|AUDENTES THERAPEUTICS, INC. filed this Form 10-K on 03/13/2017|
Research and Development
Research and development expenses increased by $11.0 million, or 118%, to $20.2 million for the year ended December 31, 2015. The increase was primarily due to a $3.8 million increase in personnel costs and a $0.9 million increase in facilities costs due to an increase in our research and development headcount. In addition, there was a $2.6 million increase in expenses related to our AT132 and AT982 programs, as we conducted additional preclinical studies, increased manufacturing of study materials and incurred consulting and initiation costs in preparation for future clinical trials. In addition, we launched the AT342 and AT307 programs in 2015, incurring total costs of $2.4 million in 2015, with no comparable costs in 2014. There was also an increase of $1.2 million for lab supplies and $0.6 million for other expenses related to expanded research and development activities to support of preclinical activities and manufacturing process development. In addition, the increase in the fair value of the acquisition contingent consideration payable was $0.1 million, with no comparable expense in 2014.
General and Administrative
General and administrative expenses increased by $4.8 million, or 289%, to $6.5 million for the year ended December 31, 2015. The increase was primarily due to a $2.7 million increase in personnel and consulting costs, a $0.5 million increase in facilities costs due to increased headcount and a $0.1 million increase for legal fees in support of general corporate, in-licensing and patient-related activities. Additionally, we incurred $0.4 million in transaction costs associated with the acquisition of Cardiogen in 2015, with no comparable expense in 2014.
Interest income increased by $0.2 million for the year ended December 31, 2015, as we invested the funds we received from our preferred stock financings into short duration fixed-income securities.
Liquidity, Capital Resources and Plan of Operations
Since our inception in 2012 through December 31, 2016, our operations have been financed solely by net proceeds of $135.8 million from the sale of shares of our convertible preferred stock and $75.2 million from the sale of common stock from our IPO in July 2016. As of December 31, 2016, we had $104.9 million in cash, cash equivalents and short-term investments and an accumulated deficit of $100.4 million.
On July 19, 2016, our Registration Statement on Form S-1 relating to our IPO, of our common stock was declared effective by the Securities and Exchange Commission, or SEC. Pursuant to such Registration Statement, we sold an aggregate of 5,675,000 shares of our common stock (inclusive of 675,000 shares pursuant to the underwriters’ option to purchase additional shares) at a price of $15.00 per share for aggregate cash proceeds of $75.2 million, net of underwriting discounts, commissions, and offering costs. The sale of 5,000,000 shares in the IPO closed on July 25, 2016 and the sale of 675,000 shares pursuant to the underwriters’ option closed on August 23, 2016.