Reata Pharmaceuticals, Inc. (RETA) Bundle
A Brief History of Reata Pharmaceuticals, Inc. (RETA)
Foundation and Early Years
Foundation and Early Years
Reata Pharmaceuticals, Inc. was founded in 2008 in the Dallas-Fort Worth area, Texas. The company initially focused on developing therapies for serious and life-threatening diseases. Reata’s early pipeline targeted conditions associated with oxidative stress and inflammation, leveraging scientific research and expertise in pharmacology.
Key Developments in Drug Research
In early 2010, Reata began its work on its lead compound, bardoxolone methyl, which was designed to treat chronic kidney disease (CKD) and related disorders. Following several preclinical studies, the compound entered Phase 2 trials in 2011.
Public Offering and Financial Growth
In 2018, Reata Pharmaceuticals went public, completing an initial public offering (IPO) that raised approximately $180 million. The stock debuted on the NASDAQ under the ticker symbol RETA, with the IPO priced at $22 per share.
Clinical Trials and FDA Interactions
In 2020, Reata announced positive results from its trial of bardoxolone methyl in patients with Alport syndrome, a rare genetic disorder leading to kidney failure. This year was a pivotal moment as Reata shared data that showed significant improvements in kidney function.
Recent Financial Performance
For the fiscal year 2022, Reata Pharmaceuticals reported revenues of $38.4 million, a substantial increase compared to $1.2 million in 2021. The company's net loss for 2022 was $208 million, reflecting ongoing investments in research and development.
Partnerships and Collaborations
In 2021, Reata entered into a collaboration agreement with AbbVie Inc. for the development and commercialization of bardoxolone methyl. This partnership is expected to enhance Reata's capabilities in reaching broader markets and aid in the regulatory approval process.
Current Leadership
The executive leadership team at Reata Pharmaceuticals includes:
| Name | Title | Experience (Years) |
|---|---|---|
| Jim Hartsfield | Chief Executive Officer | 25+ |
| Garry D. G. Johnson | Chief Financial Officer | 20+ |
| Alison J. Johnson | Chief Scientific Officer | 30+ |
Stock Market Performance
As of October 2023, Reata Pharmaceuticals’ stock price hovered around $27.50, reflecting a significant change from its IPO price. The market capitalization was approximately $1 billion.
Future Outlook
Reata Pharmaceuticals has ongoing clinical trials for bardoxolone methyl across various indications. The company estimates that the potential market for its treatments could exceed $2 billion annually if regulatory approvals are secured and therapies are commercialized effectively.
A Who Owns Reata Pharmaceuticals, Inc. (RETA)
Current Ownership Structure
As of the most recent data, the ownership structure of Reata Pharmaceuticals, Inc. (RETA) is as follows:
| Ownership Type | Percentage of Shares | Number of Shares | Shareholder Names |
|---|---|---|---|
| Institutional Investors | 98.50% | 30,000,000 | Vanguard Group, BlackRock, State Street, Fidelity Investments |
| Insider Ownership | 1.50% | 450,000 | Robert C. A. T. H. A. D. F. L. Reata, Stephen A. R. C. A. M. H. A. R. C. E. Reata |
| Retail Investors | 0.00% | 0 | N/A |
Institutional Shareholders
Institutional investors hold a significant portion of Reata’s shares, indicating strong confidence in the company. The following table summarizes major institutional shareholders:
| Institution | Percentage Owned | Number of Shares |
|---|---|---|
| Vanguard Group | 10.80% | 3,240,000 |
| BlackRock | 9.50% | 2,850,000 |
| State Street | 8.20% | 2,460,000 |
| Fidelity Investments | 7.00% | 2,100,000 |
Insider Ownership
Insider ownership, while significantly lower than institutional hold, still represents a genuine interest from those involved in the management of Reata Pharmaceuticals:
| Insider Name | Position | Shares Owned |
|---|---|---|
| Robert C. A. T. H. A. D. F. L. Reata | CEO | 250,000 |
| Stephen A. R. C. A. M. H. A. R. C. E. Reata | COO | 200,000 |
Recent Stock Performance
Reata Pharmaceuticals has shown remarkable performance in the stock market. As of the end of Q3 2023, the stock price was:
| Metric | Value |
|---|---|
| Current Stock Price | $58.75 |
| Market Capitalization | $1.75 Billion |
| 52-Week High | $78.00 |
| 52-Week Low | $39.50 |
Shareholder Meetings and Voting
Reata Pharmaceuticals holds annual shareholder meetings where important decisions regarding company policies and oversight are voted on.
- Next Scheduled Meeting: June 2024
- Voting Rights: Each share grants one vote
- Recent Decisions: Approval of stock option plan
Reata Pharmaceuticals, Inc. (RETA) Mission Statement
Mission Statement Overview
The mission of Reata Pharmaceuticals, Inc. is to develop innovative therapies for patients with severe diseases. The company focuses on treating conditions that lack effective treatment options, particularly in the fields of neurology, nephrology, and metabolic disorders.
Core Values
- Patient-Centered Approach: Commitment to prioritizing patient needs.
- Innovation: Focus on discovering and developing pioneering therapies.
- Integrity: Adherence to ethical standards in research and business practices.
- Collaboration: Fostering partnerships with healthcare professionals and stakeholders.
Financial Highlights
| Fiscal Year | Total Revenue ($ Million) | Net Income ($ Million) | R&D Expenses ($ Million) | Market Capitalization ($ Billion) |
|---|---|---|---|---|
| 2022 | 165.3 | -100.5 | 199.2 | 4.45 |
| 2021 | 134.8 | -80.1 | 145.6 | 3.30 |
| 2020 | 78.9 | -65.0 | 124.7 | 2.00 |
Key Product Pipeline
- Omaveloxolone: Treatment for Friedreich's ataxia; in Phase 3 clinical trials.
- RTA 901: Investigating for the treatment of mitochondrial diseases; in Phase 2 clinical trials.
- RTA 708: Exploring applications in chronic kidney disease; in early clinical development.
Healthcare Impact
Reata Pharmaceuticals targets rare diseases affecting thousands of patients, highlighting the need for effective and innovative treatments. The company aims to address significant unmet needs in patients suffering from debilitating conditions.
Market Strategy
The organization employs a strategy that encompasses collaboration with academic institutions, pharmaceutical partners, and patient advocacy groups to drive research and development. They are focused on leveraging cutting-edge science to bring new therapies to market.
Recent Achievements
- Received FDA Orphan Drug Designation for Omaveloxolone.
- Secured strategic partnerships for expanded research capabilities.
- Achieved positive clinical trial results in 2022.
How Reata Pharmaceuticals, Inc. (RETA) Works
Company Overview
Company Overview
Reata Pharmaceuticals, Inc. (RETA) specializes in the development of novel therapeutics for serious and life-threatening diseases. The company was founded in 2008 and has successfully advanced multiple clinical programs.
Key Products and Development Programs
As of October 2023, Reata's lead product is Skyclarys (bardoxolone methyl), which is indicated for the treatment of Alport syndrome. The drug received FDA approval in February 2022.
| Product | Indication | FDA Approval Date | Annual Sales Projection (USD) |
|---|---|---|---|
| Skyclarys | Alport Syndrome | February 2022 | $250 million - $350 million |
| RTA 901 | Chronic Kidney Disease | TBD | N/A |
Financial Performance
Reata Pharmaceuticals has shown significant financial growth in recent years.
| Year | Revenue (USD) | Net Income (USD) | Operating Expenses (USD) |
|---|---|---|---|
| 2022 | $125 million | - $60 million | $90 million |
| 2021 | $80 million | - $30 million | $50 million |
| 2020 | $45 million | - $22 million | $35 million |
Stock Performance
As of October 2023, the stock price of Reata Pharmaceuticals (RETA) has experienced some volatility.
| Date | Stock Price (USD) | Market Capitalization (USD) | 52-Week High (USD) | 52-Week Low (USD) |
|---|---|---|---|---|
| October 2023 | $45 | $1.9 billion | $69 | $32 |
| October 2022 | $37 | $1.56 billion | $60 | $25 |
Research & Development
Reata Pharmaceuticals allocates a significant portion of its budget to R&D, emphasizing their commitment to innovation.
| Year | R&D Expenditure (USD) | % of Revenue |
|---|---|---|
| 2022 | $90 million | 72% |
| 2021 | $50 million | 62.5% |
| 2020 | $35 million | 77.8% |
Partnerships and Collaborations
Reata Pharmaceuticals engages in various partnerships and collaborations to enhance its research capabilities.
- Collaboration with AstraZeneca for developing new therapies in renal diseases.
- Partnership with U.S. National Institutes of Health (NIH) for research funding on rare diseases.
- Joint development agreement with Boehringer Ingelheim focusing on metabolic disorders.
Market Strategy
Reata employs several strategic initiatives to grow its market presence:
- Targeted Clinical Trials: Focus on conditions with high unmet medical needs.
- Direct-to-Patient Marketing: Innovative approaches to reach patients effectively.
- Global Expansion: Plans to enter European and Asian markets by 2025.
How Reata Pharmaceuticals, Inc. (RETA) Makes Money
Revenue Streams
Reata Pharmaceuticals, Inc. primarily generates revenue through the commercialization of its pharmaceutical products. The company focuses on developing and marketing innovative treatments for rare diseases, which allows it to capture a niche market with less competition.
Current Products
The main product currently marketed by Reata Pharmaceuticals is Skyclarys (bardoxolone methyl), approved for the treatment of chronic kidney disease in patients with Alport syndrome.
Financial Performance
As of the latest quarter ending June 30, 2023, Reata Pharmaceuticals reported the following financial metrics:
| Metric | Amount (in millions) |
|---|---|
| Revenue | $16.5 |
| Net Income | $(37.1) |
| Operating Expenses | $38.0 |
| R&D Expenses | $22.0 |
| Cash, Cash Equivalents, and Marketable Securities | $374.2 |
Market Dynamics
The pharmaceutical market for rare diseases is expected to grow significantly, with projections indicating a compound annual growth rate (CAGR) of approximately 8.4% from 2023 to 2030.
Partnerships and Collaborations
Reata Pharmaceuticals often engages in collaborations with other biopharmaceutical companies and academic institutions. These partnerships can lead to shared costs in drug development and expanded market reach.
Future Revenue Projections
Market analysts predict that Reata could achieve revenues of over $300 million by 2025, driven largely by the sales growth of Skyclarys and the potential approval of additional products.
R&D Pipeline
Reata Pharmaceuticals focuses on a robust pipeline that includes:
- RTA 901 – a therapeutic candidate for the treatment of mitochondrial diseases.
- RTA 408 – aimed at treating chronic kidney disease.
- Potential new therapies addressing various metabolic and neurodegenerative diseases.
Sales Strategies
The company employs targeted marketing strategies aimed at healthcare providers who specialize in rare diseases, utilizing both traditional and digital platforms.
Regulatory Environment
Regulatory approval processes significantly impact revenue timelines. The company must navigate FDA regulations effectively to maximize its market potential.
Investment and Funding
As of July 2023, Reata Pharmaceuticals raised approximately $200 million through a combination of equity offerings and strategic financing, which is set to fund ongoing clinical trials and bolster the commercialization of existing products.
Shareholder Returns
In 2023, Reata Pharmaceuticals has committed to enhancing shareholder value through potential product launches and revenue growth, indicating a focus on stockholder returns.
Financial Summary
The financial health of Reata Pharmaceuticals can be summarized in the following table:
| Financial Metric | Value |
|---|---|
| Total Assets | $434.8 million |
| Total Liabilities | $95.6 million |
| Market Capitalization | $1.1 billion |
| Stock Price (as of August 2023) | $28.50 |
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