in september 2018 , we earned a $ 2.0 million development milestone payment upon completion of the planned enrollment of 380 patients in the toca 5 clinical trial . we do not have any products approved for sale and have not generated any revenue from product sales . we have funded our operations primarily through the private placement of our convertible preferred stock , from which we received net proceeds of $ 131.4 million and our initial public offering in april 2017 , from which we received net proceeds of $ 86.9 million and our public offering in december 2018 from which we received net proceeds of $ 28.0 million . we have also received $ 44.0 million in net proceeds from term loans , $ 15.7 million in net proceeds from upfront and milestone payments under our license and collaboration agreements , $ 10.9 million from the issuance of our convertible promissory notes payable , and $ 2.6 million from private and federal grants . since our inception in august 2007 , we have devoted substantially all of our efforts to developing our gene therapy platform and our lead product candidate , toca 511 & toca fc . we have never been profitable and have incurred significant operating losses in each year since our inception . we had an accumulated deficit of $ 215.9 million as of december 31 , 2018. substantially all of our net losses resulted from costs incurred in connection with our research , preclinical , clinical , product , regulatory and business development activities , as well as raising capital and building our infrastructure . 59 we expect to continue to incur significant expenses and increasing net operating losses for at least the next several years . we expect our expenses will increase substantially in connection with our ongoing activitie s as we continue to develop and seek regulatory approval of our product candidates and operate as a public company . to fund further operations , we will need to raise additional capital . accordingly , we will seek to fund our operations through equity and or debt financings . we may also consider new collaborations or selectively partnering our technology or programs . however , we may be unable to raise additional funds or enter into such other arrangements when needed on favorable terms or at all . in addition , subject to limited exceptions , our loan agreement ( as defined below ) also prohibits us from incurring indebtedness without the prior written consent of the lenders . our failure to raise capital or enter into such other arrangements as and when needed would have a negative impact on our financial condition and our ability to develop our product candidates . atm facility in november 2018 , we entered into an equity distribution agreement with citigroup global markets inc. , or citigroup , pursuant to which we may sell and issue shares of our common stock having an aggregate offering price of up to $ 30,000,000 from time to time through citigroup , as our sales agent , or the atm facility . as of december 31 , 2018 , we have not sold any shares of our common stock under the atm facility . public offering in december 2018 , we completed a public offering in which we sold an aggregate of 3,000,000 shares of common stock at a price of $ 10.00 per share . net proceeds from the public offering , after deducting underwriting discounts , commissions and offering expenses , were approximately $ 28.0 million . financial operations overview revenue we currently have no products approved for sale , and have not generated any revenues from the sale of products . we have not submitted any product candidate for regulatory approval . our revenue has been derived from our license and collaboration arrangement we entered into with siemens healthcare diagnostics inc. , or siemens , in 2011 under which we received a nonrefundable , non-creditable , lump-sum , upfront license payment of $ 0.5 million for our sublicense to siemens of certain diagnostic assay technology and the license agreement with apollobio , under which we received net proceeds of $ 15.2 million which was comprised of a $ 16.0 million up-front payment and a $ 2.0 million development milestone payment less $ 1.7 million in foreign income taxes and $ 1.1 million in certain foreign non-income taxes . as of december 31 , 2018 , $ 18.0 million in revenue was recognized under the license agreement . in the future , we may generate revenue from a combination of product sales , royalties and milestones in connection with our siemens agreement , the license agreement and any future marketing and distribution arrangements and other collaborations , strategic alliances and license arrangements , or a combination of these approaches . however , we do not expect to receive additional revenues unless and until we receive regulatory approval for product candidates or potentially enter into other collaboration agreements . we expect that any revenue we generate will fluctuate from quarter to quarter and year to year as a result of the timing and amount of license fees , milestone and other payments , and the amount and timing of payments that we receive upon the sale of our products , to the extent any are successfully commercialized . if we fail to complete the development of our product candidates in a timely manner or obtain regulatory approval of them , our ability to generate future revenue , and our results of operations and financial position , would be materially adversely affected . research and development expenses research and development expenses consist primarily of salaries and related expenses for personnel , including non-cash stock-based compensation costs , preclinical costs , clinical trial costs , costs related to acquiring and manufacturing clinical trial materials , contract services , facilities costs , overhead costs and depreciation . story_separator_special_tag since inception through december 31 , 2018 , we have funded our operations primarily through the private placement of our convertible preferred stock from which we received net proceeds of $ 131.4 million , our initial public offering in april 2017 , from which we received net proceeds of $ 86.9 million and our public offering in december 2018 from which we received net proceeds of $ 28.0 million . we have also received $ 44.0 million in net proceeds from term loans , $ 15.7 million in net proceeds from upfront and milestone payments under our license and collaboration agreements , $ 10.9 million from the issuance of our convertible promissory notes payable , and $ 2.6 million from private and federal grants . in november 2018 , we entered into the atm facility with citigroup , pursuant to which we may sell and issue shares of our common stock having an aggregate offering price of up to $ 30,000,000 from time to time through citigroup , as our sales agent . as of december 31 , 2018 , we have not sold any shares of our common stock under the atm facility . the loans under our amended and restated loan and security agreement with two lenders , dated may 18 , 2018 , as amended , or the loan agreement , are secured by substantially all of our assets other than our intellectual property ( except rights to payment from the sale , licensing of disposition of such intellectual property ) . as of december 31 , 2018 , there was $ 26.2 million outstanding under the loan agreement . balances under the loan agreement accrue interest at the prime rate plus 3.75 % , subject to a floor of 8.50 % . the interest rate as of december 31 , 2018 was 9.00 % . the loans under the loan agreement mature in december 2022 with interest only payments through january 1 , 2020 followed by 36 monthly payments of principal and interest , provided that the interest only period may be extended ( and the number of principal and interest payments will be correspondingly reduced ) in certain circumstances . the loan agreement contains customary conditions of borrowing , events of default and covenants , including covenants that restrict our ability to dispose of assets , merge with or acquire other entities , incur indebtedness and make distributions to holders of our capital stock . should an event of default occur , including the occurrence of a material adverse change , we could be liable for immediate repayment of all obligations under the loan agreement . as of december 31 , 2018 , we had $ 96.1 million in cash , cash equivalents and marketable securities . our available cash and marketable securities are invested in accordance with our investment policy , primarily with a view to preserve principal and maintain liquidity . 65 story_separator_special_tag style= `` margin-top:6pt ; margin-bottom:0pt ; color : # 000000 ; font-weight : normal ; font-style : normal ; text-transform : none ; font-variant : normal ; font-family : times new roman ; font-size:10pt ; `` > the progress , timing , costs and results of our ongoing phase 3 clinical trial of toca 511 & toca fc ; the progress , timing , costs and results of our phase 1 dose escalation clinical trials that include our intratumoral study , resection study , and intravenous study ; the progress , timing , costs and results of development for toca 511 & toca fc for the treatment of metastatic solid tumors ; the progress , timing , costs and results of development for our other future product candidates ; the outcome , timing and cost of regulatory approvals by the fda and comparable foreign regulatory authorities , including the potential for the fda or comparable foreign regulatory authorities to require that we perform more studies than those that we currently expect ; the ability of our product candidates to progress through clinical development successfully ; the cost of filing , prosecuting , defending and enforcing any patent claims and other intellectual property rights ; arrangements with third-party service providers and manufacturers ; our need and ability to hire additional personnel ; our need to implement additional infrastructure and internal systems ; the effect of competing technological and market developments ; and the cost of establishing sales , marketing and distribution capabilities for any products for which we may receive regulatory approval . a change in the outcome of any of these variables with respect to the development of any of our product candidates would significantly change the costs and timing associated with the development of that product candidate . until we can generate a sufficient amount of revenue from our products , if ever , we expect to finance future cash needs through equity and or debt financings . we may also consider new collaborations or selectively partnering our technology or programs . other than our atm facility , we do not have any committed external source of funds . additional capital may not be available on reasonable terms , if at all . subject to limited exceptions , our loan agreement also prohibits us from incurring indebtedness without the prior written consent of the lenders . if we are unable to raise additional capital in sufficient amounts or on terms acceptable to us , we may have to significantly delay , scale back or discontinue the development or commercialization of one or more of our product candidates . if we raise additional funds through the issuance of additional equity or debt securities , it could result in dilution to our existing stockholders and increased fixed payment obligations , and these securities may have rights senior to those of our common stock . if we incur indebtedness , we could become subject to covenants that would restrict our operations and potentially impair our competitiveness , such as limitations on our

cash flows the following table sets forth the primary sources and uses of cash for each of the periods set forth below ( in thousands ) : replace_table_token_8_th operating activities net cash used in operating activities was $ 34.5 million for the year ended december 31 , 2018 , and consisted primarily of a net loss of $ 49.0 million adjusted for a net increase in cash from operating assets and liabilities of $ 6.1 million , noncash stock-based compensation expense of $ 6.9 million , depreciation expense of $ 0.6 million and noncash interest expense of $ 1.2 million . the $ 6.1 million net increase in cash from operating assets and liabilities is due primarily to a $ 5.4 million increase in our accounts payable and accrued liabilities resulting mainly from increases in clinical costs incurred to support our clinical trials and increase in our deferred rent of $ 1.0 million . net cash used in operating activities was $ 31.1 million for the year ended december 31 , 2017 , and consisted primarily of a net loss of $ 38.9 million adjusted for a net increase in cash from operating assets and liabilities of $ 2.5 million , noncash stock-based compensation expense of $ 4.5 million , depreciation expense of $ 0.3 million and noncash interest expense of $ 0.6 million . the $ 2.5 million net increase in cash from operating assets and liabilities is due primarily to a $ 3.3 million increase in our accounts payable and accrued liabilities resulting mainly from increases in clinical and manufacturing costs incurred to support our clinical trials and increased accrued payroll and related liabilities , primarily offset by a $ 0.7 million increase in prepaid expenses related to our clinical trial costs .


 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 sets forth the primary sources and uses of cash for each of the periods set forth below ( in thousands ) : replace_table_token_8_th operating activities net cash used in operating activities was $ 34.5 million for the year ended december 31 , 2018 , and consisted primarily of a net loss of $ 49.0 million adjusted for a net increase in cash from operating assets and liabilities of $ 6.1 million , noncash stock-based compensation expense of $ 6.9 million , depreciation expense of $ 0.6 million and noncash interest expense of $ 1.2 million . the $ 6.1 million net increase in cash from operating assets and liabilities is due primarily to a $ 5.4 million increase in our accounts payable and accrued liabilities resulting mainly from increases in clinical costs incurred to support our clinical trials and increase in our deferred rent of $ 1.0 million . net cash used in operating activities was $ 31.1 million for the year ended december 31 , 2017 , and consisted primarily of a net loss of $ 38.9 million adjusted for a net increase in cash from operating assets and liabilities of $ 2.5 million , noncash stock-based compensation expense of $ 4.5 million , depreciation expense of $ 0.3 million and noncash interest expense of $ 0.6 million . the $ 2.5 million net increase in cash from operating assets and liabilities is due primarily to a $ 3.3 million increase in our accounts payable and accrued liabilities resulting mainly from increases in clinical and manufacturing costs incurred to support our clinical trials and increased accrued payroll and related liabilities , primarily offset by a $ 0.7 million increase in prepaid expenses related to our clinical trial costs .
```    
 Suspicious Activity Report : in september 2018 , we earned a $ 2.0 million development milestone payment upon completion of the planned enrollment of 380 patients in the toca 5 clinical trial . we do not have any products approved for sale and have not generated any revenue from product sales . we have funded our operations primarily through the private placement of our convertible preferred stock , from which we received net proceeds of $ 131.4 million and our initial public offering in april 2017 , from which we received net proceeds of $ 86.9 million and our public offering in december 2018 from which we received net proceeds of $ 28.0 million . we have also received $ 44.0 million in net proceeds from term loans , $ 15.7 million in net proceeds from upfront and milestone payments under our license and collaboration agreements , $ 10.9 million from the issuance of our convertible promissory notes payable , and $ 2.6 million from private and federal grants . since our inception in august 2007 , we have devoted substantially all of our efforts to developing our gene therapy platform and our lead product candidate , toca 511 & toca fc . we have never been profitable and have incurred significant operating losses in each year since our inception . we had an accumulated deficit of $ 215.9 million as of december 31 , 2018. substantially all of our net losses resulted from costs incurred in connection with our research , preclinical , clinical , product , regulatory and business development activities , as well as raising capital and building our infrastructure . 59 we expect to continue to incur significant expenses and increasing net operating losses for at least the next several years . we expect our expenses will increase substantially in connection with our ongoing activitie s as we continue to develop and seek regulatory approval of our product candidates and operate as a public company . to fund further operations , we will need to raise additional capital . accordingly , we will seek to fund our operations through equity and or debt financings . we may also consider new collaborations or selectively partnering our technology or programs . however , we may be unable to raise additional funds or enter into such other arrangements when needed on favorable terms or at all . in addition , subject to limited exceptions , our loan agreement ( as defined below ) also prohibits us from incurring indebtedness without the prior written consent of the lenders . our failure to raise capital or enter into such other arrangements as and when needed would have a negative impact on our financial condition and our ability to develop our product candidates . atm facility in november 2018 , we entered into an equity distribution agreement with citigroup global markets inc. , or citigroup , pursuant to which we may sell and issue shares of our common stock having an aggregate offering price of up to $ 30,000,000 from time to time through citigroup , as our sales agent , or the atm facility . as of december 31 , 2018 , we have not sold any shares of our common stock under the atm facility . public offering in december 2018 , we completed a public offering in which we sold an aggregate of 3,000,000 shares of common stock at a price of $ 10.00 per share . net proceeds from the public offering , after deducting underwriting discounts , commissions and offering expenses , were approximately $ 28.0 million . financial operations overview revenue we currently have no products approved for sale , and have not generated any revenues from the sale of products . we have not submitted any product candidate for regulatory approval . our revenue has been derived from our license and collaboration arrangement we entered into with siemens healthcare diagnostics inc. , or siemens , in 2011 under which we received a nonrefundable , non-creditable , lump-sum , upfront license payment of $ 0.5 million for our sublicense to siemens of certain diagnostic assay technology and the license agreement with apollobio , under which we received net proceeds of $ 15.2 million which was comprised of a $ 16.0 million up-front payment and a $ 2.0 million development milestone payment less $ 1.7 million in foreign income taxes and $ 1.1 million in certain foreign non-income taxes . as of december 31 , 2018 , $ 18.0 million in revenue was recognized under the license agreement . in the future , we may generate revenue from a combination of product sales , royalties and milestones in connection with our siemens agreement , the license agreement and any future marketing and distribution arrangements and other collaborations , strategic alliances and license arrangements , or a combination of these approaches . however , we do not expect to receive additional revenues unless and until we receive regulatory approval for product candidates or potentially enter into other collaboration agreements . we expect that any revenue we generate will fluctuate from quarter to quarter and year to year as a result of the timing and amount of license fees , milestone and other payments , and the amount and timing of payments that we receive upon the sale of our products , to the extent any are successfully commercialized . if we fail to complete the development of our product candidates in a timely manner or obtain regulatory approval of them , our ability to generate future revenue , and our results of operations and financial position , would be materially adversely affected . research and development expenses research and development expenses consist primarily of salaries and related expenses for personnel , including non-cash stock-based compensation costs , preclinical costs , clinical trial costs , costs related to acquiring and manufacturing clinical trial materials , contract services , facilities costs , overhead costs and depreciation . story_separator_special_tag since inception through december 31 , 2018 , we have funded our operations primarily through the private placement of our convertible preferred stock from which we received net proceeds of $ 131.4 million , our initial public offering in april 2017 , from which we received net proceeds of $ 86.9 million and our public offering in december 2018 from which we received net proceeds of $ 28.0 million . we have also received $ 44.0 million in net proceeds from term loans , $ 15.7 million in net proceeds from upfront and milestone payments under our license and collaboration agreements , $ 10.9 million from the issuance of our convertible promissory notes payable , and $ 2.6 million from private and federal grants . in november 2018 , we entered into the atm facility with citigroup , pursuant to which we may sell and issue shares of our common stock having an aggregate offering price of up to $ 30,000,000 from time to time through citigroup , as our sales agent . as of december 31 , 2018 , we have not sold any shares of our common stock under the atm facility . the loans under our amended and restated loan and security agreement with two lenders , dated may 18 , 2018 , as amended , or the loan agreement , are secured by substantially all of our assets other than our intellectual property ( except rights to payment from the sale , licensing of disposition of such intellectual property ) . as of december 31 , 2018 , there was $ 26.2 million outstanding under the loan agreement . balances under the loan agreement accrue interest at the prime rate plus 3.75 % , subject to a floor of 8.50 % . the interest rate as of december 31 , 2018 was 9.00 % . the loans under the loan agreement mature in december 2022 with interest only payments through january 1 , 2020 followed by 36 monthly payments of principal and interest , provided that the interest only period may be extended ( and the number of principal and interest payments will be correspondingly reduced ) in certain circumstances . the loan agreement contains customary conditions of borrowing , events of default and covenants , including covenants that restrict our ability to dispose of assets , merge with or acquire other entities , incur indebtedness and make distributions to holders of our capital stock . should an event of default occur , including the occurrence of a material adverse change , we could be liable for immediate repayment of all obligations under the loan agreement . as of december 31 , 2018 , we had $ 96.1 million in cash , cash equivalents and marketable securities . our available cash and marketable securities are invested in accordance with our investment policy , primarily with a view to preserve principal and maintain liquidity . 65 story_separator_special_tag style= `` margin-top:6pt ; margin-bottom:0pt ; color : # 000000 ; font-weight : normal ; font-style : normal ; text-transform : none ; font-variant : normal ; font-family : times new roman ; font-size:10pt ; `` > the progress , timing , costs and results of our ongoing phase 3 clinical trial of toca 511 & toca fc ; the progress , timing , costs and results of our phase 1 dose escalation clinical trials that include our intratumoral study , resection study , and intravenous study ; the progress , timing , costs and results of development for toca 511 & toca fc for the treatment of metastatic solid tumors ; the progress , timing , costs and results of development for our other future product candidates ; the outcome , timing and cost of regulatory approvals by the fda and comparable foreign regulatory authorities , including the potential for the fda or comparable foreign regulatory authorities to require that we perform more studies than those that we currently expect ; the ability of our product candidates to progress through clinical development successfully ; the cost of filing , prosecuting , defending and enforcing any patent claims and other intellectual property rights ; arrangements with third-party service providers and manufacturers ; our need and ability to hire additional personnel ; our need to implement additional infrastructure and internal systems ; the effect of competing technological and market developments ; and the cost of establishing sales , marketing and distribution capabilities for any products for which we may receive regulatory approval . a change in the outcome of any of these variables with respect to the development of any of our product candidates would significantly change the costs and timing associated with the development of that product candidate . until we can generate a sufficient amount of revenue from our products , if ever , we expect to finance future cash needs through equity and or debt financings . we may also consider new collaborations or selectively partnering our technology or programs . other than our atm facility , we do not have any committed external source of funds . additional capital may not be available on reasonable terms , if at all . subject to limited exceptions , our loan agreement also prohibits us from incurring indebtedness without the prior written consent of the lenders . if we are unable to raise additional capital in sufficient amounts or on terms acceptable to us , we may have to significantly delay , scale back or discontinue the development or commercialization of one or more of our product candidates . if we raise additional funds through the issuance of additional equity or debt securities , it could result in dilution to our existing stockholders and increased fixed payment obligations , and these securities may have rights senior to those of our common stock . if we incur indebtedness , we could become subject to covenants that would restrict our operations and potentially impair our competitiveness , such as limitations on our

