Company: LGNZZ
Filing Date: 2025-05-09
Form Type: 10-Q
Source: 0000886163-25-000036
Chunk: 63

Company: LIGAND PHARMACEUTICALS INC
Filing Date: 2025-05-09
Form: 10-Q
Item: Item 8
Chunk 63
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rose mRNA3,548 3,451 Agenus Partner Programs6,673 6,326 Agenus Warrant282 806      Total noncurrent derivative assets$18,029 $10,583 

15

A change in the fair value of Agenus Partner Programs and Primrose mRNA derivative that amounted to $0.3 million and $0.1 million, respectively, for the three months ended March 31, 2025, was included in fair value adjustments to partner program derivatives in the condensed consolidated statement of operations. A change in the fair value of other derivatives that amounted to $(0.6) million for the three months ended March 31, 2025, was recognized in other non-operating (expense) income, net in the condensed consolidated statements of operations. We acquired the Primrose mRNA derivative on September 18, 2023, with the sale of the Pelican business and investment in Primrose Bio transaction. A change in the fair value of Primrose mRNA derivative that amounted to $0.2 million for the three months ended March 31, 2024, was included in other non-operating (expense) income, net in the condensed consolidated statement of operations. We did not have any other derivative instruments during the three months ended March 31, 2024. Equity Method InvestmentInvestments that we do not consolidate but in which we have significant influence over the operating and financial policies of the investee are classified as equity method investments and are accounted for using the equity method of accounting.In applying the equity method of accounting, investments are initially recorded at cost and are subsequently adjusted based on our proportionate share of net income or loss of the investee, net of any distributions received from the investee and any impairment.In connection with the sale of the Pelican business and investment in Primrose Bio transaction in September 2023, we account for our common stock investment in Primrose Bio under the equity method as we have the ability to exercise significant influence over Primrose Bio's operating and financial results. Ligand owns 31.4% of the equity of Primrose Bio as of March 31, 2025 and December 31, 2024. In applying the equity method, we record the investment at fair value. Our proportionate share of net loss of Primrose Bio for the three months ended March 31, 2024 was $2.4 million and was recorded in other non-operating (expense) income, net