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ROC

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

 

FORM 10-Q

 

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2022

OR

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _______________ to _______________

Commission File Number: 001-40908

 

MiNK Therapeutics, Inc.

(Exact Name of Registrant as Specified in its Charter)

 

 

Delaware

82-2142067

(State or other jurisdiction of

incorporation or organization)

(I.R.S. Employer
Identification No.)

149 Fifth Avenue

Suite 500

New York, NY 

10010

(Address of principal executive offices)

(Zip Code)

Registrant’s telephone number, including area code: 212-994-8250

 

 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class

 

Trading

Symbol(s)

 

Name of each exchange on which registered

Common Stock, par value $0.00001 per share

 

INKT

 

Nasdaq Capital Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.     Yes  ☒    No  

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).     Yes  ☒    No  

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

 

Large accelerated filer

 

 

Accelerated filer

 

Non-accelerated filer

 

☒ 

 

Smaller reporting company

 

 

 

 

 

 

Emerging growth company

 

 

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).     Yes      No  

As of August 5, 2022, the registrant had 33,775,073 shares of common stock, $0.00001 par value per share, outstanding.

 

 

 

 


 

 

Table of Contents

 

 

 

Page

 

 

 

PART I.

FINANCIAL INFORMATION

1

 

 

 

Item 1.

Financial Statements (Unaudited)

1

 

Condensed Consolidated Balance Sheets as of June 30, 2022 and December 31, 2021

1

 

Condensed Consolidated Statements of Operations and Comprehensive Loss for the three and six months ended June 30, 2022 and 2021

2

 

Condensed Consolidated Statements of Stockholders’ Equity (Deficit) for the three and six months ended June 30, 2022 and 2021

3

 

Condensed Consolidated Statements of Cash Flows for the six months ended June 30, 2022 and 2021

5

 

Notes to Unaudited Interim Condensed Consolidated Financial Statements

6

Item 2.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

11

Item 3.

Quantitative and Qualitative Disclosures About Market Risk

16

Item 4.

Controls and Procedures

16

 

 

 

PART II.

OTHER INFORMATION

17

 

 

 

Item 1.

Legal Proceedings

17

Item 1A.

Risk Factors

17

Item 2.

Unregistered Sales of Equity Securities and Use of Proceeds

17

Item 6.

Exhibits

18

 

Signatures

19

 

 

 

i


 

PART I—FINANCIAL INFORMATION

Item 1. Financial Statements.

 MINK THERAPEUTICS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

 

 

 

June 30,

2022

 

 

December 31,

2021

 

ASSETS

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

29,846,915

 

 

$

38,888,828

 

Prepaid expenses

 

 

104,400

 

 

 

1,761

 

Other current assets

 

 

378,125

 

 

 

744,321

 

Total current assets

 

 

30,329,440

 

 

 

39,634,910

 

Equipment, net of accumulated depreciation of $213,610 and $168,605 at

   June 30, 2022 and December 31, 2021, respectively

 

 

787,541

 

 

 

606,595

 

Total assets

 

$

31,116,981

 

 

$

40,241,505

 

LIABILITIES AND STOCKHOLDERS’ EQUITY

 

 

 

 

 

 

 

 

Accounts payable

 

$

4,790,598

 

 

$

2,995,645

 

Accrued liabilities

 

 

2,844,792

 

 

 

1,763,688

 

Other current liabilities

 

 

2,196,962

 

 

 

5,760,609

 

Due to related parties

 

 

7,594,791

 

 

 

5,945,094

 

Total current liabilities

 

 

17,427,143

 

 

 

16,465,036

 

Commitments and contingencies

 

 

 

 

 

 

 

 

STOCKHOLDERS’ EQUITY

 

 

 

 

 

 

 

 

Common stock, par value $0.00001 per share; 150,000,000 shares authorized;

   33,669,694 and 33,476,523 shares issued at June 30, 2022

   and December 31, 2021, respectively

 

 

337

 

 

 

335

 

Additional paid-in capital

 

 

109,230,018

 

 

 

107,349,265

 

Accumulated other comprehensive income (loss)

 

 

1,297,188

 

 

 

(625,269

)

Accumulated deficit

 

 

(96,837,705

)

 

 

(82,947,862

)

Total stockholders’ equity

 

 

13,689,838

 

 

 

23,776,469

 

Total liabilities and stockholders’ equity

 

$

31,116,981

 

 

$

40,241,505

 

 

See accompanying notes to unaudited condensed consolidated financial statements.

1


MINK THERAPEUTICS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS

(Unaudited)

 

 

 

Three Months Ended

June 30,

 

 

Six Months Ended

June 30,

 

 

 

2022

 

 

2021

 

 

2022

 

 

2021

 

Operating expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Research and development

 

$

5,876,092

 

 

$

3,584,611

 

 

$

11,153,427

 

 

$

6,682,322

 

General and administrative

 

 

1,822,339

 

 

 

867,896

 

 

 

3,919,293

 

 

 

1,462,877

 

Change in fair value of convertible affiliated note

 

 

 

 

 

1,159,873

 

 

 

 

 

 

475,437

 

Operating loss

 

 

(7,698,431

)

 

 

(5,612,380

)

 

 

(15,072,720

)

 

 

(8,620,636

)

Other income (expense), net:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest income (expense), net

 

 

26,377

 

 

 

(805,049

)

 

 

25,529

 

 

 

(1,548,744

)

Other income (expense), net

 

 

1,559,312

 

 

 

82,267

 

 

 

1,157,348

 

 

 

(11,976

)

Net loss

 

$

(6,112,742

)

 

$

(6,335,162

)

 

$

(13,889,843

)

 

$

(10,181,356

)

Per common share data:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic and diluted net loss per common share

 

$

(0.18

)

 

$

(0.26

)

 

$

(0.41

)

 

$

(0.42

)

Weighted average number of common shares outstanding

 

 

33,619,449

 

 

 

24,177,315

 

 

 

33,562,278

 

 

 

24,177,315

 

Other comprehensive income (loss):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Foreign currency translation gain (loss)

 

$

1,399,686

 

 

$

(165,714

)

 

$

1,922,457

 

 

$

187,591

 

Comprehensive loss

 

$

(4,713,056

)

 

$

(6,500,876

)

 

$

(11,967,386

)

 

$

(9,993,765

)

 

See accompanying notes to unaudited condensed consolidated financial statements.

 

2


 

MINK THERAPEUTICS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY (DEFICIT)

(Unaudited)

 

 

 

Common Stock

 

 

 

 

 

 

Treasury Stock

 

 

Accumulated

 

 

 

 

 

 

 

 

 

 

 

Number of

Shares

 

 

Par

Value

 

 

Additional

Paid-In

Capital

 

 

Number of

Shares

 

 

Par

Value

 

 

Other

Comprehensive

Income (Loss)

 

 

Accumulated

Deficit

 

 

Total

 

Balance at December 31, 2021

 

 

33,476,523

 

 

$

335

 

 

$

107,349,265

 

 

 

 

 

$

 

 

$

(625,269

)

 

$

(82,947,862

)

 

 

23,776,469

 

Net loss

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(7,777,101

)

 

 

(7,777,101

)

Other comprehensive income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

522,771

 

 

 

 

 

 

522,771

 

Option exercises

 

 

84,391

 

 

 

1

 

 

 

688

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

689

 

Grant and recognition of stock options

 

 

 

 

 

 

 

 

741,773

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

741,773

 

Recognition of parent stock options

 

 

 

 

 

 

 

 

43,733

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

43,733

 

Balance at March 31, 2022

 

 

33,560,914

 

 

$

336

 

 

$

108,135,459

 

 

 

 

 

$

 

 

$

(102,498

)

 

$

(90,724,963

)

 

$

17,308,334

 

Net loss

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(6,112,742

)

 

 

(6,112,742

)

Other comprehensive income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1,399,686

 

 

 

 

 

 

1,399,686

 

Grant and recognition of stock options

 

 

 

 

 

 

 

 

796,924

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

796,924

 

Recognition of parent stock options

 

 

 

 

 

 

 

 

3,886

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

3,886

 

Option exercises

 

 

48,118

 

 

 

 

 

 

301

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

301

 

Forfeiture of restricted stock

 

 

(20,872

)

 

 

 

 

 

(75

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(75

)

Issuance of shares for employee bonuses

 

 

125,199

 

 

 

1

 

 

 

293,523

 

 

 

(43,665

)

 

 

(157,194

)

 

 

 

 

 

 

 

 

136,330

 

Retirement of treasury shares

 

 

(43,665

)

 

 

 

 

 

 

 

 

43,665

 

 

 

157,194

 

 

 

 

 

 

 

 

 

157,194

 

Balance at June 30, 2022

 

 

33,669,694

 

 

$

337

 

 

$

109,230,018

 

 

 

 

 

$

 

 

$

1,297,188

 

 

$

(96,837,705

)

 

$

13,689,838

 

 

3


 

MINK THERAPEUTICS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY (DEFICIT)

(Unaudited)

 

 

 

Common Stock

 

 

 

 

 

 

Treasury Stock

 

 

Accumulated

 

 

 

 

 

 

 

 

 

 

 

Number of

Shares

 

 

Par

Value

 

 

Additional

Paid-In

Capital

 

 

Number of

Shares

 

 

Par

Value

 

 

Other

Comprehensive

Income (Loss)

 

 

Accumulated

Deficit

 

 

Total

 

Balance at December 31, 2020

 

 

24,177,315

 

 

$

242

 

 

$

383,711

 

 

 

 

 

$

 

 

$

(1,523,038

)

 

$

(52,735,092

)

 

$

(53,874,177

)

Net loss

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(3,846,194

)

 

 

(3,846,194

)

Other comprehensive income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

353,305

 

 

 

 

 

 

353,305

 

Grant and recognition of stock options

 

 

 

 

 

 

 

 

263,081

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

263,081

 

Recognition of parent stock options

 

 

 

 

 

 

 

 

19,949

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

19,949

 

Balance at March 31, 2021

 

 

24,177,315

 

 

$

242

 

 

$

666,741

 

 

 

 

 

$

 

 

$

(1,169,733

)

 

$

(56,581,286

)

 

$

(57,084,036

)

Net loss

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(6,335,162

)

 

 

(6,335,162

)

Other comprehensive loss

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(165,714

)

 

 

 

 

 

(165,714

)

Grant and recognition of stock options

 

 

 

 

 

 

 

 

356,097

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

356,097

 

Recognition of parent stock options

 

 

 

 

 

 

 

 

51,206

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

51,206

 

Balance at June 30, 2021

 

 

24,177,315

 

 

$

242

 

 

$

1,074,044

 

 

 

 

 

$

 

 

$

(1,335,447

)

 

$

(62,916,448

)

 

$

(63,177,609

)

 

See accompanying notes to unaudited condensed consolidated financial statements.

4


MINK THERAPEUTICS, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

 

 

 

Six Months Ended June 30,

 

 

 

2022

 

 

2021

 

Cash flows from operating activities:

 

 

 

 

 

 

 

 

Net loss

 

$

(13,889,843

)

 

$

(10,181,356

)

Adjustments to reconcile net loss to net cash used in operating activities:

 

 

 

 

 

 

 

 

Depreciation

 

 

55,386

 

 

 

33,841

 

Share-based compensation

 

 

1,586,316

 

 

 

690,333

 

Gain on partial forgiveness of liability

 

 

(2,790,809

)

 

 

 

Interest accrued on convertible affiliated note

 

 

 

 

 

1,548,744

 

Change in fair value of convertible affiliated note

 

 

 

 

 

475,437

 

Changes in operating assets and liabilities:

 

 

 

 

 

 

 

 

Prepaid expenses

 

 

(102,694

)

 

 

320,678

 

Accounts payable

 

 

1,610,291

 

 

 

(890,774

)

Accrued liabilities

 

 

1,558,953

 

 

 

582,443

 

Other operating assets and liabilities

 

 

3,150,815

 

 

 

(208,233

)

Net cash used in operating activities

 

 

(8,821,585

)

 

 

(7,628,887

)

Cash flows from investing activities:

 

 

 

 

 

 

 

 

Purchases of plant and equipment

 

 

(62,413

)

 

 

(137,440

)

Net cash used in investing activities

 

 

(62,413

)

 

 

(137,440

)

Cash flows from financing activities:

 

 

 

 

 

 

 

 

Proceeds from option exercises

 

 

990

 

 

 

 

Purchase of treasury shares to satisfy tax withholdings

 

 

(157,194

)

 

 

 

Proceeds from issuance of convertible affiliated note

 

 

 

 

 

6,676,772

 

Net cash provided by (used in) financing activities

 

 

(156,204

)

 

 

6,676,772

 

Effect of exchange rate changes on cash

 

 

(1,711

)

 

 

56,746

 

Net decrease in cash and cash equivalents

 

 

(9,041,913

)

 

 

(1,032,809

)

Cash and cash equivalents, beginning of period

 

 

38,888,828

 

 

 

2,691,156

 

Cash and cash equivalents, end of period

 

$

29,846,915

 

 

$

1,658,347

 

Supplemental cash flow information:

 

 

 

 

 

 

 

 

Cash paid for interest

 

$

1,550

 

 

$

 

Supplemental disclosures - non-cash activities:

 

 

 

 

 

 

 

 

Purchases of plant and equipment in accounts payable and accrued liabilities

 

$

200,553

 

 

$

 

Issuance of common stock, $0.00001 par value, for payment of employee bonuses

 

 

293,524

 

 

 

 

 

See accompanying notes to unaudited condensed consolidated financial statements.

5


MINK THERAPEUTICS, INC. AND SUBSIDIARIES

NOTES TO UNAUDITED INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

(1) Business and Liquidity

MiNK Therapeutics, Inc. (“MiNK” or the “Company”) is a clinical stage biopharmaceutical company pioneering the discovery, development and manufacturing of allogeneic, off-the-shelf, invariant natural killer T (“iNKT”) cell therapies to treat cancer and other immune-mediated diseases. iNKT cells are a distinct T cell population that combine durable memory responses with the rapid cytolytic features of natural killer cells. iNKT cells offer distinct therapeutic advantages as a platform for allogeneic therapy in that the cells naturally home to tissues, aid clearance of tumors and infected cells and suppress graft-versus-host-disease. MiNK’s proprietary platform is designed to facilitate scalable and reproducible manufacturing for off-the-shelf delivery. As such, the Company believes that its approach represents a highly versatile application for therapeutic development in cancer and immune diseases. MiNK is leveraging its platform and manufacturing capabilities to develop a wholly owned or exclusively licensed pipeline of both native and engineered iNKT cells.

Since inception, in 2017, until the completion of the Company’s initial public offering (“IPO”), the Company financed its operations primarily through funding from Agenus Inc. (“Agenus”), its parent company. The Company has incurred losses since inception and, as of June 30, 2022, had an accumulated deficit of $96.8 million. MiNK expects to continue incurring operating losses and negative cash flows for the foreseeable future. Based on the Company’s current plans and projections, MiNK believes its cash and cash equivalents balance as of June 30, 2022 of $29.8 million will be sufficient to satisfy its liquidity requirements for more than one year from when these financial statements were issued.

Management continually monitors the Company’s liquidity position and adjusts spending as needed in order to preserve liquidity. The Company’s future liquidity needs will be determined primarily by the success of its operations with respect to the progression of the Company’s product candidates and key development and regulatory events in the future. Potential sources of additional funding for the Company include: (1) pursuing collaboration, out-licensing and/or partnering opportunities for the Company’s portfolio programs and product candidates with one or more third parties, (2) securing debt financing and/or (3) selling equity securities.

MiNK’s product candidates are in various stages of development and significant additional expenditures will be required if the Company starts new trials, encounters delays in its programs, applies for regulatory approvals, continues development of its technologies, expands its operations, and/or brings its product candidates to market. The eventual total cost of each clinical trial is dependent on a number of factors such as trial design, length of the trial, number of clinical sites, and number of patients. The process of obtaining and maintaining regulatory approvals for new therapeutic products is lengthy, expensive, and uncertain. Because all of the Company’s programs are at an early stage of clinical development, the Company is unable to reliably estimate the cost of completing its research and development programs or the timing for bringing such programs to various markets or substantial partnering or out-licensing arrangements, and, therefore, when, if ever, material cash inflows are likely to commence.

(2) Significant Accounting Policies

The Company’s significant accounting policies are disclosed in the consolidated financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021, filed with the Securities and Exchange Commission (“SEC”) on March 18, 2022. Since the date of those financial statements, there have been no changes to the Company’s significant accounting policies.

The accompanying unaudited interim condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for interim financial information and with the instructions to Article 8 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete annual consolidated financial statements. In the opinion of the Company’s management, the condensed consolidated financial statements include all normal and recurring adjustments considered necessary for a fair presentation of the Company’s financial position and operating results. All significant intercompany transactions and accounts have been eliminated in consolidation. Operating results for the six months ended June 30, 2022, are not necessarily indicative of the results that may be expected for the year ending December 31, 2022.

The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amount of expenses during the reporting period. Management bases its estimates on historical experience and on various assumptions that it believes to be reasonable under the circumstances. Actual results could differ materially from those estimates.

6


For the Company’s foreign subsidiaries, the local currency is the functional currency. Assets and liabilities of its foreign subsidiaries are translated into U.S. dollars using rates in effect at the balance sheet date while expenses are translated into U.S. dollars using average exchange rates during the period. The cumulative translation adjustment resulting from changes in exchange rates are included in the condensed consolidated balance sheets as a component of accumulated other comprehensive income (loss) in total stockholders’ equity (deficit).

(3) Net Loss Per Share

Basic loss per common share is calculated by dividing the net loss by the weighted average number of common shares outstanding. Diluted loss per common share is calculated by dividing net loss by the weighted average number of common shares outstanding plus the dilutive effect of outstanding instruments such as stock options. Because the Company reported a net loss for all periods presented, diluted loss per common share is the same as basic loss per common share, as the effect of utilizing the fully diluted share count would have reduced the net loss per common share. Therefore, the following potentially dilutive securities have been excluded from the computation of diluted weighted average shares outstanding as of June 30, 2022 and 2021, as they would be anti-dilutive:

 

 

 

Six Months Ended June 30,

 

 

 

2022

 

 

2021

 

Stock options

 

 

6,397,673

 

 

 

4,845,203

 

Non-vested shares

 

 

695,750

 

 

 

 

 

(4) Investments

Cash equivalents consisted of the following as of June 30, 2022 (in thousands):

 

 

June 30, 2022

 

 

 

Cost

 

 

Estimated Fair Value

 

Institutional money market funds

 

$

26,027

 

 

$

26,027

 

 

(5) Accrued and Other Current Liabilities

Accrued liabilities consisted of the following as of June 30, 2022 and December 31, 2021 (in thousands):

 

 

 

June 30,

2022

 

 

December 31,

2021

 

Payroll

 

$

508

 

 

$

575

 

Professional fees

 

 

657

 

 

 

531

 

Contract manufacturing costs

 

 

458

 

 

 

 

Research services

 

 

1,215

 

 

 

656

 

Other

 

 

7

 

 

 

2

 

Total

 

$

2,845

 

 

$

1,764

 

 

Other current liabilities of $2.2 million and $5.3 million as of June 30, 2022 and December 31, 2021, respectively, represent the advance received under the Company’s research and development agreement with the Belgium Walloon Region Government (“Walloon Region”). The Company received notice that the Walloon Region had obtained a default judgment seeking repayment of approximately $2.2 million of the advance based upon the Company allegedly not providing required notification that research and operations in the region were discontinued. The Company reduced the recorded liability from the prior total of all amounts received under the advance from the Walloon Region, and recorded a gain of approximately $2.7 million in “other income (expense), net” on its condensed consolidated statement of operations for the period ended June 30, 2022. The Company continues to evaluate its options to resolve the dispute relating to the remaining outstanding liability.

(6) Share-based Compensation Plans

The Company primarily uses the Black-Scholes option pricing model to value options granted to employees and non-employees, as well as options granted to members of the Company’s Board of Directors. All stock option grants have 10-year terms and generally vest ratably over a 3 or 4-year period.

7


A summary of option activity for the six-month period ended June 30, 2022 is presented below:

 

 

 

Options

 

 

Weighted

Average

Exercise

Price

 

 

Weighted

Average

Remaining

Contractual

Term

(in years)

 

 

Aggregate

Intrinsic

Value

 

Outstanding at December 31, 2021

 

 

4,871,822

 

 

$

1.38

 

 

 

 

 

 

 

 

 

Granted

 

 

2,060,100

 

 

 

3.11

 

 

 

 

 

 

 

 

 

Exercised

 

 

(132,509

)

 

 

0.01

 

 

 

 

 

 

 

 

 

Forfeited

 

 

(171,260

)

 

 

2.71

 

 

 

 

 

 

 

 

 

Expired

 

 

(230,481

)

 

 

0.68

 

 

 

 

 

 

 

 

 

Outstanding at June 30, 2022

 

 

6,397,673

 

 

$

1.95

 

 

 

8.43

 

 

$

3,264,203

 

Vested or expected to vest at June 30, 2022

 

 

6,397,673

 

 

$

1.95

 

 

 

8.43

 

 

$

3,264,203

 

Exercisable at June 30, 2022

 

 

2,603,119

 

 

$

1.09

 

 

 

7.78

 

 

$

2,282,204

 

 

The weighted average grant-date fair values of options granted during the six-month period ended June 30, 2022, was $2.15. During the six-month period ended June 30, 2022, all options were granted with exercise prices equal to the market value of the underlying shares of common stock on the grant date.

As of June 30, 2022, there was $5.8 million of unrecognized share-based compensation expense related to these stock options which, if all milestones are achieved, will be recognized over a weighted average period of 2.9 years.

A summary of non-vested stock activity for the six-month period ended June 30, 2022 is presented below:

 

 

 

Nonvested

Shares

 

 

Weighted

Average

Grant Date

Fair Value

 

Outstanding at December 31, 2021

 

 

723,580

 

 

$

2.91

 

Granted

 

 

125,199