UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
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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:
Securities registered pursuant to Section 12(b) of the Act:
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Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).
Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
Item 2.02 Results of Operations and Financial Condition.
On August 8, 2024, Rapport Therapeutics, Inc. (the “Company”) announced its financial results and business highlights for the quarter ended June 30, 2024. A copy of the press release is being furnished as Exhibit 99.1 to this Current Report on Form 8-K.
The information included under Item 2.02 of this Current Report on Form 8-K, including Exhibit 99.1, is being furnished and 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 liabilities of that section, and shall not be 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 filing.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits
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99.1 |
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Press Release issued by Rapport Therapeutics, Inc. on August 8, 2024, furnished herewith. |
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104 |
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Cover Page Interactive Data File (embedded within the Inline XBRL document) |
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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.
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Rapport Therapeutics, Inc. |
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Date: |
August 8, 2024 |
By: |
/s/ Troy Ignelzi |
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Troy Ignelzi |
Exhibit 99.1
Rapport Therapeutics Reports Second Quarter Financials and Provides Business Update
BOSTON, Mass. and SAN DIEGO, Calif. – August 8, 2024 – Rapport Therapeutics, Inc. (Nasdaq: RAPP), a clinical-stage biotechnology company focused on discovery and development of transformational small molecule medicines for patients suffering from central nervous system (CNS) disorders, today announced financial results for the second quarter of 2024 and provided a business update.
“Following our recent IPO, the Rapport team is relentlessly focused on advancing our pipeline, which has the potential to transform the treatment of many CNS disorders. Our receptor associated protein (RAP) technology platform provides a foundation for a portfolio of precision neuroscience product candidates designed to overcome the limitations of existing standards of care,” said Abraham N. Ceesay, chief executive officer of Rapport Therapeutics.
“With several near-term milestones ahead, this is an exciting time for Rapport. We are on track to initiate a Phase 2a trial in the third quarter of 2024 for our lead product candidate, RAP-219, in patients with focal epilepsy and look forward to advancing RAP-219 with the goal of it becoming a potentially transformational treatment option in this area of significant unmet need,” Ceesay continued. “I also want to congratulate TA Burrell on her new role and thank her for her invaluable service and insightful contributions as a Board member during the pivotal transition of Rapport to a public company.”
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BUSINESS UPDATES
RAP-219 Lead Program
RAP-219 is designed to selectively target TARPg8, a RAP which is associated with the neuronal AMPAR (neuronal α-amino-3-hydroxy-5-methyl-4-isoxazolepropionic acid receptor), a clinically validated target for epilepsy. The Company is also evaluating RAP-219 as a potential treatment for peripheral neuropathic pain and bipolar disorder.
Focal Epilepsy
Peripheral Neuropathic Pain
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Bipolar Disorder
Preclinical and Discovery Programs
SECOND QUARTER 2024 FINANCIAL RESULTS
About RAP-219
RAP-219 is a clinical-stage AMPAR (α-amino-3-hydroxy-5-methyl-4-isoxazolepropionic acid receptor) negative allosteric modulator (NAM) designed to achieve neuroanatomical specificity through its selective targeting of a receptor associated protein (RAP) known as TARPg8, which is associated with the neuronal AMPAR, a clinically validated target for epilepsy. Whereas AMPARs are distributed widely in the central nervous system, TARPg8 is expressed only in discrete regions, including the hippocampus, a key site involved in focal epilepsy. Because of this restricted
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expression of TARPg8 in forebrain regions, the Company believes RAP-219 has the potential to provide a differentiated clinical profile, including improved activity and tolerability along with a higher therapeutic index, potentially providing more patients with sustained therapeutic benefit without intolerable side effects, as compared to traditional antiseizure medications.
About Rapport Therapeutics
Rapport Therapeutics is a clinical-stage biotechnology company dedicated to discovering and developing transformational precision neuromedicines for patients suffering from central nervous system (CNS) disorders. The Company’s founders have made pioneering discoveries related to the function of receptor associated proteins (RAPs) in the brain. Their findings form the basis of Rapport’s RAP technology platform, which enables a differentiated approach to generate precision small molecule product candidates with the potential to overcome many limitations of conventional neurology drug discovery. Rapport’s precision neuroscience pipeline includes the Company’s lead clinical program, RAP-219, designed to achieve neuroanatomical specificity through its selective targeting of a RAP expressed in only discrete regions of the brain. The Company is currently advancing RAP-219 in clinical trials in focal epilepsy, peripheral neuropathic pain, and bipolar disorder. Additional preclinical and late-stage discovery stage programs are also underway, targeting CNS disorders including chronic pain and hearing disorders.
Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, each as amended. The words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “should,” “target,” “would” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. These forward-looking statements include, but are not limited to, express or implied statements regarding: the clinical development of RAP-219 for the treatment of drug-resistant focal epilepsy, peripheral neuropathic pain and bipolar disorder, including the initiation, timing, progress and results of our ongoing and planned clinical trials; the potential activity and tolerability of RAP-219; the potential of Rapport’s RAP technology platform; the ongoing and planned development of RAP-199 and Rapport’s discovery-stage programs; and expectations for Rapport’s uses of capital, expenses and financial results, including its cash runway through the end of 2026.
Forward looking statements are based on management’s current expectations and are subject to risks and uncertainties that could negatively affect Rapport’s business, operating results, financial condition and stock value. Factors that could cause actual results to differ materially from those currently anticipated include: risks relating to the company’s research and development activities; Rapport’s ability to execute on its strategy including obtaining the requisite regulatory approvals on the expected timeline, if at all; uncertainties relating to preclinical and clinical development activities; the company’s dependence on third parties to conduct clinical trials, manufacture its product candidates and develop and commercialize its product candidates, if approved; Rapport’s ability to attract, integrate and retain key personnel; risks related to the company’s financial condition and need for substantial additional funds in order to complete development activities and commercialize a product candidate, if approved; risks related to regulatory developments and approval processes of the U.S. Food and Drug Administration and comparable foreign regulatory authorities; risks related to establishing and maintaining Rapport’s intellectual property
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protections; and risks related to the competitive landscape for Rapport’s product candidates; as well as other risks described in “Risk Factors,” in the company’s Registration Statement on Form S-1 filed with the Securities and Exchange Commission (the SEC), as well as subsequent filings with the SEC. Rapport expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in its expectations or any changes in events, conditions or circumstances on which any such statement is based, except as required by law, and claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.
Contact:
Julie DiCarlo
Head of Communications & IR
Rapport Therapeutics
jdicarlo@rapportrx.com
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Condensed Consolidated Balance Sheet Data
(In thousands)
(unaudited)
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June 30, |
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December 31, |
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Assets |
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Current assets |
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Cash and cash equivalents |
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$ |
110,164 |
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$ |
70,169 |
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Short-term investments |
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225,975 |
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77,309 |
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Restricted cash |
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105 |
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85 |
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Prepaid expenses and other current assets |
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4,422 |
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3,309 |
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Total current assets |
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340,666 |
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150,872 |
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Property and equipment, net |
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3,474 |
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1,916 |
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Operating lease right of use asset, net |
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1,769 |
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2,084 |
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Other assets |
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189 |
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551 |
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Total assets |
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$ |
346,098 |
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$ |
155,423 |
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Liabilities, Convertible Preferred Stock and Stockholders’ Equity (Deficit) |
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Current liabilities |
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Accounts payable |
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$ |
1,875 |
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$ |
2,502 |
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Accrued expenses and other current liabilities |
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5,517 |
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5,631 |
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Operating lease liability |
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703 |
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670 |
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Total current liabilities |
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8,095 |
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8,803 |
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Series B preferred stock tranche right liability |
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— |
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4,200 |
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Operating lease liability, net of current portion |
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1,117 |
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1,476 |
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Total liabilities |
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9,212 |
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14,479 |
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Commitments and contingencies |
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Series A convertible preferred stock |
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— |
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89,487 |
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Series B convertible preferred stock |
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— |
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77,091 |
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Stockholders’ equity (deficit) |
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Undesignated preferred stock |
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— |
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— |
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Common Stock |
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36 |
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4 |
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Additional paid-in capital |
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423,261 |
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19,796 |
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Accumulated other comprehensive income (loss) |
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(183 |
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4 |
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Accumulated deficit |
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(86,228 |
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(45,438 |
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Total stockholders’ equity (deficit) |
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336,886 |
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(25,634 |
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Total liabilities, convertible preferred stock, and stockholders’ equity (deficit) |
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$ |
346,098 |
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$ |
155,423 |
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Condensed Consolidated Statement of Operations
(In thousands, except share and per share data)
(unaudited)
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For the three months ended June 30, |
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2024 |
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2023 |
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Operating expenses |
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Research and development |
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$ |
15,689 |
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$ |
4,721 |
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General and administrative |
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5,111 |
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1,909 |
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Total operating expenses |
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20,800 |
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6,630 |
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Loss from operations |
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(20,800 |
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(6,630 |
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Other income (expense): |
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Interest income |
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2,679 |
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221 |
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Change in fair value of preferred stock tranche right liability |
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— |
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— |
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Total other income (expense), net |
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2,679 |
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221 |
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Net loss before income taxes |
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(18,121 |
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(6,409 |
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Provision for income taxes |
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— |
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2 |
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Net loss |
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$ |
(18,121 |
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$ |
(6,411 |
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Net loss per share attributable to common stockholders, basic |
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$ |
(1.70 |
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$ |
(4.45 |
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Weighted-average common shares outstanding, basic and diluted |
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10,666,528 |
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1,440,109 |
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Condensed Consolidated Statements of Cash Flows
(In thousands)
(unaudited)
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For the Three Months Ended June 30, |
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2024 |
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2023 |
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Net cash used in operating activities |
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$ |
(16,352 |
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$ |
(6,599 |
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Net cash used in investing activities |
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(107,104 |
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(86 |
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Net cash provided by (used in) financing activities |
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159,353 |
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(90 |
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Net increase in cash, cash equivalents and restricted cash |
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$ |
35,897 |
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$ |
(6,775 |
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