Syndax Pharmaceuticals, Inc.
08.09.16

Syndax Pharmaceuticals Reports Second Quarter 2016 Financial Results and Provides Business Update

Expanded pipeline with potentially best-in-class, IND-ready anti-CSF-1R antibody

Progressing to Phase 2 of ENCORE 601 in NSCLC and Melanoma

Initiated ENCORE 602 for TNBC in collaboration with Genentech in June 2016

WALTHAM, Mass., Aug. 09, 2016 (GLOBE NEWSWIRE) --  Syndax Pharmaceuticals ("Syndax," the "Company" or "we") (Nasdaq:SNDX), a clinical stage biopharmaceutical company focused on developing entinostat and SNDX-6352 in multiple cancer indications, today reported its financial results for the second quarter ended June 30, 2016 and provided a pipeline update as well as a review of upcoming milestones.  As of June 30, 2016, Syndax had $125.5 million in cash, cash equivalents and short-term investments.

"Syndax is building momentum in the execution of our business strategy. The in-license of SNDX-6352 expands our immuno-oncology portfolio and further leverages our strong balance sheet and experienced leadership team," said Briggs Morrison, M.D., Chief Executive Officer of Syndax. "By year end 2016, we expect to have four clinical trials evaluating combination therapies in six cancer indications, ranging from a late-stage Phase 3 study in breast cancer to Phase 1 clinical studies in immuno-oncology. As we continue to build and advance our pipeline, we are guided by our mission to realize a future in which people with cancer live longer and better than ever, which we believe will create value for all of our stakeholders."

"We continue to advance entinostat's development in multiple indications as we began dosing patients in ENCORE 602 in June 2016 and have completed the safety evaluation of the dose confirmation stage of ENCORE 601," said Dr. Michael L. Meyers, Chief Medical Officer of Syndax. "We look forward to communicating scientific results in the fourth quarter of 2016 and to dosing our first subjects with SNDX-6352 later this year."

Pipeline Updates

Key Recent Achievements
             

Upcoming Milestones

Syndax Expects To Make Presentations at the Following Upcoming Conferences

Second Quarter 2016 Financial Results

As of June 30, 2016, Syndax had cash, cash equivalents and short-term investments of $125.5 million, and 17,782,150 shares issued and outstanding.

Second quarter 2016 research and development expenses increased $3.8 million, or 170%, to $6.1 million from $2.3 million for the comparable period in the prior year primarily due to increased patient accrual costs in E2112, higher expenses associated with the expansion of ENCORE 601, and the commencement of ENCORE 602.

General and administrative expenses totaled $2.8 million during the second quarter of 2016, and were below the $3.3 million expense level for the comparable prior year period primarily due to 2015 restructuring costs, which were partially offset by increased costs in 2016 related to operating as a public company.

For the three months ended June 30, 2016, Syndax reported a net loss attributable to common stockholders of $8.4 million, or $0.47 per share, compared to a net loss attributable to common stockholders of $26.3 million, or $440.52 per share, for the comparable period in the prior year. The net loss for the three months ended June 30, 2016, included non-cash stock-based compensation expense of $0.8 million related to the issuance of stock option awards to employees and non-employees.

Conference Call and Webcast

In connection with the earnings release, Syndax will host a conference call and live audio webcast at 8:00 a.m. ET on Tuesday, August 9, 2016 to discuss the financial results and give an update on the Company's progress.

Conference Call Information:
Date: Tuesday, August 9, 2016
Time: 8:00 a.m. ET

Conference ID: 52330666
Domestic Dial-in Number: 1-855-251-6663
International Dial-in Number: 1-281-542-4259
Live webcast: http://edge.media-server.com/m/p/n5qtg36c 

For those unable to participate in the conference call or live webcast, a live audio webcast of the call will also be available on the Investor section of the Company's website, www.syndax.com, where a webcast replay will also be available for two weeks following the live event.

About Syndax Pharmaceuticals, Inc.

Syndax is a clinical stage biopharmaceutical company focused on developing an innovative pipeline of combination therapies in multiple cancer indications. Our lead product candidate, entinostat, which was granted Breakthrough Therapy designation by the FDA following positive results from our Phase 2b clinical trial, ENCORE 301, is currently being evaluated in a Phase 3 clinical trial for advanced hormone receptor positive breast cancer. Syndax is developing entinostat, which has direct effects on both cancer cells and immune regulatory cells, and SNDX-6352, an anti-CSF-1R monoclonal antibody, to potentially enhance the body's immune response on tumors that have shown sensitivity to immunotherapy. Entinostat is being evaluated as a combination therapeutic in Phase 1b/2 clinical trials with Merck & Co., Inc. for non-small cell lung cancer and melanoma, with Genentech, Inc. for TNBC, and with Pfizer Inc. and Merck KGaA, Darmstadt, Germany, for ovarian cancer. SNDX-6352 is expected to begin clinical trials during the fourth quarter of 2016 and to be developed to treat a variety of cancers. For more information on Syndax, please visit www.syndax.com.

Syndax's Cautionary Note on Forward-Looking Statements.

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "may," "will," "expect," "plan," "anticipate," "estimate," "intend," "believe" and similar expressions (as well as other words or expressions referencing future events, conditions or circumstances) are intended to identify forward-looking statements. These forward-looking statements are based on Syndax's expectations and assumptions as of the date of this press release. Each of these forward-looking statements involves risks and uncertainties. Actual results may differ materially from these forward-looking statements. Forward-looking statements contained in this press release include, but are not limited to, statements about the progress, timing, clinical development and scope of clinical trials and the reporting of clinical data for Syndax's product candidates, the ability of the SAB to contribute to the success of Syndax and its programs and the potential use of SNDX-6352 to treat various cancer indications. Many factors may cause differences between current expectations and actual results including unexpected safety or efficacy data observed during preclinical or clinical studies, clinical trial site activation or enrollment rates that are lower than expected, changes in expected or existing competition, changes in the regulatory environment, failure of Syndax's collaborators to support or advance collaborations or product candidates and unexpected litigation or other disputes. Other factors that may cause Syndax's actual results to differ from those expressed or implied in the forward-looking statements in this press release are discussed in Syndax's filings with the U.S. Securities and Exchange Commission, including the "Risk Factors" sections contained therein. Except as required by law, Syndax assumes no obligation to update any forward-looking statements contained herein to reflect any change in expectations, even as new information becomes available.

SYNDAX PHARMACEUTICALS, INC.     
(unaudited)  
CONDENSED CONSOLIDATED BALANCE SHEETS DATA  
        
(In thousands)June 30, 2016 December 31, 2015  
Cash, cash equivalents, and short-term investments$  125,457  $  86,489   
Total assets$  127,856  $  89,903   
Total liabilities$  21,615  $  23,205   
Total stockholders' equity (deficit)$  106,241  $  (252,415)  
        
Common stock outstanding    17,782,150     100,124   
Common stock and common stock equivalents*   20,855,418     15,856,356   
        
*Common stock and common stock equivalents:     
   June 30, 2016 December 31, 2015  
 Common stock   17,782,150     100,124   
 Convertible preferred stock   -     12,872,551   
 Options to purchase common stock   2,715,428     2,606,195   
 Common stock warrants   357,840     277,486   
      20,855,418     15,856,356   
        
        
SYNDAX PHARMACEUTICALS, INC. 
(unaudited) 
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS DATA 
        
   Three Months Ended June 30, Six Months Ended June 30, 
(In thousands, except share and per share data) 2016   2015   2016   2015  
License fee revenue$  305  $  17  $  610  $  17  
Operating expenses:        
 Research and development   6,131     2,271     10,917     3,994  
 General and administrative   2,808     3,288     7,080     5,999  
Total operating expenses   8,939     5,559     17,997     9,993  
Loss from operations   (8,634)    (5,542)    (17,387)    (9,976) 
Other income (expense), net   276     (672)    (1,301)    (1,149) 
Net loss $  (8,358) $  (6,214) $  (18,688) $  (11,125) 
           
Net loss attributable to common stockholders$  (8,358) $  (26,338) $  (21,286) $  (38,410) 
           
Net loss per share attributable to common        
 stockholders--basic and diluted$  (0.47) $  (440.52) $  (1.91) $  (649.30) 
           
Weighted-average number of common stock        
 used to compute net loss per share attributable         
 to common stockholders--basic and diluted   17,769,514     59,788     11,155,525     59,156  
           

 

Investor and Media Contacts
Barbara Ryan
bryan@syndax.com
(646) 690-7639