Latigo reports first earnings since going public, highlights successful IPO
In its first earnings report since going public, Latigo Biotherapeutics highlighted the success of its upsized initial public offering, including full exercise of the underwriters’ option to purchase additional shares, raising gross proceeds of $397.4 million.
Based in Thousand Oaks, Latigo Biotherapeutics is a pre-revenue, clinical-stage biopharmaceutical company committed to developing innovative non-opioid pain medicines.
The company noted that thanks to its Aug. 6 IPO as well as its current funds on hand, Latigo can fund operations through 2029. Latigo said that cash and cash equivalents were $55 million as of June 30.
Shares began trading on the Nasdaq Global Select Market on Aug. 7 under the stock ticker “LTGO.” Goldman Sachs & Co. LLC, Jefferies, Leerink Partners and Guggenheim Securities are acting as joint book-running managers for the offering.
During the quarter, the company also expanded its leadership team, adding Naomi Lowy, the former deputy director of the FDA Division of Anesthesia, Addiction Medicine and Pain Medicine, as its senior vice president of global regulatory affairs.
Latigo shares closed at $22.60 on Sept. 9, a 25% increase from its $18 IPO price.
“This has been a significant period for Latigo as we completed our upsized initial public offering, published positive onzotrigine abdominoplasty results in moderate-to-severe acute pain in The New England Journal of Medicine, and continued to advance our pipeline of innovative pain programs,” said Nima Farzan, CEO of Latigo. “With a strong balance sheet, a highly experienced team and a portfolio of differentiated programs, we are focused on executing our development plans, including the initiation of the Phase 3 program for onzotrigine and the advancement of onzotrigine and LTG-321 toward key future milestones.”
Research and development expenses were $21.2 million for the three months ended June 30, as compared to $22.9 million for the three months ended June 30, 2025. General and administrative expenses were $4.6 million for the three months ended June 30, as compared to $2.8 million for the three months ended June 30, 2025.
As a result, Latigo reported a net loss of $25.8 million for the three months ended June 30, 2026 and 2025, with non-cash stock-based compensation expenses of $2.1 million and $1.7 million for the three months ended June 30, 2026 and 2025, respectively.
Regarding its pipeline, Latigo said LTG-321 initiated a randomized, double-blind, placebo-controlled, within-patient crossover Phase 2 clinical trial of LTG-321 in approximately 120 patients with osteoarthritis of the knee, evaluating the safety and efficacy of once-daily LTG-321.
The trial is being conducted at multiple sites in Denmark, with enrollment underway and is expected to report topline results from the Phase 2 clinical trial in the second half of 2027.
During the quarter, The New England Journal of Medicine published positive clinical trial results for onzotrigine in moderate-to-severe pain following abdominoplasty. The study met its primary endpoint of the Summed Pain Intensity Difference over 48 hours versus placebo with high statistical significance and demonstrated rapid, clinically meaningful pain relief, favorable tolerability and opioid-sparing potential. This marks only the second original research publication in NEJM reporting clinical results for a novel drug for acute pain in the last 15 years.
The company plans to initiate a randomized, double-blind, placebo-controlled Phase 3 clinical trial in patients with moderate-to-severe acute pain after bunionectomy surgery as well as a single-arm, open-label Phase 3 safety trial in the second half of 2026.
The company expects to report topline results from the Phase 3 bunionectomy and open-label safety clinical trials in the second half of 2027.
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