Exhibit 99.2

IMMUNOPRECISE ANTIBODIES LTD.

CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the three and nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

IMMUNOPRECISE ANTIBODIES LTD.

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

(Unaudited - Expressed in Canadian dollars)

(in thousands)	Note		January 31, 2023 $			April 30, 2022 $
ASSETS
Current assets
Cash				11,324			29,965
Amounts receivable				2,278			2,503
Sales tax receivable				333			277
Inventory				1,808			1,615
Unbilled revenue				653			629
Prepaid expenses				2,474			2,481
				18,870			37,470
Restricted cash				85			82
Deposit on equipment				324			369
Investment at fair value through profit and loss				96			142
Property and equipment	6, 9			10,465			3,559
Intangible assets		7		31,491			32,390
Goodwill		5		21,107			19,635
Total assets				82,438			93,647
LIABILITIES
Current liabilities
Accounts payable and accrued liabilities	12			4,303			4,768
Sales tax payable				—			31
Deferred revenue				813			1,034
Income taxes payable				105			420
Convertible debentures – liability component		8		—			1,312
Leases		9		1,291			987
Deferred acquisition payments		5		140			740
				6,652			9,292
Leases		9		6,184			468
Deferred acquisition payments		5		534			497
Deferred income tax liability				7,987			8,105
Total liabilities				21,357			18,362
SHAREHOLDERS' EQUITY
Share capital		10		117,224			114,559
Convertible debentures – equity component		8		—			103
Contributed surplus		10		10,405			9,630
Accumulated other comprehensive loss				1,411			(2,479	)
Accumulated deficit				(67,959	)		(46,528	)
				61,081			75,285
Total liabilities and shareholders’ equity				82,438			93,647

Nature of operations (Note 1)

Approved and authorized on behalf of the Board of Directors on March 15, 2023

         “James Kuo”Director                                                “Greg Smith”             Director

The accompanying notes are an integral part of these condensed interim consolidated financial statements

2

IMMUNOPRECISE ANTIBODIES LTD.

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS

(Unaudited - Expressed in Canadian dollars)

		Three months ended January 31,						Nine months ended January 31,
(in thousands, except share data)	Note	2023 $			2022 $			2023 $			2022 $
REVENUE			5,171			4,815			15,044			14,125
COST OF SALES			2,207			2,229			6,822			6,458
GROSS PROFIT			2,964			2,586			8,222			7,667
EXPENSES
Research and development			1,032			2,058			11,778			6,339
Sales and marketing			836			812			2,674			1,814
General and administrative			4,643			3,521			13,149			10,464
Amortization of intangible assets	7		1,033			502			3,097			1,511
			7,544			6,893			30,698			20,128
Loss before other income (expenses) and income taxes			(4,580	)		(4,307	)		(22,476	)		(12,461	)
OTHER INCOME (EXPENSES)
Accretion	8		—			(21	)		(3	)		(65	)
Grant income	14		22			36			306			36
Subsidy income	14		—			—			—			20
Interest and other income			39			160			73			170
Unrealized foreign exchange gain (loss)			(76	)		514			244			821
			(15	)		689			620			982
Loss before income taxes			(4,595	)		(3,618	)		(21,856	)		(11,479	)
Income taxes			(104	)		(208	)		425			(586	)
NET LOSS FOR THE PERIOD			(4,699	)		(3,826	)		(21,431	)		(12,065	)
OTHER COMPREHENSIVE INCOME (LOSS)
Items that will be reclassified subsequently to loss
Exchange difference on translating foreign operations			3,748			(64	)		3,890			(798	)
COMPREHENSIVE LOSS FOR THE PERIOD			(951	)		(3,890	)		(17,541	)		(12,863	)
LOSS PER SHARE – BASIC AND DILUTED			(0.19	)		(0.20	)		(0.86	)		(0.62	)
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING			24,944,679			19,429,459			24,852,887			19,332,597

The accompanying notes are an integral part of these condensed interim consolidated financial statements

3

IMMUNOPRECISE ANTIBODIES LTD.

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY

(Unaudited - Expressed in Canadian dollars)

(in thousands, except share data)	Number of Shares		Share Capital $		Convertible Debentures – Equity Component $			Contributed Surplus $			Accumulated Other Comprehensive (Loss) Income $			Accumulated Deficit $			Total $
Balance, April 30, 2021		19,169,216		80,102		127			7,201			(687	)		(29,819	)		56,924
Shares issued pursuant to deferred acquisition payment to IPA Europe		41,488		503		—			—			—			—			503
Shares issued pursuant to option exercise		158,000		788		—			(326	)		—			—			462
Shares issued pursuant to warrant exercise		17,194		68		—			(7	)		—			—			61
Shares issued pursuant to conversion of convertible debentures		75,292		329		(25	)		—			—			—			304
Share-based payments		—		—		—			2,297			—			—			2,297
Comprehensive income (loss) for the period		—		—		—			—			(798	)		(12,065	)		(12,863	)
Balance, January 31, 2022		19,461,190		81,790		102			9,165			(1,485	)		(41,884	)		47,688
Balance, April 30, 2022		24,476,846		114,559		103			9,630			(2,479	)		(46,528	)		75,285
Shares issued pursuant to option exercise		178,725		1,247		—			(532	)		—			—			715
Shares issued pursuant to conversion of convertible debentures		309,877		1,418		(103	)		—			—			—			1,315
Share-based payments		—		—		—			1,307			—			—			1,307
Comprehensive income (loss) for the period		—		—		—			—			3,890			(21,431	)		(17,541	)
Balance, January 31, 2023		24,965,448		117,224		—			10,405			1,411			(67,959	)		61,081

The accompanying notes are an integral part of these condensed interim consolidated financial statements

4

IMMUNOPRECISE ANTIBODIES LTD.

CONDENSED INTERIM CONSOLIDATED STATEMENTS OF CASH FLOWS

For the nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

(in thousands)	Note	2023 $			2022 $
Operating activities:
Net loss for the period			(21,431	)		(12,065	)
Items not affecting cash:
Amortization and depreciation	6, 7, 15		4,702			2,843
Asset impairment			—			167
Deferred income taxes			(676	)		586
Accretion	8		3			65
Foreign exchange			(152	)		(837	)
Gain on investment			(27	)		—
Share-based payments	10, 11		1,307			2,297
			(16,274	)		(6,944	)
Changes in non-cash working capital related to operations:
Amounts receivable			350			322
Inventory			(62	)		(300	)
Unbilled revenue			1			(125	)
Prepaid expenses			(316	)		(860	)
Accounts payable and accrued liabilities	12		(715	)		283
Sales and income taxes payable and receivable			(343	)		(425	)
Deferred revenue			(240	)		(85	)
Net cash used in operating activities			(17,599	)		(8,134	)
Investing activities:
Purchase of equipment	6		(1,033	)		(924	)
Security deposit on leases			40			—
Purchase of customer list			—			(191	)
Deferred acquisition payments			(610	)		—
Sale of QVQ Holdings BV shares			80			—
Net cash used in investing activities			(1,523	)		(1,115	)
Financing activities:
Proceeds from share issuance, net of transaction costs	10		715			523
Repayment of leases	9		(955	)		(702	)
Net cash used in financing activities			(240	)		(179	)
Decrease in cash during the period			(19,362	)		(9,428	)
Foreign exchange			724			657
Cash – beginning of the period			30,047			41,838
Cash – end of the period			11,409			33,067
Cash is comprised of:
Cash			11,324			32,986
Restricted cash			85			81
			11,409			33,067
Cash paid for interest			263			38
Cash paid for income tax			591			671

Supplemental cash flow information (Note 16)

The accompanying notes are an integral part of these condensed interim consolidated financial statements

5

IMMUNOPRECISE ANTIBODIES LTD.

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

1. NATURE OF OPERATIONS

ImmunoPreciseAntibodiesLtd.(the"Company" or “IPA”) was incorporated under the laws of Alberta on November 22, 1983. The Company is listed on the NASDAQ Global Market (“Nasdaq”) under the trading ticker symbol “IPA.” The Company is a supplier of custom antibody discovery services. The address of the Company's corporate office is 3204 – 4464 Markham Street, Victoria, BC, Canada V8Z 7X8.

Going concern basis

The condensed interim consolidated financial statements have been prepared on the basis of accounting principles applicable to a going concern. The Company has incurred operating losses since its inception, including $21.4 million for the nine months ended January 31, 2023, and has accumulated a deficit of $68.0 million as of January 31, 2023. The Company had $11.4 million cash on hand as of January 31, 2023. The Company expects its cash on hand as of January 31, 2023 will be sufficient to fund the Company’s operations for at least one year from the date these condensed financial statements are available to be issued. The Company’s forecasts are subject to changes in the Company’s internally funded initiatives, including in silico antibody services and pre-clinical assets, and if required, the Company has discretion to reduce or delay its investment in research and development. The Company will need to raise additional funds to finance its strategic goals and there can be no assurances that sufficient funding, including adequate financing, will be available. The ability of the Company to arrange additional financing in the future depends in part on the prevailing capital market conditions and profitability of its operations.

2. BASIS OF PRESENTATION

(a) Statement of compliance

These condensed interim consolidated financial statements have been prepared in conformity with International Accounting Standard (“IAS”) 34, Interim Financial Reporting, using the same accounting policies as detailed in the Company’s audited annual financial statements for the year ended April 30, 2022. They do not include all the information required for complete annual financial statements in accordance with International Financial Reporting Standards (“IFRS”), as issued by the International Accounting Standards Board (“IASB”) and interpretations of the International Financial Reporting Interpretations Committee (“IFRIC”) and therefore should be read together with the audited annual financial statements for the year ended April 30, 2022.

These condensed interim consolidated financial statements were approved by the Board of Directors.

(b) Basis of measurement

These condensed interim consolidated financial statements have been prepared on the historical cost basis. In addition, these condensed interim consolidated financial statements have been prepared using the accrual basis of accounting, except for cashflow information.

6

IMMUNOPRECISE ANTIBODIES LTD.

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

(c) Basis of consolidation

These condensed interim consolidated financial statements include the financial statements of the Company and the following subsidiaries which are wholly owned and subject to control by the Company:

Name of Subsidiary	% Equity Interest - October 31, 2022	% Equity Interest - April 30, 2022	Country of Incorporation	Functional Currency
ImmunoPrecise Antibodies (Canada) Ltd.	100%	100%	Canada	Canadian dollar
ImmunoPrecise Antibodies (USA) Ltd. ("IPA USA")	100%	100%	USA	US dollar
ImmunoPrecise Antibodies (N.D.) Ltd.	100%	100%	USA	US dollar
ImmunoPrecise Antibodies (MA) LLC	100%	100%	USA	US dollar
Talem Therapeutics LLC ("Talem")	100%	100%	USA	US dollar
ImmunoPrecise Netherlands B.V.	100%	100%	Netherlands	Euro
ImmunoPrecise Antibodies (Europe) B.V. ("IPA Europe")	100%	100%	Netherlands	Euro
BioStrand B.V.	100%	100%	Belgium	Euro
Idea Family B.V.	100%	100%	Belgium	Euro
BioKey B.V.	100%	100%	Belgium	Euro
BioClue B.V.	100%	100%	Belgium	Euro
ImmunoPrecise Antibodies (Quebec), Ltd.	100%	100%	Canada	Canadian dollar
9438-9244 Quebec, Inc.	100%	100%	Canada	Canadian dollar

Control is achieved when the Company is exposed, or has rights, to variable returns from its involvement with an entity and has the ability to affect those returns through its power over the investee. Subsidiaries are fully consolidated from the date on which control is obtained and continue to be consolidated until the date that such control ceases. Intercompany balances, transactions and unrealized intercompany gains and losses are eliminated upon consolidation.

(d) Functional and presentation currency

The functional currency of a company is the currency of the primary economic environment in which the company operates. The presentation currency for a company is the currency in which the company chooses to present its financial statements. The presentation currency of the Company is the Canadian dollar.

Foreign currency translation

Entities whose functional currencies differ from the presentation currency are translated into Canadian dollars as follows: assets and liabilities – at the closing rate as at the reporting date, and income and expenses – at the average rate of the period. All resulting changes are recognized in other comprehensive income as cumulative translation differences.

Foreign currency transactions

Transactions in foreign currencies are translated into the functional currency at exchange rates at the date of the transactions. Foreign currency monetary assets and liabilities are translated at the functional currency exchange rate at the reporting date. Non-monetary items that are measured in terms of historical cost in a foreign currency are translated using exchange rates as at the dates of the initial transactions. Non-monetary items measured at fair value in a foreign currency are translated using the exchange rates at the date when the fair value is determined. All gains and losses on translation of these foreign currency transactions are included in profit or loss.

7

IMMUNOPRECISE ANTIBODIES LTD.

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

When the Company disposes of its entire interest in a foreign operation, or loses control, joint control, or significant influence over a foreign operation, the foreign currency gains or losses accumulated in other comprehensive income related to the foreign operation are recognized in profit or loss. If an entity disposes of part of an interest in a foreign operation which remains a subsidiary, a proportionate amount of foreign currency gains or losses accumulated in other comprehensive income related to the subsidiary are reallocated between controlling and non-controlling interests.

3. ADOPTION OF NEW ACCOUNTING STANDARDS

Standards adopted

Onerous Contracts – Cost of Fulfilling a Contract (Amendments to IAS 37)

The amendments to IAS 37 specify which costs an entity includes in determining the cost of fulfilling a contract for the purpose of assessing whether the contract is onerous. Costs that relate directly to a contract can either be incremental costs of fulfilling contracts (an example would be direct labour, materials) or an allocation of other costs that relate directly to fulfilling contracts (an example would be the allocation of the depreciation charge for an item of property, plant and equipment used in fulfilling the contract).

The Company adopted this standard effective May 1, 2022. The adoption of the amendment to IAS 37 did not have an impact on the Company’s consolidated financial statements for the three and nine months ended January 31, 2023.

Standards not yet adopted

Classification of Liabilities as Current or Non-Current (Amendments to IAS 1)

The amendments to IAS 1 provide a more general approach to the classification of liabilities based on the contractual arrangements in place at the reporting date.

These amendments are effective for reporting periods beginning on or after January 1, 2024.

4. CRITICAL ACCOUNTING ESTIMATES AND JUDGMENTS

The preparation of the condensed interim consolidated financial statements in conformity with IFRS required estimates and judgments that affect the amounts reported in the financial statements. Actual results could differ from these estimates and judgments. Estimates are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the year in which the estimate is revised. Estimates and judgments applied in the preparation of the condensed interim consolidated financial statements are the same as those presented in the Company’s audited annual financial statements for the year ended April 30, 2022, except as noted below.

Reclassification

For the period ended October 31, 2022, the Company changed the presentation of its expense analysis from the nature of expense method to the function of expense method. In accordance with IAS 1, the Company reclassified comparative amounts beginning with the period started May 1, 2021. The reclassification is intended to provide more relevant information about the activities of separate functions at the Company, along with increased comparability to industry peers.

8

IMMUNOPRECISE ANTIBODIES LTD.

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

5. ACQUISITION OF BIOSTRAND

On April 13, 2022, the Company acquired all the issued and outstanding shares of BioStrand B.V., BioKey B.V., BioClue B.V. and Idea Family B.V. (collectively “BioStrand”) on terms as follows:

€2.7 million (CAD $3.7 million) was paid in cash on closing;

4,077,774 common shares of the Company were issued on closing;

Deferred cash payment of €0.5 million (CAD $0.7 million) to be paid 90 days subsequent to closing; and

Deferred cash payment of €0.5 million (CAD $0.6 million) to be paid over the next 3 years.

BioStrand focuses on technology in the field of bioinformatics and biotechnology related to the identification of characteristic biological sequences in proteins, RNA and DNA, and their different information layers, the development of a knowledgebase containing these characteristic biological sequences and information layers, and the use of this database to process biological sequences and compare processed biological sequences. The acquisition provides the Company with advanced omics capabilities to enhance its antibody discovery processes and offer multi-omics data analysis to its clients.

The transaction was accounted for as a business combination, as the operations of BioStrand meet the definition of a business. As the transaction was accounted for as a business combination, legal and consulting costs of $0.7 million and $0.1 million, respectively, were expensed during the year ended April 30, 2022. The goodwill resulting from the allocation of the purchase price to the total fair value of net assets will represent the sales growth potential and assembled workforce of BioStrand.

During the three months ended July 31, 2022, the Company recorded the right-of-use assets and lease liabilities in connection with building and vehicle leases at BioStrand. During the three months ended October 31, 2022, the Company adjusted goodwill upon the finalization of the deferred cash payment paid 90 days subsequent to closing. Both adjustments occurred during the measurement period and were applied retrospectively. The Company has allocated the purchase price as follows:

(in thousands)	$
Cash		4,985
Common shares of the Company		29,126
Fair value of consideration		34,111
Cash		36
Amounts receivable		80
Unbilled revenue		8
Equipment		247
Intangible assets (not deductible for tax purposes)		28,459
Proprietary processes (not deductible for tax purposes)		391
Goodwill (not deductible for tax purposes)		12,658
Accounts payable and accrued liabilities assumed		(342	)
Deferred revenue		9
Leases		(223	)
Deferred income tax liability		(7,212	)
		34,111

The intangible assets are primarily comprised of acquired technology assets that are expected to have a useful life of 15 years.

The fair value of the 4,077,774 common shares issued ($29.1 million) was determined based on the Canadian dollar equivalent of the consideration required of €21.3 million pursuant to the share purchase agreement using the stock price on the date of the acquisition. The common shares are subject to an escrow agreement, and will be released to

9

IMMUNOPRECISE ANTIBODIES LTD.

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

the vendors on the following schedule: 15% one year after closing, 20% two years after closing, and 65% three years after closing.

The operating results for BioStrand have been recognized in the consolidated statement of comprehensive loss beginning on April 13, 2022, the effective date of control. During the year ended April 30, 2022, the Company recorded a net loss of $0.2 million related to BioStrand.

The deferred cash payments of €1.0 million was fair valued on the date of acquisition using a discounted cash flow model. The changes in the value of the subsequent payments during the nine months ended January 31, 2023 and year ended April 30, 2022 are as follows:

(in thousands)	$
Balance, April 30, 2021		—
Amount at date of acquisition		1,317
Foreign exchange		(12	)
Balance, April 30, 2022		1,305
Foreign exchange		47
Working capital adjustment		(68	)
Deferred acquisition payment		(610	)
Balance, January 31, 2023		674
Less: Current portion		(140	)
Non-current portion		534

The share purchase agreement related to the acquisition of BioStrand includes contingent earnout payments (see Note 13).

10

IMMUNOPRECISE ANTIBODIES LTD.

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

6. PROPERTY AND EQUIPMENT

The table below includes both property and equipment and right-of-use assets.

(in thousands)	Computer Hardware $			Furniture & Equipment $			Computer Software $			Building $			Automobile $			Leasehold Improvements $		Lab Equipment $			WIP - Leasehold Improvements $			Total $
Cost:
Balance, April 30, 2021		96			36			49			2,730			94			353		5,048			—			8,406
Additions		39			3			—			311			1			—		991			138			1,483
Acquisition of BioStrand		24			—			—			69			152			—		—			—			245
Disposals		(21	)		(5	)		—			—			—			—		—			—			(26	)
Lease modification		—			—			—			(22	)		—			—		—			—			(22	)
Subsidy reimbursement		—			—			—			—			—			—		(106	)		—			(106	)
Asset impairment		—			—			—			(363	)		—			—		—			—			(363	)
Foreign exchange		(2	)		1			(2	)		(139	)		(8	)		—		(261	)		—			(411	)
Balance, April 30, 2022		136			35			47			2,586			239			353		5,672			138			9,206
Additions		125			—			—			7,412			—			82		749						8,368
Completion of work-in-process		—			—			—			—			—			166		—			(138	)		28
Disposals		(3	)		—			—			(616	)		(93	)		—		(13	)		—			(725	)
Foreign exchange		12			—			2			145			17			4		327			—			507
Balance, January 31, 2023		270			35			49			9,527			163			605		6,735			—			17,384
Accumulated Depreciation:
Balance, April 30, 2021		61			28			42			1,334			27			296		2,594			—			4,382
Depreciation		31			6			7			698			23			51		940			—			1,756
Disposals		(21	)		(5	)		—			—			—			—		—			—			(26	)
Asset impairment		—			—			—			(196	)		—			—		—			—			(196	)
Foreign exchange		(1	)		—			(2	)		(100	)		(4	)		1		(163	)		—			(269	)
Balance, April 30, 2022		70			29			47			1,736			46			348		3,371			—			5,647
Depreciation		58			2			—			732			44			27		743			—			1,606
Disposals		(3	)		—			—			(600	)		(55	)		—		—			—			(658	)
Foreign exchange		4			—			2			127			7			—		184			—			324
Balance, January 31, 2023		129			31			49			1,995			42			375		4,298			—			6,919
Net Book Value:
April 30, 2022		66			6			—			850			193			5		2,301			138			3,559
January 31, 2023		141			4			—			7,532			121			230		2,437			—			10,465

11

IMMUNOPRECISE ANTIBODIES LTD.

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

7. INTANGIBLE ASSETS

Changes in the value of the intangible assets during the nine months ended January 31, 2023 and the year ended April 30, 2022 are as follows:

(in thousands)	Internally Generated Development Costs $		Intellectual Property $			Proprietary Processes $			Certifications $			Customer List $			Total $
Cost:
Balance, April 30, 2021		33		4,089			7,635			138			—			11,895
Costs expensed		—		—			—			—			191			191
Acquisition of BioStrand		—		28,459			391			—			—			28,850
Foreign exchange		—		(634	)		(667	)		(12	)		(11	)		(1,324	)
Balance, April 30, 2022		33		31,914			7,359			126			180			39,612
Additions		—		—			—			—			—			—
Foreign exchange		—		2,391			551			9			14			2,965
Balance, January 31, 2023		33		34,305			7,910			135			194			42,577
Accumulated Amortization:
Balance, April 30, 2021		1		1,445			4,391			—			—			5,837
Amortization		7		398			1,577			—			31			2,013
Foreign exchange		—		(150	)		(477	)		—			(1	)		(628	)
Balance, April 30, 2022		8		1,693			5,491			—			30			7,222
Amortization		5		1,842			1,061			121			68			3,097
Foreign exchange		—		268			488			4			7			767
Balance, January 31, 2023		13		3,803			7,040			125			105			11,086
Net Book Value:
April 30, 2022		25		30,221			1,868			126			150			32,390
January 31, 2023		20		30,502			870			10			89			31,491

12

IMMUNOPRECISE ANTIBODIES LTD.

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

8. CONVERTIBLE DEBENTURES

On May 15, 2020, the Company closed a non-brokered private placement financing by issuing 10% convertible debentures (“New Debentures”) for total proceeds of $2.59 million. On May 27, 2020, the Company issued an additional $0.04 million of the 10% New Debentures. In total, the Company issued $2.6 million of the New Debentures.  The New Debentures are unsecured, bear interest at a rate of 10% per year and payable at maturity.  The maturity date is May 15, 2022 for $2.59 million of the New Debentures and May 22, 2022 for $0.04 million of the New Debentures. The principal amount of the New Debentures may be convertible, at the option of the holder, into units of the Company at a conversion price of $4.25 per share.  The Company may force convert the principal amount of the New Debentures at $4.25 per share if the average closing price is equal to or greater than $7.50 for 20 trading days.

The fair value of the New Debentures at the time of issue was calculated as the discounted cash flows assuming a 15% effective interest rate. The fair value of the equity component was determined at the time of issue as the difference between the face value and the fair value of the New Debentures. On initial recognition, the Company bifurcated $2.4 million to the carrying value of the New Debentures and $0.2 million to the equity component.  

Under the financing, the Company paid finder’s cash commissions totaling $0.08 million and incurred legal and filing fees of $0.03 million.  The transaction costs were allocated pro-rata based on the carrying values of the New Debentures and the equity component, with $0.1 million allocated to the New Debentures and $0.01 million allocated to the equity component.

The changes in the value of the New Debentures during the nine months ended January 31, 2023 and the year ended April 30, 2022 are as follows:

(in thousands)	Liability Component $			Equity Component $
Balance, April 30, 2021		1,531			127
Accretion expense		85			—
Conversion to shares		(304	)		(24	)
Balance, April 30, 2022		1,312			103
Accretion expense		3			—
Conversion to shares		(1,315	)		(103	)
Balance, January 31, 2023		—			—

13

IMMUNOPRECISE ANTIBODIES LTD.

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

9. LEASES

The Company has leases for lab and office space, automobiles and one item of lab equipment. Each lease is reflected in the consolidated statement of financial position as a right-of-use asset and a lease liability. The Company classifies right-of-use assets in a consistent manner to its property and equipment. The following is a schedule of the Company’s future minimum lease payments related to the equipment and automobiles under finance lease and the office lease obligation:

(in thousands)	$
2023		1,071
2024		1,513
2025		1,009
2026		969
2027		966
More than 5 years		4,717
Total minimum lease payments		10,245
Less: imputed interest		(2,770	)
Total present value of minimum lease payments		7,475
Less: Current portion		(1,291	)
Non-current portion		6,184

Total cash outflow for leases during the nine months ended January 31, 2023 was $1.0 million (2022 - $0.7 million).

The nature of the Company’s leases by type of right-of-use asset as at January 31, 2023 is as follows:

Right-of-use asset type	No. of right-of-use assets leased		Range of remaining term	Average remaining lease term	No. of leases with extension options		No. of leases with options to purchase		No. of leases with variable payments linked to an index		No. of leases with termination options
Lab and office facilities		5	0 - 9 years	2.5 years		5		—		3		2
Automobiles		6	1.5 - 4 years	2 years		—		—		6		6
Lab equipment		1	<0.5 years	<0.5 years		—		1		—		—

14

IMMUNOPRECISE ANTIBODIES LTD.

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

Right-of-use assets

The Company reviews long-lived assets with finite useful lives for impairment whenever circumstances indicate that the carrying amount of the asset may not be recoverable. During the year ended April 30, 2022, a significant change in the planned use of a right-of-use asset related to leased office space indicated possible impairment of the asset. Due to the nature of the leased space, the Company determined the recoverable amount to be nominal, and recorded an impairment charge of $0.2 million, the full carrying value of the asset.

During the three months ended October 31, 2022, the Company recorded a right-of-use asset of $6.2 million upon commencement of a new lease at the Utrecht, the Netherlands location. The lease includes an initial term of five years, and a renewal option for an additional five years. The Company has determined that it is reasonably certain to exercise the renewal option.

The changes in the value of right-of-use assets during the nine months ended January 31, 2023 and the year ended April 30, 2022 are as follows:

(in thousands)	Building $			Automobile $			Lab Equipment $		Total $
Cost:
Balance, April 30, 2021		2,730			94			623		3,447
Additions		311			1			—		312
Acquisition of BioStrand		69			152			—		221
Lease modification		(22	)		—			—		(22	)
Loss on impairment		(369	)		—			—		(369	)
Foreign exchange		(133	)		(8	)		28		(113	)
Balance, April 30, 2022		2,586			239			651		3,476
Additions		7,412			—			—		7,412
Disposals		(616	)		(93	)		—		(709	)
Foreign exchange		145			17			32		194
Balance, January 31, 2023		9,527			163			683		10,373
Accumulated Depreciation:
Balance, April 30, 2021		1,334			27			220		1,581
Depreciation		698			23			224		945
Loss on impairment		(196	)		—			—		(196	)
Foreign exchange		(100	)		(4	)		16		(88	)
Balance, April 30, 2022		1,736			46			460		2,242
Depreciation		732			44			178		954
Disposals		(600	)		(55	)		—		(655	)
Foreign exchange		127			7			25		159
Balance, January 31, 2023		1,995			42			663		2,700
Net Book Value:
April 30, 2022		850			193			191		1,234
January 31, 2023		7,532			121			20		7,673

15

IMMUNOPRECISE ANTIBODIES LTD.

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

Lease payments not recognized as a liability

The Company has elected not to recognize a lease liability for leases with an expected term of 12 months or less. Additionally, certain variable lease payments are not permitted to be recognized as lease liabilities and are recognized in profit and loss as incurred. The expense relating to payments not included in the measurement of the lease liability during the nine months ended January 31, 2023 and 2022 are as follows:

(in thousands)	2023 $		2022 $
Leases of low value assets		30		18
Variable lease payments		169		96
		199		114

16

IMMUNOPRECISE ANTIBODIES LTD.

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

10. SHARE CAPITAL

a) Authorized:

Unlimited common shares without par value.

b)Share capital transactions:

2022 Transactions

On May 3, 2021, the Company issued 41,488 common shares pursuant to the final deferred payment for the acquisition of IPA Europe. The common shares were valued at $0.5 million.

On April 13, 2022, the Company issued 4,077,774 common shares pursuant to the acquisition of BioStrand (Note 5). The common shares were valued at $29.1 million.

During the year ended April 30, 2022, the Company issued 188,000 common shares pursuant to the exercise of stock options for total gross proceeds of $0.6 million. A value of $0.4 million was transferred from contributed surplus to share capital as a result. The weighted average share price at the dates the stock options were exercised was $7.95.

During the year ended April 30, 2022, the Company issued 925,076 common shares pursuant to the exercise of warrants and finder’s warrants for total gross proceeds of $3.2 million. A value of $0.3 million was transferred from contributed surplus to share capital as a result.

During the year ended April 30, 2022, the Company issued 75,292 common shares with a value of $0.3 million pursuant to the conversion of $0.3 million principal balance of convertible debentures.

2023 Transactions

During the nine months ended January 31, 2023, the Company issued 178,725 common shares pursuant to the exercise of stock options for total gross proceeds of $0.7 million. A value of $0.5 million was transferred from contributed surplus to share capital as a result. The weighted average share price at the dates the stock options were exercised was US $4.54.

During the nine months ended January 31, 2023, the Company issued 309,877 common shares with a value of $1.3 million pursuant to the conversion of $1.3 million principal balance of convertible debentures.

Subsequent Events

Subsequent to January 31, 2023, the Company issued 84,812 common shares pursuant to the cashless exercise of 140,000 stock options.

17

IMMUNOPRECISE ANTIBODIES LTD.

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

c) Options

The following table summarizes stock option awards during the nine months ended January 31, 2023 and the year ended April 30, 2022, including the grant date fair value determined using the Black-Scholes option pricing model:

						Black-Scholes Option Pricing Model Inputs
Grant date	Stock options granted		Exercisable price/option $		Awarded to	Share price on grant date $		Dividend yield			Expected volatility			Risk-free rate			Expected life	Fair value
May 9, 2021(3)		10,000	7.72(7)		Strategic board members	9.42			0	%		78	%		0.70	%	5.0 years	$0.06 million
June 13, 2021(4)		43,750	7.14(7)		Consultant	8.63			0	%		78	%		0.71	%	3.0 years	$0.2 million
August 7, 2021(2)		45,000		9.19	Employee	9.19			0	%		79	%		0.80	%	5.0 years	$0.3 million
January 2, 2022(1)		28,250		6.89	Directors	6.89			0	%		77	%		1.18	%	4.0 years	$0.1 million
January 7, 2022(2)		225,000		7.94	Officers and employees	7.94			0	%		77	%		1.42	%	5.0 years	$1.1 million
January 7, 2022(2)		113,000		7.94	Employees	7.94			0	%		77	%		1.42	%	4.7 years	$0.5 million
January 13, 2022(5)		15,000		8.30	Officer		8.30		0	%		77	%		1.43	%	1.0 years	$0.04 million
January 13, 2022(2)		24,000		8.30	Employees		8.30		0	%		77	%		1.43	%	4.7 years	$0.1 million
March 11, 2022(6)		25,000		6.35	Consultant		4.67		0	%		76	%		1.77	%	2.0 years	$0.03 million
May 15, 2022(2)		80,000		5.79	Employees		5.79		0	%		77	%		2.73	%	5.0 years	$0.3 million

(1) Vesting conditions are as follows: one-quarter 3 months after grant date; one-quarter 6 months after grant date; one-quarter 9 months after grant date; and one-quarter 12 months after grant date.

(2) Vesting conditions are as follows: one-third 6 months after grant date; one-third 12 months after grant date; and one-third 18 months after grant date.

(3) Vesting conditions are as follows: one-third one year after grant date; one-third two years after grand date; and one-third three years after grant date.

(4) The option vested immediately.

(5) Vesting conditions are as follows: one-third 2 months after grant date; one-third 4 months after grant date; and one-third 6 months after grant date.

(6) Vesting conditions are as follows: one-half 3 months after grant date; one-half 6 months after grant date.

(7) Priced in US dollars

18

IMMUNOPRECISE ANTIBODIES LTD.

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

Expected volatility of options granted is based on the historical volatility of the company from January 1, 2019 to the option grant date.

During the three and nine months ended January 31, 2023, the Company has recorded $0.2 million and $1.3 million (2022 - $0.5 million and $2.3 million) of share-based payments expense.

The changes in the stock options for the nine months ended January 31, 2023 and the year ended April 30, 2022 are as follows:

	Number of options #			Weighted average exercise price $		Weighted average life remaining (years)
Balance, April 30, 2021 (outstanding)		1,358,900			7.93		3.11
Granted		529,000			7.98		—
Exercised		(188,000	)		3.26		—
Expired		(60,250	)		10.75		—
Forfeited		(15,500	)		20.30		—
Balance, April 30, 2022 (outstanding)		1,624,150			8.29		2.88
Granted		80,000			5.79		—
Exercised		(178,725	)		4.00		—
Expired		(68,842	)		10.20		—
Forfeited		(24,335	)		9.45		—
Balance, January 31, 2023 (outstanding)		1,432,248			8.58		2.49
Unvested		(202,729	)		7.52		3.94
Exercisable, January 31, 2023		1,229,519			8.75		2.25

Details of the options outstanding as at January 31, 2023 are as follows:

Expiry Date	Exercise price $		Remaining life (year)		Options outstanding		Unvested		Vested
February 7, 2023		2.35		0.02		140,000		-		140,000
April 3, 2023		5.05		0.17		11,000		-		11,000
September 24, 2023		4.75		0.65		19,000		-		19,000
November 7, 2023		4.10		0.77		20,000		-		20,000
December 31, 2023		5.00		0.92		180,000		-		180,000
January 11, 2024		5.00		0.95		60,000		-		60,000
September 1, 2025		8.50		2.59		250,000		-		250,000
January 6, 2026		20.30		2.93		210,000		-		210,000
May 9, 2026(1)		10.40		3.27		10,000		6,667		3,333
August 5, 2026		9.19		3.51		30,000		15,000		15,000
January 2, 2026		6.89		2.92		28,250		7,063		21,187
January 7, 2027		7.94		3.94		335,332		112,667		222,665
January 7, 2027		8.30		3.95		33,666		7,999		25,667
February 22, 2024		6.35		1.06		25,000		-		25,000
May 15, 2027		5.79		4.29		80,000		53,333		26,667
		8.58		2.49		1,432,248		202,729		1,229,519

(1) US $7.72

19

IMMUNOPRECISE ANTIBODIES LTD.

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

d) Warrants

The changes in the warrants for the nine months ended January 31, 2023 and the year ended April 30, 2022 are as follows:

	Number of warrants #			Weighted average exercise price $		Weighted average life remaining (years)
Balance, April 30, 2021		878,300			3.50		0.90
Exercised		(878,300	)		3.50		—
Balance, January 31, 2023 and April 30, 2022		—			—		—

e) Finder’s Warrants

The changes in the finder’s warrants for the nine months ended January 31, 2023 and the year ended April 30, 2022 are as follows:

	Number of warrants #			Weighted average exercise price $		Weighted average life remaining (years)
Balance, April 30, 2021		176,888			16.12		3.75
Exercised		(46,777	)		3.50		—
Balance, April 30, 2022		130,111			21.59		3.77
Exercised		—			—		—
Balance, January 31, 2023		130,111			22.93		3.01

Details of the finder’s warrants outstanding as at January 31, 2023 are as follows:

Expiry Date	Exercise price $		Remaining life (year)		Warrants outstanding
February 3, 2026(1)		22.93		3.01		130,111

(1) US $16.81

11. EMPLOYEE REMUNERATION

Expenses recognized for employee benefits for the three and nine months ended January 31, 2023 and 2022 are detailed below:

	Three months ended January 31,				Nine months ended January 31,
(in thousands)	2023 $		2022 $		2023 $		2022 $
Wages, salaries		2,719		2,250		7,741		6,052
Employee benefits		216		259		552		566
Payroll taxes		200		178		681		510
Severance		73		8		133		8
Share-based payments		193		492		1,307		2,297
		3,401		3,187		10,414		9,433

20

IMMUNOPRECISE ANTIBODIES LTD.

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

12. RELATED PARTY TRANSACTIONS

Keymanagement personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the Company. Key management consists of Dr. Jennifer Bath, President and CEO; Brad McConn, CFO; Dr. Stefan Lang, former Chief Business Officer; Dr. Ilse Roodink, Chief Scientific Officer; Lisa Helbling, former Chief Financial Officer, Dr. Yasmina Abdiche, former Chief Scientific Officer; and Directors of the Company. During the nine months ended January 31, 2023 and 2022, the compensation for key management is as follows:

	Three months ended January 31,				Nine months ended January 31,
(in thousands)	2023 $		2022 $		2023 $		2022 $
Salaries and other short-term benefits		530		695		1,938		1,980
Severance (included in salaries)		63		—		123		8
Share-based payments		124		383		555		885
Director compensation (included in salaries)		83		84		250		282
		800		1,162		2,866		3,155

At January 31, 2023, included in accounts payable and accrued liabilities is $0.7 million (April 30, 2022 - $0.4 million) due to related parties. The amounts payable are non-interest bearing and unsecured.

These transactions are in the normal course of operations and are measured at the exchange amount, which is the amount of consideration established and agreed to by the related parties, unless otherwise noted.

13. COMMITMENTS

The Company entered into a lease agreement for a new facility for its Oss, the Netherlands location on October 16, 2021. The lease will have a five-year term with an optional five-year extension, and is estimated to commence June 1, 2023 at an estimated annual cost of €0.5 million indexed for inflation.

The share purchase agreement related to the acquisition of BioStrand includes contingent earnout payments based on 20% of the EBITDA of BioStrand, as defined in the share purchase agreement, over a 7-year period, which shall not exceed in total €12.0 million. The Company has determined these payments relate to post-acquisition services because they are contingent on the employment of two key employees and will be expensed in the period earned.

14. GRANT AND SUBSIDY INCOME

During May 2022, the Company received a €0.5 million round of grant funding from VLAIO (Flanders Innovation & Entrepreneurship), the research fund of the Flemish regional government in Belgium. The Company received the first disbursement of €0.2 million during the three months ended July 31, 2022. During the three and nine months ended January 31, 2023, the Company recorded nil and €0.2 million in grant income related to this funding.

15. SEGMENTED INFORMATION AND ECONOMIC DEPENDENCE

At January 31, 2023 and April 30, 2022, the Company has one reportable segment, being antibody production and related services.

21

IMMUNOPRECISE ANTIBODIES LTD.

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

The Company’s revenues are allocated to geographic regions for the three and nine months ended January 31, 2023 and 2022as follows:

	Three months ended January 31,				Nine months ended January 31,
(in thousands)	2023 $		2022 $		2023 $		2022 $
United States of America		3,006		1,759		6,942		5,139
Canada		121		160		518		386
Europe		1,889		2,303		6,816		6,769
Other		155		593		768		1,831
		5,171		4,815		15,044		14,125

The Company’s revenues are allocated according to revenue types for the three and nine months ended January 31, 2023 and 2022 as follows:

	Three months ended January 31,				Nine months ended January 31,
(in thousands)	2023 $		2022 $		2023 $		2022 $
Project revenue		4,754		4,073		13,817		12,652
Product sales revenue		363		465		1,054		1,177
Cryostorage revenue		54		277		173		296
		5,171		4,815		15,044		14,125

The Company’s non-current assets are allocated to geographic regions as of January 31, 2023 and April 30, 2022 as follows:

	January 31, 2023 $		April 30, 2022 $
North America - Corporate		88		76
North America		1,091		1,481
Belgium		42,647		41,355
Netherlands		19,742		13,265
		63,568		56,177

Geographic segmentation of the Company’s net income (loss) for the three and nine months ended January 31, 2023 and 2022 is as follows:

	Three months ended January 31,						Nine months ended January 31,
(in thousands)	2023 $			2022 $			2023 $			2022 $
North America - Corporate		(620	)		(1,815	)		(4,500	)		(6,037	)
North America		(3,146	)		(2,188	)		(14,327	)		(7,217	)
Belgium		(1,267	)		—			(3,276	)		—
Netherlands		334			177			672			1,189
		(4,699	)		(3,826	)		(21,431	)		(12,065	)

22

IMMUNOPRECISE ANTIBODIES LTD.

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

Geographic segmentation of the interest and accretion, and amortization and depreciation for the three and nine months ended January 31, 2023 and 2022 is as follows:

	Three months ended January 31,				Nine months ended January 31,
Interest and accretion (in thousands)	2023 $		2022 $		2023 $		2022 $
North America - Corporate		2		72		17		197
North America		3		12		14		41
Belgium		3		—		12		—
Netherlands		111		33		169		85
		119		117		212		323

	Three months ended January 31,				Nine months ended January 31,
Amortization and depreciation (in thousands)	2023 $		2022 $		2023 $		2022 $
North America - Corporate		4		15		11		53
North America		195		201		563		592
Belgium		554		—		1,717		—
Netherlands		935		733		2,411		2,198
		1,688		949		4,702		2,843

23

IMMUNOPRECISE ANTIBODIES LTD.

NOTES TO THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the nine months ended January 31, 2023 and 2022

(Unaudited - Expressed in Canadian Dollars)

16. SUPPLEMENTAL CASH FLOW INFORMATION

Non-cash investing and financing transactions (in thousands)	January 31, 2023 $		January 31, 2022 $
Acquisition of building and equipment by lease		7,412		327
Fair value of shares issued pursuant to deferred acquisition payment to IPA Europe		—		503

The following changes in liabilities arose from financing activities:

						Non-cash changes
(in thousands)	April 30, 2022 $		Cash Flows $			Acquisition $		Settlement / Disposal $			Accretion $		Foreign exchange movements and change in estimates $			January 31, 2023 $
Deferred acquisition payments		1,237		(610	)		—		—			—		47			674
Convertible debentures		1,312		—			—		(1,315	)		3		—			—
Leases		1,455		(955	)		7,412		—			—		(437	)		7,475
Total		4,004		(1,565	)		7,412		(1,315	)		3		(390	)		8,149

						Non-cash changes
(in thousands)	April 30, 2021 $		Cash Flows $			Acquisition $		Debt forgiven / Settlement / Disposal $			Accretion $		Foreign exchange movements and change in estimates $			January 31, 2022 $
Deferred acquisition payments		498		—			—		(503	)		—		5			—
Convertible debentures		1,531		—			—		(304	)		65		—			1,292
Leases		1,926		(702	)		327		—			—		(29	)		1,522
Total		3,955		(702	)		327		(807	)		65		(24	)		2,814

24