Cidara Therapeutics, Inc. (CDTX) Bundle
A Brief History of Cidara Therapeutics, Inc.
Founded in December 2012 as K2 Therapeutics, Inc., Cidara Therapeutics, Inc. changed its name in July 2014. The company is focused on developing innovative treatments using its proprietary Cloudbreak® platform, which aims to improve outcomes for patients with serious diseases.
Company Developments and Key Milestones
The company's most notable product is REZZAYO® (rezafungin for injection), which received FDA approval in 2023 for treating candidemia and invasive candidiasis. The commercial launch occurred on July 31, 2023, marking Cidara's entry into the market with a significant product aimed at addressing unmet medical needs.
On April 24, 2024, Cidara entered into an Asset Purchase Agreement with Napp Pharmaceutical Group Limited, selling all rezafungin assets for a transaction price of $21.2 million. This sale was classified as discontinued operations due to its strategic significance in altering the company's operational focus.
Financial Overview
As of September 30, 2024, Cidara reported an accumulated deficit of $559.0 million. The financial position reflects ongoing investments in research and development, resulting in net losses and negative cash flows since inception. The company had cash and cash equivalents amounting to $127.4 million, expected to fund operations through mid-2025.
| Financial Metrics | September 30, 2024 |
|---|---|
| Accumulated Deficit | $559.0 million |
| Cash and Cash Equivalents | $127.4 million |
| Total Revenue (Q3 2024) | $28.7 million |
| Net Loss (Q3 2024) | $91.2 million |
Stock Performance and Corporate Actions
On April 23, 2024, Cidara executed a 1-for-20 reverse stock split, reducing its authorized shares of common stock from 200 million to 20 million. This action was part of the company's strategy to comply with Nasdaq listing requirements. Following the reverse split, the company regained compliance with Nasdaq's continued listing requirements as of May 14, 2024.
In 2024, the company raised approximately $240 million through a private placement of 240,000 shares of Series A Convertible Voting Preferred Stock at $1,000 per share, netting around $239.1 million after issuance costs. This capital infusion is critical for supporting ongoing operations and development efforts.
Research and Development Focus
Cidara's research activities are primarily centered on its Cloudbreak platform, with the most advanced candidate being CD388, an antiviral for influenza. The company aims to develop and commercialize CD388 independently, having reacquired rights from Janssen Pharmaceuticals in April 2024.
| Research Programs | Details |
|---|---|
| CD388 | Antiviral for influenza, in Phase 2b trials |
| REZZAYO® | FDA-approved for candidemia, launched in July 2023 |
As of September 30, 2024, Cidara continues to seek additional funding avenues to support its clinical programs and operational costs. The company is navigating a challenging financial landscape, with significant reliance on external financing to sustain its development pipeline.
A Who Owns Cidara Therapeutics, Inc. (CDTX)
Major Shareholders
As of 2024, Cidara Therapeutics, Inc. (CDTX) has several key shareholders, including institutional investors and individual stakeholders. The ownership structure is detailed in the table below:
| Shareholder Type | Name | Shares Owned | Percentage of Total Shares |
|---|---|---|---|
| Institutional Investor | BlackRock, Inc. | 1,200,000 | 18.5% |
| Institutional Investor | Vanguard Group, Inc. | 950,000 | 14.6% |
| Institutional Investor | Fidelity Investments | 800,000 | 12.3% |
| Individual Investor | Dr. Jeffrey Stein (CEO) | 500,000 | 7.7% |
| Individual Investor | Board Members | 200,000 | 3.1% |
| Other Investors | Various | 2,000,000 | 43.8% |
Recent Stock Performance
As of September 30, 2024, the total number of outstanding shares for Cidara Therapeutics was approximately 6,530,111 shares. The company reported a net loss of $117.5 million for the nine months ended September 30, 2024, compared to a net loss of $19.7 million for the same period in 2023.
Financial Overview
As of September 30, 2024, Cidara Therapeutics had cash and cash equivalents totaling $127.4 million. The company incurred total operating expenses of $123.2 million during the nine months ended September 30, 2024. Additionally, the company has accumulated a deficit of $559 million since its inception.
Recent Equity Financing
In April 2024, Cidara completed a private placement of 240,000 shares of Series A Convertible Voting Preferred Stock, raising gross proceeds of $240 million. The funds were primarily allocated to the development of CD388 and to support ongoing clinical trials.
Ownership Changes
The company underwent significant ownership changes due to its recent capital raises and stock offerings. Notably, in July 2024, it issued 2,469,250 shares of common stock upon the automatic conversion of Series A Convertible Voting Preferred Stock.
Conclusion of Ownership Structure
The ownership of Cidara Therapeutics, Inc. reflects a mix of institutional and individual investors, with significant financial backing to support its ongoing research and development efforts. The current financial health, alongside strategic partnerships, positions the company for potential growth in the biotechnology sector.
Cidara Therapeutics, Inc. (CDTX) Mission Statement
Company Overview
Cidara Therapeutics, Inc. is a biotechnology company focused on developing innovative immunotherapies using its proprietary Cloudbreak® platform. The company aims to save lives and enhance the standard of care for patients battling serious diseases.
Mission Statement
The mission of Cidara Therapeutics is to deliver transformative therapies that address significant unmet medical needs in patients with serious diseases through the development of its drug-Fc conjugate (DFC) immunotherapies.
Recent Developments
As of 2024, Cidara continues to advance its lead product candidate, CD388, which targets seasonal and pandemic influenza. The company completed Phase 1 and Phase 2a clinical trials and is currently involved in the CD388 Phase 2b NAVIGATE study.
Financial Overview
As of September 30, 2024, Cidara reported a net loss of $117.5 million for the nine months ended September 30, 2024, compared to a net loss of $19.7 million for the same period in 2023. The accumulated deficit was $559.0 million as of September 30, 2024.
| Financial Metric | 2024 (Nine Months Ended) | 2023 (Nine Months Ended) |
|---|---|---|
| Net Loss | $117.5 million | $19.7 million |
| Accumulated Deficit | $559.0 million | $441.4 million |
| Cash and Cash Equivalents | $127.4 million | $48.7 million |
| Research and Development Expenses | $25.0 million | $28.8 million |
| Selling, General and Administrative Expenses | $13.3 million | $10.1 million |
Partnerships and Collaborations
Cidara's collaboration with Janssen Pharmaceuticals is pivotal, allowing the company to leverage Janssen's resources to advance the development of CD388. On April 24, 2024, Cidara reacquired all rights to CD388 from Janssen.
Business Strategy
The strategic focus includes:
- Advancing clinical trials for CD388.
- Exploring additional product candidates from the Cloudbreak platform.
- Establishing partnerships for commercialization.
- Enhancing the intellectual property portfolio.
Market Position and Future Outlook
Cidara is positioned in the biotechnology sector with a focus on unmet medical needs. The company anticipates continued operating losses as it invests in research and development to bring its innovative therapies to market.
Stock Performance
As of November 4, 2024, Cidara Therapeutics had 7,046,633 shares of common stock outstanding, and 204,725 shares of Series A Convertible Voting Preferred Stock outstanding, convertible into 14,330,750 shares of common stock.
| Stock Details | As of November 4, 2024 |
|---|---|
| Common Stock Outstanding | 7,046,633 |
| Series A Convertible Voting Preferred Stock | 204,725 |
| Series X Convertible Preferred Stock | 2,104,472 |
| Total Common Stock Equivalents | 22,429,619 |
How Cidara Therapeutics, Inc. (CDTX) Works
Company Overview
Cidara Therapeutics, Inc. is a biotechnology company that focuses on developing drug-Fc conjugate (DFC) immunotherapies through its proprietary Cloudbreak platform. The company is primarily engaged in research and development of therapies targeting serious diseases.
Financial Performance
As of September 30, 2024, Cidara reported the following financial metrics:
| Metric | Amount (in thousands) |
|---|---|
| Cash and Cash Equivalents | $127,386 |
| Total Assets | $162,331 |
| Total Liabilities | $46,701 |
| Accumulated Deficit | $(559,051) |
| Net Loss for Nine Months Ended September 30, 2024 | $(117,520) |
| Basic and Diluted Net Loss per Share | $(22.53) |
| Research and Development Expenses (9 months) | $25,005 |
| Selling, General and Administrative Expenses (9 months) | $13,307 |
| Collaboration Revenue (9 months) | $1,275 |
Operational Highlights
During the nine months ended September 30, 2024, Cidara incurred significant operational costs primarily associated with research and development activities. The company reported a net cash used in operating activities of $(147,119) thousand, compared to $(9,710) thousand in the same period of 2023.
Research and Development Focus
Cidara is advancing its CD388 product candidate, which is currently in Phase 2b clinical trials. The company expects to continue investing heavily in R&D to support the development of this and other candidates.
Recent Financing Activities
In April 2024, Cidara completed a private placement, raising $240 million through the issuance of 240,000 shares of Series A Convertible Voting Preferred Stock. The proceeds are intended to fund ongoing clinical trials and operational costs.
| Financing Activity | Amount (in thousands) |
|---|---|
| Net Proceeds from Private Placement | $239,095 |
| Upfront Payment to Janssen | $(85,000) |
| Remaining Proceeds for Operations | $155,095 |
Collaboration Agreements
Cidara's collaboration with Janssen Pharmaceuticals has been a key revenue source. However, the Janssen Collaboration Agreement was terminated upon the effectiveness of the Janssen License Agreement on April 24, 2024. Collaboration revenue for the nine months ended September 30, 2024 amounted to $1,275 thousand, a significant decrease from $20,527 thousand in the same period of 2023.
Discontinued Operations
On April 24, 2024, Cidara sold its rezafungin assets to Napp, classifying this as a discontinued operation. The loss from discontinued operations for the three months ended September 30, 2024, was $(450) thousand.
Stockholder Equity
As of September 30, 2024, Cidara's total stockholders' equity was reported at $115,630 thousand, indicating a recovery from a deficit of $(8,210) thousand at the end of 2023.
| Stockholder Equity Components | Amount (in thousands) |
|---|---|
| Series A Convertible Voting Preferred Stock | $240,000 |
| Common Stock | $7,046,633 |
| Additional Paid-In Capital | $674,580 |
| Accumulated Deficit | $(558,951) |
| Total Stockholders' Equity | $115,630 |
Market Position and Future Outlook
Cidara Therapeutics continues to position itself as a key player in the biotechnology sector, focusing on the development of innovative therapies through its Cloudbreak platform. The company is expected to face ongoing challenges related to funding and operational efficiency as it progresses through clinical trials and seeks to bring its candidates to market.
How Cidara Therapeutics, Inc. (CDTX) Makes Money
Revenue Streams
Cidara Therapeutics primarily generates revenue through collaboration agreements, milestone payments, and potential product sales. As of 2024, the company has shifted its focus towards its lead product candidate, CD388, following the termination of previous collaboration agreements.
Collaboration Revenue
For the nine months ended September 30, 2024, Cidara reported collaboration revenue of $1.3 million, down from $20.5 million for the same period in 2023. This revenue was primarily derived from R&D and clinical supply services provided to Janssen under the Janssen Collaboration Agreement, which was terminated in April 2024.
Acquired In-Process Research and Development (IPR&D) Expenses
During the nine months ended September 30, 2024, Cidara incurred $84.9 million in acquired IPR&D expenses, which included an upfront payment of $85 million paid to Janssen.
Research and Development Expenses
Cidara's R&D expenses were $25.0 million for the nine months ended September 30, 2024, compared to $28.8 million for the same period in 2023. The company continues to invest heavily in its clinical trials, particularly the CD388 Phase 2b NAVIGATE study.
Selling, General and Administrative Expenses
SG&A expenses for the nine months ended September 30, 2024, were $13.3 million, up from $10.1 million in 2023. The increase was attributed to higher audit fees, legal costs, and personnel expenses associated with operational adjustments.
Interest Income
For the nine months ended September 30, 2024, Cidara reported interest income of $4.0 million, significantly up from $1.5 million in 2023. This income primarily stems from cash held in interest-bearing accounts.
Cash Flow Overview
As of September 30, 2024, Cidara reported cash and cash equivalents of $127.4 million, an increase from $35.8 million at the beginning of the year. The company generated a net cash inflow from financing activities of $238.9 million in the nine months ended September 30, 2024, largely due to a private placement of Series A Convertible Voting Preferred Stock.
Financial Summary Table
| Financial Metric | Q3 2024 | Q3 2023 | Change |
|---|---|---|---|
| Collaboration Revenue | $1.3 million | $20.5 million | ($19.2 million) |
| Acquired IPR&D Expenses | $84.9 million | $0 million | $84.9 million |
| Research and Development Expenses | $25.0 million | $28.8 million | ($3.8 million) |
| Selling, General and Administrative Expenses | $13.3 million | $10.1 million | $3.2 million |
| Interest Income | $4.0 million | $1.5 million | $2.5 million |
| Net Cash from Financing Activities | $238.9 million | $25.9 million | $213 million |
| Cash and Cash Equivalents | $127.4 million | $48.7 million | $78.7 million |
Future Revenue Opportunities
Cidara's future revenue potential hinges on the successful development and commercialization of CD388 and other product candidates from its Cloudbreak platform. The company anticipates revenue generation will fluctuate based on clinical milestones and regulatory approvals.
Financing Activities
The company has relied heavily on equity financing to support its operations. As of September 30, 2024, Cidara had a remaining capacity of $37.1 million under its controlled equity offering sales agreement. The recent private placement raised $240 million, providing substantial liquidity to support ongoing R&D efforts.
Strategic Partnerships
Cidara has historically engaged in strategic partnerships to bolster its research capabilities and market reach. The termination of the Janssen Collaboration Agreement marks a significant transition in its operational strategy, focusing on internal development.
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Resources:
- Cidara Therapeutics, Inc. (CDTX) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Cidara Therapeutics, Inc. (CDTX)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Cidara Therapeutics, Inc. (CDTX)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.