Zenas BioPharma Q3 2024: Assets $81.2M, Liabilities $1.8M

TL;DR

Zenas BioPharma Q3: $81.2M assets, $1.8M liabilities. Focus on financing deals.

AI Summary

Zenas BioPharma, Inc. filed its 10-Q for the period ending September 30, 2024. The company reported total assets of $81.24 million and total liabilities of $1.76 million. Revenue for the period was not explicitly stated, but the filing details various financing activities and agreements, including those with Xencor, Inc. and BMS Convertible Promissory Notes.

Why It Matters

This filing provides a snapshot of Zenas BioPharma's financial health and operational activities, crucial for investors assessing the company's current standing and future prospects.

Risk Assessment

Risk Level: medium — The company's financial performance and future prospects are heavily dependent on the success of its drug development pipeline and financing activities, which carry inherent risks.

Key Numbers

• $81.2B — Total Assets (As of September 30, 2024)
• $1.8B — Total Liabilities (As of September 30, 2024)

Key Players & Entities

• Zenas BioPharma, Inc. (company) — Filer of the 10-Q
• 20240930 (date) — End of reporting period
• $81,242,587 (dollar_amount) — Total assets
• $1,758,938 (dollar_amount) — Total liabilities
• Xencor, Inc. (company) — Party to agreements
• BMS Convertible Promissory Notes (dollar_amount) — Financing instrument

FAQ

Key Financial Figures

• $0.0001 — ch registered Common stock, par value $0.0001 per share ZBIO Nasdaq Global Select

Filing Documents

• zbio-20240930x10q.htm (10-Q) — 4610KB
• zbio-20240930xex31d1.htm (EX-31.1) — 15KB
• zbio-20240930xex31d2.htm (EX-31.2) — 15KB
• zbio-20240930xex32d1.htm (EX-32.1) — 8KB
• zbio-20240930xex32d2.htm (EX-32.2) — 8KB
• zbio-20240930x10q004.jpg (GRAPHIC) — 7KB
• 0001558370-24-015162.txt ( ) — 10677KB
• zbio-20240930.xsd (EX-101.SCH) — 54KB
• zbio-20240930_cal.xml (EX-101.CAL) — 48KB
• zbio-20240930_def.xml (EX-101.DEF) — 217KB
• zbio-20240930_lab.xml (EX-101.LAB) — 487KB
• zbio-20240930_pre.xml (EX-101.PRE) — 380KB
• zbio-20240930x10q_htm.xml (XML) — 1163KB

Financial Statements (Unaudited)

Financial Statements (Unaudited) 7 Condensed Consolidated Balance Sheets as of September 30, 2024 and December 31, 2023 7 Condensed Consolidated Statements of Operations and Comprehensive (Loss) Income for the three and nine months ended September 30, 2024 and 2023 8 Condensed Consolidated Statements of Changes in Convertible Preferred Stock and Stockholders' Equity (Deficit) for the three and nine months ended September 30, 2024 and 2023 9 Condensed Consolidated Statements of Cash Flows for the nine months ended September 30, 2024 and 2023 11 Notes to Condensed Consolidated Financial Statements 12 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 28 Item 3.

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 42 Item 4.

Controls and Procedures

Controls and Procedures 44 Part II Other Information Item 1.

Legal Proceedings

Legal Proceedings 44 Item 1A.

Risk Factors

Risk Factors 44 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 103 Item 3. Defaults Upon Senior Securities 104 Item 4. Mine Safety Disclosures 104 Item 5. Other Information 104 Item 6. Exhibits 104 Exhibit Index 105

Signatures

Signatures 106 2 Table of Contents SPECIAL NOTE REGARDING FORWARD-LOOKING STATEMENTS This Quarterly Report on Form 10-Q ("Quarterly Report") contains forward-looking statements. All statements other than statements of historical facts contained in this Quarterly Report are forward-looking statements. In some cases, you can identify forward-looking statements by terms such as "may," "will," "should," "expect," "plan," "anticipate," "could," "intend," "target," "project," "contemplate," "believe," "estimate," "predict," "potential" or "continue" or the negative of these terms or other similar expressions, although not all forward-looking statements contain these words. Forward-looking statements include, but are not limited to, statements concerning: the commercial opportunities stemming from the development of obexelimab for multiple I&I diseases; our ability to develop and, if approved, ultimately commercialize obexelimab and, with partners, our other programs; our ability to obtain or maintain orphan drug designation for certain of our product candidates; the initiation, timing, progress, results, and cost of our development programs, and our current and future preclinical and clinical studies, including statements regarding the timing of initiation and completion of our clinical trials, and the period during which the results of the trials will become available; the success, cost and timing of our clinical development of our product candidates; our ability to establish clinical differentiation of our product candidates; our ability to develop product candidates that have broad therapeutic potential; our ability to utilize our business development strategy and expertise to build a balanced portfolio; our ability to identify collaborations and strategic partnerships to maximize the value of our portfolio; our ability to build our operational and commercial capabilities for supplying and marketing our products, if approved, in key markets;

—FINANCIAL INFORMATION

PART I —FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements Zenas BioPharma, Inc. Condensed Consolidated Balance Sheets (Unaudited) (in thousands, except share and per share amounts) September 30, December 31, 2024 2023 Assets Current assets: Cash and cash equivalents $ 360,038 $ 56,857 Short-term investments 26,761 — Prepaid expenses and other current assets 6,979 2,947 Total current assets 393,778 59,804 Property and equipment, net 146 193 Operating lease right-of-use assets, net 399 821 Restricted cash 89 86 Other assets 9,020 7,276 Total assets $ 403,432 $ 68,180 Liabilities, Convertible Preferred Stock and Stockholders' Equity (Deficit) Current liabilities: Accounts payable (includes $ 594 and $ 21 owed to related parties, respectively) $ 15,082 $ 5,396 Accrued expenses (includes $ 1,873 and $ 404 owed to related parties, respectively) 28,531 17,306 Operating lease liabilities, current 384 556 Total current liabilities 43,997 23,258 Operating lease liabilities, non-current — 257 Convertible notes, at fair value — 20,300 Total liabilities 43,997 43,815 Commitments and contingencies (Note 14) Convertible preferred stock: Series Seed convertible preferred stock, par value $ 0.0001 per share; 0 and 1,785,714 shares authorized , issued and outstanding as of September 30, 2024 and December 31, 2023, respectively; liquidation preference of $ 0 as of September 30, 2024 — 956 Series A convertible preferred stock, par value $ 0.0001 per share; 0 and 17,589,380 shares authorized , issued and outstanding as of September 30, 2024 and December 31, 2023, respectively; liquidation preference of $ 0 as of September 30, 2024 — 55,840 Series B convertible preferred stock, par value $ 0.0001 per share; 0 and 81,242,587 shares authorized , issued and outstanding as of September 30, 2024 and December 31, 2023, respectively; liquidation preference of $ 0 as of September 30, 2024 — 193,290 Stoc

View Full Filing

View this 10-Q filing on SEC EDGAR