Cabaletta Bio, Inc. Files 10-Q for Period Ending March 31, 2024

TL;DR

<b>Cabaletta Bio, Inc. filed its Q1 2024 10-Q, detailing financial instruments, stock plans, and service agreements.</b>

AI Summary

Cabaletta Bio, Inc. (CABA) filed a Quarterly Report (10-Q) with the SEC on May 15, 2024. Cabaletta Bio, Inc. filed a 10-Q report for the period ending March 31, 2024. The filing includes financial data related to fair value measurements, including Level 1, Level 2, and Level 3 inputs for various securities and funds. Key dates mentioned include December 1, 2022, and March 31, 2024, related to financing activities and warrant issuances. The company references its 2019 Stock Option and Incentive Plan and the 2018 Stock Option and Grant Plan in relation to employee stock options. Agreements such as the Master Translational Research Services Agreement and Development and Manufacturing Services Agreement are noted.

Why It Matters

For investors and stakeholders tracking Cabaletta Bio, Inc., this filing contains several important signals. This 10-Q provides investors with an updated view of Cabaletta Bio's financial position and operational agreements as of Q1 2024. Understanding the fair value measurements and stock option plan details is crucial for assessing the company's financial health and equity structure.

Risk Assessment

Risk Level: medium — Cabaletta Bio, Inc. shows moderate risk based on this filing. The company's financial disclosures are limited in this extract, making a full assessment of financial risks challenging. However, the mention of various financing and stock option plans suggests potential complexities in its capital structure.

Analyst Insight

Investors should review the full 10-Q filing to understand the specific details of the fair value measurements, financing arrangements, and stock option plans to assess potential financial risks and opportunities.

Key Numbers

• 2024-03-31 — Reporting Period End Date (Conformed Period of Report)
• 2024-05-15 — Filing Date (Filed As Of Date)
• 2022-12-01 — Financing Start Date (December2022FinancingMember)
• 2022-12-31 — Financing End Date (December2022FinancingMember)
• 2019-10-21 — Stock Plan Start Date (TwoThousandNineteenStockOptionAndIncentivePlanMember)
• 2019-10-23 — Stock Plan End Date (TwoThousandNineteenStockOptionAndIncentivePlanMember)
• 2021-12-31 — Agreement Date (OxfordBiomedicaMember)
• 2024-01-01 — Quarter Start Date (2024-01-01 2024-03-31)

Key Players & Entities

• Cabaletta Bio, Inc. (company) — Filer
• 2024-03-31 (date) — Conformed Period of Report
• 2024-05-15 (date) — Filed As Of Date
• 0000950170-24-060045 (filing) — Accession Number
• 2836 (industry_code) — Standard Industrial Classification
• DE (state) — State of Incorporation
• 2929 ARCH STREET SUITE 600 PHILADELPHIA PA 19104 (address) — Business Address
• 267-759-3100 (phone) — Business Phone

FAQ

Key Dates

• 2024-03-31: Quarter End Date — End of the reporting period for the 10-Q filing.

Key Financial Figures

• $0.00001 — ch registered Common Stock, par value $0.00001 per share CABA The Nasdaq Global Se

Filing Documents

• caba-20240331.htm (10-Q) — 1919KB
• caba-ex10_1.htm (EX-10.1) — 74KB
• caba-ex31_1.htm (EX-31.1) — 16KB
• caba-ex31_2.htm (EX-31.2) — 16KB
• caba-ex32_1.htm (EX-32.1) — 9KB
• caba-ex32_2.htm (EX-32.2) — 10KB
• 0000950170-24-060045.txt (&nbsp;) — 6856KB
• caba-20240331.xsd (EX-101.SCH) — 889KB
• caba-20240331_htm.xml (XML) — 1057KB

Financial Statements (Unaudited)

Financial Statements (Unaudited) 4 Condensed Balance Sheets 4 Condensed Statements of Operations and Comprehensive Loss 5 Condensed Statements of Stockholders' Equity 6 Condensed Statements of Cash Flows 8 Notes to Unaudited Condensed Financial Statements 9 Item 2.

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

Management's Discussion and Analysis of Financial Condition and Results of Operations 22 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 33 Item 4.

Controls and Procedures

Controls and Procedures 33 PART II. OTHER INFORMATION 34 Item 1.

Legal Proceedings

Legal Proceedings 34 Item 1A.

Risk Factors

Risk Factors 34 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 92 Item 3. Defaults Upon Senior Securities 92 Item 4. Mine Safety Disclosures 92 Item 5. Other Information 92 Item 6. Exhibits 93

Signatures

Signatures 94 i Summary of the Material and Other Risks Associated with Our Business We are a clinical-stage company with a limited operating history, have incurred significant losses since our inception, and anticipate that we will continue to incur significant losses for the foreseeable future. We are highly dependent on our relationships with University of Pennsylvania, or Penn, and/or WuXi Advanced Therapies, Inc., or WuXi, for our current manufacturing needs for our Phase 1/2 RESET TM , or Restoring Self-Tolerance, clinical trials for CABA-201, our Phase 1 clinical trial of DSG3-CAART, or the DesCAARTes TM trial, and our Phase 1 clinical trial of MuSK-CAART, or the MusCAARTes TM trial, and if Penn's or WuXi's manufacturing capacity is reduced or otherwise delayed or limited, including due to legislative action, or if we, Penn, WuXi or any third-party manufacturers encounter difficulties in manufacturing our product candidates, this could adversely impact the supply of product candidates for and enrollment in our trials. We are reliant on intellectual property licensed to us by Penn and Nanjing IASO Biotherapeutics Co., Ltd., or IASO, and termination of one of these license agreements would result in the loss of significant rights, which would have a material adverse effect on our business. If we are unable to obtain and maintain sufficient intellectual property protection for our current product candidates and technologies or any future product candidates, we may not be able to compete effectively in our markets. We will need to raise substantial additional funding before we can expect to complete development of any of our product candidates or generate any revenues from product sales. Our limited operating history may make it difficult for you to evaluate the success of our business to date and to assess our future viability. If we are unable to successfully develop our current programs into a portfolio of product candidates, or experience

—FINANCI AL INFORMATION

PART I—FINANCI AL INFORMATION

Financi al Statements

Item 1. Financi al Statements. CABALETTA BIO, INC. Condensed Balance Sheets (in thousands, except share and per share amounts) March 31, 2024 December 31, 2023 Assets (unaudited) Current assets: Cash and cash equivalents $ 175,293 $ 193,238 Short-term investments 48,552 48,011 Prepaid expenses and other current assets 3,635 3,241 Total current assets 227,480 244,490 Property and equipment, net 2,918 2,541 Operating lease right-of-use assets 7,691 4,910 Other assets 2,368 1,709 Total Assets $ 240,457 $ 253,650 Liabilities and stockholders' equity Current liabilities: Accounts payable $ 5,843 $ 4,547 Accrued and other current liabilities 4,725 7,887 Operating lease liabilities, current portion 7,404 3,560 Total current liabilities 17,972 15,994 Operating lease liabilities, net of current portion 765 1,458 Total Liabilities 18,737 17,452 Commitments and contingencies (see Notes 5 and 6) Stockholders' equity: Preferred stock, $ 0.00001 par value: 10,000,000 shares authorized as of March 31, 2024 and December 31, 2023; no shares issued or outstanding at March 31, 2024 and December 31, 2023 — — Voting and non-voting common stock, $ 0.00001 par value: 150,000,000 ( 143,590,481 voting and 6,409,519 non-voting) shares authorized as of March 31, 2024 and December 31, 2023; 48,249,115 ( 46,804,820 voting and 1,444,295 non-voting) shares issued and outstanding as of March 31, 2024 and 47,823,232 ( 46,378,937 ) voting and 1,444,295 non-voting) shares issued and outstanding as of December 31, 2023 — — Additional paid-in capital 480,042 469,396 Accumulated other comprehensive loss ( 38 ) 39 Accumulated deficit ( 258,284 ) ( 233,237 ) Total stockholders' equity 221,720 236,198 Total liabilities and stockholders' equity $ 240,457 $ 253,650 The accompanying notes are an integral part of these financial sta

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View this 10-Q filing on SEC EDGAR