Last years burn rate was about $2.3MM/qtr not including trial costs. The additional 10 employees from SCRMI is said to run $2MM/year plus more trial sites are up so I would assume it is likely to be more. How much more should be coming when ACT discloses "first ever complete annual budget process"(Dec 12 Blog) My views on financing are below recently posted elsewhere...
(From RC)
Financing: The questions have been based on whether ACT MAY draw down soon or already have and would we know?
Would we know? The last two , June 16 and Sept 22nd draws were done prior to the respective quarters being done and we found out when filings came out much later. We ended 3rd qtr with $13.9MM, that was over 4 months ago. Since Rabin came on board he has always kept the Cash on hand well over $10MM usually taking draws prior to filing the financials. Given our recent circumstances I really don't know if that happened this time around. If it did it most likely went off at .16 or more as others have. We are in a long lull time period between 3rd qtr and upcoming 10K. I will end by saying if a draw has not been transacted prior to proxy I would expect one soon, that is jmo...thanks
(1st qtr CC of 2011)
For 2011 we expect to utilize approximately 9 to 10 million dollars of cash in operations, a small increase in 2010's use of 8.8 million dollars. This is exclusive of the cost of the RPE trials. We had previously been guiding the costs for phase 1 of both trials to total 8-11 millions dollars, but now based on our actual negotiations for the CRO and data management functions, and the surgical work and followup care, we are reducing this estimate to 5-7m dollars over the entire 12 month duration of phase 1, about 75% of which will be spent in 2011. This means that we have sufficient cash on hand to last the company through 2011 without drawing on any of the equity commitment that is in place, and also assumes that we were to pay for all of the trial costs ourselves, without any grants or other non-dilutive capital, a situation we consider unlikely.
