Goodwill and other intangible assets

6 Months Ended

Jun. 30, 2022

Goodwill and other intangible assets

Goodwill and other intangible assets

7. Goodwill and other intangible assets

In-process R&D of $5.9 million was recorded in connection with the acquisition of Pelican, as described in Note 2. During the fourth quarter of 2021, due to a sustained decline in the quoted market price of its common stock, the Company performed an interim impairment analysis using the income approach and in-process R&D with a total carrying value of $5.9 million was written down to its estimated fair value of $3.5 million and an impairment charge of $2.4 million during the fourth quarter of 2021 was recorded.

Goodwill and an intangible asset were recorded in connection with the acquisition of Elusys Therapeutics, as described in Note 2. The intangible asset consists of the fair value of the ANTHIM® formulation and will be amortized over its estimated useful life of 80 months. The change in the carrying amount of goodwill and intangible assets during the six months ended June 30, 2022 is as follows:

					Intangible
	Goodwill		IPR&D		Assets
Balance at December 31, 2021	$	—	$	3,500,000	$	—
Acquisition of Elusys Therapeutics		5,067,747		—		11,200,000
Amortization of intangible assets		—		—		(350,000)
Balance at June 30, 2022	$	5,067,747	$	3,500,000	$	10,850,000

The Company performs an annual impairment test at the reporting unit level as of April 1st of each fiscal year. No impairment was recorded during the quarters ended June 30, 2022 or 2021.