LICENSE, COLLABORATION AND ASSET ACQUISITION AGREEMENTS (Tables)

12 Months Ended

Dec. 31, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Scheduled of Asset Acquisition

The following table represents the costs accumulated to acquire BioSpecifics (in thousands):

	December 2, 2020
Base purchase price (1)	$	650,029
Vested employee options and benefits (2)	10,280
Transaction costs	10,268
Less: royalty obligations discharged (3)	(14,909)
Total acquisition consideration	$	655,668

__________

(1)Represents cash consideration paid for 6,159,975 shares tendered and 1,184,980 remaining shares not tendered, but automatically cancelled and funded in an escrow account.

(2)In accordance with BioSpecifics’ stock plan and employment arrangements, certain unvested options and employee bonus compensation immediately vested and accelerated, with no future service requirement, upon change in control. We have accounted for the accelerated vestings as a component of consideration transferred.

(3)Represents the total reduction to the base purchase price for the pre-acquisition accrued and unpaid royalty liability discharged on the date of closing.

The following table summarizes the allocation of consideration transferred on a relative fair value basis to identifiable tangible and intangible assets and other information about the assets and liabilities acquired at the BioSpecifics acquisition date (in thousands):

	December 2, 2020
Cash and cash equivalents	$	21,073
Investments (1)	89,050
Intangible assets—developed technology	673,796
Intangible assets—in-process research and development	28,602
Other acquired assets	3,089
Deferred tax liability	(156,441)
Other assumed liabilities	(3,501)
Net identifiable assets acquired	$	655,668

__________

(1)Investments acquired primarily consisted of debt securities acquired from BioSpecifics on December 2, 2020. Investments acquired were fully liquidated prior to December 31, 2020. No material gains or losses were recognized upon liquidation.

The following table summarizes changes to the gross carrying amount, accumulated amortization and net book amount of the Existing Intangible Assets and the new intangible assets resulting from the BioSpecifics acquisition (in thousands):

	Gross Carrying Amount		Accumulated Amortization		Net Book Amount
Asset balances immediately prior to BioSpecifics acquisition	$	1,580,600	$	(725,123)	$	855,477
Additional costs incurred in connection with BioSpecifics acquisition	673,796		—		673,796
Asset balances immediately following BioSpecifics acquisition	$	2,254,396	$	(725,123)	$	1,529,273