EX-99.1 2 d924652dex991.htm EX-99.1 EX-99.1

Exhibit 99.1

UNAUDITED PRO FORMA FINANCIAL INFORMATION

On March 25, 2025 (the “Closing Date”), Whitehawk Therapeutics, Inc. (the “Company”) completed the previously announced sale of 100% of the outstanding shares of capital stock of Aadi Subsidiary, Inc. (the “Divestiture”) pursuant to the Stock Purchase Agreement (the “Purchase Agreement”) entered into with KAKEN INVESTMENTS INC., a Delaware corporation (“Purchaser”), KAKEN PHARMACEUTICAL CO., LTD, and Aadi Subsidiary, Inc. on December 19, 2024. In accordance with the Purchase Agreement, upon the closing of the Divestiture, Purchaser paid to the Company a cash payment of $102.4 million (following applicable purchase price adjustments under the Purchase Agreement). Among other customary closing conditions, the Divestiture was contingent upon obtaining stockholder approval, which occurred on February 28, 2025.

The following unaudited pro forma consolidated financial statements are intended to show how the Divestiture might have affected the historical financial statements of the Company if the Divestiture had been completed at an earlier time as indicated therein, and such unaudited pro forma consolidated financial statements are derived from, and should be read in conjunction with, the Company’s historical consolidated financial statements and notes thereto, as presented in the Company’s Annual Report on Form 10-K filed for the fiscal year ended December 31, 2024 filed with the Securities and Exchange Commission on March 28, 2025 (the “Form 10-K”).

The unaudited pro forma consolidated financial information has been prepared in accordance with Article 11 of Regulation S-X. The unaudited pro forma condensed consolidated balance sheet as of December 31, 2024 assumes the Divestiture had occurred on December 31, 2024. The unaudited pro forma condensed consolidated statement of operations for the year ended December 31, 2024 gives effect to the transaction as if it had occurred as of January 1, 2024.

In addition, Regulation S-X permits registrants to reflect adjustments that depict synergies and dis-synergies of the acquisitions and dispositions for which pro forma effect is being given in the Company’s disclosures as management adjustments. The Company has determined not to disclose such adjustments because it does not believe that presentation of such adjustments would enhance an understanding of the pro forma effects of the Divestiture.

The accounting adjustments to reflect the Divestiture in the unaudited pro forma consolidated financial statements include:

 

   

the sale of the assets related to the FYARRO® (sirolimus protein-bound particles for injectable suspension) (albumin-bound) program pursuant to the Purchase Agreement; and

 

   

receipt of the cash proceeds that were payable on the Closing Date in connection with the Divestiture.

The unaudited pro forma consolidated financial statement information is presented for informational purposes only and is based upon estimates by the Company’s management, which are based upon available information and certain assumptions that the Company’s management believes are reasonable as of the date of this filing. The unaudited pro forma consolidated financial statements are not intended to be indicative of the actual financial position or results of operations that would have been achieved had the Divestiture been consummated as of the periods indicated, nor does it purport to indicate results which may be attained in the future. Actual amounts could differ materially from these estimates.

The unaudited pro forma consolidated balance sheet as of December 31, 2024 and the unaudited pro forma consolidated statement of operations for the year ended December 31, 2024 should be read in conjunction with the notes thereto.


WHITEHAWK THERAPEUTICS, INC.

PRO FORMA CONDENSED CONSOLIDATED BALANCE SHEETS

(In thousands, except share amounts)

(Unaudited)

 

     As of December 31, 2024  
     Historical
Whitehawk Therapeutics, Inc.
(As reported) (A)
    Transaction Accounting
Adjustments (B)
    Transaction Accounting
Adjustments
    Notes      Pro Forma
Whitehawk Therapeutics, Inc.
 

Assets

           

Current assets:

           

Cash and cash equivalents

   $ 28,670     $ —      $ 102,420       C      $ 131,090  

Short-term investments

     18,567       —        —           18,567  

Accounts receivable, net

     5,903       (5,903     —           —   

Inventory

     5,311       (5,311     —           —   

Prepaid expenses and other current assets

     2,836       (1,427     —           1,409  
  

 

 

   

 

 

   

 

 

      

 

 

 

Total current assets

     61,287       (12,641     102,420          151,066  

Property and equipment, net

     6,846       (6,774     —           72  

Operating lease right-of-use assets

     787       (754     —           33  

Other assets

     1,399       (64     —           1,335  
  

 

 

   

 

 

   

 

 

      

 

 

 

Total assets

   $ 70,319     $ (20,233   $ 102,420        $ 152,506  
  

 

 

   

 

 

   

 

 

      

 

 

 

Liabilities and stockholders’ equity

           

Current liabilities:

           

Accounts payable

   $ 2,159     $ (1,940   $ —         $ 219  

Accrued liabilities

     14,647       (8,275     3,765       D        10,137  

Operating lease liabilities, current portion

     268       (229     —           39  

Due to licensor payable

     —        —        —           —   
  

 

 

   

 

 

   

 

 

      

 

 

 

Total current liabilities

     17,074       (10,443     3,765          10,396  

Operating lease liabilities, net of current portion

     565       (565     —           0  

Other liabilities

     202       —        —           202  
  

 

 

   

 

 

   

 

 

      

 

 

 

Total liabilities

     17,841       (11,008     3,765          10,598  

Stockholders’ equity:

           

Common stock, $0.0001 par value, 300,000,000 shares authorized; 24,680,708 and 24,554,205 shares issued and outstanding as of December 31, 2024 and 2023, respectively

     2       —        —           2  

Additional paid-in capital

     385,114       —        —           385,114  

Accumulated other comprehensive income (loss)

     16       —        —           16  

Accumulated deficit

     (332,654     (9,225     9,225          (243,224
         (3,765     D     
         93,195       E     
  

 

 

   

 

 

   

 

 

      

 

 

 

Total stockholders’ equity

     52,478       (9,225     98,655          141,908  
  

 

 

   

 

 

   

 

 

      

 

 

 

Total liabilities and stockholders’ equity

   $ 70,319     $ (20,233   $ 102,420        $ 152,506  
  

 

 

   

 

 

   

 

 

      

 

 

 

 

A

As reported in the Annual Report on Form 10-K filed by the Company with the SEC on March 27, 2025.

 

B

Reflects the sale of the Business pursuant to the Stock Purchase Agreement, as if the transaction had occurred on December 31, 2024.

 

C

Reflects cash proceeds for the sale of Aadi Subsidiary, Inc

 

D

Reflects transaction costs not incurred as of December 31, 2024.

 

E

Reflects the estimated gain on the sale of Aadi Subsidairy, Inc. as if the sale occurred on December 31, 2024.


WHITEHAWK THERAPEUTICS, INC.

PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS

(In thousands, except share data and earnings per share amounts)

(Unaudited)

 

    Twelve months ended December 31, 2024  
    Historical
Whitehawk Therapeutics, Inc.
(As reported)
    Transaction Accounting
Adjustments (A)
    Pro Forma
Whitehawk Therapeutics, Inc.
 

Revenue

   

Product sales, net

  $ 25,983     $ (25,983   $ —   
 

 

 

   

 

 

   

 

 

 

Total Revenue

    25,983       (25,983     —   
 

 

 

   

 

 

   

 

 

 

Operating expenses

     

Selling, general and administrative

    36,749       (18,169     18,580  

Research and development

    51,030       (40,457     10,573  

Restructuring charges

    2,638       (2,638     —   

Cost of goods sold

    3,024       (3,024     —   
 

 

 

   

 

 

   

 

 

 

Total operating expenses

    93,441       (64,287     29,154  
 

 

 

   

 

 

   

 

 

 

Loss from operations

    (67,458     38,304       (29,154

Other income (expense)

     

Foreign exchange loss

    (4     —        (4

Interest income

    3,925       —        3,925  

Interest expense

    (154     154       —   
 

 

 

   

 

 

   

 

 

 

Total other income (expense), net

    3,767       154       3,921  
 

 

 

   

 

 

   

 

 

 

Loss before income tax expense

    (63,691     38,458       (25,233

Income tax expense

    —        —     
 

 

 

   

 

 

   

 

 

 

Net loss

  $ (63,691   $ 38,458     $ (25,233
 

 

 

   

 

 

   

 

 

 

Net loss per share, basic and diluted

  $ (2.36     $ (0.93
 

 

 

   

 

 

   

 

 

 

Weighted average number of common shares outstanding, basic and diluted

    27,029,942         27,029,942  
 

 

 

   

 

 

   

 

 

 

 

A

Reflects the sale of the Business pursuant to the Stock Purchase Agreement, as if the transaction had occurred on January 1, 2024.