SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
---------------------------
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
October 20, 1998
Date of Report (Date of earliest event reported)
AVAX TECHNOLOGIES, INC.
(Exact name of Registrant as specified in its charter)
Delaware 000-29222 13-3575874
(State or other jurisdiction (Commission File Number) (IRS Employer
of incorporation) Identification Number)
4520 Main Street
Suite 930
Kansas City, MO 64111
(Address of principal executive offices)
(816) 960-1333
(Registrant's telephone number, including area code)
Page 1 of 6 Pages
Exhibit Index Appears at Page 3
<PAGE>
Item 5. Other Events
AVAX Technologies, Inc. (the "Company") announced on October 20,
1998 its results for the third quarter ended September 30, 1998 (the "Quarter"),
reporting a net loss of $1.4 million, or $.19 per share, for the Quarter versus
a loss of $0.8 million, or 21 cents per share, for the third quarter ended
September 30, 1997.
Reference is made to the Company's related press release attached
hereto as Exhibit 99.20 and incorporated by reference herein (including, without
limitation, the information set forth in the cautionary statement contained in
the final paragraph of the press release).
Item 7. Financial Statements, Pro Forma Financial Statements and Exhibits
(c) Exhibit:
99.20 Press Release dated October 20, 1998.
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 hereunto duly authorized.
AVAX TECHNOLOGIES, INC.
Date: October 23, 1998
By: /s/ Jeffrey M. Jonas
----------------------------------------
Name: Jeffrey M. Jonas, M.D.
Title: President and Chief Executive Officer
2
<PAGE>
Exhibit Index
Exhibit Number Description
- -------------- -----------
99.20 Press Release dated October 20, 1998.
3
EXHIBIT 99.20
Contact Jeffrey M. Jonas, MD Thomas Redington
Chief Executive Officer 203/222-7399
816/960-1333 212/926-1733
AVAX REPORTS THIRD QUARTER 1998 RESULTS
KANSAS CITY, MO October 20, 1998 -- AVAX Technologies, Inc. (Nasdaq:
AVXT) announced results for the third quarter ended September 30, 1998.
The company reported a net loss of $1.4 million, or 19 cents per
share, for the third quarter ended September 30, 1998 versus a net loss of
$0.8 million, or 21 cents per share, for the third quarter ended September
30, 1997.
Research and development expenses for the three-month period
increased to $1,001,479 from $508,298, and general and administrative
expenses increased to $589,290 from $562,826, for the same period last
year.
Other income, primarily interest income, decreased to $174,737 from
$229,637 for the year-ago period. There were 7,376,344 and 4,082,061
weighted average common shares outstanding for the third quarters of 1998
and 1997, respectively.
The increase in research and development expense was planned and,
according to Jeffrey M. Jonas, MD, president and chief executive officer
of AVAX, "continues to reflect increased clinical activity with the
company's initial AC Vaccine(TM) for melanoma and ovarian cancers,
increased operating costs relating to the Class 10,000 `clean room'
laboratory established by the company in 1997 for clinical manufacturing
of the vaccine, and increased preclinical activity related to the
company's topoisomerase inhibitor and anti-estrogen technologies
At September 30, 1998, cash, cash equivalents and marketable
securities totaled approximately $11.7 million.
AVAX Technologies, Inc. is a development-stage biopharmaceutical
company that acquires rights to and is developing technologies and
products for the treatment of cancer and other life-threatening diseases.
The company has focused its initial clinical efforts primarily on the
development of immunotherapies and chemotherapies for cancer.
Immunotherapy is a rapidly developing segment of the therapeutic market.
4
<PAGE>
AVAX Technologies, Inc.
(a development stage company)
SUMMARY OF FINANCIAL DATA
The following table presents certain summary historical financial information
derived from the financial statements of the Company. The summary is qualified
in its entirety by, and should be read in conjunction with, "Management's
Discussion and Analysis of Financial Condition and Plan of Operation", and the
Financial Statements (including the notes thereto) of the Company included in
the Company's periodic filings with the Securities and Exchange Commission.
<TABLE>
<CAPTION>
Year Ended December Three Months Ended September 30,
31, 1997 1997 1998
-------- ---- ----
(Unaudited) (Unaudited)
----------- -----------
<S> <C> <C> <C>
Statement of Operations Data:
Total operating loss .............. $(5,172,983) $(1,071,124) $(1,590,769)
Net loss .......................... (4,266,125) (841,487) (1,416,032)
Net loss attributable to common
stockholders ...................... (4,266,125) (841,487) (1,416,032)
Net loss per common share ......... (1.14) (.21) (.19)
Weighted average number of
shares outstanding ................ 3,750,440 4,082,061 7,376,344
</TABLE>
December 31, 1997 September 30, 1998
----------------- ------------------
Balance Sheet Data:
Cash and cash equivalents .......... $ 6,820,884 $ 323,842
Marketable securities .............. 9,102,028 11,366,215
Total current assets ............... 17,277,841 11,889,502
Total assets ....................... 17,354,833 11,978,017
Amount payable to preferred
stockholders ....................... 1,150,200 --
Amount payable to former officer ... 49,800 --
Total current liabilities .......... 1,553,726 350,840
Deficit accumulated during
development stage .................. (7,520,147) (11,895,913)
Stockholders' equity ............... 15,801,107 11,627,177
5
<PAGE>
Except for statements that are historical, the statements in this
release are "forward-looking" statements that are made pursuant to the
safe harbor provisions of the Private Securities Litigation Reform Act of
1995 and Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934. Forward-looking statements involve
significant risks and uncertainties, and in light of the significant
uncertainties inherent in such statements, the inclusion of such
information should not be regarded as a representation by AVAX that the
objectives and plans of the company will be achieved; in fact, actual
results could differ materially from those contemplated by such
forward-looking statements. Many important factors affect the company's
ability to achieve the stated outcomes and to successfully develop and
commercialize its product candidates, including, among other things, the
ability to obtain substantial additional funds, obtain and maintain all
necessary patents or licenses, to demonstrate the safety and efficacy of
product candidates at each state of development, to meet applicable
regulatory standards and receive required regulatory approvals, to meet
obligations and required milestones under its license agreements, to be
capable of producing drug candidates in commercial quantities at
reasonable costs, to compete successfully against other products, and to
market products in a profitable manner, as well as other risks detailed
from time to time in AVAX's public disclosure filings with the Securities
and Exchange Commission, including, without limitation, its Annual Report
on Form 10-KSB for the fiscal year ended December 31, 1997 and its
Quarterly Reports on Form 10-QSB. AVAX does not undertake any obligation
to publicly release any revisions to these forward-looking statements or
to reflect the occurrence of unanticipated events.
6
