Dicerna Pharmaceuticals
Nov 7, 2016

Dicerna Reports Third Quarter 2016 Financial and Operational Results

Management to Host Conference Call Today at 4:30 p.m. ET

CAMBRIDGE, Mass.--(BUSINESS WIRE)-- Dicerna Pharmaceuticals, Inc. (Nasdaq: DRNA), a leading developer of investigational RNA interference (RNAi) therapeutics, today reported financial and operational results for the third quarter ended September 30, 2016.

"This quarter, we made the strategic decision to focus our resources on advancing our GalXC™ subcutaneous RNAi technology platform and to prioritize the product candidates emerging from this powerful product engine," said Douglas Fambrough, Ph.D., president and chief executive officer of Dicerna. "Our decision was based on the strength of the GalXC preclinical data and broad opportunities this technology enables in our core therapeutic areas of rare disease, chronic liver diseases, cardiovascular diseases and liver infectious diseases. In preclinical models across these areas, the potency and duration of action results for the GalXC platform have consistently supported the potential for target gene silencing in the liver with a simple, infrequent, subcutaneous injection paradigm. As a result, we transitioned our primary hyperoxaluria program to the GalXC-based DCR-PHXC from DCR-PH1, as we believe DCR-PHXC has the potential to be a better therapeutic candidate for patients with this disease. We also discontinued our DCR-MYC program in oncology because early efficacy results did not meet our threshold for further development. We believe this strategic shift will put us in a stronger position to execute our development strategy more efficiently and build an exciting pipeline of subcutaneously-delivered, RNAi-based therapeutics with clear differentiation and that have the potential to be first-in-class in specific indications."

GalXC™ Program Update

Dicerna has the capacity to launch up to three additional programs annually, with the intent to advance five programs into the clinic by the end of 2019. The Company expects to initiate programs for hepatitis B virus (HBV) as well as two additional programs from its core therapeutic areas in 2017.

Legacy Program Update

DCR-PH1

Oncology Program Update

DCR-MYC

Financial Results

For more detailed information and analysis see Dicerna's Quarterly Report on Form 10-Q, which was filed with the Securities and Exchange Commission (SEC) on November 7, 2016.

Guidance

Based on Dicerna's current cash position and operating plan, the Company reiterates its expectation that it has sufficient cash to fund planned operations for at least the next 12 months. This estimate assumes no additional funding from new partnership agreements or debt or equity financing events.

Conference Call

Management will conduct a conference call at 4:30 p.m. ET today to review the Company's third quarter 2016 financial results and provide a general business update. The conference call can be accessed by dialing (855) 453-3834 or (484) 756-4306 (international), and referencing conference ID 10030267 prior to the start of the call. The call will also be webcast via the Internet and will be available under the "Investors & Media" section of the Dicerna website, www.dicerna.com. A replay of the call will be available beginning at 7:30 p.m. ET on November 7, 2016. To access the replay, please dial (855) 859-2056 or (404) 537-3406, and refer to conference ID 10030267. The webcast will also be archived on the Company's website.

About Dicerna Pharmaceuticals, Inc.

Dicerna Pharmaceuticals, Inc., is a biopharmaceutical company focused on the discovery and development of innovative RNA interference (RNAi)-based therapeutics for rare diseases involving the liver and for other diseases involving the liver such as chronic liver diseases, cardiovascular diseases, and viral infectious diseases. The Company is using its proprietary GalXC™ RNAi technology platform to build a broad pipeline in these core therapeutic areas. Dicerna is pursuing target genes where connections between target gene and diseases are well understood and documented. The Company intends to discover, develop and commercialize these novel therapeutics either on its own or in collaboration with pharmaceutical partners. For more information, please visit www.dicerna.com.

About GalXC™ RNAi Technology Platform

GalXC™ is a proprietary technology platform invented by Dicerna to discover and develop next-generation RNAi-based therapies designed to silence disease-driving genes in the liver. Compounds produced via GalXC are intended to be broadly applicable across multiple therapeutic areas, including rare diseases, chronic liver diseases, cardiovascular disease and viral infectious diseases. Using GalXC, Dicerna scientists attach N-acetylgalactosamine (GalNAc) sugars directly to the extended region of our proprietary Dicer substrate short-interfering RNA molecules, yielding multiple proprietary conjugate delivery configurations. Many of the conjugates produced via GalXC incorporate a folded motif known as a tetraloop in the extended region. The tetraloop configuration, which is unique to Dicerna's GalXC compounds, allows flexible and efficient conjugation to the targeting ligands, and stabilizes the RNAi duplex which we believe will enable subcutaneous delivery of Dicerna's RNAi therapies to hepatocytes in the liver, where they are designed to specifically bind to receptors on target cells, potentially leading to internalization and access to the RNAi machinery within the cells. The technology may offer several distinct benefits, as suggested by strong preclinical data. These benefits include: potency that is on par with or better than comparable platforms; highly specific binding to gene targets; long duration of action; and an infrequent subcutaneous dosing regimen.

Cautionary Note on Forward-Looking Statements

This press release includes forward-looking statements, including, for example, our expected timeline and plans for development, potential collaborations, and potential therapeutic benefits. Such forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied in such statements. Applicable risks and uncertainties include those relating to our clinical and preclinical research and other risks identified under the heading "Risk Factors" included in our most recent Form 10-Q filing and in other future filings with the SEC. The forward-looking statements contained in this press release reflect Dicerna's current views with respect to future events, and Dicerna does not undertake and specifically disclaims any obligation to update any forward-looking statements.

Dicerna Pharmaceuticals, Inc.
Condensed Consolidated Balance Sheets (Unaudited)
(In thousands)
           
September 30, December 31,
2016 2015
Cash and cash equivalents $ 32,544 $ 56,058
Held-to-maturity investments $ 25,002 $ 38,551
Total assets $ 62,949 $ 100,023
Total liabilities $ 9,817 $ 9,001
Total stockholders' equity $ 53,132 $ 91,022
 
 
Dicerna Pharmaceuticals, Inc.
Condensed Consolidated Statements of Operations (Unaudited)
(In thousands, except share and per share data)
       

For the Three Months
Ended
September 30,

For the Nine Months Ended
September 30,

2016 2015 2016 2015
 
Revenues $ 162 - $ 162 184
 
Operating expenses:
Research and development 10,061 $ 12,142 32,357 $ 32,708
General and administrative 4,338   4,857   13,478   14,822  
Total operating expenses 14,399 16,999 45,835 47,530
 
Loss from operations (14,237 ) (16,999 ) (45,673 ) (47,346 )
 
Interest income 61 55 182 142
       
Net loss $ (14,176 ) $ (16,944 ) $ (45,491 ) $ (47,204 )
 
Net loss per share - basic and diluted $ (0.68 ) $ (0.82 ) $ (2.20 ) $ (2.47 )
 
Weighted average shares outstanding - basic and diluted 20,752,416 20,592,840 20,708,600 19,097,230
 

Investors:
Rx Communications Group
Melody Carey, 917-322-2571
mcarey@rxir.com
or
Media:
SmithSolve
Alex Van Rees, 973-442-1555 ext. 111
alex.vanrees@smithsolve.com

Source: Dicerna Pharmaceuticals, Inc.

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