2023 Outlook: Moving forward, the company expects its cash burn rate in 2023 to continue declining as compared to 2022 due to an anticipated increase in revenue from Libmeldy product sales and ongoing management of operating expenses. The company expects R&D expenses to decrease in 2023 as compared to 2022 following the completion of pre-BLA regulatory activities for OTL-200. In addition, the company expects SG&A expenses to decrease slightly in 2023 as compared to 2022 with incremental investments in the commercialization of Libmeldy to be offset by further reductions in G&A expenses.
With the $34 million of up-front proceeds from today’s financing, the company expects that its existing cash, cash equivalents and investments will fund its anticipated operating, debt service and capital expenditure requirements into 2025, with the potential for additional runway extension upon subsequent closings from today’s financing.