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Subsequent Events
6 Months Ended
Jun. 30, 2024
Subsequent Events [Abstract]  
Subsequent Events

16. Subsequent Events

On May 28, 2024, the Company executed a bill of sale and assignment agreement with Pulmatrix, Inc. (the "Seller") whereby the Company would acquire from the Seller certain lab assets and assume certain liabilities, including the lease for a R&D facility in Bedford, Massachusetts. Concurrently, the Company and the Seller entered into (i) an intellectual property cross-license agreement for the Company's out-licensing of its Cricket® device to the Seller and in-licensing of the Seller's iSPERSE™ technology, (ii) an assignment and assumption of lease, and (iii) a master service agreement. The parties and Cobalt PropCo 2020 LLC, as landlord, also entered into an amendment to lease and consent to assignment of the lease. Each of these agreements became effective upon the closing of the collective transaction on July 8, 2024 (the "Effective Date"). The Company also entered into employment agreements with 13 Pulmatrix employees which began employment with the Company on the Effective Date.

In June 2024, in anticipation of the facility lease assumption on the Effective Date, the Company transferred $0.7 million to a depository account at a financial institution to collateralize a conditional stand-by letter of credit as required under the lease. This amount is reflected as long-term restricted cash as of June 30, 2024. The lease term extends from the Effective Date through November 30, 2033 with monthly payments of $0.1 million increasing 3% annually starting on December 1, 2024.

The Company is in the process of assessing the fair values of the consideration paid and net assets acquired.