8-K

 

UNITED STATES
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

Date of Report (Date of Earliest Event Reported): May 13, 2014

Sophiris Bio Inc.
__________________________________________
(Exact name of registrant as specified in its charter)

British Columbia	001-36054	98-1008712
_____________________ (State or other jurisdiction	_____________ (Commission	______________ (I.R.S. Employer
of incorporation)	File Number)	Identification No.)
1258 Prospect Street, La Jolla, California		92037
_________________________________ (Address of principal executive offices)		___________ (Zip Code)

Registrant’s telephone number, including area code: 858-777-1760

Not Applicable
______________________________________________
Former name or former address, if changed since last report

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

[  ]  Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[  ]  Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[  ]  Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[  ]  Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02 Results of Operations and Financial Condition.

On May 13, 2014, Sophiris Bio Inc. issued a press release announcing its financial results for the three months ended March 31, 2014. A copy of this press release is furnished herewith as Exhibit 99.1. Pursuant to the rule and regulations of the Securities and Exchange Commission, such exhibit and the information set forth therein and in this Item 2.02 have been furnished and shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise subject to liability under that section nor shall they be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing regardless of any general incorporation language.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits

99.1 Press release dated May 13, 2014.

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.

	Sophiris Bio Inc.
May 13, 2014	By:	/s/ Peter Slover
		Name: Peter Slover
		Title: Chief Financial Officer

Exhibit Index

Exhibit No.	Description
99.1	Press release dated May 13, 2014.

EX-99.1

Sophiris Bio Reports First Quarter Financial Results

San Diego and Vancouver, British Columbia, May 13, 2014 – Sophiris Bio Inc. (NASDAQ: SPHS) (the “Company” or “Sophiris”), a biopharmaceutical company developing a clinical-stage, targeted treatment for the symptoms of benign prostatic hyperplasia (BPH) or enlarged prostate, today announced financial results and recent key operational highlights for the three months ended March 31, 2014.

“During the first quarter we continued the enrollment in our first Phase 3 clinical study of PRX302 as a treatment for the symptoms of BPH,” stated Randall Woods, president and CEO of Sophiris Bio. “We are on track with completing enrollment of patients in the Phase 3 trial during the second half of 2014.”

Financial Results

At March 31, 2014, Sophiris had cash, cash equivalents and securities available-for-sale of $40.3 million and working capital of $33.4 million. Sophiris expects that its current cash, cash equivalents and securities available-for-sale as of March 31, 2014 will be sufficient to fund its operations for at least the next 12 months.

The Company reported a net loss of $8.5 million ($0.52 per share) for the three months ended March 31, 2014 compared to a net loss of $117,000 ($0.04 per share) for the three months ended March 31, 2013.

License Revenue

The Company recognized no license revenue during the three months ended March 31, 2014. During the three months ended March 31, 2013, the Company recorded as revenue a $5.0 million non-refundable milestone payment from Kissei upon the achievement of certain development activities, as such milestone had been achieved during the three months ended March 31, 2013.

Research and development expenses

Research and development expenses were $6.8 million for the three months ended March 31, 2014 compared to $2.9 million for the three months ended March 31, 2013. The increase in research and development costs was attributable to an increase in the costs associated with the Company’s first Phase 3 clinical trial and an increase in manufacturing activities for PRX302.

General and administrative expenses

General and administrative expenses were $1.4 million for the three months ended March 31, 2014 compared to $1.2 million for the three months ended March 31, 2013. The increase is primarily due to the increase in stock-based compensation expense from the three months ended March 31, 2013 to the three months ended March 31, 2014.

Interest expense

Interest expense was $0.2 million for the three months ended March 31, 2014 compared to $0.4 million in the same period in 2013. This decrease was due to a reduction in interest expense related to the Company’s promissory notes with Oxford Finance.

Interest income

Interest income of $17,000 was recorded for the three months ended March 31, 2014 as a result of interest earned on cash equivalents and available-for-sale securities.

Income Tax Expense

No income tax expense was recognized during the three months ended March 31, 2014. The $5.0 million milestone payment that the Company recorded from Kissei during the three months ended March 31, 2013 was subject to a 10% Japanese withholding tax. As a result, the Company recorded income tax expense of $0.5 million for the three months ended March 31, 2013.

For complete financial results, please see the Company’s website at www.sophiris.com.

About Sophiris

Sophiris Bio Inc. is a biopharmaceutical company developing a clinical-stage, targeted treatment for the symptoms of BPH, which it believes is an unsatisfied market with significant market potential. Sophiris’ lead candidate for BPH, PRX302, is designed to be as efficacious as pharmaceuticals, less invasive than the surgical interventions, and without the sexual side effects seen with existing treatments. Sophiris initiated its first Phase 3 clinical trial of PRX302 in October 2013. For more information, please visit www.sophiris.com.

Certain statements included in this press release may be considered forward-looking, including the quote of our President and CEO and any expectations relating to our Phase 3 trial of PRX302 or our capital requirements. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to be materially different from those implied by such statements, and therefore these statements should not be read as guarantees of future performance or results. All forward-looking statements are based on Sophiris’ current beliefs as well as assumptions made by and information currently available to Sophiris and relate to, among other things, anticipated financial performance, business prospects, strategies, regulatory developments, clinical trial enrollment and results, market acceptance and future commitments. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Due to risks and uncertainties, including the risks and uncertainties identified by Sophiris in its public securities filings; actual events may differ materially from current expectations. Sophiris disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Company Contact:

Peter Slover
Chief Financial Officer
(858) 777-1760

Corporate Communications and Investor Relations:

Jason Spark
Canale Communications
Corporate Communications and IR
(619) 849-6005
jason@canalecomm.com Michael Moore
Equicom Group
Investor Relations
858-886-7813
mmoore@tmxequicom.com

Source: Sophiris Bio Inc.

Sophiris Bio Inc.
(A Development Stage Company)
Condensed Consolidated Balance Sheets
(In thousands, except share amounts)
(Unaudited)

	March 31,			December 31,
	2014			2013
Assets:
Current assets:
Cash and cash equivalents	$	18,632		$	14,839
Securities available-for-sale		21,644			33,310
Other receivables		53			48
Prepaid expenses		3,882			3,598
Total current assets		44,211			51,795
Property and equipment, net		55			78
Other long-term assets		19			19
Total assets	$	44,285		$	51,892
Liabilities and shareholders’ equity:
Current liabilities:
Accounts payable	$	4,422		$	1,470
Accrued expenses		1,093			2,181
Current portion of promissory notes		5,284			6,877
Total current liabilities		10,799			10,528
Warrant liability		20			883
Stock-based compensation liability		181			202
Total liabilities		11,000			11,613
Commitments and contingencies
Shareholders’ equity:
Common shares, unlimited authorized shares, no		111,204			111,204
par value; 16,149,871 shares issued and outstanding at March 31, 2014 and December 31, 2013
Contributed surplus		15,286			13,824
Accumulated other comprehensive gain		101			98
Deficit accumulated during development stage		(93,306	)		(84,847	)
Total shareholders’ equity		33,285			40,279
Total liabilities and shareholders’ equity	$	44,285		$	51,892

Sophiris Bio Inc.
(A Development Stage Company)
Condensed Consolidated Statement of Operations and Comprehensive Loss
(In thousands, expect share and per share amounts)
(Unaudited)

							Cumulative period
							from January 11,
	Three Months Ended						2002 (date of
	March 31,						inception) to
	2014			2013			March 31, 2014
Revenues:
License revenue	$	—		$	5,000		$	8,000
Operating expenses:
Research and development		6,830			2,871			66,754
General and administrative		1,451			1,246			30,440
Total operating expenses		8,281			4,117			97,194
Other income (expense):
Interest expense		(208	)		(399	)		(4,491	)
Interest income		17			—			1,078
Gain on revaluation of warrant liability		29			—			719
Other income (expense), net		(17	)		(101	)		(603	)
Total other income (expense)		(179	)		(500	)		(3,297	)
Net income (loss) before income taxes		(8,460	)		383			(92,491	)
Income tax expense		—			(500	)		(815	)
Net loss	$	(8,460	)	$	(117	)	$	(93,306	)
	$			$
Basic and diluted loss per share		(0.52	)		(0.04	)
Weighted average number of outstanding shares – basic and diluted		16,150			3,150
Other comprehensive income (loss):
Foreign currency translation adjustment		—			108			99
Unrealized gain on securities available-for sale		3			—			2
Total other comprehensive loss	$	(8,457	)	$	(9	)	$	(93,205	)

Source: Sophiris Bio Inc.