Investor Relations (IR) Questions: Tesaro Inc TSRO
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Answers received: April 2013
$TSRO research - The company has had an impressive run from its 52 week low of $11.05 on August 29, 2012 to it's recent high of $25.13 on March 7, 2013. Interest was also shown by the #IRQ Friends in TSRO. To date, IR at TSRO has not responded to my requests for information. If at some point, IR does respond to one of the "information requests" that I submitted, I will post their answers. However, I went ahead and conducted my own research. This is what I found...
1) When is the last time TSRO raised cash through an offering (diluted)?
On February 28, 2013, 4.7 million shares (in aggregate) were offered at $18.00 per share. The offering was valued at $75 million and closed on March 5, 2013.
TSRO's IPO was on June 28, 2012 and closed on July 3, 2012. The company sold 6,000,000 shares of common stock at a price of $13.50 per share. Additionally, 430,183 shares were purchased on July 23, 2012 by the underwriters of the IPO. The company netted approximately $78 million in revenue after all expenses were paid relating to the IPO.
Prior to the company's IPO, the company raised $120.4 million in net proceeds from the private placement of preferred stock.
2) How much cash (not cash equivalents) does TSRO have?
As of December 31, 2012 cash and cash equivalents totaled $125.4 million. Subsequent to December 31, 2012 the company raised cash through an offering valued at $75 million.
3) What and approximately when is the next known catalyst?
a) The company expects to report top line Phase 3 clinical trial data for Rolapitant in the second half of 2013. Rolapitant is potentially a best-in-class supportive care product for CINV / PONV. TSRO in-licensed Rolapitant from OPKO Health, Inc. in December 2010.
b) Niraparib is an orally active and potent poly (ADP-ribose) polymerase inhibitor. It is currently in Phase 1 trials for monotherapy on solid tumors and combination therapy for solid tumors. In February 2013 the company met with the FDA regarding clinical development plans for Niraparib. Based on the outcome of the meeting, TSRO intends on commencing a Phase 3 clinical study to evaluate Niraparib for the treatment of patients with platinum sensitive ovarian cancer in 2013. TSRO in-licensed Niraparib from Merck Sharp & Dohme Corp in May 2012.
c) TSR-011 is a small molecule inhibitor of ALK. In November 2012 the first patient was dosed in a Phase 1/2 escalation clinical trial of TSR-011 in cancer patients. The study is ongoing but I could not find any expected milestones connected to a timetable made available by the company. TSRO in-licensed TSR-011 from Amgen for the treatment of NSCLC in March 2011.
d) The company has adopted a strategy to either in-license or acquire additional product candidates to create a balanced product portfolio. While no specific product candidate was mentioned, I listed this as a catalyst because the three existing candidates in TSRO's pipeline came about in this manner, confirming it as a legitimate possibility.
4) What is TSRO's quarterly cash burn?
According to TSRO's Statement of Operations Data, total expenses for the year ending December 31, 2012 totaled $61,915,000 compared to $16,398,000 for the year ending December 31, 2011.
The company stated in it's 10-K dated February 20, 2013, "We believe that our existing cash and cash equivalents and interest thereon will be sufficient to fund our projected operating requirements through at least January 1, 2014." However, the company raised cash through an offering valued at $75 million subsequent to this statement.
5) Does TSRO have an existing line of credit and if so how much can they draw against it?
My research did not find any reference to TSRO having an existing credit facility. I don't believe they have one. However, because my attempts to solicit a response from TSRO have gone unanswered, I was unable to confirm this.
Sources:
1)TSRO's 10-K filed 2/20/13 for the Period Ending 12/31/12
2)TesaroBio.com
3)Scottrade.com
$TSRO research - The company has had an impressive run from its 52 week low of $11.05 on August 29, 2012 to it's recent high of $25.13 on March 7, 2013. Interest was also shown by the #IRQ Friends in TSRO. To date, IR at TSRO has not responded to my requests for information. If at some point, IR does respond to one of the "information requests" that I submitted, I will post their answers. However, I went ahead and conducted my own research. This is what I found...
1) When is the last time TSRO raised cash through an offering (diluted)?
On February 28, 2013, 4.7 million shares (in aggregate) were offered at $18.00 per share. The offering was valued at $75 million and closed on March 5, 2013.
TSRO's IPO was on June 28, 2012 and closed on July 3, 2012. The company sold 6,000,000 shares of common stock at a price of $13.50 per share. Additionally, 430,183 shares were purchased on July 23, 2012 by the underwriters of the IPO. The company netted approximately $78 million in revenue after all expenses were paid relating to the IPO.
Prior to the company's IPO, the company raised $120.4 million in net proceeds from the private placement of preferred stock.
2) How much cash (not cash equivalents) does TSRO have?
As of December 31, 2012 cash and cash equivalents totaled $125.4 million. Subsequent to December 31, 2012 the company raised cash through an offering valued at $75 million.
3) What and approximately when is the next known catalyst?
a) The company expects to report top line Phase 3 clinical trial data for Rolapitant in the second half of 2013. Rolapitant is potentially a best-in-class supportive care product for CINV / PONV. TSRO in-licensed Rolapitant from OPKO Health, Inc. in December 2010.
b) Niraparib is an orally active and potent poly (ADP-ribose) polymerase inhibitor. It is currently in Phase 1 trials for monotherapy on solid tumors and combination therapy for solid tumors. In February 2013 the company met with the FDA regarding clinical development plans for Niraparib. Based on the outcome of the meeting, TSRO intends on commencing a Phase 3 clinical study to evaluate Niraparib for the treatment of patients with platinum sensitive ovarian cancer in 2013. TSRO in-licensed Niraparib from Merck Sharp & Dohme Corp in May 2012.
c) TSR-011 is a small molecule inhibitor of ALK. In November 2012 the first patient was dosed in a Phase 1/2 escalation clinical trial of TSR-011 in cancer patients. The study is ongoing but I could not find any expected milestones connected to a timetable made available by the company. TSRO in-licensed TSR-011 from Amgen for the treatment of NSCLC in March 2011.
d) The company has adopted a strategy to either in-license or acquire additional product candidates to create a balanced product portfolio. While no specific product candidate was mentioned, I listed this as a catalyst because the three existing candidates in TSRO's pipeline came about in this manner, confirming it as a legitimate possibility.
4) What is TSRO's quarterly cash burn?
According to TSRO's Statement of Operations Data, total expenses for the year ending December 31, 2012 totaled $61,915,000 compared to $16,398,000 for the year ending December 31, 2011.
The company stated in it's 10-K dated February 20, 2013, "We believe that our existing cash and cash equivalents and interest thereon will be sufficient to fund our projected operating requirements through at least January 1, 2014." However, the company raised cash through an offering valued at $75 million subsequent to this statement.
5) Does TSRO have an existing line of credit and if so how much can they draw against it?
My research did not find any reference to TSRO having an existing credit facility. I don't believe they have one. However, because my attempts to solicit a response from TSRO have gone unanswered, I was unable to confirm this.
Sources:
1)TSRO's 10-K filed 2/20/13 for the Period Ending 12/31/12
2)TesaroBio.com
3)Scottrade.com
