Merger - (Tables)

12 Months Ended

Dec. 31, 2019

Summary of Purchase Price Paid in Merger

The following summarizes the purchase price paid in the Merger (in thousands, except share and per share amounts):

Number of shares of the combined organization owned by the Company’s pre-Merger stockholders		3,458,170
Multiplied by the fair value per share of GTx common stock (1)	$	8.40
Fair value of consideration issued to effect the Merger	$	29,049
Transaction costs		2,154
Purchase price	$	31,203

(1)	Based on the last reported sale price of the Company’s common stock on the Nasdaq Capital Market on June 7, 2019, the closing date of the Merger, and gives effect to the Reverse Stock Split.

Summary of Allocation of Purchase Price

The allocation of the purchase price is as follows:

Cash acquired	$	18,292
Net liabilities assumed		(5,177	)
IPR&D (2)		18,088
Purchase price	$	31,203

(2)

Represents the research and development projects of GTx which were in-process, but not yet completed, and which the Company plans to advance, consisting primarily of GTx’s preclinical SARD technology. Current accounting standards require that the fair value of IPR&D projects acquired in an asset acquisition with no alternative future use be allocated a portion of the consideration transferred and charged to expense on the acquisition date. The acquired assets did not have outputs or employees.