despite the central role of macrophages as cell-eating scavengers and first responders , the pharmaceutical industry is only beginning to bring this key group of cells into the fight against cancer . our company was founded in 2014 by leading scientists at stanford university who uncovered the fundamental role of cd47 in cancer evasion . preclinical work performed in the laboratory of our co-founder , irving l. weissman , at stanford university and at forty seven demonstrated that : blocking the cd47 “ do n't eat me ” signaling pathway leads to elimination of many types of tumors and increased survival ; boosting an “ eat me ” signal found on cancer cells using therapeutic antibodies results in a synergistic effect with blocking cd47 ; 73 increasing “ eat me ” signal expression on cancer cells through cytotoxic and chemotherapeutic agents like azacitidine , which is synergistic with blocking cd47 ; and macrophages digest cancer cells in a process called phagocytosis and present tumor-specific antigens that can activate t cells against the cancer , thus creating the potential for synergy with t cell checkpoint inhibitors . our lead product candidate , magrolimab , is a humanized igg4 subclass monoclonal antibody against cd47 that is designed to interfere with recognition of cd47 by the sirp α receptor on macrophages , thus blocking the “ do n't eat me ” signal . the design of magrolimab , combined with our proprietary dosing regimen , overcomes the toxicity limitations of previously tested anti-cd47 therapies developed by others . across all study populations , magrolimab has been well tolerated with no maximum tolerated dose , or mtd , observed in any study despite dosing up to 45 mg/kg . the most common treatment-associated effects observed to date were the expected cd47-mechanism-based effects on red blood cells , which led to a temporary and reversible anemia . other reported treatment-related adverse events include infusion reactions , headache , fatigue , chills , fever and nausea . the majority of these adverse events were mild to moderate in severity and were generally easily managed . to date , there are no approved therapies that target the cd47 checkpoint of the innate immune system . the targeting of cd47 to make cancer cells susceptible to macrophages , a component of the innate immune system , is analogous to the approach that has been applied with checkpoint inhibitors and t cells , a component of the adaptive immune system . since their introduction in 2011 , t cell checkpoint inhibitors have become frontline therapies for certain cancers and we estimate that they generated over $ 22 billion in sales in 2019. despite the success of t cell checkpoint inhibitors , these therapies have been shown to be effective only in a subset of tumors , highlighting the need for additional therapies . similar to the way cancer cells overexpress programmed death-ligand 1 , or pd-l1 , to avoid attack by t cells , cancer cells overexpress cd47 as a way to avoid destruction by macrophages . we believe targeting cd47 represents a compelling and analogous approach . since our inception in 2014 , we have devoted most of our resources to identifying and developing magrolimab , advancing our preclinical programs , conducting clinical trials and providing general and administrative support for these operations . to date , we have not generated any revenue from product sales . in july 2019 , we recognized $ 15.7 million of license revenue under a license and collaboration arrangement . we have funded our operations to date primarily from the issuance and sales of our capital stock and the receipt of government and private grants and licensing revenue . we are eligible to receive up to $ 22.4 million in grants from the california institute for regenerative medicine , or cirm , and the leukemia and lymphoma society , or lls , of which $ 17.0 million has been received through december 31 , 2019. we have incurred net losses in each year since inception . our net losses were $ 87.6 and $ 70.4 million for the years ended december 31 , 2019 and 2018 , respectively . as of december 31 , 2019 , we had an accumulated deficit of $ 227.4 million . substantially all of our net losses have resulted from costs incurred in connection with our research and development programs and from general and administrative costs associated with our operations . we expect to continue to incur significant expenses and increasing operating losses over at least the next several years . we expect our expenses will increase substantially in connection with our ongoing activities , as we : advance product candidates through clinical trials ; pursue regulatory approval of product candidates ; operate as a public company ; continue our preclinical programs and clinical development efforts ; continue research activities for the discovery of new product candidates ; and manufacture supplies for our preclinical studies and clinical trials . 74 merger agreement on march 1 , 2020 , we entered into the merger agreement with gilead , pursuant to which we agreed to be acquired by gilead in an all-cash transaction for an approximate value of $ 4.9 billion . on march 10 , 2020 , in accordance with the terms of the merger agreement , purchaser commenced a tender offer , to acquire all of our outstanding shares of common stock , $ 0.0001 par value per share , at a price of $ 95.50 per share , to be paid net to the seller in cash , without interest and subject to any required withholding of taxes , upon the terms and conditions described in the offer . story_separator_special_tag in connection with the release of claims by synthon and us , ssb agreed to release us from all claims and liabilities under the uspto and epo proceedings and to grant us a direct license to the sublicensed patents in the event the license between ssb and synthon is terminated . our sublicense includes the right to further sublicense the applicable patent rights to our collaborators , corporate partners and service providers and covers one named product , which is magrolimab . in addition , we have the right to replace magrolimab with a different anti-cd47 product in the event of a development failure of magrolimab . we will also have an option to expand our rights to cover a follow-on anti-cd47 product in exchange for a specified option exercise fee . synthon retains the right to use the licensed patents and to grant other third parties the right to do so . in exchange , for these sublicenses and option rights , we agreed to pay synthon an aggregate of up to approximately 40.0 million euros comprising an upfront payment upon the grant of the sublicense and the achievement of future regulatory and commercial milestones which comprise the significant majority of the aggregate payments . if we exercise our option right , we will pay synthon additional amounts upon the achievement of certain regulatory and commercial milestones related to such follow-on anti-cd47 product . in addition , we will be required to pay synthon an annual license fee and a royalty of a tiered , low single digit percentage on net sales of any approved licensed products . we have the right to buy out our royalty obligations for each licensed product in full by paying synthon specified lump sum amounts prior to the occurrence of certain defined events . license and collaboration agreements in september 2019 , we entered into a research collaboration with bluebird to pursue clinical proof-of-concept for our novel antibody-based conditioning regimen , fsi-174 ( anti-ckit antibody ) plus magrolimab ( anti-cd47 antibody ) , with bluebird 's ex vivo lentiviral vector hematopoietic stem cell ( lvv hsc ) gene therapy platform . this collaboration will focus initially on diseases that have the potential to be corrected with transplantation of autologous gene-modified blood-forming stem cells . pursuant to the agreement , each party will be responsible for 50 % of the cost of the study . as of december 31 , 2019 , we recorded a receivable of $ 0.7 million from bluebird for reimbursement of research and development costs incurred . in january 2018 , we entered into a clinical trial collaboration and supply agreement with merck , to evaluate magrolimab combined with merck 's cancer immunotherapy , avelumab , in a phase 1b clinical trial in patients with ovarian cancer . pursuant to the agreement , the parties will jointly pay for the cost of the study . as of december 31 , 2019 , we recorded a receivable of $ 0.3 million from merck for reimbursement of research and development costs incurred . 81 in november 2017 , we entered into a master clinical trial collaboration agreement with genentech to evaluate the safety , tolerability and preliminary efficacy of magrolimab combined with genentech 's cancer immunotherapy , atezolizumab , a fully humanized monoclonal antibody targeting pd-l1 , in two separate phase 1b clinical trials ( in patients with bladder cancer and aml , respectively ) . pursuant to the agreement , we will supply magrolimab for the studies and will partially reimburse genentech for its costs in connection with the bladder cancer study , and genentech will supply atezolizumab for the studies and be solely responsible for all of its costs in connection with the aml study . in november 2015 , we entered into a technology license agreement with stanford under which stanford granted us exclusive licenses under certain patents and other intellectual property rights relating to our current product candidates , including magrolimab and non-exclusive licenses under certain other patents and other intellectual property rights to develop , manufacture and commercialize products for use in certain licensed fields , including oncology . we are required to make milestone payments up to $ 5.6 million in respect of the first three licensed products that successfully satisfy certain clinical and regulatory milestones in the united states , major european countries and japan . the first such milestone payment of $ 75,000 was paid to stanford in february 2018. in addition , we are required to pay stanford a minimum annual fee and a royalty of a tiered single digit percentage on net sales of licensed products , reimburse patent-related expenses and share any non-royalty sublicensing income received related to the licensed technology . grant funding agreements in march 2017 , we entered into an agreement with lls regarding our nhl rituximab combination clinical trial , as amended in june 2018 to include an additional study . the lls research grant stipulated various milestone-based payments with a total award of $ 4.2 million through december 2019 which we had received as of december 31 , 2019. we are required to pay lls certain development and regulatory approval milestone payments , as well as a low single digit percentage royalty on net sales , up to a maximum of $ 13.7 million in the aggregate . in july 2019 , we entered into an amendment to our agreement with lls to further advance the treatment of mds . under the amendment , we are eligible for up to $ 3.0 million in additional grant funding based on milestone payments from lls upon the achievement of certain clinical or regulatory milestones in addition to the $ 4.2 million award that we received pursuant to the march 2017 agreement , as amended . as of december 31 , 2019 , we had not received any funding related to this grant . pursuant to the amendment , we could be required in the future to pay amounts

cash flows the following table summarizes our cash flows for the periods indicated : replace_table_token_3_th operating activities in 2019 , cash used in operating activities of $ 78.1 million was attributable to a net loss of $ 87.6 million , partially offset by $ 8.0 million in non-cash charges and a net change of $ 1.5 million in net operating assets and liabilities . the non-cash charges consisted primarily of stock-based compensation of $ 5.0 million , change in fair value of the lls contingent repayment obligation of $ 2.6 million , amortization of right-of-use assets of $ 1.1 million and depreciation and amortization of $ 0.5 million , partially offset by $ 1.0 million related to the accretion of discounts on marketable securities . the change in operating assets and liabilities was due to a $ 3.9 million increase in accounts payable and accrued liabilities resulting from the timing of payments and a $ 1.0 million increase in deferred grant funding due to receipt of the research grant funding payments . these changes were partially offset by a $ 1.6 million increase in prepaid expense and other current assets driven by additional prepayments made for research and development activities and other receivables , a $ 1.2 million decrease in lease related liabilities due to lease payments and a $ 0.6 million increase in other noncurrent assets driven by timing of the research and development prepayments . in 2018 , cash used in operating activities of $ 66.0 million was attributable to a net loss of $ 70.4 million , partially offset by a net change of $ 1.0 million in net operating assets and liabilities , and a net change of $ 3.4 million in non-cash charges .


 Write a concise suspicious activity report of the following text delimited by triple backquotes. Return your response as a formal report which covers the key points highlighting the location,dates,entity names and account holder information in chronological order of the text.
     ```cash flows the following table summarizes our cash flows for the periods indicated : replace_table_token_3_th operating activities in 2019 , cash used in operating activities of $ 78.1 million was attributable to a net loss of $ 87.6 million , partially offset by $ 8.0 million in non-cash charges and a net change of $ 1.5 million in net operating assets and liabilities . the non-cash charges consisted primarily of stock-based compensation of $ 5.0 million , change in fair value of the lls contingent repayment obligation of $ 2.6 million , amortization of right-of-use assets of $ 1.1 million and depreciation and amortization of $ 0.5 million , partially offset by $ 1.0 million related to the accretion of discounts on marketable securities . the change in operating assets and liabilities was due to a $ 3.9 million increase in accounts payable and accrued liabilities resulting from the timing of payments and a $ 1.0 million increase in deferred grant funding due to receipt of the research grant funding payments . these changes were partially offset by a $ 1.6 million increase in prepaid expense and other current assets driven by additional prepayments made for research and development activities and other receivables , a $ 1.2 million decrease in lease related liabilities due to lease payments and a $ 0.6 million increase in other noncurrent assets driven by timing of the research and development prepayments . in 2018 , cash used in operating activities of $ 66.0 million was attributable to a net loss of $ 70.4 million , partially offset by a net change of $ 1.0 million in net operating assets and liabilities , and a net change of $ 3.4 million in non-cash charges .
```    
 Suspicious Activity Report : despite the central role of macrophages as cell-eating scavengers and first responders , the pharmaceutical industry is only beginning to bring this key group of cells into the fight against cancer . our company was founded in 2014 by leading scientists at stanford university who uncovered the fundamental role of cd47 in cancer evasion . preclinical work performed in the laboratory of our co-founder , irving l. weissman , at stanford university and at forty seven demonstrated that : blocking the cd47 “ do n't eat me ” signaling pathway leads to elimination of many types of tumors and increased survival ; boosting an “ eat me ” signal found on cancer cells using therapeutic antibodies results in a synergistic effect with blocking cd47 ; 73 increasing “ eat me ” signal expression on cancer cells through cytotoxic and chemotherapeutic agents like azacitidine , which is synergistic with blocking cd47 ; and macrophages digest cancer cells in a process called phagocytosis and present tumor-specific antigens that can activate t cells against the cancer , thus creating the potential for synergy with t cell checkpoint inhibitors . our lead product candidate , magrolimab , is a humanized igg4 subclass monoclonal antibody against cd47 that is designed to interfere with recognition of cd47 by the sirp α receptor on macrophages , thus blocking the “ do n't eat me ” signal . the design of magrolimab , combined with our proprietary dosing regimen , overcomes the toxicity limitations of previously tested anti-cd47 therapies developed by others . across all study populations , magrolimab has been well tolerated with no maximum tolerated dose , or mtd , observed in any study despite dosing up to 45 mg/kg . the most common treatment-associated effects observed to date were the expected cd47-mechanism-based effects on red blood cells , which led to a temporary and reversible anemia . other reported treatment-related adverse events include infusion reactions , headache , fatigue , chills , fever and nausea . the majority of these adverse events were mild to moderate in severity and were generally easily managed . to date , there are no approved therapies that target the cd47 checkpoint of the innate immune system . the targeting of cd47 to make cancer cells susceptible to macrophages , a component of the innate immune system , is analogous to the approach that has been applied with checkpoint inhibitors and t cells , a component of the adaptive immune system . since their introduction in 2011 , t cell checkpoint inhibitors have become frontline therapies for certain cancers and we estimate that they generated over $ 22 billion in sales in 2019. despite the success of t cell checkpoint inhibitors , these therapies have been shown to be effective only in a subset of tumors , highlighting the need for additional therapies . similar to the way cancer cells overexpress programmed death-ligand 1 , or pd-l1 , to avoid attack by t cells , cancer cells overexpress cd47 as a way to avoid destruction by macrophages . we believe targeting cd47 represents a compelling and analogous approach . since our inception in 2014 , we have devoted most of our resources to identifying and developing magrolimab , advancing our preclinical programs , conducting clinical trials and providing general and administrative support for these operations . to date , we have not generated any revenue from product sales . in july 2019 , we recognized $ 15.7 million of license revenue under a license and collaboration arrangement . we have funded our operations to date primarily from the issuance and sales of our capital stock and the receipt of government and private grants and licensing revenue . we are eligible to receive up to $ 22.4 million in grants from the california institute for regenerative medicine , or cirm , and the leukemia and lymphoma society , or lls , of which $ 17.0 million has been received through december 31 , 2019. we have incurred net losses in each year since inception . our net losses were $ 87.6 and $ 70.4 million for the years ended december 31 , 2019 and 2018 , respectively . as of december 31 , 2019 , we had an accumulated deficit of $ 227.4 million . substantially all of our net losses have resulted from costs incurred in connection with our research and development programs and from general and administrative costs associated with our operations . we expect to continue to incur significant expenses and increasing operating losses over at least the next several years . we expect our expenses will increase substantially in connection with our ongoing activities , as we : advance product candidates through clinical trials ; pursue regulatory approval of product candidates ; operate as a public company ; continue our preclinical programs and clinical development efforts ; continue research activities for the discovery of new product candidates ; and manufacture supplies for our preclinical studies and clinical trials . 74 merger agreement on march 1 , 2020 , we entered into the merger agreement with gilead , pursuant to which we agreed to be acquired by gilead in an all-cash transaction for an approximate value of $ 4.9 billion . on march 10 , 2020 , in accordance with the terms of the merger agreement , purchaser commenced a tender offer , to acquire all of our outstanding shares of common stock , $ 0.0001 par value per share , at a price of $ 95.50 per share , to be paid net to the seller in cash , without interest and subject to any required withholding of taxes , upon the terms and conditions described in the offer . story_separator_special_tag in connection with the release of claims by synthon and us , ssb agreed to release us from all claims and liabilities under the uspto and epo proceedings and to grant us a direct license to the sublicensed patents in the event the license between ssb and synthon is terminated . our sublicense includes the right to further sublicense the applicable patent rights to our collaborators , corporate partners and service providers and covers one named product , which is magrolimab . in addition , we have the right to replace magrolimab with a different anti-cd47 product in the event of a development failure of magrolimab . we will also have an option to expand our rights to cover a follow-on anti-cd47 product in exchange for a specified option exercise fee . synthon retains the right to use the licensed patents and to grant other third parties the right to do so . in exchange , for these sublicenses and option rights , we agreed to pay synthon an aggregate of up to approximately 40.0 million euros comprising an upfront payment upon the grant of the sublicense and the achievement of future regulatory and commercial milestones which comprise the significant majority of the aggregate payments . if we exercise our option right , we will pay synthon additional amounts upon the achievement of certain regulatory and commercial milestones related to such follow-on anti-cd47 product . in addition , we will be required to pay synthon an annual license fee and a royalty of a tiered , low single digit percentage on net sales of any approved licensed products . we have the right to buy out our royalty obligations for each licensed product in full by paying synthon specified lump sum amounts prior to the occurrence of certain defined events . license and collaboration agreements in september 2019 , we entered into a research collaboration with bluebird to pursue clinical proof-of-concept for our novel antibody-based conditioning regimen , fsi-174 ( anti-ckit antibody ) plus magrolimab ( anti-cd47 antibody ) , with bluebird 's ex vivo lentiviral vector hematopoietic stem cell ( lvv hsc ) gene therapy platform . this collaboration will focus initially on diseases that have the potential to be corrected with transplantation of autologous gene-modified blood-forming stem cells . pursuant to the agreement , each party will be responsible for 50 % of the cost of the study . as of december 31 , 2019 , we recorded a receivable of $ 0.7 million from bluebird for reimbursement of research and development costs incurred . in january 2018 , we entered into a clinical trial collaboration and supply agreement with merck , to evaluate magrolimab combined with merck 's cancer immunotherapy , avelumab , in a phase 1b clinical trial in patients with ovarian cancer . pursuant to the agreement , the parties will jointly pay for the cost of the study . as of december 31 , 2019 , we recorded a receivable of $ 0.3 million from merck for reimbursement of research and development costs incurred . 81 in november 2017 , we entered into a master clinical trial collaboration agreement with genentech to evaluate the safety , tolerability and preliminary efficacy of magrolimab combined with genentech 's cancer immunotherapy , atezolizumab , a fully humanized monoclonal antibody targeting pd-l1 , in two separate phase 1b clinical trials ( in patients with bladder cancer and aml , respectively ) . pursuant to the agreement , we will supply magrolimab for the studies and will partially reimburse genentech for its costs in connection with the bladder cancer study , and genentech will supply atezolizumab for the studies and be solely responsible for all of its costs in connection with the aml study . in november 2015 , we entered into a technology license agreement with stanford under which stanford granted us exclusive licenses under certain patents and other intellectual property rights relating to our current product candidates , including magrolimab and non-exclusive licenses under certain other patents and other intellectual property rights to develop , manufacture and commercialize products for use in certain licensed fields , including oncology . we are required to make milestone payments up to $ 5.6 million in respect of the first three licensed products that successfully satisfy certain clinical and regulatory milestones in the united states , major european countries and japan . the first such milestone payment of $ 75,000 was paid to stanford in february 2018. in addition , we are required to pay stanford a minimum annual fee and a royalty of a tiered single digit percentage on net sales of licensed products , reimburse patent-related expenses and share any non-royalty sublicensing income received related to the licensed technology . grant funding agreements in march 2017 , we entered into an agreement with lls regarding our nhl rituximab combination clinical trial , as amended in june 2018 to include an additional study . the lls research grant stipulated various milestone-based payments with a total award of $ 4.2 million through december 2019 which we had received as of december 31 , 2019. we are required to pay lls certain development and regulatory approval milestone payments , as well as a low single digit percentage royalty on net sales , up to a maximum of $ 13.7 million in the aggregate . in july 2019 , we entered into an amendment to our agreement with lls to further advance the treatment of mds . under the amendment , we are eligible for up to $ 3.0 million in additional grant funding based on milestone payments from lls upon the achievement of certain clinical or regulatory milestones in addition to the $ 4.2 million award that we received pursuant to the march 2017 agreement , as amended . as of december 31 , 2019 , we had not received any funding related to this grant . pursuant to the amendment , we could be required in the future to pay amounts

