View Filing Data

Property and equipment, net

31,880

33,015

35,817

8,595

Intangible assets, net

452

754

Restricted cash

4,299

1,299

Other long-term assets

2,238

244

Total assets

733,997

773,855

Current liabilities:

Accounts payable

23,503

12,338

Total current liabilities

14,497

17,121

38,000

29,459

Lease liability, noncurrent

34,867

34,456

Other long-term liabilities

5,495

6,776

Total liabilities

78,362

70,691

Commitments and Contingencies (Notes 6 and 7)

Stockholders’ equity:

Preferred stock, $0.001 par value: 10,000,000 shares authorized as of June 30, 2019 and December 31, 2018; no shares were issued and outstanding as of June 30, 2019 and December 31, 2018

Common stock, $0.001 par value: 200,000,000 shares authorized as of June 30, 2019 and December 31, 2018; 121,631,278 and 121,482,671 shares issued and outstanding as of June 30, 2019 and December 31, 2018, respectively

122

121

Additional paid-in capital

937,709

914,265

Accumulated deficit

(284,357)

(211,528)

Accumulated other comprehensive income

2,161

306

Total stockholders’ equity

655,635

703,164

Total liabilities and stockholders’ equity

$ 733,997

$ 773,855

[1]	The balance sheet as of December 31, 2018 is derived from the audited financial statements as of that date.

Condensed Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2019	Dec. 31, 2018
Statement of Financial Position [Abstract]
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized (in shares)	10,000,000	10,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	200,000,000	200,000,000
Common stock, shares issued (in shares)	121,631,278	121,482,671
Common stock, shares outstanding (in shares)	121,631,278	121,482,671

Condensed Statements of Operations and Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2019	Jun. 30, 2018	Jun. 30, 2019	Jun. 30, 2018
Operating expenses:
Research and development	$ 31,774	$ 122,486	$ 55,177	$ 122,486
General and administrative	14,187	12,526	27,245	15,123
Total operating expenses	45,961	135,012	82,422	137,609
Loss from operations	(45,961)	(135,012)	(82,422)	(137,609)
Interest and other income, net	4,559	110	9,384	110
Loss before income taxes	(41,402)	(134,902)	(73,038)	(137,499)
Benefit from income taxes	159	0	209	0
Net loss	(41,243)	(134,902)	(72,829)	(137,499)
Other comprehensive income:
Net unrealized gain on available-for-sale investments, net of tax	756	0	1,855	0
Net comprehensive loss	$ (40,487)	$ (134,902)	$ (70,974)	$ (137,499)
Net loss per share, basic and diluted (in dollars per share)	$ (0.41)	$ (43.82)	$ (0.74)	$ (9.42)
Weighted-average number of shares used in computing net loss per share, basic and diluted (in shares)	99,846,946	3,078,783	98,588,410	14,600,379

Condensed Statement of Stockholders' Equity (Deficit) - USD ($)
$ in Thousands

Total

Subscription Receivable from Preferred Stockholders

Common Stock

Notes Receivable from Common Stockholders

Additional Paid-in Capital

Accumulated Deficit

Accumulated Other Comprehensive Income

Series A Convertible Preferred Stock

Convertible Preferred Stock

Series A Convertible Preferred Stock Convertible Preferred Shares

Convertible Preferred Stock

Convertible preferred stock, beginning balance (in shares) at Dec. 31, 2017

Convertible preferred stock, beginning balance at Dec. 31, 2017

$ 0

Beginning balance (in shares) at Dec. 31, 2017

26,249,993

Beginning balance at Dec. 31, 2017

$ (2)

$ 0

$ 26

$ (5)

$ 0

$ (23)

$ 0

Increase (Decrease) in Stockholders' Equity [Roll Forward]

Issuance of Series A convertible preferred stock, net (in shares)

7,557,990

998,225

Issuance of Series A convertible preferred stock, net

$ 264,365

$ 34,917

Issuance of Series A-1 convertible preferred stock in connection with asset acquisition, net (in shares)

3,187,772

Issuance of Series A-1 convertible preferred stock in connection with asset acquisition, net

$ 111,770

Subscriptions receivable from preferred stockholders

(150,000)

(150)

Proceeds received from common stockholders for issuance of founders' stock at inception

Issuance of common stock upon exercise of stock options (in shares)

1,464,750

Issuance of common stock upon exercise of stock options

$ 1

Net unrealized gain on available-for-sale investments

8,056

Adjustment for fractional shares from forward stock split

(1)

(2)

Convertible preferred stock, ending balance (in shares) at Jun. 30, 2018

11,743,987

Convertible preferred stock, ending balance at Jun. 30, 2018

$ 411,052

Ending balance at Jun. 30, 2018

(129,440)

(150)

$ 28

8,054

(137,522)

Ending balance (in shares) at Jun. 30, 2018

27,714,743

Increase (Decrease) in Stockholders' Equity [Roll Forward]

Convertible preferred stock, beginning balance (in shares) at Mar. 31, 2018

(137,499)

Convertible preferred stock, beginning balance at Mar. 31, 2018

$ 0

Beginning balance (in shares) at Mar. 31, 2018

26,249,993

Beginning balance at Mar. 31, 2018

(2,594)

$ 26

(2,620)

Increase (Decrease) in Stockholders' Equity [Roll Forward]

Issuance of Series A convertible preferred stock, net (in shares)

7,557,990

998,225

Issuance of Series A convertible preferred stock, net

$ 264,365

$ 34,917

Issuance of Series A-1 convertible preferred stock in connection with asset acquisition, net (in shares)

3,187,772

Issuance of Series A-1 convertible preferred stock in connection with asset acquisition, net

$ 111,770

Subscriptions receivable from preferred stockholders

(150)

Issuance of common stock upon exercise of stock options (in shares)

1,464,750

Issuance of common stock upon exercise of stock options

$ 1

Net unrealized gain on available-for-sale investments

8,056

Adjustment for fractional shares from forward stock split

(1)

(2)

Convertible preferred stock, ending balance (in shares) at Jun. 30, 2018

11,743,987

Convertible preferred stock, ending balance at Jun. 30, 2018

$ 411,052

Ending balance at Jun. 30, 2018

(129,440)

(150)

$ 28

8,054

(137,522)

Ending balance (in shares) at Jun. 30, 2018

27,714,743

Increase (Decrease) in Stockholders' Equity [Roll Forward]

Convertible preferred stock, beginning balance (in shares) at Dec. 31, 2018

$ (134,902)

(134,902)

Convertible preferred stock, beginning balance at Dec. 31, 2018

$ 0

Beginning balance (in shares) at Dec. 31, 2018

121,482,671

Beginning balance at Dec. 31, 2018

$ 703,164

^[1]

$ 121

914,265

(211,528)

306

Increase (Decrease) in Stockholders' Equity [Roll Forward]

Subscriptions receivable from preferred stockholders

$ 0

Issuance of common stock upon exercise of stock options (in shares)

103,958

Issuance of common stock upon exercise of stock options

$ 237

$ 1

236

Vesting of early exercised common stock

3,170

Employee stock purchase plan (in shares)

19,354

44,649

Employee stock purchase plan

684

Net unrealized gain on available-for-sale investments

1,855

Convertible preferred stock, ending balance (in shares) at Jun. 30, 2019

Convertible preferred stock, ending balance at Jun. 30, 2019

$ 0

Ending balance at Jun. 30, 2019

$ 655,635

$ 122

937,709

(284,357)

2,161

Ending balance (in shares) at Jun. 30, 2019

121,631,278

Increase (Decrease) in Stockholders' Equity [Roll Forward]

Convertible preferred stock, beginning balance (in shares) at Mar. 31, 2019

$ (72,829)

(72,829)

Convertible preferred stock, beginning balance at Mar. 31, 2019

$ 0

Beginning balance (in shares) at Mar. 31, 2019

121,527,320

Beginning balance at Mar. 31, 2019

681,228

$ 121

922,816

(243,114)

1,405

Increase (Decrease) in Stockholders' Equity [Roll Forward]

Issuance of common stock upon exercise of stock options (in shares)

103,958

Issuance of common stock upon exercise of stock options

237

$ 1

236

Vesting of early exercised common stock

3,170

Net unrealized gain on available-for-sale investments

11,487

756

Convertible preferred stock, ending balance (in shares) at Jun. 30, 2019

Convertible preferred stock, ending balance at Jun. 30, 2019

$ 0

Ending balance at Jun. 30, 2019

$ 655,635

$ 0

$ 122

$ 0

$ 937,709

(284,357)

$ 2,161

Ending balance (in shares) at Jun. 30, 2019

121,631,278

Increase (Decrease) in Stockholders' Equity [Roll Forward]

Investments, All Other Investments [Abstract]

$ (41,243)

[1]	The balance sheet as of December 31, 2018 is derived from the audited financial statements as of that date.

Condensed Statements of Stockholders' Equity (Deficit) (Parenthetical) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2018 USD ($) $ / shares	Jun. 30, 2018 USD ($) $ / shares
Series A Convertible Preferred Stock \| Convertible Preferred Stock
Preferred stock, par value (in dollars per share) \| $ / shares	$ 35.06	$ 35.06
Offering costs \| $	$ 635	$ 635
Series A Convertible Preferred Stock Convertible Preferred Shares \| Convertible Preferred Stock
Preferred stock, par value (in dollars per share) \| $ / shares	$ 35.06	$ 35.06
Offering costs \| $	$ 84	$ 84

Condensed Statement of Cash Flows - USD ($) $ in Thousands	6 Months Ended
Condensed Statement of Cash Flows - USD ($) $ in Thousands	Jun. 30, 2019	Jun. 30, 2018
Cash flows from operating activities:
Net loss	$ (72,829)	$ (137,499)
Adjustments to reconcile net loss to net cash used in operating activities:
Acquired in-process research and development	0	109,436
Stock-based compensation	19,354	8,056
Amortization of other intangible assets acquired	301	151
Depreciation and amortization	1,543	299
Net amortization/accretion on investment securities	(2,285)	0
Non-cash rent expense	1,548	0
Deferred income taxes	(209)	0
Changes in operating assets and liabilities:
Prepaid expenses and other current assets	(521)	(337)
Other long-term assets	(1,993)	0
Accounts payable	1,332	1,268
Accrued and other current liabilities	(107)	12,584
Other long-term liabilities	(1,282)	0
Net cash used in operating activities	(55,148)	(6,042)
Cash flows from investing activities:
Purchases of property and equipment	(18,279)	(536)
Cash paid for acquisition of assets	0	(2,098)
Proceeds from maturities of investments	197,415	0
Purchase of investments	(101,756)	0
Net cash provided by (used in) investing activities	77,380	(2,634)
Cash flows from financing activities:
Proceeds from issuance of convertible preferred stock, net of issuance costs	0	149,282
Proceeds from issuance of common stock and upon exercise of stock options	236	3,321
Proceeds from employee stock purchase plan	684	0
Net cash provided by financing activities	920	152,603
Net increase in cash, cash equivalents and restricted cash	23,152	143,927
Cash, cash equivalents and restricted cash — beginning of period	93,731	0
Cash, cash equivalents and restricted cash — end of period	116,883	143,927
Non-cash investing and financing activities:
Property and equipment purchase in accounts payable and accrued liabilities	13,667	60
Subscriptions receivable from preferred stockholders	0	150,000
Series A-1 convertible preferred stock issued in asset acquisition	0	111,770
Vesting of early exercised options	3,170	0
Supplemental disclosure:
Cash paid for amounts included in the measurement of lease liabilities	$ 1,156	$ 0

Description of Business	6 Months Ended
Description of Business	Jun. 30, 2019
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Description of Business	Description of Business Allogene Therapeutics, Inc. (the Company or Allogene) was incorporated on November 30, 2017, in the State of Delaware and is headquartered in South San Francisco, California. Allogene is a clinical-stage immuno-oncology company pioneering the development and commercialization of genetically engineered allogeneic T cell therapies for the treatment of cancer. The Company is developing a pipeline of off-the-shelf T cell product candidates that are designed to target and kill cancer cells. Initial Public Offering In October 2018, the Company completed an initial public offering (IPO) of its common stock. In connection with its IPO, the Company issued and sold 20,700,000 shares of its common stock, which included 2,700,000 shares of its common stock issued pursuant to the over-allotment option granted to the underwriters, at a price to the public of $18.00 per share. As a result of the IPO, the Company received approximately $343.0 million in net proceeds, after deducting underwriting discounts and commissions of $26.1 million and offering expenses of approximately $3.2 million payable by the Company. At the closing of the IPO, all 11,743,987 shares of outstanding convertible preferred stock were automatically converted into 61,655,922 shares of common stock and our outstanding convertible promissory notes in $120.2 million principal amount were automatically converted into 7,856,176 shares of common stock. Following the IPO, there were no shares of convertible preferred stock or preferred stock outstanding. Need for Additional Capital The Company has sustained operating losses and expects to continue to generate operating losses for the foreseeable future. The Company’s ultimate success depends on the outcome of its research and development activities. The Company had cash and cash equivalents and investments of $650.2 million as of June 30, 2019. Since inception through June 30, 2019, the Company has incurred cumulative net losses of $284.4 million. Management expects to incur additional losses in the future to fund its operations and conduct product research and development and recognizes the need to raise additional capital to fully implement its business plan. The Company intends to raise additional capital through the issuance of equity securities, debt financings or other sources in order to further implement its business plan. However, if such financing is not available when needed and at adequate levels, the Company will need to reevaluate its operating plan and may be required to delay the development of its product candidates. The Company expects that its cash and cash equivalents and investments will be sufficient to fund its operations for a period of at least one year from the date the accompanying unaudited condensed financial statements are filed with the Securities and Exchange Commission (SEC). Forward Stock Split On October 1, 2018, the Company filed an amendment to the Company’s amended and restated certificate of incorporation to effect a forward split of shares of the Company’s common stock on a 1-for-5.25 basis (the Forward Stock Split). In connection with the Forward Stock Split, the conversion ratio for the Company’s then-outstanding convertible preferred stock was proportionately adjusted such that the common stock issuable upon conversion of such preferred stock was increased in proportion to the Forward Stock Split. The par value of the common stock was not adjusted as a result of the Forward Stock Split. All references to common stock, options to purchase common stock, early exercised options, share data, per share data, convertible preferred stock (to the extent presented on an as-converted to common stock basis) and related information contained in these condensed financial statements have been retrospectively adjusted to reflect the effect of the Forward Stock Split for all periods presented.

Summary of Significant Accounting Policies	6 Months Ended
Summary of Significant Accounting Policies	Jun. 30, 2019
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies Basis of Presentation The accompanying unaudited condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) for interim financial information and pursuant to Form 10-Q and Article 10 of Regulation S-X of the SEC. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the Company’s opinion, all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair presentation of the results of operations and cash flows for the periods presented have been included. The condensed balance sheet as of June 30, 2019, the condensed statements of operations and comprehensive loss for the three and six months ended June 30, 2019 and 2018, the condensed statements of stockholders’ equity (deficit) as of June 30, 2019 and 2018, the condensed statements of cash flows for the six months ended June 30, 2019 and 2018, and the financial data and other financial information disclosed in the notes to the condensed financial statements are unaudited. The results of operations for the three and six months ended June 30, 2019 are not necessarily indicative of the results to be expected for the year ending December 31, 2019, or for any other future annual or interim period. These condensed financial statements should be read in conjunction with the Company’s audited financial statements and related notes for the year ended December 31, 2018, included in the Company’s Annual Report on Form 10-K filed with the SEC on March 8, 2019. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of expenses during the reporting period. Significant estimates and assumptions made in the accompanying financial statements include but are not limited to the fair value of common stock, the fair value of stock options, the fair value of convertible notes payable, income tax uncertainties, and certain accruals. The Company evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors and adjusts those estimates and assumptions when facts and circumstances dictate. Actual results could differ from those estimates. Significant Accounting Policies There have been no significant changes to the accounting policies during the three and six months ended June 30, 2019, as compared to the significant accounting policies described in Note 1 of the “Notes to Financial Statements” in the Company’s audited financial statements included in its Annual Report. Recently Adopted Accounting Pronouncements In February 2018, the FASB issued Accounting Standards Update No. 2018-02, Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income, which provided amended guidance to allow a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act. Additionally, under the new guidance, an entity will be required to provide certain disclosures regarding stranded tax effects. The guidance is effective for fiscal years beginning after December 15, 2018, with early adoption permitted. The Company adopted this guidance on January 1, 2019. Adoption of the new guidance had no significant impact on the Company’s condensed financial statements. Recent Accounting Pronouncements Not Yet Adopted In August 2018, the FASB issued Accounting Standards Update No. 2018-15, Intangibles – Goodwill and other – Internal-Use Software (Subtopic 350-40), which amended its guidance for costs of implementing a cloud computing service arrangement and aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. This new standard also requires customers to expense the capitalized implementation costs of a hosting arrangement that is a service contract over the term of the hosting arrangement. The guidance is effective for fiscal years beginning after December 15, 2019, with early adoption permitted. The Company is evaluating the impact of adopting this amendment to its financial statements.

Fair Value Measurements

6 Months Ended

Jun. 30, 2019

Fair Value Disclosures [Abstract]

Fair Value Measurements


3.	Fair Value Measurements

The Company measures and reports its cash equivalents, restricted cash, and investments at fair value.

Money market funds are measured at fair value on a recurring basis using quoted prices and are classified as Level 1. Investments are measured at fair value based on inputs other than quoted prices that are derived from observable market data and are classified as Level 2 inputs.

There were no Level 3 assets or liabilities as of June 30, 2019 and as of December 31, 2018.

Financial assets and liabilities subject to fair value measurements on a recurring basis and the level of inputs used in such measurements by major security type as of June 30, 2019 and as of December 31, 2018 are presented in the following tables:



	June 30, 2019
	Level 1		Level 2		Level 3		Fair Value
	(in thousands)
Financial Assets:
Money market funds (1)	$	33,288	$	—	$	—	$	33,288
Commercial paper	—		4,988		—		4,988
Corporate bonds	—		225,669		—		225,669
U.S. treasury securities	265,929		—		—		265,929
U.S. agency securities	—		52,818		—		52,818
Total financial assets	$	299,217	$	283,475	$	—	$	582,692



	December 31, 2018
	Level 1		Level 2		Level 3		Fair Value
	(in thousands)
Financial Assets:
Money market funds (1)	$	61,023	$	—	$	—	$	61,023
Commercial paper	—		4,917		—		4,917
Corporate bonds	—		244,076		—		244,076
U.S. treasury securities	342,001		—		—		342,001
U.S. agency securities	—		62,115		—		62,115
Total financial assets	$	403,024	$	311,108	$	—	$	714,132


(1)	Included within cash and cash equivalents on the Company’s balance sheets

There were no transfers between Levels 1, 2 or 3 for the period presented.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Financial Instruments

6 Months Ended

Jun. 30, 2019

Financial Instruments

The fair value and amortized cost of cash equivalents and available-for-sale securities by major security type as of June 30, 2019 and as of December 31, 2018 are presented in the following tables:



	June 30, 2019
	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
	(in thousands)
Money market funds	$	33,288	$	—	$	—		$	33,288
Commercial paper	4,988		—		—			4,988
Corporate bonds	224,407		1,272		(10		)	225,669
U.S. treasury securities	264,996		933		—			265,929
U.S. agency securities	52,527		291		—			52,818
Total cash equivalents and investments	$	580,206	$	2,496	$	(10	)	$	582,692

Classified as:
Cash equivalents								$	45,083
Short-term investments								389,840
Long-term investments								147,769
Total cash equivalents and investments								$	582,692



	December 31, 2018
	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
	(in thousands)
Money market funds	$	61,023	$	—	$	—		$	61,023
Commercial paper	4,917		—		—			4,917
Corporate bonds	244,136		220		(280		)	244,076
U.S. treasury securities	341,696		342		(37		)	342,001
U.S. agency securities	61,937		181		(3		)	62,115
Total cash equivalents and investments	$	713,709	$	743	$	(320	)	$	714,132

Classified as:
Cash equivalents								$	85,214
Short-term investments								366,952
Long-term investments								261,966
Total cash equivalents and investments								$	714,132

As of June 30, 2019, the remaining contractual maturities of available-for-sale securities were less than 3 years. There have been no significant realized losses on available-for-sale securities for the period presented. Based on the Company’s review of its available-for-sale securities, the Company believes it had no other-than-temporary impairments on these securities as of June 30, 2019, because the Company does not intend to sell these securities nor does the Company believe that it will be required to sell these securities before the recovery of their amortized cost basis. Gross realized gains and gross realized losses were immaterial for the three and six months ended June 30, 2019.

Balance Sheets Components

6 Months Ended

Jun. 30, 2019

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Balance Sheets Components

Prepaid expenses and Other Current Assets

Prepaid expenses and Other Current Assets consist of the following:



	June 30, 2019		December 31, 2018
	(In thousands)
Accrued interest on investments	$	3,285	$	3,108
Prepaid research and development expenses	3,227		2,356
Prepaid insurance	892		2,376
Other prepaid and current assets	1,714		758
Total prepaid expenses and other current assets	$	9,118	$	8,598

Property and Equipment

Property and Equipment consist of the following:



	June 30, 2019			December 31, 2018
	(In thousands)
Laboratory equipment	$	9,453		$	5,534
Leasehold improvements	126			15
Computers equipment and purchased software	3,324			1,327
Furniture and fixtures	2,026			64
Construction in progress	23,479			2,703
Total	38,408			9,643
Less: accumulated depreciation	(2,591		)	(1,048		)
Total property and equipment, net	$	35,817		$	8,595

Accrued Liabilities

Accrued liabilities consist of the following:



	June 30, 2019		December 31, 2018
	(In thousands)
Accrued research and development expenses	$	5,365	$	7,808
Accrued compensation and related benefits	4,036		4,111
Unvested shares liabilities	2,842		4,590
Other	2,254		612
Total accrued and other current liabilities	$	14,497	$	17,121

License Agreements	6 Months Ended
License Agreements	Jun. 30, 2019
Research and Development [Abstract]
License Agreements	License Agreements Asset Contribution Agreement with Pfizer In April 2018, the Company entered into an Asset Contribution Agreement (the Pfizer Agreement) with Pfizer pursuant to which the Company acquired certain assets, including certain contracts and intellectual property for the development and administration of chimeric antigen receptor (CAR) T cells for the treatment of cancer. The Company is required to make milestone payments upon successful completion of regulatory and sales milestones on a target-by-target basis for the targets including CD19 and B-cell maturation antigen (BCMA), covered by the Pfizer Agreement. The aggregate potential milestone payments upon successful completion of various regulatory milestones in the United States and the European Union are $30.0 million or $60.0 million, depending on the target, with aggregate potential regulatory and development milestones of up to $840.0 million, provided that the Company is not obligated to pay a milestone for regulatory approval in the European Union for an anti-CD19 allogeneic CAR T cell product, to the extent Servier has commercial rights to such territory. The aggregate potential milestone payments upon reaching certain annual net sales thresholds in North America, Europe, Asia, Australia and Oceania (the Territory) for a certain number of targets covered by the Pfizer Agreement are $325.0 million per target. The sales milestones in the foregoing sentence are payable on a country-by-country basis until the last to expire of any Pfizer Royalty Term, as described below, for any product in such country in the Territory. No such payments were made in the three and six months ended June 30, 2019. Pfizer is also eligible to receive, on a product-by-product and country-by-country basis, royalties in single-digit percentages on annual net sales for products covered by the Pfizer Agreement or that use certain Pfizer intellectual property and for which an investigational new drug application (IND) is first filed on or before April 6, 2023. The Company’s royalty obligation with respect to a given product in a given country begins upon the first sale of such product in such country and ends on the later of (i) expiration of the last claim of any applicable patent or (ii) 12 years from the first sale of such product in such country. Research Collaboration and License Agreement with Cellectis As part of the Pfizer Agreement, Pfizer assigned to the Company a Research Collaboration and License Agreement (the Original Cellectis Agreement) with Cellectis S.A. (Cellectis). On March 8, 2019, the Company entered into a License Agreement (the Cellectis Agreement) with Cellectis. In connection with the execution of the Cellectis Agreement, on March 8, 2019, the Company and Cellectis also entered into a letter agreement (the Letter Agreement), pursuant to which the Company and Cellectis agreed to terminate the Original Cellectis Agreement. The Original Cellectis Agreement included a research collaboration to conduct discovery and pre-clinical development activities to generate CAR T cells directed at targets selected by each party, which was completed in June 2018. Pursuant to the Cellectis Agreement, Cellectis granted to the Company an exclusive, worldwide, royalty-bearing license, on a target-by-target basis, with sublicensing rights under certain conditions, under certain of Cellectis’s intellectual property, including its TALEN and electroporation technology, to make, use, sell, import, and otherwise exploit and commercialize CAR T products directed at certain targets, including BCMA, FLT3, DLL3 and CD70 (the Allogene Targets), for human oncologic therapeutic, diagnostic, prophylactic and prognostic purposes. In addition, certain Cellectis intellectual property rights granted by Cellectis to the Company and to Servier pursuant to the Exclusive License and Collaboration Agreement by and between Servier and Pfizer, dated October 30, 2016, which Pfizer assigned to the Company in April 2018, will survive the termination of the Original Cellectis Agreement. Pursuant to the Cellectis Agreement, the Company granted Cellectis a non-exclusive, worldwide, royalty-free, perpetual and irrevocable license, with sublicensing rights under certain conditions, under certain of our intellectual property, to make, use, sell, import and otherwise commercialize CAR T products directed at certain targets (the Cellectis Targets). The Cellectis Agreement provides for development and sales milestone payments by the Company of up to $185.0 million per product that is directed against an Allogene Target, with aggregate potential development and sales milestone payments totaling up to $2.8 billion. The Company expects to pay Cellectis $5.0 million upon the dosing of the first patient in its Phase 1 clinical trial of ALLO-715. Cellectis is also eligible to receive tiered royalties on annual worldwide net sales of any products that are commercialized by the Company that contain or incorporate, are made using or are claimed or covered by, Cellectis intellectual property licensed to the Company under the Cellectis Agreement (the Allogene Products), at rates in the high single-digit percentages. Such royalties may be reduced, on a licensed product-by-licensed product and country-by-country basis, for generic entry and for payments due under licenses of third party patents. Pursuant to the Cellectis Agreement, and subject to certain exceptions, the Company is required to indemnify Cellectis against all third party claims related to the development, manufacturing, commercialization or use of any Allogene Product or arising out of the Company’s material breach of the representations, warranties or covenants set forth in the Cellectis Agreement, and Cellectis is required, subject to certain exceptions, to indemnify the Company against all third party claims related to the development, manufacturing, commercialization or use of CAR T products directed at Cellectis Targets or arising out of Cellectis’s material breach of the representations, warranties or covenants set forth in the Cellectis Agreement. The royalties are payable, on a licensed product-by-licensed product and country-by-country basis, until the later of (i) the expiration of the last to expire of the licensed patents covering such product; (ii) the loss of regulatory exclusivity afforded such product in such country, and (iii) the tenth anniversary of the date of the first commercial sale of such product in such country; however, in no event shall such royalties be payable, with respect to a particular licensed product, past the twentieth anniversary of the first commercial sale for such product. Depending on the Cellectis Target, the Company has a right of first refusal or right of first negotiation to purchase or license from Cellectis rights to develop and commercialize products against such Cellectis Targets. Under the Cellectis Agreement, the Company has certain diligence obligations to progress the development of CAR T product candidates and to commercialize one CAR T product per Allogene Target in one major market country where the Company has received regulatory approval. If the Company materially breaches any of its diligence obligations and fails to cure within 90 days, then with respect to certain targets, such target will cease to be an Allogene Target and instead will become a Cellectis Target. Unless earlier terminated in accordance with its terms, the Cellectis Agreement will expire on a product-by-product and country-by-country basis, upon expiration of all royalty payment obligations with respect to such licensed product in such country. The Company has the right to terminate the Cellectis Agreement at will upon 60 days’ prior written notice, either in its entirety or on a target-by-target basis. Either party may terminate the Cellectis Agreement, in its entirety or on a target-by-target basis, upon 90 days’ prior written notice in the event of the other party’s uncured material breach. The Cellectis Agreement may also be terminated by the Company upon written notice at any time in the event that Cellectis becomes bankrupt or insolvent or upon written notice within 60 days of a consummation of a change of control of Cellectis. All costs the Company incurred in connection with this agreement were recognized as research and development expenses. For the three and six months ended June 30, 2019, no costs were incurred related to research services performed by Cellectis under this agreement. For the three and six months ended June 30, 2018, $0.4 million of costs were incurred associated with research services performed by Cellectis under this agreement. As of June 30, 2019, no material amount was recorded in the accrued and other current liabilities in the accompanying condensed balance sheet. License and Collaboration Agreement with Servier As part of the Pfizer Agreement, Pfizer assigned to the Company an Exclusive License and Collaboration Agreement (the Servier Agreement), with Les Laboratoires Servier SAS and Institut de Recherches Internationales Servier SAS (collectively, Servier) to develop, manufacture and commercialize certain allogeneic anti-CD19 CAR T cell product candidates, including UCART19, in the United States with the option to obtain the rights over additional products, including other anti-CD19 product candidates. Under the Servier Agreement, the Company has an exclusive license to develop, manufacture and commercialize UCART19 in the field of anti-tumor adoptive immunotherapy in the United States, with an exclusive option to obtain the same rights for additional product candidates in the United States and, if Servier does not elect to pursue development or commercialization of those product candidates in certain markets outside of the United States pursuant to its license, outside of the United States as well. The Company is generally not required to make any additional payments to Servier to exercise an option, except for products directed at a certain target, for which the Company is required to pay Servier an option fee in the low tens of millions of dollars range upon exercise. If the Company opts-in to another product candidate, Servier has the right to obtain rights to such product candidate outside the United States and to share development costs for such product candidate. Under the Servier Agreement, the Company is required to use commercially reasonable efforts to develop and obtain marketing approval in the United States in the field of anti-tumor adoptive immunotherapy for at least one product directed against CD19, and Servier is required to use commercially reasonable efforts to develop and obtain marketing approval in the European Union, and one other country in a group of specified countries outside of the European Union and the United States, in the field of anti-tumor adoptive immunotherapy for at least one allogeneic adaptive T cell product directed against a certain Company-selected target. For product candidates that the Company is co-developing with Servier, including UCART19 and ALLO-501, the Company is responsible for 60% of the specified development costs and Servier is responsible for the remaining 40% of the specified development costs under the applicable global research and development plan. Subject to certain restrictions, each party has the right to conduct activities that are specific to its territory outside the global research and development plan at such party’s sole expense. In addition, each party is solely responsible for commercialization activities in its territory at such party’s sole expense. The Company is required to make milestone payments to Servier upon successful completion of regulatory and sales milestones on a target-by-target basis. For products directed against CD19, including UCART19, the Servier Agreement provides for aggregate potential payments by the Company to Servier of up to $137.5 million upon successful completion of various regulatory milestones, and aggregate potential payments by the Company to Servier of up to $78.0 million upon successful completion of various sales milestones. The total potential payments that the Company is obligated to make under the Servier Agreement upon successful completion of regulatory and sales milestones are $381.5 million, including the CD19-related milestone payments described above. Similarly, Servier is required to make milestone payments upon successful completion of regulatory and sales milestones for products directed at the Allogene-target covered by the Servier Agreement that achieves such milestones. The total potential payments that Servier is obligated to make to the Company under the Servier Agreement upon successful completion of regulatory and sales milestones are $42 million and €70.5 million ($80.3 million), respectively. The foregoing milestones are subject to certain adjustments if the Company obtains rights for certain products outside of the United States upon Servier’s election not to pursue such rights. Each party is also eligible to receive tiered royalties on annual net sales in countries within the paying party’s respective territory of any licensed products that are commercialized by such party that are directed at the targets licensed by such party under the Servier Agreement. The royalty rates are in a range from the low tens to the high teen percentages. Such royalties may be reduced for interchangeable drug entry, expiration of patent rights and amounts paid pursuant to licenses of third-party patents. The royalty obligation for each party with respect to a given licensed product in a given country in each party’s respective territory (the Servier Royalty Term) begins upon the first commercial sale of such product in such country and ends after a defined number of years. Unless earlier terminated in accordance with the Servier Agreement, the Servier Agreement will continue, on a licensed product-by-licensed product and country-by-country basis, until the Servier Royalty Term with respect to the sale of such licensed product in such country expires. For the three and six months ended June 30, 2019, the Company recorded $2.4 million and $3.1 million of costs incurred under the cost-sharing terms of the Servier Agreement as research and development expenses. For the three and six months ended June 30, 2018, the Company recorded $3.2 million of costs as research and development expenses. As of June 30, 2019, amounts due to Servier of $2.7 million was recorded in accounts payable and $2.6 million in accrued and other current liabilities in the accompanying condensed balance sheet.

Leases

6 Months Ended

Jun. 30, 2019

Leases [Abstract]

Leases

In August 2018, the Company entered into an operating lease agreement for new office and laboratory space which consists of approximately 68,000 square feet located in South San Francisco, California. The lease term is 127 months beginning August 2018 through February 2029 with an option to extend the term for another seven years which is not reasonably assured of exercise. The Company has the right to make tenant improvements, including the addition of laboratory space, with a lease incentive allowance of $5.1 million. The rent payments began on March 1, 2019 after an abatement period. In connection with the lease, the Company has maintained a letter of credit for the benefit of the landlord in the amount of $1.0 million. In connection with this lease, the Company recognized an operating lease right-of-use asset of $23.8 million as of June 30, 2019 and an aggregate lease liability of $26.8 million in the accompanying condensed balance sheet. The remaining lease term is 9 years and 8 months, and the estimated incremental borrowing rate is 8.0%.

In October 2018, the Company entered into an operating lease agreement for new office and laboratory space which consists of approximately 14,943 square feet located in South San Francisco, California. The lease term is 124 months beginning November 2018 through February 2029, with an option to extend the term for another seven years which is not reasonably assured of exercise. The Company has the right to make tenant improvements, including the upgrading of current office and laboratory space with a lease incentive allowance of $0.8 million. Rent payments began in November 2018. In connection with the lease, the Company has maintained a letter of credit for the benefit of the landlord in the amount of $0.2 million. In connection with this lease, the Company recognized an operating lease right-of-use asset of $6.0 million as of June 30, 2019 and an aggregate lease liability of $6.3 million in the accompanying balance sheet. The remaining lease term is 9 years and 8 months, and the estimated incremental borrowing rate is 8.0%.

In December 2018, the Company entered into two operating leases for office space in New York and Los Angeles for approximately 4,358 and 1,293 square feet respectively. The Company recognized operating lease right-of-use assets of $1.8 million and $0.2 million as of June 30, 2019 and aggregate lease liabilities of $1.6 million and $0.1 million respectively for these leases. The lease term for the New York operating lease is 6 years and 7 months, with no option for renewal. The lease term for the Los Angeles operating lease is 3 years with an option to extend the lease term for another two years which is not reasonably certain of exercise. There were no lease incentive allowances for either location. In connection with the New York lease, the Company maintains a letter of credit for the benefit of the landlord in the amount of $0.1 million. The remaining lease terms were 6 years and 2 years and 5 months as of June 30, 2019 and the estimated incremental borrowing rates applied were 8% and 7%, respectively.

In February 2019, the Company entered into a lease agreement for approximately 118,000 square feet of space to develop a cell therapy manufacturing facility in Newark, California. The lease has a term of 188 months and is expected to commence in April 2020. Upon certain conditions, the Company has two ten-year options to extend the lease. Subject to rent abatement for the second through nine months of the lease, the Company will be required to pay $159,150 per month for rent for the first twelve months of the lease term which will increase at a rate of 3.0% per year. The Company will be entitled to a tenant improvement allowance of $2.9 million for costs related to the design and construction of certain Company improvements. In connection with the lease, the Company maintains a letter of credit for the benefit of the landlord in the amount of $3.0 million. The total commitment of undiscounted lease payments for this lease was $36.2 million as at June 30, 2019. The Company has not recognized a right-of-use asset or aggregate lease liability as of June 30, 2019 as the underlying asset was unavailable for use by the Company at any time in the period ended June 30, 2019.

The undiscounted future lease payments under the lease agreements as of June 30, 2019 were as follows:



Year ending December 31:	(in thousands)
2019 (remaining 6 months)	$	2,407
2020	5,980
2021	7,801
2022	7,961
2023	8,213
2024 and thereafter	63,517
Total undiscounted lease payments	95,879
Less: Undiscounted lease payments related to Newark lease	(36,231		)
Less: Present value adjustment	(18,521		)
Less: Tenant improvement allowance	(5,942		)
Total	$	35,185

Rent expense for all operating leases was $2.7 million for the six months ended June 30, 2019. Short-term lease expense was $2.0 million for the six months ended June 30, 2019. Variable lease payments for operating expenses was $0.3 million for the three months ended June 30, 2019. There was a total commitment of $0.4 million at June 30, 2019 related to short-term leases.

Stock-Based Compensation

6 Months Ended

Jun. 30, 2019

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Stock-Based Compensation

In June 2018, the Company adopted the 2018 Equity Incentive Plan (2018 Plan). The 2018 Plan provided for the Company to sell or issue common stock or restricted common stock, or to grant incentive stock options or nonqualified stock options for the purchase of common stock, to employees, members of the Company’s board of directors and consultants of the Company under terms and provisions established by the Company’s board of directors. In October 2018, the Board of Directors approved an amendment and restatement of the 2018 Plan, increasing the shares of common stock issuable under the 2018 Plan as well as allowing for an automatic annual increase to the shares issuance under the 2018 Plan to the amount equal to 5% of the total number of shares of common stock outstanding on December 31 of the preceding calendar year. The term of any stock option granted under the 2018 Plan cannot exceed 10 years. The Company generally grants stock-based awards with service conditions only. Options granted typically vest over a four-year period but may be granted with different vesting terms. Options shall not have an exercise price less than 100% of the fair market value of the Company’s common stock on the grant date. Options granted typically vest over a four-year period but may be granted with different vesting terms. Restricted Stock Units granted typically vest annually over a four-year period but may be granted with different vesting terms.

As of June 30, 2019, there were 10,660,415 shares reserved by the Company under the 2018 Plan for the future issuance of equity awards.

Stock Option Activity

The following summarizes option activity under the 2018 Plan:



	Number of Options		Weighted- Average Exercise Price		Weighted- Average Remaining Contract Term
					(In years)
Balance, December 31, 2018	7,235,545		$	7.72	9.62
Options granted	2,335,261		27.35		9.73
Options exercised	(103,958	)	2.27		8.99
Options forfeited	(179,000	)	6.02		9.09
Balance, June 30, 2019	9,287,848		$	12.75	9.28
Exercisable, June 30, 2019	3,999,525		$	9.43	9.21
Vested and expected to vest, June 30, 2019	9,287,848		$	12.75	9.28

Restricted Stock Unit Activity

The following summarizes restricted stock unit activity under the 2018 Plan:



	Restricted Stock Units		Weighted- Average Fair Value at Date of Grant per Share
Unvested December 31, 2018	—		—
Granted	1,442,682		$	27.35
Vested	—		—
Forfeited	(9,100	)	26.84
Unvested June 30, 2019	1,433,582		$	27.35
Vested and expected to vest, June 30, 2019	1,433,582		$	27.35

Total stock-based compensation related to stock options, restricted stock units, employee stock purchase plan and vesting of the founders’ common stock was as follows (in thousands):



	Three Months Ended June 30				Six Months Ended June 30
	2019		2018		2019		2018
Research and development	$	4,747	$	13	$	7,478	13
General and administrative	6,740		8,043		11,876		8,043
Total stock-based compensation	$	11,487	$	8,056	$	19,354	$	8,056

Early Exercised Options

The Company allows certain of its employees and its directors to exercise options granted under the 2018 Plan prior to vesting. The shares related to early exercised stock options are subject to the Company’s lapsing repurchase right upon termination of employment or service on the Company’s board of directors at the lesser of the original purchase price or fair market value at the time of repurchase. In order to vest, the holders are required to provide continued service to the Company. The proceeds are initially recorded in accrued and other liabilities and other long-term liabilities for the noncurrent portion. The proceeds are reclassified to paid-in capital as the repurchase right lapses. As of June 30, 2019, there was $2.8 million recorded in accrued and other liabilities and $5.4 million recorded in other long-term liabilities related to shares held by employees and directors that were subject to repurchase. The underlying shares are shown as outstanding in the condensed financial statements since the exercise date.

Related Party Transactions	6 Months Ended
Related Party Transactions	Jun. 30, 2019
Related Party Transactions [Abstract]
Related Party Transactions	Related Party Transactions As of June 30, 2019, Pfizer held 22,032,040 shares of Common Stock and had appointed one member to the Company’s board of directors. In April 2018, the Company and Pfizer entered into a transition services agreement (the Pfizer TSA) for Pfizer to provide professional services to the Company related to research and development, project management, and other administrative functions. For the three and six months ended June 30, 2019, the costs incurred under the Pfizer TSA were $1.4 million and $3.9 million, respectively. For the three and six months ended June 30, 2018, the costs incurred under the Pfizer TSA were $3.7 million and $3.7 million, respectively. The Company also purchased certain lab supplies from Pfizer in connection with its research and development activities. For the three and six months ended June 30, 2019, the total lab supplies and services purchased from Pfizer were $0.4 million and $1.0 million, respectively. For the three and six months ended June 30, 2018, the total lab supplies and services purchased from Pfizer were $3.3 million and $3.3 million, respectively. As of June 30, 2019 and December 31, 2018, the Company had an amount payable to Pfizer of $0.7 million and $5.7 million, respectively, which was recorded in the accrued and other current liabilities on the accompanying condensed balance sheets. Sublease Agreement In February 2019, the Company subleased approximately 2,180 square feet of its office space in New York, New York, to ByHeart, Inc., formerly known as Second Science, Inc. (ByHeart). ByHeart is a development-stage infant formula company. Two of the Company’s board members have beneficial ownership in ByHeart and one serves on the board of directors of ByHeart. Sublease income for the three and six months ended June 30, 2019 was $0.1 million and $0.1 million, respectively, and was recognized as other income. Sublease income for the three and six months ended June 30, 2018 was zero. Consulting Agreements In June 2018, the Company entered into a services agreement with Two River Consulting LLC (Two River) a firm affiliated with the Company’s President and Chief Executive Officer, the Company’s Executive Chairman of the board of directors, and a director of the Company to provide various managerial, administrative, accounting and financial services to the Company. The costs incurred for services provided under this agreement were $0.1 million and $0.3 million for the three and six months ended June 30, 2019, respectively, and $0.3 million for the three and six months ended June 30, 2018. In August 2018, the Company entered into a consulting agreement with Bellco Capital LLC (Bellco). The Company’s executive chairman, Arie Belldegrun, M.D., FACS, is the Chairman and an owner of Bellco. Pursuant to the consulting agreement, Bellco provides certain services for the Company, which are performed by Dr. Belldegrun and include without limitation, providing advice and analysis with respect to the Company’s business, business strategy and potential opportunities in the field of allogeneic CAR T cell therapy and any other aspect of the CAR T cell therapy business as the Company may agree. In consideration for these services, the Company pays Bellco $33,333.33 per month in arrears commencing January 2019 and, in the Company’s discretion, may pay Bellco an annual performance award in an amount up to 60% of the aggregate compensation payable to Bellco in a calendar year. The Company also reimburses Bellco for out of pocket expenses incurred in performing the services. The cost incurred for services provided and out-of-pocket expenses incurred under this consulting agreement were $0.1 million and $0.3 million for the three and six months ended June 30, 2019, respectively, and zero for the three and six months ended June 30, 2018.

Income Taxes	6 Months Ended
Income Taxes	Jun. 30, 2019
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The Company has a history of losses, and expects to record a loss in 2019. The Company continues to maintain a full valuation allowance against its net deferred tax assets.

Net Loss Per Share

6 Months Ended

Jun. 30, 2019

Earnings Per Share [Abstract]

Net Loss Per Share

The following outstanding potentially dilutive shares have been excluded from the calculation of diluted net loss per share for the period presented due to their anti-dilutive effect:



	June 30,
	2019	2018
Stock options to purchase common stock	9,287,848	7,344,225
Convertible preferred stock	—	11,743,987
Restricted stock units subject to vesting	1,433,582	—
Expected shares purchased under Employee Stock Purchase Plan	176,722	—
Founder shares of common stock subject to future vesting	16,658,645	22,716,329
Early exercised stock options subject to future vesting	3,619,869	1,464,750
Total	31,176,666	43,269,291

Summary of Significant Accounting Policies (Policies)	6 Months Ended
Summary of Significant Accounting Policies (Policies)	Jun. 30, 2019
Accounting Policies [Abstract]
Basis of Presentation	Basis of Presentation The accompanying unaudited condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (GAAP) for interim financial information and pursuant to Form 10-Q and Article 10 of Regulation S-X of the SEC. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the Company’s opinion, all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair presentation of the results of operations and cash flows for the periods presented have been included. The condensed balance sheet as of June 30, 2019, the condensed statements of operations and comprehensive loss for the three and six months ended June 30, 2019 and 2018, the condensed statements of stockholders’ equity (deficit) as of June 30, 2019 and 2018, the condensed statements of cash flows for the six months ended June 30, 2019 and 2018, and the financial data and other financial information disclosed in the notes to the condensed financial statements are unaudited. The results of operations for the three and six months ended June 30, 2019 are not necessarily indicative of the results to be expected for the year ending December 31, 2019, or for any other future annual or interim period. These condensed financial statements should be read in conjunction with the Company’s audited financial statements and related notes for the year ended December 31, 2018, included in the Company’s Annual Report on Form 10-K filed with the SEC on March 8, 2019.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of expenses during the reporting period. Significant estimates and assumptions made in the accompanying financial statements include but are not limited to the fair value of common stock, the fair value of stock options, the fair value of convertible notes payable, income tax uncertainties, and certain accruals. The Company evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors and adjusts those estimates and assumptions when facts and circumstances dictate. Actual results could differ from those estimates.
Significant Accounting Policies	Significant Accounting Policies There have been no significant changes to the accounting policies during the three and six months ended June 30, 2019, as compared to the significant accounting policies described in Note 1 of the “Notes to Financial Statements” in the Company’s audited financial statements included in its Annual Report.
Recently Adopted Accounting Pronouncements	Recently Adopted Accounting Pronouncements In February 2018, the FASB issued Accounting Standards Update No. 2018-02, Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income, which provided amended guidance to allow a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act. Additionally, under the new guidance, an entity will be required to provide certain disclosures regarding stranded tax effects. The guidance is effective for fiscal years beginning after December 15, 2018, with early adoption permitted. The Company adopted this guidance on January 1, 2019
Recent Accounting Pronouncements Not Yet Adopted	Recent Accounting Pronouncements Not Yet Adopted In August 2018, the FASB issued Accounting Standards Update No. 2018-15, Intangibles – Goodwill and other – Internal-Use Software (Subtopic 350-40), which amended its guidance for costs of implementing a cloud computing service arrangement and aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. This new standard also requires customers to expense the capitalized implementation costs of a hosting arrangement that is a service contract over the term of the hosting arrangement. The guidance is effective for fiscal years beginning after December 15, 2019, with early adoption permitted. The Company is evaluating the impact of adopting this amendment to its financial statements.

Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2019

Fair Value Disclosures [Abstract]

Financial Assets And Liabilities Subject To Fair Value Measurements On Recurring Basis And Level Of Inputs Used In Such Measurements By Major Security Type



	June 30, 2019
	Level 1		Level 2		Level 3		Fair Value
	(in thousands)
Financial Assets:
Money market funds (1)	$	33,288	$	—	$	—	$	33,288
Commercial paper	—		4,988		—		4,988
Corporate bonds	—		225,669		—		225,669
U.S. treasury securities	265,929		—		—		265,929
U.S. agency securities	—		52,818		—		52,818
Total financial assets	$	299,217	$	283,475	$	—	$	582,692



	December 31, 2018
	Level 1		Level 2		Level 3		Fair Value
	(in thousands)
Financial Assets:
Money market funds (1)	$	61,023	$	—	$	—	$	61,023
Commercial paper	—		4,917		—		4,917
Corporate bonds	—		244,076		—		244,076
U.S. treasury securities	342,001		—		—		342,001
U.S. agency securities	—		62,115		—		62,115
Total financial assets	$	403,024	$	311,108	$	—	$	714,132


(1)	Included within cash and cash equivalents on the Company’s balance sheets

Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2019

Investments, All Other Investments [Abstract]

Summary of Cash Equivalents, Restricted Cash and Investments, Classified as Available-for-Sale Securities

The fair value and amortized cost of cash equivalents and available-for-sale securities by major security type as of June 30, 2019 and as of December 31, 2018 are presented in the following tables:



	June 30, 2019
	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
	(in thousands)
Money market funds	$	33,288	$	—	$	—		$	33,288
Commercial paper	4,988		—		—			4,988
Corporate bonds	224,407		1,272		(10		)	225,669
U.S. treasury securities	264,996		933		—			265,929
U.S. agency securities	52,527		291		—			52,818
Total cash equivalents and investments	$	580,206	$	2,496	$	(10	)	$	582,692

Classified as:
Cash equivalents								$	45,083
Short-term investments								389,840
Long-term investments								147,769
Total cash equivalents and investments								$	582,692



	December 31, 2018
	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
	(in thousands)
Money market funds	$	61,023	$	—	$	—		$	61,023
Commercial paper	4,917		—		—			4,917
Corporate bonds	244,136		220		(280		)	244,076
U.S. treasury securities	341,696		342		(37		)	342,001
U.S. agency securities	61,937		181		(3		)	62,115
Total cash equivalents and investments	$	713,709	$	743	$	(320	)	$	714,132

Classified as:
Cash equivalents								$	85,214
Short-term investments								366,952
Long-term investments								261,966
Total cash equivalents and investments								$	714,132

Balance Sheets Components (Tables)

6 Months Ended

Jun. 30, 2019

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of Prepaid and Other Current Assets

Prepaid expenses and Other Current Assets consist of the following:



	June 30, 2019		December 31, 2018
	(In thousands)
Accrued interest on investments	$	3,285	$	3,108
Prepaid research and development expenses	3,227		2,356
Prepaid insurance	892		2,376
Other prepaid and current assets	1,714		758
Total prepaid expenses and other current assets	$	9,118	$	8,598

Schedule of Property and Equipment

Property and Equipment consist of the following:



	June 30, 2019			December 31, 2018
	(In thousands)
Laboratory equipment	$	9,453		$	5,534
Leasehold improvements	126			15
Computers equipment and purchased software	3,324			1,327
Furniture and fixtures	2,026			64
Construction in progress	23,479			2,703
Total	38,408			9,643
Less: accumulated depreciation	(2,591		)	(1,048		)
Total property and equipment, net	$	35,817		$	8,595

Schedule of Accrued Liabilities

Accrued liabilities consist of the following:



	June 30, 2019		December 31, 2018
	(In thousands)
Accrued research and development expenses	$	5,365	$	7,808
Accrued compensation and related benefits	4,036		4,111
Unvested shares liabilities	2,842		4,590
Other	2,254		612
Total accrued and other current liabilities	$	14,497	$	17,121

Leases (Tables)

6 Months Ended

Jun. 30, 2019

Leases [Abstract]

Summary of Undiscounted Future Lease Payments Under Lease Liability

The undiscounted future lease payments under the lease agreements as of June 30, 2019 were as follows:



Year ending December 31:	(in thousands)
2019 (remaining 6 months)	$	2,407
2020	5,980
2021	7,801
2022	7,961
2023	8,213
2024 and thereafter	63,517
Total undiscounted lease payments	95,879
Less: Undiscounted lease payments related to Newark lease	(36,231		)
Less: Present value adjustment	(18,521		)
Less: Tenant improvement allowance	(5,942		)
Total	$	35,185

Stock-Based Compensation (Tables)

6 Months Ended

Jun. 30, 2019

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Summary of Stock Option Activity Under Plan

The following summarizes option activity under the 2018 Plan:



	Number of Options		Weighted- Average Exercise Price		Weighted- Average Remaining Contract Term
					(In years)
Balance, December 31, 2018	7,235,545		$	7.72	9.62
Options granted	2,335,261		27.35		9.73
Options exercised	(103,958	)	2.27		8.99
Options forfeited	(179,000	)	6.02		9.09
Balance, June 30, 2019	9,287,848		$	12.75	9.28
Exercisable, June 30, 2019	3,999,525		$	9.43	9.21
Vested and expected to vest, June 30, 2019	9,287,848		$	12.75	9.28

Schedule of Restricted Stock Units Activity Under Plan

The following summarizes restricted stock unit activity under the 2018 Plan:



	Restricted Stock Units		Weighted- Average Fair Value at Date of Grant per Share
Unvested December 31, 2018	—		—
Granted	1,442,682		$	27.35
Vested	—		—
Forfeited	(9,100	)	26.84
Unvested June 30, 2019	1,433,582		$	27.35
Vested and expected to vest, June 30, 2019	1,433,582		$	27.35

Schedule of Stock-Based Compensation Expense

Total stock-based compensation related to stock options, restricted stock units, employee stock purchase plan and vesting of the founders’ common stock was as follows (in thousands):



	Three Months Ended June 30				Six Months Ended June 30
	2019		2018		2019		2018
Research and development	$	4,747	$	13	$	7,478	13
General and administrative	6,740		8,043		11,876		8,043
Total stock-based compensation	$	11,487	$	8,056	$	19,354	$	8,056

Net Loss Per Share (Tables)

6 Months Ended

Jun. 30, 2019

Earnings Per Share [Abstract]

Schedule of Anti-dilutive Shares Excluded from Calculation of Diluted Net Loss Per Share

The following outstanding potentially dilutive shares have been excluded from the calculation of diluted net loss per share for the period presented due to their anti-dilutive effect:



	June 30,
	2019	2018
Stock options to purchase common stock	9,287,848	7,344,225
Convertible preferred stock	—	11,743,987
Restricted stock units subject to vesting	1,433,582	—
Expected shares purchased under Employee Stock Purchase Plan	176,722	—
Founder shares of common stock subject to future vesting	16,658,645	22,716,329
Early exercised stock options subject to future vesting	3,619,869	1,464,750
Total	31,176,666	43,269,291

Description of Business (Details)
$ / shares in Units, $ in Thousands

1 Months Ended

Oct. 01, 2018

Oct. 31, 2018

USD ($)

$ / shares

Jun. 30, 2019

USD ($)

Dec. 31, 2018

USD ($)

Preferred stock, shares outstanding (in shares)

Net proceeds | $

$ 343,000

Cash and cash equivalents and marketable securities | $

$ 650,200

Accumulated deficit | $

$ (284,357)

$ (211,528)

^[1]

Common stock, stock split description

1-for-5.25

Common stock forward split ratio

0.1905

IPO

Issuance of common stock (in shares)

20,700,000

Common stock price per share | $ / shares

$ 18.00

Underwriting discounts and commissions | $

$ 26,100

Offering costs | $

$ 3,200

Outstanding convertible preferred stock (in shares)

11,743,987

Preferred stock, shares outstanding (in shares)

IPO | Convertible Promissory Notes [Member]

Outstanding convertible promissory notes | $

$ 120,200

Over-Allotment Option

Issuance of common stock (in shares)

2,700,000

Common Stock | IPO

Number of convertible preferred stock converted to shares of common stock (in shares)

61,655,922

Number of 2018 notes converted into common stock (in shares)

7,856,176

[1]	The balance sheet as of December 31, 2018 is derived from the audited financial statements as of that date.

Fair Value Measurements - Additional Information (Detail) - USD ($)	6 Months Ended
	Jun. 30, 2019	Dec. 31, 2018
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Transfers between fair value measurement levels	$ 0
Fair value, measurements, recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	582,692,000	$ 714,132,000
Fair value, measurements, recurring \| Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	0	$ 0
Financial liabilities	$ 0

Fair Value Measurements - Financial Assets and Liabilities (Detail) - Fair value, measurements, recurring - USD ($)	Jun. 30, 2019	Dec. 31, 2018
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	$ 582,692,000	$ 714,132,000
Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	33,288,000	61,023,000
Commercial paper
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	4,988,000	4,917,000
Corporate bonds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	225,669,000	244,076,000
U.S. treasury securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	265,929,000	342,001,000
U.S. agency securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	52,818,000	62,115,000
Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	299,217,000	403,024,000
Level 1 \| Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	33,288,000	61,023,000
Level 1 \| Commercial paper
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	0	0
Level 1 \| Corporate bonds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	0	0
Level 1 \| U.S. treasury securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	265,929,000	342,001,000
Level 1 \| U.S. agency securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	0	0
Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	283,475,000	311,108,000
Level 2 \| Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	0	0
Level 2 \| Commercial paper
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	4,988,000	4,917,000
Level 2 \| Corporate bonds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	225,669,000	244,076,000
Level 2 \| U.S. treasury securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	0	0
Level 2 \| U.S. agency securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	52,818,000	62,115,000
Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	0	0
Level 3 \| Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	0	0
Level 3 \| Commercial paper
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	0	0
Level 3 \| Corporate bonds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	0	0
Level 3 \| U.S. treasury securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	0	0
Level 3 \| U.S. agency securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Financial assets	$ 0	$ 0

Financial Instruments - Cash Equivalents, Restricted Cash and Investments, Classified as Available-for-Sale Securities (Details) - USD ($) $ in Thousands	Jun. 30, 2019	Dec. 31, 2018
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	$ 580,206	$ 713,709
Unrealized Gains	2,496	743
Unrealized Losses	(10)	(320)
Cash equivalents	45,083	85,214
Short-term investments	389,840	366,952
Long-term investments	147,769	261,966
Total cash equivalents and investments	582,692	714,132
Money market funds
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	33,288	61,023
Unrealized Gains	0	0
Unrealized Losses	0	0
Fair Value	33,288	61,023
Commercial paper
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	4,988	4,917
Unrealized Gains	0	0
Unrealized Losses	0	0
Fair Value	4,988	4,917
Corporate bonds
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	224,407	244,136
Unrealized Gains	1,272	220
Unrealized Losses	(10)	(280)
Fair Value	225,669	244,076
U.S. treasury securities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	264,996	341,696
Unrealized Gains	933	342
Unrealized Losses	0	(37)
Fair Value	265,929	342,001
U.S. agency securities
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	52,527	61,937
Unrealized Gains	291	181
Unrealized Losses	0	(3)
Fair Value	$ 52,818	$ 62,115

Financial Instruments - Additional Information (Details)	Jun. 30, 2019
Investments, All Other Investments [Abstract]
Maximum remaining contractual maturities of available-for-sale securities	3 years

Balance Sheets Components - Prepaid and Other Current Assets (Details) - USD ($)
$ in Thousands

Jun. 30, 2019

Dec. 31, 2018

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Accrued interest on investments

$ 3,285

$ 3,108

Prepaid research and development expenses

3,227

2,356

Prepaid insurance

892

2,376

Other prepaid and current assets

1,714

758

Total prepaid expenses and other current assets

$ 9,118

$ 8,598

^[1]

[1]	The balance sheet as of December 31, 2018 is derived from the audited financial statements as of that date.

Balance Sheets Components - Property and Equipment (Details) - USD ($)
$ in Thousands

Jun. 30, 2019

Dec. 31, 2018

Less: accumulated depreciation

$ 38,408

$ 9,643

(2,591)

(1,048)

Total property and equipment, net

35,817

8,595

^[1]

Laboratory equipment

9,453

5,534

Leasehold improvements

Computers equipment and purchased software

126

3,324

1,327

Furniture and fixtures

2,026

Construction in progress

Organization, Consolidation and Presentation of Financial Statements [Abstract]

$ 23,479

$ 2,703

[1]	The balance sheet as of December 31, 2018 is derived from the audited financial statements as of that date.

Balance Sheets Components - Accrued Liabilities (Details) - USD ($)
$ in Thousands

Jun. 30, 2019

Dec. 31, 2018

Accrued research and development expenses

$ 5,365

$ 7,808

Accrued compensation and related benefits

4,036

4,111

Unvested shares liabilities

2,842

4,590

Other

2,254

612

Total accrued and other current liabilities

$ 14,497

$ 17,121

^[1]

[1]	The balance sheet as of December 31, 2018 is derived from the audited financial statements as of that date.

License Agreements (Details)
€ in Millions

3 Months Ended

6 Months Ended

Jun. 30, 2019

USD ($)

Jun. 30, 2018

USD ($)

Jun. 30, 2019

USD ($)

Jun. 30, 2018

USD ($)

Jun. 30, 2019

EUR (€)

Dec. 31, 2018

USD ($)

^[1]

Royalty obligation period from date of first sale

12 years

Research and development

$ 31,774,000

$ 122,486,000

$ 55,177,000

$ 122,486,000

Pfizer | Asset Contribution Agreement

14,497,000

$ 17,121,000

Pfizer | Asset Contribution Agreement | Minimum

325,000,000

Pfizer | Asset Contribution Agreement | Maximum

30,000,000

Aggregate potential regulatory and development milestones

60,000,000

840,000,000

Cellectis | Research Collaboration and License Agreement

Maximum payments required per product against selected target

185,000,000

Research and development

400,000

Servier | License and Collaboration Agreement

Research and development

2,400,000

$ 3,200,000

3,100,000

$ 3,200,000

Percentage of development costs payable by the Company

$ 2,600,000

2,600,000

60.00%

Percentage of development cost payable by collaboration partner

40.00%

Accounts payable

$ 2,700,000

2,700,000

Servier | Regulatory Milestone | License and Collaboration Agreement

Aggregate potential milestone receivable

42,000,000

Servier | Regulatory Milestone | Maximum | License and Collaboration Agreement

Servier | Sales Milestone | License and Collaboration Agreement

137,500,000

Aggregate potential milestone receivable

80,300,000

€ 70.5

Servier | Sales Milestone | Maximum | License and Collaboration Agreement

Servier | Regulatory And Sales Milestone | License and Collaboration Agreement

78,000,000

Development and Sales | Cellectis | Maximum | Research Collaboration and License Agreement

Payments to milestone

381,500,000

Phase 1 Clinical Trial First Patient Dose | Cellectis | Research Collaboration and License Agreement

$ 2,800,000,000

$ 5,000,000

[1]	The balance sheet as of December 31, 2018 is derived from the audited financial statements as of that date.

Leases - Additional Information (Details)

1 Months Ended

3 Months Ended

6 Months Ended

Feb. 28, 2019

USD ($)

ft²

Renewal

Jun. 30, 2019

USD ($)

Jun. 30, 2019

USD ($)

Dec. 31, 2018

USD ($)

OperatingLease

ft²

Oct. 31, 2018

USD ($)

ft²

Aug. 31, 2018

USD ($)

ft²

Area of office and laboratory | ft²

14,943

68,000

Operating lease, option to extend term

124 months

10 years 7 months

10 years

7 years

Allowance for tenant improvements

$ 2,900,000

$ 5,942,000

$ 800,000

$ 5,100,000

Letter of credit

$ 3,000,000

$ 200,000

$ 1,000,000

31,880,000

$ 33,015,000

^[1]

Number of operating leases for office space | OperatingLease

34,867,000

$ 34,456,000

^[1]

Area of operating lease | ft²

118,000

Number of options to extend lease | Renewal

Payment of lease rental per month

$ 159,150

Increase in rate for rent per year for lease term

3.00%

Undiscounted lease payments

36,231,000

Rent expense

2,700,000

Variable lease payments

300,000

Total commitment related to short-term leases

400,000

New York

Area of office and laboratory | ft²

4,358

Allowance for tenant improvements

6 years 7 months

$ 0

Letter of credit

$ 100,000

1,800,000

$ 1,600,000

8.00%

6 years

Los Angeles

Area of office and laboratory | ft²

1,293

Operating lease, option to extend term

3 years

2 years

Allowance for tenant improvements

$ 0

$ 200,000

$ 100,000

7.00%

2 years 5 months

Newark

Undiscounted lease payments

15 years 8 months

$ 36,200,000

127 Months Lease Term

Operating lease, option to extend term

7 years

23,800,000

$ 26,800,000

9 years 8 months

8.00%

124 Months Lease Term

$ 6,000,000

$ 6,300,000

9 years 8 months

License and Collaboration Agreement | Servier

8.00%