錯誤--12-310001503802Q300015038022024-09-300001503802kpti:LicenseAnderse成員2023-01-012023-09-300001503802kpti:TwothousandTwentyFiveNotesMember2024-07-012024-09-300001503802美國-公認會計准則:公司債務證券成員2024-09-300001503802SRT:最大成員數kpti:MaytwentyFourteats成員2024-05-310001503802kpti:許可證會員2024-01-012024-09-300001503802kpti:CLARGE Therapeutics Limited成員2024-01-012024-09-3000015038022023-01-012023-12-310001503802美國-美國公認會計准則:普通股成員kpti:OpenMarketSaleDeliverementMemberkpti:JefferiesLLC成員2023-07-012023-09-300001503802kpti:MenariniLicenseMemorial成員2023-07-012023-09-300001503802kpti:RevenueDelivementAndAmendedRevenueDelivementMemberkpti:醫療保健RoyaltyPartnersIvLP成員2024-05-310001503802美國公認會計准則:保修成員2024-01-012024-09-300001503802kpti:OpenMarketSaleDeliverementMemberSRT:最大成員數kpti:JefferiesLLC成員2024-01-012024-09-300001503802kpti:AmendedRevenueDeliverement成員2024-05-310001503802kpti:OpenMarketSaleDeliverementMemberSRT:最大成員數kpti:JefferiesLLC成員2023-02-170001503802kpti:MaytwentyFourteats成員2024-05-080001503802US-GAAP:AdditionalPaidInCapitalMembers2023-12-310001503802kpti:MenariniLicenseMemorial成員2023-01-012023-09-300001503802Us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-12-310001503802美國-美國公認會計准則:普通股成員2022-12-310001503802Us-gaap:SellingGeneralAndAdministrativeExpensesMember2023-01-012023-09-300001503802kpti:CreditDelivementAndTermLoanMemberUS-GAAP:LineOfCreditMember2024-09-300001503802美國-公認會計准則:公允價值投入級別3成員kpti:兩千TwentyNine Notes衍生品成員2024-01-012024-09-300001503802美國公認會計准則:MoneyMarketFundsMembers美國-公認會計准則:公允價值輸入級別1成員2024-09-300001503802美國-美國公認會計准則:普通股成員2023-12-310001503802kpti:SecuredOvernightFinancingRateMemberUS-GAAP:LineOfCreditMember2024-01-012024-09-300001503802美國-公認會計准則:研究和開發費用成員2023-01-012023-09-300001503802美國-美國公認會計准則:普通股成員kpti:OpenMarketSaleDeliverementMemberkpti:JefferiesLLC成員2023-01-012023-09-300001503802US-GAAP:許可和服務成員2024-01-012024-09-300001503802kpti:短期投資我們政府業務債務證券成員2023-12-310001503802kpti:ThreearcheageConvertibleSeniorNotesDueTwentyFiveMember2024-01-012024-09-300001503802kpti:TwothousandTwentyNineNotesMemberSRT:最大成員數2024-09-300001503802kpti:TwothousandTwentyNineNotesMember2024-01-012024-09-300001503802美國-公認會計准則:公允價值投入級別3成員kpti:HcrxDerivativeMember2023-12-310001503802美國-GAAP:DomesticCorporation債務證券成員2024-01-012024-09-300001503802US-GAAP:AdditionalPaidInCapitalMembers2023-01-012023-09-3000015038022023-01-012023-09-300001503802kpti:TwothousandTwentyNineNotesMember美國公認會計准則:可轉換債務成員2024-09-300001503802US-GAAP:AdditionalPaidInCapitalMembers2023-06-300001503802Us-gaap:AccumulatedOtherComprehensiveIncomeMember2024-06-300001503802kpti:RevenueDelivementAndAmendedRevenueDelivementMember2024-09-300001503802kpti:TwothousandTwentyNineNotesMemberSRT:最小成員數2024-09-300001503802US-GAAP:許可和服務成員kpti:應收賬款1成員2024-01-012024-09-300001503802kpti:短期投資公司債務證券成員2023-12-310001503802kpti:短期投資公司債務證券成員2024-09-300001503802us-gaap:HealthCareership會員2023-07-012023-09-300001503802US-GAAP:許可和服務成員kpti:CLARGE Therapeutics Limited成員2024-07-012024-09-3000015038022024-05-012024-05-310001503802美國-公認會計准則:保留預付款成員2023-12-310001503802US-GAAP:許可和服務成員kpti:應收賬款1成員2023-01-012023-12-310001503802美國公認會計准則:保修成員US-GAAP:PrivatePlacementMembers2022-12-052022-12-050001503802美國-美國公認會計准則:普通股成員2023-09-300001503802美國-公認會計准則:研究和開發費用成員2024-01-012024-09-300001503802美國-美國公認會計准則:普通股成員kpti:OpenMarketSaleDeliverementMember2024-01-012024-09-300001503802kpti:MenariniLicenseMemorial成員US-GAAP:RoyaltyMember2024-01-012024-09-300001503802Us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-12-310001503802kpti:RoyaltyMemberkpti:CLARGE Therapeutics Limited成員2023-01-012023-09-300001503802kpti:TwothousandTwentyTwoEquity激勵計劃成員2024-05-292024-05-290001503802kpti:ShortTerm InvestmentsCommercialPaper會員2023-12-310001503802kpti:TermLoanMember2024-09-300001503802kpti:TwothousandTwentyFiveNotesMember2024-09-3000015038022024-01-012024-09-300001503802kpti:ConvertibleSeniorNotesDueTwottyFiveMemberkpti:2025年停止註釋債務發行成本成員2024-01-012024-09-300001503802美國公認會計准則:MoneyMarketFundsMembers2023-12-310001503802美國-公認會計准則:公允價值輸入級別2成員kpti:ShortTerm InvestmentsCommercialPaper會員2024-09-300001503802kpti:TwothousandTwentyNineNotesMemberkpti:醫療保健RoyaltyPartnersIvLP成員2024-05-130001503802SRT:最大成員數kpti:MaytwentyFourteats成員2024-05-1300015038022023-06-300001503802Us-gaap:SellingGeneralAndAdministrativeExpensesMember2024-07-012024-09-300001503802kpti:TwothousandTwentyNineNotesMember2024-07-012024-09-300001503802us-gaap:HealthCareership會員2023-01-012023-09-300001503802Us-gaap:AccumulatedOtherComprehensiveIncomeMember2024-07-012024-09-300001503802kpti:TwothousandTwentyNineNotesMember美國公認會計准則:可轉換債務成員2024-01-012024-09-300001503802Us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-01-012023-09-300001503802Us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-07-012023-09-300001503802美國-公認會計准則:產品成員2024-07-012024-09-300001503802kpti:短期投資我們政府業務債務證券成員2024-09-300001503802美國-GAAP:銷售成本成員2023-07-012023-09-300001503802kpti:TermLoanMember2024-01-012024-09-300001503802kpti:TwothousandTwentyFiveNotesMember2024-05-310001503802kpti:TwothousandTwentyFiveNotesMember2018-10-310001503802美國公認會計准則:可轉換債務成員2024-09-300001503802kpti:MenariniLicenseMemorial成員US-GAAP:許可和服務成員2023-07-012023-09-300001503802kpti:TwothousandTwentyFiveNotesMember美國公認會計准則:可轉換債務成員2024-05-132024-05-130001503802US-GAAP:AdditionalPaidInCapitalMembers2024-01-012024-09-300001503802美國-美國公認會計准則:普通股成員US-GAAP:PrivatePlacementMembers2024-05-292024-05-290001503802美國公認會計准則:保修成員kpti:醫療保健RoyaltyPartnersIvLP成員2023-08-010001503802美國-公認會計准則:公允價值投入級別3成員kpti:HcrxDerivativeMember2024-01-012024-09-300001503802美國-公認會計准則:產品成員2023-07-012023-09-300001503802US-GAAP:AdditionalPaidInCapitalMembers2023-09-300001503802Us-gaap:USGovernmentAgenciesDebtSecuritiesMember2023-01-012023-12-310001503802美國-公認會計准則:股票期權成員2024-01-012024-09-300001503802kpti:TwothousandTwentyFiveNotesMember2024-01-012024-09-300001503802kpti:HcrxDerivativeMember2024-09-300001503802美國-美國公認會計准則:普通股成員2024-06-300001503802kpti:ShortTerm InvestmentsCommercialPaper會員2024-09-300001503802kpti:MenariniLicenseMemorial成員2024-01-012024-09-300001503802美國-公認會計准則:其他當前資產成員US-GAAP:許可和服務成員2023-01-012023-12-310001503802美國公認會計准則:MoneyMarketFundsMembers2024-09-300001503802美國-美國公認會計准則:普通股成員2024-01-012024-09-300001503802US-GAAP:AdditionalPaidInCapitalMembers2022-12-310001503802美國-GAAP:銷售成本成員2023-01-012023-09-300001503802us-gaap:HealthCareership會員2024-01-012024-09-300001503802美國-GAAP:受限股票單位RSU成員2023-01-012023-09-300001503802美國-公認會計准則:公允價值投入級別3成員kpti:延期RoyaltyObjigationMember2023-12-310001503802美國-公認會計准則:公允價值輸入級別2成員kpti:短期投資公司債務證券成員2023-12-310001503802美國-GAAP:銷售成本成員2024-01-012024-09-300001503802kpti:短期投資我們政府業務債務證券成員美國-公認會計准則:公允價值輸入級別2成員2024-09-300001503802美國-公認會計准則:公允價值輸入級別2成員美國-GAAP:商業紙張成員2024-09-300001503802kpti:CLARGE Therapeutics Limited成員US-GAAP:RoyaltyMember2023-01-012023-09-300001503802美國-美國公認會計准則:普通股成員2024-09-300001503802kpti:TwothousandTwentyNineNotesMember2024-05-080001503802kpti:TwothousandTwentyFiveNotesMember2023-07-012023-09-300001503802美國-公認會計准則:產品成員2023-12-3100015038022024-07-012024-09-300001503802kpti:收入、財務、培訓成員kpti:醫療保健RoyaltyPartnersIvLP成員2024-01-012024-09-300001503802美國-公認會計准則:公允價值投入級別3成員kpti:MaytwentyFourteats成員2024-01-012024-09-300001503802Us-gaap:CommercialPaperNotIncludedWithCashAndCashEquivalentsMember2024-01-012024-09-300001503802美國-美國公認會計准則:普通股成員2024-07-012024-09-300001503802kpti:收入、財務、培訓成員2024-09-300001503802美國-公認會計准則:保留預付款成員2023-09-300001503802US-GAAP:AdditionalPaidInCapitalMembers2024-07-012024-09-300001503802kpti:修訂並恢復兩千十三股票購買計劃成員2024-05-292024-05-290001503802Us-gaap:CommercialPaperNotIncludedWithCashAndCashEquivalentsMember2023-12-310001503802kpti:TwothousandTwentyNineNotesMember2024-09-300001503802美國公認會計准則:保修成員SRT:最大成員數US-GAAP:PrivatePlacementMembers2024-01-012024-09-300001503802美國-公認會計准則:公允價值投入級別3成員kpti:延期RoyaltyObjigationMember2024-09-300001503802美國-公認會計准則:產品成員2024-01-012024-09-300001503802美國-公認會計准則:公允價值投入級別3成員kpti:兩千TwentyNine Notes衍生品成員2024-09-300001503802美國-公認會計准則:保留預付款成員2022-12-310001503802kpti:MenariniLicenseMemorial成員US-GAAP:許可和服務成員2023-01-012023-09-300001503802kpti:MenariniLicenseMemorial成員2024-07-012024-09-300001503802kpti:TermLoanMember2024-07-012024-09-300001503802kpti:收入、財務、培訓成員2019-09-012019-09-300001503802美國-公認會計准則:公允價值輸入級別1成員2024-09-300001503802kpti:CommonStockMemberkpti:2024年5月的問題記錄在FairValueMember2024-01-012024-09-3000015038022022-12-310001503802kpti:LicenseAnderse成員2023-07-012023-09-300001503802美國-GAAP:受限股票單位RSU成員2024-01-012024-09-300001503802美國-公認會計准則:產品成員2023-01-012023-09-300001503802kpti:TermLoanMember2024-05-310001503802美國-公認會計准則:研究和開發費用成員2024-07-012024-09-300001503802SRT:最小成員數kpti:MaytwentyFourteats成員2024-09-300001503802美國-公認會計准則:公允價值輸入級別2成員kpti:ShortTerm InvestmentsCommercialPaper會員2023-12-310001503802美國-美國公認會計准則:普通股成員2023-01-012023-09-300001503802kpti:SixSixminageSecuredConvertibleSeniorNotesDueTwentyNine成員kpti:醫療保健RoyaltyPartnersIvLP成員2024-05-310001503802美國-GAAP:DomesticCorporation債務證券成員2024-09-300001503802美國-公認會計准則:保留預付款成員2023-06-300001503802美國-公認會計准則:公允價值輸入級別2成員2023-12-310001503802美國公認會計准則:可轉換債務成員2024-01-012024-09-300001503802Us-gaap:CommercialPaperNotIncludedWithCashAndCashEquivalentsMember2023-01-012023-12-310001503802US-GAAP:許可和服務成員kpti:CLARGE Therapeutics Limited成員2023-07-012023-09-300001503802kpti:LicenseAnderse成員2024-01-012024-09-300001503802美國-公認會計准則:保留預付款成員2023-01-012023-09-300001503802美國-美國公認會計准則:普通股成員2023-07-012023-09-300001503802美國公認會計准則:保修成員kpti:醫療保健RoyaltyPartnersIvLP成員2023-08-012023-08-010001503802美國-公認會計准則:研究和開發費用成員2023-07-012023-09-300001503802SRT:最小成員數2023-08-010001503802kpti:CLARGE Therapeutics Limited成員2023-01-012023-09-3000015038022024-10-310001503802美國-公認會計准則:保留預付款成員2024-07-012024-09-300001503802美國-公認會計准則:產品成員2024-09-300001503802kpti:MenariniLicenseMemorial成員US-GAAP:RoyaltyMember2024-07-012024-09-300001503802US-GAAP:許可和服務成員kpti:CLARGE Therapeutics Limited成員2023-01-012023-09-300001503802kpti:Issue Of 2029 NotesRecordedAtFairValueMemberkpti:ConvertibleSeniorNotesDueTwothousandTwentyNine成員2024-01-012024-09-300001503802美國-美國公認會計准則:普通股成員kpti:OpenMarketSaleDeliverementMemberkpti:JefferiesLLC成員2024-07-012024-09-300001503802美國公認會計准則:保修成員US-GAAP:PrivatePlacementMembers2022-12-050001503802kpti:MaytwentyFourteats成員2024-01-012024-09-300001503802kpti:醫療保健RoyaltyPartnersIvLP成員2023-08-012023-08-010001503802Us-gaap:SellingGeneralAndAdministrativeExpensesMember2024-01-012024-09-3000015038022023-09-300001503802美國-公認會計准則:保留預付款成員2023-07-012023-09-3000015038022023-12-310001503802美國-公認會計准則:保留預付款成員2024-06-300001503802美國-公認會計准則:保留預付款成員2024-09-300001503802Us-gaap:SellingGeneralAndAdministrativeExpensesMember2023-07-012023-09-300001503802kpti:TwothousandTwentyFiveNotesMember2023-12-310001503802kpti:MenariniLicenseMemorial成員US-GAAP:RoyaltyMember2023-01-012023-09-300001503802美國公認會計准則:保修成員2023-01-012023-09-300001503802US-GAAP:AdditionalPaidInCapitalMembers2024-09-300001503802美國-美國公認會計准則:普通股成員2023-06-300001503802kpti:MaytwentyFourteats成員SRT:最大成員數2024-09-300001503802kpti:短期投資我們政府業務債務證券成員美國-公認會計准則:公允價值輸入級別2成員2023-12-310001503802kpti:CreditDelivementAndTermLoanMemberUS-GAAP:LineOfCreditMember2024-05-080001503802美國-美國公認會計准則:普通股成員kpti:OpenMarketSaleDeliverementMemberkpti:JefferiesLLC成員2024-01-012024-09-300001503802美國-公認會計准則:保留預付款成員2024-01-012024-09-300001503802kpti:MaytwentyFourteats成員2024-09-300001503802美國-公認會計准則:公允價值輸入級別1成員2023-12-310001503802美國-公認會計准則:公允價值輸入級別2成員kpti:短期投資公司債務證券成員2024-09-3000015038022023-07-012023-09-300001503802美國-公認會計准則:公允價值輸入級別2成員2024-09-300001503802US-GAAP:AdditionalPaidInCapitalMembers2024-06-300001503802美國-公認會計准則:公允價值投入級別3成員kpti:MaytwentyFourteats成員2024-09-300001503802SRT:最大成員數2024-01-012024-09-300001503802kpti:MenariniLicenseMemorial成員US-GAAP:許可和服務成員2024-01-012024-09-300001503802美國-GAAP:商業紙張成員2024-09-300001503802kpti:TwothousandTwentyFiveNotesMember2023-01-012023-09-300001503802kpti:SixSixminageSecuredConvertibleSeniorNotesDueTwentyNine成員2024-05-310001503802Us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-06-300001503802SRT:最小成員數2024-01-012024-09-300001503802kpti:MenariniLicenseMemorial成員US-GAAP:許可和服務成員2024-07-012024-09-300001503802kpti:XpovioMember2024-01-012024-09-300001503802美國-公認會計准則:股票期權成員2023-01-012023-09-300001503802kpti:MenariniLicenseMemorial成員美國公認會計准則:許可證成員2023-01-012023-09-300001503802US-GAAP:許可和服務成員kpti:CLARGE Therapeutics Limited成員2024-01-012024-09-300001503802美國-GAAP:DomesticCorporation債務證券成員2023-12-310001503802Us-gaap:CommercialPaperNotIncludedWithCashAndCashEquivalentsMember2024-09-300001503802SRT:最大成員數2023-08-010001503802Us-gaap:AccumulatedOtherComprehensiveIncomeMember2024-09-300001503802kpti:醫療保健RoyaltyPartnersIvLP成員2024-05-310001503802Us-gaap:USGovernmentAgenciesDebtSecuritiesMember2024-09-300001503802kpti:2025年滅絕通知主要成員kpti:ConvertibleSeniorNotesDueTwottyFiveMember2024-01-012024-09-300001503802kpti:TwothousandTwentyNineNotesMember2024-05-130001503802美國-公認會計准則:公司債務證券成員2023-12-310001503802Us-gaap:USGovernmentAgenciesDebtSecuritiesMember2024-01-012024-09-300001503802Us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-09-300001503802kpti:預資助會員2024-09-300001503802us-gaap:HealthCareership會員2024-07-012024-09-300001503802kpti:TermLoanMember2024-09-300001503802US-GAAP:LineOfCreditMember2024-01-012024-09-300001503802kpti:LicenseAnderse成員2024-07-012024-09-300001503802kpti:RevenueDelivementAndAmendedRevenueDelivementMemberkpti:醫療保健RoyaltyPartnersIvLP成員2024-09-300001503802美國-GAAP:銷售成本成員2024-07-012024-09-300001503802US-GAAP:PrivatePlacementMembersUs-gaap:SellingGeneralAndAdministrativeExpensesMember2024-01-012024-09-300001503802美國-GAAP:DomesticCorporation債務證券成員2023-01-012023-12-3100015038022024-06-300001503802US-GAAP:PrivatePlacementMembers2024-09-300001503802Us-gaap:AccumulatedOtherComprehensiveIncomeMember2024-01-012024-09-300001503802美國公認會計准則:基本比率成員US-GAAP:LineOfCreditMember2024-01-012024-09-300001503802SRT:最大成員數kpti:MaytwentyFourteats成員2024-09-300001503802Us-gaap:USGovernmentAgenciesDebtSecuritiesMember2023-12-310001503802US-GAAP:AdditionalPaidInCapitalMembers2023-07-012023-09-300001503802Us-gaap:USGovernmentAgenciesDebtSecuritiesMember美國-公認會計准則:公允價值輸入級別2成員2023-12-310001503802kpti:CLARGE Therapeutics Limited成員US-GAAP:RoyaltyMember2024-07-012024-09-300001503802美國公認會計准則:MoneyMarketFundsMembers美國-公認會計准則:公允價值輸入級別1成員2023-12-31xbrli:純粹xbrli:股票kpti:安全iso4217:USDxbrli:股票kpti:天iso4217:USD

目錄表

 

美國

證券交易委員會

華盛頓特區20549

形式 10-Q

 

(標記一)

根據1934年《證券交易法》第13或15(D)條規定的季度報告

 

截至本季度末9月30日,2024

 

根據1934年證券交易法第13或15(d)條提交的過渡報告

 

的過渡期

委託文件編號:001-36167

Karyopharm Therapeutics Inc.

(註冊人的確切姓名載於其章程)

特拉華州

 

26-3931704

(述明或其他司法管轄權

公司或組織)

 

(稅務局僱主

識別碼)

 

威爾斯大道85號,2樓

牛頓, 體量

 

02459

(主要行政辦公室地址)

 

(郵政編碼)

 

(617) 658-0600

(註冊人的電話號碼,包括區號)

根據該法第12(B)條登記的證券:

每個班級的標題

 

交易

符號

 

各交易所名稱

在其上註冊的

普通股,面值0.0001美元

 

KPTI

 

納斯達克全球精選市場

 

用複選標記表示註冊人(1)是否在過去12個月內(或註冊人被要求提交此類報告的較短時間內)提交了1934年《證券交易法》第13條或15(D)節要求提交的所有報告,以及(2)在過去90天內是否符合此類提交要求。 ☒ 沒有 ☐

用複選標記表示註冊人是否在過去12個月內(或在註冊人被要求提交此類文件的較短時間內)以電子方式提交了根據S-T規則第405條(本章232.405節)要求提交的每個交互數據文件。 ☒ 沒有預設

用複選標記表示註冊人是大型加速申報公司、加速申報公司、非加速申報公司、較小的報告公司或新興成長型公司。請參閱《交易法》第12b-2條規則中「大型加速申報公司」、「加速申報公司」、「較小申報公司」和「新興成長型公司」的定義。

大型加速文件服務器

加速文件管理器

非加速文件服務器

規模較小的報告公司

新興成長型公司

 

如果是一家新興的成長型公司,用複選標記表示註冊人是否已選擇不使用延長的過渡期來遵守根據《交易所法》第13(A)節提供的任何新的或修訂的財務會計準則。☐

通過勾選標記檢查註冊人是否是空殼公司(定義見《交易法》第120億.2條)。 是的 ☐ 沒有

截至2024年10月31日,已有 125,314,506 普通股,每股面值0.0001美元,已發行。

 

 


目錄表

內容

 

 

 

第一部分- 財務信息

 

2

 

 

 

 

 

第1項。

 

簡明合併財務報表(未經審計)

 

2

 

 

簡明綜合資產負債表

 

2

 

 

簡明綜合業務報表

 

3

 

 

簡明綜合全面收益表(損益表)

 

4

 

 

現金流量表簡明合併報表

 

5

 

 

股東虧損簡明合併報表

 

6

 

 

簡明合併財務報表附註

 

7

第二項。

 

管理層對財務狀況和經營成果的探討與分析

 

20

第三項。

 

關於市場風險的定量和定性披露

 

28

第四項。

 

控制和程序

 

28

 

 

 

 

 

 

 

第II部- 其他信息

 

29

 

 

 

 

第1A項。

 

風險因素

 

29

第五項。

 

其他信息

 

77

第六項。

 

陳列品

 

78

 

 

簽名

 

79

 

1


目錄表

第一部分--融資AL信息

項目1.凝聚康固已修訂的財務報表(未經審計)。

KaryophARm THERAPEUTICS Inc.

濃縮合並ED資產負債表

(未經審計)

(以千爲單位,每股除外)

 

 

 

9月30日,
2024

 

 

十二月三十一日,
2023

 

資產

 

 

 

 

 

 

流動資產:

 

 

 

 

 

 

現金及現金等價物

 

$

72,828

 

 

$

52,231

 

投資

 

 

60,698

 

 

 

139,212

 

應收賬款淨額

 

 

31,778

 

 

 

26,962

 

庫存

 

 

4,672

 

 

 

3,043

 

預付費用和其他流動資產

 

 

14,746

 

 

 

11,813

 

受限現金

 

 

33

 

 

 

660

 

流動資產總額

 

 

184,755

 

 

 

233,921

 

財產和設備,淨額

 

 

495

 

 

 

606

 

經營性租賃使用權資產

 

 

2,586

 

 

 

4,276

 

受限現金

 

 

306

 

 

 

301

 

其他資產

 

 

1,334

 

 

 

1,334

 

總資產

 

$

189,476

 

 

$

240,438

 

負債和股東赤字

 

 

 

 

 

 

流動負債:

 

 

 

 

 

 

應付帳款

 

$

5,783

 

 

$

3,123

 

應計費用

 

 

50,105

 

 

 

61,394

 

經營租賃負債

 

 

3,668

 

 

 

3,308

 

其他流動負債

 

 

1,937

 

 

 

1,654

 

流動負債總額

 

 

61,493

 

 

 

69,479

 

2025年到期的可轉換優先票據

 

 

24,392

 

 

 

170,919

 

2029年到期的可轉換優先票據

 

 

72,091

 

 

 

 

高級擔保定期貸款

 

 

94,109

 

 

 

 

延期使用費義務

 

 

73,499

 

 

 

132,479

 

普通股認股權證

 

 

17,355

 

 

 

 

經營租賃負債,扣除當期部分

 

 

 

 

 

2,789

 

其他負債

 

 

6,184

 

 

 

978

 

總負債

 

 

349,123

 

 

 

376,644

 

股東赤字:

 

 

 

 

 

 

優先股,$0.0001票面價值;5,000授權股份;已發行和未償還的債券

 

 

 

 

 

 

普通股,$0.0001票面價值;400,000授權股份;125,303114,915 分別截至2024年9月30日和2023年12月31日已發行和發行股票

 

 

13

 

 

 

12

 

額外實收資本

 

 

1,373,242

 

 

 

1,350,981

 

累計其他綜合損失

 

 

(222

)

 

 

(161

)

累計赤字

 

 

(1,532,680

)

 

 

(1,487,038

)

股東總虧損額

 

 

(159,647

)

 

 

(136,206

)

總負債和股東赤字

 

$

189,476

 

 

$

240,438

 

 

見簡明合併財務報表附註。

2


目錄表

KaryophARm THERAPEUTICS Inc.

濃縮合並S操作的狀態

(未經審計)

(以千爲單位,每股除外)

 

 

 

截至9月30日的三個月,

 

 

在截至9月30日的9個月內,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

收入:

 

 

 

 

 

 

 

 

 

 

 

 

產品收入,淨額

 

$

29,516

 

 

$

30,207

 

 

$

83,554

 

 

$

86,955

 

許可證和其他收入

 

 

9,267

 

 

 

5,802

 

 

 

31,141

 

 

 

25,331

 

總收入

 

 

38,783

 

 

 

36,009

 

 

 

114,695

 

 

 

112,286

 

運營費用:

 

 

 

 

 

 

 

 

 

 

 

 

銷售成本

 

 

1,300

 

 

 

911

 

 

 

4,676

 

 

 

3,456

 

研發

 

 

36,134

 

 

 

35,553

 

 

 

109,930

 

 

 

99,369

 

銷售、一般和行政

 

 

27,632

 

 

 

30,805

 

 

 

88,251

 

 

 

101,193

 

總運營支出

 

 

65,066

 

 

 

67,269

 

 

 

202,857

 

 

 

204,018

 

運營虧損

 

 

(26,283

)

 

 

(31,260

)

 

 

(88,162

)

 

 

(91,732

)

其他收入(支出):

 

 

 

 

 

 

 

 

 

 

 

 

利息收入

 

 

1,832

 

 

 

2,750

 

 

 

5,918

 

 

 

8,423

 

利息開支

 

 

(11,385

)

 

 

(6,073

)

 

 

(26,218

)

 

 

(17,615

)

債務清償收益

 

 

 

 

 

 

 

 

44,702

 

 

 

 

其他收入(費用),淨額

 

 

3,792

 

 

 

89

 

 

 

18,284

 

 

 

(145

)

其他收入(費用)合計,淨額

 

 

(5,761

)

 

 

(3,234

)

 

 

42,686

 

 

 

(9,337

)

所得稅前虧損

 

 

(32,044

)

 

 

(34,494

)

 

 

(45,476

)

 

 

(101,069

)

所得稅撥備

 

 

(28

)

 

 

(12

)

 

 

(166

)

 

 

(193

)

淨虧損

 

$

(32,072

)

 

$

(34,506

)

 

$

(45,642

)

 

$

(101,262

)

每股基本淨虧損(注7)

 

$

(0.26

)

 

$

(0.30

)

 

$

(0.38

)

 

$

(0.89

)

稀釋每股淨虧損(注7)

 

$

(0.26

)

 

$

(0.30

)

 

$

(0.69

)

 

$

(0.89

)

加權平均已發行普通股數
計算每股基本淨虧損

 

 

125,010

 

 

 

114,401

 

 

 

120,513

 

 

 

114,033

 

加權平均已發行普通股數
計算每股稀釋淨虧損

 

 

125,010

 

 

 

114,401

 

 

 

126,606

 

 

 

114,033

 

 

見簡明合併財務報表附註。

3


目錄表

KaryophARm THERAPEUTICS Inc.

凝結鞏固狀態綜合收入(損失)

(未經審計)

(單位:千)

 

 

截至9月30日的三個月,

 

 

在截至9月30日的9個月內,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

淨虧損

 

$

(32,072

)

 

$

(34,506

)

 

$

(45,642

)

 

$

(101,262

)

其他全面收益(虧損)

 

 

 

 

 

 

 

 

 

 

 

 

投資未實現收益(虧損)

 

 

291

 

 

 

169

 

 

 

242

 

 

 

(95

)

外幣折算調整

 

 

92

 

 

 

(128

)

 

 

(303

)

 

 

(9

)

綜合損失

 

$

(31,689

)

 

$

(34,465

)

 

$

(45,703

)

 

$

(101,366

)

 

見簡明合併財務報表附註。

4


目錄

KaryophARm THERAPEUTICS Inc.

凝結合併ST現金流的參與者

(未經審計)

(in數千)

 

 

 

截至9月30日的九個月內,

 

 

 

2024

 

 

2023

 

經營活動

 

 

 

 

 

 

淨虧損

 

$

(45,642

)

 

$

(101,262

)

將淨虧損與經營活動中使用的淨現金進行調節的調整:

 

 

 

 

 

 

基於股票的補償費用

 

 

14,562

 

 

 

16,527

 

折舊及攤銷

 

 

259

 

 

 

453

 

債務發行成本和折扣攤銷

 

 

4,012

 

 

 

597

 

投資溢價和折扣淨攤銷

 

 

(2,112

)

 

 

(3,077

)

消除債務的收益

 

 

(44,702

)

 

 

 

嵌入式衍生品和普通股證的公允價值變化

 

 

(18,343

)

 

 

 

經營資產和負債變化:

 

 

 

 

 

 

應收帳款,淨額

 

 

(4,816

)

 

 

9,163

 

庫存

 

 

(1,629

)

 

 

1,119

 

預付費用和其他資產

 

 

(2,933

)

 

 

5,612

 

經營租賃使用權資產

 

 

1,690

 

 

 

1,442

 

應付帳款

 

 

2,660

 

 

 

(1,830

)

應計費用和其他負債

 

 

(2,253

)

 

 

(776

)

經營租賃負債

 

 

(2,429

)

 

 

(2,106

)

經營活動所用現金淨額

 

 

(101,676

)

 

 

(74,138

)

投資活動

 

 

 

 

 

 

投資到期收益

 

 

138,187

 

 

 

123,688

 

購買投資

 

 

(57,316

)

 

 

(142,591

)

購買財產和設備

 

 

(195

)

 

 

 

投資活動提供(用於)的淨現金

 

 

80,676

 

 

 

(18,903

)

融資活動

 

 

 

 

 

 

發放高級擔保定期貸款的收益

 

 

83,300

 

 

 

 

行使股票期權和根據員工股票購買計劃發行的股票的收益

 

 

772

 

 

 

860

 

支付債務發行成本

 

 

(2,588

)

 

 

 

支付延期特許權使用費義務

 

 

(40,518

)

 

 

 

融資活動提供的淨現金

 

 

40,966

 

 

 

860

 

價位對現金、現金等值物和受限制現金的影響

 

 

9

 

 

 

(123

)

現金、現金等值物和限制性現金淨增加(減少)

 

 

19,975

 

 

 

(92,304

)

年初現金、現金等值物和限制性現金

 

 

53,192

 

 

 

136,885

 

期末現金、現金等值物和限制性現金

 

$

73,167

 

 

$

44,581

 

簡明綜合資產負債表內報告的現金、現金等值物和限制性現金的對帳

 

 

 

 

 

 

現金及現金等價物

 

$

72,828

 

 

$

43,655

 

短期限制現金

 

 

33

 

 

 

545

 

長期限制現金

 

 

306

 

 

 

381

 

現金、現金等值物和限制現金總額

 

$

73,167

 

 

$

44,581

 

補充披露:

 

 

 

 

 

 

為遞延特許權使用費義務利息支付的現金

 

$

18,926

 

 

$

12,225

 

可轉換債務和定期貸款利息支付的現金

 

$

11,472

 

 

$

2,588

 

為經營租賃負債計量中包含的金額支付的現金

 

$

2,844

 

 

$

2,770

 

2029年到期的可轉換優先票據,並附有購買憑證 45,776,213 普通股換取美金148.0 2025年到期的可轉換優先票據減少百萬美金

 

$

111,000

 

 

$

 

發放高級有擔保定期貸款以換取美金14.7 推遲特許權使用費義務減少百萬

 

$

15,000

 

 

$

 

發行普通股用於結算與融資活動相關的財務諮詢費

 

$

7,697

 

 

$

 

2029年到期的可轉換優先票據以換取美金5.0 推遲特許權使用費義務減少百萬

 

$

5,000

 

 

$

 

 

見簡明合併財務報表附註。

5


目錄

KaryophARm THERAPEUTICS Inc.

濃縮合並聲明股東赤字淨值

(未經審計)

(單位:千)

 

 

 

普通股

 

 

其他內容
已繳費
資本

 

 

累計
其他
綜合(損失)
收入

 

 

累計
赤字

 

 


股東的
赤字

 

 

 

股份

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

截至2024年6月30日餘額

 

 

124,635

 

 

$

13

 

 

$

1,369,060

 

 

$

(605

)

 

$

(1,500,608

)

 

$

(132,140

)

限制性股票的歸屬

 

 

668

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

基於股票的薪酬

 

 

 

 

 

 

 

 

4,182

 

 

 

 

 

 

 

 

 

4,182

 

投資未實現收益

 

 

 

 

 

 

 

 

 

 

 

291

 

 

 

 

 

 

291

 

外幣累計換算調整

 

 

 

 

 

 

 

 

 

 

 

92

 

 

 

 

 

 

92

 

淨虧損

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(32,072

)

 

 

(32,072

)

截至2024年9月30日餘額

 

 

125,303

 

 

$

13

 

 

$

1,373,242

 

 

$

(222

)

 

$

(1,532,680

)

 

$

(159,647

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

截至2023年6月30日的餘額

 

 

114,340

 

 

$

12

 

 

$

1,340,218

 

 

$

(783

)

 

$

(1,410,695

)

 

$

(71,248

)

限制性股票的歸屬

 

 

183

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

基於股票的薪酬

 

 

 

 

 

 

 

 

5,078

 

 

 

 

 

 

 

 

 

5,078

 

發行普通股認股權證

 

 

 

 

 

 

 

 

239

 

 

 

 

 

 

 

 

 

239

 

投資未實現收益

 

 

 

 

 

 

 

 

 

 

 

169

 

 

 

 

 

 

169

 

外幣累計換算調整

 

 

 

 

 

 

 

 

 

 

 

(128

)

 

 

 

 

 

(128

)

淨虧損

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(34,506

)

 

 

(34,506

)

截至2023年9月30日的餘額

 

 

114,523

 

 

$

12

 

 

$

1,345,535

 

 

$

(742

)

 

$

(1,445,201

)

 

$

(100,396

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

截至2023年12月31日的餘額

 

 

114,915

 

 

$

12

 

 

$

1,350,981

 

 

$

(161

)

 

$

(1,487,038

)

 

$

(136,206

)

限制性股票的歸屬

 

 

2,361

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

根據員工股票購買計劃發行的股票

 

 

1,155

 

 

 

 

 

 

772

 

 

 

 

 

 

 

 

 

772

 

發行普通股用於財務顧問費

 

 

6,872

 

 

 

1

 

 

 

6,927

 

 

 

 

 

 

 

 

 

6,928

 

基於股票的薪酬

 

 

 

 

 

 

 

 

14,562

 

 

 

 

 

 

 

 

 

14,562

 

投資未實現收益

 

 

 

 

 

 

 

 

 

 

 

242

 

 

 

 

 

 

242

 

外幣累計換算調整

 

 

 

 

 

 

 

 

 

 

 

(303

)

 

 

 

 

 

(303

)

淨虧損

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(45,642

)

 

 

(45,642

)

截至2024年9月30日餘額

 

 

125,303

 

 

$

13

 

 

$

1,373,242

 

 

$

(222

)

 

$

(1,532,680

)

 

$

(159,647

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

截至2022年12月31日的餘額

 

 

113,213

 

 

$

12

 

 

$

1,327,909

 

 

$

(638

)

 

$

(1,343,939

)

 

$

(16,656

)

限制性股票的歸屬

 

 

1,019

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

行使根據員工股票購買計劃發行的股票期權和股票

 

 

291

 

 

 

 

 

 

860

 

 

 

 

 

 

 

 

 

860

 

基於股票的薪酬

 

 

 

 

 

 

 

 

16,527

 

 

 

 

 

 

 

 

 

16,527

 

發行普通股認股權證

 

 

 

 

 

 

 

 

239

 

 

 

 

 

 

 

 

 

239

 

投資未實現虧損

 

 

 

 

 

 

 

 

 

 

 

(95

)

 

 

 

 

 

(95

)

外幣累計換算調整

 

 

 

 

 

 

 

 

 

 

 

(9

)

 

 

 

 

 

(9

)

淨虧損

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(101,262

)

 

 

(101,262

)

截至2023年9月30日的餘額

 

 

114,523

 

 

$

12

 

 

$

1,345,535

 

 

$

(742

)

 

$

(1,445,201

)

 

$

(100,396

)

 

見簡明合併財務報表附註。

6


目錄表

KaryophARm THERAPEUTICS Inc.

關於凝聚詞的註記OLIDATED財務報表

1.業務性質及呈報依據

業務性質

卡里奧帕姆治療公司是特拉華州的一家公司(與其子公司統稱爲「公司」、「我們」、「我們」或「我們的」),是一家商業階段的製藥公司,開創了新的癌症療法,致力於發現、開發和商業化針對治療癌症和其他疾病的核出口的一流藥物。我們於2008年12月22日在特拉華州註冊成立,主要營業地點在馬薩諸塞州牛頓市。

我們的科學專長是基於對細胞核和細胞質之間的細胞內通訊調節的理解。我們已經發現並正在開發新型的小分子選擇性核出口化合物抑制劑,這些化合物可以抑制核出口蛋白Exportin 1。我們的主要重點是營銷XPOVIO®(Selinexor)在其目前批准的適應症中,以及開發和尋求監管機構批准Selinexor作爲針對多種高度未滿足的癌症適應症的口服藥物,包括我們治療子宮內膜癌、多發性骨髓瘤和骨髓纖維化的核心計劃。

我們的主要資產XPOVIO於2019年7月獲得美國食品和藥物管理局(FDA)的初步批准,目前批准並上市的適應症如下:(I)與Bortezomib和地塞米松聯合用於治療既往至少接受過一種治療的多發性骨髓瘤成人患者;(Ii)與地塞米松聯合用於治療已接受至少四種治療且其疾病對至少兩種蛋白酶體抑制劑、至少兩種免疫調節劑和抗CD38單抗無效的成人多發性骨髓瘤患者;以及(Iii)用於治療復發或難治性瀰漫性大b細胞淋巴瘤(「DLBCL」)的成人患者,包括濾泡性淋巴瘤引起的DLBCL,在至少兩條系統治療後。XPOVIO和NEXPOVIO(Selinexor在歐洲和英國的品牌名稱)在美國以外的商業化由我們在各自地區的合作伙伴管理。XPOVIO/NEXPOVIO已在美國以外的45個國家/地區獲得監管批准,並在越來越多的國家/地區投入商業使用,因爲我們的合作伙伴繼續確保獲得報銷批准。

流動性、資本資源和持續經營

截至2024年9月30日,我們有$133.5百萬現金、現金等價物和投資,累計赤字#美元1.5十億美元。自我們成立以來,我們已經發生了嚴重的運營虧損,我們預計,爲了維持我們的研發計劃,包括我們繼續開發和尋求監管部門批准Selinexor用於多種癌症適應症,以及支持我們的持續運營,我們將繼續遭受重大運營虧損。因此,我們的持續運營取決於我們在XPOVIO目前批准的適應症中籌集額外資金和營銷XPOVIO的能力。根據我們目前的業務計劃和目前的資本資源,再加上能否獲得額外資金的不確定性,我們得出的結論是,在這些精簡合併財務報表發佈之日起一年內,我們作爲一家持續經營的企業繼續經營的能力存在很大疑問。我們計劃通過股權發行、債務融資和再融資、合作、戰略聯盟和/或許可安排等方式,解決令人對我們能否繼續經營下去的能力產生重大懷疑的條件,以獲得額外資金。然而,我們不能保證這些額外的資金會以我們可以接受的條件提供,或者根本不能。我們還可能被要求在可能的情況下減少目前的支出要求。

如果我們利用資本資源的速度快於預期,或無法獲得額外資金,我們可能不得不大幅削減、推遲、減少或取消我們的一個或多個研發計劃,或我們一個或多個產品或候選產品的任何當前或未來的商業化努力,這可能會對我們的業務、財務狀況和運營結果產生實質性的不利影響。如果我們無法繼續經營下去,我們可能不得不清算我們的資產,並可能獲得低於這些資產在我們財務報表上的價值,投資者很可能會失去他們的全部或部分投資。如果我們尋求額外的融資來資助我們未來的商業活動,而我們作爲一家持續經營的企業的能力仍然存在很大的疑問,投資者或其他融資來源可能不願以商業合理的條款向我們提供資金,如果有的話。隨附的簡明綜合財務報表並不包括對賬面金額及資產及負債分類的任何調整,如我們無法繼續經營下去,該等調整可能是必需的。

7


目錄表

陳述的基礎

本公司所附未經審核簡明綜合財務報表乃根據美國中期財務報告公認會計原則(「公認會計原則」)及S-X法規第10-01條的規定編制。因此,它們不包括公認會計准則要求的完整財務報表所需的所有信息和腳註。我們認爲,所有被認爲是公平列報中期財務信息所必需的調整(包括正常和經常性的調整)都已包括在內。在根據公認會計原則編制財務報表時,我們必須做出影響財務報表日期資產、負債、收入、費用和相關披露報告金額的估計和假設。實際結果可能與這些估計不同。此外,截至2024年9月30日的三個月和九個月的經營業績不一定代表任何其他中期或截至2024年12月31日的財政年度的預期結果。欲了解更多信息,請參閱我們於2024年2月29日提交給美國證券交易委員會(SEC)的截至2023年12月31日的Form 10-k年度報告(「年度報告」)中包含的財務報表和腳註。

鞏固的基礎

截至2024年9月30日的簡明綜合財務報表包括卡里奧帕姆治療公司及其全資子公司的賬目。所有公司間餘額和交易均已在合併中沖銷。

編制本表格10-Q中的這些簡明合併財務報表所使用的重要會計政策與附註2中討論的政策一致。重要會計政策摘要在我們的年度報告中。

2.產品收入

迄今爲止,我們唯一的產品收入來源是XPOVIO在美國的銷售。產品淨收入(包括主要由分銷費和現金折扣組成的撥備,以及退款、回扣和退貨準備金)如下(以千計):

 

 

 

這三個月
截至9月30日,

 

 

在九個月裏
截至9月30日,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

生產總值收入

 

$

43,031

 

 

$

37,981

 

 

$

119,457

 

 

$

111,387

 

產品收入撥備

 

 

(13,515

)

 

 

(7,774

)

 

 

(35,903

)

 

 

(24,432

)

產品總收入,淨額

 

$

29,516

 

 

$

30,207

 

 

$

83,554

 

 

$

86,955

 

 

截至2024年9月30日和2023年12月31日,產品淨收入爲美元24.5 億和$17.8 分別計入應收賬款。迄今爲止,我們已經 不是 壞賬覈銷,我們目前沒有任何客戶的信用問題。有 不是 與應收賬款相關的信用損失 2024年9月30日 和2023年12月31日。

3.庫存

下表列出了我們的庫存(以千計),所有庫存均與XPOVIO相關:

 

 

 

截至2024年9月30日

 

 

截至2023年12月31日

 

原料

 

$

720

 

 

$

553

 

Oracle Work in Process

 

 

3,410

 

 

 

1,732

 

成品

 

 

542

 

 

 

758

 

總庫存

 

$

4,672

 

 

$

3,043

 

 

4.許可協議

在前期,我們與Berlin-Chemie AG(美納里尼集團(「美納里尼」)的附屬公司)和Glasgene Therapeutics Limited(「Glasgene」)簽訂了許可協議,這兩家公司均計入會計準則法典606的範圍內, 與客戶簽訂合同的收入.有關這些合同條款和會計處理考慮的更多詳細信息,請參閱注5,”許可證和資產購買協議,”至年度報告第8項所載的合併財務報表。

8


目錄表

下表列出了有關我們的許可證和其他收入(以千計)的信息:

 

 

這三個月
截至9月30日,

 

 

在九個月裏
截至9月30日,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Menarini

 

$

8,753

 

 

$

5,564

 

 

$

27,232

 

 

$

19,912

 

蚯蚓基因

 

 

273

 

 

 

80

 

 

 

1,272

 

 

 

1,952

 

其他

 

 

241

 

 

 

158

 

 

 

2,637

 

 

 

3,467

 

許可證和其他收入總額

 

$

9,267

 

 

$

5,802

 

 

$

31,141

 

 

$

25,331

 

 

截至2024年9月30日的三個月內,我們承認了$6.0 百萬里程碑收入,美元2.0 百萬收入用於報銷發展相關費用,以及美元0.5 來自梅納里尼的數百萬版稅收入。我們還認可了美元0.3 來自Glasgene的數百萬版稅收入。

 

截至2023年9月30日的三個月內,我們確認了美元5.4 數百萬美元的收入用於報銷美納里尼的發展相關費用。

 

截至2024年9月30日的九個月內,我們承認了$15.0 用於報銷發展相關費用的百萬收入,美元10.0 百萬里程碑收入,美元1.6 百萬的版稅收入和美元0.6 來自美納里尼的數百萬美元其他收入。我們還認可了美元1.2 來自Thomgene和美元的百萬版稅收入2.0 數百萬美元的其他里程碑相關收入。

截至2023年9月30日的九個月內,我們確認了美元15.0 用於報銷發展相關費用的百萬收入,美元3.5 百萬許可相關收入,美元0.7 百萬的版稅收入和美元0.7 來自美納里尼的數百萬美元其他收入。我們還認可了美元1.5 百萬版稅收入和美元0.5 來自Incregene的數百萬美元其他收入。此外,我們還認可了美元2.5 其他里程碑相關收入百萬美元和美元0.5 數百萬美元的其他版稅收入。

截至2024年9月30日,許可證及其他收入爲美元7.2 百萬美元計入應收賬款。截至2023年12月31日,許可證和其他收入爲美元9.1 億和$1.0 百萬美元分別計入應收賬款和其他流動資產。

5.公允價值計量

金融工具,包括現金、現金等價物、應收賬款、淨額、其他流動資產、其他資產、限制性現金、應付賬款和應計費用,以截至2024年9月30日和2023年12月31日的近似公允價值列報。

公允價值是指在計量日在市場參與者之間的有序交易中出售一項資產所收到的價格或轉移一項負債所支付的價格。我們披露按公允價值報告的所有資產和負債的信息,以便評估用於確定報告公允價值的投入。公允價值層次結構根據這些投入的可觀察性質確定這些投入的優先順序。公允價值分級只適用於確定報告公允價值時使用的估值投入,而不是信用質量的衡量標準。該層次結構定義了三個評估輸入級別:

第1級-相同資產或負債在活躍市場的報價

第2級-第1級中的報價以外的直接或間接可觀察到的資產或負債的投入

第3級-反映市場參與者在爲資產或負債定價時使用的假設的不可觀察的輸入

被歸類爲2級的項目包括公司債務證券、商業票據以及美國政府和機構證券。我們通過考慮從第三方定價來源獲得的估值來估計這些有價證券的公允價值。這些定價來源使用行業標準估值模型,包括收入和基於市場的方法,對於這些模型,所有重要的投入都可以直接或間接地觀察到,以估計公允價值。這些輸入包括基於相同或類似證券的實時交易數據的市場定價、發行人信用利差、基準收益率和其他可觀察的輸入。我們通過了解使用的模型、從其他定價來源獲取市場價值以及在某些情況下分析定價數據來驗證我們的第三方定價來源提供的價格。

9


目錄表

下表列出了有關我們按公允價值計量的金融資產的信息,並表明用於確定該公允價值的估值輸入數據的公允價值等級(以千計):

 

 

 

截至2024年9月30日

 

 

引用
價格
處於活動狀態
相同資產市場
(1級)

 

 

意義重大
其他
可觀察到的
輸入量
(2級)

 

 

意義重大
看不見
輸入量
(3級)

 

現金等價物:

 

 

 

 

 

 

 

 

 

 

 

 

貨幣市場基金

 

$

58,412

 

 

$

58,412

 

 

$

 

 

$

 

商業票據

 

 

1,988

 

 

 

 

 

 

1,988

 

 

 

 

投資:

 

 

 

 

 

 

 

 

 

 

 

 

公司債務證券

 

 

44,192

 

 

 

 

 

 

44,192

 

 

 

 

商業票據

 

 

7,601

 

 

 

 

 

 

7,601

 

 

 

 

美國政府和機構證券

 

 

8,905

 

 

 

 

 

 

8,905

 

 

 

 

 

$

121,098

 

 

$

58,412

 

 

$

62,686

 

 

$

 

 

 

 

截至2023年12月31日

 

 

引用
價格
處於活動狀態
相同資產市場
(1級)

 

 

意義重大
其他
可觀察到的
輸入量
(2級)

 

 

意義重大
看不見
輸入量
(3級)

 

現金等價物:

 

 

 

 

 

 

 

 

 

 

 

 

貨幣市場基金

 

$

27,963

 

 

$

27,963

 

 

$

 

 

$

 

美國政府和機構證券

 

 

1,998

 

 

 

 

 

 

1,998

 

 

 

 

投資:

 

 

 

 

 

 

 

 

 

 

 

 

公司債務證券

 

 

77,961

 

 

 

 

 

 

77,961

 

 

 

 

商業票據

 

 

13,744

 

 

 

 

 

 

13,744

 

 

 

 

美國政府和機構證券

 

 

47,507

 

 

 

 

 

 

47,507

 

 

 

 

 

$

169,173

 

 

$

27,963

 

 

$

141,210

 

 

$

 

在估值投入活動有限或透明度較低的某些情況下,相關資產或負債被歸類爲第三級。以下負債在每個報告期結束時按公允價值計量,公允價值變動確認爲其他收入(費用)的組成部分,在我們的簡明綜合經營報表中淨額。見附註10,“長期債務“到我們的簡明綜合財務報表,進一步討論這些負債:

(1)
與我們於2019年9月與Healthcare Royalty Partners III,L.P.及Healthcare Royalty Partners IV,L.P.訂立並於2021年6月、2023年8月及2024年5月修訂(經修訂,「經修訂收入利息協議」)的收入利息融資協議(「收入利息協議」)相關的嵌入衍生負債(「經修訂收入利息協議」)作爲遞延許可使用費責任的一部分計入我們的簡明綜合資產負債表。HCRx衍生工具的估值方法納入若干無法觀察到的第3級關鍵指標,包括:(I)XPOVIO及我們任何其他未來產品的概率加權淨銷售額,包括全球產品淨銷售額、預付款、里程碑及特許權使用費;(Ii)經風險調整的貼現率;及(Iii)在工具有效期內控制權發生變化的可能性。HCRx衍生品被認爲在2024年9月30日具有去最小值主要是由於一美元56.2年內遞延特許權使用費債務減少百萬截至2024年9月30日的9個月。
(2)
與我們將於2029年到期的6.00%可轉換優先票據(「2029年票據」)相關的內含衍生工具負債(「2029年票據衍生工具」)作爲2029年票據的組成部分計入我們的簡明綜合資產負債表。2029年票據衍生工具的估值方法納入了某些無法觀察到的3級關鍵信息,包括:(I)我們普通股價格的波動性和(Ii)我們估計的信用利差。
(3)
認股權證最多可購買45.8於2024年5月發行的百萬股普通股(「2024年5月認股權證」)在我們的簡明綜合資產負債表中列爲長期負債。2024年5月認股權證的估值方法納入了某些無法觀察到的第3級關鍵因素,包括:(I)我們普通股價格的波動性和(Ii)基於期權定價模型對2024年5月認股權證何時行使的估計。

10


目錄表

 

下表列出了這些負債的估計公允價值變化摘要,這些負債均被歸類爲第三級(以千計):

 

 

 

HCRx衍生物

 

 

2029年票據衍生品

 

 

2024年5月令

 

截至2023年12月31日的餘額

 

$

2,800

 

 

$

 

 

$

 

初始識別

 

 

 

 

 

28,877

 

 

 

23,284

 

公允價值變動

 

 

(2,800

)

 

 

(9,614

)

 

 

(5,929

)

截至2024年9月30日餘額

 

$

 

 

$

19,263

 

 

$

17,355

 

 

6.投資

下表總結了我們的投資,這些投資被歸類爲可供出售並按公允價值(以千計)記錄:

 

 

 

截至2024年9月30日

 

 

 

攤銷
成本

 

 


未實現
收益

 

 


未實現
損失

 

 

合計公允價值

 

公司債務證券

 

$

44,024

 

 

$

171

 

 

$

(3

)

 

$

44,192

 

商業票據

 

 

7,596

 

 

 

6

 

 

 

(1

)

 

 

7,601

 

美國政府和機構證券

 

 

8,904

 

 

 

2

 

 

 

(1

)

 

 

8,905

 

 

$

60,524

 

 

$

179

 

 

$

(5

)

 

$

60,698

 

 

 

 

截至2023年12月31日

 

 

 

攤銷
成本

 

 


未實現
收益

 

 


未實現
損失

 

 

合計公允價值

 

公司債務證券

 

$

78,004

 

 

$

79

 

 

$

(122

)

 

$

77,961

 

商業票據

 

 

13,734

 

 

 

13

 

 

 

(3

)

 

 

13,744

 

美國政府和機構證券

 

 

47,543

 

 

 

4

 

 

 

(40

)

 

 

47,507

 

 

$

139,281

 

 

$

96

 

 

$

(165

)

 

$

139,212

 

我們在購買時確定我們的投資的適當分類。我們所有的投資都報告爲短期投資,因爲它們可以在正常的商業週期中使用。當任何投資的公允價值低於其攤銷成本,並且有證據表明該投資的賬面價值在合理期間內無法收回時,我們就會對其進行審查。我們評估公允價值的下降是否是信用損失或其他因素造成的。在作出這項評估時,吾等會考慮公允價值低於攤銷成本的程度、評級機構對證券評級的任何改變,以及與證券特別有關的不利條件等因素。如果這項評估表明存在信貸損失,則將預期從投資中收取的現金流量現值與其攤銷成本基礎進行比較。如果預期收取的現金流量現值低於攤餘成本基礎,則存在信貸損失,並在我們的簡明綜合資產負債表上計入信貸損失準備,但受公允價值低於攤餘成本基礎的金額限制。任何與信貸損失無關的減值都在其他全面收益(虧損)中確認。

信貸損失準備的變化被記錄爲信貸損失費用的準備金(或沖銷)。當我們認爲一項投資的無法收回的情況得到確認,或者當有關出售意向或要求的任何一項標準得到滿足時,損失就被計入備抵。我們舉行了841截至的債務證券分別爲2024年9月30日和2023年12月31日,處於未實現虧損狀態。截至2024年9月30日的未實現虧損和2023年12月31日是由於利率的變化,我們確實是這樣做的不是I don‘我不認爲任何未實現的損失就是信貸損失。

我們不打算在收回其攤銷成本基礎之前出售該等投資,該等成本基礎可能已到期。我們所有的投資都在2024年9月30日起兩年內到期. 下表彙總了我們未記錄信貸損失準備的未實現虧損頭寸中的投資,按投資類型和持續未實現虧損頭寸的時間長度彙總(以千計):

11


目錄表

 

 

 

截至2024年9月30日

 

 

 

少於12個月

 

 

12個月或更長時間

 

 

 

 

 

總相關公允價值

 

 

未實現
損失

 

 

總相關公允價值

 

 

未實現
損失

 

 

總相關公允價值

 

 

未實現
損失

 

公司債務證券

 

$

5,688

 

 

$

(3

)

 

$

 

 

$

 

 

$

5,688

 

 

$

(3

)

商業票據

 

 

2,660

 

 

 

(1

)

 

 

 

 

 

 

 

 

2,660

 

 

 

(1

)

美國政府和機構證券

 

 

3,933

 

 

 

(1

)

 

 

 

 

 

 

 

 

3,933

 

 

 

(1

)

 

$

12,281

 

 

$

(5

)

 

$

 

 

$

 

 

$

12,281

 

 

$

(5

)

 

 

 

截至2023年12月31日

 

 

 

少於12個月

 

 

12個月或更長時間

 

 

 

 

 

總相關公允價值

 

 

未實現
損失

 

 

總相關公允價值

 

 

未實現
損失

 

 

總相關公允價值

 

 

未實現
損失

 

公司債務證券

 

$

50,322

 

 

$

(112

)

 

$

4,279

 

 

$

(10

)

 

$

54,601

 

 

$

(122

)

商業票據

 

 

6,952

 

 

 

(3

)

 

 

 

 

 

 

 

 

6,952

 

 

 

(3

)

美國政府和機構證券

 

 

27,191

 

 

 

(37

)

 

 

1,997

 

 

 

(3

)

 

 

29,188

 

 

 

(40

)

 

$

84,465

 

 

$

(152

)

 

$

6,276

 

 

$

(13

)

 

$

90,741

 

 

$

(165

)

 

7.每股淨虧損

每股普通股的基本淨虧損是用兩類法計算的,即分配給普通股的淨虧損除以當期已發行普通股的加權平均數量。每股攤薄淨虧損的計算方法是調整淨虧損以剔除潛在稀釋性普通股的影響,並將調整後的金額除以當期已發行普通股和潛在稀釋性普通股的加權平均數。如果潛在稀釋性普通股的影響是反稀釋性的,則不包括在內。

如附註10中進一步討論的,“長期債務“,我們有權爲我們的3.002025年到期的可轉換優先票據(「2025年票據」)的百分比爲現金、股票或兩者的任何組合。於年度內,2025年期票據對每股普通股攤薄虧損的計算並無影響截至2024年9月30日的三個月以及截至2023年9月30日的三個月和九個月,因爲它們在這些時期是反稀釋的。

如附註10中進一步討論的,“長期債務“,我們有權選擇以現金、股票或兩者的任何組合來結算我們2029年票據的轉換義務。在截至2024年9月30日的三個月和九個月期間,2029年債券對每股普通股攤薄虧損的計算沒有影響,因爲它們在這兩個時期是反攤薄的。

如附註11中進一步討論的,“普通股認股權證“,認股權證最多可購買55,563,775我們普通股的流通股截至2024年9月30日。這些認股權證不包括在每股基本淨虧損的計算中,因爲認股權證持有人沒有義務分擔我們的虧損。在截至2024年9月30日和2023年9月30日的三個月和九個月期間,這些認股權證對每股普通股攤薄虧損的計算沒有影響,因爲它們在這些時期是反攤薄的。

以下是用於計算稀釋後每股普通股淨虧損的分子和分母的對賬截至2024年9月30日的9個月(除每股金額外,以千計):

 

 

 

截至2024年9月30日的9個月

 

 

淨虧損

 

$

(45,642

)

 

加回2025年期票據的利息支出

 

 

2,518

 

 

加上消除債務的回報

 

 

(44,702

)

 

每股普通股稀釋淨虧損的分子(A)

 

$

(87,826

)

 

加權平均已發行普通股數量

 

 

120,513

 

 

使用如果轉換法計算的2025年票據的稀釋效應

 

 

6,093

 

 

每股普通股稀釋淨虧損的分母(B)

 

 

126,606

 

 

每股普通股稀釋淨虧損(= A / B)

 

$

(0.69

)

 

 

12


目錄表

以下潛在稀釋性證券因其在財政法下的反稀釋效應而被排除在每股普通股稀釋淨虧損的計算之外(單位:千):

 

 

 

截至9月30日,

 

 

 

2024

 

 

2023

 

未償普通股認購證

 

 

55,563,775

 

 

 

9,787,563

 

未償還股票期權

 

 

6,346

 

 

 

9,775

 

未歸屬的限制性股票單位

 

 

12,914

 

 

 

7,818

 

 

8.基於股票的補償費用

下表總結了包含在運營費用中的股票薪酬費用(單位:千):

 

 

 

截至9月30日的三個月,

 

 

在截至9月30日的9個月內,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

銷售成本

 

$

61

 

 

$

96

 

 

$

177

 

 

$

281

 

研發

 

 

1,062

 

 

 

1,298

 

 

 

3,775

 

 

 

5,138

 

銷售、一般和行政

 

 

3,059

 

 

 

3,684

 

 

 

10,610

 

 

 

11,108

 

 

$

4,182

 

 

$

5,078

 

 

$

14,562

 

 

$

16,527

 

 

我國修訂後的2022年股權激勵計劃(《2022年計劃》)規定授予激勵性股票期權、非法定股票期權、股票增值權、限制性股票獎勵、限制性股票單位獎勵和其他基於股票的獎勵。2024年5月29日,我們的股東批准了對2022年計劃的修正案,將2022年計劃下可供發行的普通股數量增加到6,000,000

2024年5月29日,我們的股東還批准了一項修訂後的2013年員工股票購買計劃(ESPP)的修正案,將根據ESPP可供發行的普通股數量增加5,000,000

我們與我們的財務顧問達成協議,就與附註10所述的2024年5月再融資交易相關的服務支付我們的費用。長期債務通過私募6,872,027我們普通股的股份,結果是$6.9百萬美元作爲債務發行成本資本化到我們的壓縮綜合資產負債表中,以及0.8百萬美元用於銷售、一般和行政費用,作爲基於股票的補償費用,用於我們的精簡綜合經營報表截至2024年9月30日的九個月.

9.股東權益

於2023年2月17日,我們與作爲代理的Jefferies LLC(「Jefferies」)簽訂了公開市場銷售協議(「2023年公開市場銷售協議」)。根據2023年公開市場銷售協議,我們可以發行和出售我們的普通股,總髮行價最高可達$100.0通過傑富瑞(「2023年公開市場發行」)不時獲得100萬股(「股票」)。

根據《2023年公開市場銷售協議》,傑富瑞可以按照修訂後的《1933年證券法》(下稱《證券法》)頒佈的第415(A)(4)條的規定,以「按市場發售」的方式出售股票。根據《2023年公開市場銷售協議》的條款和條件,吾等可按吾等不時厘定的金額及時間出售股份,但吾等並無義務出售2023年公開市場發售的任何股份。

吾等或傑富瑞在通知另一方並受其他條件限制後,可暫停或終止股份發售。我們已同意向傑富瑞支付其代理出售股份的佣金,金額最高可達3.00根據2023年公開市場銷售協議出售股份所得總收益的百分比。我們還同意向傑富瑞提供慣常的賠償和貢獻權。

我們做到了不是I don‘別賣了在截至2024年9月30日和2023年9月30日的三個月和九個月內,根據2023年公開市場銷售協議持有的任何股份。截至2024年9月30日,美元100.0有100萬股可供發行和出售根據《2023年公開市場銷售協議》。

13


目錄表

10.長期債務s

2025年筆記

2018年10月,我們發行了美元172.5根據證券法第144A條,2025年債券在向合格機構買家的非公開發行中的本金總額爲100萬美元。關於發行2025年債券,我們產生了$5.6百萬美元的債務發行成本,使用實際利息法攤銷爲利息支出七年了。2024年5月,我們交換了美元148.02025年發行的債券本金總額爲(I)$111.02029年發行的債券的本金總額爲百萬美元;及(Ii)2024年5月發行的認股權證最多可購買45.8百萬股我們的普通股。2029年的票據和2024年5月的認股權證將在下文中更詳細地介紹。$24.5在2024年5月的交換交易(「剩餘的2025年債券」)完成後,2025年債券的本金總額仍未償還。

餘下的2025年債券爲優先無抵押債券,息率爲3.00每年支付%,每半年支付一次,每年4月15日和10月15日拖欠。轉換後,剩餘的2025年票據將根據我們的選擇轉換爲現金、普通股或現金和普通股的組合。如果滿足下列條件,剩餘的2025年債券可根據我們的選擇全部或部分贖回。持有人可要求吾等於2025年債券的基本變動(定義見管限2025年債券的契約)後,以現金回購價格回購剩餘的2025年債券,回購價格一般相等於將予回購的剩餘2025年債券的本金額,另加應計及未付利息。其餘2025年發行的債券將於2025年10月15日,除非早前根據其條款轉換、贖回或回購。在滿足若干條件的情況下,在下述期間內,剩餘的2025年期債券可按初步兌換率63.0731每股普通股股份$1,000本金金額剩餘的2025年債券(相當於初始轉換價格約爲$15.85 每股普通股)。

剩餘2025年債券的持有人可轉換其剩餘2025年債券的全部或任何部分,以以下倍數計算 $1,000本金金額,在緊接前一個營業日的營業結束前的任何時間2025年6月15日僅在以下情況下:

(1)
在任何日曆季度內,如果我們普通股的最後一次報告銷售價格至少20在以下期間的交易日(不論是否連續)30 截至(含)上一個日曆季度最後一個交易日的連續交易日大於或等於 130其餘2025年期債券於每個適用交易日的換算價的百分比;
(2)
在緊隨其後的五個工作日內連續交易日期間(「測算期」)交易價p急診室費用1,000本金金額oF測算期內每個交易日剩餘的2025年票據少於98本公司普通股最近一次報告銷售價格的產品的百分比以及每個該交易日的轉換率;
(3)
如果我們贖回剩餘的2025年期債券,直至緊接贖回日期前一個營業日的交易結束爲止;或
(4)
在發生管理2025年票據的契約中描述的特定公司事件時。

截至2024年9月30日,上述情況均未發生,因此,剩餘的2025年債券無法轉換。

如果我們普通股的最後報告銷售價格等於或超過,我們可以選擇贖回全部或部分剩餘的2025年票據130當時有效的轉換價格的%,至少20 任何交易日(無論是否連續) 30 連續交易日期間在我們發送任何贖回通知之日前五個交易日內結束。贖回價格將爲 100待贖回的剩餘2025年票據本金額的%,加上應計和未付利息(如果有)。此外,要求贖回任何可轉換票據將構成對該可轉換票據的整體根本性變化,在這種情況下,適用於該可轉換票據轉換的轉換率(如果與贖回有關)將在某些情況下增加。截至2025年,我們尚未贖回任何剩餘的2025年票據 2024年9月30日。

2025年票據的未償餘額包括以下內容(以千計):

 

 

 

截至2024年9月30日

 

 

截至2023年12月31日

 

本金

 

$

24,500

 

 

$

172,500

 

減去:未攤銷債務發行成本

 

 

(108

)

 

 

(1,581

)

2025年筆記

 

$

24,392

 

 

$

170,919

 

 

14


目錄表

 

我們確定2025年票據的預期壽命等於其 七年制 期限和有效利率爲 3.53%.截至2024年9月30日,「如果轉換價值」並未超過2025年票據的剩餘本金金額。2025年票據的公允價值受市場利率、股價和股價波動性的影響,由於其使用活躍市場中的報價,因此在公允價值等級中被歸類爲第2級。截至2024年9月30日和2023年12月31日,2025年票據的估計公允價值約爲 $19.2 億和$87.9 分別爲百萬。

下表列出了與2025年票據相關的已確認的利息支出總額(單位:千):

 

 

 

這三個月
截至9月30日,

 

 

在九個月裏
截至9月30日,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

合同利息支出

 

$

184

 

 

$

1,293

 

 

$

2,170

 

 

$

3,881

 

債務發行成本攤銷

 

 

33

 

 

 

205

 

 

 

348

 

 

 

597

 

利息支出總額

 

$

217

 

 

$

1,498

 

 

$

2,518

 

 

$

4,478

 

截至2025年票據的未來最低付款額 2024年9月30日如下(以千計):

 

截至十二月三十一日止的年度,

 

未來最低
付款

 

2024

 

$

368

 

2025

 

 

25,236

 

最低付款總額

 

 

25,604

 

減去:利息支出和未攤銷債務發行成本

 

 

(1,212

)

2025年筆記

 

$

24,392

 

優先擔保定期貸款

2024年5月8日,我們與2025年票據和HCRx的若干現有持有人訂立了信貸及擔保協議(「信貸協議」),其中規定優先擔保定期貸款安排爲#美元。100.0百萬美元(「定期貸款」)。定期貸款於2028年5月到期,按適用的有擔保隔夜融資利率加浮動利率計息9.25%,下限爲3.00%。定期貸款項下的本金付款將於2026年6月開始,包括按季度支付現金,金額爲6.25定期貸款本金總額的%,剩餘本金將於2028年5月定期貸款到期時到期。

我們可以隨時預付定期貸款。所有還款,包括提前還款,都要繳納以下贖回費3.00支付了本金的%。在2027年5月8日之前預付的預付款保費範圍爲3.00%到 5.00預付本金的%。在2025年5月8日之前預付的預付款溢價還包括截至2025年5月8日預付金額應計的未付利息。此外,我們被要求用某些資產出售和譴責事件的收益償還定期貸款,在某些情況下,受再投資權的限制。

除某些例外情況外,信貸協議項下的所有債務均以我們的幾乎所有資產作優先抵押。《信貸協定》載有慣例契約,包括要求維持現金、現金等價物和投資。至少$25.0該等協議包括對債務、留置權、投資、重大變動、資產出售、許可交易、股息、修改重大協議、償還次級債務以及此類協議中通常限制的其他事項的限制。具體地說,我們被禁止獨家許可、出售或以其他方式處置美國對Selinexor腫瘤適應症的權利。自.起2024年9月30日,我們遵守了這些公約。如果發生某些違約事件,定期貸款可能會到期並立即支付。這些事件包括撤回對Selinexor的某些指示的批准、付款違約、契約違約、破產、對某些其他協議的交叉違約、控制權的變化和留置權優先級。

定期貸款的未償還餘額包括以下各項(以千計):

 

 

 

截至2024年9月30日

 

本金

 

$

100,000

 

減去:未攤銷債務發行成本

 

 

(5,891

)

定期貸款

 

$

94,109

 

 

15


目錄表

我們確定定期貸款的預期壽命等於其 四年制 期限和有效利率爲 17.86%.由於利率可變,定期貸款的公允價值接近其公允價值。與定期貸款的發放有關,我們產生了美元6.8 百萬債務發行成本,使用實際利率法攤銷爲利息費用 四年.

我們認出了$4.3 期間與定期貸款相關的百萬利息費用 截至2024年9月30日的三個月,其中包括美元3.7 百萬合同利息費用和美元0.6 百萬美元的債務發行成本攤銷。我們認出了美元6.7 期間與定期貸款相關的百萬利息費用 截至2024年9月30日的九個月,其中包括美元5.8 百萬合同利息費用和美元0.9 百萬美元的債務發行成本攤銷。

截止日期的定期貸款未來最低還款額 2024年9月30日如下(以千計):

 

截至十二月三十一日止的年度,

 

未來最低
付款

 

2024

 

$

9,517

 

2025

 

 

14,582

 

2026

 

 

33,211

 

2027

 

 

36,230

 

2028

 

 

60,747

 

最低付款總額

 

 

154,287

 

減去:利息支出和未攤銷債務發行成本

 

 

(60,178

)

定期貸款

 

$

94,109

 

 

2029年筆記

2024年5月13日,根據與某些2025年票據持有人私下談判達成的協議,我們交換了美元148.02025年發行的債券本金總額爲(I)元111.02029年發行的債券本金總額爲百萬元及(Ii)2024年5月令要購買最多45.8百萬股我們的普通股。這將產生與債務註銷相關的額外應稅收入,然而,我們預計這些應稅收入將被我們的淨營業虧損結轉完全抵消。

2024年5月13日,我們還發行了美元5.02029年發行的債券本金總額爲百萬元,以換取澳元5.0我們的遞延特許權使用費義務減少了100萬英鎊。2029年發行的票據爲本公司的第二留置權擔保債務,息率爲6.00從2024年6月30日開始,每季度支付%的欠款。除非提前按照債券條款轉換、贖回或回購,否則2029年債券將於2029年5月13日到期。

2029年發行的票據將可轉換爲普通股,初始轉換率爲444.4444 每美元股數1,000本金金額(「轉換期權」),相當於轉換價格#美元2.25每股普通股,並可在發生某些事件和慣常的反稀釋調整時進行調整。2029年債券轉換後,我們將向2029年債券持有人交付普通股股份加現金,以取代任何零碎股份。2029年債券的持有人可以在2029年5月13日交易結束前的任何時間轉換他們的2029年債券。

在2026年5月13日或之後,如果我們普通股的最後報告銷售價格等於或超過,我們可以現金贖回全部或部分2029年債券130當時有效的轉換價格的%,至少20 任何交易日 30連續交易日期間(「贖回選擇權」)。贖回價格將相當於將贖回的2029年期債券的本金,另加截至贖回日的任何應計及未償還利息。贖回價格亦將包括一筆相等於2029年期債券由贖回日起至到期期間所支付的所有剩餘利息的總額,該筆款項須予支付現金,或在某些情況下,如果我們這樣選擇,以我們普通股的股票或現金和我們的普通股的組合。任何沙子用於支付這筆金額的我們普通股的RE將基於贖回時的市場價格進行估值。在某些情況下,我們將被要求以一年一次的價格回購2029年債券101出售某些資產所得收益的溢價%,在某些情況下,受再投資權的限制。

如果某些公司事件在到期日之前發生,選擇轉換其2029年票據的持有人可能有權根據與該公司事件相關的轉換率的增加,以現金或在某些情況下,如果我們這樣選擇,以我們的普通股股票或現金和我們的普通股的組合的方式從我們獲得付款。此外,如果我們經歷某些根本性的變化,持有人可能要求我們以現金方式回購其2029年債券的全部或任何部分,回購價格相當於將回購的2029年債券的本金金額,外加回購日期的任何應計和未償還利息。

16


目錄表

任何持有人將無權獲得與2029年票據相關的普通股股份,如果這樣的收據會導致持有人(連同其關聯公司)擁有超過4.99%(可在持有人選擇時增加或減少,但在任何情況下均不得超過19.99%)緊接該事件發生後已發行普通股的股份數目。此外,如果沒有上述所有權限制,持有者可以選擇接受與2029年債券相關的任何普通股的預融資認股權證。這些預先出資的認股權證的行使價爲1美元。0.0001每股,並且不會到期。截至2024年9月30日,尚未發行任何預融資權證。

2029年票據下的所有債務都以擔保定期貸款下的債務的相同抵押品作爲第二優先基礎。2029年的票據包含與定期貸款大體一致的違約契諾和違約事件。截至2024年9月30日,我們遵守了這些公約。

我們負責2025年債券與2029年債券和2024年5月認股權證的交換作爲債務清償,因爲2029年債券的條款與2025年債券的條款有很大不同。我們認出了一張$44.7年內清償債務的百萬元收益截至2024年9月30日的9個月,其組成部分如下表所示(以千爲單位):

 

簡明合併資產負債表行

 

交易記錄

 

 

2025年到期的可轉換優先票據

 

2025年到期票據-本金

 

$

148,000

 

2025年到期的可轉換優先票據

 

2025年票據的清償--債務發行成本

 

 

(1,125

)

2029年到期的可轉換優先票據

 

發行按公允價值記錄的2029年票據

 

 

(78,889

)

普通股認股權證

 

2024年5月發行的權證按公允價值記錄

 

 

(23,284

)

 

債務清償收益

 

$

44,702

 

根據清償會計的要求,2025年票據持有人收到的2029年票據按其初始公允價值#美元入賬。78.9截至2024年5月8日,這是使用風險中性可轉換債券模型估計的,該模型使用二項式網格實施,該模型結合了某些不可觀察的3級關鍵輸入,包括:(I)我們普通股價格的波動性和(Ii)我們估計的信用利差。這一美元32.1百萬美元的初始公允價值差額78.9百萬美元和本金$111.0百萬元將按實際利率法在2029年債券期限內攤銷爲利息開支五年多了。

關於發行2029年債券,我們產生了$4.8 百萬債務發行成本,使用實際利率法攤銷爲利息費用 五年.

我們已經確定,轉換期權和贖回期權是嵌入的衍生品,需要從債務工具和公允價值確認中分離出來。這些衍生品在附註5中稱爲2029年票據衍生品。公允價值計量“到我們的簡明合併財務報表。2029年債券衍生工具的初始公允價值爲#美元。28.9百萬美元。

以下爲採用實際利率法於2029年期內按利息開支攤銷的債務發行成本及折價的摘要,實際利率爲26.94% (單位:千):

 

 

 

 

初始公允價值調整

 

$

32,111

 

發債成本

 

 

4,758

 

嵌入衍生物的分歧

 

 

28,877

 

與2029年票據相關的債務發行成本和折扣

 

$

65,746

 

2029年票據的未償餘額包括以下內容(以千計):

 

 

 

截至2024年9月30日

 

本金

 

$

116,000

 

減去:未攤銷債務發行成本和貼現

 

 

(63,172

)

加:分叉衍生品的公允價值

 

 

19,263

 

2029年筆記

 

$

72,091

 

我們確定2029年票據的預期壽命等於其五年期限。截至2024年9月30日,「如果轉換價值」並未超過2029年票據的剩餘本金金額。2029年票據的公允價值受市場影響

17


目錄表

利率、我們的股價和股價波動性,由於其使用不可觀察的輸入數據,因此已被分類爲公允價值等級內的第3級。截至2024年9月30日,2029年票據的估計公允價值約爲 $87.2百萬美元。

我們認出了$3.5 年期間與2029年票據相關的利息費用百萬美元 截至2024年9月30日的三個月,其中包括美元1.8 百萬攤銷和美元1.7 百萬的合同利息費用。我們認出了美元5.5 年期間與2029年票據相關的利息費用百萬美元 截至2024年9月30日的九個月,其中包括美元2.8 百萬攤銷和美元2.7 百萬的合同利息費用。

截至2029年票據的未來最低付款額 2024年9月30日如下(以千計):

 

截至十二月三十一日止的年度,

 

未來最低
付款

 

2024

 

$

1,740

 

2025

 

 

6,960

 

2026

 

 

6,960

 

2027

 

 

6,960

 

2028

 

 

6,960

 

2029

 

 

118,552

 

最低付款總額

 

 

148,132

 

減:利息費用和未攤銷債務發行成本和折扣

 

 

(95,304

)

加:分叉衍生品的公允價值

 

 

19,263

 

2029年筆記

 

$

72,091

 

遞延版稅義務

2019年9月,我們與HCRx簽訂了收入利息協議,該協議隨後於2021年6月、2023年8月和2024年5月進行了修訂,根據該協議,我們總共收到了$135.0百萬美元,減去一定的交易費用。作爲這筆款項的交換,HCRx按Selinexor和我們未來任何其他產品的淨收入的百分比從我們那裏獲得付款,包括全球產品淨銷售額和預付款、里程碑和特許權使用費。向HCRx支付的總金額上限爲#美元。263.3百萬元(「付款上限」)。

2024年5月,我們與HCRx簽訂了經修訂的《HCRx修正案》,根據該修正案,我們:

(1)
向HCRx支付一筆現金款項#美元49.5 百萬;
(2)
向HCRx交付本金爲#美元的定期貸款票據15.0百萬美元;以及
(3)
交付給HCRx 2029年的票據,本金爲$5.0

由於資金金額的償還取決於全球產品淨銷售額和預付款、里程碑和版稅,因此償還期限可能縮短或延長,具體取決於實際的全球產品淨銷售額和預付款、里程碑和版稅。還款期在(I)HCRx收到總計26330美元萬現金付款的日期或(Ii)法定到期日2031年10月1日到期,兩者中以較早者爲準。如果HCRx在2031年9月前尚未收到相當於26330美元萬的總付款,我們將被要求支付相當於13500美元萬的金額加上特定的年回報率減去之前支付給HCRx的款項。

如果控制權發生變更,發生違約事件,包括但不限於我們未能支付因HCRx而產生的任何金額、資不抵債、我們未能在到期時支付債務、XPOVIO在美國的監管批准被撤銷或我們違反了經修訂的收入利息協議中包含的任何契約以及我們未能在規定的時間框架內糾正違約,我們有義務向HCRx支付相當於26330美元的萬減去之前支付給HCRx的款項。

在實施上述規定後,截至2024年5月,我們已根據經修訂的收入利息協議支付總額爲$135.0百萬美元,而我們欠HCRx的最高剩餘金額爲$128.3百萬美元。在2024年5月之後,我們有義務按適用季度產品淨收入、預付款、里程碑和特許權使用費的固定百分比支付款項,但須遵守本腳註前面所述修訂後的收入利息協議的規定。

這個HCRx修訂案還將經修訂的收入利息協議項下的債務和保留權置於定期貸款項下的債務和保留權之上,並且,除某些例外情況外,將經修訂的收入利息協議項下的債務和保留權置於

18


目錄表

收入 利息協議與2029年票據項下的債項及留置權相同。此外,《HCRx修正案》還降低了250,000認股權證購買2023年8月1日發行給HCRx的普通股,價格爲$2.25每股減至$1.10 每股

我們評估了經修訂的收入利息協議的條款,並得出結論,其特點類似於債務工具的特徵。因此,我們已將這筆交易作爲長期債務入賬,並在我們的壓縮綜合資產負債表上作爲遞延特許權使用費債務列報。

我們還決定償還#美元。263.3百萬美元,減去迄今支付的所有款項,在控制權變更時是一種嵌入的衍生工具,需要從債務工具中分離出來並確認公允價值如附註5進一步所述,“公允價值計量“.

截至2024年9月30日,我們已賺得140.9向HCRx支付了100萬美元。截至2024年9月30日的有效利率約爲16.08%。我們產生的債務發行成本總計G美元1.7百萬,其中已從債務中扣除,並使用實際利息法在債務估計期限內攤銷,並根據基本假設和投入的變化進行預期調整。

截至2024年9月30日和2023年12月31日,遞延特許權使用費債務的賬面價值爲$73.5 億和$129.7分別包括債務的賬面價值、分支嵌入衍生負債的公允價值和未攤銷債務發行成本。截至2024年9月30日,遞延特許權使用費債務的賬面價值接近公允價值。 和2023年12月31日,基於我們對安排有效期內向HCRx未來付款的估計,這被視爲第3級輸入。

11.普通股認股權證

股權分類普通股認股權證

2022年12月5日,我們以私募方式向某些機構投資者發行了認股權證,以購買最多9,537,563 行使價爲美元的普通股6.36每股。認股權證的有效期至2027年12月7日。截至2024年9月30日,所有這些權證都未結清。

2023年8月1日,關於截至2023年8月1日的收入利息協議第二修正案,我們向HCRx發行了認股權證,以購買最多250,000普通股,行使價爲$2.25每股。2024年5月,行權價格降至1美元1.10與《HCRx修正案》相關的每股。認股權證的有效期至2030年8月1日。截至2024年9月30日,所有這些權證都未結清。

責任分類普通股認股權證

關於2025年紙幣與2029年紙幣的交換,詳情見附註10,“長期債務,我們發行了2024年5月的認股權證,以購買最多45,776,213我們普通股的股票,行使價爲$1.10每股,受慣例的反稀釋調整的影響。2024年5月的認股權證有效期至2029年5月13日。如果我們普通股的收盤價在任何連續30個交易日的20個交易日內超過認股權證當前行使價格(目前相當於2.20美元)的兩倍,我們可以要求持有人行使2024年5月的認股權證。 截至2024年9月30日,2024年5月的認股權證45,776,212我們普通股的股票已經發行。根據2024年5月令狀的條款,如果收到我們的普通股股份會導致持有人(及其附屬公司)擁有超過 4.99%(可在持有人選擇時增加或減少,但在任何情況下均不得超過19.99%)收到之日我們已發行普通股。此外,持有人可以選擇接收有關任何普通股的預融資認購證,除非有上述所有權限制,否則這些普通股本可以發行。這些預先融資的期權的行使價格爲美元0.0001每股,並且不會到期。截至2024年9月30日, 不是 預先融資的授權令已發出。

2024年5月的配股在我們的簡明綜合資產負債表中被歸類爲長期負債,因爲它們不符合股權分類的標準,並且在每個報告期末按公允價值計量,詳情請參閱附註5,”公允價值衡量。”

19


目錄表

項目2.管理層的討論和分析財務狀況及經營業績。

以下對我們的財務狀況和經營業績的討論和分析旨在提供與評估我們公司的財務狀況和經營業績相關的重要信息,包括評估來自運營和外部資源的現金流量的金額和不確定性,以便投資者更好地從管理層的角度看待我們的公司。您應該閱讀以下對我們財務狀況和運營業績的討論和分析,以及本季度報告中其他地方出現的財務報表和相關注釋,以及我們截至2023年12月31日年度10-k表格年度報告中包含的已審計財務信息及其註釋,於2024年2月29日向美國證券交易委員會(「SEC」)提交(“年度報告).

前瞻性陳述

這份Form 10-Q季度報告包含前瞻性陳述,涉及Karyopamm治療公司(在本文中稱爲「Karyopharm」、「公司」、「我們」或「我們」)對發現和開發里程碑的可能實現的期望、我們未來的發現和開發努力,包括監管提交和批准、我們的商業化努力、我們與第三方的夥伴關係和合作、我們未來的經營業績和財務狀況、我們繼續經營下去的能力、我們的商業戰略以及未來運營的其他目標。我們經常使用「預期」、「相信」、「估計」、「預期」、「打算」、「可能」、「計劃」、「預測」、「項目」、「目標」、「潛在」、「將會」、「可能」、「應該」、「繼續」等類似含義的詞彙和術語來幫助識別前瞻性表述,儘管並不是所有的前瞻性表述都包含這些可識別的詞彙。你還可以通過它們與歷史或當前事實沒有嚴格相關的事實來識別這些前瞻性陳述。有許多重要的風險和不確定因素可能導致實際結果或事件與前瞻性陳述所表明的結果或事件大相徑庭。這些風險和不確定性包括但不限於本10-Q季度報告第II部分第1A項--風險因素中描述的風險和不確定因素。由於這些和其他因素,我們可能無法實際實現我們的前瞻性陳述中披露的計劃、意圖、預期或結果,您不應過度依賴我們的前瞻性陳述。我們的前瞻性陳述並不反映我們未來可能進行的任何收購、合併、處置、合資企業或投資的潛在影響。我們不承擔任何義務更新任何前瞻性陳述,無論是由於新信息、未來事件或其他原因,除非法律要求。

對XPOVIO的引用® (selindexor)也指NEXPOVIO® (selinexor)在討論其在美國以外的某些國家或地區的批准和商業化時

概述

我們是一家商業階段的製藥公司,開創了新型癌症療法的先河,致力於發現、開發和商業化針對核出口的一流藥物,用於治療癌症和其他疾病。我們的科學專長是基於對細胞核和細胞質之間的細胞內通訊調節的理解。我們已經發現並正在開發新的小分子,並將其商業化S選修課I抑制者NUClearE抑制核出口蛋白Exportin 1(「XPO1」)的化合物。這些正弦化合物代表了一類新的候選藥物,具有新的作用機制,有可能治療具有高度未滿足醫療需求的各種疾病。我們的主要資產XPOVIO® (Selinexor)是第一個獲得上市批准的口服XPO1抑制劑,於2019年7月獲得美國食品和藥物管理局(FDA)的初步批准,目前在美國獲得批准並在美國上市,適應症如下:

與bortezole和地塞米松聯合治療至少接受過一種既往治療的多發性骨髓瘤成年患者。該適應症的批准基於BOSTON(Bortezume, Selinexor和Dexamete)審判;
與地塞米松聯合治療複發性或難治性多發性骨髓瘤成年患者,這些患者已接受過至少四種既往治療,並且其疾病對至少兩種蛋白酶體抑制劑、至少兩種免疫調節劑和抗CD 38單克隆抗體無效。該適應症的批准是基於STORM的結果(S埃林克索 T處理 R勉強的 M白質瘤)試驗;和
用於治療至少接受兩線系統治療後的複發性或難治性瀰漫性大b細胞淋巴瘤(「DLLCC」)成人患者(未另行說明),包括由毛囊性淋巴瘤引起的DLLCC。該適應症是根據響應率和SADAL的結果在加速批准下獲得批准的(S埃林克索 A咯咯作響 D伊福斯 Aggradressive L淋巴瘤)試驗。該適應症的繼續批准可能取決於驗證性試驗中臨床受益的驗證和描述。

20


目錄表

XPOVIO在美國的商業化目前得到了銷售代表、護士聯絡員和市場準入團隊以及KaryForward™(一項廣泛的患者和醫療保健提供者支持計劃)的支持。我們的商業努力還得到了由我們參與的專業藥房提供商專門網絡協調的患者支持計劃的補充。隨着我們繼續擴大XPOVIO的使用,我們計劃繼續向醫生、其他醫療保健提供者和患者宣傳XPOVIO的臨床概況和獨特的作用機制。

XPOVIO和NEXPOVIO的商業化® (selindexor)(selindexor在歐洲和英國的品牌名稱)在美國境外由我們的合作伙伴在各自地區管理。XPOVIO/NEXPOVIO已在美國以外的45個國家/地區獲得了各種適應症的監管批准,並且隨着我們的合作伙伴不斷獲得報銷批准,該產品已在越來越多的國家/地區上市。

我們的主要重點是營銷XPOVIO目前批准的適應症,以及開發和尋求監管部門批准Selinexor作爲一種針對多種高度未滿足需求的癌症適應症的口服藥物,包括我們在子宮內膜癌、多發性骨髓瘤和骨髓纖維化方面的核心項目。我們計劃繼續進行臨床試驗,並尋求額外批准將selinexor作爲單一藥物或與其他腫瘤療法聯合使用,以擴大有資格接受selinexor治療的患者人群。2024年1月,我們宣佈eltanexor項目的進一步臨床開發被暫停,以將我們的資源集中在優先考慮的後期項目上。

截至2024年9月30日,我們的累計赤字爲15億美元。截至2024年9月30日和2023年9月30日的九個月內,我們的淨虧損分別爲4560萬美元和10130萬美元。根據我們當前的業務計劃和當前的資本資源,結合額外資金可用性的不確定性,我們得出的結論是,我們在簡明綜合財務報表發佈之日後一年內繼續持續經營的能力存在重大疑問。請參閱下文「流動性和資本資源」,以進一步討論我們的流動性以及對我們繼續作爲持續經營企業的能力提出重大懷疑的條件。

2024年5月,我們簽訂了一系列交易(「再融資交易」),以限制我們的總債務,延長某些債務的到期日,併爲我們提供額外的營運資金。根據該等交易,吾等根據一項新的優先擔保定期貸款安排,向現有貸款人及由Healthcare Royalty Management,LLC(「HCRx」)管理的若干實體借入10000美元萬,並根據對吾等與HCRx的現有融資安排作出其他修訂的修訂,將該貸款所得款項的一部分用於償還吾等與HCRx的現有融資安排下的債務。我們還根據私下協商的協議,將我們現有的3.00%無抵押可轉換優先票據的本金總額14800萬交換爲(I)我們新的6.00%有擔保可轉換優先票據的本金總額11100美元和(Ii)認股權證,以購買最多4580股我們普通股的萬股票。此外,HCRx通過償還我們對HCRx的500萬現有債務,購買了我們新的6.00%擔保可轉換優先票據的本金總額500萬。請參閱附註10“長期債務“,請參閱本季度報告表格10-Q第I部分第1項內所載的簡明綜合財務報表,以了解再融資交易的其他詳情。

關鍵會計估計

我們相信,幾項會計政策對於了解我們的歷史和未來業績非常重要。我們將這些政策稱爲「關鍵」政策,因爲這些特定領域通常要求我們在做出估計時對不確定的事項做出判斷和估計,並且可以使用不同的估計(這也是合理的),這將導致不同的財務結果。

我們在第7項中確定的關鍵會計估計沒有發生任何變化。管理層在我們的年度報告中對財務狀況和經營業績的討論和分析,但我們對債務消除收益(2029年票據中的嵌入衍生品)的估計價值除外(定義見下文)以及與再融資交易相關的負債分類普通股期權,其估值採用納入某些不可觀察輸入的方法,包括(i)我們普通股價格的波動性,(ii)我們的估計信用利差和(iii)根據期權定價模型對何時行使認購權的估計。

21


目錄表

行動的結果

下表總結了我們的運營結果(以千計,百分比除外):

 

 

 

截至9月30日的三個月,

 

 

在截至9月30日的9個月內,

 

 

 

2024

 

 

2023

 

 

$Change

 

 

更改百分比

 

 

2024

 

 

2023

 

 

$Change

 

 

更改百分比

 

產品收入,淨額

 

$

29,516

 

 

$

30,207

 

 

$

(691

)

 

 

(2

)%

 

$

83,554

 

 

$

86,955

 

 

$

(3,401

)

 

 

(4

)%

許可證和其他收入

 

 

9,267

 

 

 

5,802

 

 

 

3,465

 

 

 

60

%

 

 

31,141

 

 

 

25,331

 

 

 

5,810

 

 

 

23

%

總收入

 

 

38,783

 

 

 

36,009

 

 

 

2,774

 

 

 

8

%

 

 

114,695

 

 

 

112,286

 

 

 

2,409

 

 

 

2

%

運營費用:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

銷售成本

 

 

1,300

 

 

 

911

 

 

 

389

 

 

 

43

%

 

 

4,676

 

 

 

3,456

 

 

 

1,220

 

 

 

35

%

研發

 

 

36,134

 

 

 

35,553

 

 

 

581

 

 

 

2

%

 

 

109,930

 

 

 

99,369

 

 

 

10,561

 

 

 

11

%

銷售、一般和行政

 

 

27,632

 

 

 

30,805

 

 

 

(3,173

)

 

 

(10

)%

 

 

88,251

 

 

 

101,193

 

 

 

(12,942

)

 

 

(13

)%

運營虧損

 

 

(26,283

)

 

 

(31,260

)

 

 

4,977

 

 

 

(16

)%

 

 

(88,162

)

 

 

(91,732

)

 

 

3,570

 

 

 

(4

)%

其他收入(費用),淨額

 

 

(5,761

)

 

 

(3,234

)

 

 

(2,527

)

 

 

78

%

 

 

42,686

 

 

 

(9,337

)

 

 

52,023

 

 

(>100)%

 

所得稅前虧損

 

 

(32,044

)

 

 

(34,494

)

 

 

2,450

 

 

 

(7

)%

 

 

(45,476

)

 

 

(101,069

)

 

 

55,593

 

 

 

(55

)%

所得稅撥備

 

 

(28

)

 

 

(12

)

 

 

(16

)

 

>100%

 

 

 

(166

)

 

 

(193

)

 

 

27

 

 

 

(14

)%

淨虧損

 

$

(32,072

)

 

$

(34,506

)

 

$

2,434

 

 

 

(7

)%

 

$

(45,642

)

 

$

(101,262

)

 

$

55,620

 

 

 

(55

)%

 

 

產品收入,淨收入(單位:千,百分比除外)

 

 

 

截至9月30日的三個月,

 

 

在截至9月30日的9個月內,

 

 

 

2024

 

 

2023

 

 

$Change

 

 

更改百分比

 

 

2024

 

 

2023

 

 

$Change

 

 

更改百分比

 

產品收入,淨額

 

$

29,516

 

 

$

30,207

 

 

$

(691

)

 

 

(2

)%

 

$

83,554

 

 

$

86,955

 

 

$

(3,401

)

 

 

(4

)%

迄今爲止,我們唯一的產品收入來源是XPOVIO在美國的銷售。截至2024年9月30日止三個月的產品淨收入與截至2023年9月30日止三個月相比有所下降,主要是由於醫療保險回扣增加和3400億折扣導致毛額與淨折扣增加。

截至2024年9月30日止九個月的產品淨收入與截至2023年9月30日止九個月相比有所下降,主要是由於競爭加劇以及醫療保險回扣和3400億折扣增加推動的毛淨折扣增加,導致需求下降。

我們預計2024年第四季度的淨產品收入與2024年第三季度相比將保持相對穩定。

許可證和其他收入(單位:千,百分比除外)

 

 

 

截至9月30日的三個月,

 

 

在截至9月30日的9個月內,

 

 

 

2024

 

 

2023

 

 

$Change

 

 

更改百分比

 

 

2024

 

 

2023

 

 

$Change

 

 

更改百分比

 

美納里尼集團(「美納里尼」)

 

$

8,753

 

 

$

5,564

 

 

$

3,189

 

 

 

57

%

 

$

27,232

 

 

$

19,912

 

 

$

7,320

 

 

 

37

%

Glugene Therapeutics Limited(「Glugene」)

 

 

273

 

 

 

80

 

 

 

193

 

 

>100%

 

 

 

1,272

 

 

 

1,952

 

 

 

(680

)

 

 

(35

)%

其他

 

 

241

 

 

 

158

 

 

 

83

 

 

 

53

%

 

 

2,637

 

 

 

3,467

 

 

 

(830

)

 

 

(24

)%

許可證和其他收入總額

 

$

9,267

 

 

$

5,802

 

 

$

3,465

 

 

 

60

%

 

$

31,141

 

 

$

25,331

 

 

$

5,810

 

 

 

23

%

截至2024年9月30日止三個月的許可證和其他收入比截至2023年9月30日止三個月增加了350萬美元,主要是由於截至2024年9月30日止三個月從Menarini確認了600萬美元里程碑收入,由於我們收到報銷的時間,美納里尼的發展相關費用報銷收入減少了330萬美元,部分抵消了這一數字,每個日曆年的限額爲1500萬美元。

22


目錄表

截至2024年9月30日止九個月的許可和其他收入與截至2023年9月30日止九個月相比增加了580萬美元,主要是由於截至2024年9月30日止九個月內從Menarini確認了1000萬美元的里程碑收入,部分被Menarini許可相關收入減少350萬美元所抵消。

我們預計2024年第四季度的許可證和其他收入將與2024年第三季度相比有所下降,原因是美納里尼的最高報銷收入已經得到確認,加上預計2024年第四季度的里程碑收入將低於2024年第三季度。

運營費用(單位:千,百分比除外)

 

 

 

截至9月30日的三個月,

 

 

在截至9月30日的9個月內,

 

 

 

2024

 

 

2023

 

 

$Change

 

 

更改百分比

 

 

2024

 

 

2023

 

 

$Change

 

 

更改百分比

 

銷售成本

 

$

1,300

 

 

$

911

 

 

$

389

 

 

 

43

%

 

$

4,676

 

 

$

3,456

 

 

$

1,220

 

 

 

35

%

研發

 

 

36,134

 

 

 

35,553

 

 

 

581

 

 

 

2

%

 

 

109,930

 

 

 

99,369

 

 

 

10,561

 

 

 

11

%

銷售、一般和行政

 

 

27,632

 

 

 

30,805

 

 

 

(3,173

)

 

 

(10

)%

 

 

88,251

 

 

 

101,193

 

 

 

(12,942

)

 

 

(13

)%

總運營支出

 

$

65,066

 

 

$

67,269

 

 

$

(2,203

)

 

 

(3

)%

 

$

202,857

 

 

$

204,018

 

 

$

(1,161

)

 

 

(1

)%

 

銷售成本

截至2024年9月30日和2023年9月30日的三個月和九個月,銷售成本總額保持一致。我們預計與2024年第三季度相比,2024年第四季度的銷售成本將保持相對穩定。

研究與開發費用(單位:千,百分比除外)

 

 

 

截至9月30日的三個月,

 

 

在截至9月30日的9個月內,

 

 

 

2024

 

 

2023

 

 

$Change

 

 

更改百分比

 

 

2024

 

 

2023

 

 

$Change

 

 

更改百分比

 

臨床試驗及相關費用:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Selinexor在骨髓纖維化中的作用

 

$

6,757

 

 

$

2,118

 

 

$

4,639

 

 

>100%

 

 

$

22,225

 

 

$

4,540

 

 

$

17,685

 

 

>100%

 

Selinexor治療多發性骨髓瘤

 

 

6,357

 

 

 

5,567

 

 

 

790

 

 

 

14

%

 

 

15,354

 

 

 

9,816

 

 

 

5,538

 

 

 

56

%

Selinexor治療子宮內膜癌

 

 

3,344

 

 

 

3,555

 

 

 

(211

)

 

 

(6

)%

 

 

11,511

 

 

 

10,797

 

 

 

714

 

 

 

7

%

其他計劃

 

 

1,135

 

 

 

4,642

 

 

 

(3,507

)

 

 

(76

)%

 

 

2,403

 

 

 

10,661

 

 

 

(8,258

)

 

 

(77

)%

非項目特定臨床試驗及相關費用

 

 

1,819

 

 

 

2,369

 

 

 

(550

)

 

 

(23

)%

 

 

5,701

 

 

 

7,529

 

 

 

(1,828

)

 

 

(24

)%

臨床試驗及相關費用總額

 

 

19,412

 

 

 

18,251

 

 

 

1,161

 

 

 

6

%

 

 

57,194

 

 

 

43,343

 

 

 

13,851

 

 

 

32

%

未分配成本:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

人員

 

 

11,039

 

 

 

12,220

 

 

 

(1,181

)

 

 

(10

)%

 

 

34,492

 

 

 

39,247

 

 

 

(4,755

)

 

 

(12

)%

諮詢、專業和其他

 

 

4,621

 

 

 

3,784

 

 

 

837

 

 

 

22

%

 

 

14,469

 

 

 

11,641

 

 

 

2,828

 

 

 

24

%

基於股票的薪酬

 

 

1,062

 

 

 

1,298

 

 

 

(236

)

 

 

(18

)%

 

 

3,775

 

 

 

5,138

 

 

 

(1,363

)

 

 

(27

)%

未分配成本總額

 

 

16,722

 

 

 

17,302

 

 

 

(580

)

 

 

(3

)%

 

 

52,736

 

 

 

56,026

 

 

 

(3,290

)

 

 

(6

)%

研發費用總額

 

$

36,134

 

 

$

35,553

 

 

$

581

 

 

 

2

%

 

$

109,930

 

 

$

99,369

 

 

$

10,561

 

 

 

11

%

在任何時候,我們都有許多正在進行的臨床開發項目,我們正在獨立或與第三方合作進行這些項目。我們逐個項目跟蹤外部臨床試驗和相關成本。我們的主要項目包括骨髓纖維化、子宮內膜癌和多發性骨髓瘤的三個核心臨床開發項目。如果外部臨床試驗和相關費用不歸因於主要項目,則將其包含在“其他計劃「如果外部臨床試驗和相關費用無法分配給特定計劃,則將其納入」非項目特定臨床試驗及相關費用.”我們還有未分配的研發成本,我們不會逐個項目跟蹤這些成本。這些成本代表多個項目或支持我們一般研發運營而產生的成本。

23


目錄表

與截至2023年9月30日的三個月相比,截至2024年9月30日的三個月的研發費用增加了60萬美元,主要是由於我們正在進行的骨髓纖維化關鍵三期試驗活動增加,但部分被臨床試驗和其他項目相關成本的減少所抵消。

截至2024年9月30日的九個月的研發費用與截至2023年9月30日的九個月相比增加了1060萬美元。臨床試驗和相關費用增加1390萬美元,主要是由於我們正在進行的三項關鍵3期試驗的活動增加,包括增加對照藥物的購買。這些增加被其他項目臨床試驗和相關成本的減少部分抵消。人員成本減少480萬美元,主要是由於截至2024年9月30日的九個月與截至2023年9月30日的九個月相比,人員人數和承包商減少,這主要是由於我們正在進行的成本削減計劃。

我們預計與2024年第三季度相比,2024年第四季度的研發費用將略有下降,主要是由於多發性骨髓瘤三期試驗的範圍縮小,以及由於我們正在進行的成本削減計劃導致人員數量減少,部分抵消了與我們的骨髓纖維化三期試驗相關的費用預計增加。

銷售、一般和行政費用(單位:千,百分比除外)

 

 

 

截至9月30日的三個月,

 

 

在截至9月30日的9個月內,

 

 

 

2024

 

 

2023

 

 

$Change

 

 

更改百分比

 

 

2024

 

 

2023

 

 

$Change

 

 

更改百分比

 

人員成本

 

$

14,121

 

 

$

16,568

 

 

$

(2,447

)

 

 

(15

)%

 

$

44,619

 

 

$

52,593

 

 

$

(7,974

)

 

 

(15

)%

諮詢、專業和其他費用

 

 

10,452

 

 

 

10,553

 

 

 

(101

)

 

 

(1

)%

 

 

33,022

 

 

 

37,492

 

 

 

(4,470

)

 

 

(12

)%

基於股票的薪酬

 

 

3,059

 

 

 

3,684

 

 

 

(625

)

 

 

(17

)%

 

 

10,610

 

 

 

11,108

 

 

 

(498

)

 

 

(4

)%

銷售、一般和行政費用合計

 

$

27,632

 

 

$

30,805

 

 

$

(3,173

)

 

 

(10

)%

 

$

88,251

 

 

$

101,193

 

 

$

(12,942

)

 

 

(13

)%

截至2024年9月30日止三個月的銷售、一般和行政費用與截至2023年9月30日止三個月相比減少了320萬美元。人員成本減少240萬美元,主要是由於人員和承包商減少。

截至2024年9月30日止九個月的銷售、一般和行政費用與截至2023年9月30日止九個月相比減少了1290萬美元。人員成本減少800萬美元主要是由於人員和承包商減少。諮詢、專業和其他成本減少450萬美元主要是由於我們正在進行的成本削減計劃。

我們預計與2024年第三季度相比,2024年第四季度的銷售、一般和行政費用將保持相對穩定。

 

其他收入(NPS),淨(單位:千,百分比除外)

 

 

 

截至9月30日的三個月,

 

 

在截至9月30日的9個月內,

 

 

 

2024

 

 

2023

 

 

$Change

 

 

更改百分比

 

 

2024

 

 

2023

 

 

$Change

 

 

更改百分比

 

利息開支

 

$

(11,385

)

 

$

(6,073

)

 

$

(5,312

)

 

 

87

%

 

$

(26,218

)

 

$

(17,615

)

 

$

(8,603

)

 

 

49

%

利息收入

 

 

1,832

 

 

 

2,750

 

 

 

(918

)

 

 

(33

)%

 

 

5,918

 

 

 

8,423

 

 

 

(2,505

)

 

 

(30

)%

債務清償收益

 

 

 

 

 

 

 

 

 

 

 

 

 

 

44,702

 

 

 

 

 

 

44,702

 

 

 

100

%

其他收入(費用)

 

 

3,792

 

 

 

89

 

 

 

3,703

 

 

>100%

 

 

 

18,284

 

 

 

(145

)

 

 

18,429

 

 

(>100)%

 

其他收入(費用)合計,淨額

 

$

(5,761

)

 

$

(3,234

)

 

$

(2,527

)

 

 

78

%

 

$

42,686

 

 

$

(9,337

)

 

$

52,023

 

 

(>100)%

 

截至2024年9月30日止三個月的其他淨收入(費用)與截至2023年9月30日止三個月相比減少了250萬美元,主要是由於與新定期貸款和新有擔保可轉換優先票據相關的利息費用增加了530萬美元,部分被截至2024年9月30日的三個月內重新計量嵌入式衍生品和負債分類普通股期權(兩者均爲非現金項目)確認的400萬美元收益所抵消。

24


目錄表

截至2024年9月30日止九個月的其他淨收入(費用)與截至2023年9月30日止九個月相比增加了5200萬美元,主要是由於再融資交易中債務消除的收益4470萬美元以及重新計量嵌入式衍生品和負債分類普通股證的收益1830萬美元,兩者都是非現金物品。這些收益被與新定期貸款和新有擔保可轉換優先票據相關的利息支出增加部分抵消。

我們預計,與2024年第三季度相比,2024年第四季度的其他淨收入(費用)將保持相對穩定,但嵌入式衍生品和負債分類普通股期權的重新測量對未來的影響將取決於多種因素,包括我們的股價變動。

流動資金和資本資源

現金流

歷史上,我們主要通過以下收益組合爲我們的運營提供資金:(i)產品收入銷售,(ii)公開和私募股權證券,(iii)發行可轉換債務,(iv)定期貸款,(v)我們的遞延特許權使用費義務,(vi)市場發售和(VII)業務開發活動。截至2024年9月30日,我們的主要流動性來源是13350萬美元的現金、現金等值物和投資。自成立以來,我們一直出現經常性虧損,截至2024年9月30日的九個月內出現了4560萬美元的虧損。

我們預計,在可預見的未來,我們將繼續遭受重大的運營虧損。根據我們目前的業務計劃和現有資本資源,再加上能否獲得額外資金的不確定性,我們得出的結論是,在隨附的簡明綜合財務報表發佈之日起一年內,我們作爲一家持續經營企業繼續經營的能力存在很大疑問。我們預計,截至2024年9月30日,我們的現金、現金等價物和投資將足以爲我們目前的運營計劃和2025年第四季度的債務要求提供資金。見下文「流動資金和資本資源--資金要求」和注1業務性質“請參閱本季度報告第I部分第I項表格10-Q項下的簡明綜合財務報表,以進一步討論我們的流動資金和使人對我們作爲持續經營企業的能力產生重大懷疑的條件。

下表提供了有關我們現金流(以千計)的信息:

 

 

 

在截至9月30日的9個月內,

 

 

 

2024

 

 

2023

 

 

$Change

 

 

更改百分比

 

用於經營活動的現金淨額

 

$

(101,676

)

 

$

(74,138

)

 

$

(27,538

)

 

 

37

%

投資活動提供(用於)的現金淨額

 

 

80,676

 

 

 

(18,903

)

 

 

99,579

 

 

(>100)%

 

融資活動提供的現金淨額

 

 

40,966

 

 

 

860

 

 

 

40,106

 

 

>100%

 

外匯匯率的影響

 

 

9

 

 

 

(123

)

 

 

132

 

 

(>100)%

 

現金、現金等價物和限制性現金淨增(減)

 

$

19,975

 

 

$

(92,304

)

 

$

112,279

 

 

(>100)%

 

 

經營活動。 與截至2023年9月30日的九個月相比,截至2024年9月30日的九個月,經營活動中使用的淨現金增加了2750萬美元,主要是由流動資金變化推動的,包括2023年第一季度從Thomgene收取2240萬美元里程碑付款。

投資活動。與截至2023年9月30日的九個月相比,截至2024年9月30日的九個月,投資活動提供的淨現金增加了9960萬美元,這是由於投資購買減少了8530萬美元和投資到期收益增加了1450萬美元。

融資活動。與截至2023年9月30日的九個月相比,截至2024年9月30日的九個月融資活動提供的淨現金增加了4010萬美元,這是由我們新定期貸款的8330萬美元收益推動的。部分被4050萬美元的延期特許權使用費義務付款和260萬美元的與再融資交易相關的債務發行成本付款所抵消。

流動資金來源

2019年9月14日,我們和我們的某些子公司與HealthCare Royalty Partners III,LP和HealthCare Royalty Partners IV,LP(「HCRx」)簽訂了收入利息融資協議,該協議隨後於2021年6月23日、2023年8月1日和2024年5月8日進行了修訂(「收入利息協議」和經修訂的「經修訂的收入利息協議」),根據該協議,HCRx向我們支付了總計13500萬美元,減去某些交易費用。有關其他信息

25


目錄表

關於修訂後的收入利息協議,見註釋10,”長期債務”,本季度報告第一部分第一項包含在10-Q表格中的簡明合併財務報表。

2024年5月8日,我們與某些現有貸方和HCRx簽訂了信貸和擔保協議(「信貸協議」),提供10000萬美元的高級有擔保定期貸款融資。有關更多信息,請參閱註釋10,“長期債務”,本季度報告第一部分第一項包含在10-Q表格中的簡明合併財務報表。

2023年2月17日,我們與傑富瑞有限責任公司(「傑富瑞」)簽訂了公開市場銷售協議(「2023年公開市場銷售協議」)。根據2023年公開市場銷售協議,我們可以通過傑富瑞不時發行和出售總髮行價高達10000萬美元的普通股股份(「股份」)。截至2024年9月30日和2023年9月30日的三個月和九個月內,我們沒有根據2023年公開市場銷售協議出售任何股份。截至2024年9月30日,根據2023年公開市場銷售協議,有10000萬美元的股票可供發行和出售。

截至2024年9月30日的九個月內,我們根據許可證和分銷協議收到了1770萬美元的里程碑付款,根據該協議,如果實現某些開發目標和銷售里程碑,我們有權收到額外的里程碑付款以及許可和銷售產品在此類安排下的地區的未來淨銷售額的特許權使用費。此外,根據我們於2021年12月與Menarini簽訂的許可協議(「Menarini協議」),Menarini將向我們報銷2022年至2025年期間我們因selinexor全球開發而發生的所有記錄費用的25%,前提是此類報銷每日曆年不得超過1500萬美元。截至2024年9月30日的九個月內,我們根據《梅納里尼協議》收到了1300萬美元的報銷。

承諾、或有事項和合同義務

經營租約

我們是馬薩諸塞州牛頓市98,502平方英尺辦公和研究空間的經營租賃的一方,租期至2025年9月30日(「馬薩諸塞州牛頓租賃」)。根據馬薩諸塞州牛頓租賃,我們已以現金抵押信用證形式提供了金額爲30萬美元的按金,該按金在我們的簡明綜合資產負債表上被歸類爲長期限制現金。截至2024年9月30日,我們預計2024年9月30日至2025年9月30日期間將產生總租賃成本390萬美元。

In addition, we are party to certain short-term leases having a term of twelve months or less at the commencement date. We recognize short-term lease expense on a straight-line basis and do not record a related right-of-use asset or lease liability for such leases. These costs were insignificant for both the nine months ended September 30, 2024 and 2023.

Contractual Obligations

We have contractual obligations under (i) our 3.00% Convertible Senior Notes due 2025 (the “2025 Notes”); (ii) our Credit Agreement, (iii) our 6.00% Convertible Senior Notes due 2029 (the “2029 Notes”), and (iv) our Amended Revenue Interest Agreement as disclosed in Note 10, “Long-Term Obligations”, to the condensed consolidated financial statements included under Part I, Item 1 of this Quarterly Report on Form 10-Q.

Funding Requirements

We expect to continue to incur costs related to our clinical development programs as we rapidly advance three pivotal Phase 3 trials, as well as commercialization expenses related to sales, marketing, manufacturing and distribution of our approved products, to the extent that these functions are not the responsibility of our collaborators.

Identifying potential product candidates and conducting preclinical studies and clinical trials is a time-consuming, expensive and uncertain process that takes years to complete. In addition, our product candidates for which we receive marketing approval may not achieve commercial success. Our ability to become and remain profitable depends on our ability to generate revenue. There can be no assurance as to the amount or timing of any such revenue, and we may not achieve profitability for several years, if at all, as described more fully in the risk factor entitled “We have incurred significant losses since inception, expect to continue to incur significant losses, and may never achieve or maintain profitability,” under the heading “Risk Factors” in this Quarterly Report on Form 10-Q. Accordingly, we will need to continue to rely on additional financing to achieve our business objectives. Adequate additional financing may not be available to us on acceptable terms, or at all. We may seek additional capital due to favorable market conditions or strategic considerations, even if we believe we have sufficient funds for our current or future operating plans. If we are unable to raise capital when needed or on attractive terms, we would be forced to delay, reduce or eliminate our research and development programs or commercialization efforts.

26


Table of Contents

Based on our current business plan and current capital resources, combined with the uncertainty regarding the availability of additional funding, we have concluded that there is substantial doubt regarding our ability to continue as a going concern within one year after the date the condensed consolidated financial statements are issued. See Note 1 “Nature of Business” to the condensed consolidated financial statements included under Part I, Item I of this Quarterly Report on Form 10-Q for a further discussion of the conditions that raise substantial doubt regarding our ability to continue as a going concern. We currently expect that cash, cash equivalents and investments as of September 30, 2024 will be sufficient to fund our current operating plans and debt obligation requirements into the fourth quarter of 2025 while we continue to commercialize XPOVIO in the U.S. and continue the clinical trials of our product candidates. Our future long-term capital requirements will depend on many factors, as described more fully in the risk factor entitled “We will need additional funding to achieve our business objectives. If we are unable to raise capital when needed or on acceptable terms, we would be forced to delay, reduce or eliminate our research and development programs and/or commercialization efforts,” under the heading “Risk Factors” in this Quarterly Report on Form 10-Q.

In addition to the expenses required to fund our operations described above, our funding requirements as of September 30, 2024 also include the following:

Lease costs for our headquarters in Newton, Massachusetts of $3.9 million from September 30, 2024 to September 30, 2025;
Future obligations related to the 2025 Notes of $25.6 million over the next two years;
Future obligations related to the 2029 Notes of $148.1 million over the next five years;
Future obligations related to the Credit Agreement of $154.3 million; and
Future royalty obligations to HCRx under the Amended Revenue Interest Agreement of $122.4 million.

27


Table of Contents

Item 3. Quantitative and Qualitative Disclosures About Market Risk.

We are exposed to market risk related to changes in interest rates. We had cash, cash equivalents and investments of $133.5 million as of September 30, 2024. Our primary exposure to market risk is interest rate sensitivity, which is affected by changes in the general level of U.S. interest rates. Due to the short-term duration of our investment portfolio and the low risk profile of our investments, an immediate 100 basis point shift in interest rates would not have a material effect on the fair market value of our investment portfolio.

We do not believe our cash, cash equivalents and investments have significant risk of default or illiquidity. While we believe our cash, cash equivalents and investments do not contain excessive risk, we cannot provide absolute assurance that in the future our investments will not be subject to adverse changes in securities at one or more financial institutions that are in excess of federally insured limits. Given the potential instability of financial institutions, we cannot provide assurance that we will not experience losses on these deposits and investments.

We are also exposed to market risk related to changes in foreign currency exchange rates. We contract with contract research organizations and contract manufacturing organizations that are located in Canada, the United Kingdom and Europe, which are denominated in foreign currencies. We also contract with a number of clinical trial sites outside of the U.S., and our budgets for those studies are frequently denominated in foreign currencies. We are subject to fluctuations in foreign currency rates in connection with these agreements. We do not currently hedge our foreign currency exchange rate risk.

Item 4. Controls and Procedures.

Evaluation of Disclosure Controls and Procedures

Our management, with the participation of our President and Chief Executive Officer (principal executive officer) and Executive Vice President, Chief Financial Officer and Treasurer (principal financial officer), evaluated the effectiveness of our disclosure controls and procedures as of September 30, 2024. The term “disclosure controls and procedures,” as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), means controls and other procedures of a company that are designed to ensure that information required to be disclosed by a company in the reports that it files or submits under the Exchange Act is recorded, processed, summarized and reported, within the time periods specified in the SEC’s rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed by a company in the reports that it files or submits under the Exchange Act is accumulated and communicated to our management, including our principal executive and principal financial officers, as appropriate to allow timely decisions regarding required disclosure. Management recognizes that any controls and procedures, no matter how well designed and operated, can provide only reasonable assurance of achieving their objectives and management necessarily applies our judgment in evaluating the cost-benefit relationship of possible controls and procedures. Based on the evaluation of our disclosure controls and procedures as of September 30, 2024, our President and Chief Executive Officer and our Executive Vice President, Chief Financial Officer and Treasurer concluded that, as of such date, our disclosure controls and procedures were effective at the reasonable assurance level.

Changes in Internal Control Over Financial Reporting

There were no changes in our internal control over financial reporting identified in connection with the evaluation required by Rule 13a-15(d) and 15d-15(d) of the Exchange Act that occurred during the fiscal quarter ended September 30, 2024 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

28


Table of Contents

PART II - OTHER INFORMATION

Item 1A. Risk Factors.

Careful consideration should be given to the following material risk factors, in addition to the other information set forth in this Quarterly Report on Form 10-Q and in other documents that we file with the U.S. Securities and Exchange Commission (“SEC”) in evaluating us and our business. Investing in our common stock involves a high degree of risk. If any of the following risks and uncertainties actually occurs, our business, prospects, financial condition and results of operations could be materially and adversely affected. The risks described below are not intended to be exhaustive and are not the only risks we face. New risk factors can emerge from time to time, and it is not possible to predict the impact that any factor or combination of factors may have on our business, prospects, financial condition and results of operations.

References to XPOVIO® (selinexor) also refer to NEXPOVIO® (selinexor) when discussing its approval and commercialization in certain countries or territories outside of the U.S.

Risks Related to Commercialization and Product Development

Our business is substantially dependent on the commercial success of XPOVIO. If we, either alone or with our collaborators, are unable to successfully commercialize current and future indications of XPOVIO or other products or product candidates on a timely basis, including achieving widespread market acceptance by physicians, patients, third-party payors and others in the medical community, our business, financial condition and future profitability will be materially harmed.

Our business and our ability to generate product revenue from the sales of drugs that treat cancer depend heavily on our and our collaborators’ ability to successfully commercialize our lead drug, XPOVIO® (selinexor), on a global basis in currently approved and future indications, and the level of market adoption for, and the continued use of, our products and product candidates, if approved. XPOVIO is currently approved and marketed in the U.S. in multiple hematologic malignancy indications, including in combination with bortezomib and dexamethasone for the treatment of patients with multiple myeloma who have received at least one prior therapy, in combination with dexamethasone for the treatment of adult patients with relapsed or refractory multiple myeloma who have received at least four prior therapies and whose disease is refractory to at least two proteasome inhibitors, at least two immunomodulatory agents, and an anti-CD38 monoclonal antibody; and as a monotherapy for the treatment of adult patients with relapsed or refractory diffuse large B-cell lymphoma (“DLBCL”), not otherwise specified, including DLBCL arising from follicular lymphoma, after at least 2 lines of systemic therapy. Efforts to drive adoption within the medical community and third-party payors based on the benefits of our products and product candidates require significant resources and may not be successful. The success of XPOVIO and any current or future product candidates, whether alone or in collaboration with third parties, including achieving and maintaining an adequate level of market adoption, depends on several factors, including:

our ability to achieve broad adoption of XPOVIO in earlier lines of therapy or to successfully launch and achieve broad adoption of any future XPOVIO indications or any product candidates for which we obtain marketing approval;
the competitive landscape for our products, including the timing of new competing products entering the market and the level and speed at which these products achieve market acceptance;
actual or perceived advantages or disadvantages of our products or product candidates as compared to alternative treatments, including their respective safety, tolerability and efficacy profiles, the potential convenience and ease of administration, access or cost effectiveness;
the effectiveness of our sales, marketing, manufacturing and distribution strategies and operations;
the consistency of any new data we collect and analyses we conduct with prior results, whether they support a favorable safety, efficacy and effectiveness profile of XPOVIO and any potential impact on our U.S. Food and Drug Administration (“FDA”) approvals and/or FDA package insert for XPOVIO and comparable foreign regulatory approvals and package inserts;
our ability to comply with the FDA’s and comparable foreign regulatory authorities’ post-marketing requirements and commitments, including through successfully conducting, on a timely basis, additional studies that confirm clinical efficacy, effectiveness and safety of XPOVIO and acceptance of the same by the FDA or similar foreign regulatory bodies;
acceptance of current indications of XPOVIO and future indications of XPOVIO and other product candidates, if approved, by patients, the medical community and third-party payors;
obtaining and maintaining coverage, adequate pricing and reimbursement by third-party payors, including government payors, for XPOVIO and our product candidates, if approved;

29


Table of Contents

the willingness of patients to pay out-of-pocket in the absence of third-party coverage or as co-pay amounts under third-party coverage; for example, multiple myeloma foundation closures during 2023 resulted in significantly increased use of our Patient Assistance Program (“PAP”), which adversely impacted our 2023 revenues;
our ability to enforce intellectual property rights in and to our products to prohibit a third-party from marketing a competing product and our ability to avoid third-party patent interference or intellectual property infringement claims;
current and future restrictions or limitations on our approved or future indications and patient populations or other adverse regulatory actions;
the performance of our manufacturers, license partners, distributors, providers and other business partners, over which we have limited control;
any significant misestimations of the size of the market and market potential for any of our products or product candidates;
establishing and maintaining commercial manufacturing capabilities or making arrangements with third-party manufacturers;
the willingness of the target patient population to try new therapies and of physicians to prescribe these therapies, based, in part, on their perception of our clinical trial data and/or the actual or perceived safety, tolerability and effectiveness profile;
maintaining an acceptable safety and tolerability profile of our approved products, including the prevalence and severity of any side effects;
the ability to offer our products for sale at competitive prices;
adverse publicity about our products or favorable publicity about competitive products;
our ability to maintain compliance with existing and new health care laws and regulations, including government pricing, price reporting and other disclosure requirements related to such laws and regulations, and the potential impact of such laws and regulations on physician prescribing practices and payor coverage; and
the ability of our sales force to meet with healthcare professionals in person.

If we do not achieve one or more of these factors in a timely manner, or at all, either on our own or with our collaborators, we could experience significant delays or an inability to successfully commercialize XPOVIO or our product candidates, if approved, which would materially harm our business.

We face substantial competition, which may result in others discovering, developing or commercializing drugs before or more successfully than we do.

The discovery, development and commercialization of new drugs is highly competitive, particularly in the cancer field. We and our collaborators face competition with respect to XPOVIO and will face competition with respect to any product candidates that we may seek to discover and develop or commercialize in the future, from major pharmaceutical companies, specialty pharmaceutical companies, biotechnology companies, academic institutions and governmental agencies as well as public and private research institutions worldwide, many of which have significantly greater financial resources and expertise in research and development, manufacturing, preclinical studies, conducting clinical trials, obtaining regulatory approvals and marketing approved products than we do. There are a number of major pharmaceutical, specialty pharmaceutical and biotechnology companies that currently market and sell drugs and/or are pursuing the development of drugs for the treatment of cancer and the other disease indications for which we, and our collaborators, are developing our product candidates. Several new novel therapeutics have recently entered, and are expected to continue to enter, the multiple myeloma treatment landscape. For example, TECVAYLI™ (teclistamab-cqyv), the first bispecific T-Cell engager, was approved by the FDA in October 2022, followed by approvals of two more bispecifics, ELREXFIO™ (elranatamab-bcmm) and TALVEY™ (talquetamab-tgvs) in August 2023. Other T-cell engaging therapies, bispecifics with different targets, and immunomodulators are in clinical development and may be introduced into the multiple myeloma market in 2024 and beyond. CARVYKTI® (ciltacabtagene autoleucel; cilta-cel) and Abecma® (idecabtagene vicleucel; ide-cel) were approved in April 2024 for the treatment of multiple myeloma in earlier lines. In addition, future label expansions into earlier lines of existing therapies are anticipated in 2025 and beyond. The approval of these anti-cancer agents, or any others which may receive regulatory approval, have had a significant impact and may continue to have a significant impact on the therapeutic landscape and our product revenues. See Item 1 under the heading Business - Competition in our Annual Report on Form 10-K for the year ended December 31, 2023 as filed with the SEC on February 29, 2024 for more information on competition.

30


Table of Contents

We are currently focused on developing and commercializing our products and product candidates for the treatment of cancer and there are a variety of available therapies marketed for cancer. In many cases, cancer drugs are administered in combination to enhance efficacy. Some of these drugs are branded and subject to patent protection, and others are available on a generic basis. Many of these approved drugs are well-established therapies and are widely accepted by physicians, patients and third-party payors. Insurers and other third-party payors may also encourage the use of generic drugs. Our products are priced at a significant premium over competitive generic drugs, which may make it difficult for us to achieve our business strategy of using our products in combination with existing therapies or replacing existing therapies with our products.

Further, our commercial opportunity could be reduced or eliminated if our competitors develop and commercialize drugs that are or are perceived to be more effective, safer, more tolerable, more convenient and/or less costly than any of our currently approved products or product candidates or that would render our products obsolete or non-competitive. Our competitors may also obtain marketing approval from the FDA or other regulatory authorities for their products more rapidly than we, or our collaborators, may obtain approval for ours, which could result in our competitors establishing a stronger market position before we, or our collaborators, are able to enter the market or preventing us, or our collaborators, from entering into a particular indication at all.

Mergers and acquisitions in the pharmaceutical and biotechnology industries may result in even more resources being concentrated among a smaller number of our competitors. Smaller and other early-stage companies may also prove to be significant competitors, particularly through collaborative arrangements with large and established companies. These third parties compete with us in recruiting and retaining qualified scientific and management personnel, establishing clinical trial sites and patient registration for clinical trials, as well as in acquiring technologies complementary to, or that may be necessary for, our programs.

If we are not able to compete effectively against current or potential competitors, our business will not grow and our financial condition and operations will suffer.

Clinical development is a lengthy and expensive process, with uncertain timelines and outcomes. We or our collaborators may be unable to successfully enroll patients in our ongoing and planned clinical trials in a reasonable timeframe, or at all. In addition, if clinical trials of our product candidates fail to demonstrate safety and effectiveness to the satisfaction of regulatory authorities or do not otherwise produce positive results, we, or our collaborators, may incur additional costs, fail to secure regulatory approvals, or be unable to commercialize such product candidates.

Our long-term success depends in a large part on our ability to continue to successfully develop new indications of selinexor, our product candidates, or any new product candidates we may develop or acquire. Clinical testing is expensive, time consuming, difficult to design, implement and enroll, inherently uncertain as to outcome and can fail at any stage of testing. Furthermore, the failure of any product candidates to demonstrate safety and effectiveness in any clinical trial could negatively impact the perception of selinexor or our other product candidates and/or cause the FDA or other regulatory authorities to require additional testing before any of our product candidates are approved.

Numerous unforeseen events during, or as a result of, clinical trials could delay or prevent our or our collaborators’ ability to complete such clinical trials or receive marketing approval of our product candidates, including, but not limited to, the following:

delays or failure to reach agreement with regulatory authorities on a trial design or the receipt of feedback requiring us to modify the design of our clinical trials, perform additional or unanticipated clinical trials to obtain approval or alter our regulatory strategy, as is the case in connection with the feedback we received from the FDA in February 2022 on our SIENDO trial;
clinical trials of our product candidates may produce negative or inconclusive results or other patient safety concerns, including undesirable side effects or other unexpected characteristics, and we may decide, or regulatory authorities may require us, to conduct additional clinical trials, suspend ongoing clinical trials or abandon drug development programs, including as a result of a finding that the participants are being exposed to unacceptable health risks;
enrollment in our clinical trials may be slower than we anticipate, including as a result of competition with other ongoing clinical trials, delays in site activation, higher than expected screen failure rates, newly approved competitive products for the same indications as our product candidates or new or amended regulations; for example, in August 2024, we announced expected delays in our top-line data readout for our global, Phase 3 trial evaluating selinexor as a maintenance therapy following systemic therapy in patients with TP53 wild-type advanced or recurrent endometrial cancer (the “EC-042 Study”) due primarily to higher than expected screen failure rates, requiring us to screen a larger number of patients than originally planned;
changes in the treatment landscape on which a clinical development plan was based, such as new therapies; for example, in recent years three new novel agents (dostarlimab-gxly, pembrolizumab and durvalumab) have been approved for

31


Table of Contents

treatment in patients with endometrial cancer, which may be applicable to patients eligible for our ongoing EC-042 Study, decreasing the overall supply of patients or decreasing interest from selected clinical trial sites;
modifications of clinical trial protocols impacting the patient population under study, including any modifications to the eligibility criteria or the total number of patients targeted for enrollment;
strategic revisions to clinical trial designs, including a change in primary endpoints or a reduction in the total number of patients targeted for enrollment, which could negatively impact our ability to submit and/or receive regulatory approval for the indication sought; for example, we recently decreased the number of total patients to be enrolled in the ongoing Phase 3 trial evaluating selinexor in combination with pomalidomide and dexamethasone versus elotuzumab, pomalidomide, and dexamethasone in patients with relapsed or refractory multiple myeloma;
regulators may revise the requirements for approving our product candidates, even after providing a positive opinion on or otherwise reviewing and providing comments to a clinical trial protocol, and/or such requirements may not be as we anticipate;
delays or failure in obtaining the necessary authorization from regulatory authorities or ethics committees, including institutional review boards, to permit us, our collaborators or our investigators to commence a clinical trial, conduct a clinical trial at a prospective trial site, or the suspension or termination of a clinical trial once commenced. For example, the continuation of a clinical trial in Europe with the transition to the EU Clinical Trials Regulation (“CTR”) now requires submission of ongoing and new clinical trials conducted in Europe to the Clinical Trial Information System;
delays or failure to reach agreement on acceptable terms with prospective clinical trial sites or contract research organizations (“CROs”);
the number of patients required for clinical trials of our product candidates may be larger than we anticipate or participants may drop out of these clinical trials at a higher rate than we anticipate;
our third-party contractors, including manufacturers or CROs, may fail to comply with regulatory requirements, perform effectively, or meet their contractual obligations to us in a timely manner, or at all;
we or our investigators might be found to be non-compliant with regulatory requirements;
the cost of clinical trials of our product candidates may be greater than we anticipate;
the supply or quality of our product candidates or other materials necessary to conduct clinical trials may be insufficient or inadequate;
for any biomarker driven clinical trial, the potential regulatory requirement to utilize a companion diagnostic, for example the required use of a companion diagnostic for our ongoing clinical trial evaluating selinexor in patients with TP53 wild-type advanced or recurrent endometrial cancer;
any partners or collaborators that help us conduct clinical trials may face any of the above issues, and may conduct clinical trials in ways they view as advantageous to them but that are suboptimal for us; and
negative impacts resulting from a pandemic or other public health emergency, including impacts to healthcare systems and our trial sites’ ability to conduct trial.

If we, or our collaborators, are required to conduct additional clinical trials or other testing of our product candidates or a companion diagnostic beyond those that we currently contemplate or are unable to successfully complete clinical trials of our product candidates or other testing, on a timely basis or at all, and/or if the results of these trials or tests are not positive or are only modestly positive or if there are safety concerns, we, or our collaborators, may:

need to delay, limit or terminate ongoing or planned clinical trials;
be delayed in obtaining, or not obtain at all, marketing approval for the indication or product candidate;
obtain marketing approval in some countries and not in others;
obtain approval for indications or patient populations that are not as broad as intended or desired;
obtain approval with labeling that includes significant use or distribution restrictions or safety warnings, including boxed warnings;
be subject to additional post-marketing testing requirements;
not receive royalty or milestone revenue under our collaboration agreements for several years, or at all; or

32


Table of Contents

have the product removed from the market after obtaining marketing approval.

Further, we do not know whether clinical trials will begin as planned, will need to be restructured or will be completed on schedule, or at all. In addition, if we are slow or unable to adapt to changes in existing requirements or the adoption of new requirements or policies governing clinical trials, our development plans may be impacted. For example, in December 2022, with the passage of Food and Drug Omnibus Reform Act (“FDORA”), Congress required sponsors to develop and submit a Diversity Action Plan (“DAP”) for each Phase 3 clinical trial or any other “pivotal study” of a new drug or biological product. These plans are meant to encourage the enrollment of more diverse patient populations in late-stage clinical trials of FDA-regulated products. In June 2024, as mandated by FDORA, the FDA issued draft guidance outlining the general requirements for DAPs. Unlike most guidance documents issued by the FDA, the DAP guidance when finalized will have the force of law because FDORA specifically dictates that the form and manner for submission of DAPs are specified in FDA guidance.

Similarly, the regulatory landscape related to clinical trials in the EU recently evolved. The CTR, which was adopted in April 2014 and repeals the EU Clinical Trials Directive, became applicable on January 31, 2022. While the Clinical Trials Directive required a separate clinical trial application to be submitted in each member state, to both the competent national health authority and an independent ethics committee, the CTR introduces a centralized process and only requires the submission of a single application to all member states concerned. If we are not able to fulfill these new requirements, our ability to conduct clinical trials may be delayed or halted.

Any of these events could prevent us or our collaborators from achieving or maintaining market acceptance of the affected product candidate, if approved, or could substantially increase costs and expenses of development or commercialization, which could delay or prevent us from generating sufficient revenue from the sale of our products and harm our business and results of operations. Significant clinical trial delays also could shorten any periods during which we may have the exclusive right to commercialize our products, allow our competitors to bring products to market before we do or impair our ability to successfully commercialize our products, which would harm our business and results of operations. In addition, many of the factors that cause, or lead to, clinical trial delays may ultimately lead to the denial of regulatory approval of our product candidates.

Serious adverse or unacceptable side effects related to XPOVIO, our product candidates or future products may delay or prevent their regulatory approval, cause us or our collaborators to suspend or discontinue clinical trials, limit the commercial value of approved indications or result in significant negative financial consequences following any marketing approval.

We are currently developing selinexor for the treatment of multiple types of cancer. Its risk of failure is high. If our current or future indications of XPOVIO, any of our product candidates or future products are associated with undesirable side effects or have characteristics that are unexpected in clinical trials or following approval and/or commercialization, we may need to abandon or limit their development or limit marketing to certain uses or subpopulations in which the undesirable side effects or other characteristics are less prevalent, less severe or more acceptable from a risk-benefit perspective.

Adverse events (“AEs”) in our clinical trials for selinexor to date have been generally predictable and typically manageable, including through prophylactic care or dose reductions, although some patients have experienced more serious AEs. The most common drug-related AEs in our clinical trials for selinexor include fatigue, nausea, anorexia, diarrhea, peripheral neuropathy, upper respiratory tract infection, vomiting, cytopenias, hyponatremia, weight loss, decreased appetite, cataract, dizziness, syncope, depressed level of consciousness, and mental status changes. These side effects were generally mild or moderate in severity. The most common AEs that are Grade 3 or Grade 4, meaning they are more than mild or moderate in severity, include thrombocytopenia, lymphopenia, hypophosphatemia, anemia, hyponatremia and neutropenia. To date, the most common AEs in the multiple myeloma patient population have been managed with supportive care and dose modifications. However, a number of patients have withdrawn from our clinical trials as a result of AEs and some patients across our clinical trials have experienced serious AEs deemed by us and the clinical investigator to be related to selinexor. Serious AEs generally refer to AEs that result in death, are life threatening, require hospitalization or prolonging of hospitalization, or cause a significant and permanent disruption of normal life functions, congenital anomalies or birth defects, or require intervention to prevent such an outcome.

The occurrence of AEs in either our clinical trials or following regulatory approval could result in a more restrictive label for any product candidates approved for marketing or could result in the delay or denial of approval to market any product candidates by the FDA or comparable foreign regulatory authorities, which could prevent us from generating sufficient revenue from product sales or ultimately achieving profitability. Treatment-related side effects could also affect patient recruitment or the ability of enrolled patients to complete the trial, result in potential product liability claims or cause patients and/or healthcare providers to elect alternative courses of treatment. In addition, these side effects may not be appropriately recognized or managed by the treating medical staff. Inadequate training or education of healthcare professionals to recognize or manage the potential side effects of XPOVIO or our product candidates, if approved, could result in increased treatment-related side effects and cause patients to discontinue treatment. Any of these occurrences may harm our business, financial condition and prospects significantly.

33


Table of Contents

Results of our trials could reveal an unacceptably high severity and prevalence of side effects. In such an event, our trials could be suspended or terminated by us or the FDA or comparable foreign regulatory authorities could order us or our collaborators to cease further development of or deny approval of our product candidates for any or all targeted indications. Many compounds that initially showed promise in early-stage trials for treating cancer or other diseases have later been found to cause side effects that prevented further development of the compound. If such an event occurs after any of our or our collaborators’ product candidates are approved and/or commercialized, a number of potentially significant negative consequences may result, including:

regulatory authorities may withdraw the approval of such drug, require additional warnings on the label or impose distribution or use restrictions and/or require one or more post-marketing studies;
patients and/or healthcare providers may elect to utilize other treatment options that have or are perceived to have more tolerable side effects;
we may be required to create a medication guide outlining the risks of such side effects for distribution to patients;
we could be sued and held liable for harm caused to patients; and
our reputation may suffer.

Further, we, our collaborators and our clinical trial investigators, currently determine if serious adverse or unacceptable side effects are drug-related. The FDA or foreign regulatory authorities may disagree with our, our collaborators’ or our clinical trial investigators’ interpretation of data from clinical trials and the conclusion by us, our collaborators or our clinical trial investigators that a serious adverse effect or unacceptable side effect was not drug-related. The FDA or foreign regulatory authorities may require more information related to the safety of our products or product candidates, including additional preclinical or clinical data to support approval, which may cause us to incur additional expenses, delay or prevent the approval of one of our product candidates, and/or delay or cause us to change our commercialization plans, or we may decide to abandon the development of the product candidate altogether.

The results of previous clinical trials may not be predictive of future trial results, and interim or top-line data may be subject to change or qualification based on the complete analyses of data and, therefore, may not be predictive of the final results of a trial.

Clinical failure can occur at any stage of the clinical development process and, therefore, the outcome of preclinical studies and early-stage clinical trials may not be predictive of the success of later stage clinical trials. Finalization and cleaning of data from our clinical trials may change the conclusions drawn from uncleaned data provided by our clinical trial investigators. Further, there can be significant variability in safety and/or efficacy results between different trials of the same product candidate due to numerous factors, including changes in trial protocols, differences in size and type of the patient populations, starting dose, adherence to the dosing regimen and other trial protocols and the dropout rate among clinical trial participants. We do not know whether any Phase 2, Phase 3 or other clinical trials we may conduct will demonstrate consistent or adequate efficacy and safety data sufficient to obtain regulatory approval to market our product candidates, if approved. Moreover, preclinical and clinical data are often susceptible to varying interpretations and analyses, and many companies have suffered significant setbacks in late-stage clinical trials after achieving positive results in earlier development, and we could face similar setbacks.

We may publicly disclose preliminary, interim or top-line data from our clinical trials. These interim updates are based on a preliminary analysis of then-available data, and the results and related findings and conclusions are subject to change as further patient data become available and following a more comprehensive review of the data related to the particular study or trial. For example, on February 8, 2022, we announced positive top-line data results for our SIENDO trial. On February 25, 2022, we discussed these data with the FDA in a pre-sNDA meeting. We and the FDA meeting participants had differing views on the statistical significance of the study and the overall clinical benefit for the whole study population. For this study or any other study for which we report preliminary, interim or top-line data, we make assumptions, estimations, calculations and conclusions as part of our analyses of data. We may not have received or had the opportunity to fully and carefully evaluate all data or perform all analyses or our conclusions may differ from those of the FDA or other regulatory authorities. Consequently, the interpretation of preliminary, interim or top-line data results that we report may differ from future interpretations of the same studies once additional data have been received and fully evaluated or based on differing views from regulatory agencies, such as in our SIENDO trial. Preliminary, interim or top-line data also remain subject to audit and verification procedures that may result in the final data being materially different from the preliminary data we previously published. As a result, these early data points should be viewed with caution until the final data are available. Adverse differences between previous preliminary or interim data and future interim or final data could significantly harm our business.

In addition, the information we choose to publicly disclose regarding a particular study or clinical trial is typically selected from a more extensive amount of available information. Furthermore, we may report interim analyses of only certain endpoints rather than all endpoints. Investors may not agree with what we determine is the material or otherwise appropriate information to include in our

34


Table of Contents

disclosure, and any information we determine not to disclose may ultimately be deemed significant with respect to future decisions, conclusions, views, activities or otherwise regarding a particular product, product candidate or our business.

If the interim or top-line data that we report differ from future or more comprehensive data, or if others, including regulatory authorities, disagree with the conclusions reached, our ability to obtain approval for and commercialize our product candidates, our business, operating results, prospects, or financial condition may be harmed.

We may not be successful in our efforts to identify or discover additional potential product candidates, or our decisions to prioritize the development of certain product candidates over others may later prove wrong.

Part of our strategy involves identifying and developing product candidates to build a pipeline of product candidates. Our drug discovery efforts may not be successful in identifying compounds that are useful in treating cancer or other diseases. Our research programs may initially show promise in identifying potential product candidates, yet fail to yield product candidates for clinical development for a number of reasons, including:

the research methodology used may not be successful in identifying potential product candidates;
potential product candidates may, on further study, be shown to have harmful side effects or other characteristics that indicate that they are unlikely to be drugs that will receive marketing approval and/or achieve market acceptance; or
potential product candidates may not be effective in treating their targeted diseases.

我們目前正在推進Selinexor的多項臨床開發研究,這可能會給我們有限的人力和財力帶來壓力。因此,我們可能無法向任何單一候選產品提供足夠的資源,以允許該候選產品的成功開發和商業化,這可能會對我們的業務造成實質性損害。此外,由於我們的財務和管理資源有限,我們將重點放在我們確定的特定適應症的研究項目和產品上。因此,我們可能會放棄或推遲尋找其他候選產品或後來被證明具有更大商業潛力的其他跡象的機會。例如,2024年1月,我們宣佈暫停我們eltanexor計劃的進一步臨床開發,以努力將我們的資源集中在我們優先考慮的晚期計劃上。我們的資源分配決策可能會導致我們無法利用可行的商業產品或有利可圖的市場機會。我們在當前和未來的研發計劃和特定適應症候選產品上的支出可能不會產生任何額外的商業可行產品。如果我們沒有準確評估特定候選產品的商業潛力或目標市場,我們可能會通過合作、許可或其他版稅安排放棄對該候選產品有價值的權利,而在這種情況下,保留該候選產品的獨家開發權和商業化權利對我們更有利。

如果我們無法維持或擴大我們的銷售、營銷和分銷能力,我們可能無法成功將XPOVIO或我們可能收購或開發的任何產品或候選產品(如果獲得批准)商業化。

我們已經在美國爲XPOVIO建立了商業基礎設施,XPOVIO是我們的第一個商業產品,用於血液惡性腫瘤,而我們的公司以前沒有任何銷售、營銷或分銷藥物的經驗。如果XPOVIO或我們的任何候選產品被批准用於血液惡性腫瘤以外的其他適應症,如實體腫瘤,我們可能需要發展我們的銷售、營銷和分銷能力,而我們可能無法成功或及時地做到這一點。未來,如果我們的一個或多個候選產品獲得批准,我們可能會選擇將我們的銷售、營銷和分銷基礎設施擴展到市場或共同推廣,或者就我們候選產品的銷售、營銷和分銷進行更多的合作。我們正在與現有和潛在的合作伙伴合作,建立商業基礎設施,以支持Selinexor在美國以外的銷售。例如,我們於2021年12月與Menarini Group(以下簡稱Menarini)簽訂了許可協議,並於2023年3月進行了修訂,其中包括開發NEXPOVIO並將其商業化®歐洲(包括英國)、拉丁美洲、某些中東和非洲地區以及其他主要國家的所有人類腫瘤學適應症(Selinexor)。有關在美國以外地區將我們的產品商業化的其他風險,請參閱標題爲在XPOVIO和/或我們的候選產品的開發、營銷和/或商業化的某些方面,我們依賴於與第三方的合作。如果這些協作不成功,或者如果我們無法維持現有協作或建立其他協作,我們可能不得不更改我們的開發和商業化計劃,並且可能無法利用XPOVIO或我們的候選產品的市場潛力“下面。

建立和維護我們自己的銷售、營銷和分銷能力存在風險。例如,招募和培訓銷售人員成本高昂且耗時,並且可能會推遲候選產品的任何商業發佈,或者對我們已批准產品的持續商業化努力產生負面影響。此外,我們可能會低估銷售規模

35


Table of Contents

force required for a successful product launch and we may need to expand our sales force earlier and at a higher cost than we anticipated. If the commercial launch of any of our product candidates is delayed or does not occur for any reason, including if we do not receive marketing approval in the timeframe we expect, we may have prematurely or unnecessarily incurred commercialization expenses. This may be costly, and our investment would be lost if we cannot retain or reposition our sales and marketing personnel.

Factors that may inhibit our efforts to successfully commercialize XPOVIO or any product candidates, if approved, on our own include:

existing or new competitors taking share from XPOVIO or any other future product or preventing XPOVIO or any other future product from gaining share in its approved indications;
our inability to recruit, train and retain adequate numbers of effective sales, market access, market analytics, operations and marketing personnel;
the inability of sales personnel to obtain access to physicians or persuade adequate numbers of physicians to prescribe current or future products;
the lack of complementary drugs, which may put us at a competitive disadvantage relative to companies with more extensive drug lines;
unforeseen costs and expenses associated with creating an independent sales, marketing and distribution organization;
our inability to obtain sufficient coverage and reimbursement from third-party payors and governmental agencies; and
our ability to supply sufficient inventory of our products for commercial sale.

Even if we, or our collaborators, are able to effectively commercialize XPOVIO or any approved products that we may develop or acquire, the products may not receive coverage or may become subject to unfavorable pricing regulations, third-party reimbursement practices or healthcare reform initiatives, all of which would harm our business.

The legislation and regulations that govern marketing approvals, pricing and reimbursement for new drug products vary widely from country to country. As a result, we or our collaborators might obtain marketing approval for a drug in a particular country, but then be subject to price regulations that delay the commercial launch of the product, possibly for lengthy time periods, and negatively impact the revenues we, or our collaborators, are able to generate from product sales in that country. In the U.S., approval and reimbursement decisions are not linked directly, but there is increasing scrutiny from the Congress, regulatory authorities, payers, patients and pathway organizations of the pricing of pharmaceutical products. Adverse pricing limitations may also hinder our ability to recoup our investment in one or more product candidates, even if our product candidates obtain marketing approval.

Our, and our collaborators’, ability to successfully commercialize XPOVIO and any other products that we may develop or acquire will depend, in part, on the extent to which reimbursement for these products is available from government health administration authorities, private health insurers and other organizations. Government authorities and third-party payors, such as private health insurers and health maintenance organizations, decide which medications they will pay for and establish reimbursement levels. Obtaining and maintaining adequate reimbursement for XPOVIO and any of our product candidates, if approved, may be difficult. Moreover, the process for determining whether a third-party payor will provide coverage for a product may be separate from the process for setting the price of a product or for establishing the reimbursement rate that such a payor will pay for the product. Further, one payor’s determination to provide coverage for a product does not assure that other payors will also provide coverage and reimbursement for our products. Even with payer coverage, patients may be unwilling or unable to pay the copay required and may choose not to take XPOVIO.

A primary trend in the healthcare industry in the U.S. and elsewhere is cost containment. Government authorities and third-party payors have attempted to control costs by limiting coverage and the amount of reimbursement for particular medications. Increasingly, third-party payors are requiring that drug companies provide them with predetermined discounts from list prices and are challenging the prices charged for medical products. Third-party payors may also seek, with respect to an approved product, additional clinical evidence that goes beyond the data required to obtain marketing approval. They may require such evidence to demonstrate clinical benefits and value in specific patient populations or they may call for costly pharmaceutical studies to justify coverage and reimbursement or the level of reimbursement relative to other therapies before covering our products. Accordingly, we cannot be sure that reimbursement will be or will continue to be available for XPOVIO and any product that we, or our collaborators, commercialize and, if reimbursement is available, we cannot be sure as to the level of reimbursement and whether it will be adequate. Coverage and reimbursement may impact the demand for or the price of XPOVIO or any product candidate for which we, or our collaborators, obtain marketing approval. If reimbursement is not available or is available only at limited levels, we, or our collaborators, may not be able to successfully commercialize XPOVIO or any other approved products.

36


Table of Contents

There may be significant delays in obtaining reimbursement for newly-approved drugs, and coverage may be more limited than the indications for which the drug is approved by the FDA or comparable foreign regulatory authorities. Moreover, eligibility for reimbursement does not imply that any drug will be paid for in all cases or at a rate that covers our costs, including research, development, manufacture, sale and distribution. Interim reimbursement levels for new drugs, if applicable, may also not be sufficient to cover our costs and may not be made permanent. Reimbursement rates may vary according to the use of the drug and the clinical setting in which it is used, may be based on reimbursement levels already set for lower cost drugs and may be incorporated into existing payments for other services. Net prices for drugs may be reduced by mandatory discounts or rebates required by government healthcare programs or private payors and by any future relaxation of laws that presently restrict imports of drugs from countries where they may be sold at lower prices than in the U.S. Third-party payors often rely upon Medicare coverage policy and payment limitations in setting their own reimbursement policies. Our inability to promptly obtain coverage and profitable payment rates from both government-funded and private payors for any approved drugs that we develop could have a material adverse effect on our operating results, our ability to raise capital needed to commercialize our products and our overall financial condition.

Product liability lawsuits against us could divert our resources, cause us to incur substantial liabilities and limit commercialization of XPOVIO or any other products that we may develop or acquire.

We face an inherent risk of product liability exposure related to our commercialization of XPOVIO and the testing of our product candidates in human clinical trials as the administration of our products to humans may expose us to liability claims, whether or not our products are actually at fault for causing any harm or injury. As XPOVIO is used over longer periods of time by a wider group of patients taking numerous other medicines or by patients with additional underlying conditions, the likelihood of adverse drug reactions or unintended side effects, including death, may increase. For example, we may be sued if any drug we develop allegedly causes injury or is found to be otherwise unsuitable during clinical testing, manufacturing, marketing or sale. Any such product liability claims may include allegations of defects in manufacturing, defects in design, a failure to warn of dangers inherent in the product, negligence, strict liability or a breach of warranties. Claims could also be asserted under state consumer protection acts. If we cannot successfully defend ourselves against claims that our products or product candidates caused injuries, we will incur substantial liabilities or be required to limit commercialization of our products. Regardless of merit or eventual outcome, liability claims may result in:

decreased demand for XPOVIO and any other products that we may develop or acquire;
injury to our reputation and significant negative media attention;
withdrawal of clinical trial participants;
initiation of investigations by regulators;
product recalls, withdrawals or labeling, marketing or promotional restrictions;
significant costs to defend the related litigation;
substantial monetary awards to trial participants or patients;
loss of revenue;
reduced resources of our management to pursue our business strategy; and
the inability to successfully commercialize XPOVIO and any other products that we may develop or acquire.

We currently hold clinical trial and general product liability insurance coverage, but that coverage may not be adequate to cover any and all liabilities that we may incur. Insurance coverage is increasingly expensive. We may not be able to maintain insurance coverage at a reasonable cost or in an amount adequate to satisfy any liability that may arise.

The business that we or our collaborators conduct outside of the U.S. may be adversely affected by international risks and uncertainties.

Although our operations are primarily based in the U.S., we and our collaborators conduct business outside of the U.S. and expect to continue to do so in the future. For instance, many of the sites at which our clinical trials are being conducted are located outside of the U.S. In addition, we and our collaborators are seeking and continue to plan to seek approvals to sell our and their products in foreign countries. Any business that we, or our collaborators, conduct outside of the U.S. is subject to additional risks that may materially adversely affect our or their ability to conduct business in international markets, including:

potentially reduced protection of our intellectual property rights;

37


Table of Contents

the potential for so-called parallel importing, which is what happens when a local seller, faced with high or higher local prices, opts to import goods from a foreign market (with low or lower prices) rather than buying them locally;
unexpected changes in tariffs, trade barriers or regulatory requirements;
economic weakness, including the uncertainty associated with worldwide economic conditions as a result of inflation, sustained high interest rates, natural disasters and military conflicts, including the conflict between Russia and Ukraine, the war between Israel and Hamas, the Palestinian group that controls the Gaza Strip, volatility in currency exchange rates, pandemics or other public health emergencies, or political instability in particular foreign economies and markets;
workforce uncertainty in countries where labor unrest is more common than in the U.S.;
production shortages resulting from any events affecting a product candidate and/or finished drug product supply or manufacturing capabilities abroad;
business interruptions resulting from geo-political actions, including war and terrorism, such as the ongoing conflict between Russia and Ukraine, the war between Israel and Hamas, pandemics or other public health emergencies, climate change or natural disasters, including earthquakes, hurricanes, typhoons, floods and fires; and
failure to comply with Office of Foreign Asset Control rules and regulations and the Foreign Corrupt Practices Act (“FCPA”).

Risks Related to Regulatory Matters

Even if we, or our collaborators, complete the necessary preclinical studies and clinical trials for our product candidates, the regulatory approval process is expensive, time-consuming and uncertain and we or they may not receive approvals for the commercialization of some or all of our or their product candidates in a timely manner, or at all.

Our long-term success and ability to sustain and grow revenue depends on our and our collaborators’ ability to continue to successfully develop our product candidates and obtain regulatory approval to market our or their products both in and outside of the U.S. In order to market and sell our products in the EU and many other jurisdictions, we and our collaborators must obtain separate marketing approvals and comply with numerous and varying regulatory requirements. The FDA and comparable foreign regulatory authorities, whose laws and regulations may differ from country to country, impose substantial requirements on the development of product candidates to become eligible for marketing approval and have substantial discretion in the process and may refuse to accept any application or may decide that the data are insufficient for approval and require additional preclinical studies, clinical trials or other studies and testing. The time required to obtain approval outside of the U.S. may differ substantially from that required to obtain FDA approval. For example, in many countries outside of the U.S., it is required that the drug be approved for reimbursement before the drug can be approved for sale in that country. Approval by the FDA does not ensure approval by regulatory authorities in other countries or jurisdictions, and approval by one regulatory authority outside of the U.S. does not ensure approval by regulatory authorities in other countries or jurisdictions or by the FDA. However, a failure or delay in obtaining regulatory approval in one country may have a negative effect on the regulatory process in other countries. For additional risks related to conducting business outside of the U.S., please see the risk factor above entitled “The business that we or our collaborators conduct outside of the U.S. may be adversely affected by international risks and uncertainties.”

In addition, the FDA and foreign regulatory authorities retain broad discretion in evaluating the results of our clinical trials and in determining whether the results demonstrate that selinexor or any other product candidate is safe and effective. If we are required to conduct additional clinical trials of selinexor or other product candidates prior to approval of additional indications, in earlier lines of therapy or in combination with other drugs, including additional earlier phase clinical trials that may be required prior to commencing any later phase clinical trials, or additional clinical trials following completion of our current and planned later phase clinical trials, we may need substantial additional funds, and there is no assurance that the results of any such additional clinical trials will be sufficient for approval.

The process of obtaining marketing approvals, both in the U.S. and abroad, is lengthy, expensive and uncertain. It may take many years, if approval is obtained at all, and can vary substantially based upon a variety of factors, including the type, complexity and novelty of the product candidates involved. Securing marketing approval requires the submission of extensive preclinical and clinical data and supporting information, including manufacturing information, to regulatory authorities for each therapeutic indication to establish the product candidate’s safety and effectiveness. Changes in marketing approval policies during the development period, changes in or the enactment of additional statutes or regulations, or changes in regulatory review for each submitted product application, may cause delays in the approval or rejection of an application.

The FDA or other regulatory authorities may determine that (i) our product candidates are not safe and effective, only moderately effective or have undesirable or unintended side effects, toxicities or other characteristics that preclude our obtaining

38


Table of Contents

marketing approval or prevent or limit commercial use; (ii) the dose used in a clinical trial has not been optimized and require us to conduct additional dose optimization studies; or (iii) the comparator arm in a trial is no longer the appropriate comparator due to the evolution of the competitive landscape or subsequent data of the comparator product, even if the FDA or other regulatory authority had previously approved the trial design, and we may be required to amend the trial or we may not receive approval of the indication. For example, the FDA’s Oncology Center of Excellence has a number of projects to advance the development and regulation of medical products for patients with cancer, such as Project Optimus to reform the dose optimization and dose selection paradigm in oncology drug development to emphasize selection of an optimal dose. These projects may require sponsors to spend additional time and resources either pre- or post-approval, and our ability to complete existing trials or initiate new trials may be delayed.

Further, under the Pediatric Research Equity Act (“PREA”), an NDA or supplement to an NDA for certain drugs must contain data to assess the safety and effectiveness of the drug in all relevant pediatric subpopulations and to support dosing and administration for each pediatric subpopulation for which the product is safe and effective, unless the sponsor receives a deferral or waiver from the FDA. A deferral may be granted for several reasons, including a finding that the product or therapeutic candidate is ready for approval for use in adults before pediatric trials are complete or that additional safety or effectiveness data needs to be collected before the pediatric trials begin. The law requires the FDA to send a PREA Non-Compliance letter to sponsors who have failed to submit their pediatric assessments required under PREA, have failed to seek or obtain a deferral or deferral extension or have failed to request approval for a required pediatric formulation. It further requires the FDA to publicly post the PREA Non-Compliance letter and sponsor’s response. The applicable legislation in the EU also requires sponsors to either conduct clinical trials in a pediatric population in accordance with a Pediatric Investigation Plan approved by the Pediatric Committee of the European Medicines Agency (“EMA”) or to obtain a waiver or deferral from the conduct of these studies by this Committee. For any of our product candidates for which we or our collaborators are seeking regulatory approval in the U.S. or the EU, we cannot guarantee that we will be able to obtain a waiver or alternatively complete any required studies and other requirements in a timely manner, or at all, which could result in an issuance and publication of a PREA Non-Compliance letter and associated reputational harm, our product candidate being considered misbranded and subject to relevant enforcement action, invalidation of the marketing application, and/or financial penalties. Our collaborators are also subject to similar requirements outside of the U.S. and the EU and thus the attendant risks and uncertainties.

In addition, we could be adversely affected by several significant administrative law cases decided by the U.S. Supreme Court in 2024. In Loper Bright Enterprises v. Raimondo, for example, the court overruled Chevron U.S.A., Inc. v. Natural Resources Defense Council, Inc., which for 40 years required federal courts to defer to permissible agency interpretations of statutes that are silent or ambiguous on a particular topic. The U.S. Supreme Court stripped federal agencies of this presumptive deference and held that courts must exercise their independent judgment when deciding whether an agency such as the FDA acted within its statutory authority under the Administrative Procedure Act (the “APA”). Additionally, in Corner Post, Inc. v. Board of Governors of the Federal Reserve System, the court held that actions to challenge a federal regulation under the APA can be initiated within six years of the date of injury to the plaintiff, rather than the date the rule is finalized. The decision appears to give prospective plaintiffs a personal statute of limitations to challenge longstanding agency regulations. Another decision, Securities and Exchange Commission v. Jarkesy, overturned regulatory agencies’ ability to impose civil penalties in administrative proceedings. These decisions could introduce additional uncertainty into the regulatory process and may result in additional legal challenges to actions taken by federal regulatory agencies, including the FDA and the Centers for Medicare & Medicaid Services (“CMS”), that we rely on. In addition to potential changes to regulations as a result of legal challenges, these decisions may result in increased regulatory uncertainty and delays and other impacts, any of which could adversely impact our business and operations.

Finally, our ability to develop and market new drug products may be impacted by litigation challenging the FDA’s approval of another company’s drug product. In April 2023, the U.S. District Court for the Northern District of Texas invalidated the approval by the FDA of mifepristone, a drug product which was originally approved in 2000 and whose distribution is governed by various measures adopted under a REMS. The Court of Appeals for the Fifth Circuit declined to order the removal of mifepristone from the market but did hold that plaintiffs were likely to prevail in their claim that changes allowing for expanded access of mifepristone, which the FDA authorized in 2016 and 2021, were arbitrary and capricious. In June 2024, the Supreme Court reversed that decision after unanimously finding that the plaintiffs (anti-abortion doctors and organizations) did not have standing to bring this legal action against the FDA. On October 11, 2024, the Attorneys General of three states (Missouri, Idaho and Kansas) filed an amended complaint in the district court in Texas challenging FDA’s actions. Depending on the outcome of this litigation, our ability to develop new drug product candidates and to maintain approval of existing drug products could be delayed, undermined or subject to protracted litigation.

The approval of our and our collaborators’ current or future product candidates for commercial sale could be delayed, limited or denied or we or they may be required to conduct additional studies for a number of reasons, including, but not limited to, the following:

39


Table of Contents

regulatory authorities may determine that our or our collaborators’ product candidates do not demonstrate safety and effectiveness in accordance with regulatory agency standards based on a number of considerations, including AEs that are reported during clinical trials;
regulatory authorities could analyze and/or interpret data from clinical trials and preclinical testing in different ways than we, or our collaborators, interpret them and determine that our data is insufficient for approval;
regulatory authorities may require more information, including additional preclinical or clinical data or trials, to support approval, as in the case of our trial for patients with TP53 wild-type advanced or recurrent endometrial cancer following discussions with the FDA in early 2022 on our SIENDO trial;
regulatory authorities could determine that our manufacturing processes are not properly designed, are not conducted in accordance with federal or other laws or otherwise not properly managed, and we may be unable to obtain regulatory approval for a commercially viable manufacturing process for our product candidates in a timely manner, or at all;
the supply or quality of our or our collaborators’ product candidates for our clinical trials may be insufficient, inadequate or delayed;
the size of the patient population required to establish the efficacy of our or our collaborators’ product candidates to the satisfaction of regulatory agencies may be larger than we or they anticipated;
our failure or the failure of clinical investigational sites and the records kept at the respective locations, including clinical trial data, to be in compliance with the FDA’s current good clinical practices regulations (“GCP”) or comparable regulations outside of the U.S., including the failure to pass inspections of our corporate site or our clinical trial sites;
regulatory authorities may change their approval policies or adopt new regulations;
regulatory authorities may not be able to undertake reviews, applicable inspections or approval processes in a timely manner;
the results of our earlier clinical trials may not be representative of our future, larger trials;
regulatory authorities may not agree with our or our collaborators’ regulatory approval strategies or components of our or their regulatory filings, such as the design or implementation of the relevant clinical trials; for example, the FDA or foreign regulatory authorities may not agree with our decision to decrease the total number of patients to be enrolled in the ongoing Phase 3 multiple myeloma trial; or
a product may not be approved for the indications that we, or our collaborators, request or may be limited or subject to restrictions or post-approval commitments that render the approved drug not commercially viable.

Finally, we or our collaborators could face heightened risks with respect to seeking marketing approval in the UK as a result of the withdrawal of the UK from the EU, commonly referred to as Brexit. The UK is no longer part of the European Single Market and EU Customs Union. As of January 1, 2021, the MHRA became responsible for supervising medicines and medical devices in Great Britain, comprising England, Scotland and Wales under domestic law, whereas Northern Ireland will continue to be subject to EU rules under the Northern Ireland Protocol. The MHRA will rely on the Human Medicines Regulations 2012 (SI 2012/1916) (as amended) (“HMR”) as the basis for regulating medicines. The HMR has incorporated into the domestic law of the body of EU law instruments governing medicinal products that pre-existed prior to the UK’s withdrawal from the EU. Any delay in obtaining, or an inability to obtain, any marketing approvals, as a result of Brexit or otherwise, may force us or our collaborators to restrict or delay efforts to seek regulatory approval in the UK for our or their product candidates, which could significantly and materially harm our business.

Since a significant proportion of the regulatory framework for pharmaceutical products in the UK covering the quality, safety, and efficacy of pharmaceutical products, clinical trials, marketing authorization, commercial sales, and distribution of pharmaceutical products is derived from EU directives and regulations, Brexit may have a material impact upon the regulatory regime with respect to the development, manufacture, importation, approval and commercialization of our product candidates in the UK. For example, the UK is no longer covered by the centralized procedures for obtaining EU-wide marketing authorization from the EMA, and a separate marketing authorization will be required to market our product candidates in the UK. From January 1, 2025 on, a new international recognition procedure (“IRP”) will apply, which intends to facilitate approval of pharmaceutical products in the UK. The IRP is open to applicants that have already received an authorization for the same product from one of the MHRA’s specified Reference Regulators (“RRs”). The RRs notably include EMA and regulators in the EU/European Economic Area (“EEA”) member states for approvals in the EU centralized procedure and mutual recognition procedure as well as the FDA (for product approvals granted in the U.S.). However, the concrete functioning of the IRP is currently unclear. Any delay in obtaining, or an inability to obtain, any

40


Table of Contents

marketing approvals, as a result of Brexit or otherwise, may force us or our collaborators to restrict or delay efforts to seek regulatory approval in the UK for our product candidates, which could significantly and materially harm our business.

We, or our collaborators, may not be able to file for marketing approvals and may not receive necessary approvals to commercialize our or their products in any market. Any failure, delay or setback in obtaining regulatory approval for our or our collaborators’ product candidates could materially adversely affect our or our collaborators’ ability to generate revenue from a particular product candidate, which could result in significant harm to our financial position and adversely impact our stock price.

We, or our collaborators, may seek approval from the FDA or comparable foreign regulatory authorities to use accelerated development pathways for our product candidates. If we, or our collaborators, are not able to use such pathways, we, or they, may be required to conduct additional clinical trials beyond those that are contemplated, which would increase the expense of obtaining, and delay the receipt of, necessary marketing approvals, if we, or they, receive them at all. In addition, even if an accelerated approval pathway is available to us, or our collaborators, it may not lead to expedited approval of our product candidates, or approval at all.

Under the Federal Food, Drug and Cosmetic Act (“FDCA”) and implementing regulations, the FDA may grant accelerated approval to a product candidate to treat a serious or life-threatening condition that provides meaningful therapeutic benefit over available therapies, upon a determination that the product has an effect on a surrogate endpoint or intermediate clinical endpoint that is reasonably likely to predict clinical benefit. The FDA considers a clinical benefit to be a positive therapeutic effect that is clinically meaningful in the context of a given disease, such as irreversible morbidity or mortality. For the purposes of accelerated approval, a surrogate endpoint is a marker, such as a laboratory measurement, radiographic image, physical sign, or other measure that is thought to predict clinical benefit, but is not itself a measure of clinical benefit. An intermediate clinical endpoint is a clinical endpoint that can be measured earlier than an effect on irreversible morbidity or mortality that is reasonably likely to predict an effect on irreversible morbidity or mortality or other clinical benefit measurement of a therapeutic effect that is considered reasonably likely to predict the clinical benefit of a drug. The accelerated approval pathway may be used in cases in which the advantage of a new drug over available therapy may not be a direct therapeutic advantage, but is a clinically important improvement from a patient and public health perspective. Similar risks to those described above are also applicable to any application that we, or our collaborators, have submitted or may submit in other jurisdictions outside of the U.S. Prior to seeking such accelerated approval, we, or our collaborators, will continue to seek feedback from the FDA or comparable foreign regulatory agencies and otherwise evaluate our, or their, ability to seek and receive such accelerated approval.

There can be no assurance that the FDA or foreign regulatory agencies will agree with our, or our collaborators’, surrogate endpoints or intermediate clinical endpoints in any of our, or their, clinical trials, or that we, or our collaborators, will decide to pursue or submit any additional New Drug Applications (“NDA”) for accelerated approval or any other form of expedited development, review or approval. Similarly, there can be no assurance that, after feedback from the FDA or comparable foreign regulatory agencies, we, or our collaborators, will continue to pursue or apply for accelerated approval or any other form of expedited development, review or approval. Furthermore, for any submission of an application for accelerated approval or application under another expedited regulatory designation, there can be no assurance that such submission or application will be accepted for filing or that any expedited development, review or approval will be granted on a timely basis, or at all.

Finally, there can be no assurance that we will satisfy all FDA requirements, including new provisions, that govern accelerated approval. For example, with passage of the FDORA in December 2022, Congress modified certain provisions governing accelerated approval of drug and biologic products. Specifically, the new legislation authorized the FDA to require a sponsor to have its confirmatory clinical trial underway before accelerated approval is awarded and to submit progress reports on its post-approval studies to FDA every six months until the study is completed. Moreover, FDORA established expedited procedures authorizing FDA to withdraw an accelerated approval if certain conditions are met, including where a required confirmatory study fails to verify and describe the predicted clinical benefit or where evidence demonstrates the product is not shown to be safe or effective under the conditions of use. The FDA may also use such procedures to withdraw an accelerated approval if a sponsor fails to conduct any required post-approval study of the product with due diligence, including with respect to “conditions specified by the Secretary.” The new procedures include the provision of due notice and an explanation for a proposed withdrawal, and opportunities for a meeting with the Commissioner or the Commissioner’s designee and a written appeal, among other things. We will need to fully comply with these and other requirements in connection with the development and approval of any product candidate that qualifies for accelerated approval.

In March 2023, the FDA issued draft guidance that outlines its current thinking and approach to accelerated approval. The FDA indicated that the accelerated approval pathway is commonly used for approval of oncology drugs due to the serious and life-threatening nature of cancer. Although single-arm trials have been commonly used to support accelerated approval, a randomized controlled trial is the preferred approach as it provides a more robust efficacy and safety assessment and allows for direct comparisons to an available therapy. To that end, the FDA outlined considerations for designing, conducting, and analyzing data for trials intended

41


Table of Contents

to support accelerated approvals of oncology therapeutics. While this guidance is currently only in draft form and will ultimately not be legally binding even when finalized, we will need to observe the FDA’s guidance closely to ensure that our products qualify for accelerated approval.

Accordingly, a failure to obtain and maintain accelerated approval or any other form of expedited development, review or approval for our product candidates, or withdrawal of a product candidate, would result in a longer time period until commercialization of such product candidate, could increase the cost of development of such product candidate and could harm our competitive position in the marketplace.

XPOVIO and any of our product candidates for which we, or our collaborators, obtain marketing approval in the future are subject to post-marketing regulatory requirements, including following accelerated or conditional approvals of our product candidates, and could be subject to post-marketing restrictions or withdrawal from the market, and we, and our collaborators, may be subject to substantial penalties if we, or they, fail to comply with regulatory requirements or if we, or they, experience unanticipated problems with our products following approval.

Once marketing approval has been granted, an approved product and its manufacturer and marketer are subject to ongoing review and extensive regulation. XPOVIO and any of our product candidates for which we, or our collaborators, obtain marketing approval in the future, as well as the manufacturing processes, post-approval studies and measures, labeling, advertising and promotional activities for such drug, among other things, will be subject to continual requirements of and review by the FDA and other U.S. and foreign regulatory authorities. These requirements include submissions of safety and other post-marketing information and reports, registration and listing requirements, requirements relating to manufacturing, quality control, quality assurance and corresponding maintenance of records and documents, and requirements regarding the distribution of samples to physicians and recordkeeping. For example, as a condition of the XPOVIO approval by the FDA for the multiple myeloma and DLBCL indications, we are required to complete certain post-marketing commitments. Even if marketing approval of a product candidate is granted, the approval may be subject to limitations on the indicated uses for which the drug may be marketed or to the conditions of approval, including the requirement to implement a REMS, which could include requirements for a restricted distribution system.

The FDA also imposes requirements for costly post-marketing studies or clinical trials to maintain approval of any products that received accelerated or conditional approval. For drugs approved under the FDA’s Accelerated Approval Program, the FDA typically requires post-marketing confirmatory trials to evaluate the anticipated effect on irreversible morbidity or mortality or other clinical benefit. These confirmatory trials must be completed with due diligence. For example, in June 2020, the FDA approved XPOVIO to treat DLBCL under the FDA’s accelerated approval regulations and as a condition of the accelerated approval for this indication we are required to comply with a number of post-approval requirements. We may not be able to successfully and timely complete these post-approval requirements or any other post-marketing confirmatory study as required to maintain approval or achieve full approval of our products. If required post-approval studies fail to verify the clinical benefits of our products or confirm that the surrogate marker used for accelerated approval of our products showed an adequate correlation with clinical outcomes, if a sufficient number of participants cannot be enrolled, or if we fail to perform the required post-approval studies with due diligence or on a timely basis, the FDA has the authority to withdraw approval of the drug following a hearing conducted under the FDA’s regulations, which could have a material adverse impact on our business. We cannot be certain of the results of the confirmatory clinical studies for the DLBCL indication or any other future conditional approval we receive or what action the FDA may take if the results of those studies are not as expected based on clinical data that FDA has already reviewed.

Similar risks to those described above are also applicable to any application that we, or our collaborators, have submitted or may submit in other jurisdictions outside of the U.S., including applications submitted to the EMA to support approval of selinexor to treat heavily pretreated multiple myeloma, relapsed or refractory DLBCL, or any other cancer indication. For medicinal products where the benefit of immediate availability outweighs the risk of less comprehensive data than normally required, based on the scope and criteria defined in legislation and guidelines, it is possible to obtain a conditional marketing authorization in the EU with a 12-month validity period and annual renewal pursuant to Regulation No 507/2006. These are granted only if the EMA’s Committee for Medicinal Products for Human Use (“CHMP”) finds that all four of the following requirements are met: (i) the benefit-risk balance of the product is positive; (ii) it is likely that the sponsor will be able to provide comprehensive data; (iii) unmet medical needs will be fulfilled; and (iv) the benefit to public health of the medicinal product’s immediate availability on the market outweighs the risks due to the need for further data.

Once a conditional marketing authorization has been granted, the marketing authorization holder must fulfill specific obligations within defined timelines. These obligations could include completing ongoing or new studies or collecting additional data to confirm the medicine’s benefit-risk balance remains positive. For example, the July 2022 marketing authorization from the European Commission (“EC”) for NEXPOVIO to treat adult patients with multiple myeloma after at least one prior therapy satisfied the conditional approval obligation for NEXPOVIO for patients with multiple myeloma who have received at least four prior therapies and whose disease is refractory to at least two proteasome inhibitors, two immunomodulatory agents, and an anti-CD38 monoclonal

42


Table of Contents

antibody, and who have demonstrated disease progression on the last therapy. Conditional marketing authorization is valid for a period of one year and can be renewed/prolonged if the conditions set out in the conditional marketing authorization are met. Further, as discussed above, under FDORA, modifications to regulations governing accelerated approval require a sponsor to have the confirmatory clinical trial underway before accelerated approval is awarded as well as other requirements following accelerated approval. If we, or our collaborators, are not able to fulfill the specific obligations set out in any conditional marketing authorization requirements, the conditional marketing authorization may not be prolonged and we, or our collaborators, will no longer be able to market the product for the indication receiving conditional approval.

The FDA and comparable foreign regulatory authorities may also impose requirements for costly surveillance to monitor the safety or efficacy of an approved drug. The FDA and other U.S. or foreign agencies, including the DOJ, closely regulate and monitor the post-approval marketing and promotion of drugs to ensure that they are manufactured, marketed and distributed only for the approved indications and in accordance with the provisions of the approved labeling. The FDA imposes stringent restrictions on manufacturers’ communications regarding off-label use, and if we, or our collaborators communicate about any of our product candidates for which we, or they, receive marketing approval in a way that regulators assert goes beyond their approved indications, we, or they, may be subject to warnings or enforcement action for off-label marketing. Alleged violations of the FDCA or other statutes, including the False Claims Act (the “FCA”), relating to the promotion and advertising of prescription drugs may lead to investigations or allegations of violations of federal and state health care fraud and abuse laws and state consumer protection laws.

We will need to carefully navigate the FDA’s various regulations, guidance and policies, along with recently enacted legislation, to ensure compliance with restrictions governing promotion of our products. In September 2021, the FDA published final regulations which describe the types of evidence that the agency will consider in determining the intended use of a drug or biologic. Moreover, with passage of the Pre-Approval Information Exchange Act in December 2022, sponsors of products that have not been approved may proactively communicate to payors certain information about products in development to help expedite patient access upon product approval. In addition, in October 2023, the FDA published draft guidance outlining the agency’s non-binding policies governing the distribution of scientific information on unapproved uses to healthcare providers. This draft guidance calls for such communications to be truthful, non-misleading, factual, and unbiased and include all information necessary for healthcare providers to interpret the strengths and weaknesses and validity and utility of the information about the unapproved use.

In addition, manufacturers of approved products and those manufacturers’ facilities are required to comply with extensive requirements by the FDA and comparable foreign regulatory authorities, including ensuring that quality control and manufacturing procedures conform to current Good Manufacturing Practice (“cGMP”), which include requirements relating to quality control and quality assurance as well as the corresponding maintenance of records and documentation and reporting requirements. We, our contract manufacturers, our collaborators and their contract manufacturers could be subject to periodic unannounced inspections by the FDA or foreign regulatory authorities to monitor and ensure compliance with cGMPs or other regulations.

Post-approval discovery of previously unknown problems with our products, including AEs of unanticipated severity or frequency, or relating to our manufacturing processes, data integrity issues with regulatory filings, or failure to comply with regulatory requirements, may yield various results, including:

litigation involving patients taking our drug;
restrictions on our manufacturers or manufacturing processes;
restrictions on the labeling or marketing of our products;
restrictions on the distribution or use of our products;
requirements to conduct post-marketing studies or clinical trials;
warning letters or untitled letters;
withdrawal, recall or seizure of our products from the market;
refusal to approve pending applications or supplements to approved applications that we submit;
fines, restitution or disgorgement of profits or revenues;
suspension or withdrawal of marketing approvals;
damage to relationships with our current or potential collaborators;
unfavorable press coverage and damage to our reputation;
refusal to permit the import or export of our products; or

43


Table of Contents

injunctions or the imposition of civil or criminal penalties.

Similar restrictions apply to the approval of our products in the EU. The holder of the marketing authorization is required to comply with a range of requirements applicable to the manufacturing, marketing, promotion and sale of medicinal products. These include:

compliance with the EU’s stringent pharmacovigilance or safety reporting rules, which can impose post-authorization studies and additional monitoring obligations;
the manufacturing of authorized medicinal products, for which a separate manufacturer’s license is mandatory, must also be conducted in strict compliance with the applicable EU laws, regulations and guidance, including Directive 2001/83/EC, Directive 2003/94/EC, Regulation (EC) No 726/2004 and the EC Guidelines for Good Manufacturing Practice. These requirements include compliance with EU cGMP standards when manufacturing medicinal products and active pharmaceutical ingredients, including the manufacture of active pharmaceutical ingredients outside of the EU with the intention to import the active pharmaceutical ingredients into the EU; and
the marketing and promotion of authorized drugs, including industry-sponsored continuing medical education and advertising directed toward the prescribers of drugs and/or the general public, are strictly regulated in the EU notably under Directive 2001/83/EC, as amended, and are also subject to EU Member State laws. Direct-to-consumer advertising of prescription medicines is prohibited across the EU.

Finally, we or our collaborators are also subject to other regulations in various jurisdictions, including the Drug Supply Chain Security Act (the “DSCSA”) in the U.S., the Falsified Medicines Directive in the EU and similar laws and regulations in other countries that require us or them to develop electronic systems to serialize, track, trace and authenticate units of our products through the supply chain and distribution system. Compliance with these regulations may result in increased expenses for us or our collaborators or impose greater administrative burdens on our or their organizations, and any failure on our or our collaborators’ part to meet these requirements could result in fines or other penalties or reputational harm.

Accordingly, in connection with our currently approved products and assuming we, or our collaborators, receive marketing approval for one or more of our product candidates, we, and our collaborators, and our and their contract manufacturers will continue to expend time, money and effort in all areas of regulatory compliance, including manufacturing, production, product surveillance and quality control. If we, and our collaborators, are not able to comply with post-approval regulatory requirements, our or our collaborators’ ability to market any future products could be limited, which could adversely affect our ability to achieve or sustain profitability. Further, the cost of compliance with post-approval regulations may have a negative effect on our operating results and financial condition.

If we, or our collaborators, are required by the FDA, EMA or comparable regulatory authority to obtain clearance or approval of a companion diagnostic test in connection with approval of any of our product candidates or a group of therapeutic products, and we or they do not obtain or there are delays in obtaining clearance or approval of a diagnostic test, we may not be able to commercialize the product candidate and our ability to generate revenue may be materially impaired.

In connection with our ongoing development of a registration-enabling study of selinexor in patients whose endometrial cancer is TP53 wild-type, we are utilizing a companion diagnostic. To be successful in developing and commercializing product candidates in combination with companion diagnostics, we or our collaborators will need to address a number of scientific, technical, regulatory and logistical challenges. According to FDA guidance, if the FDA determines that a companion diagnostic device is essential to ensuring the safety and effectiveness of a novel therapeutic product or new indication, the FDA generally will not approve the therapeutic product or new therapeutic product indication if the companion diagnostic is not also approved or cleared. In certain circumstances (for example, when a therapeutic product is intended to treat a serious or life-threatening condition for which no satisfactory available therapy exists or when the labelling of an approved product needs to be revised to address a serious safety issue), however, the FDA may approve a therapeutic product without the prior or contemporaneous marketing authorization of a companion diagnostic. In this case, approval of a companion diagnostic may be a post-marketing requirement or commitment.

If the FDA requires clearance or approval of a companion diagnostic for any of our product candidates, whether before, concurrently with approval, or post-approval of the product candidate, we, and/or our collaborators, may encounter difficulties in developing and obtaining clearance or approval for these companion diagnostics. The process of obtaining or creating such diagnostic is time consuming and costly. The FDA previously has required in vitro companion diagnostics intended to select the patients who will respond to a product candidate to obtain pre-market approval (“PMA”), simultaneously with approval of the therapeutic candidate.

44


Table of Contents

The PMA process, including the gathering of preclinical and clinical data and the submission and review by the FDA, can take several years or longer. It involves a rigorous pre-market review during which the sponsor must prepare and provide the FDA with reasonable assurance of the device’s safety and effectiveness and information about the device and its components regarding, among other things, device design, manufacturing, and labeling. After a device is placed on the market, it remains subject to significant regulatory requirements, including requirements governing development, testing, manufacturing, distribution, marketing, promotion, labeling, import, export, record-keeping, and adverse event reporting. Similar risks to those described above are also applicable to any companion diagnostic that we, or our collaborators, utilize in our clinical trials in connection with approval of a product candidate outside of the U.S. For example, in the EU, until May 25, 2022, in vitro diagnostic medical devices were regulated by Directive 98/79/EC (the “IVDD”), which has been repealed and replaced by Regulation (EU) No 2017/746 (the “IVDR”). The regulation of companion diagnostics is now subject to further requirements set forth in the IVDR. Companion diagnostics will have to undergo a conformity assessment by a notified body. Before it can issue an EU certificate, the notified body must seek a scientific opinion from the EMA on the suitability of the companion diagnostic to the medicinal product concerned if the medicinal product falls exclusively within the scope of the centralized procedure for the authorization of medicines, or the medicinal product is already authorized through the centralized procedure, or a marketing authorization application for the medicinal product has been submitted through the centralized procedure. As part of the process to obtain a CE-mark for the FMI FoundationOne®CDx for the purpose of determining TP53 wild-type status for use of selinexor in the maintenance treatment of TP53 wild-type endometrial cancer patients, a performance study is required which leverages our EC-042 Study (e.g., using the unapproved FoundationOne®CDx IVD to screen for TP53 wild-type patients in the EC-042 Study and using the data generated to validate the CDx itself). As the regulations are relatively new, the industry is gaining experience in the compilation of these submissions while the national Competent Authorities and the respective Ethics Committees are also gaining expertise in assessing these applications. As a result, the assessment deadlines of these performance study submissions and amendments are often not met. These new regulations have and could continue to negatively impact the pace of enrollment in our clinical trials. For example, in 2023, site activation for our Phase 3 clinical trial in endometrial cancer was delayed in the EU due to the new IVDR regulations. Consequently, the ability to use the FoundationOne®CDx in vitro diagnostic medical devices to screen patients for TP53 status in the EC-042 Study has been delayed in various countries in the EU.

We may rely on third parties for the design, development and manufacture of companion diagnostic tests for our product candidates, such as in the case of our ongoing Phase 3 trial evaluating selinexor in patients with TP53 wild-type advanced or recurrent endometrial cancer. If we enter into such collaborative agreements, we will be dependent on the sustained cooperation and effort of our future collaborators in developing and obtaining clearance or approval for these companion diagnostics. It may be necessary to resolve issues such as selectivity/specificity, analytical validation, reproducibility, or clinical validation of companion diagnostics during the development and regulatory clearance or approval processes. Moreover, even if data from preclinical studies and early clinical trials appear to support development of a companion diagnostic for a product candidate, data generated in later clinical trials may fail to support the analytical and clinical validation of the companion diagnostic. We and our future collaborators may encounter difficulties in developing, obtaining regulatory clearance or approval for, manufacturing and commercializing companion diagnostics similar to those we face with respect to our product candidates themselves, including issues with achieving regulatory clearance or approval, production of sufficient quantities at commercial scale and with appropriate quality standards, and in gaining market acceptance.

If we are unable to successfully develop companion diagnostics for our product candidates, or experience delays in doing so, the development of our product candidates may be adversely affected, our product candidates may not obtain marketing approval, and we may not realize the full commercial potential of any of our product candidates that obtain marketing approval. As a result, our business, results of operations and financial condition could be materially harmed. In addition, a diagnostic company with whom we contract may decide to discontinue selling or manufacturing the companion diagnostic test that we anticipate using in connection with development and commercialization of product candidates or our relationship with such diagnostic company may otherwise terminate. We may not be able to enter into arrangements with another diagnostic company to obtain supplies of an alternative diagnostic test for use in connection with the development and commercialization of our product candidates or do so on commercially reasonable terms, which could adversely affect and/or delay the co-development or commercialization of our companion diagnostic and therapeutic product candidates.

We or our collaborators may seek certain designations for our product candidates in or outside of the U.S., including Breakthrough Therapy, Fast Track and Priority Review designations, and PRIME Designation in the EU, but we, or they, might not receive such designations, and even if we, or they, do, such designations may not lead to a faster development or regulatory review or approval process.

We may seek certain designations for one or more of our product candidates that could expedite review and approval by the FDA. A Breakthrough Therapy product is defined as a product that is intended, alone or in combination with one or more other products, to treat a serious condition, and preliminary clinical evidence indicates that the product may demonstrate substantial improvement over existing therapies on one or more clinically significant endpoints, such as substantial treatment effects observed early in clinical development. For products that have been designated as breakthrough therapies, interaction and communication

45


Table of Contents

between the FDA and the sponsor of the trial can help to identify the most efficient path for clinical development while minimizing the number of patients placed in ineffective control regimens.

The FDA may also designate a product for Fast Track review if it is intended, whether alone or in combination with one or more other products, for the treatment of a serious or life-threatening disease or condition, and it demonstrates the potential to address unmet medical needs for such a disease or condition. For Fast Track products, sponsors may have greater interactions with the FDA and the FDA may initiate review of sections of a Fast Track product’s application before the application is complete. This rolling review may be available if the FDA determines, after preliminary evaluation of clinical data submitted by the sponsor, that a Fast Track product may be effective.

We may also seek a Priority Review designation for one or more of our product candidates. If the FDA determines that a product candidate offers major advances in treatment or provides a treatment where no adequate therapy exists, the FDA may designate the product candidate for priority review. A Priority Review designation means that the goal for the FDA to review an application is six months, rather than the standard review period of ten months.

These designations are within the discretion of the FDA. Accordingly, even if we believe that one of our product candidates meets the criteria for these designations, the FDA may disagree and instead determine not to make such designation. Further, even if we receive a designation, such as the receipt of Fast Track designation for selinexor to treat myelofibrosis, the receipt of such designation for a product candidate may not result in a faster development or regulatory review or approval process compared to products considered for approval under conventional FDA procedures and does not assure ultimate approval by the FDA. In addition, even if one or more of our product candidates qualifies for these designations, the FDA may later decide that the product candidates no longer meet the conditions for qualification and rescind the designation or decide that the time period for FDA review or approval will not be shortened.

In the EU, we or our collaborators may seek PRIME designation for some of our product candidates in the future. PRIME is a voluntary program aimed at enhancing the EMA’s role to reinforce scientific and regulatory support in order to optimize development and enable accelerated assessment of new medicines that are of major public health interest with the potential to address unmet medical needs. The program focuses on medicines that target conditions for which there exists no satisfactory method of treatment in the EU or even if such a method exists, it may offer a major therapeutic advantage over existing treatments. PRIME is limited to medicines under development and not authorized in the EU and the sponsor intends to apply for an initial MAA through the centralized procedure. To be accepted for PRIME, a product candidate must meet the eligibility criteria with respect to its major public health interest and therapeutic innovation based on information that is capable of substantiating the claims. The benefits of a PRIME designation include the appointment of a CHMP rapporteur to provide continued support and help to build knowledge ahead of a MAA, early dialogue and scientific advice at key development milestones, and the potential to qualify products for accelerated review, meaning reduction in the review time for an opinion on approvability to be issued earlier in the application process. PRIME enables a sponsor to request parallel EMA scientific advice and health technology assessment advice to facilitate timely market access. Even if we or our collaborators receive PRIME designation for any of our product candidates, the designation may not result in a materially faster development process, review or approval compared to conventional EMA procedures. Further, obtaining PRIME designation does not assure or increase the likelihood of the EMA’s grant of a marketing authorization.

We, or our collaborators, may not be able to obtain orphan drug exclusivity for any product candidates we, or they, may develop, and even if we do, that exclusivity may not prevent the FDA or the EMA from approving other competing products.

Under the Orphan Drug Act, the FDA may designate a product as an orphan drug if it is a drug or biologic intended to treat a rare disease or condition. A similar regulatory scheme governs approval of orphan products by the EMA in the EU. Generally, if a product candidate with an Orphan Drug Designation subsequently receives the first marketing approval for the indication for which it has such designation, the product is entitled to a period of marketing exclusivity, which precludes the FDA or the EMA, as applicable, from approving another marketing application for the same product for the same therapeutic indication for that time period. The applicable period is seven years in the U.S. and ten years in the EU. The exclusivity period in the EU can be reduced to six years if a product no longer meets the criteria for Orphan Drug Designation, in particular if the product is sufficiently profitable so that market exclusivity is no longer justified.

In order for the FDA to grant orphan drug exclusivity to one of our products, the agency must find that the product is indicated for the treatment of a condition or disease with a patient population of fewer than 200,000 individuals annually in the U.S. The FDA may conclude that the condition or disease for which we seek orphan drug exclusivity does not meet this standard. Even if we obtain orphan drug exclusivity for a product, such as the recent receipt of orphan drug exclusivity for selinexor for the treatment of myelofibrosis, that exclusivity may not effectively protect the product from competition because different products can be approved for the same condition. In addition, even after an orphan drug is approved, the FDA and comparable foreign regulatory authorities, such as the EMA, can subsequently approve the same product for the same condition if the FDA or such other authorities conclude

46


Table of Contents

that the later product is clinically superior in that it is shown to be safer, more effective or makes a major contribution to patient care. Orphan drug exclusivity may also be lost if the FDA or EMA determines that the request for designation was materially defective or if the manufacturer is unable to assure sufficient quantity of the product to meet the needs of the patients with the rare disease or condition.

In 2017, the Congress passed the FDA Reauthorization Act of 2017 (the “FDARA”). The FDARA, among other things, codified the FDA’s pre-existing regulatory interpretation, to require that a drug sponsor demonstrate the clinical superiority of an orphan drug that is otherwise the same as a previously approved drug for the same rare disease in order to receive orphan drug exclusivity. Under omnibus legislation signed by former President Trump in December 2020, the requirement for a product to show clinical superiority applies to drugs and biologics that received Orphan Drug Designation before the enactment of the FDARA in 2017, but have not yet been approved or licensed by the FDA.

The FDA and Congress may further reevaluate the Orphan Drug Act and its regulations and policies. This may be particularly true in light of a decision from the Court of Appeals for the 11th Circuit in September 2021 finding that, for the purpose of determining the scope of exclusivity, the term “same disease or condition” means the designated “rare disease or condition” and could not be interpreted by the FDA to mean the “indication or use.” Although there have been legislative proposals to overrule this decision, they have not been enacted into law. On January 23, 2023, the FDA announced that, in matters beyond the scope of that court order, the FDA will continue to apply its existing regulations tying orphan-drug exclusivity to the uses or indications for which the orphan drug was approved.

We do not know if, when, or how the FDA may change the orphan drug regulations and policies in the future or whether Congress will take legislative action, and it is uncertain how any changes might affect our business. Depending on what changes the FDA or Congress may make to orphan drug regulations and policies, our business could be adversely impacted.

Inadequate funding for the FDA, the SEC and other government agencies, including from government shut downs, or other disruptions to these agencies’ operations, could hinder their ability to hire and retain key leadership and other personnel, prevent new products and services from being developed or commercialized in a timely manner or otherwise prevent those agencies from performing normal business functions on which the operation of our business may rely, which could negatively impact our business.

The ability of the FDA to review and approve new products can be affected by a variety of factors, including government budget and funding levels, ability to hire and retain key personnel and accept the payment of user fees, and statutory, regulatory and policy changes. Average review times at the agency have fluctuated in recent years as a result. Disruptions at the FDA and other agencies may also slow the time necessary for new product candidates to be reviewed and/or approved by necessary government agencies, which would adversely affect our business. In addition, government funding of the SEC and other government agencies on which our operations may rely, including those that fund research and development activities, is subject to the political process, which is inherently fluid and unpredictable.

Disruptions at the FDA and other agencies may also slow the time necessary for new product candidates to be reviewed and/or approved by necessary government agencies, which would adversely affect our business. For example, over the last several years the U.S. government has shut down several times and certain regulatory agencies, such as the FDA and the SEC, have had to furlough critical employees and stop critical activities. If a prolonged government shutdown occurs, it could significantly impact the ability of the FDA to timely review and process our regulatory submissions, which could have a material adverse effect on our business. Further, future government shutdowns could impact our ability to access the public markets and obtain necessary capital in order to properly capitalize and continue our operations.

Current and future legislation may increase the difficulty and cost for us, or any collaborators, to obtain marketing approval and commercialize our or their product candidates, if approved, and affect the prices we, or they, may obtain.

In the U.S. and some foreign jurisdictions, there have been a number of legislative and regulatory changes and proposed changes regarding the healthcare system that could, among other things, prevent or delay marketing approval of our or our collaborators’ product candidates, restrict or regulate post-approval activities and affect our ability, or the ability of any collaborators, to profitably sell or commercialize XPOVIO or any product candidate for which we, or they, obtain marketing approval. We expect that current laws, as well as other healthcare reform measures that may be adopted in the future, may result in more rigorous coverage criteria and in additional downward pressure on the price that we, or any collaborators, may receive for any approved products. If reimbursement of our products is unavailable or limited in scope, our business could be materially harmed.

In March 2010, President Obama signed into law the Patient Protection and Affordable Care Act, as amended by the Health Care and Education Affordability Reconciliation Act (collectively the “PPACA”). In addition, other legislative changes have been

47


Table of Contents

proposed and adopted since the PPACA was enacted. In August 2011, the Budget Control Act of 2011, among other things, created measures for spending reductions by Congress. A Joint Select Committee on Deficit Reduction, tasked with recommending a targeted deficit reduction of at least $1.2 trillion for the years 2013 through 2021, was unable to reach required goals, thereby triggering the legislation’s automatic reduction to several government programs. These changes included aggregate reductions to Medicare payments to providers of up to 2% per fiscal year, which went into effect in April 2013 and will remain in effect through 2031. The American Taxpayer Relief Act of 2012, among other things, reduced Medicare payments to several providers and increased the statute of limitations period for the government to recover overpayments to providers from three to five years. Further, with the passage of the Inflation Reduction Act (the “IRA”) in August 2022, Congress extended the expansion of PPACA premium tax credits through 2025.

These and other laws may result in additional reductions in Medicare and other healthcare funding and otherwise affect the prices we may obtain for any of our products or product candidates for which we may obtain regulatory approval or the frequency with which any such product is prescribed or used. For example, the Consolidated Appropriations Act, which was signed into law by President Biden in December 2022, made several changes to sequestration of the Medicare program. Section 1001 of the Act delays the 4% Statutory Pay-As-You-Go Act of 2010 sequester for two years, through the end of calendar year 2024. Triggered by enactment of the American Rescue Plan Act of 2021, the 4% cut to the Medicare program would have taken effect in January 2023. The Act’s health care offset title includes Section 4163, which extends the 2% Budget Control Act of 2011 Medicare sequester for six months into fiscal year 2032 and lowers the payment reduction percentages in fiscal years 2030 and 2031.

Since enactment of the PPACA, there have been, and continue to be, numerous legal challenges and Congressional actions to repeal and replace provisions of the law. For example, with the enactment of the Tax Cuts and Jobs Act of 2017 (the “TCJA”), Congress repealed the “individual mandate.” The repeal of this provision, which requires most Americans to carry a minimal level of health insurance, became effective in 2019. Further, in December 2018, a U.S. District Court judge in the Northern District of Texas ruled that the individual mandate portion of the PPACA is an essential and inseverable feature of the PPACA, and therefore because the mandate was repealed as part of the TCJA, the remaining provisions of the PPACA are invalid as well. In June 2021, the U.S. Supreme Court dismissed this action after finding that the plaintiffs do not have standing to challenge the constitutionality of the PPACA. Litigation and legislation over the PPACA are likely to continue, with unpredictable and uncertain results.

The Trump Administration also took executive actions to undermine or delay implementation of the PPACA, including directing federal agencies with authorities and responsibilities under the PPACA to waive, defer, grant exemptions from, or delay the implementation of any provision of the PPACA that would impose a fiscal or regulatory burden on states, individuals, healthcare providers, health insurers, or manufacturers of pharmaceuticals or medical devices. In January 2021, however, President Biden issued a new Executive Order which directs federal agencies to reconsider rules and other policies that limit Americans’ access to health care, and consider actions that will protect and strengthen that access. Under this Executive Order, federal agencies are directed to re-examine: policies that undermine protections for people with pre-existing conditions, including complications related to COVID-19; demonstrations and waivers under Medicaid and the PPACA that may reduce coverage or undermine the programs, including work requirements; policies that undermine the health insurance marketplace or other markets for health insurance; policies that make it more difficult to enroll in Medicaid and the PPACA; and policies that reduce affordability of coverage or financial assistance, including for dependents.

We expect that these healthcare reforms, as well as other healthcare reform measures that may be adopted in the future, may result in additional reductions in Medicare and other healthcare funding, more rigorous coverage criteria and new payment methodologies that govern XPOVIO or any other approved product and/or the level of reimbursement physicians receive for administering XPOVIO or any other approved product we, or our collaborators, might bring to market. Reductions in reimbursement levels may negatively impact the prices we receive or the frequency with which our products are prescribed or administered. Any reduction in reimbursement from Medicare or other government programs may result in a similar reduction in payments from private payors. Accordingly, such reforms, if enacted, could have an adverse effect on anticipated revenue from XPOVIO or from product candidates for which we may obtain marketing approval and may affect our overall financial condition and ability to develop or commercialize product candidates.

The prices of prescription pharmaceuticals in the U.S. and foreign jurisdictions are subject to considerable legislative and executive actions and could impact the prices we obtain for our products, if and when licensed.

The prices of prescription pharmaceuticals have also been the subject of considerable discussion in the U.S. There have been several recent U.S. congressional inquiries, as well as proposed and enacted state and federal legislation designed to, among other things, bring more transparency to pharmaceutical pricing, review the relationship between pricing and manufacturer patient programs, and reduce the costs of pharmaceuticals under Medicare and Medicaid. In 2020, former President Trump issued several executive orders intended to lower the costs of prescription products and certain provisions in these orders have been incorporated into regulations. These regulations include an interim final rule implementing a most favored nation model for prices that would tie

48


Table of Contents

Medicare Part B payments for certain physician-administered pharmaceuticals to the lowest price paid in other economically advanced countries, effective January 1, 2021. That rule, however, has been subject to a nationwide preliminary injunction and, on December 29, 2021, CMS issued a final rule to rescind it. With issuance of this rule, CMS stated that it will explore all options to incorporate value into payments for Medicare Part B pharmaceuticals and improve beneficiaries’ access to evidence-based care.

In addition, in October 2020, the Department of Health and Human Services (the “HHS”) and the FDA published a final rule allowing states and other entities to develop a Section 804 Importation Program to import certain prescription drugs from Canada into the U.S. That regulation was challenged in a lawsuit by the Pharmaceutical Research and Manufacturers of America (“PhRMA”) but the case was dismissed by a federal district court in February 2023 after the court found that PhRMA did not have standing to sue the HHS. Seven states (Colorado, Florida, Maine, New Hampshire, New Mexico, Texas and Vermont) have passed laws allowing for the importation of drugs from Canada. North Dakota  and Virginia  have passed legislation establishing workgroups to examine the impact of a state importation program. As of October 2024, five states (Colorado, Florida, Maine, New Hampshire and New Mexico) had submitted Section 804 Importation Program proposals to the FDA. Vermont has submitted a concept letter to the HHS. On January 5, 2024, the FDA approved Florida’s plan for Canadian drug importation. That state now has authority to import certain drugs from Canada for a period of two years once certain conditions are met. Florida will first need to submit a pre-import request for each drug selected for importation, which must be approved by the FDA. The state will also need to relabel the drugs and perform quality testing of the products to meet FDA standards.

Further, in November 2020, the HHS finalized a regulation removing safe harbor protection for price reductions from pharmaceutical manufacturers. The final rule would also eliminate the current safe harbor for Medicare drug rebates and create new safe harbors for beneficiary point-of-sale discounts and pharmacy benefit manager service fees. It originally was set to go into effect on January 1, 2022, but with passage of the IRA has been delayed by Congress to January 1, 2032.

In July 2021, President Biden signed Executive Order 14063, which focuses on, among other things, the price of pharmaceuticals. The Order directs the HHS to create a plan within 45 days to combat “excessive pricing of prescription pharmaceuticals and enhance domestic pharmaceutical supply chains, to reduce the prices paid by the federal government for such pharmaceuticals, and to address the recurrent problem of price gouging.” In September 2021, the HHS released its plan to reduce pharmaceutical prices. The key features of that plan are to: (a) make pharmaceutical prices more affordable and equitable for all consumers and throughout the health care system by supporting pharmaceutical price negotiations with manufacturers; (b) improve and promote competition throughout the prescription pharmaceutical industry by supporting market changes that strengthen supply chains, promote biosimilars and generic drugs, and increase transparency; and (c) foster scientific innovation to promote better healthcare and improve health by supporting public and private research and making sure that market incentives promote discovery of valuable and accessible new treatments.

On August 16, 2022, the IRA was signed into law by President Biden. The new legislation has implications for Medicare Part D, which is a program available to individuals who are entitled to Medicare Part A or enrolled in Medicare Part B to give them the option of paying a monthly premium for outpatient prescription drug coverage. Among other things, the IRA requires manufacturers of certain drugs to engage in price negotiations with Medicare (beginning in 2026), with prices that can be negotiated subject to a cap; imposes rebates under Medicare Part B and Medicare Part D to penalize price increases that outpace inflation (first due in 2023); and replaces the Part D coverage gap discount program with a new discounting program (beginning in 2025). The IRA permits the Secretary of the HHS to implement many of these provisions through guidance, as opposed to regulation, for the initial years. Further, the legislation subjects drug manufacturers to civil monetary penalties and a potential excise tax for failing to comply with the legislation by offering a price that is not equal to or less than the negotiated “maximum fair price” under the law or for taking price increases that exceed inflation. The legislation also requires manufacturers to pay rebates for drugs in Medicare Part D whose price increases exceed inflation. The new law also caps Medicare out-of-pocket drug costs at an estimated $4,000 a year in 2024 and, thereafter beginning in 2025, at $2,000 a year.

Specifically, with respect to price negotiations, Congress authorized Medicare to negotiate lower prices for certain costly single-source drug and biologic products that do not have competing generics or biosimilars and are reimbursed under Medicare Part B and Part D. CMS may negotiate prices for ten high-cost drugs paid for by Medicare Part D starting in 2026, followed by 15 Part D drugs in 2027, 15 Part B or Part D drugs in 2028, and 20 Part B or Part D drugs in 2029 and beyond. This provision applies to drug products that have been approved for at least nine years and biologics that have been licensed for 13 years, but it does not apply to drugs and biologics that have been approved for a single rare disease or condition. The first cycle of negotiations for the Medicare Drug Price Negotiation Program commenced in the summer of 2023. On August 15, 2024, the HHS published the results of the first Medicare drug price negotiations for ten selected drugs that treat a range of conditions, including diabetes, chronic kidney disease, and rheumatoid arthritis. The prices of these ten drugs will become effective January 1, 2026. The second cycle of price negotiations under this program will commence in the fall of 2024.

49


Table of Contents

On June 6, 2023, Merck & Co. filed a lawsuit against the HHS and CMS asserting that, among other things, the IRA’s Drug Price Negotiation Program for Medicare constitutes an uncompensated taking in violation of the Fifth Amendment of the Constitution. Subsequently, a number of other parties, including the U.S. Chamber of Commerce (the “Chamber”), Bristol Myers Squibb Company, the PhRMA, Astellas, Novo Nordisk, Janssen Pharmaceuticals, Novartis, AstraZeneca and Boehringer Ingelheim, also filed lawsuits in various courts with similar constitutional claims against the HHS and CMS. There have been various decisions by the courts considering these cases since they were filed. The HHS has generally won the substantive disputes in these cases, and various federal district court judges have expressed skepticism regarding the merits of the legal arguments being pursued by the pharmaceutical industry. Certain of these cases are now on appeal, with oral arguments scheduled in October 2024. We expect that litigation involving these and other provisions of the IRA will continue, with unpredictable and uncertain results. Accordingly, while it is currently unclear how the IRA will be effectuated, we cannot predict with certainty what impact any federal or state health reforms will have on us, but such changes could impose new or more stringent regulatory requirements on our activities or result in reduced reimbursement for our products, any of which could adversely affect our business, results of operations and financial condition.

At the state level, individual states are increasingly aggressive in passing legislation and implementing regulations designed to control pharmaceutical and biological product pricing, including price or patient reimbursement constraints, discounts, restrictions on certain product access and marketing cost disclosure and transparency measures, and, in some cases, designed to encourage importation from other countries and bulk purchasing. In addition, regional healthcare organizations and individual hospitals are increasingly using bidding procedures to determine what pharmaceutical products and which suppliers will be included in their prescription drug and other healthcare programs. These measures could reduce the ultimate demand for our products, once approved, or put pressure on our product pricing. We expect that additional state and federal healthcare reform measures will be adopted in the future, any of which could limit the amounts that federal and state governments will pay for healthcare products and services, which could result in reduced demand for our product candidates or additional pricing pressures.

Finally, outside of the U.S., in some nations, including those of the EU, the pricing of prescription pharmaceuticals is subject to governmental control and access. In these countries, pricing negotiations with governmental authorities can take considerable time after the receipt of marketing approval for a product. To obtain reimbursement or pricing approval in some countries, we, or our collaborators, may be required to conduct a clinical trial that compares the cost-effectiveness of our product to other available therapies.

These measures, as well as others adopted in the future, may result in additional downward pressure on the price that we receive for XPOVIO or any other approved product we or our collaborators might bring to market. Accordingly, such reforms, if enacted, could have an adverse effect on anticipated revenue from XPOVIO or from product candidates that we, or our collaborators, may successfully develop and for which we, or they, may obtain marketing approval and may affect our overall financial condition and ability to develop or commercialize product candidates.

Our relationships with healthcare providers, physicians and third-party payers will be subject to applicable anti-kickback, fraud and abuse, and other healthcare laws and regulations, which could expose us to criminal sanctions, civil penalties, contractual damages, reputational harm and diminished profits and future earnings.

Healthcare professionals, including but not limited to physicians, nurses, medical directors, hospitals, pharmacies, pharmacy benefit managers, group purchasing organizations, wholesalers, insurers, and all individuals employed by such entities (collectively, “HCPs”), may influence the recommendation and prescription of our approved products. Our arrangements with HCPs and others who have the ability to influence the recommendation and prescription of our products may expose us to broadly applicable fraud and abuse and other healthcare laws and regulations that may constrain the business or financial arrangements and relationships through which we market, sell and distribute our medicines for which we obtain marketing approval. Restrictions under applicable federal and state healthcare laws and regulations include the following:

the federal healthcare anti-kickback statute prohibits, among other things, persons from knowingly and willfully soliciting, offering, receiving or providing remuneration, directly or indirectly, in cash or in kind, to induce or reward either the referral of an individual for, or the purchase, order, or recommendation of, any good or service, for which payment may be made under federal and state healthcare programs such as Medicare and Medicaid;
the FCA imposes criminal and civil penalties, including civil whistleblower or qui tam actions, against individuals or entities for knowingly presenting or causing to be presented, to the federal government, claims for payment or approval from Medicare, Medicaid or other government payers that are false or fraudulent or making a false statement to avoid, decrease or conceal an obligation to pay money to the federal government, with potential liability including mandatory treble damages and significant per-claim penalties;
the federal Health Insurance Portability and Accountability Act of 1996 (“HIPAA”), as further amended by the Health Information Technology for Economic and Clinical Health Act, which imposes certain requirements, including mandatory

50


Table of Contents

contractual terms, with respect to safeguarding the privacy, security and transmission of individually identifiable health information without appropriate authorization by entities subject to the rule, such as health plans, healthcare clearinghouses and healthcare providers;
the federal false statements statute, which prohibits knowingly and willfully falsifying, concealing or covering up a material fact or making any materially false statement in connection with the delivery of or payment for healthcare benefits, items or services;
the federal transparency requirements under the federal Physician Payment Sunshine Act, which requires manufacturers of drugs, devices, biologics and medical supplies to report to the HHS, information related to payments and other transfers of value to physicians, other healthcare providers and teaching hospitals and ownership and investment interests held by physicians and their immediate family members and applicable group purchasing organizations; and
analogous state laws and regulations, such as state anti-kickback and false claims laws, which may apply to sales or marketing arrangements and claims involving healthcare items or services reimbursed by non-governmental third-party payers, including private insurers, and certain state laws that require pharmaceutical companies to comply with the pharmaceutical industry’s voluntary compliance guidelines and the relevant compliance guidance promulgated by the federal government in addition to requiring drug manufacturers to report information related to payments to physicians and other healthcare providers or marketing expenditures.

Because of the breadth of these laws and the narrowness of the statutory exceptions and safe harbors available, it is possible that some of our business activities could be subject to challenge under one or more of such laws. If our operations are found to be in violation of any of the laws described above or any other government regulations that apply to us, we may be subject to penalties, including civil and criminal penalties, damages, fines, exclusion from participation in government healthcare programs, such as Medicare and Medicaid, imprisonment and the curtailment or restructuring of our operations, any of which could adversely affect our business, financial condition, results of operations and prospects.

Efforts to ensure that our business arrangements with third parties will comply with applicable healthcare laws and regulations will involve substantial costs. It is possible that governmental authorities will conclude that our business practices may not comply with current or future statutes, regulations or case law involving applicable fraud and abuse or other healthcare laws and regulations. If our operations are found to be in violation of any of these laws or any other governmental regulations that may apply to us, we may be subject to significant civil, criminal and administrative penalties, damages, fines, exclusion from government funded healthcare programs, such as Medicare and Medicaid, and the curtailment or restructuring of our operations. If any of the physicians or other providers or entities with whom we expect to do business are found to be not in compliance with applicable laws, they may be subject to criminal, civil or administrative sanctions, including exclusions from government funded healthcare programs. Liabilities they incur pursuant to these laws could result in significant costs or an interruption in operations, which could have a material adverse effect on our business, financial condition, results of operations and prospects.

Our reporting and payment obligations under the Medicaid Drug Rebate Program and other governmental drug pricing programs are complex and may involve subjective decisions. Any failure to comply with those obligations could subject us to penalties and sanctions.

As a condition of reimbursement by various federal and state health insurance programs, we are required to calculate and report certain pricing information to federal and state agencies. The regulations governing the calculations, price reporting and payment obligations are complex and subject to interpretation by various government and regulatory agencies, as well as the courts. Reasonable assumptions have been made where there is lack of regulations or clear guidance and such assumptions involve subjective decisions and estimates. We are required to report any revisions to our calculation, price reporting and payment obligations previously reported or paid. Such revisions could affect our liability to federal and state payers and also adversely impact our reported financial results of operations in the period of such restatement. Further, a number of states have either implemented or are considering implementation of drug price transparency legislation that may prevent or limit our ability to take price increases at certain rates or frequencies. Requirements under such laws include advance notice of planned price increases, reporting price increase amounts and factors considered in taking such increases, wholesale acquisition cost information disclosure to prescribers, purchasers, and state agencies, and new product notice and reporting. Such legislation could limit the price or payment for certain drugs, and a number of states are authorized to impose civil monetary penalties or pursue other enforcement mechanisms against manufacturers for the untimely, inaccurate, or incomplete reporting of drug pricing information or for otherwise failing to comply with drug price transparency requirements. If we are found to have violated state law requirements, we may become subject to significant penalties or other enforcement mechanisms, which could have a material adverse effect on our business.

Uncertainty exists as new laws, regulations, judicial decisions, or new interpretations of existing laws, or regulations related to our calculations, price reporting or payments obligations increases the chances of a legal challenge, restatement or investigation. If we

51


Table of Contents

become subject to investigations, restatements, or other inquiries concerning our compliance with price reporting laws and regulations, we could be required to pay or be subject to additional reimbursements, penalties, sanctions or fines, which could have a material adverse effect on our business, financial condition and results of operations. In addition, it is possible that future healthcare reform measures could be adopted, which could result in increased pressure on pricing and reimbursement of our products and thus have an adverse impact on our financial position or business operations.

Further, state Medicaid programs may be slow to invoice pharmaceutical companies for calculated rebates resulting in a lag between the time a sale is recorded and the time the rebate is paid. This results in us having to carry a liability on our consolidated balance sheets for the estimate of rebate claims expected for Medicaid patients. If actual claims are higher than current estimates, our financial position and results of operations could be adversely affected.

In addition to retroactive rebates and the potential for 340B Program refunds, if we are found to have knowingly submitted any false price information related to the Medicaid Drug Rebate Program to CMS, we may be liable for civil monetary penalties. Such failure could also be grounds for CMS to terminate our Medicaid drug rebate agreement, pursuant to which we participate in the Medicaid program. In the event that CMS terminates our rebate agreement, federal payments may not be available under government programs, including Medicaid or Medicare Part B, for our covered outpatient drugs.

Additionally, if we overcharge the government in connection with the Federal Supply Schedule pricing program or Tricare Retail Pharmacy Program, whether due to a misstated Federal Ceiling Price or otherwise, we are required to refund the difference to the government. Failure to make necessary disclosures and/or to identify contract overcharges can result in allegations against us under the FCA and other laws and regulations. Unexpected refunds to the government, and responding to a government investigation or enforcement action, would be expensive and time-consuming, and could have a material adverse effect on our business, financial condition, results of operations and growth prospects.

Our collaborators are also subject to similar requirements outside of the U.S. and thus the attendant risks and uncertainties. If our collaborators suffer material and adverse effects from such risks and uncertainties, our rights and benefits for our licensed products could be negatively impacted, which could have a material and adverse impact on our revenues.

We are subject to stringent privacy laws, information security laws, regulations, policies and contractual obligations related to data privacy and security and changes in such laws, regulations, policies and contractual obligations, and failure to comply with such requirements could subject us to significant fines and penalties, which may have a material adverse effect on our business, financial condition or results of operations.

We are subject to data privacy and protection laws and regulations that apply to the collection, transmission, storage and use of personally-identifying information, which among other things, impose certain requirements relating to the privacy, security and transmission of personal information, including comprehensive regulatory systems in the U.S., EU, UK and other countries in which we may conduct business. The legislative and regulatory landscape for privacy and data protection continues to evolve in jurisdictions worldwide, and there has been an increasing focus on privacy and data protection issues with the potential to affect our business. Failure to comply with any of these laws and regulations could result in enforcement action against us, including fines, imprisonment of company officials and public censure, claims for damages by affected individuals, damage to our reputation and loss of goodwill, any of which could have a material adverse effect on our business, financial condition, results of operations or prospects.

There are numerous U.S. federal and state laws and regulations related to the privacy and security of personal information. In particular, regulations promulgated pursuant to HIPAA establish privacy and security standards that limit the use and disclosure of individually identifiable health information, or protected health information, and require the implementation of administrative, physical and technological safeguards to protect the privacy of protected health information and ensure the confidentiality, integrity and availability of electronic protected health information. Determining whether protected health information has been handled in compliance with applicable privacy standards and our contractual obligations can be complex and may be subject to changing interpretation.

If we fail to comply with applicable privacy laws, including applicable HIPAA privacy and security standards, we could face civil and criminal penalties. HHS enforcement activity can result in financial liability and reputational harm, and responses to such enforcement activity can consume significant internal resources. In addition, state attorneys general are authorized to bring civil actions seeking either injunctions or damages in response to violations that threaten the privacy of state residents. We cannot be sure how these regulations will be interpreted, enforced or applied to our operations. In addition to the risks associated with enforcement activities and potential contractual liabilities, our ongoing efforts to comply with evolving laws and regulations at the federal and state level may be costly and require ongoing modifications to our policies, procedures and systems.

52


Table of Contents

In addition to potential enforcement by the HHS, we could also be potentially subject to privacy enforcement from the Federal Trade Commission (the “FTC”). The FTC has been particularly focused on the unpermitted processing of health and genetic data through its recent enforcement actions and is expanding the types of privacy violations that it interprets to be “unfair” under Section 5 of the FTC Act, as well as the types of activities it views to trigger the Health Breach Notification Rule (which the FTC also has the authority to enforce). The agency is also in the process of developing rules related to commercial surveillance and data security. We will need to account for the FTC’s evolving rules and guidance for proper privacy and data security practices in order to mitigate risk for a potential enforcement action, which may be costly.

States are also active in creating specific rules relating to the processing of personal information. In 2018, California passed into law the California Consumer Privacy Act (the “CCPA”), which took effect on January 1, 2020 and imposed many requirements on businesses that process the personal information of California residents. Many of the CCPA’s requirements are similar to those found in the European General Data Protection Regulation (the “GDPR”), which is further described below, including requiring businesses to provide notice to data subjects regarding the information collected about them and how such information is used and shared, and providing data subjects the right to request access to such personal information and, in certain cases, request the erasure of such personal information. The CCPA also affords California residents the right to opt-out of “sales” of their personal information. The CCPA contains significant penalties for companies that violate its requirements.

In November 2020, California voters passed a ballot initiative for the California Privacy Rights Act (the “CPRA”), which went into effect on January 1, 2023 and significantly expanded the CCPA to incorporate additional GDPR-like provisions including requiring that the use, retention and sharing of personal information of California residents be reasonably necessary and proportionate to the purposes of collection or processing, granting additional protections for sensitive personal information, and requiring greater disclosures related to notice to residents regarding retention of information. The CPRA also created a new enforcement agency – the California Privacy Protection Agency – the sole responsibility of which is to enforce the CPRA and other California privacy laws, which will further increase compliance risk. The provisions in the CPRA may apply to some of our business activities.

In addition to California, at least eighteen other states have passed comprehensive privacy laws similar to the CCPA and CPRA. These laws are either in effect or will go into effect over the next few years. Like the CCPA and CPRA, these laws create obligations related to the processing of personal information, as well as special obligations for the processing of “sensitive” data, which includes health data in some cases. Some of the provisions of these laws may apply to our business activities. There are also states that are strongly considering or have already passed comprehensive privacy laws during the 2024 legislative sessions that will go into effect in 2025 and beyond, including New Hampshire and New Jersey. Other states will be considering these laws in the future, and Congress has also been debating passing a federal privacy law. There are also states that are specifically regulating health information that may affect our business. For example, Washington state passed a health privacy law in 2023 that regulates the collection and sharing of health information, and the law also has a private right of action, which further increases the relevant compliance risk. Connecticut and Nevada have also passed similar laws regulating consumer health data, and more states (such as Vermont) are considering such legislation in 2024. These laws may impact our business activities, including our identification of research subjects, relationships with business partners and ultimately the marketing and distribution of our products.

Plaintiffs’ lawyers are also increasingly using privacy-related statutes at both the state and federal level to bring lawsuits against companies for their data-related practices. In particular, there have been a significant number of cases filed against companies for their use of pixels and other web trackers. These cases often allege violations of the California Invasion of Privacy Act and other state laws regulating wiretapping, as well as the federal Video Privacy Protection Act. The rise in these types of lawsuits creates potential risk for our business.

Similar to the laws in the U.S., there are significant privacy and data security laws that apply in Europe and other countries. The collection, use, disclosure, transfer, or other processing of personal data, including personal health data, regarding individuals who are located in the European Economic Area (“EEA”), and the processing of personal data that takes place in the EEA, is regulated by the GDPR, which went into effect in May 2018 and which imposes obligations on companies that operate in our industry with respect to the processing of personal data and the cross-border transfer of such data. The GDPR imposes onerous accountability obligations requiring data controllers and processors to maintain a record of their data processing and policies. If our or our partners’ or service providers’ privacy or data security measures fail to comply with the GDPR requirements, we may be subject to litigation, regulatory investigations, enforcement notices requiring us to change the way we use personal data and/or fines of up to 20 million Euros or up to 4% of the total worldwide annual turnover of the group of companies of the preceding financial year, whichever is higher, as well as compensation claims by affected individuals, negative publicity, reputational harm and a potential loss of business and goodwill.

The GDPR places restrictions on the cross-border transfer of personal data from the EU to countries that have not been found by the EC to offer adequate data protection legislation. There are ongoing concerns about the ability of companies to transfer personal data from the EU to other countries. In July 2020, the Court of Justice of the EU (the “CJEU”) invalidated the EU-U.S. Privacy Shield, one of the mechanisms used to legitimize the transfer of personal data from the EEA to the U.S. The CJEU decision also drew into

53


Table of Contents

question the long-term viability of an alternative means of data transfer, the standard contractual clauses, for international transfers of personal data from the EEA. This CJEU decision resulted in increased scrutiny on data transfers and increased our costs of compliance with data privacy legislation as well as our costs of negotiating appropriate privacy and security agreements with our vendors and business partners.

In October 2022, President Biden signed an executive order to implement the EU-U.S. Data Privacy Framework, which serves as a replacement to the EU-U.S. Privacy Shield. The EC adopted the adequacy decision on July 10, 2023. The adequacy decision permits U.S. companies who self-certify to the EU-U.S. Data Privacy Framework to rely on it as a valid data transfer mechanism for data transfers from the EU to the U.S. However, some privacy advocacy groups have already suggested that they will be challenging the EU-U.S. Data Privacy Framework. If these challenges are successful, they may not only impact the EU-U.S. Data Privacy Framework, but also further limit the viability of the standard contractual clauses and other data transfer mechanisms. The uncertainty around this issue has the potential to impact our business. Following the withdrawal of the UK from the EU, the UK Data Protection Act 2018 applies to the processing of personal data that takes place in the UK and includes parallel obligations to those set forth by GDPR. In relation to data transfers, both the UK and the EU have determined, through separate “adequacy” decisions, that data transfers between the two jurisdictions are in compliance with the UK Data Protection Act and the GDPR, respectively. The UK and the U.S. have also agreed to a U.S.-UK “Data Bridge”, which functions similarly to the EU-U.S. Data Privacy Framework and provides an additional legal mechanism for companies to transfer data from the UK to the U.S. In addition to the UK, Switzerland is also in the process of approving an adequacy decision in relation to the Swiss-U.S. Data Privacy Framework (which would function similarly to the EU-U.S. Data Privacy Framework and the U.S.-UK Data Bridge in relation to data transfers from Switzerland to the U.S.). Any changes or updates to these developments have the potential to impact our business.

Beyond GDPR, there are privacy and data security laws in a growing number of countries around the world. While many loosely follow GDPR as a model, other laws contain different or conflicting provisions. These laws will impact our ability to conduct our business activities, including both our clinical trials and the sale and distribution of commercial products, through increased compliance costs, costs associated with contracting and potential enforcement actions.

While we continue to address the implications of the recent changes to data privacy regulations, data privacy remains an evolving landscape at both the domestic and international level, with new regulations coming into effect and continued legal challenges, and our efforts to comply with the evolving data protection rules may be unsuccessful. It is possible that these laws may be interpreted and applied in a manner that is inconsistent with our practices. We must devote significant resources to understanding and complying with this changing landscape. Failure to comply with laws regarding data protection would expose us to risk of enforcement actions taken by data protection authorities in the EEA and elsewhere and carries with it the potential for significant penalties if we are found to be non-compliant. Similarly, failure to comply with federal and state laws in the U.S. regarding privacy and security of personal information could expose us to penalties under such laws. Any such failure to comply with data protection and privacy laws could result in government-imposed fines or orders requiring that we change our practices, claims for damages or other liabilities, regulatory investigations and enforcement action, litigation and significant costs for remediation, any of which could adversely affect our business. Even if we are not determined to have violated these laws, government investigations into these issues typically require the expenditure of significant resources and generate negative publicity, which could harm our business, financial condition, results of operations or prospects.

Our employees, independent contractors, consultants, collaborators and vendors may engage in misconduct or other improper activities, including non-compliance with regulatory standards and/or requirements and insider trading, which could cause significant liability for us and harm our reputation.

We are exposed to the risk of fraud or other misconduct by our employees, independent contractors, consultants, collaborators and vendors. Misconduct by these partners could include intentional, reckless and/or negligent conduct or unauthorized activities that violate FDA regulations or similar regulations of comparable foreign regulatory authorities; provide inaccurate information to the FDA or comparable foreign regulatory authorities; fail to comply with manufacturing standards, federal and state healthcare fraud and abuse laws and regulations and similar laws and regulations established and enforced by comparable foreign regulatory authorities; fail to comply with state drug pricing transparency filing requirements; fail to report financial information or data accurately; or fail to disclose unauthorized activities to us. Employee misconduct could also involve the improper use of information obtained in the course of clinical trials, which could result in regulatory sanctions and serious harm to our reputation. This could include violations of HIPAA, other U.S. federal and state laws, and requirements of foreign jurisdictions, including the GDPR. We are also exposed to risks in connection with any insider trading violations by employees or others affiliated with us. It is not always possible to identify and deter employee or third-party misconduct, and the precautions we take to detect and prevent these activities may not be effective in controlling unknown or unmanaged risks or losses or in protecting us from significant penalties, governmental investigations or other actions or lawsuits stemming from a failure to be in compliance with such laws, standards, regulations, guidance or codes of conduct. If any such actions are instituted against us, and we are not successful in defending ourselves or asserting our rights, those actions

54


Table of Contents

could have a significant impact on our business and results of operations, including the imposition of significant fines or other sanctions.

If we fail to comply with environmental, health and safety laws and regulations, we could become subject to fines or penalties or incur costs that could have a material adverse effect on our business.

We are subject to numerous environmental, health and safety laws and regulations, including those governing laboratory procedures and the handling, use, storage, treatment and disposal of hazardous materials and wastes. Our operations involve the use of hazardous and flammable materials, including chemicals and biological and radioactive materials. Our operations and the operations of our third-party vendors also produce hazardous waste products. We generally contract with third parties for the disposal of these materials and wastes. We cannot eliminate the risk of contamination or injury from these materials. In the event of contamination or injury resulting from our use of hazardous materials, we could be held liable for any resulting damages, and any liability could exceed our resources. We also could incur significant costs associated with civil or criminal fines and penalties.

Although we maintain workers’ compensation insurance to cover us for costs and expenses we may incur due to injuries to our employees resulting from the use of hazardous materials, this insurance may not provide adequate coverage against potential liabilities. We do not maintain insurance for environmental liability or toxic tort claims that may be asserted against us in connection with our storage or disposal of biological, hazardous or radioactive materials.

In addition, we may incur substantial costs in order to comply with current or future environmental, health and safety laws and regulations. These current or future laws and regulations may impair our research, development or commercialization efforts. Failure to comply with these laws and regulations also may result in substantial fines, penalties or other sanctions.

Laws and regulations governing international operations we may have in the future may preclude us from developing, manufacturing and selling certain products outside of the U.S. and require us to develop and implement costly compliance programs.

We are subject to numerous laws and regulations in each jurisdiction outside of the U.S. in which we operate. The creation, implementation and maintenance of international business practices compliance programs is costly and such programs are difficult to enforce, particularly where reliance on third parties is required.

The FCPA prohibits any U.S. individual or business from paying, offering, authorizing payment or offering of anything of value, directly or indirectly, to any foreign official, political party or candidate for the purpose of influencing any act or decision of the foreign entity in order to assist the individual or business in obtaining or retaining business. The FCPA also obligates companies whose securities are listed in the U.S. to comply with certain accounting provisions requiring us to maintain books and records that accurately and fairly reflect all transactions of the corporation, including international subsidiaries, and to devise and maintain an adequate system of internal accounting controls. The FCPA is enforced by the DOJ and the SEC.

Compliance with the FCPA is expensive and difficult, particularly in countries in which corruption is a recognized problem. In addition, the FCPA presents particular challenges in the pharmaceutical industry, because, in many countries, hospitals, clinics, universities and similar institutions are operated by the government, and doctors and other healthcare professionals are considered foreign officials. Certain payments to healthcare professionals in connection with clinical trials, regulatory approvals, sales and marketing, and other work have been deemed to be improper payments to government officials and have led to FCPA enforcement actions. Because the FCPA applies to indirect payments, the use of third parties and other collaborators can increase potential FCPA risk, as we could be held liable for the acts of third parties that do not comply with the FCPA’s requirements.

The failure to comply with laws governing international business practices may result in substantial penalties, including suspension or debarment from government contracting. Violation of the FCPA can result in significant civil and criminal penalties. Indictment alone under the FCPA can lead to suspension of the right to do business with the U.S. government until the pending claims are resolved. Conviction of a violation of the FCPA can result in long-term disqualification as a government contractor. The termination of a government contract or relationship as a result of our failure to satisfy any of our obligations under laws governing international business practices would have a negative impact on our operations and harm our reputation and ability to procure government contracts. The SEC also may suspend or bar issuers from trading securities on U.S. exchanges for violations of the FCPA’s accounting provisions.

Like the FCPA, the UK Bribery Act and other anti-corruption laws throughout the world similarly prohibit offers and payments made to obtain improper business advantages, including offers or payments to healthcare professionals and other government and non-government officials. These other anti-corruption laws also can result in substantial financial penalties and other collateral consequences.

55


Table of Contents

Various laws, regulations and executive orders also restrict the use and dissemination outside of the U.S., or the sharing with certain non-U.S. nationals, of information classified for national security purposes, as well as certain products and technical data relating to those products. Our expansion outside of the U.S., has required, and will continue to require, us to dedicate additional resources to comply with these laws, and these laws may preclude us from developing, manufacturing, or selling certain drugs and product candidates outside of the U.S., which could limit our growth potential and increase our development costs.

With the passage of the CREATES Act, we are exposed to possible litigation and damages by competitors who may claim that we are not providing sufficient quantities of our approved products on commercially reasonable, market-based terms for testing in support of their ANDAs and 505(b)(2) applications.

In December 2019, former President Trump signed legislation intended to facilitate the development of generic and biosimilar products. The bill, previously known as the CREATES Act, authorizes sponsors of abbreviated new drug applications (“ANDAs”) and 505(b)(2) applications to file lawsuits against companies holding NDAs that decline to provide sufficient quantities of an approved reference drug on commercially reasonable, market-based terms. Drug products on the FDA’s drug shortage list are exempt from these new provisions unless the product has been on the list for more than six continuous months or the FDA determines that the supply of the product will help alleviate or prevent a shortage.

To bring an action under the statute, an ANDA or 505(b)(2) sponsor must take certain steps to request the reference product, which, in the case of products covered by a REMS with elements to assure safe use, include obtaining authorization from the FDA for the acquisition of the reference product. If the sponsor does bring an action for failure to provide a reference product, there are certain affirmative defenses available to the NDA holder, which must be shown by a preponderance of evidence. If the sponsor prevails in litigation, it is entitled to a court order directing the NDA holder to provide, without delay, sufficient quantities of the applicable product on commercially reasonable, market-based terms, plus reasonable attorney fees and costs.

Additionally, the new statutory provisions authorize a federal court to award the product developer an amount “sufficient to deter” the NDA holder from refusing to provide sufficient product quantities on commercially reasonable, market-based terms if the court finds, by a preponderance of the evidence, that the NDA holder did not have a legitimate business justification to delay providing the product or failed to comply with the court’s order. For the purposes of the statute, the term “commercially reasonable, market-based terms” is defined as (1) the nondiscriminatory price at or below the most recent wholesale acquisition cost for the product, (2) a delivery schedule that meets the statutorily defined timetable, and (3) no additional conditions on the sale.

Although we intend to comply fully with the terms of these statutory provisions, we are still exposed to potential litigation and damages by competitors who may claim that we are not providing sufficient quantities of our approved products on commercially reasonable, market-based terms for testing in support of ANDAs and 505(b)(2) applications. Such litigation would subject us to additional litigation costs, damages and reputational harm, which could lead to lower revenues. The CREATES Act may enable generic competition with XPOVIO and any of our product candidates, if approved, which could impact our ability to maximize product revenue. In September 2022, the FDA issued draft guidance outlining certain of the provisions under this statute.

We are subject to governmental export and import controls that could impair our or our collaborators ability to compete in international markets due to licensing requirements and subject us or them to liability if we or they are not in compliance with applicable laws.

Our products are subject to export control and import laws and regulations, including the U.S. Export Administration Regulations, U.S. Customs regulations, and various economic and trade sanctions regulations administered by the U.S. Treasury Department’s Office of Foreign Assets Controls. Exports of our products outside of the U.S. must be made in compliance with these laws and regulations. If we or our collaborators fail to comply with these laws and regulations, we or they and certain of our or their employees could be subject to substantial civil or criminal penalties, including the possible loss of export or import privileges; fines, which may be imposed on us or our collaborators and the respective responsible employees or managers; and, in extreme cases, the incarceration of responsible employees or managers.

In addition, changes in our products or changes in applicable export or import laws and regulations may create delays in the introduction, provision, or sale of our products in international markets, prevent customers from using our products or, in some cases, prevent the export or import of our products to certain countries, governments or persons altogether. Any limitation on our ability to export, provide, or sell our products could adversely affect our business, financial condition and results of operations.

Risks Related to Our Financial Position and Capital Requirements

Our financial condition raises substantial doubt as to our ability to continue as a going concern.

56


Table of Contents

We will require substantial funds to maintain our research and development programs, including as we continue to develop and seek regulatory approval of selinexor for multiple cancer indications, and to support our continued operations. We have incurred significant operating losses since our inception. As of September 30, 2024, we had approximately $133.5 million in cash, cash equivalents and investments and an accumulated deficit of $1.5 billion. We anticipate that we will continue to incur significant operating losses as we continue to develop and seek regulatory approval of selinexor for multiple cancer indications. As a result, our continued operations are dependent on our ability to raise additional funding and marketing XPOVIO in its currently approved indications.

We plan to address the conditions that raise substantial doubt regarding our ability to continue as a going concern by, among other things, obtaining additional funding through equity offerings, debt financings and refinancings, collaborations, strategic alliances and/or licensing arrangements. However, there is no assurance that such additional funding will be available on terms acceptable to us or at all. We may also be required to reduce our current spending requirements where possible.

If we utilize our capital resources more quickly than anticipated or are unable to obtain additional funding, we may have to significantly curtail, delay, reduce or eliminate one or more of our research and development programs or any current or future commercialization efforts for one or more of our products or product candidates, which could materially adversely affect our business, financial condition, and results of operations. If we are unable to continue as a going concern, we may have to liquidate our assets and may receive less than the value at which those assets are carried on our financial statements, and it is likely that investors will lose all or part of their investment. If we seek additional financing to fund our business activities in the future and there remains substantial doubt about our ability to continue as a going concern, investors or other financing sources may be unwilling to provide funding to us on commercially reasonable terms, if at all.

We have incurred significant losses since inception, expect to continue to incur significant losses, and may never achieve or maintain profitability.

Since inception, we have incurred significant operating losses. Our net loss was $45.6 million for the nine months ended September 30, 2024. As of September 30, 2024, we had an accumulated deficit of $1.5 billion. As described above in “Our financial condition raises substantial doubt as to our ability to continue as a going concern,” our financial condition raises substantial doubt about our ability to continue as a going concern. Although we received our first FDA-approval for XPOVIO in July 2019, we may never attain profitability or positive cash flows from operations. We have historically financed our operations primarily through a combination of proceeds from (i) product revenue sales, (ii) public and private placements of equity securities, (iii) the issuance of convertible debt, (iv) a term loan, (v) our deferred royalty obligation, (vi) at the market offerings and (vii) business development activities. Substantially all of our operating losses have resulted from costs incurred in connection with our research and development programs, the pursuit of regulatory approvals within and outside of the U.S., and the commercialization of XPOVIO. We expect to continue to incur significant expenses and operating losses as we continue to commercialize XPOVIO in the U.S. and engage in activities to prepare for the potential approval and commercialization of additional indications for selinexor as well as any other product candidates we develop or acquire. The net losses we incur may fluctuate significantly from quarter to quarter.

While we began to generate revenue from the sales of XPOVIO in July 2019 and have received revenue from our license arrangements, such as the partnership we have with Antengene Therapeutics Limited (“Antengene”) for our programs across most of the Asia-Pacific region, and with Menarini for our programs in Europe, Latin America, certain Middle East and Africa regions and other key countries, there can be no assurance as to the amount or timing of future product or license and other revenues, and we may not achieve profitability for several years, if at all. Our ability to become and remain profitable depends significantly on our success in many areas, including:

effectively commercializing XPOVIO or any future products either on our own or with a collaborator, including by maintaining a full commercial organization required to market, sell and distribute our products, and achieving an adequate level of market acceptance;
the impact of current or future competing products on product sales of XPOVIO or any of our future products;
obtaining sufficient pricing, coverage and reimbursement, including government pricing and reimbursement policies or a change in the mix of our business effecting rebates related to 340B Programs, Medicare and Medicaid, for XPOVIO and any of our other approved products from private and government payers and the impact of any pricing changes, any of which can impact our gross-to-net provisions related to product sales;
initiating and successfully completing clinical trials required to file for, obtain and maintain marketing approval for our product candidates;
obtaining and maintaining regulatory approvals, either by us or our collaborators, and the timing of such approvals;
manufacturing at commercial scale;

57


Table of Contents

establishing and managing any collaborations for the development, marketing and/or commercialization of our products and product candidates, including the level of success of our collaborators’ efforts and the timing and amount of any milestone or royalty payments we may receive;
obtaining, maintaining and protecting our intellectual property rights;
the willingness of patients to pay out-of-pocket in the absence of third-party coverage or as co-pay amounts under third-party coverage; for example, multiple myeloma foundation closures during 2023 resulted in significantly increased use of our PAP, which adversely impacted our 2023 revenues; and
navigating the negative impacts to healthcare systems, the ability of our clinical trial sites to conduct current or future trials and the regulatory review process as the result of pandemics or other public health emergencies.

We anticipate that our operating expenses will continue to be significant and increase as we continue to:

commercialize XPOVIO in the U.S., including maintaining our commercial infrastructure, and engage in activities to prepare for the potential approval and commercialization of additional indications for selinexor;
obtain and/or maintain regulatory approval for XPOVIO and our product candidates, including completing any required post-marketing requirements to the satisfaction of the FDA or other regulatory agencies;
expand our research and development programs, identify additional product candidates and initiate and conduct clinical trials, including clinical trials required by the FDA or other regulatory agencies in addition to those that have been or are currently expected to be conducted;
maintain, expand and protect our intellectual property portfolio;
manufacture XPOVIO and our product candidates; and
acquire or in-license other products, product candidates or technologies.

Because of the numerous risks and uncertainties associated with pharmaceutical product development and commercialization, we are unable to accurately predict the timing or amount of our revenue and expenses or when, or if, we will be able to achieve profitability. We cannot be certain that our revenue from sales of XPOVIO alone, in the currently approved indications, will be sufficient for us to become profitable for several years, if at all. We may never generate revenues that are significant or large enough to achieve profitability. Even if we do achieve profitability, we may not be able to sustain or increase profitability on a quarterly or annual basis. Our failure to become and remain profitable would decrease the value of our company and could impair our ability to raise capital, maintain our research and development and commercialization efforts, expand our business and/or continue our operations. A decline in the value of our company could also cause our stockholders to lose all or part of their investment.

We will need additional funding to achieve our business objectives. If we are unable to raise capital when needed or on acceptable terms, we would be forced to delay, reduce or eliminate our research and development programs and/or commercialization efforts.

Discovering, developing and commercializing products involve time-consuming, expensive and uncertain processes that take years to complete. We have used substantial funds to develop XPOVIO and expect our operating expenses to continue to increase as we continue to commercialize XPOVIO or any future approved product, conduct further research and development of our product candidates, seek marketing approval and prepare for commercialization of selinexor in additional indications or for our other product candidates, if approved, to the extent that such functions are not the responsibility of a collaborator. Furthermore, we will continue to incur additional costs associated with operating as a public company, hiring additional personnel and expanding our geographical reach. Although currently XPOVIO is commercially available in three indications, we do not anticipate that our revenue from product sales of XPOVIO or any funds we may receive from our collaborators will be sufficient for us to become profitable for several years, if at all. Accordingly, we will need to continue to rely on additional financing to achieve our business objectives.

As of September 30, 2024, we believe that our existing cash, cash equivalents and investments will enable us to fund our current operating plans and debt obligation requirements into the fourth quarter of 2025. The amount and timing of our future capital requirements will depend on many factors, including, but not limited to:

the scope, progress, results, timing and costs of our current and planned development efforts and regulatory review of our product candidates;
the amount and timing of revenues from sales of XPOVIO, or any product candidate that we develop or acquire;

58


Table of Contents

the cost of, and our ability to expand and maintain, the commercial infrastructure required to support the commercialization of XPOVIO and any other product for which we receive marketing approval, including medical affairs, manufacturing, marketing and distribution functions;
our ability to establish and maintain collaboration, partnership, licensing, marketing, distribution or other arrangements on favorable terms and the level and timing of success of these arrangements, and our ability to use proceeds of those arrangements in our business as opposed to being required to pay those proceeds to the lenders of our $100.0 million senior secured term loan facility (the “Term Loan”) and/or holders of the Convertible Senior Notes due 2025 (the “2025 Notes”) and the secured Convertible Senior Notes due 2029 (the “2029 Notes”);
the extent to which we acquire or in-license other products, product candidates and technologies, and our ability to enter into such acquisitions and in-licenses pursuant to the restrictions under the Term Loan and the 2029 Notes;
the costs and timing of preparing, filing and prosecuting patent applications, maintaining and enforcing our intellectual property rights and defending intellectual property-related claims; and
our ability to continue as a going concern.

In addition, the terms of any financing may adversely affect the holdings or the rights of our stockholders. If we raise additional funds by issuing equity securities, dilution to our existing stockholders will result. In addition, as a condition to providing additional funding to us, future investors may demand, and may be granted, rights superior to those of existing stockholders. Moreover, in addition to the restrictions on our operations under the Term Loan and the 2029 Notes, the restrictions contained in the Amended Revenue Interest Agreement (defined below) and the repayment requirements in respect of obligations from proceeds of the transactions under each of the foregoing agreements, any future debt financing, if available and permitted, may involve further restrictive covenants that could limit our flexibility in conducting future business activities and using transaction proceeds in our business and, in the event of insolvency, the Term Loan, the 2029 Notes, the 2025 Notes, the Amended Revenue Interest Agreement obligations, and any further indebtedness, if available and permitted, would be paid before holders of equity securities received any distribution of corporate assets. Our ability to satisfy and meet our current and any future debt service obligations will depend upon our future performance, which will be subject to financial, business and other factors affecting our operations, many of which are beyond our control.

Even if we believe we have sufficient funds for our current or future operating plans, we may seek additional capital due to favorable market conditions or strategic considerations. Any future fundraising efforts could divert management’s attention away from their day-to-day activities. Further, adequate additional financing may not be available to us on acceptable terms, or at all. In addition, raising funds in the current economic environment may present additional challenges. For example, any sustained disruption in the capital markets from adverse macroeconomic conditions, such as the disruption and uncertainty caused by inflation, sustained high interest rates and slower economic growth or recession, could negatively impact our ability to raise capital and we cannot predict the extent or duration of such macro-economic disruptions. Moreover, there has been turmoil in the global banking system, which could result in loss of or access to our deposits, and an inability to obtain financing from other sources. If adequate funds are not available to us on a timely basis or on attractive terms, we may be required to delay, reduce or eliminate our research and development programs or any current or future commercialization efforts for one or more of our products or product candidates, any of which could have a material adverse effect on our business, operating results and prospects.

Our Amended Revenue Interest Agreement with HCRx contains various covenants and other provisions, which, if violated, could, subject to the Intercreditor Agreement, result in the acceleration of payments due under such agreement or the foreclosure on the pledged collateral, including all of our present and future assets relating to selinexor.

In September 2019, we entered into the Revenue Interest Financing Agreement with HealthCare Royalty Partners III, L.P. and HealthCare Royalty Partners IV, L.P. (collectively, “HCRx”), which was amended in June 2021, August 2023 and May 2024 (the “Amended Revenue Interest Agreement”). Pursuant to the Amended Revenue Interest Agreement, we are required to comply with various covenants relating to the conduct of our business and the commercialization of XPOVIO, including obligations to use commercially reasonable efforts to commercialize our products. In addition, the Amended Revenue Interest Agreement limits our ability to incur or prepay indebtedness, create or incur liens, pay dividends on or repurchase outstanding shares of our capital stock or dispose of assets. The Amended Revenue Interest Agreement also includes customary events of default upon the occurrence of enumerated events, including non-payment of revenue interests, failure to perform certain covenants and the occurrence of insolvency proceedings, specified judgments, specified cross-defaults and specified revocations, withdrawals, suspensions or cancellations of regulatory approval for XPOVIO. Upon the occurrence of an event of default and in the event of a change of control, HCRx may accelerate payments due under the Amended Revenue Interest Agreement up to $128.3 million, less the aggregate amount of all of the payments paid to HCRx after the date of the May 2024 amendment. Our obligations to HCRx are secured by a second-priority security interest in certain assets of ours related to selinexor, which shares such second priority with the 2029 Notes and which is subordinated

59


Table of Contents

to the first-priority security interest securing the Term Loan. Subject to an intercreditor agreement with HCRx, the Term Loan lenders and the holders of the 2029 Notes (the “Intercreditor Agreement”), in the event that an uncured default by us under the Amended Revenue Interest Agreement results in an acceleration of obligations by HCRx which we are unable to pay, HCRx will have the right to foreclose on the collateral that was pledged to HCRx. Any such foreclosure remedy would significantly and adversely affect us and could result in us losing our interest in such assets, which would have a material adverse impact on our business.

Our new Credit Agreement and indenture governing the 2029 Notes contain various covenants and other provisions, which will limit the manner in which we may operate, and, if violated, could, subject to the Intercreditor Agreement, result in the acceleration of payments due under such agreements or the foreclosure on the pledged collateral, including all of our present and future assets.

The May 2024 credit and guaranty agreement (the “Credit Agreement”) and the indenture governing the 2029 Notes contain, and any future indebtedness that we incur may contain, various negative covenants that restrict, among other things, our indebtedness, liens, fundamental changes, asset sales, investments and other matters. In addition, the Credit Agreement and the indenture governing the 2029 Notes each have a financial covenant requiring us to maintain liquidity of at least $25.0 million at all times. As a result, we are limited in the manner in which we conduct our business and we may be unable to engage in favorable business activities. The Credit Agreement and the indenture governing the 2029 Notes also contain certain events of default, after which the Term Loan or the 2029 Notes may be due and payable immediately, including, without limitation, withdrawal of approval for selinexor with respect to its current approved indication for use with bortezomib and dexamethasone, payment defaults, material inaccuracy of representations and warranties, covenant defaults, bankruptcy and insolvency proceedings, cross-defaults to certain other agreements, judgments against us and our subsidiaries, change in control and lien priority. Our obligations under the Credit Agreement and the indenture governing the 2029 Notes are secured by substantially all of our assets. Subject to the Intercreditor Agreement, in the event that an uncured default by us under the Credit Agreement or the indenture governing the 2029 Notes results in an acceleration of obligations thereunder, the Term Loan lenders and the holders of the 2029 Notes will have the right to foreclose on the collateral that was pledged to each such party. Any such foreclosure remedy would significantly and adversely affect us and could result in us losing our interest in such assets, which would have a material adverse impact on our business.

Our indebtedness could limit cash flow available for our operations, expose us to risks that could adversely affect our business, financial condition and results of operations and impair our ability to satisfy our obligations under the Term Loan, the 2029 Notes, the 2025 Notes or the Amended Revenue Interest Agreement.

We have incurred (i) $172.5 million of indebtedness as a result of the sale of the 2025 Notes, of which approximately $24.5 million remained outstanding following completion of the May 2024 exchange of certain of our 2025 Notes for 2029 Notes (the “Exchange Transactions”); (ii) $263.3 million of indebtedness under the Amended Revenue Interest Agreement, of which $135.0 million was repaid after giving effect to the May 2024 amendment to the Amended Revenue Interest Agreement, resulting in a remaining maximum aggregate repayment amount to HCRx of $128.3 million, (iii) $100.0 million of indebtedness under the Term Loan, and (iv) approximately $111.0 million of indebtedness as a result of the issuance of the 2029 Notes pursuant to the Exchange Transactions. We may also incur additional indebtedness to meet future financing needs, to the extent such indebtedness is available and permitted. Our indebtedness could have significant negative consequences for our security holders and our business, results of operations and financial condition by, among other things:

increasing our vulnerability to adverse economic and industry conditions;
limiting our ability to obtain additional financing;
requiring the dedication of a substantial portion of our cash flow from operations to service our indebtedness, which would reduce the amount of cash available for other purposes;
limiting our flexibility to plan for, or react to, changes in our business;
diluting the interests of our existing stockholders as a result of issuing shares of our common stock upon conversion of the 2029 Notes or the 2025 Notes; and
placing us at a possible competitive disadvantage with competitors that are less leveraged than we are or have better access to capital.

Our ability to pay the principal of or interest or other obligations on our present and any future indebtedness, including our remaining obligations to HCRx and under the Credit Agreement, the 2029 Notes and the 2025 Notes, or to make cash payments in connection with any conversion of the 2029 Notes or the 2025 Notes, depends on our future performance, which is subject, in part, to economic, financial, competitive and other factors beyond our control. Our business may not generate cash flow from operations in the future sufficient to service the Term Loan, the Amended Revenue Interest Agreement, the 2029 Notes, the 2025 Notes or any other future indebtedness and make necessary capital expenditures.

60


Table of Contents

We may not have the ability to raise the funds necessary to settle any conversions of or other obligations in respect of the 2029 Notes or the 2025 Notes required to be settled in cash, to repurchase the 2029 Notes or the 2025 Notes for cash upon a fundamental change, to pay the redemption price for any 2029 Notes or 2025 Notes we redeem or to refinance the 2029 Notes or the 2025 Notes, and any future debt we incur may contain limitations on our ability to pay cash upon conversion or repurchase of the 2029 Notes or the 2025 Notes.

Holders may require us to repurchase their 2029 Notes or 2025 Notes following a fundamental change at a cash repurchase price generally equal to the principal amount of the 2029 Notes or the 2025 Notes to be repurchased, plus accrued and unpaid interest. As discussed in more detail below under the risk factor entitled “If we fail to maintain compliance with the continued listing requirements of Nasdaq, our common stock could be delisted from trading, which would adversely affect the liquidity of our common stock and our ability to raise additional capital. The transfer of our common stock to the Nasdaq Capital Market would result in a fundamental change under the indenture governing the 2025 Notes, which could negatively impact our financial condition”, the transfer of the listing of our common stock to the Nasdaq Capital Market as a result of our failure to regain compliance with the Bid Price Rule by the Compliance Date (each as defined below) would constitute a fundamental change under the indenture governing the 2025 Notes, which could negatively impact our financial condition. In addition, with respect to the 2025 Notes, unless we elect to deliver solely shares of our common stock to settle conversions (other than paying cash in lieu of delivering any fractional share), we must satisfy any conversion in cash. If we do not have enough available cash at the time we are required to repurchase the 2029 Notes or the 2025 Notes, pay cash amounts due upon conversion or redemption of or otherwise required to be paid in respect of the 2029 Notes or the 2025 Notes or refinance the 2029 Notes or the 2025 Notes, we may be required to adopt one or more alternatives, such as selling assets, restructuring indebtedness or obtaining additional debt financing or equity capital on terms that may be onerous or highly dilutive. Our ability to refinance the 2029 Notes or the 2025 Notes or other future indebtedness will depend on the capital markets, our financial condition at such time and our obligations under any other existing indebtedness in effect at such time. We may not be able to engage in any of these activities on desirable terms, or at all, which could result in a default on our debt obligations, including the 2029 Notes and the 2025 Notes. In addition, our ability to repurchase the 2029 Notes or the 2025 Notes, to pay cash upon conversion or redemption of the 2029 Notes or the 2025 Notes or to refinance the 2029 Notes or the 2025 Notes may be limited by law, regulatory authority or agreements governing any future indebtedness that we may incur. Our failure to repurchase the 2029 Notes or the 2025 Notes at a time when the repurchase is required by the applicable indenture governing such notes or to pay cash upon conversion of or in respect of other obligations under the 2029 Notes or the 2025 Notes as required by the applicable indenture governing such notes would constitute a default under such indenture. A default under the indenture governing the 2029 Notes or the 2025 Notes or the fundamental change itself could also lead to a default under the Credit Agreement, the Amended Revenue Interest Agreement or agreements governing our future indebtedness, if any. Moreover, the occurrence of a fundamental change under the indenture governing the 2029 Notes or the 2025 Notes could constitute an event of default under any such agreements. If the repayment of the related indebtedness were to be accelerated after any applicable notice or grace periods, we may not have sufficient funds to repay the indebtedness and repurchase the 2029 Notes or the 2025 Notes or to pay cash upon conversion of the 2029 Notes or the 2025 Notes.

The conditional conversion feature of the 2025 Notes, if triggered, may adversely affect our financial condition and operating results.

In the event the conditional conversion feature of the 2025 Notes is triggered, holders of the 2025 Notes will be entitled to convert the 2025 Notes at any time during specified periods at their option. If one or more holders elects to convert their 2025 Notes, unless we elect to satisfy our conversion obligation by delivering solely shares of our common stock (other than paying cash in lieu of delivering any fractional share), we would be required to settle a portion or all of our conversion obligation in cash, which could adversely affect our liquidity. In addition, even if holders do not elect to convert their 2025 Notes, we could be required under applicable accounting rules to reclassify all or a portion of the outstanding principal amount of the 2025 Notes as a current rather than long-term liability, which would result in a material reduction of our net working capital.

The accounting method for convertible debt securities such as the 2025 Notes and the 2029 Notes could have a material effect on our reported financial results.

Conversions of the 2025 Notes may be settled in cash or shares, or a combination of cash and shares. Conversions of the 2029 Notes may only be settled in shares (subject to, and in accordance with, the settlement provisions of the indenture governing the 2029 Notes), plus cash in lieu of any fractional shares. Under the if-converted method, the maximum potential dilutive impact of the conversion of the 2025 Notes or the 2029 Notes is assumed when calculating diluted earnings per share during periods of net income. This could result in a material impact to diluted earnings per share. Diluted earnings per share is not impacted by the 2025 Notes or the 2029 Notes during periods of net loss.

61


Table of Contents

Raising additional capital may cause dilution to our stockholders, restrict our operations or require us to relinquish rights to our product candidates.

Until such time, if ever, as we can generate substantial revenues from the sale of our products, we expect to finance our cash needs through a combination of equity offerings, debt financings and refinancings, collaborations, strategic alliances and/or licensing arrangements. We do not have any committed external source of funds. To the extent that we raise additional capital through the sale of equity or convertible debt securities, the ownership interests of stockholders will be diluted, and the terms of these securities may include liquidation or other preferences that adversely affect the rights of common stockholders. In addition, our ability to raise additional capital through the sale of equity or convertible debt securities may be limited by the extent of our then remaining authorized and available shares of common stock. Debt financing, if available and permitted, may involve agreements that include covenants limiting or restricting our ability to take specific actions, such as incurring additional debt, making capital expenditures or declaring dividends. For example, during the terms of the Amended Revenue Interest Agreement, the Credit Agreement and the indenture governing the 2029 Notes, we cannot make any voluntary or optional cash payment or prepayment on our existing convertible debt and cannot enter into any new debt without the consent of HCRx, the required lenders or the required holders, respectively, subject to the exceptions and other provisions under the applicable governing document.

If we raise additional funds through further collaborations, strategic alliances or licensing arrangements with third parties, we may have to relinquish valuable rights to our future revenue streams, research programs or product candidates or to grant licenses on terms that may not be favorable to us. If we are unable to raise additional funds through equity or debt financings when needed, we may be required to delay, limit, reduce or terminate our research and drug development or current or future commercialization efforts or grant rights to develop and market product candidates that we would otherwise prefer to develop and market ourselves.

Unstable market and economic conditions may have serious adverse consequences on our business, financial condition and stock price.

Global credit and financial markets have experienced extreme disruptions over the past several years. Such disruptions have resulted, and could in the future result, in diminished liquidity and credit availability, declines in consumer confidence, declines in economic growth, increases in unemployment rates and uncertainty about economic stability. Our general business strategy may be compromised by economic downturns, a volatile business environment and unpredictable and unstable market conditions, such as the current global situation resulting, in part, from the ongoing conflict between Russia and Ukraine, the war between Israel and Hamas, inflation, failures and instability in U.S. and international banking systems, sustained high interest rates and slower economic growth or recession. If the equity and credit markets deteriorate, it may make any necessary equity or debt financing more difficult to secure, more costly or more dilutive. Failure to secure any necessary financing in a timely manner and on favorable terms could harm our growth strategy, financial performance and stock price and could require us to delay or abandon plans with respect to our business, including clinical development plans. Further, developments in the banking industry could adversely affect our business. If the financial institutions with which we do business enter receivership or become insolvent in the future, there is no guarantee that the Department of the Treasury, the Federal Reserve and the FDIC will intercede to provide us and other depositors with access to balances in excess of the $250,000 FDIC insurance limit, that we would be able to access our existing cash, cash equivalents and investments, that we would be able to maintain any required letters of credit or other credit support arrangements, or that we would be able to adequately fund our business for a prolonged period of time or at all, any of which could have a material adverse effect on our business, financial condition and results of operations. We cannot predict the impact that the high market volatility and instability of the banking sector more broadly could have on economic activity and our business in particular. In addition, there is a risk that one or more of our current service providers, manufacturers or other third parties with which we conduct business may not survive difficult economic times, including the current global situation resulting, in part, from the ongoing conflict between Russia and Ukraine, the war between Israel and Hamas, the instability of the banking sector, and the uncertainty associated with current worldwide economic conditions, which could directly affect our ability to attain our operating goals on schedule and on budget.

Risks Related to Our Dependence on Third Parties

We depend on collaborations with third parties for certain aspects of the development, marketing and/or commercialization of XPOVIO and/or our product candidates. If those collaborations are not successful, or if we are not able to maintain our existing collaborations or establish additional collaborations, we may have to alter our development and commercialization plans and may not be able to capitalize on the market potential of XPOVIO or our product candidates, if approved.

Our drug development programs and the commercialization of our products and product candidates, if approved, require local expertise and substantial additional cash to fund expenses. We expect to maintain our existing collaborations and collaborate with additional pharmaceutical and biotechnology companies for certain aspects of the development, marketing and/or commercialization of our products and product candidates. For example, we are party to license arrangements with Antengene and Menarini and distribution agreements with Promedico Ltd. and FORUS Therapeutics Inc. for the development, marketing and/or commercialization of selinexor in certain geographies outside of the U.S., and we expect to rely on additional partners to develop and commercialize our

62


Table of Contents

products outside of the U.S. In addition, we intend to seek one or more collaborators to aid in the further development, marketing and/or commercialization of selinexor and our other compounds for indications both within and outside of oncology. All of the risks relating to product development, regulatory approval and commercialization described in this Quarterly Report on Form 10-Q also apply to the activities, including activities in any country or territory outside of the U.S. and EU, as applicable, of our collaborators.

Potential collaborators include large and mid-size pharmaceutical companies, regional and national pharmaceutical companies and biotechnology companies and we face significant competition in seeking appropriate collaborators, including as a result of a significant number of recent business combinations among large pharmaceutical companies that have reduced the number of potential collaborators. Whether we reach a definitive agreement for a collaboration will depend, among other things, upon the assessment of the potential collaborator’s expertise, its current and expected resources and competing priorities, the terms and conditions of the proposed collaboration and the proposed collaborator’s evaluation of a number of factors. Those factors may include the design or results of clinical trials, the likelihood of approval by the FDA or foreign regulatory authorities, the potential market for the product or product candidate, the costs and complexities of manufacturing and delivering such product or product candidate to patients, the potential of competing products, the existence of uncertainty with respect to our ownership of intellectual property, which can exist if there is a challenge to such ownership without regard to the merits of the challenge, and industry and market conditions generally. A potential collaborator may also consider alternative product candidates or technologies for similar indications that may be available to collaborate on and whether such a collaboration could be more attractive than the one with us.

Collaborations are complex and time-consuming to negotiate, document and manage. We may not be able to negotiate collaborations on a timely basis, on acceptable terms, or at all, or we may be restricted under then-existing collaboration agreements from entering into future agreements on certain terms with potential collaborators. If we are unable to maintain our current collaboration agreements or enter into new collaboration agreements, we may have to curtail, reduce or delay the development or commercialization programs for our products or product candidates, or increase our expenditures and undertake development or commercialization activities at our own expense. If we elect to increase our expenditures to fund and undertake development or commercialization activities on our own, we may need to obtain additional expertise and additional capital, which may not be available to us on acceptable terms, or at all. If we do not have sufficient funds or expertise to undertake the necessary development and commercialization activities, we may not be able to further develop our product candidates or bring them to market and generate product revenue.

Our ability to generate revenues from these arrangements will depend on our collaborators’ abilities to successfully perform the functions assigned to them in these arrangements, and our collaboration agreements may not lead to the development or commercialization of our products or product candidates in the most efficient manner, or at all, and may result in lower product revenues or profitability to us than if we were to market and sell these products ourselves. In connection with any such arrangements with third parties, we will likely have limited control over the amount and timing of resources that our collaborators dedicate to the development, marketing and/or commercialization of our products or product candidates. Further, if our collaborations do not result in the successful development and commercialization of our products or product candidates or if any one of our collaborators terminates its agreement with us, we may not receive any future milestone or royalty payments under the collaboration. If we do not receive the funding we expect under these agreements, the development and commercialization of our products or product candidates could be delayed and we may need additional resources to develop product candidates.

Collaborations involving our products and product candidates pose the following risks to us:

collaborators have significant discretion in determining the efforts and resources that they will apply to these collaborations;
collaborators may not perform their obligations as expected or in compliance with applicable local and national laws and regulatory requirements;
collaborators may not pursue development, marketing and/or commercialization of our products or product candidates or may elect not to continue or renew development, marketing or commercialization programs based on clinical trial results, changes in the collaborator’s strategic focus or available funding or external factors such as an acquisition that diverts resources or creates competing priorities;
collaborators may delay clinical trials, provide insufficient funding for a clinical trial program, stop a clinical trial or abandon a product candidate, repeat or conduct new clinical trials or require a new formulation of a product candidate for clinical testing;
collaborators could independently develop, or develop with third parties, products that compete directly or indirectly with our products or product candidates if the collaborators believe that competitive products are more likely to be successfully developed or can be commercialized under terms that are more economically attractive than ours;

63


Table of Contents

a collaborator with marketing and distribution rights to one or more products or product candidates may not commit sufficient resources to the marketing and distribution of our products or product candidates;
disagreements with collaborators, including disagreements over proprietary rights, contract interpretation or the preferred course of development or commercialization, might cause delays or termination of the research, development or commercialization of products or product candidates, might lead to additional responsibilities for us with respect to our products or product candidates, or might result in litigation or arbitration, any of which would be time-consuming and expensive;
collaborators may not properly maintain or defend our intellectual property rights or may use our proprietary information in such a way as to invite litigation that could jeopardize or invalidate our intellectual property or proprietary information or expose us to potential litigation;
collaborators may infringe the intellectual property rights of third parties, which may expose us to litigation and potential liability;
we may lose certain valuable rights under circumstances identified in any collaboration arrangement that we enter into, such as if we undergo a change of control;
collaborations may be terminated and, if terminated, may result in a need for additional capital to pursue further development, marketing and/or commercialization of the applicable products or product candidates or to enter into new collaboration agreements;
collaborators may learn about our discoveries and use this knowledge to compete with us in the future; and
the number and type of our collaborations could adversely affect our attractiveness to other collaborators or acquirers.

If any of these events occurs, the market potential of our products and product candidates, if approved, could be reduced, and our business could be materially harmed.

If we are unable to establish and maintain our agreements with third parties to distribute XPOVIO to patients, our results of operations and business could be adversely affected.

We rely on third parties to commercially distribute XPOVIO to patients. For example, we have contracted with a limited number of specialty pharmacies, which sell XPOVIO directly to patients, and specialty distributors, which sell XPOVIO to healthcare entities who then resell XPOVIO to patients. While we have entered into agreements with each of these pharmacies and distributors to distribute XPOVIO in the U.S., they may not perform as agreed or they may terminate their agreements with us. We may also need to enter into agreements with additional pharmacies or distributors, and there is no guarantee that we will be able to do so on a timely basis, at commercially reasonable terms, or at all. If we are unable to maintain and, if needed, expand, our network of specialty pharmacies and specialty distributors, we would be exposed to substantial distribution risk.

The use of specialty pharmacies and specialty distributors involves certain risks, including, but not limited to, risks that these organizations will:

not provide us accurate or timely information regarding their inventories, the number of patients who are using XPOVIO or serious adverse reactions, events and/or product complaints regarding XPOVIO;
not effectively sell or support XPOVIO or communicate publicly concerning XPOVIO in a manner that is contrary to FDA rules and regulations;
reduce their efforts or discontinue to sell or support, or otherwise not effectively sell or support, XPOVIO;
not devote the resources necessary to sell XPOVIO in the volumes and within the time frames that we expect;
be unable to satisfy financial obligations to us or others; or
cease operations.

Any such events may result in decreased product sales, which would harm our results of operations and business.

64


Table of Contents

We rely on third parties as we conduct our clinical trials and some aspects of our research and preclinical studies, and those third parties may not perform satisfactorily, including failing to meet deadlines for the completion of such trials, research or testing.

We rely on third parties, such as CROs, clinical data management organizations, medical institutions and clinical investigators, as we conduct our clinical trials. We currently rely and expect to continue to rely on third parties to conduct some aspects of our research and preclinical studies. Any of these third parties may terminate their engagements with us at any time. If we need to enter into alternative arrangements, it would delay our drug development activities.

Our reliance on these third parties for research and development activities reduces our control over these activities but does not relieve us of our responsibilities. For example, we remain responsible for ensuring that each of our clinical trials is conducted in accordance with the general investigational plan and protocols for the trial. Moreover, the FDA requires us to comply with GCP standards when conducting, recording and reporting the results of clinical trials to ensure that data and reported results are credible and accurate and that the rights, integrity and confidentiality of trial participants are protected. The EMA also requires us to comply with comparable standards. Regulatory authorities ensure compliance with these requirements through periodic inspections of trial sponsors, principal investigators and trial sites. If we or any of the third parties that we rely on in connection with our clinical trials fail to comply with applicable requirements, the clinical data generated in our clinical trials may be deemed unreliable and the FDA, EMA or other comparable foreign regulatory authorities may require us to perform additional clinical trials before approving our marketing applications. We cannot assure you that upon inspection by a given regulatory authority, such regulatory authority will determine that any of our clinical trials comply with such requirements. We also are required to register ongoing clinical trials and post the results of completed clinical trials on a government-sponsored database, such as ClinicalTrials.gov, within certain timeframes. Failure to do so can result in fines, adverse publicity and civil and criminal sanctions.

Furthermore, these third parties may also have relationships with other entities, some of which may be our competitors. If these third parties do not successfully carry out their contractual duties, meet expected deadlines or conduct our clinical trials in accordance with regulatory requirements or our stated protocols, we will not be able to obtain, or may be delayed in obtaining, marketing approvals for our product candidates and will not be able to, or may be delayed in our efforts to, successfully commercialize our products. In such an event, our financial results and the commercial prospects for our products or product candidates, if approved, could be harmed, our costs could increase and our ability to generate revenues could be delayed, impaired or foreclosed.

We also expect to rely on other third parties to store and distribute drug supplies for our clinical trials. Any performance failure on the part of such third parties could delay clinical development or marketing approval of our product candidates or commercialization of our products, producing additional losses and depriving us of potential product revenue.

We rely on third parties to conduct investigator-sponsored clinical trials of selinexor and our other product candidates. Any failure by a third party to meet its obligations with respect to the clinical development of our product candidates may delay or impair our ability to obtain regulatory approval for selinexor and our other product candidates.

We rely on academic and private non-academic institutions to conduct and sponsor clinical trials relating to selinexor and our other product candidates. We do not solely control the design or conduct of the investigator-sponsored trials, and it is possible that the FDA or foreign regulatory authorities will not view these investigator-sponsored trials as providing adequate support for future clinical trials, whether controlled by us or third parties, for any one or more reasons, including elements of the design, execution of the trials, safety concerns or other trial results.

Such arrangements will provide us certain information rights with respect to the investigator-sponsored trials, such as access to and the ability to use and reference the data, including for our own regulatory filings, resulting from the investigator-sponsored trials. However, we do not have control over the timing and reporting of the data from investigator-sponsored trials, nor do we own the data from the investigator-sponsored trials. If we are unable to confirm or replicate the results from the investigator-sponsored trials or if negative results are obtained, we would likely be further delayed or prevented from advancing clinical development of our product candidates. Further, if investigators or institutions breach their obligations with respect to the clinical development of our product candidates, or if the data proves to be inadequate compared to the first-hand knowledge we might have gained had the investigator-sponsored trials been sponsored and conducted by us, then our ability to design and conduct any future clinical trials ourselves may be adversely affected.

Additionally, the FDA or foreign regulatory authorities may disagree with the sufficiency of our right to reference the preclinical, manufacturing or clinical data generated by these investigator-sponsored trials, or our interpretation of preclinical, manufacturing or clinical data from these investigator-sponsored trials. If so, the FDA or foreign regulatory authorities may require us to obtain and submit additional preclinical, manufacturing, or clinical data before we may initiate our planned trials and/or may not accept such additional data as adequate to initiate our planned trials.

65


Table of Contents

We are completely dependent on third parties for the manufacture of our products and product candidates and any difficulties, disruptions, delays or unexpected costs, or the need to find alternative sources, could adversely affect our results of operations, profitability and future business prospects.

We do not own or operate, and currently have no plans to establish, any manufacturing facilities for our products or product candidates. We currently rely, and expect to continue to rely, on third-party contract manufacturers to manufacture our products and product candidates for our commercial and clinical use.

Facilities used by our third-party manufacturers may be inspected by the FDA after we submit a marketing application and before potential approval of the product candidate and are also subject to ongoing periodic unannounced inspections by the FDA for compliance with cGMP and other regulatory requirements following approval. Similar regulations apply to manufacturers of our product candidates for use or sale in foreign countries. We do not control the manufacturing processes of, and are completely dependent on, our third-party manufacturers for compliance with the applicable regulatory requirements for the manufacture of our products and product candidates. Third-party manufacturers may not be able to comply with cGMP regulations or similar regulatory requirements outside of the U.S. If our manufacturers cannot successfully manufacture material that conforms to our specifications and the strict regulatory requirements of the FDA and any applicable foreign regulatory authority, they will not be able to secure and/or maintain regulatory approval for their manufacturing facilities. If these facilities are not approved for commercial manufacture or are not able to maintain approval, we may need to find alternative manufacturing facilities, which could significantly impact our ability to develop, obtain regulatory approval for or market our products or product candidates as alternative qualified manufacturing facilities may not be available on a timely or cost-efficient basis, or at all. Failure by any of our manufacturers to comply with applicable cGMP regulations or other regulatory requirements could result in sanctions being imposed on us or the contract manufacturer, including fines, injunctions, civil penalties, delays, suspensions or withdrawals of approvals, operating restrictions, interruptions in supply and criminal prosecutions, any of which could significantly and adversely affect supplies of our products or product candidates and have a material adverse impact on our business, financial condition and results of operations.

The clinical and commercial supplies of the drug product for XPOVIO are currently manufactured pursuant to a combination of long-term supply agreements and as-needed purchase order agreements with our third-party manufacturers. Our ability to have our products manufactured in sufficient quantities and at acceptable costs to meet our commercial demand and clinical development needs is dependent on the uninterrupted and efficient operation of our third-party contract manufacturers’ facilities. Further, through our third-party contract manufacturers and data service providers, we provide serialized commercial products as required to comply with the DSCSA and its foreign equivalents where applicable. If our third-party contract manufacturers or data service providers fail to support our efforts to continue to serialize, track, trace and authenticate units of our products in compliance with these requirements and their and their foreign equivalents, as well as any future requirements, we may face legal penalties or be restricted from selling our products.

Reliance on third-party manufacturers entails other risks, including:

reliance on the third party for regulatory compliance and quality assurance;
the possible breach, termination or nonrenewal of a manufacturing agreement by the third party, including at a time that is costly or inconvenient to us;
the possible failure of the third party to manufacture our products or product candidates according to our schedule, or at all, including if the third-party manufacturer gives greater priority to the supply of other products over our products and product candidates, or otherwise does not satisfactorily perform according to the terms of the manufacturing agreement;
equipment malfunctions, power outages or other general disruptions experienced by our third-party manufacturers to their respective operations and other general problems with a multi-step manufacturing process; and
the possible misappropriation or disclosure by the third party or others of our proprietary information, including our trade secrets and know-how.

We currently rely on a single source supplier for our active pharmaceutical ingredient and our drug product manufacturing requirements. Any performance failure on the part of our existing or future manufacturers could delay clinical development, marketing approval or commercialization of our products or product candidates. If our suppliers or contract manufacturers are so affected, our supply chain could be disrupted, our product shipments could be delayed, our costs could be increased and our business could be adversely affected. If our current contract manufacturers cannot perform as agreed, we may be required to replace those manufacturers. Although we believe that there are several potential alternative manufacturers who could manufacture our products and product candidates, we could incur added costs and delays in identifying and qualifying any such replacement. Consequently, we may not be able to reach agreement with third-party manufacturers on satisfactory terms, which could negatively impact our XPOVIO revenues or delay commercialization of any product candidates that are subsequently approved.

66


Table of Contents

If, because of the factors discussed above, we are unable to have our products manufactured on a timely or sufficient basis, we may not be able to meet clinical development needs or commercial demand for our products or product candidates or we may not be able to manufacture our products in a cost-effective manner. As a result, we may lose sales, fail to generate projected revenues or suffer development or regulatory setbacks, any of which could have an adverse impact on our profitability and future business prospects.

Risks Related to Our Intellectual Property

If we are unable to obtain and maintain patent protection for our products or product candidates and other discoveries, or if the scope of the patent protection obtained is not sufficiently broad, our competitors could develop and commercialize drugs and other discoveries similar or identical to ours, and our ability to successfully commercialize our products or product candidates and other discoveries may be adversely affected.

Our success depends in large part on our ability to obtain and maintain patent protection in the U.S. and other countries with respect to our proprietary products and product candidates and other discoveries. We seek to protect our proprietary position by filing patent applications related to our novel products and product candidates and other discoveries that are important to our business. As of October 31, 2024, 179 patents were in force that relate to exportin 1 inhibitors, including composition of matter patents for selinexor, verdinexor and eltanexor in the U.S., and their use in targeted therapeutics. In addition, 32 patents were in force that relate to our PAK4/NAMPT inhibitors, including three composition of matter patents for KPT-9274 in the U.S. and its use in targeted therapeutics. With respect to our KPT-1200 program, as of October 31, 2024, 12 patents were in force that relate to IL-12 compositions and uses of IL-12 in targeted therapeutics. We cannot be certain that any other patents will issue with claims that cover any of our key products, product candidates or other discoveries.

The patent prosecution process is expensive and time-consuming, and we may not be able to file and prosecute all necessary or desirable patent applications at a reasonable cost or in a timely manner. It is also possible that we will fail to identify patentable aspects of our research and development output before it is too late to obtain patent protection.

The patent position of biotechnology and pharmaceutical companies generally is highly uncertain, involves complex legal and factual questions and has in recent years been the subject of much litigation. As a result, the issuance, scope, validity, enforceability and commercial value of our patent rights are highly uncertain. Our pending and future patent applications may not result in patents being issued which protect our product candidates or other discoveries, or which effectively prevent others from commercializing competitive drugs and discoveries. Changes in either the patent laws or interpretation of the patent laws in the U.S. and other countries may diminish the value of our patents or narrow the scope of our patent protection.

The laws of foreign countries may not protect our rights to the same extent as the laws of the U.S. For example, in some foreign jurisdictions, our ability to secure patents based on our filings in the U.S. may depend, in part, on our ability to timely obtain assignment of rights to the invention from the employees and consultants who invented the technology. Publications of discoveries in the scientific literature often lag behind the actual discoveries, and patent applications in the U.S. and other jurisdictions are typically not published until 18 months after filing, or in some cases not at all. Therefore, we cannot be certain that we were the first to make the inventions claimed in our patents or pending patent applications, or that we were the first to file for patent protection of such inventions.

Assuming the other requirements for patentability are met, prior to March 2013, in the U.S., the first to invent the claimed invention was entitled to the patent, while outside of the U.S., the first to file a patent application is entitled to the patent. In March 2013, the U.S. transitioned to a first-inventor-to-file system in which, assuming the other requirements for patentability are met, the first inventor to file a patent application is entitled to the patent. We may be subject to a third-party preissuance submission of prior art to the U.S. Patent and Trademark Office (“USPTO”) or become involved in opposition, derivation, revocation, reexamination, or post-grant or inter partes review or interference proceedings challenging our patent rights or the patent rights of others. An adverse determination in any such submission, proceeding or litigation could reduce the scope of, or invalidate, our patent rights, allow third parties to commercialize our discoveries or drugs and compete directly with us, without payment to us, or result in our inability to manufacture or commercialize drugs without infringing third-party patent rights.

Even if our patent applications issue as patents, they may not issue in a form that will provide us with any meaningful protection, prevent competitors from competing with us or otherwise provide us with any competitive advantage. Our competitors may be able to circumvent our patents by developing similar or alternative discoveries or drugs in a non-infringing manner.

The issuance of a patent is not conclusive as to its inventorship, scope, validity or enforceability, and our patents may be challenged in the courts or patent offices in the U.S. and abroad. Such challenges may result in loss of exclusivity or in patent claims being narrowed, invalidated or held unenforceable, which could limit our ability to stop others from using or commercializing similar

67


Table of Contents

or identical discoveries and drugs, or limit the duration of the patent protection of our products, product candidates and discoveries. Given the amount of time required for the development, testing and regulatory review of new product candidates, patents protecting such candidates might expire before or shortly after such candidates are commercialized. As a result, our patent portfolio may not provide us with sufficient rights to exclude others from commercializing drugs similar or identical to ours.

We may become involved in lawsuits to protect or enforce our patents and other intellectual property rights, which could be expensive, time-consuming and unsuccessful.

Competitors or commercial supply companies or others may infringe our patents and other intellectual property rights. For example, we are aware of third parties selling a version of our lead product candidate for research purposes, which may infringe our intellectual property rights. To counter such infringement, we may advise such companies of our intellectual property rights, including, in some cases, intellectual property rights that provide protection for our lead product candidates, and demand that they stop infringing those rights. Such demand may provide such companies the opportunity to challenge the validity of certain of our intellectual property rights, or the opportunity to seek a finding that their activities do not infringe our intellectual property rights. We may also be required to file infringement actions, which can be expensive and time-consuming. In an infringement proceeding, a defendant may assert and a court may agree with a defendant that a patent of ours is invalid or unenforceable, or may refuse to stop the other party from using the intellectual property at issue. An adverse result in any litigation could put one or more of our patents at risk of being invalidated or interpreted narrowly. Furthermore, because of the substantial amount of discovery required in connection with intellectual property litigation, there is a risk that some of our confidential information could be compromised by disclosure during this type of litigation.

Third parties may initiate legal proceedings alleging that we are infringing their intellectual property rights, the outcome of which would be uncertain and could have a material adverse effect on the success of our business.

Our commercial success depends upon our ability and the ability of any current and future collaborators to develop, manufacture, market and sell XPOVIO and our product candidates and use our proprietary technologies without infringing the proprietary rights of third parties. We may become party to, or threatened with, future adversarial proceedings or litigation regarding intellectual property rights with respect to our products or product candidates and technology, including interference proceedings before the USPTO. Third parties may assert infringement claims against us based on existing patents or patents that may be granted in the future. No litigation asserting such infringement claims is currently pending against us, and we have not been found by a court of competent jurisdiction to have infringed a third party’s intellectual property rights. If we are found to infringe or think there is a risk we may be found to infringe, a third party’s intellectual property rights, we could be required or choose to obtain a license from such third party to continue developing, marketing and selling our products, product candidates and technology. However, we may not be able to obtain any required license on commercially reasonable terms, or at all. Even if we were able to obtain a license, it could be non-exclusive, thereby giving our competitors access to the same intellectual property licensed to us. We could be forced, including by court order, to cease commercializing the infringing intellectual property or product or to cease using the infringing technology. In addition, we could be found liable for monetary damages. A finding of infringement could prevent us from commercializing our products or product candidates or force us to cease some of our business operations, which could materially harm our business. Claims that we have misappropriated the confidential information or trade secrets of third parties could have a similar negative impact on our business.

We may be subject to claims that our employees have wrongfully used or disclosed alleged trade secrets of their former employers.

Many of our employees were previously employed at universities or other biotechnology or pharmaceutical companies, including our competitors or potential competitors. Although we try to ensure that our employees do not use the proprietary information or know-how of others in their work for us, we may be subject to claims that we or these employees have used or disclosed intellectual property, including trade secrets or other proprietary information, of any such employee’s former employer. Although we have no knowledge of any such claims being alleged to date, if such claims were to arise, litigation may be necessary to defend against any such claims. If we fail in defending any such claims, in addition to paying monetary damages, we may lose valuable intellectual property rights or personnel. Even if we are successful in defending against such claims, litigation could result in substantial costs and be a distraction to management.

Intellectual property litigation could cause us to spend substantial resources and distract our personnel from their normal responsibilities.

Even if resolved in our favor, litigation or other legal proceedings relating to intellectual property claims may cause us to incur significant expenses and could distract our technical and management personnel from their normal responsibilities. In addition, there could be public announcements of the results of hearings, motions or other interim proceedings or developments and if securities analysts or investors perceive these results to be negative, it could have a material adverse effect on the price of our common stock.

68


Table of Contents

Such litigation or proceedings could substantially increase our operating losses and reduce the resources available for development activities or any future sales, marketing or distribution activities. We may not have sufficient financial or other resources to adequately conduct such litigation or proceedings. Some of our competitors may be able to sustain the costs of such litigation or proceedings more effectively than we can because of their greater financial resources. Uncertainties resulting from the initiation and continuation of patent litigation or other proceedings could have a material adverse effect on our ability to compete in the marketplace.

Obtaining and maintaining our patent protection depends on compliance with various procedural, documentary, fee payment and other requirements imposed by governmental patent agencies, and our patent protection could be reduced or eliminated for non-compliance with these requirements.

Periodic maintenance fees, renewal fees, annuity fees and various other governmental fees on patents and/or applications will be due to the USPTO and various foreign patent offices at various points over the lifetime of the patents and/or applications. We have systems in place to remind us to pay these fees, and we rely on our outside counsel to pay these fees when due. Additionally, the USPTO and various foreign patent offices require compliance with a number of procedural, documentary, fee payment and other similar provisions during the patent application process. We employ reputable law firms and other professionals to help us comply with such provisions, and in many cases, an inadvertent lapse can be cured by payment of a late fee or by other means in accordance with rules applicable to the particular jurisdiction. However, there are situations in which non-compliance can result in abandonment or lapse of the patent or patent application, resulting in partial or complete loss of patent rights in the relevant jurisdiction. If such an event were to occur, it could have a material adverse effect on our business.

If our product candidates or any of our future product candidates obtain regulatory approval, additional competitors could enter the market with generic versions of such products, which may result in a material decline in sales of our competing products.

Under the Drug Price Competition and Patent Term Restoration Act of 1984 (the “Hatch-Waxman Amendments”) to the FDCA, a company may file an ANDA, seeking approval of a generic version of an approved innovator product. Under the Hatch-Waxman Amendments, a company may also submit an NDA under section 505(b)(2) of the FDCA that references the FDA’s prior approval of the innovator product or preclinical studies and/or clinical trials that were not conducted by, or for, the sponsor and for which the sponsor has not obtained a right of reference. A 505(b)(2) NDA product may be for a new or improved version of the original innovator product. The Hatch-Waxman Amendments also provide for certain periods of regulatory exclusivity, which preclude FDA approval (or in some circumstances, FDA filing and review) of an ANDA or 505(b)(2) NDA.

In certain circumstances, third parties may file an ANDA or NDA under Section 505(b)(2) as early as the so-called “NCE-1” date that is one year before the expiry of the five-year period of New Chemical Entity exclusivity or more generally four years after NDA approval. The third parties are allowed to rely on the safety and effectiveness data of the innovator’s product, may not need to conduct clinical trials and can market a competing version of a product after the expiration or loss of patent exclusivity or the expiration or loss of regulatory exclusivity and often charge significantly lower prices. Upon the expiration or loss of patent protection or the expiration or loss of regulatory exclusivity for a product, the major portion of revenues for that product may be dramatically reduced in a very short period of time. If we are not successful in defending our patents and regulatory exclusivities, we will not derive the expected benefit from them. For example, the NCE-1 date for selinexor was July 3, 2023 after which a third party could be positioned to market an ANDA or Section 505(b)(2) product that competes with selinexor prior to the expiry of our patents if the third party successfully challenged the validity of our patents protecting the product.

In addition to the benefits of regulatory exclusivity, an innovator NDA holder may have patents claiming the active ingredient, product formulation or an approved use of the drug, which would be listed with the product in the FDA publication “Approved Drug Products with Therapeutic Equivalence Evaluations,” known as the Orange Book. If there are patents listed in the Orange Book for the applicable, approved innovator product, a generic or 505(b)(2) sponsor that seeks to market its product before expiration of the patents must include in their applications what is known as a “Paragraph IV” certification, challenging the validity or enforceability, or claiming non-infringement, of the listed patent or patents. Notice of the certification must be given to the patent owner and NDA holder and if, within 45 days of receiving notice, either the patent owner or NDA holder sues for patent infringement, approval of the ANDA or 505(b)(2) NDA is stayed for up to 30 months.

Accordingly, if any of our product candidates that are regulated as drugs are approved, competitors could file ANDAs for generic versions of these products or 505(b)(2) NDAs that reference our products. If there are patents listed for such drug products in the Orange Book, those ANDAs and 505(b)(2) NDAs would be required to include a certification as to each listed patent indicating whether the ANDA sponsor does or does not intend to challenge the patent. We cannot predict which, if any, patents in our current portfolio or patents we may obtain in the future will be eligible for listing in the Orange Book, how any generic competitor would address such patents, whether we would sue on any such patents or the outcome of any such suit.

69


Table of Contents

If we do not successfully extend the term of patents covering our product candidates under the Hatch-Waxman Amendments and similar foreign legislation, our business may be materially harmed.

Depending upon the timing, duration and conditions of FDA marketing approval, if any, of our products or product candidates, one or more of our U.S. patents may be eligible for patent term extension under the Hatch-Waxman Amendments. The Hatch-Waxman Amendments permit a patent term extension of up to five years for one patent covering an approved product as compensation for effective patent term lost during product development and the FDA regulatory review process. However, we may not receive an extension if we fail to apply within applicable deadlines, fail to apply prior to expiration of relevant patents or otherwise fail to satisfy applicable requirements. Moreover, the length of the extension could be less than we request. The total patent term, including the extension period, may not exceed 14 years following FDA approval. Accordingly, the length of the extension, or the ability to even obtain an extension, depends on many factors.

In the U.S., only a single patent can be extended for each qualifying FDA approval, and any patent can be extended only once and only for a single product. Laws governing analogous patent term extensions in foreign jurisdictions vary widely, as do laws governing the ability to obtain multiple patents from a single patent family. Because both selinexor and verdinexor are protected by a single family of patents and applications, we may not be able to secure patent term extensions for both of these product candidates in all jurisdictions where these product candidates are approved.

If we are unable to obtain a patent term extension for a product or product candidate or the term of any such extension is less than we request, the period during which we can enforce our patent rights for that product or product candidate, if any, in that jurisdiction will be shortened and our competitors may obtain approval to market competing products sooner. As a result, our revenue could be materially reduced.

If we are unable to protect the confidentiality of our trade secrets, our business and competitive position would be harmed.

In addition to seeking patents for our products, product candidates and other discoveries, we also rely on trade secrets, including unpatented know-how, technology and other proprietary information, to maintain our competitive position. We seek to protect these trade secrets, in part, by entering into non-disclosure and confidentiality agreements with parties who have access to them, such as our employees, outside scientific collaborators, CROs, contract manufacturers, consultants, advisors and other third parties. We also enter into confidentiality and invention or patent assignment agreements with our employees and consultants. Despite these efforts, any of these parties may breach the agreements and disclose our proprietary information, including our trade secrets, and we may not be able to obtain adequate remedies for such breaches. To the extent that we are unable to timely enter into confidentiality and invention or patent assignment agreements with our employees and consultants, our ability to protect our business through trade secrets and patents may be harmed. Enforcing a claim that a party illegally disclosed or misappropriated a trade secret is difficult, expensive and time-consuming, and the outcome is unpredictable. In addition, some courts inside and outside of the U.S. are less willing or unwilling to protect trade secrets. If any of our trade secrets were to be lawfully obtained or independently developed by a competitor, we would have no right to prevent them from using that technology or information to compete with us. If any of our trade secrets were to be disclosed to or independently developed by a competitor, our competitive position would be harmed. To the extent inventions are made by a third party under an agreement that does not grant us an assignment of their rights in inventions, we may choose or be required to obtain a license.

Not all of our trademarks are registered. Failure to secure those registrations could adversely affect our business.

As of October 31, 2024, we have trademark registrations in the U.S. for KARYOPHARM, KARYOPHARM THERAPEUTICS, our color logo, our logo in greyscale, KARYOPHARM THERAPEUTICS with the color logo, XPOVIO, PORE for our online research portal, and KARYFORWARD and our KARYFORWARD logo for our financial aid and charitable services. Outside of the U.S., XPOVIO is registered or pending in 46 additional jurisdictions, and is registered in Katakana in Japan, Hangul in South Korea, and Chinese characters in Taiwan. KARYOPHARM, the greyscale logo, KARYOPHARM THERAPEUTICS with the color logo, and the KARYFORWARD logo are each registered in four jurisdictions outside of the U.S. We also have registrations or applications for eight additional possible drug names in numerous foreign jurisdictions. If we do not secure registrations for our trademarks, we may encounter more difficulty in enforcing them against third parties than we otherwise would, which could adversely affect our business. During trademark registration proceedings in the U.S. and foreign jurisdictions, we may receive rejections. We are given an opportunity to respond to those rejections, but we may not be able to overcome such rejections. In addition, in the USPTO and in comparable agencies in many foreign jurisdictions, third parties are given an opportunity to oppose pending trademark applications and to seek to cancel registered trademarks. Opposition or cancellation proceedings may be filed against our trademarks, and our trademarks may not survive such proceedings.

In addition, any proprietary name we propose to use with our key product candidates in the U.S. must be approved by the FDA, regardless of whether we have registered it, or applied to register it, as a trademark. The FDA typically conducts a review of proposed

70


Table of Contents

drug names, including an evaluation of potential for confusion with other drug names. If the FDA objects to any of our proposed proprietary drug names for any of our product candidates, if approved, we may be required to expend significant additional resources in an effort to identify a suitable proprietary drug name that would qualify under applicable trademark laws, not infringe the existing rights of third parties and be acceptable to the FDA.

Risks Related to Our Operations and Employee Matters

Our future success depends on our ability to retain key members of our management team and to attract, retain and motivate qualified personnel.

We are highly dependent on the management, technical and scientific expertise of principal members of our management and scientific teams, including our President and Chief Executive Officer. Although we have entered into formal employment agreements with our executive officers, these agreements do not prevent them from terminating their employment with us at any time. We do not maintain “key person” insurance for any of our executives or other employees. The loss of the services of any of our key employees could impede the achievement of our research, development, commercialization and other business objectives.

Recruiting and retaining qualified scientific, clinical, manufacturing and sales and marketing personnel is critical to our success. We may not be able to attract and retain these personnel on acceptable terms given the competition among numerous pharmaceutical and biotechnology companies for similar personnel. We also experience competition for the hiring of scientific and clinical personnel from universities and research institutions. In addition, we rely on consultants and advisors, including scientific and clinical advisors, to assist us in formulating our research and development and commercialization strategies. Our consultants and advisors may be employed by employers other than us and may have commitments under consulting or advisory contracts with other entities that may limit their availability to us.

Our business and operations may be materially adversely affected in the event of information technology system failures or security breaches, and the costs and consequences of implementing data protection measures could be significant.

Despite the implementation of security measures, our internal computer systems, and those of our CROs and other third parties on which we rely, are vulnerable to damage or other impacts from cyber-attacks, computer viruses, unauthorized access, sabotage, natural disasters, fire, terrorism, war and telecommunication and electrical failures. Such systems are also vulnerable to service interruptions or to security breaches from inadvertent or intentional actions by our employees, third-party vendors and/or business partners, or from cyber incidents initiated by malicious third parties. Cyber incidents are increasing in their frequency, sophistication and intensity, and have become increasingly difficult to detect, respond to and recover from. Cyber incidents could include the deployment of harmful malware, ransomware, denial-of-service attacks, unauthorized access to or deletion of files, social engineering and other means to affect service reliability and threaten the confidentiality, integrity and availability of information. Cyber incidents also could include phishing attempts or e-mail fraud to cause payments or information to be transmitted to an unintended recipient. We could be subject to risks caused by misappropriation, misuse, leakage, falsification or intentional or accidental release or loss of information maintained in the information systems and networks of our company, including personal data of our employees. In addition, outside parties may attempt to penetrate our systems or those of our vendors or fraudulently induce our employees or employees of our vendors to disclose sensitive information to gain access to our data. Like other companies, we may experience threats to our data and systems, including malicious codes and viruses, and other cyber-attacks. In addition, we face other kinds of risks related to our commercial and personal data, including lost or stolen devices or other systems (including paper records) that collect and store our personal and commercial information. Furthermore, our manufacturing vendors could also be subject to a cyber-attack that could negatively impact the manufacturing process of our products and/or product candidates, which could, in turn, harm our patients, result in a product recall, or provide uncertain medical or trial results.

We are aware of certain vendors who have been impacted by cyber-attacks, inclusive of but not limited to ransomware, phishing, and spam. While such events have not directly impacted us, similar events in the future could have a material impact on us. If a cyber-attack or other security incident were to occur and cause interruptions in our operations, it could result in a material disruption of our development and commercialization programs and our business operations, whether due to a loss of our trade secrets or other proprietary information or other similar disruptions, in addition to possibly requiring substantial expenditures of resources to remedy. For example, the loss of clinical trial data from completed, ongoing or planned clinical trials could result in delays in our regulatory approval efforts and significantly increase our costs to recover or reproduce the data. To the extent that any disruption or security breach were to result in a loss of, or damage to, our data or applications, or inappropriate disclosure of confidential or proprietary information, we could incur liability, our reputation or competitive position could be damaged, and the further development and commercialization of our products or product candidates could be delayed or halted. We may not have adequate insurance coverage to provide compensation for any losses associated with such events. In addition, we may in certain instances be required to provide notification to individuals or others in connection with the loss of their personal or commercial information.

71


Table of Contents

If a material breach of our security or that of our vendors occurs, our financial or other confidential information could be compromised, the market perception of the effectiveness of our security measures could be harmed, we could lose business, our reputation and credibility could be damaged and we could be subject to legal proceedings. In addition, the cost and operational consequences of implementing further data protection measures could be significant. We could be required to expend significant amounts of money and other resources to repair or replace information systems or networks. The development and maintenance of these systems, controls and processes is costly and requires ongoing monitoring and updating as technologies change and efforts to overcome security measures become more sophisticated. Moreover, despite our efforts, the possibility of these events occurring cannot be eliminated entirely.

Risks Related to Our Common Stock

If we fail to maintain compliance with the continued listing requirements of Nasdaq, our common stock could be delisted from trading, which would adversely affect the liquidity of our common stock and our ability to raise additional capital. The transfer of our common stock to the Nasdaq Capital Market would result in a fundamental change under the indenture governing the 2025 Notes, which could negatively impact our financial condition.

On September 16, 2024, we received a deficiency letter from the Listing Qualifications Department (the “Staff”) of the Nasdaq Stock Market (“Nasdaq”) notifying us that, for the last 32 consecutive business days, the bid price of our common stock had closed below the minimum $1.00 per share requirement for continued inclusion on the Nasdaq Global Select Market pursuant to Nasdaq Listing Rule 5450(a)(1) (the “Bid Price Rule”). The deficiency letter does not result in the immediate delisting of our common stock from the Nasdaq Global Select Market. In accordance with Nasdaq Listing Rule 5810(c)(3)(A), we have been provided an initial period of 180 calendar days, or until March 17, 2025 (the “Compliance Date”), to regain compliance with the Bid Price Rule. If, at any time before the Compliance Date, the bid price for our common stock closes at $1.00 per share or more for a minimum of 10 consecutive business days, as required by the Compliance Period Rule, the Staff will provide written notification to us that we comply with the Bid Price Rule, unless the Staff exercises its discretion to extend this 10-day period pursuant to Nasdaq Listing Rule 5810(c)(3)(H).

If we do not regain compliance with the Bid Price Rule by the Compliance Date, we may be eligible for an additional 180 calendar day compliance period. To qualify, we would be required to transfer the listing of our common stock to the Nasdaq Capital Market, provided that we meet the continued listing requirements for the market value of publicly held shares and all other initial listing standards of the Nasdaq Capital Market, with the exception of its bid requirement. To effect such a transfer, among other things, we would also need to pay an application fee to Nasdaq and provide written notice to the Staff of our intention to cure the deficiency during the additional compliance period by effecting a reverse stock split, if necessary. However, as discussed above under the risk factor entitled “We may not have the ability to raise the funds necessary to settle any conversions of or other obligations in respect of the 2029 Notes or the 2025 Notes required to be settled in cash, to repurchase the 2029 Notes or the 2025 Notes for cash upon a fundamental change, to pay the redemption price for any 2029 Notes or 2025 Notes we redeem or to refinance the 2029 Notes or the 2025 Notes, and any future debt we incur may contain limitations on our ability to pay cash upon conversion or repurchase of the 2029 Notes or the 2025 Notes”, the indenture governing the 2025 Notes treats a transfer of listing to the Nasdaq Capital Market as a “fundamental change” that gives the holders of the 2025 Convertible Notes a right to require us to repurchase the 2025 Convertible Notes for cash, which may severely limit our ability to effect such a transfer and utilize the additional 180 day compliance period.

If we do not regain compliance with the Bid Price Rule by the Compliance Date and it appears to the Staff that we will not be able to regain compliance with the Bid Price Rule during the additional compliance period, or that due to limitations in the indenture governing the 2025 Notes or for other reasons, we are otherwise not eligible for an additional compliance period at that time, the Staff will provide written notification to us that our common stock will be subject to delisting. At that time, we may appeal the Staff’s delisting determination to a Nasdaq Listing Qualifications Panel (the “Panel”). We expect that our common stock would remain listed pending the Panel’s decision. However, there can be no assurance that, if we do appeal the delisting determination by the Staff to the Panel, that such appeal would be successful.

We intend to monitor the closing bid price of our common stock and may, if appropriate, consider available options to regain compliance with the Bid Price Rule, which could include seeking to effect a reverse stock split. However, there can be no assurances that we will be able to regain compliance with the Bid Price Rule.

There are many factors that may adversely affect our minimum bid price, including those described throughout this “Risk Factors” section. Many of these factors are outside of our control. As a result, we may not be able to sustain compliance with the Bid Price Rule in the long term. Any potential delisting of our common stock from the Nasdaq Global Select Market would likely result in decreased liquidity and increased volatility for our common stock and would adversely affect our ability to raise additional capital or to enter into strategic transactions. Any potential delisting of our common stock from the Nasdaq Global Select Market would make it more difficult for our stockholders to sell our common stock in the public market. Further, the transfer of the listing of our common

72


Table of Contents

stock to another nationally recognized stock exchange other than the New York Stock Exchange, Nasdaq Global Select Market or Nasdaq Global Market could also negatively impact our financial condition as it would constitute a fundamental change under the indenture governing the 2025 Notes, giving the holders thereof the right to require us to repurchase the Notes for cash. For additional risks associated with a fundamental change under the indenture governing the 2025 Notes, please see the risk factor entitled “We may not have the ability to raise the funds necessary to settle any conversions of or other obligations in respect of the 2029 Notes or the 2025 Notes required to be settled in cash, to repurchase the 2029 Notes or the 2025 Notes for cash upon a fundamental change, to pay the redemption price for any 2029 Notes or 2025 Notes we redeem or to refinance the 2029 Notes or the 2025 Notes, and any future debt we incur may contain limitations on our ability to pay cash upon conversion or repurchase of the 2029 Notes or the 2025 Notes”.

Provisions in our corporate charter documents and under Delaware law could make an acquisition of us, which may be beneficial to our stockholders, more difficult and may prevent attempts by our stockholders to replace or remove our current management.

Provisions in our corporate charter and our bylaws may discourage, delay or prevent a merger, acquisition or other change in control of us that stockholders may consider favorable, including transactions in which stockholders might otherwise receive a premium for their shares. These provisions could also limit the price that investors might be willing to pay in the future for shares of our common stock, thereby depressing the market price of our common stock. In addition, because our board of directors is responsible for appointing the members of our management team, these provisions may frustrate or prevent any attempts by our stockholders to replace or remove our current management by making it more difficult for stockholders to replace members of our board of directors. Among other things, these provisions:

establish a classified board of directors such that not all members of the board are elected at one time;
allow the authorized number of our directors to be changed only by resolution of our board of directors;
limit the manner in which stockholders can remove directors from the board;
establish advance notice requirements for stockholder proposals that can be acted on at stockholder meetings and nominations to our board of directors;
require that stockholder actions must be effected at a duly called stockholder meeting and prohibit actions by our stockholders by written consent;
limit who may call stockholder meetings;
authorize our board of directors to issue preferred stock without stockholder approval, which could be used to institute a “poison pill” that would work to dilute the stock ownership of a potential hostile acquirer, effectively preventing acquisitions that have not been approved by our board of directors; and
require the approval of the holders of at least 75% of the votes that all our stockholders would be entitled to cast to amend or repeal certain provisions of our charter or bylaws.

Moreover, because we are incorporated in Delaware, we are governed by the provisions of Section 203 of the Delaware General Corporation Law, which prohibits a person who owns in excess of 15% of our outstanding voting stock from merging or combining with us for a period of three years after the date of the transaction in which the person acquired in excess of 15% of our outstanding voting stock, unless the merger or combination is approved in a prescribed manner.

The price of our common stock has been and may continue to be volatile and your investment in our stock could decline in value or fluctuate significantly, including as a result of analysts’ activities.

Our stock price has been, and may continue to be, volatile and your investment in our stock could decline or fluctuate significantly. Our common stock price has ranged from $0.62 to $1.95 in the 52-week period ended October 31, 2024. On October 31, 2024, the closing sale price of our common stock on the Nasdaq Global Select Market was $0.99 per share. The stock market in general and the market for pharmaceutical and biotechnology companies in particular have experienced extreme volatility that has often been unrelated to the operating performance of particular companies, such as the response to world-wide economic disruptions related to the COVID-19 pandemic, the conflict between Russia and Ukraine, the war between Israel and Hamas, inflation and sustained high interest rates. The market price for our common stock may be influenced by many factors, including:

our failure or perceived failure to successfully execute on our commercialization strategy for XPOVIO or our product candidates, if approved;
the level of success of competitive products or technologies;

73


Table of Contents

results, delays in, or the halting of our clinical trials or those of our competitors, including reports of AEs related to the use of our products;
announcements by us or our competitors of new products or data, significant mergers, acquisitions, licenses or joint ventures;
commencement or termination of collaborations for our development programs and the commercialization of our products;
adverse regulatory or legal developments in the U.S. and other countries;
developments or disputes concerning patent applications, issued patents or other proprietary rights;
additions or departures of key personnel;
the level of expenses related to the commercialization of XPOVIO and clinical development programs for any of our product candidates;
the results of our efforts to discover, develop, acquire or in-license additional products or product candidates;
actual or anticipated changes in estimates of financial results or guidance, clinical development timelines or recommendations by securities analysts;
actual or anticipated fluctuations in our quarterly or annual financial results;
changes in healthcare laws affecting pricing, reimbursement or access;
market conditions in the pharmaceutical and biotechnology sectors, including as the result of uncertainties due to or impacts from pandemics or other public health emergencies;
general economic, industry and market conditions, such as those caused by the ongoing conflict between Russia and Ukraine, the war between Israel and Hamas, inflation and fluctuations in interest rates;
our ability to raise additional capital and/or refinance our debt and the terms on which we can raise capital and/or refinance debt;
sales of large blocks of our common stock, including by our executive officers, directors and significant stockholders, or substantial changes in short interest in our common stock; and
the other risks and uncertainties described in this “Risk Factors” section.

The COVID-19 pandemic caused significant disruptions in the financial markets and also impacted the volatility of our stock price and trading in our stock. In addition, U.S. and global markets are experiencing volatility and disruption following the escalation of geopolitical tensions and the ongoing conflict between Russia and Ukraine, the war between Israel and Hamas, inflation and sustained high interest rates. A continuation or worsening of the levels of market disruption and volatility could have an adverse effect on the market price of our common stock. Furthermore, the trading market for our common stock relies, in part, on the research and reports that industry or financial analysts publish about us or our business. Our stock price could decline significantly if we fail to meet or exceed analysts’ forecasts and expectations or if one or more of the analysts covering our business downgrade their evaluations of our stock. Further, if one or more of these analysts cease to cover our stock, we could lose visibility in the market for our stock, which in turn could cause our stock price to decline.

Securities or other litigation could result in substantial costs and may divert management’s time and attention from our business.

Securities class action litigation is often brought against a company following a decline or periods of volatility in the market price of its securities. This risk is especially relevant for us because pharmaceutical companies have experienced significant stock price volatility in recent years, including as a result of the COVID-19 pandemic, and we are therefore a target of this type of litigation. For example, we were subject to a class action lawsuit and a shareholder derivative lawsuit alleging federal securities laws violations, both of which have been dismissed. We may face additional securities class action litigation or other litigation in the future, including if we fail to successfully commercialize XPOVIO, or if we cannot obtain regulatory approvals for, or if we otherwise fail to successfully commercialize and launch, our product candidates.

The outcome of litigation is necessarily uncertain, and we could be forced to expend significant resources in the defense of such suits, and we may not prevail. Monitoring and defending against legal actions is time-consuming for our management and detracts from our ability to fully focus our internal resources on our business activities. In addition, we may incur substantial legal fees and costs in connection with any such litigation. We have not established any reserves for any potential liability relating to any such

74


Table of Contents

potential lawsuits. It is possible that we could, in the future, incur judgments or enter into settlements of claims for monetary damages. We currently maintain insurance coverage for some of these potential liabilities. Other potential liabilities may not be covered by insurance, insurers may dispute coverage or the amount of insurance may not be enough to cover damages awarded. In addition, certain types of damages may not be covered by insurance, and insurance coverage for all or certain forms of liability may become unavailable or prohibitively expensive in the future. A decision adverse to our interests on one or more legal matters or litigation could result in the payment of substantial damages, or possibly fines, and could have a material adverse effect on our reputation, financial condition and results of operations.

We have broad discretion in the use of our cash, cash equivalents and investments and may not use them effectively.

Our management has broad discretion to use our cash, cash equivalents and investments to fund our operations and could spend these funds in ways that do not improve our results of operations or enhance the value of our common stock. The failure by our management to apply these funds effectively could result in financial losses that could have a material adverse effect on our business, cause the price of our common stock to decline and delay the development of our product candidates. Pending their use to fund our operations, we may invest our cash and cash equivalents in a manner that does not produce income or that loses value.

If we identify a material weakness in our internal control over financial reporting, it could have an adverse effect on our business and financial results and our ability to meet our reporting obligations could be negatively affected, each of which could negatively affect the trading price of our common stock.

A material weakness is a deficiency, or a combination of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of our annual or interim financial statements will not be prevented or detected on a timely basis. Accordingly, a material weakness increases the risk that the financial information we report contains material errors.

We regularly review and update our internal controls, disclosure controls and procedures, and corporate governance policies. In addition, we are required under the Sarbanes-Oxley Act of 2002 to report annually on our internal control over financial reporting. Any system of internal controls, however well designed and operated, is based in part on certain assumptions and can provide only reasonable, not absolute, assurances that the objectives of the system are met. If we, or our independent registered public accounting firm, determine that our internal control over our financial reporting is not effective, or we discover areas that need improvement in the future, or we experience high turnover of our personnel in our financial reporting functions, these shortcomings could have an adverse effect on our business and financial results, and the price of our common stock could be negatively affected.

If we cannot conclude that we have effective internal control over our financial reporting, or if our independent registered public accounting firm is unable to provide an unqualified opinion regarding the effectiveness of our internal control over financial reporting, investors could lose confidence in the reliability of our financial statements, which could lead to a decline in our stock price. Failure to comply with reporting requirements could also subject us to sanctions and/or investigations by the SEC, the Nasdaq Stock Market or other regulatory authorities.

If the estimates we make, or the assumptions on which we rely, in preparing our consolidated financial statements, our projected guidance and/or our projected market opportunities prove inaccurate, our actual results may vary from those reflected in our projections and accruals.

Our consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). The preparation of these consolidated financial statements requires us to make estimates and judgments that affect the reported amounts of our assets, liabilities, revenues and expenses, the amounts of charges accrued by us and related disclosure of contingent assets and liabilities. We base our estimates on historical experience and on various other assumptions that we believe to be reasonable under the circumstances.

We cannot assure you, however, that our estimates, or the assumptions underlying them, will be correct. Further, from time to time we issue guidance on our expected financial performance for future periods, such as our expectations regarding our revenue, non-GAAP research and development and selling, general and administrative expenses, and cash, cash equivalents and investments available for operations, which guidance is based on estimates and the judgment of management. If, for any reason, our actual results differ materially from our guidance, we may have to adjust our publicly announced financial guidance. If we fail to meet, or if we are required to change or update any element of, our publicly disclosed financial guidance or other expectations about our business, our stock price could decline.

Further our estimates of the potential market opportunities for XPOVIO and our product candidates include several key assumptions based on our industry knowledge, industry publications, third-party research and other surveys, which may be based on a small sample size and fail to accurately reflect market opportunities. While we believe that our internal assumptions are reasonable,

75


Table of Contents

these assumptions involve the exercise of significant judgment on the part of our management, are inherently uncertain and the reasonableness of these assumptions has not been assessed by an independent source. If any of our assumptions or estimates, or these publications, research, surveys or studies prove to be inaccurate, then the actual market for XPOVIO or any other products or product candidates may be smaller than we expect, and as a result our product revenue may be limited and it may be more difficult for us to achieve profitability.

Our ability to use our net operating loss carryforwards and tax credit carryforwards to offset future taxable income may be subject to certain limitations.

Under the provisions of the Internal Revenue Code of 1986, as amended (the “Code”), our net operating loss and tax credit carryforwards are subject to review and possible adjustment by the Internal Revenue Service (and state tax authorities under relevant state tax rules). In addition, as described below in “Changes in tax laws or in their implementation or interpretation may adversely affect our business and financial condition,” the TCJA, as amended by the Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”), includes changes to U.S. federal tax rates and the rules governing net operating loss carryforwards that may significantly impact our ability to utilize our net operating losses to offset taxable income in the future. Furthermore, the use of net operating loss and tax credit carryforwards may become subject to an annual limitation under Sections 382 and 383 of the Code, respectively, and similar state provisions in the event of certain cumulative changes in the ownership interest of significant stockholders in excess of 50 percent over a three-year period. This could limit the amount of tax attributes that can be utilized annually to offset future taxable income or tax liabilities. The amount of the annual limitation is determined based on the value of a company immediately prior to the ownership change. Subsequent ownership changes may further affect the limitation in future years. Our company has completed several financings since its inception which resulted in an ownership change under Sections 382 and 383 of the Code. In addition, future changes in our stock ownership, some of which are outside of our control, could result in ownership changes in the future. For these reasons, we may not be able to use some or all of our net operating loss and tax credit carryforwards, even if we attain profitability.

Changes in tax laws or in their implementation or interpretation may adversely affect our business and financial condition.

Changes in tax law may adversely affect our business or financial condition. The TCJA, as amended by the CARES Act, significantly revises the Code. The TCJA, among other things, contains significant changes to corporate taxation, including reduction of the corporate tax rate from a top marginal rate of 35% to a flat rate of 21% and limitation of the deduction for net operating losses to 80% of current year taxable income for losses arising in taxable years beginning after December 31, 2017 and the elimination of the carryback of such losses (though any such net operating losses may be carried forward indefinitely). In addition, beginning in 2022, the TCJA eliminates the option to deduct research and development expenditures currently and requires corporations to capitalize and amortize them over five years.

In addition to the CARES Act, as part of Congress’ response to the COVID-19 pandemic, economic relief legislation was enacted in 2020 and 2021 containing tax provisions. Further, as of August 2022, the IRA introduced new tax provisions, including a one percent excise tax imposed on certain stock repurchases by publicly traded companies. The one percent excise tax generally applies to any acquisition of stock by the publicly traded company (or certain of its affiliates) from a stockholder of the company in exchange for money or other property (other than stock of the company itself), subject to a de minimis exception. Thus, the excise tax could apply to certain transactions that are not traditional stock repurchases. Regulatory guidance under the TCJA and such additional legislation is and continues to be forthcoming, and such guidance could ultimately increase or lessen their impact on our business and financial condition. In addition, it is uncertain if and to what extent various states will conform to the TCJA and additional tax legislation.

 

76


Table of Contents

 

Item 5. Other Information.

(c) Director and Officer Trading Arrangements

A portion of the compensation of our directors and officers (as defined in Rule 16a-1(f) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”)) is in the form of equity awards and, from time to time, directors and officers engage in open-market transactions with respect to the securities acquired pursuant to such equity awards or other securities of our company, including to satisfy tax withholding obligations when equity awards vest or are exercised, and for diversification or other personal reasons.

Transactions in our securities by directors and officers are required to be made in accordance with our Insider Trading Policy, which requires that the transactions be in accordance with applicable U.S. federal securities laws that prohibit trading while in possession of material nonpublic information. Rule 10b5-1 under the Exchange Act provides an affirmative defense that enables directors and officers to prearrange transactions in our securities in a manner that avoids concerns about initiating transactions while in possession of material nonpublic information.

During the third quarter of 2024, none of our directors or officers adopted or terminated a Rule 10b5-1 trading arrangement or a non-Rule 10b5-1 trading arrangement (as defined in Item 408(c) of Regulation S-K).

 

77


Table of Contents

 

Item 6. Exhibits.

 

 

 

 

10.1*

 

Transition Agreement, dated as of August 29, 2024, between the Company and Michael Mason (incorporated by reference to Exhibit 10.1 to the Registrant’s Current Report on Form 8-K (File No. 001-36167) filed with the SEC on August 29, 2024).

 

 

 

10.2*

 

Consulting Agreement, dated as of August 29, 2024, between the Company and Michael Mason (incorporated by reference to Exhibit 10.2 to the Registrant’s Current Report on Form 8-K (File No. 001-36167) filed with the SEC on August 29, 2024).

 

 

 

31.1

 

Certification of principal executive officer pursuant to Rule 13a-14(a)/15d-14(a) of the Securities Exchange Act of 1934, as amended.

 

 

 

31.2

 

Certification of principal financial officer pursuant to Rule 13a-14(a)/15d-14(a) of the Securities Exchange Act of 1934, as amended.

 

 

 

32.1

 

Certification of principal executive officer pursuant to 18 U.S.C. §1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

 

 

 

32.2

 

Certification of principal financial officer pursuant to 18 U.S.C. §1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

 

 

 

101.INS

 

Inline XBRL Instance Document. The instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.

 

 

 

101.SCH

 

Inline XBRL Taxonomy Extension Schema Document.

 

 

 

104

 

Cover Page Interactive Data File (formatted as inline XBRL with applicable taxonomy extension information contained in Exhibits 101)

 

* Indicates a management contract or compensatory plan or arrangement.

 

 

78


Table of Contents

 

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 thereunto duly authorized.

 

KARYOPHARM THERAPEUTICS INC.

Date: November 5, 2024

By:

/s/ Richard Paulson

Richard Paulson

President and Chief Executive Officer

(Principal executive officer)

Date: November 5, 2024

By:

/s/ Michael Mason

Michael Mason

Executive Vice President, Chief Financial Officer and Treasurer

(Principal financial and accounting officer)

 

 

79