The underwriters for the offering are JPMorgan, Deutsch Bank, Evercore ISI, Wells Fargo, JMP Securities and Wedbush PacGrow.
This is a commercial-stage oncology company developing a novel, proprietary therapy called Tumor Treating Fields (TTFields) for the treatment of solid tumor cancers. TTFields is a low-toxicity anti-mitotic treatment that uses low-intensity, intermediate frequency, alternating electric fields to exert physical forces on key molecules inside cancer cells, disrupting the basic machinery necessary for normal cell division, leading to cancer cell death.
Physicians have typically treated patients with solid tumors using one or a combination of three principal treatment modalities: surgery, radiation and pharmacological therapies. Despite meaningful advancements in each of these modalities, a significant unmet need to improve survival and quality of life remains. The company believes that it will establish TTFields as a new treatment modality for a variety of solid tumors that increases survival without significantly increasing side effects when used in combination with other cancer treatment modalities.
In the filing the company described its finances as:
To date, substantially all of our revenues have been derived from patients using Optune in our currently active markets. Our net revenues for the year ended December 31, 2014 were $15.5 million and $11.8 million for the six months ended June 30, 2015. However, we have incurred significant costs in connection with our pre-clinical and clinical trial programs, commercial launch efforts and general and administrative costs. We had net losses of $77.4 million for the year ended December 31, 2013, $80.7 million for the year ended December 31, 2014 and $52.6 million for the six months ended June 30, 2015, and we have an accumulated deficit of $329.1 million as of June 30, 2015. We expect to continue to incur significant expenses and operating losses for at least the next several years.
The company plans to use the net proceeds from this offering for working capital and general corporate purposes, including clinical trials and research and development and continued commercialization of Optune and future delivery systems.
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