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Consolidated Entities and Acquisitions (Tables)
6 Months Ended
Jun. 30, 2023
Consolidated Entities  
Pro Forma Information

The following table presents certain unaudited pro-forma financial information for the three and six months ended June 30, 2022 as if the consolidation of Entasis and La Jolla occurred on January 1, 2021. The unaudited pro forma financial information is presented for informational purposes only, and is not indicative of the results of operations that would have been achieved if the acquisitions had taken place on January 1, 2021, or of results that may occur in the future. The unaudited pro forma financial information combines the historical results of the Entasis and La Jolla with the Company’s consolidated historical results and includes certain adjustments including, but not limited to, fair value adjustments to equity investments in Entasis’ common stock and warrants, fair value adjustments to inventory, amortization of intangible assets, and interest expense on deferred royalty obligations and acquisition-related costs.

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

(In thousands)

 

2022

 

 

2022

 

Revenue

 

$

118,764

 

 

$

219,247

 

Net income

 

$

17,642

 

 

$

50,218

 

Net income (loss) attributable to Innoviva stockholders

 

$

(5,258

)

 

$

8,297

 

Entasis Therapeutics Holdings Inc  
Consolidated Entities  
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed

The following table represents the adjusted fair values of the assets acquired and liabilities assumed by us in the transaction:

 

(In thousands)

 

February 17, 2022

 

Cash and cash equivalents

 

$

23,070

 

Prepaid expenses

 

 

5,554

 

Other current assets

 

 

1,959

 

Property and equipment, net

 

 

185

 

Right-of-use assets

 

 

959

 

Goodwill

 

 

11,493

 

Intangible assets

 

 

106,700

 

Other assets

 

 

302

 

Total assets acquired

 

$

150,222

 

 

 

 

Accounts payable

 

$

1,583

 

Accrued personnel-related expenses

 

 

1,058

 

Other current liabilities

 

 

5,096

 

Deferred tax liabilities

 

 

7,769

 

Total liabilities assumed

 

$

15,506

 

 

 

 

Total assets acquired, net

 

$

134,716

 

La Jolla Pharmaceutical Company  
Consolidated Entities  
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed

The following table summarizes the adjusted preliminary allocation of the fair values assigned to the assets acquired and liabilities assumed as of the date of the acquisition:

 

(In thousands)

 

August 22, 2022

 

Cash and cash equivalents

 

$

47,415

 

Short-term marketable securities

 

 

471

 

Accounts receivable

 

 

5,876

 

Inventory

 

 

66,200

 

Prepaid expenses

 

 

1,261

 

Other current assets

 

 

907

 

Property and equipment, net

 

 

13

 

Right-of-use assets

 

 

226

 

Goodwill

 

 

3,389

 

Intangible assets

 

 

151,000

 

Deferred tax assets

 

 

10,483

 

Other assets

 

 

710

 

Total assets acquired

 

$

287,951

 

 

 

 

Accounts payable

 

$

1,237

 

Deferred revenue, current

 

 

2,849

 

Other accrued liabilities

 

 

11,362

 

Other long-term liabilities

 

 

65,944

 

Total liabilities assumed

 

$

81,392

 

 

 

 

Total assets acquired, net

 

$

206,559

 

Theravance Respiratory Company, LLC  
Consolidated Entities  
Schedule of Income Statements of VIE

The summarized financial information of TRC for the three and six months ended June 30, 2022 are presented as follows:

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

(In thousands)

 

2022

 

 

2022

 

Royalty revenue

 

$

42,720

 

 

$

72,029

 

Operating expenses

 

 

139

 

 

 

337

 

Income from operations

 

 

42,581

 

 

 

71,692

 

Other income, net

 

 

10

 

 

 

10

 

Income tax expense, net

 

 

 

 

 

1

 

Changes in fair values of equity and long-term
   investments

 

 

(9,313

)

 

 

(8,884

)

Net income

 

$

33,278

 

 

$

62,819