Company: LGNZZ
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0000886163-25-000012
Chunk: 164

Company: LIGAND PHARMACEUTICALS INC
Filing Date: 2025-02-28
Form: 10-K
Item: Item 8
Chunk 164
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 OmniAb, with OmniAb continuing as the surviving company in the OmniAb Merger and as a wholly owned subsidiary of New OmniAb. The entire transaction was completed on November 1, 2022, and following the OmniAb Merger, New OmniAb is an independent, publicly traded company whose common stock trades on NASDAQ under the symbol “OABI.” After the OmniAb Distribution, we do not beneficially own any shares of common stock in OmniAb and no longer consolidate OmniAb into our financial results for periods ending after November 1, 2022. Discontinued operationsIn connection with the OmniAb Merger, the Company determined its OmniAb Business qualified for discontinued operations accounting treatment in accordance with ASC 205-20. We recognized a $1.7 million tax provision adjustment related to deferred taxes during the year ended December 31, 2023 that was attributable to the discontinued operations. The following table summarizes revenue and expenses of the discontinued operations for the year ended December 31, 2022 (in thousands):

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Year Ended December 31,2022Revenues:Royalties$1,289 Contract revenue25,275 Total revenues26,564 Operating costs and expenses:Amortization of intangibles10,847 Research and development38,466 General and administrative13,383 Total operating costs and expenses62,696 Loss from operations(36,132)Other income (expense):Gain from short-term investments— Interest expense— Other income (expense), net554 Total other expense, net554 Loss before income tax(35,578)Income tax benefit7,436 Net loss$(28,142)The following table summarizes the significant non-cash items, capital expenditures of the discontinued operations, and financing activities that are included in the consolidated statements of cash flows for the year ended December 31, 2022 (in thousands):Year Ended December 31,2022Operating activities:Change in fair value of contingent consideration$(554)Depreciation and amortization13,218 Stock-based compensation expense9,404 Investing activities:Cash paid for acquisition, net of cash acquired$— Purchase of property, plant and equipment(5,572)Payments to CVR Holders(960)Financing activities:Payments to CVR Holders$(1,545)Supplemental cash flow disclosures:Purchases of property, plant and equipment included in accounts payable and accrued expenses$2,310 

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6. Financial