Liquidity, Going Concern and Management Plans

3 Months Ended

Mar. 31, 2023

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Liquidity, Going Concern and Management Plans

Liquidity, Going Concern and Management Plans

The accompanying unaudited condensed consolidated financial statements have been prepared assuming that the Company will continue as a going concern, which contemplates the continuity of operations, realization of assets, and liquidation of liabilities in the normal course of business.

The Company had cash and cash equivalents and restricted cash of $364.8 million, working capital (excluding discontinued operations) of $65.0 million and an accumulated deficit of $1.6 billion as of March 31, 2023. The Company incurred a net loss from continuing operations of $83.4 million for the three months ended March 31, 2023. Since inception, the Company’s operations have been financed primarily through the sale of equity and debt securities. The Company has incurred losses from operations and negative cash flows from operating activities since inception and expects to incur substantial losses.

As discussed further in Note 12, during the three months ended March 31, 2023, the Company received net proceeds of approximately $106.1 million (after deducting $2.5 million in commissions and expenses) from sales of 71,444,729 shares of its common stock, at a weighted average gross sales price of $1.52 per share pursuant to an at-the-market sales agreement with its sales agents.

The Company believes that its current cash and cash equivalents provide it with the necessary liquidity to continue as a going concern for at least one year from the date of issuance of these financial statements.

In addition to the foregoing, the Company cannot predict the potential impact on its development timelines, revenue levels and its liquidity due to macroeconomic factors, including inflationary cost pressures and potential recession indicators, which depend on factors beyond the Company's knowledge or control. Based upon the Company’s current assessment, it does not expect the impact of macroeconomic factors to materially impact the Company’s operations. However, the Company is continuing to assess the impact that macroeconomic factors may have on its operations, financial condition and liquidity.