Business Combination

As of June 30, 2017, purchase accounting for the Acquisition is preliminary and subject to completion upon obtaining the necessary remaining information, which principally includes information with respect to the market for Vicinium outside the U.S. The Company is in the process of obtaining this information and will update the valuation for the changes as the information is obtained. Changes to these assumptions could cause an impact to (1) the valuation of the Contingent Consideration, (2) the identification and valuation of assets acquired, including intangible assets and related goodwill and (3) the related tax impacts of the Acquisition. The Company has preliminarily valued the acquired assets and liabilities based on their estimated fair value. The preliminary fair values included in the consolidated balance sheet as of June 30, 2017 are based on the best estimates of the Company. Any adjustments to the preliminary fair values will be made as such information becomes available, but no later than September 19, 2017. The following table presents the preliminary allocation of the purchase price for the transaction as of the Acquisition Date (in thousands):

The preliminary allocation of the purchase consideration presented has been updated from the preliminary allocation of the purchase consideration presented in the Company’s Form 10-K as of and for the year ended December 31, 2016, to reflect information which existed as of the Acquisition Date, which impacted the determination of the fair value of the accrued expenses and goodwill.

The previously reported fair values and the currently reported fair values as of the Acquisition Date are reflected in the following table (in thousands):



	Previously Reported			Currently Reported
Cash and cash equivalents	$	136		$	136
Prepaid expenses and other assets	1,162			1,162
Property and equipment	867			867
In-process research and development - U.S. Vicinium	12,200			12,200
In-process research and development - E.U. Vicinium	41,100			41,100
In-process research and development - R.O.W. Vicinium	7,200			7,200
Goodwill	16,864			17,371
Accounts payable	(1,163		)	(1,163		)
Accrued expenses	(1,494		)	(2,001		)
Other liabilities	(812		)	(812		)
Deferred tax liability	(16,335		)	(16,335		)
	$	59,725		$	59,725

The revised fair values noted above did not have an impact on the Company’s consolidated statement of operations and comprehensive income (loss), as the effected asset is goodwill and therefore, not amortized.