Minerva Neurosciences, Inc.
Aug 7, 2014

Minerva Neurosciences Reports Second Quarter 2014 Financial Results

- Advanced Lead Compound MIN-101 in Phase 2 Studies for Schizophrenia and Clinical Development of MIN-202 in Insomnia -

- Management to host conference call today at 4:30 p.m. ET -

CAMBRIDGE, Mass., Aug. 7, 2014 (GLOBE NEWSWIRE) -- Minerva Neurosciences, Inc. (Nasdaq:NERV), a clinical stage biopharmaceutical company focused on the development and commercialization of a portfolio of product candidates to treat patients suffering from neuropsychiatric diseases, today reported business highlights and financial results for the second quarter ended June 30, 2014.

"During the first half of 2014 we made significant progress toward the realization of our long-term goal of improving the standard of care for and addressing the significant unmet needs of patients with neuropsychiatric diseases," commented Rogerio Vivaldi, M.D., President and Chief Executive Officer of Minerva Neurosciences. In July, Minerva successfully completed an initial public offering of its common stock, enabling the further advancement of its lead product candidate MIN-101 for schizophrenia. "The proceeds from the offering will enable us to move the development program for our lead drug candidate, MIN-101, through Phase 2 development, while continuing to advance our earlier stage programs in insomnia and other major neuropsychiatric disorders," noted Dr. Vivaldi.

Q2 Business Highlights

Upcoming Milestones:

Second Quarter 2014 Financial Results

Conference Call Information

Minerva will host a conference call and live audio webcast today at 4:30 p.m. EDT to discuss the quarter and recent business activities. To participate in the conference call, please dial (877) 312-5845 (domestic) or (765) 507-2618 (international) and refer to conference ID 82628409. The live webcast can be accessed under "Events & Presentations" in the Investors section of the Company's website at www.minervaneurosciences.com. The archived webcast will be available on the Company's website beginning approximately two hours after the event.

About Minerva Neurosciences

Minerva Neurosciences, Inc. is a clinical-stage biopharmaceutical company focused on the development and commercialization of a portfolio of product candidates to treat neuropsychiatric diseases. Minerva is developing a portfolio of first-in-class proprietary compounds, including lead compound MIN-101, which is in Phase 2 trials for schizophrenia, and additional candidates targeting major depressive disorder (MDD), insomnia and other CNS disorders. Minerva's common stock is listed on the NASDAQ Global Market where it trades under the symbol "NERV."

Forward-Looking Statements

Matters discussed in this release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward-looking statements in order to encourage companies to provide prospective information about their business. Minerva desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and is including this cautionary statement in connection with such safe harbor legislation.

Forward- looking statements relate to Minerva's expectations, beliefs, intentions or strategies regarding the future. These statements may be identified by the use of words like "anticipate," "believe," "estimate," "expect," "intend," "may," "plan," "project," "should," "seek," and similar expressions. Forward-looking statements reflect Minerva's current views and assumptions with respect to future events and are subject to risks and uncertainties.

The forward-looking statements in this release are based upon various assumptions, many of which are based, in turn, upon further assumptions, including without limitation, the advancement of, and anticipated milestones related to Minerva's product candidates and clinical studies, and anticipated milestones for 2014. Although Minerva believes that these assumptions were reasonable when made, because these assumptions are inherently subject to significant uncertainties and contingencies which are difficult or impossible to predict and are beyond Minerva's control, Minerva cannot assure you that it will achieve or accomplish these expectations, beliefs or projections described in the forward- looking statements contained herein. Actual and future results and trends could differ materially from those set forth in such statements.

Among the factors that could cause actual results to differ materially include the initiation, timing, cost, progress and success of our research and development, pre-clinical studies and clinical trials; developments relating to our competitors and our industry, including the success of competing therapies that are or may become available, our ability to advance product candidates into, and successfully complete, clinical trials and other factors identified from time-to-time in reports filed with the Securities and Exchange Commission. Other risks and uncertainties, and other important factors, any of which could cause Minerva's actual results to differ from those contained in the forward-looking statements are further described in reports filed by Minerva with the U.S. Securities and Exchange Commission. All information in this press release is as of the date of the release, and Minerva undertakes no duty to update this information unless required by law.

Minerva Neurosciences, Inc.

CONDENSED CONSOLIDATED BALANCE SHEET DATA
(Unaudited)
 June 30,December 31,
 20142013
 (in thousands) 
ASSETS    
Current Assets:    
Cash and cash equivalents $480 $1,818
Prepaid expenses 33 1
Total current assets $513 $1,819
Equipment, net 27 3
In-process research and development 34,200 19,000
Goodwill 15,104 7,918
Deferred public offering costs 3,112 434
Total Assets $52,956 $29,174
     
LIABILITIES AND STOCKHOLDERS' DEFICIT    
Current Liabilities:    
Accounts payable $4,325 $523
Accrued expenses and other current liabilities 2,338 815
Convertible promissory notes 2,007 58
Loans payable 1,383 -----
Derivative liability ----- 10
Total current liabilities $10,053 $1,406
Long-Term Liabilities:    
Deferred taxes 13,669 7,589
Total liabilities $23,722 $8,995
Stockholders' Deficit:    
Common stock 1 1
Additional paid-in capital 69,367 38,008
Accumulated deficit (40,134) (17,830)
Total stockholders' deficit $ 29,234 $ 20,179
Total Liabilities and Stockholders' Deficit $52,956 $29,174
 
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
         
 Three Months Ended June 30Six Months Ended June 30
 (in thousands, except(in thousands, except
 per share amounts)per share amounts)
 2014201320142013
         
Revenues $ ----- $ -----  $ ----- $ -----
Operating expenses:        
Research and development (1) 14,555 250 15,140 354
General and administrative (2) 3,095 129 5,133 296
Total operating expenses 17,650 379 20,273 650
         
Foreign exchange gains (10) ----- (4) -----
Interest expense, net 1,726 ----- 2,036 -----
Interest income, net ----- (3) (1) (3)
Net loss $ 19,366 $376 $22,304 $647
Loss per share:        
Basic and diluted (3) $2.55 $0.10 $3.07 $0.17
Weighted average shares:        
Basic and diluted 7,605 3,917 7,256 3,741
         
(1) Excluding non-cash stock-based compensation, research and development expenses for the three months ended June 30, 2014 and 2013 were $1,589 and $250, respectively, and for the six months ended June 30, 2014 and 2013 were $2,174 and $354, respectively.
(2)  Excluding non-cash stock-based compensation, general and administrative expenses for the three months ended June 30, 2014 and 2013 were $1,547 and $129, respectively, and for the six months ended June 30, 2014 and 2013 were $3,282 and $296, respectively.
(3) Loss per share for the three and six months ended June 30, 2014 includes non-cash stock compensation expense of $14.5 million and $14.8 million, respectively, and non-cash amortization related to the Company's convertible promissory notes of $1.7 million and $1.9 million, respectively.
CONTACT: Media contact:

         Jennifer Ringler

         Berry & Company Public Relations

         212.253.8881

         jringler@berrypr.com

         

         Investor contact:

         Renee Leck

         Stern Investor Relations, Inc.

         212.362.1200

         renee@sternir.com