Item 5. Market for Registrant’s Common Equity
Item 5.
Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchase of Equity Securities.
Market Information
The term “Private Madrigal” refers to Madrigal Pharmaceuticals, Inc. prior to the consummation of its merger with Synta Pharmaceuticals Corp. in July 2016.
Our common stock has traded on the Nasdaq stock market under the symbol “MDGL” since July 25, 2016, the trading date following the consummation of our merger with Private Madrigal. Prior to July 25, 2016, our common stock was traded on the Nasdaq stock market under the symbol “SNTA.”
Holders
As of February 19, 2021, there were approximately 31 holders of record of our common stock. This number does not include “street name” or beneficial holders, whose shares are held of record by banks, brokers, financial institutions and other nominees. In addition, we had two holders of record who owned shares of our Series A Convertible Preferred Stock.
Dividends
We have not paid any cash dividends on our common stock. We currently intend to retain all available funds and any future earnings to fund the development and expansion of our business, and we do not anticipate paying any cash dividends in the foreseeable future. Any future determination to pay cash dividends will be at the discretion of our board of directors and will depend on our financial condition, results of operations, contractual restrictions, capital requirements, and other factors that our board of directors deems relevant.
Stock Performance Graph
The graph set forth below compares the cumulative total stockholder return on our common stock between January 1, 2016 and December 31, 2020, with the cumulative total return of (a) the Nasdaq Biotechnology Index and (b) the Nasdaq Composite Index, over the same period. This graph assumes the investment of $100 on January 1, 2016 in our common stock, the Nasdaq Biotechnology Index and the Nasdaq Composite Index and assumes the reinvestment of dividends, if any. The vertical line on July 21, 2016 notes the date of the Merger.
The comparisons shown in the graph below are based upon historical data. We caution that the stock price performance shown in the graph below is not necessarily indicative of, nor is it intended to forecast, the potential future performance of our common stock.
44
Table of Contents
The above Stock Performance Graph and related information shall not be deemed to be “soliciting material” or to be “filed” with the Securities and Exchange Commission, nor shall such information be incorporated by reference into any future filing under the Securities Act of 1933 or Securities Exchange Act of 1934, each as amended, except to the extent that we specifically request that such information be treated as soliciting material or specifically incorporate it by reference into a filing.
45
Table of Contents
Item 6.
Selected Financial Data
The statements of operations data for the years ended December 31, 2020, 2019 and 2018 and the balance sheet data as of December 31, 2020 and 2019 have been derived from our audited financial statements included elsewhere in this Annual Report on Form 10-K.
The statements of operations data for the year ended December 31, 2017 and 2016 and the balance sheet data as of December 31, 2018, 2017 and 2016 have been derived from our audited financial statements not included in this Annual Report on Form 10-K.
The following selected financial data should be read in conjunction with our “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and financial statements and related notes to those statements included elsewhere in this Annual Report on Form 10-K.
Years Ended December 31,
2020
2019
2018
2017
2016
(in thousands, except per share amounts)
Consolidated Statements of Operations Data:
Revenues:
Total revenues
$
—
$
—
$
—
$
—
$
—
Operating expenses:
Research and development
184,809
72,324
25,389
24,390
15,933
General and administrative
21,864
22,648
15,293
7,672
9,290
Total operating expenses
206,673
94,972
40,682
32,062
25,223
Loss from operations
(206,673
)
(94,972
)
(40,682
)
(32,062
)
(25,223
)
Interest income (expense), net
4,329
11,024
7,671
558
(1,165
)
Other income
100
—
200
350
—
Net loss
$
(202,244
)
$
(83,948
)
$
(32,811
)
$
(31,154
)
$
(26,388
)
Net loss per common share:
Basic and diluted net loss per common share
$
(13.09)
$
(5.45)
$
(2.22)
$
(2.54)
$
(5.07)
Basic and diluted weighted average number of common shares outstanding
15,446,638
15,394,659
14,796,712
12,244,939
5,204,644
Years Ended December 31,
2020
2019
2018
2017
2016
(in thousands)
Consolidated Balance Sheet Data:
Cash, cash equivalents and marketable securities
$
284,149
$
439,045
$
483,718
$
191,527
$
40,500
Total assets
286,995
442,056
485,428
192,313
41,210
Total liabilities
47,025
25,491
8,444
10,054
4,800
Accumulated deficit
(425,464
)
(223,220
)
(139,272
)
(106,461
)
(75,307
)
Total stockholders’ equity
$
239,970
$
416,565
$
476,984
$
182,259
$
36,410
46
Table of Contents
Text extracted from the filing as submitted to EDGAR. Formatting, tables and exhibits are simplified for reading; the original document is authoritative for anything you rely on.