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SEC Filings

OREXIGEN THERAPEUTICS, INC. filed this Form 10-Q on 05/12/2017
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In addition, past and future acquisitions may entail numerous operational and financial risks, including:


exposure to unknown liabilities;


disruption of our business and diversion of our management’s time and attention to develop acquired products or technologies;


substantial debt or dilutive issuances of securities to pay for acquisitions;


higher than expected acquisition and integration costs;


increased amortization expenses;


difficulty and cost in combining the operations and personnel of any acquired businesses with our operations and personnel;


impairment of relationships with key suppliers or customers of any acquired businesses due to changes in management and ownership; and


inability to retain key employees of any acquired businesses.

Further, any product candidate that we have or may in the future acquire may require additional development efforts prior to commercial sale, including extensive clinical testing and approval by the FDA and applicable foreign regulatory authorities. For example, in 2015, we in-licensed from Bath University the rights to two families of opioid molecules. We are currently conducting experiments to replicate the findings of the initial academic research performed. All product candidates, including these opioid molecules, are prone to risks of failure typical of pharmaceutical product development, including the possibility that a product candidate will not be shown to be sufficiently safe and effective for approval by regulatory authorities. In addition, we cannot provide assurance that any products that we develop or approved products that we may acquire will be commercialized profitably or achieve market acceptance.

Delays in the commencement, the transfer and delivery of clinical trial information, the transition of clinical trials or completion of clinical trials or the requirement to conduct additional clinical trials could result in increased costs to us and delay or limit our ability to continue development programs, maintain or receive additional regulatory approvals and/or generate revenues.

Delays in the commencement, the transfer and delivery of clinical trial information, the transition of clinical trials, including the transition of any post-marketing studies from Takeda to us, or completion of clinical trials could significantly affect our product development costs or adversely impact our ability to maintain or receive additional regulatory approvals. We do not know whether clinical trials will begin on time or whether clinical trials will be completed on schedule, if at all. The commencement, transfer and delivery of clinical trial information, the transition of clinical trials and completion of clinical trials can be delayed for a number of reasons, including delays related to:


obtaining regulatory approval to commence a clinical trial, including regulatory approval of the design of a clinical trial;


reaching agreement on acceptable terms with prospective contract research organizations, or CROs, and trial sites, the terms of which can be subject to extensive negotiation and may vary significantly among different CROs and trial sites;


manufacturing sufficient quantities of a product for use in clinical trials;


obtaining institutional review board, or IRB, approval to conduct a clinical trial at a prospective site;


recruiting and enrolling patients to participate in clinical trials for a variety of reasons, including competition from other clinical trial programs for the treatment of obesity or similar indications and the restrictions imposed by the design and length of a clinical trial;


retaining patients who have initiated a clinical trial, but may be prone to withdraw due to side effects from the therapy, lack of efficacy or personal issues, or who are lost to further follow-up; and


timely collection, review and analysis of our clinical trial data.

A clinical trial may be suspended or terminated by us, a development partner, the FDA (or an equivalent regulatory authority outside the United States), the IRB overseeing the clinical trial at issue, any of our clinical trial sites with respect to that site, or other regulatory authorities due to a number of factors, including:


failure to conduct the clinical trial in accordance with regulatory requirements or our clinical protocols;


lack of adequate funding or other resources to continue the clinical trial;