UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT PURSUANT TO
SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934

 

Date of Report (Date of earliest event reported): March 3, 2014

 

AMICUS THERAPEUTICS, INC.

(Exact Name of Registrant as Specified in Its Charter)

 

Delaware

(State or Other Jurisdiction of

Incorporation)

 

001-33497

 

71-0869350

(Commission File Number)

 

(IRS Employer Identification No.)

 

1 Cedar Brook Drive, Cranbury, NJ

 

08512

(Address of Principal Executive Offices)

 

(Zip Code)

 

Registrant’s telephone number, including area code: (609) 662-2000

 

 

(Former Name or Former Address, if Changed Since Last Report.)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

 



 

Item 2.02.  Results of Operations and Financial Condition.

 

On March 3, 2014, Amicus Therapeutics, Inc. (the “Company”) issued a press release announcing its financial results for the fourth quarter and full year ended December 31, 2013. A copy of this press release is attached hereto as Exhibit 99.1.

 

In accordance with General Instruction B.2. of Form 8-K, the information in this Current Report on Form 8-K and the Exhibit shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liability of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as expressly set forth by specific reference in such a filing.

 

Item 9.01. Financial Statements and Exhibits.

 

(d) Exhibits:  The Exhibit Index annexed hereto is incorporated herein by reference.

 

2



 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

 

Amicus Therapeutics, Inc.

 

 

 

 

Date: March 3, 2014

By:

/s/ William D. Baird III

 

 

William D. Baird III

 

 

Chief Financial Officer

 

3



 

EXHIBIT INDEX

 

Exhibit No.

 

Description

99.1

 

Press Release dated March 3, 2014

 

4


Exhibit 99.1

 

 

Amicus Therapeutics Announces Full-Year 2013

Financial Results and Corporate Updates

 

Executing 3-in-3 Strategy to Advance 3 Next-Generation ERTs into Clinic in Next 3 Years

 

Reiterating FY14 Cash Spend Guidance of $54-$59 Million

 

CRANBURY, NJ, March 3, 2014 — Amicus Therapeutics (Nasdaq: FOLD), a biopharmaceutical company at the forefront of therapies for rare and orphan diseases, today announced financial results for the full-year ended December 31, 2013. The Company also provided program updates and reiterated full-year 2014 operating expense guidance.

 

John F. Crowley, Chairman and Chief Executive Officer of Amicus Therapeutics, Inc., stated, “During 2013 we focused on strengthening our biologics business strategy to develop next-generation ERTs for patients with lysosomal storage diseases. Through our purchase of Callidus Biopharma, we have acquired a proprietary Pompe ERT as well as a peptide tagging technology that is complementary to our CHART platform. We believe that these technologies together provide a unique tool set to enhance enzyme activity, increase enzyme uptake into tissues, and potentially address the tolerability and immunogenicity associated with current ERTs. During 2014 we are strongly positioned and well capitalized to execute our 3-in-3 strategy to advance three next-generation ERTs into the clinical in the next three years, with lead programs in Fabry, Pompe and MPS I.”

 

Financial Highlights for Full Year Quarter Ended December 31, 2013

 

·                  Cash, cash equivalents, and marketable securities totaled $82.0 million at December 31, 2013 compared to $99.1 million at December 31, 2012.

 

·                  Total operating expenses decreased to $64.5 million compared to $71.3 million for the full-year 2012 primarily due to decreases in clinical development costs on the Fabry monotherapy program.

 

·                  Net cash spend was $47.1 million, within the full-year 2013 guidance range of $47-53 million.

 

·                  Net loss was $59.6 million, or $1.16 per share, compared to a net loss of $48.8 million, or $1.07 per share, for the full-year 2012.

 

2014 Financial Guidance

 

Cash, cash equivalents, and marketable securities totaled $82.0 million at December 31, 2013 compared to $99.1 million at December 31, 2012. The Company’s balance sheet was strengthened in the fourth quarter of 2013 with a $15.0 million equity financing and a $25.0 million debt financing under which $15.0 million was drawn and $10.0 million remains available. Amicus continues to expect full-year 2014 net cash spend between $54 million and $59 million. The current cash position is projected to fund operations into the second half of 2015.

 

Program Updates

 

Amicus owns exclusive global rights to its next-generation ERTs, as well as all applications of its Chaperone-Advanced Replacement Therapy (CHART™) and enzyme targeting technology platforms. In each CHART program, a unique pharmacological chaperone is designed to bind to and stabilize a specific therapeutic enzyme in its properly folded and active form. Through its purchase of Callidus Biopharma Amicus has also acquired a differentiated peptide tagging technology that can be used to uniquely engineer bio-better ERTs. These platform technologies provide a complementary tool set to design next-generation therapies for enhanced tissue uptake of active enzyme, greater lysosomal activity, more reduction of substrate, and potentially address the tolerability and immunogenicity associated with currently marketed ERTs.

 

Next-Generation ERT for Pompe Disease

 

Amicus is advancing a recombinant human acid alpha-glucosidase (rhGAA) for Pompe disease into late preclinical development. The Company’s acquisition of Callidus Biopharma, brings a differentiated Pompe ERT, designated AT-B200, with a unique carbohydrate structure. In preclinical studies AT-B200 has shown superior tissue uptake and activity when compared to current standard of care. This ERT may be further optimized through co-formulation with Amicus’ pharmacological chaperone AT2220 to improve enzyme stability and tolerability, and by applying the Company’s peptide tagging technology for better targeting.

 



 

Next-Generation ERT for Fabry Disease

 

In combination with ERT, Amicus’ pharmacological chaperone migalastat HCl is designed to bind and stabilize the infused alpha-Gal A enzyme, independent of a patient’s genetic mutation. Amicus believes this approach has the potential to benefit all patients with Fabry disease.

 

Amicus has completed a Phase 2 clinical study (Study 013) of migalastat HCl co-administered with currently approved ERTs for Fabry disease (Fabrazyme® and Replagal®) as well as preclinical studies of migalastat HCl co-formulated with a proprietary investigational ERT for Fabry disease (JCR Pharmaceutical Co Ltd’s JR-051). JR-051 is a human recombinant alpha-Gal A enzyme that is designed to be biosimilar to Fabrazyme. Positive results from these clinical and preclinical studies demonstrated increased enzyme activity in plasma and greater enzyme uptake into tissues in the presence of the chaperone compared to any of these ERTs alone(1),(2).

 

In the first half of 2014 Amicus plans to conduct a Phase 1 study to assess the pharmacokinetics of an intravenous formulation of migalastat HCl in healthy volunteers to identify the optimal dose for co-formulation with ERT. In the second half of 2014, Amicus expects to initiate a Phase 1/2 study to evaluate migalastat HCl co-formulated with JR-051. Amicus is currently evaluating its long-term strategy for supplying late-stage clinical and commercial ERT, which may include developing or in-licensing a recombinant alpha-Gal A enzyme comparable to JR-051.

 

Next-Generation ERT for MPS I

 

Amicus is leveraging its CHART platform to develop a proprietary human recombinant alpha-L-iduronidase (rhIDUA) enzyme for MPS I. In support of its development of this next-generation ERT, Amicus has received funding of up to $250,000 from a private U.S.-based donor that provides medical research grants to find better treatments and cures for rare genetic disorders, including lysosomal storage diseases.

 

Migalastat HCl Monotherapy for Fabry Disease

 

Migalastat HCl monotherapy is being investigated in two ongoing Phase 3 studies for Fabry patients with amenable mutations. Interim 6-month data from the first ongoing Phase 3 study (Study 011) have been reported, and 12- and 24-month data from this study are anticipated in the second quarter of 2014. Top-line, 18-month clinical data from the second ongoing Phase 3 study (Study 012) are expected in the second half of 2014.

 

Novel Small Molecules for Parkinson’s Disease

 

In September 2013 Amicus and Biogen Idec entered a multi-year collaboration to discover of a new class of small molecules that target the glucocerobrosidase (GCase) enzyme for further development and commercialization by Biogen Idec. Biogen Idec is responsible for funding all discovery, development, and commercialization activities. Amicus will be reimbursed for all full-time employees working on the project. In addition Amicus is eligible to receive development and regulatory milestones, as well as modest royalties on global net sales.

 

Conference Call and Webcast

 

Amicus Therapeutics will host a conference call and audio webcast today, March 3, 2014 at 5:00 p.m. ET to discuss full-year 2013 financial results and program updates. Interested participants and investors may access the conference call at 5:00 p.m. ET by dialing 877-303-5859 (U.S./Canada) or 678-224-7784 (international).

 

An audio webcast can also be accessed via the Investors section of the Amicus Therapeutics corporate web site at http://www.amicusrx.com, and will be archived for 30 days. Web participants are encouraged to go to the web site 15 minutes prior to the start of the call to register, download and install any necessary software. A telephonic replay of the call will be available for seven days beginning at 8:00 p.m. ET today. Access numbers for this replay are 855-859-2056 (U.S./Canada) and 404-537-3406 (international); participant code 5821419.

 

About Amicus Therapeutics

 

Amicus Therapeutics (Nasdaq:FOLD) is a biopharmaceutical company at the forefront of therapies for rare and orphan diseases. The Company is developing novel, first-in-class treatments for a broad range of human genetic diseases, with a focus on delivering new benefits to individuals with lysosomal storage diseases. Amicus’ lead programs include the small molecule pharmacological chaperones migalastat HCl as a monotherapy and in combination with enzyme replacement therapy (ERT) for Fabry disease; and AT2220 (duvoglustat HCl) in combination with ERT for Pompe disease.

 



 

About Chaperone-Advanced Replacement Therapy (CHART)

 

The Chaperone-Advanced Replacement Therapy (CHART™) platform combines unique pharmacological chaperones with enzyme replacement therapies (ERTs) for lysosomal storage diseases (LSDs). In a chaperone-advanced replacement therapy, a unique pharmacological chaperone is designed to bind to and stabilize a specific therapeutic enzyme in its properly folded and active form. This proposed CHART mechanism may allow for enhanced tissue uptake of active enzyme, greater lysosomal activity, more reduction of substrate, and lower immunogenicity compared to ERT alone. Improvements in enzyme stability may also enable more convenient delivery of next-generation therapies. Amicus is leveraging the CHART platform to develop proprietary next-generation therapies that consist of lysosomal enzymes co-formulated with pharmacological chaperones.

 


(1)Bichet, et al., American Society of Human Genetics, November 2012

 

(2)Benjamin, et al., Molecular Therapy, April 2012

 

Forward-Looking Statements

 

This press release contains, and the accompanying conference call will contain, “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 relating to preclinical and clinical development of Amicus’ candidate drug products, the timing and reporting of results from preclinical studies and clinical trials evaluating Amicus’ candidate drug products, and the projected cash position for the Company. Words such as, but not limited to, “look forward to,” “believe,” “expect,” “anticipate,” “estimate,” “intend,” “potential,” “plan,” “targets,” “likely,” “may,” “will,” “would,” “should” and “could,” and similar expressions or words identify forward-looking statements. Such forward-looking statements are based upon current expectations that involve risks, changes in circumstances, assumptions and uncertainties. The inclusion of forward-looking statements should not be regarded as a representation by Amicus that any of its plans will be achieved. Any or all of the forward-looking statements in this press release may turn out to be wrong. They can be affected by inaccurate assumptions Amicus might make or by known or unknown risks and uncertainties. For example, with respect to statements regarding the goals, progress, timing and outcomes of discussions with regulatory authorities and the potential goals, progress, timing and results of preclinical studies and clinical trials, actual results may differ materially from those set forth in this release due to the risks and uncertainties inherent in the business of Amicus, including, without limitation: the potential that results of clinical or pre-clinical studies indicate that the product candidates are unsafe or ineffective; the potential that it may be difficult to enroll patients in our clinical trials; the potential that regulatory authorities may not grant or may delay approval for our product candidates; the potential that preclinical and clinical studies could be delayed because we identify serious side effects or other safety issues; the potential that we will need additional funding to complete all of our studies and, our dependence on third parties in the conduct of our clinical studies. Further, the results of earlier preclinical studies and/or clinical trials may not be predictive of future results. With respect to statements regarding projections of the Company’s cash position, actual results may differ based on market factors and the Company’s ability to execute its operational and budget plans. In addition, all forward looking statements are subject to other risks detailed in our Annual Report on Form 10-K for the year ended December 31, 2012. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. All forward-looking statements are qualified in their entirety by this cautionary statement, and Amicus undertakes no obligation to revise or update this news release to reflect events or circumstances after the date hereof. This caution is made under the safe harbor provisions of Section 21E of the Private Securities Litigation Reform Act of 1995.

 

CONTACTS:

 

Investors/Media:

 

Sara Pellegrino

spellegrino@amicusrx.com

(609) 662-5044

Media:

Dan Budwick

dan@purecommunicationsinc.com

(973) 271-6085

 

FOLD—G

 



 

Table 1

 

Amicus Therapeutics, Inc.

(a development stage company)

Consolidated Statements of Operations

(Unaudited)

 (In thousands, except share and per share amounts)

 

 

 

 

 

 

 

 

 

 

 

Period from

 

 

 

 

 

 

 

 

 

 

 

February 4,

 

 

 

 

 

 

 

 

 

 

 

2002

 

 

 

 

 

 

 

 

 

 

 

(inception)

 

 

 

Three Months

 

Twelve Months

 

To

 

 

 

Ended December 31,

 

Ended December 31,

 

Dec. 31,

 

 

 

2012

 

2013

 

2012

 

2013

 

2013

 

Revenue:

 

 

 

 

 

 

 

 

 

 

 

Research revenue

 

$

 

$

324

 

$

11,591

 

$

363

 

$

57,856

 

Collaboration and milestone revenue

 

 

 

6,820

 

 

64,382

 

Total revenue

 

 

$

324

 

18,411

 

363

 

122,238

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating Expenses:

 

 

 

 

 

 

 

 

 

 

 

Research and development

 

11,047

 

9,120

 

50,273

 

41,944

 

357,837

 

General and administrative

 

4,455

 

4,605

 

19,364

 

18,893

 

151,506

 

Restructuring charges

 

 

1,988

 

 

1,988

 

3,510

 

Impairment of leasehold improvements

 

 

 

 

 

1,030

 

Depreciation and amortization

 

421

 

401

 

1,705

 

1,719

 

13,487

 

In-process research and development

 

 

 

 

 

418

 

Total operating expenses

 

15,923

 

16,114

 

71,342

 

64,544

 

527,788

 

Loss from operations

 

(15,923

)

(15,790

)

(52,931

)

(64,181

)

(405,550

)

Other income (expenses):

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

81

 

27

 

316

 

174

 

14,563

 

Interest expense

 

(12

)

(20

)

(89

)

(46

)

(2,468

)

Change in fair value of warrant liability

 

2,594

 

34

 

653

 

908

 

2,461

 

Other income

 

 

 

21

 

 

252

 

Loss before tax benefit

 

(13,260

)

(15,749

)

(52,030

)

(63,145

)

(390,742

)

Benefit from income taxes

 

3,245

 

3,512

 

3,245

 

3,512

 

12,220

 

Net loss

 

(10,015

)

(12,237

)

(48,785

)

(59,633

)

(378,522

)

Deemed dividend

 

 

 

 

 

(19,424

)

Preferred stock accretion

 

 

 

 

 

(802

)

Net loss attributable to common stockholders

 

$

(10,015

)

$

(12,237

)

$

(48,785

)

$

(59,633

)

$

(398,748

)

Net loss attributable to common stockholders per common share — basic and diluted

 

$

(0.20

)

$

(0.22

)

$

(1.07

)

$

(1.16

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted-average common shares outstanding — basic and diluted

 

49,477,596

 

56,173,260

 

45,565,217

 

51,286,059

 

 

 

 



 

Table 2

 

Amicus Therapeutics, Inc.

(a development stage company)

Consolidated Balance Sheets

 (in thousands, except share and per share amounts)

 

 

 

December 31,

 

December 31,

 

 

 

2012

 

2013

 

Assets:

 

 

 

 

 

Current assets:

 

 

 

 

 

Cash and cash equivalents

 

$

33,971

 

$

43,640

 

Investments in marketable securities

 

65,151

 

38,360

 

Receivable due from GSK

 

3,225

 

759

 

Prepaid expenses and other current assets

 

2,270

 

5,519

 

Total current assets

 

104,617

 

88,278

 

 

 

 

 

 

 

Property and equipment, less accumulated depreciation and amortization of $8,501 and $9,973 at December 31, 2012 and 2013, respectively

 

5,029

 

4,120

 

In-process research & development

 

 

23,000

 

Goodwill

 

 

11,613

 

Other non-current assets

 

442

 

552

 

Total Assets

 

$

110,088

 

$

127,563

 

 

 

 

 

 

 

Liabilities and Stockholders’ Equity

 

 

 

 

 

Current liabilities:

 

 

 

 

 

Accounts payable and accrued expenses

 

$

8,845

 

$

10,162

 

Current portion of secured loan

 

398

 

299

 

Total current liabilities

 

19,256

 

9,243

 

 

 

 

 

 

 

Deferred reimbursements, less current portion

 

30,418

 

36,677

 

Warrant liability

 

908

 

 

Secured loan, less current portion

 

299

 

14,174

 

Contingent consideration payable

 

 

10,600

 

Deferred tax liability

 

 

9,186

 

Other non-current liability

 

 

714

 

 

 

 

 

 

 

Commitments and contingencies

 

 

 

 

 

 

 

 

 

 

 

Stockholders’ equity:

 

 

 

 

 

Common stock, $.01 par value, 125,000,000 shares authorized, 49,631,672 shares issued and outstanding at December 31, 2012, 61,975,416 shares issued and outstanding at December 31, 2013

 

556

 

679

 

Additional paid-in capital

 

387,539

 

423,593

 

Accumulated other comprehensive income

 

14

 

1

 

Deficit accumulated during the development stage

 

(318,889

)

(378,522

)

Total stockholders’ equity

 

69,220

 

45,751

 

Total Liabilities and Stockholders’ Equity

 

$

110,088

 

$

127,563

 

 

Source: FOLD -G