NOTE 9 – INTANGIBLE ASSETS

Intellectual property included the following intangible assets acquired by the Company:

$6.7 million recorded as a result of the acquisition of Agalimmune, primarily related to its main drug candidate, AGI-134 (see Note 1a). In December 2023, the Company made a decision to terminate the development of AGI-134. Accordingly, the intellectual property related to AGI-134 has been written-off in the 2023 financial statements.

$15.0 million associated with BL-8040 were recorded following an amendment to the in-licensing agreement with Biokine Therapeutics Ltd. ("Biokine"). This amendment reduced the payments owed by the Company on sublicense receipts (as defined in the license agreement) from 40% to 20%. This intellectual property is amortized proportionally with the revenues recognized from the licensing transaction with HST and Gloria in Asia (see Note 16), as well as in accordance with the lifespan of the patents in the U.S., following commencement of self-commercialization of motixafortide towards the end of 2023.

Set forth below are the composition of intangible assets and the related accumulated depreciation, grouped by major classifications:

	Cost								Accumulated depreciation and impairment
	Balance at		Additions		Disposal		Balance at		Balance at		Additions		Impairment		Balance at		Net book value
	beginning		during		during		end of		beginning		during		during		end of		December 31,
	of year		year		year		year		of year		year		year		year		2022		2023
	in USD thousands								in USD thousands								in USD thousands
Composition in 2023
Intellectual property		21,792		-		450		21,342		96		-		6,703		6,799		21,696		14,543
Computer software		801		181		-		982		612		59		-		671		189		311
		22,593		181		450		22,324		708		59		6,703		7,470		21,885		14,854