“We remain focused on the execution of the clinical program for vidutolimod and are delighted with the opportunity to become part of Regeneron, who will help to accelerate the development of vidutolimod as a potential novel treatment for multiple tumor types,” said
Recent Business Updates
- On
April 19, 2022 , Regeneron Pharmaceuticals, Inc. andCheckmate Pharmaceuticals, Inc. announced a definitive agreement for the acquisition of Checkmate by Regeneron at an all-cash price of$10.50 per share of Checkmate common stock. The proposed acquisition values Checkmate at a total equity value of approximately$250 million . OnMay 2, 2022 ,Scandinavian Acquisition Sub, Inc. , a wholly owned subsidiary of Regeneron, commenced a tender offer for all of the outstanding shares of Checkmate common stock. The transaction is expected to close in mid-2022.
First Quarter 2022 Financial Results
- Research and development expenses (R&D): R&D expenses for the first quarter of 2022 were
$11.6 million , compared to$10.4 million for the same period in the prior year. This increase was primarily driven by higher third-party contract research organization, internal personnel and consulting costs related to our ongoing clinical trials. First quarter 2021 expenses included the impact of a$2.0 million milestone payment to Kuros inMarch 2021 , which became payable upon initiating dosing of the first patient in a Phase 2 clinical trial. There was no corresponding expense in Q1 2022. - General and administration expenses (G&A): G&A expenses for the first quarter of 2022 were
$4.2 million , compared to$3.8 million for the same period in the prior year. This increase was primarily attributable to professional fees incurred in Q1 2022 in connection with the proposed acquisition by Regeneron and recruiting costs associated with hiring a chief executive officer inMarch 2022 . - Cash, cash equivalents and investments: Cash, cash equivalents and available-for-sale investments were
$60.1 million as ofMarch 31, 2022 .
About
Additional Information and Where to Find It
The tender offer referenced in this communication was commenced on
In addition to the Offer to Purchase, the related Letter of Transmittal and certain other tender offer documents, as well as the Solicitation/Recommendation Statement, and if applicable, the proxy statement, Regeneron and Checkmate each file annual, quarterly and current reports, proxy statements and other information with the
If the tender offer is terminated and the transaction is to be effected by merger only, in which case, the approval of Checkmate stockholders must be obtained, Regeneron, Checkmate and their respective directors and executive officers may be deemed to be participants in any such solicitation of proxies from Checkmate’s stockholders in connection with the proposed transaction. Information regarding Regeneron’s directors and executive officers is available in its proxy statement that was filed with the
Forward-Looking Statements
Various statements in this release are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, as amended, including words such as, but not limited to, “anticipate,” “believe,” “can,” “could,” “expect,” “estimate,” “design,” “goal,” “intend,” “may,” “might,” “objective,” “plan,” “predict,” “project,” “target,” “likely,” “should,” “will,” and “would,” or the negative of these terms and similar expressions or words, identify forward-looking statements. Forward-looking statements are based upon current expectations that involve risks, changes in circumstances, assumptions, and uncertainties. These statements include those regarding our ability to consummate the proposed merger with Regeneron, the timing of the closing of such merger, including the satisfaction to conditions to closing of the proposed merger within the expected timeframe or at all, the expected benefits of the proposed merger, vidutolimod (CMP-001), including its development, efficacy and therapeutic potential and the advancement of our clinical and preclinical pipeline, and the timing of our ongoing clinical trials, including the potential benefit of acceleration in development following the consummation of the proposed merger. Forward-looking statements should not be read as a guarantee of future performance or results and may not be accurate indications of when such performance or results will be achieved. These forward-looking statements are subject to risks and uncertainties, including those related to the development of vidutolimod, including any delays in our ongoing or planned preclinical or clinical trials, the results from clinical trials, including the fact that positive results from a trial may not necessarily be predictive of the results of future or ongoing clinical trials, the impact of the ongoing COVID-19 pandemic on our business, operations, clinical supply , clinical enrollment and plans, the risks inherent in the drug development process, including related to regulatory approval, the risks regarding the accuracy of our estimates of expenses and timing of development, our capital requirements, and obtaining, maintaining and protecting our intellectual property, risks associated with our ability to consummate the proposed merger and the timing of the closing of the proposed merger, including the risks that a condition to closing would not be satisfied within the expected timeframe or at all or that the closing of the proposed merger will not occur, the outcome of any legal proceedings that may be instituted against the parties and others related to the definitive agreement entered into with Regeneron, the occurrence of any event, change or other circumstance or condition that could give rise to the termination of the merger agreement, unanticipated difficulties or expenditures relating to the proposed merger, the response of business partners and competitors to the announcement of the proposed merger, and/or potential difficulties in employee retention as a result of the announcement and pendency of the proposed merger, and the response of our stockholders to the merger agreement, and ongoing actions taken and any future actions that may be taken by activist stockholders. These and additional risks are discussed in the sections titled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our Quarterly Report on Form 10-Q for the three months ended
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
(Unaudited)
Three months ended | ||||||||||
2022 | 2021 | |||||||||
Operating expenses: | ||||||||||
Research and development | $ | 11,648 | $ | 10,378 | ||||||
General and administrative | 4,238 | 3,803 | ||||||||
Total operating expenses | 15,886 | 14,181 | ||||||||
Loss from operations | (15,886 | ) | (14,181 | ) | ||||||
Other income: | ||||||||||
Interest income | 19 | 53 | ||||||||
Total other income | 19 | 53 | ||||||||
Net loss | $ | (15,867 | ) | $ | (14,128 | ) | ||||
Weighted-average shares outstanding - basic and diluted | 21,631 | 21,582 | ||||||||
Net loss per share - basic and diluted | $ | (0.73 | ) | $ | (0.65 | ) |
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
(Unaudited)
2022 | 2021 | ||||||||
Cash, cash equivalents and investments | $ | 60,053 | $ | 70,887 | |||||
Other assets | 6,891 | 7,951 | |||||||
Total assets | $ | 66,944 | $ | 78,838 | |||||
Total liabilities | $ | 11,942 | $ | 9,379 | |||||
Total stockholders’ equity | 55,002 | 69,459 | |||||||
Total liabilities and stockholders’ equity | $ | 66,944 | $ | 78,838 |
Investor ContactRob Dolski Chief Financial Officer rdolski@checkmatepharma.com Media ContactKaren Sharma MacDougall Advisors 781-235-3060 ksharma@macdougall.bio
Source:
2022 GlobeNewswire, Inc., source