Magenta Therapeutics Reports Recent Operational Progress and Second Quarter 2018 Financial Results

From Startup Magenta Therapeutics

Link to Full Article:

– Transplanted first patient with MGTA-456 in Phase 2 study in
inherited metabolic disorders –
– Strengthened Board of Directors and Scientific Advisory Board –
– Raised $52 million in oversubscribed Series C Financing in April –
– Successfully completed initial public offering (IPO) in June
raising $90 million in net proceeds–
CAMBRIDGE, Mass.–(BUSINESS WIRE)–Aug. 9, 2018–
Therapeutics (NASDAQ: MGTA), a clinical-stage biotechnology company
developing novel medicines to bring the curative power of bone marrow
transplant to more patients, today reported financial results and
business highlights for the second quarter ended June 30, 2018.

“Magenta has made important progress this year toward realizing our
long-term vision of broadening the curative potential of bone marrow
transplant to more patients and building a fully integrated
biotechnology company. The first half of 2018 has been particularly
productive for us with the advancement of MGTA-456 into a Phase 2 study
and the completion of our Series C financing and initial public
offering,” said Jason Gardner, D.Phil., chief executive officer,
president and co-founder, Magenta Therapeutics. “We are in a strong
financial position to continue advancing our programs, and we plan to
share data updates from several programs before the end of the year,
including preliminary clinical data from our Phase 2 study of MGTA-456
in patients with inherited metabolic disorders.”

Recent Business Highlights:
Transplanted First Patient in Phase 2 Study of MGTA-456: Magenta
announced in April 2018 that the first patient was treated in a Phase 2
study of MGTA-456 in inherited metabolic disorders. MGTA-456 is a
first-in-class allogeneic stem cell therapy consisting of a single
umbilical cord blood unit expanded with an aryl hydrocarbon receptor
(AHR) antagonist then administered to a patient through a bone marrow

Strengthened Board of Directors and Scientific Advisory Board: In
April 2018, Magenta announced the addition of Amy Ronneberg, President
of Be The Match BioTherapies, to its Board of Directors. Megan Sykes,
M.D., Professor of Medicine and Professor of Microbiology & Immunology
and Surgical Sciences at Columbia University Medical Center, joined
Magenta’s Scientific Advisory Board in April 2018, and Bruce Blazar,
M.D., Regents Professor of Pediatrics in the Division of Blood and
Marrow Transplantation at the University of Minnesota, joined Magenta’s
Scientific Advisory Board in June 2018.

Raised $52 Million in Series C Financing: In April 2018, Magenta
completed a Series C financing, raising $52 million. The oversubscribed
Series C financing was led by Casdin Capital, with participation from
new investors EcoR1 Capital, Eventide Asset Management, Watermill Asset
Management and additional long-term institutional investors. Existing
investors Be the Match BioTherapies and Access Industries also

Successfully Completed Initial Public Offering: In June 2018,
Magenta successfully completed an initial public offering of 6,666,667
common shares at $15.00 per share, raising net proceeds of $90 million.

Financial Results:
Cash Position: Cash and cash equivalents as of June 30, 2018,
were $173.4 million compared to $51.4 million on December 31, 2017. The
increase is primarily driven by proceeds from the $52 million Series C
preferred stock financing completed in April 2018, and net proceeds of
$90 million from Magenta’s IPO completed in June 2018. Magenta
anticipates that its cash and cash equivalents will be sufficient to
fund operations and capital expenditures through at least the first
quarter of 2020 on the Company’s current business plan.

Research and Development Expenses: Research and development (R&D)
expenses were $9.7 million in the second quarter of 2018, compared to
$13.8 million for the same period in 2017. The decrease was largely due
to the prior year cost of in-licensing technology related to the rights
to MGTA-456, partially offset by increased R&D personnel costs
associated with the growth of the Company, the advancement of the
MGTA-456 Phase 2 clinical trial and continued progression of the
Company’s pipeline.

General and Administrative Expenses: General and administrative
(G&A) expenses were $4.3 million for the second quarter of 2018,
compared to $1.9 million for the same period in 2017. The increase was
largely due to increased G&A personnel costs associated with the growth
of the Company and professional fees related to supporting operations as
a public company.

Net Loss: Net loss was $13.7 million for the second quarter of
2018, compared to net loss of $15.7 million for the same period in 2017.

About Magenta TherapeuticsHeadquartered in Cambridge,
Mass., Magenta Therapeutics is a clinical-stage biotechnology company
developing therapeutics focused on critical areas of unmet need in the
field of bone marrow transplant for patients with autoimmune diseases,
blood cancers and genetic diseases. By creating a platform focused on
critical areas of unmet need, Magenta Therapeutics is pioneering an
integrated approach to extend the curative power of bone marrow
transplant to more patients by making the process more effective, safer
and easier.

Forward-Looking StatementThis press release may contain
forward-looking statements, including express or implied statements
regarding Magenta’s future expectations, plans and prospects, including
projections regarding future revenues and financing performance, our
long-term growth, the anticipated timing of our clinical trials and
regulatory filings, the development of our product candidates and
advancement of our preclinical programs, as well as other statements
containing the words “anticipate,” “believe,” “continue,” “could,”
“estimate,” “expect,” “intend,” “may,” might,” “plan,” “potential,”
“project,” “should,” target,” “will” or “would” and similar expressions
that constitute forward-looking statements under the Private Securities
Litigation Reform Act of 1995. Although Magenta’s forward-looking
statements reflect the good faith judgment of its management, these
statements are based only on facts and factors currently known by
Magenta. As a result, you are cautioned not to rely on these
forward-looking statements. These and other risks concerning Magenta’s
programs and operations are described in additional detail in its
registration statement on Form S-1, its Quarterly Report on Form 10-Q
and its other filings made with the Securities and Exchange Commission
from time to time. Any forward-looking statement made in this press
release speaks only as of the date on which it is made. Magenta
undertakes no obligation to publicly update or revise any
forward-looking statement, whether as a result of new information,
future developments or otherwise.






Magenta Therapeutics, Inc.
(In thousands, except share and per share data)



Three Months Ended June 30,

Six Months Ended June 30,











Operating expenses:

Research and development





General and administrative









Total operating expenses









Loss from operations





Interest and other income, net







Net loss





Accretion of redeemable convertible preferred stock

to redemption value





Cumulative dividends on redeemable convertible

preferred stock



Reversal of cumulative dividends on redeemable

convertible preferred stock







Net loss attributable to common stockholders









Net loss per share attributable to common stockholders—basic and










Weighted average common shares outstanding—basic and diluted (1)










(1) Reflects the conversion of the Company’s
outstanding redeemable convertible preferred stock into 23,375,405
shares of common stock and the issuance of 6,666,667 shares of
common stock in connection with our IPO on June 25, 2018.




Magenta Therapeutics, Inc.
(In thousands)



June 30,

December 31,



Cash and cash equivalents





Working capital



Total assets



Stockholders’ equity




View source version on
Source: Magenta Therapeutics

Magenta Therapeutics:Manisha Pai, 857-242-1155Vice
President, Communications & Investor

Please visit their site for more information: Magenta

All,Biotechnology,Healthcare News,Startup News
2018-08-09 21:18:59