aibioVivoSim amends Organovo lease, giving up part of its San Diego office
Tickers VIVS
Organovo, a VivoSim subsidiary, agreed on October 13, 2026 to vacate Suite 202 by February 28, 2027, extend Suite 100 through April 30, 2028 and receive a partial rent abatement.
Key facts
- Company
- VivoSim Labs, INC. (NASDAQ: VIVS)
- News type
- Company Updates
- Primary source
- VivoSim Labs, INC. 8-K (2026-10-16)
VivoSim Labs, Inc. (Nasdaq: VIVS) disclosed on October 16, 2026 that its wholly owned subsidiary Organovo, Inc. entered into a Second Amendment to its Amended and Restated Lease on October 13, 2026. The landlord is San Diego Inspire 2, LLC. The lease covers the company's principal executive offices at 11555 Sorrento Valley Road in San Diego, California. The Form 8-K was signed by Keith Murphy, Executive Chairman.
Terms of the amendment
The amendment changes the leased premises in several ways. Organovo must vacate and surrender Suite 202 on or before February 28, 2027. The term for Suite 100 is extended from March 1, 2027 through April 30, 2028. The monthly base rent is adjusted to $43,072.85. Organovo will receive a rental abatement for the period from March 1, 2027 through June 30, 2027 of $21,536.43 per month, for an aggregate rental abatement of $86,145.70. The amendment also modifies certain other terms and provisions of the lease.
The original lease is dated November 23, 2020, and was amended by a First Amendment dated November 17, 2021. The full Second Amendment, dated October 13, 2026, is filed as Exhibit 10.1 to the report.
The business
The 10-K describes VivoSim as a pharmaceutical and biotechnology services company that tests drugs and drug candidates in three-dimensional human tissue models of the liver and intestine. It offers liver and intestinal toxicology insights using what it calls new approach methodologies, or NAM, models. The 10-K cites the Food and Drug Administration announcement of April 10, 2025 to refine animal testing requirements in favor of these non-animal methods.
The 10-K says VivoSim expects to offer bespoke services in investigational toxicology, mechanism of drug action elucidation, and other applications of its human tissue models. It also notes that less than 10% of drug candidates entering clinical trials are approved, with a portion of the failures due to unexpected liver toxicity or intestinal intolerability.
Before March 2025, VivoSim was a clinical stage company developing FXR314 in inflammatory bowel disease. In March 2025 it sold the FXR program for $10.0 million, with $9.0 million paid at closing and $1.0 million held in escrow for 15 months, plus milestones of up to $50.0 million if FXR314 reaches key development, regulatory and commercial milestones. In July 2026 the company received a $5.0 million milestone payment tied to a development milestone for FXR314. The company changed its name to VivoSim Labs, Inc. effective April 24, 2025. At the May 2025 Digestive Disease Week, it presented liver toxicology results showing 87.5% predictive power; the sources give no sample size, comparator or independent validation for that figure.
Financial position
For the fiscal year ended March 31, 2026, VivoSim reported research and development expense of $4.2 million, compared with $5.0 million for the fiscal year ended March 31, 2025. Net loss was $13.8 million for fiscal 2026 and $2.5 million for fiscal 2025. Cash from operations was negative $10.8 million for fiscal 2026 and negative $9.5 million for fiscal 2025. Year-end cash and cash equivalents were $11.3 million at March 31, 2025, according to the 10-K filed July 14, 2026. The XBRL data give $5.0 million for fiscal 2026 according to a 10-Q filed August 12, 2026, and cash and cash equivalents of $1.7 million at June 30, 2026.
What comes next
Organovo must vacate Suite 202 by February 28, 2027. From March 1, 2027, the rent abatement applies through June 30, 2027, and the Suite 100 term runs through April 30, 2028. The filing does not describe any other plans for the space. The company's cash was thin: $1.7 million at June 30, 2026, before the $5.0 million FXR314 milestone arrived in July. It reported a fiscal 2026 net loss of $13.8 million with cash from operations of negative $10.8 million. The sources describe the toxicology services as something VivoSim expects to offer, and give no customer or revenue figures. The 10-K's forward-looking statements also refer to a strategic transaction process, which the 8-K does not explain. The remaining $50.0 million in FXR314 milestones depend on a program VivoSim no longer controls.