EVOKE PHARMA, INC. (NASDAQ:EVOK) Files An 8-K Results of Operations and Financial Condition
Item 2.02Results of Operations and Financial Condition.
The information set forth in the first sentence of Item 8.01 below is incorporated into this Item 2.02 by reference.
Item 8.01Other Events.
On July 8, 2020, Evoke Pharma, Inc. (the “Company”) reported that, as of June 30, 2020, it had cash and cash equivalents of approximately $8.0 million. During the second quarter of 2020, the Company received approximately $3.3 million of net proceeds from the sale of common stock under its at-the-market program. In addition, during the second quarter of 2020, the Company completed a drawdown of $2.0 million of its existing $5.0 million line of credit with EVERSANA Life Science Services, LLC (“EVERSANA”).
Based on its current operating plan, the Company believes that its existing cash and cash equivalents will provide sufficient cash to fund its operations into the second quarter of 2021, without consideration of the remaining amount available under its EVERSANA line of credit or potential GIMOTI™ revenue.
The reported amount of cash and cash equivalents is unaudited and preliminary, is subject to completion of financial closing procedures, and does not present all information necessary for an understanding of the Company’s financial condition as of June 30, 2020. This amount may differ from the amount that will be reflected in the company’s financial statements as of and for the quarter ended June 30, 2020.
Safe Harbor Statement
The Company cautions you that statements included in this report that are not a description of historical facts 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,” “contemplates,” “believes,” “estimates,” “predicts,” “potential” or “continue” or the negatives of these terms or other similar expressions. These statements are based on the Company’s current beliefs and expectations. These forward-looking statements include statements regarding: the potential revenues from the sales of GIMOTI; and the Company’s projected cash runway and potential to continue to access the EVERSANA line of credit. The inclusion of forward-looking statements should not be regarded as a representation by the Company that any of its plans will be achieved. Actual results may differ from those set forth in this report release due to the risks and uncertainties inherent in the Company’s business, including, without limitation: the Company’s and EVERSANA’s ability to successfully launch and drive market demand for GIMOTI and the timing thereof; the Company’s ability to obtain additional financing as needed to support its operations, including through the EVERSANA line of credit which is subject to certain customary conditions; the COVID-19 pandemic may disrupt the Company’s and EVERSANA’s business operations impairing the ability to commercialize GIMOTI and the Company’s ability to generate any product revenue; the Company’s dependence on third parties for the manufacture of GIMOTI; the Company is entirely dependent on the success of GIMOTI; inadequate efficacy or unexpected adverse side effects relating to GIMOTI that could delay or prevent commercialization, or that could result in recalls or product liability claims; our ability to obtain and maintain intellectual property protection for GIMOTI; and other risks detailed in the Company’s periodic reports it files with the Securities and Exchange Commission. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof, and the Company undertakes no obligation to revise or update this report to reflect events or circumstances after the date hereof. All forward-looking statements are qualified in their entirety by this cautionary statement. This caution is made under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.
About EVOKE PHARMA, INC. (NASDAQ:EVOK)
Evoke Pharma, Inc. is a specialty pharmaceutical company. The Company is focused primarily on the development of drugs to treat gastrointestinal (GI) disorders and diseases. The Company is developing EVK-001, a metoclopramide nasal spray for the relief of symptoms associated with acute and recurrent diabetic gastroparesis in women. EVK-001 is a formulation of Metoclopramide drug, designed to provide systemic delivery of metoclopramide through intranasal administration. The Company has evaluated EVK-001 in a multicenter, randomized, double-blind, placebo-controlled parallel group, dose-ranging Phase IIb clinical trial. The Company has commenced a Phase III clinical trial of EVK-001 in female patients with symptoms associated with acute and recurrent diabetic gastroparesis. The Phase III clinical trial is a multicenter, randomized, double-blind, placebo-controlled, parallel-group study evaluating the efficacy, safety and population pharmacokinetics of EVK-001 in adult females.
