AVENUE THERAPEUTICS INC
For the period ended Sep 30, 2024. Filed Nov 14, 2024.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2024 · Filed Nov 14, 2024
ATXI$0.42-50.7%Stored close · as of Mar 18, 2025
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2024-06-30; filed 2024-08-09.
0001437749-24-025880
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2024-09-30; filed 2024-11-14.
0001437749-24-035309
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 97 previous paragraphs and 75 current paragraphs.
52 unchanged; 20 reworded; 3 added; 23 removed; 2 previous and 0 current paragraphs rearranged.
Tables are not compared: 27 previous and 27 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (3)
Current report
See Note 2, “Significant Accounting Policies”, to our unaudited condensed consolidated financial statements contained in Part I, Item 1 of this Quarterly Report on Form 10-Q for a discussion of recent accounting pronouncements.
Current report
Interest income was $51,000 and $9,000 for the three months ended September 30, 2024 and 2023, respectively.
Current report
Comparison of the Nine Months Ended September 30, 2024 and 2023
Removed paragraphs (23)
Previous report
Recent Events
Previous report
Reverse Stock Split
Previous report
On April 25, 2024, we filed an amendment (the “Reverse Split Amendment”) to the Company’s Third Amended and Restated Certificate of Incorporation with the Secretary of State of the State of Delaware to effect a 1-for-75 reverse stock split of our shares of common stock ("Reverse Stock Split"). As a result of the Reverse Stock Split, every 75 shares of common stock outstanding immediately prior to effectiveness of the Reverse Stock Split were combined and converted into one share of common stock without any change in the par value per share. The Reverse Stock Split became effective on April 26, 2024, and the common stock was quoted on the Nasdaq Stock Market on a post-split basis at the open of business on April 26, 2024. No fractional shares were issued in connection with the Reverse Stock Split. Stockholders who would have otherwise been entitled to a fraction of one share of common stock as a result of the Reverse Stock Split instead received one whole share of common stock.
Previous report
All share and per share information has been retroactively adjusted to give effect to the Reverse Stock Split for all periods presented, unless otherwise indicated.
Previous report
Nasdaq Deficiency Letter
Previous report
On May 19, 2023, we received a deficiency letter (the “First Letter”) from the Listing Qualifications Department (the “Staff”) of The Nasdaq Stock Market LLC (the “Nasdaq”) notifying us that we were not in compliance with Nasdaq Listing Rule 5550(b)(1), the minimum stockholders’ equity requirement for continued listing on The Nasdaq Capital Market (the “Stockholders’ Equity Requirement”). In accordance with Nasdaq rules, we were provided 45 calendar days, or until July 3, 2023, to submit a plan to regain compliance (the “Compliance Plan”). We submitted our Compliance Plan and, on July 17, 2023, the Staff granted our request for an extension through November 15, 2023 to regain compliance with the Stockholders’ Equity Requirement. We were unable to demonstrate compliance with the Stockholders’ Equity Requirement by that date, and, on November 20, 2023, the Staff formally notified us that it would move to delist our securities from Nasdaq unless we timely requested a hearing before the Nasdaq Hearings Panel (the “Panel”). We submitted the request for a hearing before the Panel (the “Hearing”), which request stayed any further action by Nasdaq pending completion of the Hearing and the expiration of any extension that may be granted by the Panel to the Company.
Previous report
Also as previously disclosed, on September 27, 2023, we received a second deficiency letter (the “Second Letter”) from the Staff stating that the bid price of our common stock had closed below $1.00 per share for 30 consecutive business days and, as such, we were not in compliance with Nasdaq Listing Rule 5550(a)(2), the minimum bid price requirement for continued listing on The Nasdaq Capital Market (the “Bid Price Requirement”). Pursuant to Nasdaq Listing Rule 5810(c)(3)(A), we were afforded a 180-calendar day grace period, through March 25, 2024, to regain compliance with the Bid Price Requirement.
Previous report
The Hearing before the Panel was held on February 15, 2024 and, by decision dated March 11, 2024, the Panel granted the Company's request for an extension through May 20, 2024 to demonstrate compliance with the Stockholders' Equity Requirement and Bid Price Requirement.
Previous report
On May 21, 2024, we were formally notified by Nasdaq that we have evidenced compliance with the Bid Price Requirement and the Stockholders' Equity Requirement for continued listing on the Nasdaq, as set forth in Nasdaq Listing Rules 5550(a)(2) and 5550(b)(1), respectively. Notwithstanding the closing of the matter, the Company was also notified that it will remain subject to a “Panel Monitor,” as that term is defined in Nasdaq Listing Rule 5815(d)(4)(B), for a period of one year, through May 21, 2025. If, during the term of the Panel Monitor, the Company does not satisfy the Stockholders’ Equity Requirement, the Company will not be provided with the opportunity to submit a compliance plan for the Listing Qualifications Staff’s review. The Company will instead be required to request a hearing before the Nasdaq Hearings Panel to address the deficiency, with such request staying any further action with respect to the Company’s listing on Nasdaq pending completion of the hearing process.
Previous report
January 2024 Warrant Inducement and Private Placement
Previous report
On January 5, 2024, we entered into (i) an inducement offer letter agreement (the “January 2023 Investor Inducement Letter”) with a certain investor (the “January 2023 Investor”) in connection with certain outstanding warrants to purchase up to an aggregate of 25,871 shares of common stock, originally issued to the January 2023 Investor on January 31, 2023 (the “January 2023 Warrants”) and (ii) an inducement offer letter agreement (the “November 2023 Investor Inducement Letter Agreement” and, together with the January 2023 Investor Inducement Letter, the “January 2024 Warrant Inducement”) with certain investors (the “November 2023 Investors” and, together with the January 2023 Investor, the “January 2024 Holders”) in connection with certain outstanding warrants to purchase up to an aggregate of 194,667 shares of common stock, originally issued to the November 2023 Investors on November 2, 2023 (the “November 2023 Warrants” and, together with the January 2023 Warrants, the “January 2024 Exercised Warrants”). The January 2023 Warrants had an exercise price of $116.25 per share, and the November 2023 Warrants had an exercise price of $22.545 per share. Pursuant to the January 2024 Warrant Inducement, (i) the January 2023 Investor agreed to exercise its January 2023 Warrants for cash at a reduced exercise price of $22.545 per share and (ii) the November 2023 Investors agreed to exercise their November 2023 Warrants for cash at the existing exercise price of $22.545, in each case in consideration for the Company’s agreement to issue in a private placement (x) Series A Warrants to purchase up to 220,538 shares of common stock ("New Series A Warrants") and (y) Series B Warrants to purchase up to 220,538 shares of common stock ("New Series B Warrants"). The net proceeds to Avenue from the exercise of the warrants was approximately $4.5 million, after deducting placement agent fees and offering costs.
Previous report
As a result of the January 2024 Warrant Inducement, the Company presented a deemed dividend for the issuance of the New Series A Warrants and New Series B Warrants of $4.3 million for the six months ended June 30, 2024. The deemed dividend was included in net loss attributable to common stockholders in the calculation of net loss per share in the condensed consolidated statements of operations.
Previous report
May 2024 Warrant Inducement and Private Placement
Previous report
On April 28, 2024, we entered into inducement offer letter agreements (the "May 2024 Warrant Inducement") with (i) certain investors (the "October 2022 Investors") that held certain outstanding warrants to purchase up to an aggregate of 27,271 shares of our common stock originally issued to the October 2022 Investors on October 11, 2022 (the "October 2022 Warrants"); (ii) certain investors (the “November 2023 Investors”) that held certain outstanding Series A and Series B warrants to purchase up to an aggregate of 221,333 shares of common stock, originally issued to the November 2023 Investors on November 2, 2023 (the “November 2023 Warrants”); and (iii) certain investors (the “January 2024 Investors” and, collectively with the October 2022 Investors and November 2023 Investors, the “May 2024 Holders”) that held certain outstanding New Series A and New Series B warrants to purchase up to an aggregate of 441,076 shares of common stock, originally issued to January 2024 Investors on January 5, 2024 (the “January 2024 Warrants,” and, collectively with the October 2022 Warrants and November 2023 Warrants, the “May 2024 Exercised Warrants”). The October 2022 Warrants had an exercise price of $116.25 per share, the November 2023 Warrants had an exercise price of $22.545 per share, and the January 2024 Warrants had an exercise price of $22.545 per share.
Previous report
Pursuant to the May 2024 Warrant Inducement, the May 2024 Holders agreed to exercise for cash the May 2024 Exercised Warrants at a reduced exercise price of $6.20 per share in partial consideration for our agreement to issue in a private placement (x) new Series C common stock purchase warrants (the “Series C Warrants”) to purchase up to 689,680 shares of common stock (the “Series C Warrant Shares”) and (y) new Series D common stock purchase warrants (the “Series D Warrants” and, together with the Series C Warrants, the “May 2024 Warrants”) to purchase up to 689,680 shares of common stock (the “Series D Warrant Shares” and, together with the Series C Warrant Shares, the “May 2024 Warrant Shares”). The May 2024 Holders also agreed to make a payment of $0.125 per May 2024 Warrant Share (the “Additional Warrant Consideration”).
Previous report
The closing of May 2024 Warrant Inducement occurred on May 1, 2024. The Company received aggregate net proceeds of approximately $3.7 million from the exercise of the May 2024 Exercised Warrants by the May 2024 Holders and the payment of the Additional Warrant Consideration, after deducting placement agent fees and other expenses.
Previous report
We engaged H.C. Wainwright & Co., LLC (“Wainwright”) to act as its exclusive agent in connection with the transactions summarized above and paid Wainwright a cash fee equal to 7.0% of the aggregate gross proceeds from the exercise of the May 2024 Exercised Warrants at the reduced exercise price and the Additional Warrant Consideration. In addition, we (i) reimbursed Wainwright for $50,000 of the fees and expenses of Wainwright’s legal counsel and other of its out-of-pocket expenses, (ii) reimbursed Wainwright for its non-accountable expenses in the amount of $35,000, and (iii) paid a management fee equal to 1.0% of the gross proceeds raised. We also issued to Wainwright or its designees placement agent warrants (the “Placement Agent Warrants”) to purchase up to 41,381 shares of common stock. The Placement Agent Warrants have the same terms as the Series C Warrants, except that the Placement Agent Warrants have an exercise price equal to $7.75 per share.
Previous report
As a result of the May 2024 Warrant Inducement, the Company presents a deemed dividend for the issuance of the Series C Warrants and Series D Warrants of $4.5 million for the quarter ended June 30, 2024. The deemed dividend was included in net loss attributable to common stockholders in the calculation of net loss per share in the condensed consolidated statements of operations.
Previous report
ATM Offering
Previous report
On May 10, 2024, we entered into an At the Market Offering Agreement (the "ATM Agreement") with H.C. Wainwright & Co. LLC (the "ATM Manager") under which we may offer and sell, from time to time at our sole discretion, shares of our common stock, par value $0.0001 per share, through or to the ATM Manager. The offer and sales of the shares are made pursuant to a previously filed shelf registration statement on Form S-3 (File No. 333-261520), originally filed with the Securities and Exchange Commission (the "SEC") on December 7, 2021 and declared effective on December 10, 2021, and the related prospectus supplement dated May 10, 2024 (the "ATM Registration Statement") and filed with the SEC on such date. As a result of the limitations of General Instruction I.B.6 of Form S-3, we may currently sell up to a maximum of $3,850,000 of our shares under the ATM Agreement. We will pay the ATM Manager a commission of 3.0% of the gross proceeds from the sales of shares sold through the ATM Manager under the ATM Agreement. We will also reimburse the ATM Manager for certain expenses incurred in connection with the ATM Agreement. Both the Company and the ATM Manager may each terminate the ATM Agreement at any time upon specified prior written notice. For the three months ended June 30, 2024, the Company sold an aggregate of 87,683 shares of its common stock pursuant to the ATM Agreement, resulting in net proceeds of approximately $0.3 million after deducting underwriting discounts.
Previous report
As of June 30, 2024, there were no new accounting pronouncements or updates to recently issued accounting pronouncements disclosed in the 2023 Form 10-K that are expected to materially affect the Company’s present or future financial statements upon adoption.
Previous report
Comparison of the Six Months Ended June 30, 2024 and 2023
Previous report
Interest income was $0.1 million and $0.1 million for the six months ended June 30, 2024 and 2023, respectively.
Reworded paragraphs (20)
Previous wording
Our net loss for the six months ended June 30, 2024 and 2023 was approximately $7.1 million and $11.6 million, respectively. As of June 30, 2024, we had an accumulated deficit of approximately $98.0 million. Substantially all our net losses resulted from costs incurred for research and development, and general and administrative purposes.
Current wording
Our net loss for the nine months ended September 30, 2024 and 2023 was approximately $10.1 million and $11.1 million, respectively. As of September 30, 2024, we had an accumulated deficit of approximately $101.0 million. Substantially all our net losses resulted from costs incurred for research and development, and general and administrative purposes.
Previous wording
In May 2024, we announced last patient last visit in the Phase 1b/2a trial and anticipate top-line data readout in the second half of 2024.
Current wording
In May 2024, we announced last patient last visit in the Phase 1b/2a trial and anticipate top-line data readout around year-end 2024.
Previous wording
At June 30, 2024, we had an accumulated deficit of $98.0 million. While we may in the future generate revenue from a variety of sources, including license fees, milestone payments, research and development payments in connection with strategic partnerships and/or product sales, our product candidate are still in development and may never be successfully developed or commercialized. Accordingly, we expect to continue to incur substantial losses from operations for the foreseeable future, and there can be no assurance that we will ever generate significant revenues.
Current wording
At September 30, 2024, we had an accumulated deficit of $101.0 million. While we may in the future generate revenue from a variety of sources, including license fees, milestone payments, research and development payments in connection with strategic partnerships and/or product sales, our product candidate are still in development and may never be successfully developed or commercialized. Accordingly, we expect to continue to incur substantial losses from operations for the foreseeable future, and there can be no assurance that we will ever generate significant revenues.
Previous wording
For the six months ended June 30, 2024 and 2023, research and development expenses were $3.8 million and $4.2 million, respectively. The decrease of $0.4 million is primarily associated with a $0.6 million decrease in pre-clinical and clinical development costs, partially offset by a $0.2 million increase in personnel-related costs, including salaries, benefits, and stock-based compensation.
Current wording
For the three months ended September 30, 2024 and 2023, research and development expenses were $2.3 million and $0.9 million, respectively. The increase of $1.4 million was associated with a $1.6 million increase in pre-clinical and clinical development costs, partially offset by a $0.2 million decrease in personnel-related costs, including salaries, benefits, and stock-based compensation.
Previous wording
We expect our research and development activities to continue as we attempt to gain regulatory approval for our existing product candidate, reflecting costs associated with the following:
Current wording
We expect our research and development activities to continue as we attempt to gain regulatory approval for our existing product candidates, reflecting costs associated with the following:
Previous wording
For the six months ended June 30, 2024 and 2023, general and administrative expenses were $2.8 million and $1.9 million, respectively. The increase of $0.9 million is primarily related to an increase of $0.4 million in payments to InvaGen during the quarter ended June 30, 2024, $0.2 million personnel-related costs including salaries, benefits, and stock-based compensation, $0.2 million in professional fees and $0.1 million in common stock issued to Fortress.
Current wording
For the three months ended September 30, 2024 and 2023, general and administrative expenses were $0.8 million and $1.2 million, respectively. The decrease of $0.4 million is related to a decrease of $0.3 million in personnel-related costs, including salaries, benefits, and stock-based compensation and $0.1 million in professional fees.
Previous wording
The change in fair value of warrant liabilities was a gain of $0.3 million and loss of $0.2 for the three months ended June 30, 2024 and 2023, respectively. Warrants to purchase common stock that are required to be classified as a liability are valued at fair market value at each reporting period. The change in the fair value of warrant liabilities was primarily due to the modification of the exercise price as part of a warrant inducement, the exercise of warrants classified as liabilities, and fluctuation in our stock price.
Current wording
The change in fair value of warrant liabilities was a gain of $19 thousand and $2.6 million for the three months ended September 30, 2024 and 2023, respectively. Warrants to purchase common stock that are required to be classified as a liability are valued at fair market value at each reporting period. The change in the fair value of warrant liabilities was primarily due to the modification of the exercise price as part of a warrant inducement, the exercise of warrants classified as liabilities, and fluctuation in our stock price.
Previous wording
For the three months ended June 30, 2024 and 2023, research and development expenses were $1.4 million and $3.0 million, respectively. The decrease of $1.6 million was associated with a $1.6 million decrease in clinical development costs.
Current wording
For the nine months ended September 30, 2024 and 2023, research and development expenses were $6.1 million and $5.1 million, respectively. The increase of $1.0 million is primarily associated with a $1.0 million increase in pre-clinical and clinical development costs.
Previous wording
For the six months ended June 30, 2023, research and development - licenses acquired expenses were $4.2 million related to the AJ201 license acquisition, with no comparable expense in 2024.
Current wording
For the nine months ended September 30, 2023, research and development - licenses acquired expenses were $4.2 million related to the AJ201 license acquisition, with no comparable expense in 2024.
Previous wording
For the three months ended June 30, 2024 and 2023, general and administrative expenses were $1.5 million and $0.9 million, respectively. The increase of $0.6 million is related to an increase of $0.3 million in payments to InvaGen, $0.2 million in common stock issued to Fortress, and $0.1 million in non-cash stock compensation costs, which was partially offset by a decrease of $0.1 million in professional fees.
Current wording
For the nine months ended September 30, 2024 and 2023, general and administrative expenses were $3.6 million and $3.0 million, respectively. The increase of $0.6 million is primarily related to an increase of $0.5 million in payments to InvaGen, and $0.1 million in common stock issued to Fortress.
Previous wording
Interest income was $0.1 million and $0.1 million for the three months ended June 30, 2024 and 2023, respectively.
Current wording
Interest income was $0.2 million and $0.1 million for the nine months ended September 30, 2024 and 2023, respectively.
Previous wording
The loss on common stock warrant liabilities was $0.8 million and $0 for the six months ended June 30, 2024 and 2023, respectively. The New Series A Warrants, New Series B Warrants, and May 2024 Warrants had a fair value of $0.8 million allocated to the liability classified October 2022 Warrants and January 2023 Warrants at the time of issuance as a cost of inducement, which was recorded as a loss on settlement of common stock warrant liabilities.
Current wording
The loss on common stock warrant liabilities was $0.8 million and $0 for the nine months ended September 30, 2024 and 2023, respectively. The new Series A common stock warrants, new Series B common stock warrants, new Series C common stock warrants and new Series D common stock warrants had a fair value of $0.8 million allocated to the liability classified warrants to purchase shares of our common stock originally issued in October 2022 and January 2023 at the time of issuance as a cost of inducement, which was recorded as a loss on settlement of common stock warrant liabilities.
Previous wording
The change in fair value of warrant liabilities was a gain of $0.1 million and a loss of $1.0 for the six months ended June 30, 2024 and 2023, respectively. Warrants to purchase common stock that are required to be classified as a liability are valued at fair market value at each reporting period. The change in the fair value of warrant liabilities was primarily due to the modification of the exercise price as part of a warrant inducement, the exercise of warrants classified as liabilities, and fluctuation in our stock price.
Current wording
The change in fair value of warrant liabilities was a gain of $0.2 million and $1.5 million for the nine months ended September 30, 2024 and 2023, respectively. Warrants to purchase common stock that are required to be classified as a liability are valued at fair market value at each reporting period. The change in the fair value of warrant liabilities was primarily due to the modification of the exercise price as part of a warrant inducement, the exercise of warrants classified as liabilities, and fluctuation in our stock price.
Previous wording
At June 30, 2024, we had $4.9 million in cash and cash equivalents. To date, we have funded our operations primarily with proceeds from various public and private offerings of our common stock. We expect that our expenses will increase substantially for the foreseeable future as we continue to execute on our product development plan and seek opportunities to license or acquire additional products. We will require additional financing to carry out our business plan and implement our strategy, and continue to analyze various alternatives, including potentially obtaining lines of credit, debt or equity financings, including through at-the-market program offerings, or other arrangements. We cannot be sure that any additional funding, if needed, will be available on terms favorable to us or at all. If we obtain funding through a strategic collaboration or licensing arrangement, we may be required to relinquish our rights to our product candidates or marketing territories. Without additional capital, we do not expect our cash will be sufficient to fund our projected operating requirements or allow us to fund our operating plan past the first quarter of 2025. We regularly evaluate market conditions, our liquidity profile, and various financing alternatives for opportunities to enhance our capital structure.
Current wording
At September 30, 2024, we had $2.6 million in cash and cash equivalents. To date, we have funded our operations primarily with proceeds from various public and private offerings of our common stock. We expect that our expenses will increase substantially for the foreseeable future as we continue to execute on our product development plan and seek opportunities to license or acquire additional products. We will require additional financing to carry out our business plan and implement our strategy, and continue to analyze various alternatives, including potentially obtaining lines of credit, debt or equity financings, including through at-the-market program offerings, or other arrangements. We cannot be sure that any additional funding, if needed, will be available on terms favorable to us or at all. If we obtain funding through a strategic collaboration or licensing arrangement, we may be required to relinquish our rights to our product candidates or marketing territories. Without additional capital, we do not expect our cash will be sufficient to fund our projected operating requirements or allow us to fund our operating plan past the first half of 2025. We regularly evaluate market conditions, our liquidity profile, and various financing alternatives for opportunities to enhance our capital structure.
Previous wording
Cash Flows for the Six Months Ended June 30, 2024 and 2023
Current wording
Cash Flows for the Nine Months Ended September 30, 2024 and 2023
Previous wording
Net cash and cash equivalents used in operating activities was $5.4 million for the six months ended June 30, 2024, primarily comprised of our $7.1 million net loss, $0.4 million reduction in common shares issuable to Fortress and $0.1 million change in fair value of warrant liabilities, partially offset by a $0.8 million loss on settlement of common stock warrant liabilities, an increase of $0.5 million in operating assets and liabilities, $0.5 million for common shares issued to Fortress and $0.4 million in share-based compensation.
Current wording
Net cash and cash equivalents used in operating activities was $8.3 million for the nine months ended September 30, 2024, primarily comprised of our $10.1 million net loss, $0.4 million reduction in common shares issuable to Fortress and $0.2 million change in fair value of warrant liabilities, partially offset by a $0.8 million loss on settlement of common stock warrant liabilities, an increase of $0.4 million in operating assets and liabilities, $0.5 million for common shares issued to Fortress and $0.7 million in share-based compensation.
Previous wording
Net cash and cash equivalents used in operating activities was $6.2 million for the six months ended June 30, 2023, primarily comprised of our $11.6 million net loss partially offset by an increase in operating assets and liabilities of $1.0 million, $2.0 million in research and development AJ201 license expense, $1.2 million in stock issuance for licenses acquired, $1.0 million change in fair value of warrant liability and $0.1 million in common share issuances to Fortress.
Current wording
Net cash and cash equivalents used in operating activities was $7.1 million for the nine months ended September 30, 2023, primarily comprised of our $11.1 million net loss and $1.5 million change in fair value of warrant liability, partially offset by the $3.0 million AJ201 license payment, an increase in operating assets and liabilities of $0.6 million, $0.6 million in share-based compensation, $1.2 million in stock issuance for licenses acquired and $0.1 million common share issuance to Fortress.
Previous wording
Net cash and cash equivalents used in investing activities was $2.0 million for the six months ended June 30, 2023, primarily comprised of the $2.0 million AJ201 license payment.
Current wording
Net cash and cash equivalents used in investing activities was $0.0 for the nine months ended September 30, 2024 and was $3.0 million for the nine months ended September 30, 2023, primarily comprised of the $3.0 million AJ201 license payment.
Previous wording
Net cash and cash equivalents provided by financing activities was $8.5 million for the six months ended June 30, 2024, primarily due to $8.2 million in net proceeds from the May 2024 Warrant Inducement and $0.3 million in net proceeds received from the sale of common stock pursuant to the ATM Agreement.
Current wording
Net cash and cash equivalents provided by financing activities was $9.1 million for the nine months ended September 30, 2024, primarily due to $8.2 million in net proceeds from the inducement offer letter agreements we entered into in January 2024 and April 2024 and $0.9 million in net proceeds received from the sale of common stock pursuant to the At the Market Offering Agreement we entered into with H.C. Wainwright & Co. in May 2024.
Previous wording
Net cash and cash equivalents provided by financing activities was $3.1 million for the six months ended June 30, 2023, primarily due to the $3.1 million raised in a registered direct offering and private placement offering from January 2023.
Current wording
Net cash and cash equivalents provided by financing activities was $3.6 million for the nine months ended September 30, 2023, primarily comprised of $3.1 million from the registered direct and private placement offerings in January 2023, and $0.6 million from the private placement offering in September 2023, partially offset by $0.1 million of expenses related to the public offering in November 2023.
Rearranged previous paragraphs (2)
Previous report — wording carried elsewhere
The loss on settlement of common stock warrant liabilities was $0.2 million for the three months ended June 30, 2024. The May 2024 Warrants had a fair value of $0.2 million allocated to the October 2022 Warrants at the time of issuance as a cost of inducement, which was recorded as a loss on settlement of common stock warrant liabilities.
Previous report — wording carried elsewhere
Loss on Settlement of Common Stock Warrant Liabilities