Property and equipment, net (Ta
Property and equipment, net (Tables) | 6 Months Ended |
Dec. 31, 2022 | |
Property, Plant and Equipment, Net [Abstract] | |
Summary of property and equipment net | December 31, June 30, (US$’000) 2022 2022 Software $ 6 $ 6 Lab equipment 1,343 1,343 Computer hardware 31 31 Leasehold improvements 24 24 Total property and equipment, gross 1,404 1,404 Accumulated depreciation and amortization (1,265 ) (1,182 ) Total property and equipment, net $ 139 $ 222 |
Trade and other payables (Table
Trade and other payables (Tables) | 6 Months Ended |
Dec. 31, 2022 | |
Payables and Accruals [Abstract] | |
Summary of trade and other payables | December 31, June 30, (US$’000) 2022 2022 Trade payable $ 531 $ 422 Accrued license fees 118 120 Accrued professional fees — 131 Accrued OPMD project costs 825 1,089 Accrued consultant fees 56 47 Accrued legal fees 259 — Other payables 41 71 Total $ 1,830 $ 1,880 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Dec. 31, 2022 | |
Leases [Abstract] | |
Summary of supplemental balance sheet information related to leases | The tables below show the changes during the six months ended December 31, 2022: (US$’000) Operating of- Balance at July 1, 2022 $ 771 Amortization of right of use asset (121 ) Operating lease right-of-use $ 650 (US$’000) Operating Balance at July 1, 2022 $ 811 Principal payments on operating lease liabilities (126 ) Operating lease liabilities at December 31, 2022 685 Less: non-current (422 ) Current portion at December 31, 2022 $ 263 |
Summary of maturities of the operating lease liabilities | As of December 31, 2022, the Company’s operating lease has a remaining lease term of 2.45 years and a discount rate of 4.67%. The maturities of the operating lease liabilities are as follows: (US$’000) December 31, 2023 $ 289 2024 300 2025 138 Total operating lease payments 727 Less imputed interest (42 ) Present value of operating lease liabilities $ 685 |
Stockholders' equity (Tables)
Stockholders' equity (Tables) | 6 Months Ended |
Dec. 31, 2022 | |
Equity [Abstract] | |
Schedule of warrants or rights | The activity related to warrants during the six months ended December 31, 2022, is summarized as follows: Common Weighted- Outstanding at July 1, 2022 107,095 $ 10.50 Pre-funded warrants issued September 15, 2022 12,171,628 $ 0.0001 Series 2 Warrants issued September 15, 2022 29,809,471 $ 0.66 Outstanding at September 30, 2022 42,088,194 $ 0.49 Pre-funded warrants exercised 2,171,628 $ 0.0001 Outstanding at December 31, 2022 39,916,566 $ 0.52 Exercisable at December 31, 2022 39,916,566 $ 0.52 |
Schedule of equity awards | The activity related to equity awards, which are comprised of stock options during the six months ended December 31, 2022 is summarized as follows: Stock Weighted- Weighted- Aggregate Outstanding at June 30, 2022 738,064 $ 6.95 7.18 years $ — Expired 5,665 $ 45.92 Granted 36,000 $ 0.17 9.93 years Outstanding at December 31, 2022 768,399 $ 6.35 6.89 years $ 64.80 Exercisable at December 31, 2022 456,688 $ 8.58 6.71 years $ — |
Schedule of equity-based compensation expense | The classification of share-based compensation expense is summarized as follows: Three Months Ended Six Months Ended December 31, 2022 (US$’000) 2022 2021 2022 2021 Research and development $ 30 $ 80 $ 60 $ 161 General and administrative (78 ) 159 194 349 Total share-based compensation expense $ (48 ) $ 239 $ 254 $ 510 |
Business - Summary of entities
Business - Summary of entities in control (Detail) | 6 Months Ended |
Dec. 31, 2022 | |
Schedule Of Entities In Control [Line Items] | |
Principal place of business/country of incorporation | DE |
Benitec Biopharma Proprietary Limited ("BBL") [Member] | |
Schedule Of Entities In Control [Line Items] | |
Principal place of business/country of incorporation | C3 |
Benitec Australia Proprietary Limited [Member] | |
Schedule Of Entities In Control [Line Items] | |
Principal place of business/country of incorporation | C3 |
Benitec Limited [Member] | |
Schedule Of Entities In Control [Line Items] | |
Principal place of business/country of incorporation | X0 |
Benitec, Inc. [Member] | |
Schedule Of Entities In Control [Line Items] | |
Principal place of business/country of incorporation | X1 |
Benitec LLC [Member] | |
Schedule Of Entities In Control [Line Items] | |
Principal place of business/country of incorporation | X1 |
RNAi Therapeutics, Inc. [Member] | |
Schedule Of Entities In Control [Line Items] | |
Principal place of business/country of incorporation | X1 |
Tacere Therapeutics, Inc. [Member] | |
Schedule Of Entities In Control [Line Items] | |
Principal place of business/country of incorporation | X1 |
Benitec IP Holdings, Inc.[Member] | |
Schedule Of Entities In Control [Line Items] | |
Principal place of business/country of incorporation | X1 |
Business - Additional informati
Business - Additional information (Detail) | 6 Months Ended |
Dec. 31, 2022 | |
Schedule Of Entities In Control [Abstract] | |
Entity Incorporation Date Of Incorporation | Nov. 22, 2019 |
Basis of Presentation and Sum_4
Basis of Presentation and Summary of Significant Accounting Policies - Summary of property and equipment (Detail) | 6 Months Ended |
Dec. 31, 2022 | |
Software [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 3 years |
Software [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 4 years |
Lab equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 3 years |
Lab equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 7 years |
Computer hardware [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 3 years |
Computer hardware [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 5 years |
Leasehold improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Estimated Useful Lives | shorter of the lease term or estimated useful lives |
Basis of Presentation and Sum_5
Basis of Presentation and Summary of Significant Accounting Policies - Additional information (Detail) - shares | 6 Months Ended | 12 Months Ended |
Dec. 31, 2022 | Dec. 31, 2022 | |
Summary Of Significant Accounting Policies [Line Items] | ||
Antidilutive securities excluded from the computation of earnings per share | 40,684,965 | 845,159 |
Going concern - Additional info
Going concern - Additional information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||||
Dec. 31, 2022 | Sep. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2022 | |
Going Concern [Abstract] | |||||||
Net loss | $ (5,411) | $ (5,093) | $ (4,821) | $ (5,045) | $ (10,504) | $ (9,867) | |
Net cash used in provided by operations | (9,888) | $ (7,622) | |||||
Cash and cash equivalents | $ 10,537 | $ 10,537 | $ 4,062 |
Cash, cash equivalents, and r_3
Cash, cash equivalents, and restricted cash - Schedule of cash, cash equivalents, and restricted cash and Restricted cash equivalents (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Jun. 30, 2022 |
Cash and Cash Equivalents [Abstract] | ||
Cash at Bank | $ 10,537 | $ 4,062 |
Restricted cash | 14 | 14 |
Total | $ 10,551 | $ 4,076 |
Prepaid and other assets - Summ
Prepaid and other assets - Summary of other current assets (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Jun. 30, 2022 |
Other Assets [Abstract] | ||
Prepaid expenses | $ 468 | $ 871 |
Market value of listed shares | 4 | 5 |
Total other assets | 472 | 876 |
Less: non-current portion | (116) | (135) |
Current portion | $ 356 | $ 741 |
Property and equipment, net - S
Property and equipment, net - Summary of property and equipment net (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Jun. 30, 2022 |
Property, Plant and Equipment [Line Items] | ||
Total property and equipment, gross | $ 1,404 | $ 1,404 |
Accumulated depreciation and amortization | (1,265) | (1,182) |
Total property and equipment, net | 139 | 222 |
Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment, gross | 6 | 6 |
Lab equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment, gross | 1,343 | 1,343 |
Computer hardware [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment, gross | 31 | 31 |
Leasehold improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total property and equipment, gross | $ 24 | $ 24 |
Property and equipment, net - A
Property and equipment, net - Additional information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Property, Plant and Equipment, Net [Abstract] | ||||
Depreciation and amortization expense | $ 41 | $ 55 | $ 83 | $ 107 |
Trade and other payables- Summa
Trade and other payables- Summary of trade and other payables (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Jun. 30, 2022 |
Payables and Accruals [Abstract] | ||
Trade payable | $ 531 | $ 422 |
Accrued license fees | 118 | 120 |
Accrued professional fees | 0 | 131 |
Accrued OPMD project costs | 825 | 1,089 |
Accrued consultant fees | 56 | 47 |
Accrued legal fees | 259 | 0 |
Other payables | 41 | 71 |
Total | $ 1,830 | $ 1,880 |
Leases - Summary of maturities
Leases - Summary of maturities of the operating lease liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2022 | Jun. 30, 2022 |
Leases [Abstract] | ||
2023 | $ 289 | |
2024 | 300 | |
2025 | 138 | |
Total operating lease payments | 727 | |
Less imputed interest | (42) | |
Present value of operating lease liabilities | $ 685 | $ 811 |
Leases - Additional information
Leases - Additional information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Operating lease has a remaining lease term | 2 years 5 months 12 days | 2 years 5 months 12 days | ||
Operating lease discount rate | 4.67% | 4.67% | ||
Operating lease expense | $ 0.1 | $ 0.1 | $ 0.1 | $ 0.1 |
Leases - Summary of supplementa
Leases - Summary of supplemental balance sheet information related to leases (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Dec. 31, 2022 | Jun. 30, 2022 | |
Initial measurement at July 1, 2021 | $ 771 | |
Amortization of right of use asset | (121) | |
Operating lease right-of-use asset at March 31, 2022 | 650 | |
Initial measurement at July 1, 2021 | 811 | |
Principal payments on operating lease liabilities | (126) | |
Operating lease liabilities at March 31, 2022 | 685 | |
Less: non-current portion | (422) | $ (559) |
Current portion at March 31, 2022 | $ 263 |
Stockholders' equity - Schedule
Stockholders' equity - Schedule of warrants or rights (Detail) - $ / shares | 3 Months Ended | |
Dec. 31, 2022 | Sep. 30, 2022 | |
Outstanding, beginning of period | 42,088,194 | 107,095 |
Pre-funded warrants exercised | 2,171,628 | |
Outstanding, ending of period | 39,916,566 | 42,088,194 |
Exercisable at December 31, 2022 | 39,916,566 | |
Exercise price of class of warrants or rights outstanding | $ 0.49 | $ 10.5 |
Pre-funded warrants exercised | 0.0001 | |
Exercise price of class of warrants or rights outstanding | 0.52 | $ 0.49 |
Exercisable at December 31, 2022 | $ 0.52 | |
Series 2 Warrants [Member] | ||
Series 2 Warrants issued September 15, 2022 | 29,809,471 | |
Series 2 Warrants issued September 15, 2022 | $ 0.66 | |
Pre-funded warrants [Member] | ||
Pre-funded warrants issued | 12,171,628 | |
Pre-funded warrants issued | $ 0.0001 |
Stockholders' equity - Schedu_2
Stockholders' equity - Schedule of equity awards (Detail) - Employee stock option - USD ($) | 6 Months Ended | |
Jun. 30, 2022 | Dec. 31, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Stock Options,Outstanding, beginning of period | 738,064 | |
Stock Options, Expired | 5,665 | |
Stock Options, Granted | 36,000 | |
Stock Options, Outstanding, end of period | 738,064 | 768,399 |
Stock Options, Exercisable, end of period | 456,688 | |
Weighted-average Exercise price, beginning of period | $ 6.95 | |
Weighted-average Exercise Price, Expired | 45.92 | |
Weighted-average Exercise Price, Granted | 0.17 | |
Weighted-average Exercise Price, Exercise price, end of period | $ 6.95 | 6.35 |
Weighted-average Exercise Price, Exercisable, end of period | $ 8.58 | |
Weighted-average Remaining Contractual Term, Outstanding | 7 years 2 months 4 days | 6 years 10 months 20 days |
Weighted-average Remaining Contractual Term, Granted | 9 years 11 months 4 days | |
Weighted-average Remaining Contractual Term, Exercisable | 6 years 8 months 15 days | |
Aggregate Intrinsic Value, Outstanding at December 31, 2022 | $ 64,800 |
Stockholders' equity - Summary
Stockholders' equity - Summary of share-based compensation expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | |
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items] | ||||
Share-based compensation expense | $ (48) | $ 239 | $ 254 | $ 510 |
Research and development [Member] | ||||
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items] | ||||
Share-based compensation expense | 30 | 80 | 60 | 161 |
General and administrative [Member] | ||||
Deferred Compensation Arrangement with Individual, Postretirement Benefits [Line Items] | ||||
Share-based compensation expense | $ (78) | $ 159 | $ 194 | $ 349 |
Stockholders' equity - Addition
Stockholders' equity - Additional information (Detail) $ / shares in Units, $ in Thousands | 3 Months Ended | |||||||||
Oct. 27, 2022 $ / shares shares | Oct. 17, 2022 shares | Sep. 15, 2022 $ / shares shares | Apr. 22, 2020 shares | Sep. 30, 2022 USD ($) shares | Dec. 31, 2022 USD ($) shares | Dec. 07, 2022 shares | Jun. 30, 2022 shares | Dec. 08, 2021 shares | Dec. 06, 2019 shares $ / shares | |
Class of warrant or right, exercise price of warrants or rights | $ / shares | $ 0.66 | |||||||||
Unrecognised share based compensation expense | $ | $ 300 | |||||||||
Common Stock Shares Authorized | 160,000,000 | 160,000,000 | ||||||||
Warrants outstanding | 42,088,194 | 39,916,566 | 107,095 | |||||||
Allocated Share Based Compensation Expenses Overstated | $ | $ 167 | |||||||||
Maximum [Member] | ||||||||||
Common Stock Shares Authorized | 160,000,000 | 40,000,000 | ||||||||
Minimum [Member] | ||||||||||
Common Stock Shares Authorized | 40,000,000 | 10,000,000 | ||||||||
Common Stock [Member] | ||||||||||
Warrants convertible into shares of common stock on exercise | 107,095 | |||||||||
Cashless exercise of purchase warrants (In shares) | 37,417 | |||||||||
Purchase warrants [Member] | ||||||||||
Class of warrant or right, exercise price of warrants or rights | $ / shares | $ 10.5 | |||||||||
Warrants convertible into shares of common stock on exercise | 214,190 | |||||||||
Number of series of warrants issued | 4 | |||||||||
Expiry date of warrants | Dec. 06, 2024 | |||||||||
Pre-funded warrants [Member] | ||||||||||
Class Of Warrants Or Rights Excercised During The Period | 166,667 | 2,004,961 | ||||||||
IPO [Member] | ||||||||||
Sale of stock number of shares issued in the transaction | 17,637,843 | |||||||||
Sale of stock issue price per share | $ / shares | $ 0.59 | |||||||||
Issue of common stock and warrant price per share | 0.60% | |||||||||
Class of warrants or rights issue price per unit | $ / shares | $ 0.01 | |||||||||
IPO [Member] | Series 2 Warrants [Member] | ||||||||||
Class of warrant or rights issued during period | 29,809,471 | |||||||||
IPO [Member] | Pre-funded warrants [Member] | ||||||||||
Class of warrant or right, exercise price of warrants or rights | $ / shares | $ 0.0001 | |||||||||
Class of warrant or rights issued during period | 12,171,628 | |||||||||
Pre-funded warrants [Member] | ||||||||||
Sale of stock number of shares issued in the transaction | 12,171,628 | |||||||||
Class of warrant or right, exercise price of warrants or rights | $ / shares | $ 0.0001 |
Related party transactions - Ad
Related party transactions - Additional information (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Dec. 31, 2022 | Jun. 30, 2022 | |
Related Party Transaction [Line Items] | ||
Amount due to related party | $ 1,830 | $ 1,880 |
Francis Abourizk Lightowlers [Member] | ||
Related Party Transaction [Line Items] | ||
Legal Fees | 1 | |
Amount due to related party | $ 1 |