Nature of Business and Organization

6 Months Ended

Jun. 30, 2011

Nature of Business and Organization [Abstract]

Nature of Business and Organization

1. Nature of Business and Organization

     Endocyte, Inc. (the “Company”) was incorporated on December 6, 1995. The Company is a biopharmaceutical company developing targeted therapies for the treatment of cancer and inflammatory diseases. The Company uses its proprietary technology to create novel small molecule drug conjugates, or SMDCs, and companion imaging diagnostics.

Initial Public Offering

     On February 9, 2011, the Company completed its initial public offering of 14,375,000 shares of common stock, including 1,875,000 shares of common stock pursuant to the exercise of the over-allotment option by the underwriters. Proceeds, net of underwriting discounts, commissions and other transaction costs were approximately $78.2 million. Upon the closing of the offering, the Subordinated Notes (see footnote 6) automatically converted into 2,335,823 shares of common stock using a conversion price of $5.10 per share (85% of the original issue price of the shares sold in the initial public offering), all of the outstanding shares of preferred stock were converted to common stock and the outstanding warrants to purchase Series C-3 preferred stock were converted to warrants to purchase common stock and reclassified from a liability to equity. Prepaid expenses as of December 31, 2010 included $1.9 million of deferred costs for legal, accounting and other direct costs related to the Company’s initial public offering. These costs were reclassified to additional paid-in capital upon completion of the initial public offering as a reduction of the initial public offering proceeds.

Stock Split

     On January 10, 2011, the Company effected a 1.00 for 1.91 reverse stock split of its common stock. All historical common stock and per share information has been changed to reflect the stock split.