Related Party Transactions

6 Months Ended

Jun. 30, 2013

Related Party Transactions

6. Related Party Transactions

On January 6, 2011, the Company entered into an Exclusive Channel Partner Agreement (the “Channel Agreement”) with Intrexon Corporation (see Note 7 for additional disclosure relating to the Channel Agreement). Our director, Randall J. Kirk, is the CEO, a director, and the largest stockholder of Intrexon. During the six months ended June 30, 2012, the Company paid Intrexon approximately $10.7 million, of which $2.5 million was for services already incurred and the remaining $8.2 million expected to be incurred within a year. This amount has been included as part of prepaid expenses and other current assets on the balance sheet as of June 30, 2012. During the six months ended June 30, 2013, the Company was billed $3.7 million for services performed by Intrexon, which was applied against the prepaid balance. As of June 30, 2013, the prepaid balance in other current assets on the accompanying balance sheet was $1.1 million.

On January 25, 2012, Intrexon purchased 1,923,075 shares of common stock in the Company’s public offering (see Note 9).

On November 7, 2012, the Company issued 3,636,926 shares of common stock to Intrexon (see Note 9).