On May 30, 2024 Rakovina Therapeutics Inc. (TSX.V: RKV), (the "Company") a biopharmaceutical company committed to advancing new cancer therapies based on novel DNA-damage response technologies reported the financial results for the first quarter of 2024 ending March 31, and provides an update to corporate activities (Press release, Rakovina Therapeutics, MAY 31, 2024, View Source;utm_medium=rss&utm_campaign=rakovina-therapeutics-announces-2024-q1-financial-results-and-provides-corporate-update [SID1234643876]).
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"This year has started with significant changes for Rakovina Therapeutics in the most positive sense," said Executive Chairman Jeffrey Bacha. "Our strategic shift to include AI in our drug developments, additions to the scientific team and expansion of our research collaborations all position Rakovina Therapeutics to successfully achieve our goal of improving the lives of patients with cancer."
Q1 2024 Financial Highlights
For the three months ended March 31, 2024 the Company reported a net loss of $752,383, inline with Company estimates.
Research and development operating expenses were $438,983 and general and administrative expenses were $251,090.
Total cash operating expenses related to research and development and general and administrative expenses for the three months ended March 31, 2024 were $522,705.
Recent Corporate Highlights
On March 27, 2024, we announced a collaboration agreement with Dr. Artem Cherkasov granting Rakovina Therapeutics exclusive access to the proprietary Deep Docking (trademarked) artificial intelligence ("AI") Platform for DNA-damage response targets. Using the Deep Docking platform Rakovina Therapeutics is analyzing billions of molecular structures to evaluate their potential as targeted cancer drugs. The Company plans to validate the activity of the most promising candidates using its established research and development infrastructure at the University of British Columbia. Rakovina Therapeutics intends to advance validated drug candidates to human clinical trials in collaboration with pharmaceutical partners.
On May 8, 2024, we announced the expansion of contracts with the University of British Columbia ("UBC") and Pharma Inventor Inc. to support the Company’s Deep Docking AI Drug Discovery Platform. The wet lab infrastructure at UBC combined with the medicinal chemistry expertise will allow the Company to quickly synthesize and evaluate lead drug candidates identified by the AI platform.
On May 23, 2024, the Company announced the undertaking of a non-brokered Private Placement (the "Offering") for gross proceeds of up to $1.5 million at a purchase price of $0.10 per Unit which includes lead orders totalling approximately $1.25 million from two new investors. Each Unit will be comprised of one (1) common share of Rakovina Therapeutics common share stock and one (1) share purchase warrant at a purchase price of $0.20 for a period of three years (36 months) after the closing date of the Offering. If the closing price for the Common Shares on the TSX Venture Exchange (the "TSXV") is $0.25 or greater for five consecutive trading days, the expiry date of the Warrant shall be accelerated to the date that is 30 days following the last day of the five-trading day period.
The Company plans to use the proceeds primarily to support research and development activities related to its recently announced Artificial Intelligence (AI) collaboration that provides exclusive access to the proprietary Deep Docking platform for DNA-damage response targets.
Summary Financial Results for the quarter ended March 31, 2024
Selected Financial Information As at
March 31, 2024
$
Cash & cash equivalents 177,188
Working capital (87,183)
Intangible assets 4,381,391
Total Assets 4,608,212
Total liabilities 1,667,051
Deficit (11,667,694)
Total equity 2,941,161
Statements of net loss and
comprehensive loss data: For the three
months ended
March 31, 2024
$
Research & Development 438,983 433,344
General and Administrative 251,090 212,043
Net loss and comprehensive loss (752,383) (641,790)
Basic and diluted income (loss) per share (0.01) (0.01)
Operating cash burn 522,705 472,628
Weighted average shares outstanding 70,084,925 69,829,500
Further to the Company’s press release on April 1, 2024, the Company wishes to clarify that the capital market advisory services agreement entered into with Insight Capital Partners Inc. ("ICP") also includes a separate market making services agreement with ICP Securities Inc. ("ICP Securities"). ICP Securities provides market making services to the Company, and ICP Securities receives a fee of $7,500 plus applicable taxes per month. The market making services agreement between the company and ICP Securities is for a term of three months commencing on March 25, 2024, and may continue on a month-to-month basis. ICP is acting as a collection agent on behalf of ICP Securities.
Rakovina Therapeutics’ financial statements as filed with SEDAR can be accessed from the Company’s website at: View Source