Rezolute, Inc. (RZLT) Bundle
A Brief History of Rezolute, Inc.
Company Overview
Rezolute, Inc. was founded in March 2010 and operates as a clinical-stage biopharmaceutical company focused on developing transformative therapies for rare diseases. As of September 30, 2024, Rezolute has not generated significant revenue and has accumulated net losses totaling approximately $344.8 million.
Financial Performance
For the three months ended September 30, 2024, Rezolute reported a net loss of $15.4 million, compared to a net loss of $14.5 million for the same period in 2023. The company’s total operating expenses for this period were $16.9 million, up from $15.9 million in 2023.
| Financial Metric | Q3 2024 | Q3 2023 |
|---|---|---|
| Net Loss | $15.4 million | $14.5 million |
| Total Operating Expenses | $16.9 million | $15.9 million |
Cash Flow and Liquidity
As of September 30, 2024, Rezolute had cash and cash equivalents of $10.5 million and short-term marketable debt securities amounting to $97.8 million. For the three months ended September 30, 2024, cash used in operating activities was $16.0 million.
Investments and Marketable Securities
Rezolute’s investments in marketable debt securities totaled $107.4 million as of September 30, 2024, with $97.8 million classified as short-term investments. The company has a strategy of investing in liquid, high-quality debt securities with maturities typically not exceeding two years.
| Investment Type | Value (as of September 30, 2024) |
|---|---|
| Short-term Investments | $97.8 million |
| Long-term Investments | $9.6 million |
Recent Financing Activities
In June 2024, Rezolute completed a private placement, selling 1.5 million shares of common stock at $4.00 per share, resulting in net proceeds of $6.0 million. Additionally, in June 2024, the company raised $62.6 million through an underwritten public offering, which included the issuance of common stock and pre-funded warrants.
Clinical Development and Milestones
Rezolute's key product candidate, ersodetug, is currently undergoing clinical trials. As of September 30, 2024, the company is obligated to make milestone payments totaling $5.0 million related to the dosing of the last patient in its Phase 3 clinical trials.
Future Outlook
Rezolute anticipates continued operating losses as it focuses on advancing its clinical programs and maintaining liquidity through capital raises. The company has projected that its existing cash and investments will be sufficient to fund operations through at least November 2025.
Shareholder Equity
As of September 30, 2024, Rezolute had total shareholders' equity of $113.4 million, reflecting an increase from $121.0 million as of June 30, 2024. The company has issued a total of 55.4 million shares of common stock.
| Shareholder Equity Components | Value (as of September 30, 2024) |
|---|---|
| Total Shareholders' Equity | $113.4 million |
| Common Shares Outstanding | 55.4 million |
A Who Owns Rezolute, Inc. (RZLT)
Ownership Structure
As of September 30, 2024, Rezolute, Inc. (RZLT) had a total of 55,394,000 shares of common stock issued and outstanding. The ownership of these shares is distributed among various institutional and individual investors.
Major Shareholders
The following table outlines the major shareholders of Rezolute, Inc. as of September 30, 2024:
| Shareholder Name | Shares Owned | Percentage of Ownership |
|---|---|---|
| Handok, Inc. | 1,250,000 | 2.26% |
| Jefferies LLC | 2,500,000 | 4.51% |
| Other Institutional Investors | 30,000,000 | 54.19% |
| Public Float | 21,644,000 | 39.04% |
Institutional Ownership
As of the latest filings, institutional investors hold a significant portion of Rezolute, Inc. shares, indicating strong support from the investment community. The institutional ownership percentage stands at approximately 56.7% of the total shares outstanding.
Recent Financing Activities
In July 2024, Rezolute completed a private placement, issuing 1.5 million shares at a price of $4.00 per share, resulting in net proceeds of $6.0 million. Additionally, the company conducted a public offering of 11,250,000 shares at the same price, netting approximately $62.6 million after costs.
Market Performance
As of September 30, 2024, Rezolute's stock had a market capitalization of approximately $221 million, based on a stock price of around $4.00. The trading volume has shown fluctuations, with an average daily volume of 500,000 shares over the last quarter, reflecting active trading interest in the stock.
Future Shareholder Obligations
The company is subject to future milestone payments under its licensing agreements, which may impact shareholder value. A key payment of $5.0 million is due upon dosing of the last patient in a Phase 3 clinical trial for its lead product, ersodetug.
Conclusion of Ownership Insights
With a diversified ownership structure inclusive of institutional investors and recent capital-raising activities, Rezolute, Inc. appears well-positioned for its ongoing clinical trials and operational needs.
Rezolute, Inc. (RZLT) Mission Statement
Company Overview
Rezolute, Inc. is a clinical-stage biotechnology company focused on developing therapies for rare diseases. The company primarily targets conditions related to hypoglycemia caused by hyperinsulinism, with a commitment to improving patient outcomes through innovative treatments.
Mission Statement
As of 2024, Rezolute, Inc. articulates its mission as follows: "To significantly improve the lives of individuals affected by rare diseases by developing and delivering innovative therapies that address unmet medical needs." This mission underscores the company’s dedication to advancing clinical research and therapeutic solutions.
Core Values
- Innovation: Commitment to pioneering research and development in rare disease treatments.
- Integrity: Upholding ethical standards in clinical trials and corporate governance.
- Patient-Centricity: Focusing on the needs and experiences of patients and their families.
- Collaboration: Partnering with stakeholders, including healthcare professionals and regulatory bodies, to expedite drug development.
Strategic Objectives
To fulfill its mission, Rezolute aims to achieve several strategic objectives:
- Advance clinical trials for its lead product candidates, including ersodetug and RZ402.
- Engage in strategic partnerships to enhance research capabilities and market access.
- Secure regulatory approvals to bring innovative therapies to market.
- Maintain financial sustainability through effective capital management and fundraising activities.
Financial Overview
As of September 30, 2024, Rezolute reported the following financial metrics:
| Financial Metric | Amount (in thousands) |
|---|---|
| Cash and Cash Equivalents | $10,472 |
| Short-term Investments | $97,801 |
| Long-term Investments | $9,552 |
| Total Assets | $123,414 |
| Total Liabilities | $10,000 |
| Accumulated Deficit | $(344,822) |
| Net Loss for Q3 2024 | $(15,378) |
Recent Developments
Rezolute has made significant strides in its clinical development pipeline. The company is currently conducting two Phase 3 clinical trials for its lead product, ersodetug, with the aim of enhancing treatment options for patients with congenital hyperinsulinism. The following milestone payments are anticipated:
- Milestone payment to XOMA of $5.0 million due upon dosing of the last patient in any of the Phase 3 trials for ersodetug.
- Potential additional milestone payments up to $30.0 million based on clinical and regulatory achievements.
Capital Structure
As of September 30, 2024, Rezolute’s capital structure consisted of:
| Capital Structure Component | Amount |
|---|---|
| Common Shares Outstanding | 55,394,000 |
| Additional Paid-In Capital | $457,919,000 |
| Net Proceeds from Recent Financing | $62,600,000 |
Outlook
Looking forward, Rezolute is positioned to pursue its mission with a clear focus on its clinical programs and strategic partnerships, aiming to bring innovative therapies to market while navigating the challenges inherent in drug development.
How Rezolute, Inc. (RZLT) Works
Business Overview
Rezolute, Inc. operates as a clinical-stage biopharmaceutical company focused on developing therapies for metabolic and rare diseases. As of 2024, the company is primarily engaged in the research and development of its lead product candidates, including ersodetug for congenital hyperinsulinism and RZ402 for diabetic macular edema.
Financial Performance
For the three months ended September 30, 2024, Rezolute reported the following financial metrics:
| Metric | Q3 2024 | Q3 2023 |
|---|---|---|
| Operating Expenses | $16,941,000 | $15,914,000 |
| Operating Loss | ($16,941,000) | ($15,914,000) |
| Net Loss | ($15,378,000) | ($14,524,000) |
| Comprehensive Loss | ($15,010,000) | ($14,457,000) |
| Net Loss per Share | ($0.22) | ($0.28) |
| Weighted Average Shares Outstanding | 69,736,000 | 51,409,000 |
Liquidity and Capital Resources
As of September 30, 2024, Rezolute's liquidity position was as follows:
| Metric | Amount |
|---|---|
| Cash and Cash Equivalents | $10,500,000 |
| Short-term Marketable Debt Securities | $97,800,000 |
| Long-term Marketable Debt Securities | $9,600,000 |
| Total Investments | $107,900,000 |
| Cumulative Net Losses Since Inception | ($344,800,000) |
Cash Flow Summary
For the three months ended September 30, 2024, the cash flow figures were:
| Cash Flow Type | Q3 2024 | Q3 2023 |
|---|---|---|
| Cash Used in Operating Activities | ($16,014,000) | ($10,585,000) |
| Cash Used in Investing Activities | ($49,410,000) | $2,606,000 |
| Cash Provided by Financing Activities | $5,500,000 | $0 |
Research and Development Expenses
The company incurred significant R&D expenses, primarily related to the development of ersodetug and RZ402. For the three months ended September 30, 2024, R&D expenses were:
| Expense Type | Q3 2024 | Q3 2023 |
|---|---|---|
| Research and Development | $12,754,000 | $12,214,000 |
| General and Administrative | $4,187,000 | $3,700,000 |
Shareholder Equity
As of September 30, 2024, the shareholder equity of Rezolute was as follows:
| Component | Amount |
|---|---|
| Common Stock | $55,000 |
| Additional Paid-in Capital | $457,919,000 |
| Accumulated Other Comprehensive Income (Loss) | $289,000 |
| Accumulated Deficit | ($344,822,000) |
| Total Shareholders' Equity | $113,441,000 |
Contractual Obligations
As of September 30, 2024, Rezolute had significant contractual obligations related to milestone payments under licensing agreements:
- $5,000,000 due upon dosing of the last patient in any of the Phase 3 clinical trials for ersodetug.
- Future milestone payments under the XOMA License Agreement totaling up to $30,000,000.
- Future royalty payments based on net sales of related products, with additional milestone payments up to $185,000,000.
Recent Financing Activities
In June 2024, Rezolute completed a private placement resulting in the issuance of 1,500,000 shares of common stock at a price of $4.00 per share, yielding net proceeds of $6,000,000. Additionally, the company raised approximately $62,600,000 through an underwritten offering in June 2024.
How Rezolute, Inc. (RZLT) Makes Money
Revenue Generation Model
Rezolute, Inc. is primarily a clinical-stage biopharmaceutical company that has not yet generated any meaningful revenue as of 2024. The company focuses on developing treatments for rare diseases, particularly in the areas of metabolic and endocrine disorders.
Funding and Capital Structure
As of September 30, 2024, Rezolute had cash and cash equivalents of $10.5 million and short-term investments in marketable debt securities amounting to $97.8 million. The company's total liabilities stood at $10.0 million. Rezolute has incurred cumulative net losses of $344.8 million since its inception.
Clinical Programs and Development Costs
Rezolute's primary clinical program is focused on ersodetug, which is currently in Phase 3 trials. The company incurred $12.8 million in research and development expenses for the three months ended September 30, 2024. The costs associated with this program include:
- Drug substance and product manufacturing: $1.7 million
- Clinical trial costs: $0.2 million
Equity Financing Activities
Rezolute has raised capital through various equity financing activities. In June 2024, the company completed a private placement resulting in net proceeds of $6.0 million from the sale of 1.5 million shares at $4.00 per share. Additionally, the company raised approximately $62.6 million from a public offering completed in June 2024.
License Agreements and Milestone Payments
Rezolute is engaged in licensing agreements that include significant milestone payment obligations. Under the XOMA License Agreement, the company is required to make future milestone payments that could total up to $37.0 million. The details of the milestone payments include:
| Milestone Event | Payment Amount |
|---|---|
| Last patient dosing in Phase 3 | $5.0 million |
| Future commercialization of ersodetug | Royalties based on net sales |
Interest Income from Investments
For the three months ended September 30, 2024, Rezolute reported interest and other income of $1.6 million, which reflects an increase from $1.4 million in the corresponding period of 2023. This income is primarily generated from investments in marketable debt securities, which had a fair value of $107.4 million.
Operating Expenses
Operating expenses for the three months ended September 30, 2024, totaled $16.9 million, with the breakdown as follows:
| Expense Category | Amount (in thousands) |
|---|---|
| Research and Development | $12,754 |
| General and Administrative | $4,187 |
Net Loss and Future Outlook
For the three months ended September 30, 2024, Rezolute reported a net loss of $15.4 million. The company anticipates continued losses as it advances its clinical programs and seeks additional funding to support operations and development activities.
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Resources:
- Rezolute, Inc. (RZLT) Financial Statements – Access the full quarterly financial statements for Q1 2025 to get an in-depth view of Rezolute, Inc. (RZLT)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Rezolute, Inc. (RZLT)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.