Leases

6 Months Ended

Jun. 30, 2022

7. LEASES

The Company has the following operating leases:


Location	Primary Use	Lease Expiration Date	Renewal Option
Copenhagen, Denmark	Corporate headquarters	January 2025	None
London, United Kingdom	Office space	February 2024	None
Gothenburg, Sweden	Office space	May 2023	None
Stevenage, United Kingdom	Laboratory space	January 2024	None

The Company has no finance leases and has elected to apply the short-term lease exception to all leases of one year or less. Rent expense for the three and six months ended June 30, 2022 was $0.1 million and $0.2 million, respectively. Rent expense for the three and six months ended June 30, 2021 was $0.1 million and $0.2 million, respectively.

Quantitative information regarding the Company’s leases for the three and six months ended June 30, 2022 and 2021 was as follows:


	Three Months Ended June 30,				Six Months Ended June 30,
Lease Cost	2022		2021		2022		2021
Operating lease cost (in thousands)	$	117	$	125	$	243	$	244
Other Information
Operating cash flows paid for amounts included in the measurement of lease liabilities (in thousands)	$	120	$	142	$	234	$	261
Operating lease liabilities arising from obtaining right-of-use assets (in thousands)	$	—	$	409	$	—	$	409

As of June 30, 2022 and December 31, 2021, the weighted average remaining lease term for operating leases was 2.2 years and 2.4 years, respectively.

As of June 30, 2022 and December 31, 2021, the weighted average discount rate for operating leases was 8% for both periods.

Operating lease liabilities at June 30, 2022 are as follows (in thousands):


	Operating
Future Lease Payments	Leases
2022 (excluding the period ended June 30, 2022)	$	287
2023		513
2024		229
2025		16
2026		—
Total lease payments		1,045
Less: imputed interest		(76	)
Total lease liabilities	$	969

In May 2022, the Company entered into an operating lease agreement to continue and expand the lease in London, United Kingdom, for office space. The lease agreement has an eighteen month term, which commences in September 2022 and expires in February 2024. The total lease payments due during the term of the lease are $418,000 and are included in the future lease payments above.