6-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934

For the month of May 2023

Commission File Number: 001-39071

ADC Therapeutics SA

(Exact name of registrant as specified in its charter)

Biopôle

Route de la Corniche 3B

1066 Epalinges

Switzerland

(Address of principal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:

Form 20-F ☒ Form 40-F

INCORPORATION BY REFERENCE

This Report on Form 6-K (other than Exhibit 99.3 hereto), including Exhibits 99.1 and 99.2 hereto, shall be deemed to be incorporated by reference into the registration statements on Form F-3 (Registration Nos. 333-267293, 333-267295 and 333-270570) of ADC Therapeutics SA and to be a part thereof from the date on which this report is filed, to the extent not superseded by documents or reports subsequently filed or furnished.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	ADC Therapeutics SA
	By:	/s/ Jose Carmona
	Name:	Jose Carmona
	Title:	Chief Financial Officer
Date: May 9, 2023

EXHIBIT INDEX

Exhibit Number	Description
99.1	Unaudited IFRS Condensed Consolidated Interim Financial Statements as of and for the three months ended March 31, 2023
99.2	Management’s Discussion and Analysis of Financial Condition and Results of Operations
99.3	Press Release dated May 9, 2023
101.SCH	XBRL Taxonomy Extension Schema Document
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document
101.LAB	XBRL Taxonomy Extension Label Linkbase Document
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document
104	Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101)

EX-99.1

Exhibit 99.1

Unaudited IFRS Condensed Consolidated Interim Financial Statements as of and for the three months ended March 31, 2023.

Condensed Consolidated Interim Statement of Operations	2
Condensed Consolidated Interim Statement of Comprehensive Loss	3
Condensed Consolidated Interim Balance Sheet	4
Condensed Consolidated Interim Statement of Changes in Equity	5
Condensed Consolidated Interim Statement of Cash Flows	6
Notes to the Condensed Consolidated Interim Financial Statements	7

1

ADC Therapeutics SA

Condensed Consolidated Interim Statement of Operations

(in KUSD except for per share data)

		For the Three Months Ended March 31,
	Note	2023	2022
Product revenues, net	5	18,953	16,498
License revenues and royalties	5	39	30,000
Total revenue		18,992	46,498
Operating expense
Cost of product sales	7	(590)	(529)
Research and development expenses	7	(39,480)	(48,952)
Selling and marketing expenses	7	(15,351)	(18,370)
General and administrative expenses	7	(15,143)	(19,011)
Total operating expense		(70,564)	(86,862)
Loss from operations		(51,572)	(40,364)
Other income (expense)
Financial income		2,304	18,308
Financial expense	12, 13, 14, 17	(10,417)	(9,217)
Non-operating (expense) income	8	(3)	13,442
Total other (expense) income		(8,116)	22,533
Loss before taxes		(59,688)	(17,831)
Income tax benefit		262	1,170
Net loss		(59,426)	(16,661)
Net loss attributable to:
Owners of the parent		(59,426)	(16,661)
Net loss per share, basic and diluted	19	(0.74)	(0.22)

The accompanying notes form an integral part of these condensed consolidated interim financial statements (Unaudited)

2

ADC Therapeutics SA

Condensed Consolidated Interim Statement of Comprehensive Loss

(in KUSD)

		For the Three Months Ended March 31,
	Note	2023	2022
Net Loss		(59,426)	(16,661)
Other comprehensive income (loss)
Items that may be reclassified to profit and loss
Currency translation differences		141	(158)
Share of other comprehensive loss in joint venture		(256)	—
Total items that may be reclassified to profit and loss		(115)	(158)
Other comprehensive loss for the period		(115)	(158)
Total comprehensive loss for the period		(59,541)	(16,819)
Total comprehensive loss attributable to:
Owners of the parent		(59,541)	(16,819)

The accompanying notes form an integral part of these condensed consolidated interim financial statements (Unaudited)

3

ADC Therapeutics SA

Condensed Consolidated Interim Balance Sheet

(in KUSD)

	Note	March 31, 2023	December 31, 2022
ASSETS
Current assets
Cash and cash equivalents	13	310,547	326,441
Accounts receivable, net	5	24,037	72,971
Inventory	9	18,250	18,564
Other current assets		27,173	28,039
Total current assets		380,007	446,015
Non-current assets
Property, plant and equipment		4,484	3,261
Right-of-use assets	12	11,224	6,720
Intangible assets	10	13,586	14,360
Interest in joint venture	11	29,533	31,152
Deferred tax asset		27,605	26,757
Other long-term assets		1,233	903
Total non-current assets		87,665	83,153
Total assets		467,672	529,168
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
Accounts payable		8,694	12,351
Other current liabilities		57,412	73,035
Lease liabilities, short-term	12	1,447	1,097
Senior secured term loans, short-term	13	13,533	12,474
Total current liabilities		81,086	98,957
Non-current liabilities
Senior secured term loans, long- term	13	97,011	97,240
Warrant obligations	13, 15	516	1,788
Deferred royalty obligation, long-term	17	216,551	212,353
Deferred gain of joint venture	11	23,539	23,539
Lease liabilities, long-term	12	10,955	6,564
Other long-term liabilities		329	—
Total non-current liabilities		348,901	341,484
Total liabilities		429,987	440,441
Equity attributable to owners of the parent
Share capital		7,312	7,312
Share premium		1,007,843	1,007,452
Treasury shares		(645)	(679)
Other reserves	16	163,501	155,683
Cumulative translation adjustments		(215)	(356)
Accumulated losses		(1,140,111)	(1,080,685)
Total equity attributable to owners of the parent		37,685	88,727
Total liabilities and equity		467,672	529,168

The accompanying notes form an integral part of these condensed consolidated interim financial statements (Unaudited)

4

ADC Therapeutics SA

Condensed Consolidated Interim Statement of Changes in Equity

(in KUSD)

For the Three Months Ended March 31, 2023

	Note	Share Capital	Share Premium	Other Reserves	Treasury Shares	Cumulative Translation Adjustments	Accumulated Losses	Total Equity
January 1, 2023		7,312	1,007,452	155,683	(679)	(356)	(1,080,685)	88,727
Loss for the period		—	—	—	—	—	(59,426)	(59,426)
Translation adjustment		—	—	—	—	141	—	141
Investment in joint venture		—	—	(256)	—	—	—	(256)
Total other comprehensive (loss) income		—	—	(256)	—	141	—	(115)
Total comprehensive (loss) income for the period		—	—	(256)	—	141	(59,426)	(59,541)
Vestings of RSUs		—	(23)	—	23	—	—	—
Issuance of shares, 2022 Employee Stock Purchase Plan	16	—	414	—	11	—	—	425
Share-based compensation expense	16	—	—	8,074	—	—	—	8,074
Total transactions with owners		—	391	8,074	34	—	—	8,499
March 31, 2023		7,312	1,007,843	163,501	(645)	(215)	(1,140,111)	37,685

For the Three Months Ended March 31, 2022

	Note	Share Capital	Share Premium	Other Reserves	Treasury Shares	Cumulative Translation Adjustments	Accumulated Losses	Total Equity
January 1, 2022		6,445	981,827	102,646	(128)	183	(924,885)	166,088
Loss for the period		—	—	—	—	—	(16,661)	(16,661)
Translation adjustment		—	—	—	—	(158)	—	(158)
Total other comprehensive loss		—	—	—	—	(158)	—	(158)
Total comprehensive loss for the period		—	—	—	—	(158)	(16,661)	(16,819)
Vestings of RSUs		—	(9)	—	9	—	—	—
Share-based compensation expense	16	—	—	13,398	—	—	—	13,398
Total transactions with owners		—	(9)	13,398	9	—	—	13,398
March 31, 2022		6,445	981,818	116,044	(119)	25	(941,546)	162,667

The accompanying notes form an integral part of these condensed consolidated interim financial statements (Unaudited)

5

ADC Therapeutics SA

Condensed Consolidated Interim Statement of Cash Flows (in KUSD)

		For the Three Months Ended March 31,
	Note	2023	2022
Cash used in operating activities
Loss for the period		(59,426)	(16,661)
Adjustments for non-monetary items:
Share-based compensation expense	16	8,074	13,398
Impairments of assets	9	146	—
Depreciation of property, plant and equipment		249	261
Amortization of intangible assets	10	52	26
Impairment of intangible assets	10	743	—
Depreciation of right-of-use assets	12	393	307
Gain from reversal of inventory impairment charges	9	—	(361)
Share of results in joint venture	8, 11	1,363	2,502
Deferred income taxes		(848)	(3,856)
Change in defined benefit pension liability		—	72
Convertible loans, derivatives, change in fair value	8, 14	—	(15,855)
Warrant obligations, change in fair value	8, 13, 15	(1,272)	—
Employee stock purchase plan deductions	16	244	—
Financial income	18	(2,304)	(18,307)
Financial expense	8, 13, 14, 17	10,291	9,165
Exchange differences		18	(63)
Operating loss before working capital changes		(42,277)	(29,372)
Decrease in accounts receivable, net		48,901	3,466
Increase in inventory		(175)	(355)
Decrease (increase) in other current assets		55	(1,065)
(Decrease) increase in accounts payable		(3,663)	4,383
Increase in income taxes		587	2,686
Decrease in other liabilities and other payables		(12,090)	(10,666)
Cash used in operating activities		(8,662)	(30,923)
Interest paid	13	(3,841)	(1,838)
Interest received		2,795	18
Interest expense on lease obligations	12	126	52
Payments made under royalty financing transaction	17	(4,885)	(1,191)
Tax paid		(304)	—
Net cash used in operating activities		(14,771)	(33,882)
Cash used in investing activities
Payment for purchase of property, plant and equipment		(996)	(229)
Payment for purchase of intangible assets	10	(20)	(889)
Payment for deposits		—	(330)
Net cash used in investing activities		(1,016)	(1,448)
Cash provided by (used in) financing activities
Principal portion of lease obligation payments	12	(196)	(258)
Net cash provided by (used in) financing activities		(196)	(258)
Net decrease in cash and cash equivalents		(15,983)	(35,588)
Exchange losses on cash and cash equivalents		89	(82)
Cash and cash equivalents at beginning of the period		326,441	466,544
Cash and cash equivalents at end of the period		310,547	430,874
Supplemental Non-Cash Investing Information
Capital expenditures recorded in Accounts payable		411	—

The accompanying notes form an integral part of these condensed consolidated interim financial statements (Unaudited)

6

ADC Therapeutics SA 

Notes to the Condensed Consolidated Interim Financial Statements (Unaudited) – in KUSD except for share and per share data

1.Corporate information 

ADC Therapeutics SA (the “Company” or “ADCT”) was incorporated on June 6, 2011 under the laws of Switzerland. The registered office of the Company is located at Route de la Corniche 3B, 1066 Epalinges, Switzerland. The Company controls three wholly-owned subsidiaries: ADC Therapeutics America, Inc. (“ADCT America”), which was incorporated in Delaware, USA on December 10, 2014, ADC Therapeutics (UK) Ltd (“ADCT UK”), which was incorporated in England on December 12, 2014 and ADC Therapeutics (NL) B.V. which was incorporated in the Netherlands on February 25, 2022. The Company and its three subsidiaries form the ADCT Group (the “Group”).

The Group is focused on the development and commercialization of antibody drug conjugates (“ADCs”), including research, development, human clinical trials, regulatory approval and commercialization. On April 23, 2021, the U.S. Food and Drug Administration (“FDA”) approved ZYNLONTA for the treatment of relapsed or refractory diffuse large B-cell lymphoma (“DLBCL”) and the Company commenced recognizing revenue upon the sale of ZYNLONTA during the second quarter of 2021. ADCs are drug constructs which combine monoclonal antibodies specific to particular types of cells with cytotoxic molecules or warheads which seek to kill cancer cells to which the ADC attaches. ADCs have extensive potential therapeutic applications in cancer.

These unaudited condensed consolidated interim financial statements were authorized for issue by the Board of Directors on May 9, 2023.

Going concern basis

ADCT is a commercial-stage company developing innovative therapeutics. The Group is exposed to all risks inherent in establishing and developing its business, including the substantial uncertainty that current projects will succeed. The Group’s success may also depend on its ability to:

•establish and maintain a strong patent position and protection;

•develop, gain regulatory approval and commercialize drug products;

•enter into collaborations with partners in the pharmaceutical industry;

•acquire and retain key personnel; and

•acquire additional funding to support its operations.

Since its incorporation, the Group has primarily funded its growth through capital increases and additional funds provided by research collaborations, license agreements, the issuance of the Company’s common shares, the issuance of convertible loans, the issuance of term loans and proceeds from a royalty purchase agreement. The Group does not have recourse to bank loans. As a result, the Group is not exposed to liquidity risk through requests for early repayment of loans, other than, pursuant to the senior secured term loan facility, it must maintain a balance of at least USD 60.0 million in cash and cash equivalents plus any accounts payable that are greater than ninety days old at the end of each quarter.

As of March 31, 2023, the Group’s cash and cash equivalents amounted to USD 310.5 million (December 31, 2022: USD 326.4 million).

Management believes that the Group has sufficient resources to meet its financial obligations for at least the next 12 months from the date of issuance of these unaudited condensed consolidated interim financial statements and, as a result, is presenting these unaudited condensed consolidated interim financial statements of the Group on a going concern basis.

7

2.Basis of preparation

Statement of Compliance

These unaudited condensed consolidated interim financial statements as of and for the three months ended March 31, 2023 have been prepared in accordance with International Accounting Standard 34 Interim Financial Reporting (“IAS 34”) and should be read in conjunction with the audited consolidated financial statements as of and for the year ended December 31, 2022.

Functional and reporting currency

These unaudited condensed consolidated interim financial statements are presented in United States Dollars (“USD” or “$”), which is the Company’s functional currency and the Group’s reporting currency.

A subsidiary of the Company, ADCT UK, has a functional currency of the British Pound (“GBP”). The following exchange rates have been used for the translation of the financial statements of ADCT UK:

	Three Months Ended March 31,
	2023	2022
USD / GBP
Closing rate, GBP 1	1.23681	1.31336
Weighted average exchange rate, GBP 1	1.23708	1.34361

8

Basis of Consolidation

The unaudited condensed consolidated interim financial statements incorporate the financial statements of the Company and entities controlled by the Company which are the same as those contained in the audited consolidated financial statements as of and for the year ended December 31, 2022.

Use of estimates and judgements

The preparation of the unaudited condensed consolidated interim financial statements in conformity with IAS 34 requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets and liabilities, income and expense. Actual results may differ from these estimates.

Estimates are based on management’s knowledge of current events and actions that the Company may undertake in the future. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

In preparing these unaudited condensed consolidated interim financial statements, the significant judgements made by management in applying the Group’s accounting policies and the key sources of estimation uncertainty included those that applied to the consolidated financial statements for the year ended December 31, 2022. There have been no material changes to the use of estimates and judgements other than those described in note 3, "Significant accounting policies."

9

3.Significant accounting policies

The accounting policies applied by the Company in these unaudited condensed consolidated interim financial statements are the same as those applied by the Company in its audited consolidated financial statements as of and for the year ended December 31, 2022 and have been applied consistently to all periods presented in these unaudited condensed consolidated interim financial statements, except for the following:

Revenue Recognition

Product Revenue

The Company generates revenue from sales of ZYNLONTA in the U.S. for the treatment of relapsed or refractory DLBCL, which was approved by the FDA on April 23, 2021 and launched shortly thereafter. Revenue is recognized when control is transferred to the customer at the net selling price, which includes reductions for gross-to-net (“GTN”) sales adjustments such as government rebates, chargebacks, distributor service fees, other rebates and administrative fees, sales returns and allowances and sales discounts.

On November 15, 2021, the Infrastructure Investment and Jobs Act was enacted, which added a requirement for manufacturers of certain single-source drugs (including biologics and biosimilars) separately paid for under Medicare Part B for at least 18 months and marketed in single-dose containers or packages (known as refundable single-dose container or single-use package drugs) to provide annual refunds if those portions of the dispensed drug that are unused and discarded exceed an applicable percentage defined by statute or regulation. The Centers for Medicare & Medicaid Services (the “CMS”) finalized regulations to implement this section on November 18, 2022, and the provision went into effect on January 1, 2023.

The Company has accounted for this annual refund (“discarded drug rebate”) as a GTN sales adjustment beginning in the first quarter of 2023. The discarded drug rebate will involve significant estimates and judgment after considering factors including legal interpretations of applicable laws and regulations, historical experience with discarded volumes and processing time lags.

The Company will use information from external sources to identify the Company’s discarded volumes and estimate the discarded drug rebate. The Company’s estimates are subject to inherent limitations of estimates that rely on third-party information and reflect other limitations including lags between the date as of which third-party information is generated and the date on which the Company receives third-party information. Estimates for the discarded drug rebate will be assessed each period and adjusted as required to revise information or actual experience.

New and amended IFRS standards

There are no new IFRS standards, amendments to standards or interpretations that are mandatory for the financial year beginning on January 1, 2023, that are relevant to the Group. New standards, amendments to standards and interpretations that are not yet effective, which have been deemed by the Group as currently not relevant, are not listed here.

10

4.Financial risk management 

4.1Financial risk factors

The Group’s activities are exposed to a variety of financial risks: market risk (including changes in the Company’s share price, exposure to fluctuation in currency exchange rates and exposure to interest rate movements), credit risk and liquidity risk.

The unaudited condensed consolidated interim financial statements do not include all financial risk management information and disclosures required in the annual financial statements, and should be read in conjunction with the Group’s consolidated financial statements as of December 31, 2022. In relation to the royalty purchase agreement with entities managed by Healthcare Royalty Management, LLC ("HCR"), the Company is obligated to pay interest in the form of royalties in connection with certain net sales and licensing revenue. As the effective interest rate ("EIR") on the deferred royalty obligation does not depend on market performance, the exposure to interest rate and market risk is deemed low. See note 17, “Deferred royalty obligation” for further information. In regards to the senior secured term loans, the interest rate is variable and dependent upon market factors. The Company will update the EIR at the end of each reporting period for changes in the rate. See note 13, "Senior secured term loan facility and warrants" for further information. A hypothetical 100 basis point increase (decrease) in the interest rate as of March 31, 2023 would have increased (decreased) the effective interest expense associated with the Company's senior secured term loan facility by KUSD 676 and (KUSD 676), respectively. There have been no other material changes in financial risk management since December 31, 2022.

4.2Fair value estimation

As of March 31, 2023, the carrying amount is a reasonable approximation of fair value for the following financial assets and liabilities:

•Cash and cash equivalents

•Trade accounts receivable; and

•Trade accounts payable

In the three months ended March 31, 2023, there were no significant changes in the business or economic circumstances that affected the fair value of the Group’s financial assets and financial liabilities.

Fair values must be estimated at the end of each reporting period with regard to the senior secured term loan warrant obligation and the Deerfield warrants. The approach to valuation follows the grant date fair value principle, and the key input factors are described for the senior secured term loan facility warrant obligation in note 13, "Senior secured term loan facility and warrants" and for the Deerfield warrants in note 15, "Deerfield warrants." Commonly accepted pricing models (Black-Scholes) have been used to calculate the fair values. The valuation of the senior secured term loan facility warrant obligation and Deerfield warrants are classified as pertaining to Level 2 of the valuation hierarchy. The convertible loan derivatives previously were classified as pertaining to Level 3 of the valuation hierarchy and were extinguished on August 15, 2022. See note 14, "Convertible loans" for further information. The Company no longer has any inputs pertaining to level 3 of the valuation hierarchy set out below.

The different levels of the valuation hierarchy have been defined as follows:

(a)Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities;

(b)Level 2: inputs other than quoted prices that are observable for the asset or liability, either directly (for example, as prices) or indirectly (for example, derived from prices);

(c)Level 3: inputs for the asset or liability that are not based on observable market data.

There were no transfers between the respective levels during the period.

11

5.Revenue recognition

The table below provides a disaggregation of revenues by type of service and customer location for the three months ended March 31, 2023 and March 31, 2022.

	Three months ended March 31,
(in KUSD)	2023	2022
Types of goods and services
Product revenue, net	18,953	16,498
License revenues	—	30,000
Royalties	39	—
Total revenue	18,992	46,498
Customer Location
U.S.	18,953	16,498
EMEA(1)	39	—
Japan	—	30,000
Total revenue	18,992	46,498

(1) Europe, the Middle East and Africa

Product revenue, net

Product revenues, net from sales of ZYNLONTA were KUSD 18,953 and KUSD 16,498 for the three months ended March 31, 2023 and 2022, respectively. The Company records its best estimate of GTN sales adjustments to which customers are likely to be entitled.

The table below provides a rollforward of the Company’s accruals related to the GTN sales adjustments for the three months ended March 31, 2023 and March 31, 2022.

	Three months ended March 31,
(in KUSD)	2023	2022
Beginning balance	3,746	2,590
GTN sales adjustments for current period sales	5,616	3,491
GTN sales adjustments for prior period sales	(648)	(192)
Credits, payments and reclassifications to Accounts payable	(4,352)	(1,763)
Ending balance as of March 31,	4,362	4,126

The table below provides the classification of the accruals related to the GTN sales adjustment included in the Company’s unaudited condensed consolidated interim balance sheet as of March 31, 2023 and December 31, 2022.

(in KUSD)	As of March 31, 2023	As of December 31, 2022
Accounts receivable, net	1,688	2,151
Other current liabilities	2,674	1,595
	4,362	3,746

12

License revenues and royalties

On January 18, 2022, the Company entered into an exclusive license agreement with MTPC for the development and commercialization of ZYNLONTA for all hematologic and solid tumor indications in Japan. Under the terms of the agreement, the Company received an upfront payment of USD 30 million and may receive up to an additional USD 205 million in milestones if certain development and commercial events are achieved. The Company will also be entitled to receive royalties ranging in percentage from the high teens to the low twenties based on net sales of ZYNLONTA in Japan. MTPC will conduct clinical studies of ZYNLONTA in Japan and will have the right to participate in any global clinical studies by bearing a portion of the study costs. In addition, the Company will supply ZYNLONTA to MTPC for its drug development and commercialization under a supply agreement.

On July 8, 2022, the Company entered into exclusive license agreement with Sobi for the development and commercialization of ZYNLONTA for all hematologic and solid tumor indications outside of the U.S., greater China, Singapore and Japan. Under the terms of the agreement, the Company received an upfront payment of USD 55 million and is eligible to receive up to USD 382.5 million in regulatory and net sales-based milestones, of which USD 50 million in license revenue was recognized in December 2022 upon approval of a Marketing Authorisation Application by the European Commission for ZYNLONTA in third-line DLBCL and received in the first quarter of 2023. The Company will also receive royalties ranging in percentage from the mid-teens to the mid-twenties based on net sales of the product in Sobi’s licensed territories, subject to certain adjustments. The Company recognized a de minimus amount of revenue attributable to royalties in the Sobi licensed territories during the three months ended March 31, 2023.

6.Segment information

The Company is managed and operated as one business. A single management team that reports to the chief executive officer comprehensively manages the entire business. Accordingly, the Company views its business and manages its operations as one operating segment.

13

7.Operating expense

The following table provides the unaudited condensed consolidated interim statement of operations classification of the Company's total operating expense:

(in KUSD)	Three months ended March 31,
	2023	2022
Cost of product sales	590	529
R&D
External costs (1)	21,654	29,168
Employee expenses (2)	17,826	19,784
R&D expense	39,480	48,952
S&M
External costs (3)	7,360	8,911
Employee expenses (2)	7,991	9,459
S&M expense	15,351	18,370
G&A
External costs (1)	4,538	7,639
Employee expenses (2)	10,605	11,372
G&A expense	15,143	19,011
Total operating expense	70,564	86,862

(1) Includes depreciation expense

(2) Includes share-based compensation expense

(3) Includes depreciation expense for Property, plant and equipment for the three months ended March 31, 2023 and 2022.

R&D external costs decreased as a result of carefully weighing Cami against the rest of the Company's portfolio in terms of resource allocation, and deciding not to proceed on our own and to seek a partner to continue developing this program within this high unmet need patient segment. The Company also had lower clinical trial costs for closed studies LOTIS 3, LOTIS 6 and LOTIS 8, as well as lower manufacturing expenses related to IND-enabling work for ADCT 212. The decrease in external costs was partially offset by an increase in clinical trial costs for LOTIS 5, LOTIS 10 and LOTIS 9, as well as an increase in chemistry, manufacturing and controls expenses, as those studies progressed. Employee expense decreased for the three months ended March 31, 2023 primarily due to lower share-based compensation expense.

The decrease in S&M expenses in the three months ended March 31, 2023 was primarily due to lower spend on marketing, analytics and expenses in the European Union relating to the commercial launch of ZYNLONTA of USD 1.7 million, as well as lower share-based compensation expense of USD 1.3 million due to fluctuations in our share price.

The decrease in G&A expenses in the three months ended March 31, 2023 was primarily due to lower professional fees, including those fees associated with the license agreement entered into with MTPC, which were incurred during the three months ended March 31, 2022. Employee expense for the three months ended March 31, 2023 decreased primarily as a result of lower share-based compensation expense due to employee transitions and fluctuations in our share price, partially offset by higher wages and benefits.

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8.Non-operating (expense) income

		Three months ended March 31,
(in KUSD)	Note	2023	2022
Convertible loans, derivatives, change in fair value income	14	—	15,855
Deerfield warrant obligation, change in fair value income	15	616	—
Senior secured term loan facility, warrants, change in fair value income	13	656	—
Share of results with joint venture	11	(1,363)	(2,502)
Exchange differences (loss) gain		(52)	81
R&D tax credit		140	8
Non-operating (expense) income		(3)	13,442

Convertible loans, derivatives, change in fair value income

Changes in derivative fair values are explained in note 14, “Convertible loans.” Pursuant to the Facility Agreement with Deerfield, the Company drew down the Deerfield First Tranche of the convertible loans amounting to USD 65.0 million on May 19, 2020. Additionally, in connection with the FDA approval of ZYNLONTA, the Company drew down the Deerfield Second Tranche of convertible loans amounting to USD 50.0 million on May 17, 2021. On August 15, 2022, pursuant to the exchange agreement with Deerfield, Deerfield exchanged USD 115.0 million aggregate principal amount of the Company's senior secured convertible notes for warrants to purchase an aggregate of 4,412,840 common shares, an aggregate of 2,390,297 common shares and cash equal to USD 117.3 million.

Deerfield warrant obligation, change in fair value income

Pursuant to an exchange agreement with Deerfield entered into on August 15, 2022, the Company issued warrants to purchase an aggregate of 4,412,840 common shares. The Deerfield warrant obligation has been recorded at its initial fair value and is remeasured to fair value at the end of each reporting period. Changes in fair value of the Deerfield warrant obligation are explained in note 15, "Deerfield warrants."

Senior secured term loan facility, warrants, change in fair value income

The Company has accounted for the First Tranche of the senior secured term loan and warrants as one hybrid financial instrument, with the USD 120 million proceeds separated into two components: a warrant obligation and a loan. The warrant obligation has been recorded at its initial fair value and is remeasured to fair value at the end of each reporting period. Changes in fair value of the warrant obligation are explained in note 13, "Senior secured term loan facility and warrants."

Share of results with joint venture

In connection with the formation of Overland ADCT BioPharma in December 2020, the Company recorded its proportionate share of Overland ADCT BioPharma’s comprehensive loss. See note 11, “Interest in joint venture.”

Exchange differences (loss) gain

Also included in non-operating (expense) income are favorable or unfavorable Exchange differences. The Company is exposed to foreign exchange risk arising from various currency exposures, primarily with respect to British pounds, Euros and Swiss francs. Exchange differences represent gain or (loss) based on favorable or unfavorable changes in foreign currencies.

R&D tax credit

The Company recognizes as income (expense) amounts received and receivable by its subsidiary, ADCT UK, under the United Kingdom’s R&D Expenditure Credit scheme (“UK R&D Credit Scheme”). The grants represent 13% and 12% of eligible expenditures for the three months ended March 31, 2023 and March 31, 2022, respectively. The claims are payable through the tax system, as a refund of corporation tax or of other taxes, including income tax and social security payments deducted at source from qualifying (research) employees’ payroll and VAT. The relevant amounts have been therefore presented net in the balance sheet. As the credit is independent of ADCT UK’s taxable profit, is clearly designed to incentivize companies to invest in R&D activities and is itself taxable income, the Group has recognized the income as government grants within non-operating (expense) income and not as a credit to income tax expense.

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9.Inventory

Inventory as of March 31, 2023 and December 31, 2022 consisted of the following:

(in KUSD)	As of March 31, 2023	As of December 31, 2022
Work in process	17,961	18,165
Finished goods	289	399
Total inventory	18,250	18,564

During the three months ended March 31, 2022, the Company reversed KUSD 361 of previously recorded impairment charges in accordance with its accounting policy, based on the existence of inventory on hand and estimated demand, as well as expiration dating. The reversal of impairment charges was recorded as a gain to R&D expenses in the Company’s unaudited condensed consolidated interim statement of operation. Impairment charges of KUSD 146 was recognized and charged to cost of product sales in the unaudited condensed consolidated interim statement of operations during the three months ended March 31, 2023.

10.Intangible assets

During the three months ended March 31, 2023, the Company did not capitalize any license fees as intangible assets. During the three months ended March 31, 2022, the Company capitalized:

•    KUSD 195 paid upon the successful completion of in-vivo efficacy studies related to a license with a third party to use their specific binding proteins in the development, manufacturing and commercialization of products. The amount was capitalized as an indefinite-lived intangible asset.

During the three months ended March 31, 2023, the Company decided to terminate a program. Consequently, impairment charges of KUSD 743 (corresponding to the entire carrying amount of the capitalized licenses) was recognized and charged to R&D expenses in the unaudited condensed consolidated interim statement of operations. No impairment losses were recognized during the three months ended March 31, 2022. The Company performs an assessment at the end of each period to determine whether there is any indication that an intangible asset may be impaired. The Company identified one indicator of impairment during the three months ended March 31, 2023. The Company evaluated further and concluded there were no impairments, other than the terminated program.

16

The table below provides a rollforward of the Company’s intangible assets as of March 31, 2023 and 2022.

(in KUSD)	Indefinite lived		Definite lived
Cost	Licenses	Internal development costs	Internal development costs	Licenses	Software	Total
January 1, 2023	13,680	—	954	1,052	278	15,964
Additions	—	—	—	—	20	20
Exchange differences	—	—	—	—	3	3
March 31, 2023	13,680	—	954	1,052	301	15,987
Accumulated Amortization
January 1, 2023	(1,295)	—	—	(125)	(184)	(1,604)
Amortization charge	—	—	(19)	(19)	(14)	(52)
Impairment charge	(743)	—	—	—	—	(743)
Exchange differences	—	—		—	(2)	(2)
March 31, 2023	(2,038)	—	(19)	(144)	(200)	(2,401)
Net book amount as of March 31, 2023	11,642	—	935	908	101	13,586
Cost
January 1, 2022	12,985	631	—	1,052	176	14,844
Additions	195	82	—	—	19	296
Exchange differences	—	—	—	—	(1)	(1)
March 31, 2022	13,180	713	—	1,052	194	15,139
Accumulated Amortization
January 1, 2022	(1,069)	—	—	(50)	(143)	(1,262)
Amortization charge	—	—	—	(19)	(7)	(26)
March 31, 2022	(1,069)	—	—	(69)	(150)	(1,288)
Net book amount as of March 31, 2022	12,111	713	—	983	44	13,851

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11.Interest in joint venture

The Company is invested in a joint venture company, Overland ADCT BioPharma, with Overland Pharmaceuticals (“Overland”), to develop and commercialize one of the Company’s ADC products, ZYNLONTA, and three of the Company’s ADC product candidates, ADCT-601, ADCT-602 and ADCT-901, in greater China and Singapore. The table below provides a rollforward of the Company’s interest in Overland ADCT BioPharma as of March 31, 2023 and 2022, respectively.

(in KUSD)
Interest in joint venture
January 1, 2023	31,152
Share of comprehensive loss in joint venture	(1,619)
March 31, 2023	29,533
January 1, 2022	41,236
Share of comprehensive loss in joint venture	(2,502)
March 31, 2022	38,734

As of March 31, 2023, the deferred gain of USD 23.5 million arising from the Company’s contribution for its equity investment in the joint venture remained unchanged from December 31, 2022. The Company’s carrying value of its investment in a joint venture increases or decreases in relation to the Company’s proportionate share of comprehensive income or loss of the joint venture. When the Company’s share of losses of a joint venture exceeds the Company’s interest in that joint venture less the carrying value of the deferred gain described above, the Company ceases to recognize its share of further losses. Additional losses are recognized only to the extent that the Company has incurred legal or constructive obligations or made payments on behalf of the joint venture.

The tables below provide summarized financial information for Overland ADCT BioPharma that is material to the Company. The following information reflects the amounts presented in the financial statements of Overland ADCT BioPharma and not the Company’s share of those amounts.

(in KUSD)	As of
Summarized Balance Sheet	March 31, 2023	December 31, 2022
Cash and cash equivalents	14,977	19,261
Prepaid and other current assets	79	2
Intangible assets	48,039	49,249
Total liabilities	(2,408)	(3,062)
Net assets	60,687	65,450
Summarized Statement of Comprehensive Loss	Three months ended March 31,
	2023	2022
Operating expenses	3,653	4,791
Other expense (income)	274	(42)
Net loss	3,927	4,749

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12.Leases

The table below provides a rollforward of the Company's right-of-use assets as of March 31, 2023 and 2022, respectively.

(in KUSD)
Right-of-Use Assets	Properties (Offices)	Vehicles	Total
Cost
January 1, 2023	9,311	134	9,445
Additions	4,818	—	4,818
Exchange difference	104	—	104
March 31, 2023	14,233	134	14,367
Accumulated depreciation
January 1, 2023	(2,642)	(83)	(2,725)
Depreciation charge	(385)	(8)	(393)
Exchange difference	(25)	—	(25)
March 31, 2023	(3,052)	(91)	(3,143)
Net book amount as of March 31, 2023	11,181	43	11,224
Cost
January 1, 2022	9,005	134	9,139
Exchange difference	(145)	—	(145)
March 31, 2022	8,860	134	8,994
Accumulated depreciation
January 1, 2022	(1,925)	(50)	(1,975)
Depreciation charge	(299)	(8)	(307)
Exchange difference	14	—	14
March 31, 2022	(2,210)	(58)	(2,268)
Net book amount as of March 31, 2022	6,650	76	6,726

On January 30, 2023, the Company expanded the square footage of its existing lease related to its U.K. office. The lease commenced on January 30, 2023 and expires on January 27, 2031, and includes an option to terminate early on January 26, 2026. The Company is reasonably certain it will not terminate the lease early and therefore will account for the lease using an eight-year lease term. Total rent payments including service charges through January 27, 2031 are USD 7.6 million.

Depreciation of right-of-use assets have been charged to the following categories in the unaudited condensed consolidated interim statement of operations. Depreciation expense for S&M expenses was not material for any of the periods presented.

	Three months ended March 31,
(in KUSD)	2023	2022
R&D expenses	331	245
G&A expenses	62	62
	393	307

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The table below provides a rollforward of the Company's lease liabilities as of March 31, 2023 and 2022, respectively.

(in KUSD)
Lease liabilities	Properties (Offices)	Vehicles	Total
January 1, 2023	7,607	54	7,661
Additions	4,818	—	4,818
Cash outflow (including interest)	(313)	(9)	(322)
Interest	126	—	126
Exchange difference	109	10	119
March 31, 2023	12,347	55	12,402
January 1, 2022	7,898	125	8,023
Cash outflow (including interest)	(301)	(9)	(310)
Interest	51	1	52
Exchange difference	(134)	(36)	(170)
March 31, 2022	7,514	81	7,595
March 31, 2023
Lease liabilities (short-term)	1,411	36	1,447
Lease liabilities (long-term)	10,936	19	10,955
Total lease liabilities	12,347	55	12,402
March 31, 2022
Lease liabilities (short-term)	946	35	981
Lease liabilities (long-term)	6,568	46	6,614
Total lease liabilities	7,514	81	7,595

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13.Senior secured term loan facility and warrants

Oak Tree and Owl Rock Warrant Obligations

During the three months ended March 31, 2023, the Company recognized income of KUSD 656 as a result of changes in the fair value of the warrant obligations. The fair value of the warrant obligations as of March 31, 2023 and December 31, 2022 was KUSD 339 and KUSD 995, respectively. The decrease in fair value of the warrant obligation from December 31, 2022 to March 31, 2023 was primarily due to the decrease in the fair value of the underlying shares during that period, which was recorded directly to Non-operating (expense) income in the unaudited condensed consolidated interim statement of operations. See note 8, "Non-operating (expense) income" for further information.

The Company used an independent valuation firm to assist in calculating the fair value of the warrant obligations, using the Black-Scholes option-pricing model. Key inputs for the valuation of the warrant obligations as of March 31, 2023 were as follows:

	As of		As of
	March 31, 2023		December 31, 2022
Exercise price in USD	8.30		8.30
Share price in USD	1.95		3.84
Risk-free interest rate	3.7	%	4.0	%
Expected volatility	80	%	80	%
Expected term (months)	52.5 months		55.5 months
Dividend yield	—		—
Black-Scholes value in USD	0.64		1.89

Senior Secured Term Loan

For the three months ended March 31, 2023, the Company recorded interest expense on the senior secured term loan in the amount of KUSD 4,540 which was recorded in Financial expense in the unaudited condensed consolidated interim statement of operations. The EIR at March 31, 2023 was 16.44%. The carrying value of the senior secured term loan was USD 110.5 million as of March 31, 2023, of which USD 13.5 million and USD 97.0 million represented the short-term and long-term portion of the liability, respectively.

Pursuant to this Loan Agreement, the Company is subject to a covenant that requires it to maintain a balance at the end of each quarter of at least USD 60.0 million in cash and cash equivalents that are included on the unaudited condensed consolidated interim balance sheet plus an amount equal to any accounts payable that remain unpaid more than ninety days after the date of the original invoice. As of March 31, 2023, the Company was in compliance with this covenant.

14.Convertible loans

On April 24, 2020, the Company entered into a USD 115.0 million Facility Agreement with Deerfield, pursuant to which Deerfield extended a tranche of USD 65.0 million of convertible loans on May 19, 2020 upon completion of the Company’s initial public offering (the “Deerfield First Tranche”) and a tranche of USD 50.0 million of convertible loans on May 17, 2021 after the receipt of regulatory approval for ZYNLONTA (the “Deerfield Second Tranche”).

On August 15, 2022, pursuant to an exchange agreement with Deerfield, Deerfield exchanged USD 115.0 million aggregate principal amount of the Company's senior secured convertible notes for warrants to purchase an aggregate of 4,412,840 common shares, an aggregate of 2,390,297 common shares and cash equal to USD 117.3 million.

As a result of the exchange agreement on August 15, 2022, the Company recognized a loss on extinguishment of USD 42.1 million, which primarily consists of the difference between the aggregate principal amount and carrying value of the convertible loans, exit fee, as well as the unpaid interest payments through the maturity date.

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Embedded conversion option derivatives

Prior to the exchange, the Company accounted for the Facility agreement as a loan and embedded conversion option features. The embedded conversion option derivative was marked-to-market while the loan was measured at its amortized cost on a quarterly basis.

The following table summarizes the changes in fair value income of the embedded conversion option derivatives during the three months ended March 31, 2022:

	Three months ended March 31,
(in KUSD)	2022
Deerfield First Tranche	9,518
Deerfield Second Tranche - after FDA approval	6,337
Total	15,855

The decrease in fair value of the embedded derivatives was primarily due to a decrease in the fair value of the underlying shares during the three months ended March 31, 2022. These amounts were charged directly to the unaudited condensed consolidated interim statements of operations. See note 8, “Non-operating (expense) income” for further information.

The Company used an independent valuation firm to assist in calculating the fair value of the Deerfield First Tranche and Deerfield Second Tranche of the embedded conversion option derivatives, which is based on the mean of values derived from application of the Hull and Goldman Sachs convertible bond pricing models. Key inputs for the valuations as of March 31, 2022 was as follows:

Deerfield First Tranche

	As of
	March 31, 2022
Exercise price at 130% of the IPO price of 19.00, in USD	24.70
Forced conversion price, in USD	67.93
Share price in USD	14.69
Risk-free interest rate	2.4	%
Expected volatility	76	%
Expected term (months)	37.0 months
Dividend yield	—
Recovery rate	5	%
Implied bond yield	10.3	%

Deerfield Second Tranche

	As of
	March 31, 2022
Exercise price in USD	28.07
Forced conversion price, in USD	77.19
Share price in USD	14.69
Risk-free interest rate	2.4	%
Expected volatility	76	%
Expected term (months)	37.0 months
Dividend yield	—
Recovery rate	5	%
Implied bond yield	10.3	%

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Residual convertible loan

The following table summarizes the interest expense recorded on the convertible loan for the three months ended March 31, 2022:

	Three months ended March 31,
(in KUSD)	2022
Deerfield First Tranche	2,219
Deerfield Second Tranche	803
Total	3,022

15.Deerfield warrants

Pursuant to the exchange agreement with Deerfield entered into on August 15, 2022, the Company issued warrants to purchase an aggregate of 4,412,840 common shares. The warrants consist of warrants to purchase an aggregate of 2,631,578 common shares at an exercise price of USD 24.70 per share and warrants to purchase an aggregate of 1,781,262 common shares at an exercise price of USD 28.07 per share. Each warrant is exercisable, on a cash or a cashless basis, at the option of the holder, at any time on or prior to May 19, 2025. The warrants contain customary anti-dilution adjustments and entitle holders to receive any dividends or other distributions paid on the underlying common shares prior to their expiration on an as-exercised basis. Each holder also may require the Company to repurchase the warrants for their Black Scholes-based fair value in connection with certain transformative transactions or change of control of the Company that occur prior to their expiration.

The terms of the warrants are reflective of the terms of the embedded conversion option features of the Deerfield Facility Agreement prior to the Exchange Agreement. As a result, the fair value of the warrants was determined to approximate the fair value of the existing embedded conversion option features immediately prior to the consummation of the Exchange Agreement. As such, the warrant obligation was recorded at an initial fair value of KUSD 12,297 on August 15, 2022. Subsequent to issuance, the warrant obligation will be remeasured to fair value at the end of each reporting period.

During the three months ended March 31, 2023, the Company recognized income of KUSD 616 as a result of changes in the fair value of the warrant obligation. The fair value of the warrant obligation as of March 31, 2023 and December 31, 2022 was KUSD 177 and KUSD 793, respectively. The decrease in fair value of the warrant obligation from December 31, 2022 to March 31, 2023 was primarily due to the decrease in the fair value of the underlying shares during that period. These amounts were recorded to Non-operating (expense) income in the unaudited condensed consolidated interim statement of operations. See note 8, "Non-operating (expense) income" for further information.

The Company used an independent valuation firm to assist in calculating the fair value of the Deerfield warrant obligation, using the Black-Scholes option-pricing model. Key inputs for the valuation of the warrant obligation as of March 31, 2023 were as follows:

	As of		As of
	March 31, 2023		December 31, 2022
Exercise price in USD	24.70 and 28.07		24.70 and 28.07
Share price in USD	1.95		3.84
Risk-free interest rate	4.0	%	4.3	%
Expected volatility	80	%	70	%
Expected term (months)	25.7 months		28.7 months
Dividend yield	—		—
Black-Scholes value in USD	0.04 and 0.03		0.20 and 0.16

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16.Share-based compensation

Equity Incentive Plan 2019

In November 2019, the Company adopted the Equity Incentive Plan 2019. Under the Equity Incentive Plan 2019, the Company may at its discretion grant to plan participants, such as directors, certain employees and service providers, awards in the form of restricted shares and restricted share units (“RSUs”), share options, share appreciation rights, performance awards and other share-based awards. The Company has reserved 17,741,355 common shares for future issuance under the Equity Incentive Plan 2019 (including share-based equity awards granted to date less awards forfeited). As of March 31, 2023, the Company had 857,016 common shares available for the future issuance of share-based equity awards. On March 22, 2023, the Company issued its annual equity award, which was approved by the Compensation Committee of the Board of Directors and consisted of 2,026,341 share options and 538,175 RSUs. As of March 31, 2023, the Company has only granted share options, RSUs and performance awards under the Equity Incentive Plan 2019.

As of March 31, 2023, the cumulative amount recorded as an increase to Other Reserves within equity in the unaudited condensed consolidated interim balance sheet of the Equity Incentive Plan 2019 was KUSD 153,079. The amount of expense for all awards recognized for services received during the three months ended March 31, 2023 and 2022 were KUSD 7,977 and KUSD 13,910, respectively. An amount of KUSD 512 was withheld for tax charges during the three months ended March 31, 2022.

Share Options

Pursuant to the Equity Incentive Plan 2019, the Company may grant share options to its directors, certain employees and service providers working for the benefit of the Company at the time. The exercise price per share option is set by the Company at the fair market value of the underlying common shares on the date of grant, as determined by the Company, which is generally the closing share price of the Company’s common shares traded on the NYSE. The awards generally vest 25% on the first anniversary of the date of grant, and thereafter evenly on a monthly basis over the subsequent three years. The contractual term of each share option award granted is ten years. Under the grant, the options may be settled only in common shares of the Company. Therefore, the grants of share options under the Equity Incentive Plan 2019 have been accounted for as equity-settled under IFRS 2. As such, the Company records a charge for the vested portion of award grants and for partially earned but non-vested portions of award grants. This results in a front-loaded charge to the Company’s unaudited condensed consolidated interim statement of operations and a corresponding increase to Other Reserves within equity on the unaudited condensed consolidated interim balance sheet.

The expense recognized for services received during the three months ended March 31, 2023 and 2022 was KUSD 4,781 and KUSD 10,515, respectively.

The following table summarizes the share option awards outstanding as of March 31, 2023:

	Average strike price per share in USD	Number of awards	Weighted average remaining life in years
December 31, 2022	18.30	10,755,494	8.46
Granted	2.50	2,830,741	9.97
Forfeited	19.59	(467,579)	N/A
March 31, 2023	14.19	13,118,656	8.58

Awards outstanding as of March 31, 2023 and December 31, 2022, expire through 2033 and 2032, respectively. The options granted during 2023 include the Company’s annual equity award discussed above. The grant-date fair value of the options relating to the annual equity awards was USD 1.41 per share. As of March 31, 2023, 4,438,080 awards are vested and exercisable out of the total outstanding awards of 13,118,656 common shares. The weighted average strike price and weighted average remaining life for vested and exercisable awards is USD 24.74 and 7.25 years, respectively.

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The fair values of the options granted were determined on the date of the grant using the Black-Scholes option-pricing model. The Company used an independent valuation firm to assist in calculating the fair value of the award grants per participant.

The fair values of the options granted during the three months ended March 31, 2023 and 2022 were determined on the date of the grant using the following assumptions:

	Three Months Ended	Three Months Ended
	March 31, 2023	March 31, 2022
Share price, in USD	1.99 - 5.45	14.00 - 19.69
Strike price, in USD	1.99 - 5.45	14.00 - 19.69
Expected volatility, in %	75% to 80%	70%
Award life, in years	6.08	6.08
Expected dividends	—	—
Risk-free interest rate, in %	3.39% - 4.13%	1.46% - 1.73%

The expected volatility was based on the Company’s historical volatility and selected volatility determined by median values observed among other comparable public companies.

The award life is based on the time interval between the date of grant and the date during the ten-year life after which, when making the grant, the Company expected on average that participants would exercise their options.

RSUs

Pursuant to the Equity Incentive Plan 2019, the Company may grant RSUs to its directors, certain employees and service providers working for the benefit of the Company at the time. The awards generally vest annually over a period of three years commencing on the first anniversary of the date of grant. The RSUs may be settled only in common shares of the Company. Therefore, the grants of RSUs under the Equity Incentive Plan 2019 have been accounted for as equity-settled under IFRS 2. As such, the Company records a charge for the vested portion of award grants and for partially earned but non-vested portions of award grants. This results in a front-loaded charge to the Company’s unaudited condensed consolidated interim statement of operations and a corresponding increase to Other Reserves within equity on the unaudited condensed consolidated interim balance sheet.

The expense recognized for services received during the three months ended March 31, 2023 and 2022 was KUSD 3,196 and KUSD 3,395, respectively.

	Number of awards	Weighted average grant date fair value
December 31, 2022	1,585,877	13.26
Granted	839,680	2.11
Vested	(254,891)	19.52
Forfeited	(60,444)	12.22
March 31, 2023	2,110,222	8.10

The RSUs granted during 2023 include the annual equity award discussed above which had a grant date fair value of USD 1.99.

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Share-based Compensation Reserves

The movement in the Share-based Compensation Reserves (included in Other reserves within equity) is as follows:

	Three months ended
(in KUSD)	March 31, 2023	March 31, 2022
Equity Incentive Plan 2019 - Share Options	4,781	10,515
Equity Incentive Plan 2019 - RSUs	3,196	3,395
ESPP Expense	97	—
Tax and social charge deductions - Incentive Plan 2019	—	(512)
Total	8,074	13,398

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17.Deferred royalty obligation

On August 25, 2021, the Company entered into a royalty purchase agreement with HCR for up to USD 325.0 million of which the Company received gross proceeds of USD 225.0 million during 2021 and is eligible to receive an additional USD 75.0 million upon the first commercial sale of ZYNLONTA in the United Kingdom or any European Union country.

The table below provides a rollforward of the Company’s debt obligation relating to the royalty purchase agreement.

(in KUSD)
January 1, 2022	225,477
Less: royalty payments	10,998
Plus: interest expense	23,200
Less: cumulative catch-up adjustment, Financial income	15,402
December 31, 2022	222,277
Less: royalty payments	4,885
Plus: interest expense	5,746
Less: cumulative catch-up adjustment, Financial income	129
March 31, 2023	223,009

The Company recorded a liability relating to the initial gross proceeds received less transaction costs. The Company will record additional liabilities upon the receipt of eligible amounts when such contingent events occur. To determine the accretion of the liability related to the deferred royalty obligation, the Company is required to estimate the total amount of future royalty payments and estimated timing of such payment to HCR based on the Company's revenue projections. Based on the Company's initial revenue projections, the Company used an independent valuation firm to assist in determining the total amount of future royalty payments and estimated timing of such payment to HCR using an option pricing Monte Carlo simulation model. The amount ultimately received by the Company will be accreted to the total amount of the royalty payments necessary to extinguish the Company’s obligation under the agreement, which will be recorded as interest expense over the life of the royalty purchase agreement. The estimate of this total interest expense resulted in an EIR of 10%. As royalty payments are made to HCR, the balance of the debt obligation will be effectively repaid over the life of the royalty purchase agreement.

Based on the Company's periodic review, the exact amount and timing of repayment is likely to be different each reporting period as compared to those estimated based on the Company's initial revenue projections. A significant increase or decrease in actual net sales of ZYNLONTA compared to the Company’s revenue projections, and regulatory approval and commercialization of Cami, as well as ZYNLONTA in other indications as well as licensing revenue could change the royalty rate and royalty cap due to HCR, which could materially impact the debt obligation as well as interest expense associated with the royalty purchase agreement. Also, the Company’s total obligation to HCR can vary depending on the achievement of the sales milestones as well as the timing of a change in control event. The Company will periodically assess the expected payments to HCR based on its underlying revenue projections and to the extent the amount or timing of such payments is materially different than its initial estimates it will record a cumulative catch-up adjustment.

Under the cumulative catch-up method, the EIR is not revised when actual or estimated net sales differ from those estimated as of the inception of the debt obligation. Instead, the carrying amount of the debt obligation is adjusted to an amount equal to the present value of the estimated remaining future payments, discounted by using the original EIR, 10%, as of the date on which the estimate changes.

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18.Related parties

Parties are considered to be related if one party has the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operating decisions. The Company has identified the following related parties and related transactions.

A.T. Holdings II Sàrl (“AT Holdings II”) is a shareholder in the Company. AT Holdings II is in turn ultimately wholly owned by Auven Therapeutics Holdings, L.P. (“ATH”), a limited partnership registered in the British Virgin Islands. ATH’s General Partner is Auven Therapeutics General L.P., which itself is a limited partnership whose General Partner is Auven Therapeutics GP Ltd. The manager of ATH is Auven Therapeutics Management L.L.L.P. (“ATM”). As a result, ATH is considered a related party.

Based on the Company’s contribution and equity interest in Overland ADCT BioPharma, certain of the Company’s employees serve on its board of directors. As a result, Overland ADCT BioPharma is considered a related party.

Services provided by the Company to related parties

The Company provides certain administrative services to three subsidiaries of ATH and provides Overland ADCT BioPharma clinical supply for use in trials and supply for early access programs, the amounts of which have been deemed immaterial.

As contemplated by the license agreement with Overland ADCT BioPharma, Overland ADCT BioPharma has elected to participate in certain of the Company’s global clinical trials, in exchange for which it reimburses the Company for a portion of the cost of those trials. Overland ADCT BioPharma also reimburses the Company for certain expenses in connection with technology transfer and assistance of clinical personnel. During the three months ended March 31, 2023, the Company incurred KUSD 1,066 of clinical trial and service costs to be reimbursed by Overland ADCT BioPharma, which is recorded as a reduction of R&D expenses in the Company’s unaudited condensed consolidated interim statement of operations (three months ended March 31, 2022: KUSD 320).

Related party balances

The Company had a related party receivable balance with Overland ADCT BioPharma of KUSD 1,066 and KUSD 805 as of March 31, 2023 and December 31, 2022, respectively. There was KUSD 20 in trade accounts payable with related parties as of December 31, 2022. There were no trade accounts payable with related parties as of March 31, 2023.

Key management compensation

The compensation of key management is shown below:

	Three months ended March 31,
(in KUSD)	2023	2022
Salaries and other short-term employee costs	3,631	2,144
Pension costs	195	133
Share-based compensation expense	3,644	5,574
Other compensation	38	10
Total	7,508	7,861

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19.Loss per share

	Three Months Ended March 31,
(in KUSD, except per share amounts)	2023	2022
Loss attributable to owners	(59,426)	(16,661)
Weighted average number of shares outstanding	80,805,770	76,821,726
Basic and diluted loss per share	(0.74)	(0.22)

For the three months ended March 31, 2023 , basic and diluted loss per share are calculated on the weighted average number of shares issued and outstanding and exclude shares to be issued under the Equity Incentive Plan 2019, 2022 ESPP and the Company’s warrant agreements, as the effect of including those shares would be anti-dilutive. For the three months ended March 31, 2022, basic and diluted loss per share are calculated on the weighted average number of shares issued and outstanding and exclude shares to be issued under the 2019 Equity Incentive Plan and the conversion of the principal amount of the convertible loans into the Company’s common shares as the effect of including those shares would be anti-dilutive. See note 16, “Share-based compensation expense,” note 13, “Senior secured term loan facility and warrants,” note 15, “Deerfield warrants” and note 14, “Convertible loans” for further information.

Potentially dilutive securities that were not included in the diluted per share calculations because the effect of including them would be anti-dilutive were as follows:

	Three Months Ended March 31,
	2023	2022
Equity Incentive Plan 2019 - Share Options	13,118,656	7,179,859
Equity Incentive Plan 2019 - RSUs	2,110,222	793,791
Conversion of the principal amount of convertible loans into the Company’s common shares	—	4,412,840
Outstanding warrants	4,940,135	—
	20,169,013	12,386,490

20.Events after the reporting date

The Company has evaluated its subsequent events through May 9, 2023, the date the financial statements were available to be issued, and has concluded that there are no subsequent events requiring disclosure in the unaudited condensed consolidated interim financial statements, other than the item described below.

On March 6, 2023, the Company commenced a tender offer with employees to exchange some or all of their eligible stock options based on a pre-determined exchange ratio for new options as detailed in our Schedule TO filed March 6, 2023 with the Securities and Exchange Commission (the “Exchange Offer”), to, among other things, further align employee incentives with the current market conditions. The Exchange Offer expired on April 3, 2023 and new options were granted on April 4, 2023. Employees holding stock options to purchase 2.2 million common shares, with exercise prices ranging from USD 8.12 per share to USD 48.77 per share, participated in the Exchange Offer, and 0.9 million new options were granted based on the exchange ratios set forth in the Exchange Offer. The new options have an exercise price of USD 2.06 per share, which is equal to the closing price of the Company’s common shares as reported on the NYSE on April 4, 2023. The new options include additional vesting conditions.

Under IFRS 2, the incremental compensation expense of a modified award is measured as the excess of the fair value of each award of new options granted to participants in this Exchange Offer, measured as of the date the new options are granted, over the fair value of the eligible options replaced in exchange for the new options, measured immediately prior to the replacement. The Company utilized a binomial valuation model and determined there was no incremental share-based compensation expense associated with the new options granted under this Exchange Offer. The Company will continue to recognize share-based compensation expense equal to the grant date fair value of the exchanged options.

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EX-99.2

Exhibit 99.2

MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

This management’s discussion and analysis is designed to provide you with a narrative explanation of our financial condition and results of operations. You should read this discussion and analysis in conjunction with our unaudited condensed consolidated interim financial statements, including the notes thereto, as of and for the three months ended March 31, 2023 included as Exhibit 99.1 to the Report on Form 6-K to which this discussion and analysis is included as Exhibit 99.2. You should also read this discussion and analysis in conjunction with our audited consolidated financial statements, including the notes thereto, included in our Annual Report on Form 20-F for the year ended December 31, 2022.

Our unaudited condensed consolidated interim financial statements were prepared in accordance with International Accounting Standard 34, Interim Financial Reporting. Our audited consolidated financial statements were prepared in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board (“IFRS”). None of our financial statements were prepared in accordance with generally accepted accounting principles in the United States (“U.S. GAAP”). The terms “dollar,” “USD” or “$” refer to U.S. dollars and the term “Swiss franc” and “CHF” refer to the legal currency of Switzerland, unless otherwise indicated. We have made rounding adjustments to some of the figures included in this discussion. Accordingly, any numerical discrepancies in any table between totals and sums of the amounts listed are due to rounding.

Unless otherwise indicated or the context otherwise requires, all references in this discussion and analysis to “ADC Therapeutics” or “ADCT,” the “Company,” “we,” “our,” “ours,” “us” or similar terms refer to ADC Therapeutics SA and its consolidated subsidiaries.

Overview

We are a fully-integrated commercial-stage biotechnology company helping to improve the lives of those affected by cancer with our next-generation, targeted antibody drug conjugates (“ADCs”). Our flagship product, ZYNLONTA® (loncastuximab tesirine or Lonca) received accelerated approval from the FDA on April 23, 2021, and launched commercially in the U.S. shortly thereafter, for the treatment of adult patients with relapsed or refractory large B-cell lymphoma after two or more lines of systemic therapy, including diffuse large B-cell lymphoma (“DLBCL”) not otherwise specified, DLBCL arising from low-grade lymphoma, and also high-grade B-cell lymphoma. Our objective is to establish ZYNLONTA as the third line+ DLBCL standard of care while exploring ZYNLONTA in earlier lines of therapy and in combinations to expand our market opportunity.

We have a strong validated technology platform including our highly potent pyrrolobenzodiazepine (PBD) technology and are advancing this proprietary PBD-based ADC technology to transform the treatment paradigm for patients with hematologic malignancies and solid tumors. Additionally, we have a growing toolbox of different components allowing us to work on next-generation ADC products. By leveraging our R&D strengths, our disciplined approach to target selection and our preclinical and clinical development strategy, we have created a diverse portfolio and research pipeline. Our clinical-stage PBD-based pipeline consists of two company-sponsored candidates, ADCT-901 (KAAG1) and ADCT-601 (mipasetamab uzoptirine) (AXL), as well as one clinical-stage candidate, ADCT-602 (CD22), which is being developed in collaboration with a partner. We are also committed to broadening our ADC platform by expanding new antibody constructs and payloads and advancing our differentiated next-generation assets.

Recent Developments

Updated Corporate Strategy

Following a comprehensive assessment by the leadership team of the status of the business and the evolving market, the Company is adjusting its corporate strategy to optimize operations and prioritize potential key value drivers:

•Implementing a new go-to-market model to help drive growth and optimize local area influence. The Company will continue to cover over 90% of the potential market opportunity with a team of account managers and community specialists that will foster tight coordination within referral networks and bring deep clinical and therapeutic experience.

•Re-prioritizing R&D pipeline to focus resources on the most advanced, lower risk value-generating programs:

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◦The Company will continue the LOTIS-5, LOTIS-9 and LOTIS-7 studies which, if successful and support future regulatory approvals, have the potential to significantly increase ZYNLONTA’s market opportunity in earlier lines of therapy and with multiple combination partners.

◦The Company will continue clinical-stage programs: ADCT-601 targeting AXL, ADCT-901 targeting KAAG1, ADCT-602 targeting CD22.

◦The Company will halt investments in its two preclinical programs ADCT-212 targeting PSMA and ADCT-701 targeting DLK1.

•Increasing efficiencies through a 17% workforce reduction driven primarily by functions affected by the portfolio prioritization and back-office efficiencies, while maintaining the customer-facing footprint. This reduction is effective today and includes full-time employees, vacant roles and contractors. Along with decreasing additional operating expenses, this will allow the Company to re-deploy capital in programs with the highest value-generating potential.

Portfolio Updates

ZYNLONTA

The pivotal Phase 2 clinical trial in China, led by Overland ADCT BioPharma, achieved its primary objective and demonstrated efficacy and safety data consistent with prior clinical trial results. Based on these positive results, Overland ADCT BioPharma is preparing to submit its marketing authorization application to the China National Medical Products Administration ("NMPA") for relapsed or refractory diffuse large B-cell lymphoma ("DLBCL").

Pipeline

•ADCT-901 (targeting KAAG1): The Company is finalizing the protocol amendment to explore different dosing schedules to optimize the potential clinical outcomes for patients. Once finalized, the Company plans to advance to the next dosing level. The IHC assay is under final validation.

•ADCT-601 (targeting AXL): Dose escalation in the Phase 1b trial is progressing and a monotherapy cohort has been added for patients with non-small cell lung cancer ("NSCLC") in addition to a monotherapy cohort focused on sarcoma. In parallel, the IHC assay is under final validation.

•ADCT-602 (targeting CD22): Dose escalation and expansion in the Phase 1 trial is progressing and the number of sites is being expanded.

•ADCT-212 (targeting PSMA): The Company is halting investments in this program to focus on nearer-term value drivers.

•ADCT-701 (targeting DLK-1): The Company is halting investments in this program to focus on nearer-term value drivers.

Cautionary Statement Regarding Forward-Looking Statements

This discussion contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are subject to certain risks and uncertainties that can cause actual results to differ materially from those described. Factors that may cause such differences include, but are not limited to: the success of the Company’s updated corporate strategy including operating efficiencies, capital deployment and portfolio prioritization; the Company’s ability to achieve the 2023 net product sales guidance for ZYNLONTA and the decrease in total operating expenses for 2023 and 2024, the expected cash runway into the middle of 2025, the effectiveness of the new commercial go-to-market strategy and the Company’s ability to continue to commercialize ZYNLONTA in the United States and future revenue from the same; Swedish Orphan Biovitrum AB (Sobi) ability to successfully commercialize ZYNLONTA in the European Economic Area and market acceptance, adequate reimbursement coverage, and future revenue from the same; our strategic partners’, including Mitsubishi Tanabe Pharma Corporation and Overland Pharmaceuticals, ability to obtain regulatory approval for ZYNLONTA in foreign jurisdictions, and the timing and amount of future revenue and payments to us from such partnerships; the Company’s ability to market its products in compliance with applicable laws and regulations; the Company’s expectations regarding the impact of the Infrastructure Investment and Jobs Act; the timing and results of the Company’s or its partners’ research projects or clinical trials including LOTIS 5, 7 and 9, ADCT 901, 601 and 602, the timing and outcome of regulatory submissions and actions by the FDA or other regulatory agencies with respect to the Company’s products or product candidates; projected revenue and expenses; the Company’s indebtedness, including Healthcare Royalty Management and Blue Owl and Oaktree facilities, and the restrictions imposed on the Company’s activities by such indebtedness, the ability to repay such indebtedness and the significant cash required to service such indebtedness; the Company’s ability to obtain financial and

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other resources for its research, development, clinical, and commercial activities and other statements regarding matters that are not historical facts, and involve predictions.

Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance, achievements or prospects to be materially different from any future results, performance, achievements or prospects expressed in or implied by such forward-looking statements. In some cases you can identify forward-looking statements by terminology such as “may”, “will”, “should”, “would”, “expect”, “intend”, “plan”, “anticipate”, “believe”, “estimate”, “predict”, “potential”, “seem”, “seek”, “future”, “continue”, or “appear” or the negative of these terms or similar expressions, although not all forward-looking statements contain these identifying words. Additional information concerning these and other factors that may cause actual results to differ materially from those anticipated in the forward-looking statements is contained in the “Risk Factors” section of the Company's Annual Report on Form 20-F and in the Company's other periodic reports and filings with the Securities and Exchange Commission.

The Company cautions investors not to place undue reliance on the forward-looking statements contained in this document. The Company undertakes no obligation to revise or update these forward-looking statements to reflect events or circumstances after the date of this filing, except as required by law.

Results of Operations

Comparison of the Three Months Ended March 31, 2023 and 2022

The following table summarizes our results of operations for the three months ended March 31, 2023 and 2022:

	Three Months Ended March 31,
in KUSD	2023	2022	Change	% Change
Product revenues, net	18,953	16,498	2,455	14.9	%
License revenues and royalties	39	30,000	(29,961)	(99.9)	%
Total revenue	18,992	46,498	(27,506)	(59.2)	%
Operating expense
Cost of product sales	(590)	(529)	(61)	11.5	%
Research and development expenses	(39,480)	(48,952)	9,472	(19.3)	%
Selling and marketing expenses	(15,351)	(18,370)	3,019	(16.4)	%
General and administrative expenses	(15,143)	(19,011)	3,868	(20.3)	%
Total operating expense	(70,564)	(86,862)	16,298	(18.8)	%
Loss from operations	(51,572)	(40,364)	(11,208)	27.8	%
Other income (expense)
Financial income	2,304	18,308	(16,004)	(87.4)	%
Financial expense	(10,417)	(9,217)	(1,200)	13.0	%
Non-operating (expense) income	(3)	13,442	(13,445)	(100.0)	%
Total other (expense) income	(8,116)	22,533	(30,649)	(136.0)	%
Loss before taxes	(59,688)	(17,831)	(41,857)	234.7	%
Income tax benefit	262	1,170	(908)	(77.6)	%
Net loss	(59,426)	(16,661)	(42,765)	256.7	%

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Revenue

Product revenues, net

To date, our sole source of product revenue has been generated from sales of ZYNLONTA in the U.S. Product revenues, net increased to USD 19.0 million for the three months ended March 31, 2023 from USD 16.5 million for the three months ended March 31, 2022, an increase of USD 2.5 million or 14.9%. This increase is primarily due to higher sales volumes as we continue to commercialize ZYNLONTA, partially offset with higher gross-to-net deductions due to the Group Purchasing Organization ("GPO") contracting and the Infrastructure Investment and Jobs Act’s requirement for manufacturers of certain single-source drugs separately paid for under Medicare Part B and marketed in single-dose containers to provide annual refunds ("discarded drug rebate") for unused drug.

License revenues and royalties

License revenues and royalties for the three months ended March 31, 2023 is attributable to royalties recognized under our exclusive license agreement with Sobi, the amounts of which were de minimis. License revenues and royalties for the three months ended March 31, 2022 is attributable to an upfront payment of USD 30.0 million recognized under our exclusive license agreement with MTPC.

See note 5, "Revenue recognition" to the unaudited condensed consolidated interim financial statements for further information.

Cost of sales

Cost of product sales primarily consisted of direct and indirect costs relating to the manufacture of ZYNLONTA from third-party providers of manufacturing, distribution and logistics services, intangible asset amortization expense, impairment charges, royalties paid to a collaboration partner based on net product sales of ZYNLONTA and inventory written down amounts. Cost of product sales increased to USD 0.6 million for the three months ended March 31, 2023 from USD 0.5 million for the three months ended March 31, 2022, an increase of USD 0.1 million or 11.5%.

R&D expenses

The following table summarizes our R&D expenses for our major development programs for the three months ended March 31, 2023 and 2022:

	Three Months Ended March 31,
in KUSD	2023	2022 1	Change
ZYNLONTA	19,255	20,290	(1,035)
Cami	5,796	9,697	(3,901)
ADCT-602	343	293	50
ADCT-601	2,037	2,634	(597)
ADCT-901	1,585	1,389	196
ADCT-212(1)	2,288	3,685	(1,397)
Preclinical product candidates and research pipeline	3,160	3,417	(257)
Not allocated to specific programs(2)	1,914	2,603	(689)
Share-based compensation expense(1)	3,102	4,944	(1,842)
R&D expenses	39,480	48,952	(9,472)

1 Prior to June 30, 2022, share-based compensation expense was allocated to the major development programs and preclinical product candidates and research pipeline. Prior to September 30, 2022, ADCT-212 was included in the Preclinical product candidates and research pipeline. Prior periods have been recast to conform to the current period presentation.

2 Includes third-party contracting and employee expenses, as well as expenses for preclinical research, storage, shipping and lab consumables that span multiple programs.

Our R&D expense may vary substantially from period to period according to the status of our R&D activities. The

timing of expenses are impacted by the commencement of clinical trials and enrollment of patients in clinical trials. In addition, R&D expense may fluctuate based on the status of regulatory approval of our drug candidates.

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Our R&D expenses decreased to USD 39.5 million for the three months ended March 31, 2023 from USD 49.0 million for the three months ended March 31, 2022, a decrease of USD 9.5 million, or 19.3%.

The decrease in R&D expenses related to ZYNLONTA was primarily due to lower clinical trial costs for closed studies LOTIS 3, LOTIS 6 and LOTIS 8, partially offset by an increase in clinical trial costs for LOTIS 5, LOTIS 10 and LOTIS 9, as well as an increase in chemistry, manufacturing and controls expenses, as those studies progressed.

The decrease in R&D expenses related to Cami was primarily due to our decision not to proceed with this program on our own and instead to seek a partner to continue developing this program. The R&D expenses related to Cami incurred in the three months ended March 31, 2023 was attributable to close-down costs for clinical studies ADCT 301-103 and ADCT 301-201.

The decrease in R&D expenses related to ADCT-212 was primarily due to lower manufacturing expenses related to IND-enabling work during the three months ended March 31, 2023. As discussed in "Recent Developments" above, we have paused this program.

The decrease in share-based compensation expense was primarily due to fluctuations in our share price.

S&M expenses

The following table summarizes our S&M expenses for the three months ended March 31, 2023 and 2022:

	Three Months Ended March 31,
in KUSD	2023	2022	Change
External costs 1	7,360	8,911	(1,551)
Employee expense 2	7,991	9,459	(1,468)
S&M expenses	15,351	18,370	(3,019)

1 Includes depreciation expense for Property, plant and equipment. All other depreciation expense was not material.

2 Includes share-based compensation expense.

Our S&M expenses decreased to USD 15.4 million for the three months ended March 31, 2023 from USD 18.4 million for the three months ended March 31, 2022, a decrease of USD 3.0 million, or 16.4%. This decrease was primarily due to lower spend on marketing, analytics and expenses in the European Union relating to the commercial launch of ZYNLONTA of USD 1.7 million, as well as lower share-based compensation expense of USD 1.3 million due to fluctuations in our share price.

We expect our S&M expenses to continue to decrease as a percentage of revenue in the near-term as we implement cost reduction efforts through our new corporate strategy to help further reduce operating expenses.

G&A expenses

The following table summarizes our G&A expenses for the three months ended March 31, 2023 and 2022:

	Three Months Ended March 31,
in KUSD	2023	2022	Change
External costs 1	4,538	7,639	(3,101)
Employee expense 2	10,605	11,372	(767)
G&A expenses	15,143	19,011	(3,868)

1 Includes depreciation expense

2 Includes share-based compensation expense

Our G&A expenses decreased to USD 15.1 million for the three months ended March 31, 2023 from USD 19.0 million for the three months ended March 31, 2022, a decrease of USD 3.9 million, or 20.3%. External costs decreased primarily due to lower professional fees, including those fees associated with the license agreement entered into with MTPC, which were incurred during the three months ended March 31, 2022. Employee expense for the three months ended March 31, 2023 decreased primarily as a result of lower share-based compensation expense of USD 2.7 million due to employee transitions and fluctuations in our share price, partially offset by higher wages and benefits of USD 1.9 million.

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We expect our G&A expenses to continue to decrease as a percentage of revenue in the near-term as we implement cost reduction efforts through our new corporate strategy to help further reduce operating expenses.

Other (expense) income

The following table summarizes our other income for the three months ended March 31, 2023 and 2022:

	Three Months Ended March 31,
in KUSD	2023	2022	Change
Financial income	2,304	18,308	(16,004)
Financial expense	(10,417)	(9,217)	(1,200)
Non-operating (expense) income	(3)	13,442	(13,445)
Total other (expense) income	(8,116)	22,533	(30,649)

Financial income

Our financial income for the three months ended March 31, 2023 was USD 2.3 million as compared to USD 18.3 million for the three months ended March 31, 2022, a decrease of USD 16.0 million, or 87.4%. The decrease was primarily related to a higher cumulative catch-up adjustment associated to the deferred royalty obligation with HCR during the three months ended March 31, 2022 due to revised revenue forecasts used in the valuation model, which revisions were primarily attributable to updates made for the Company’s 2022 strategic planning decisions, including updated development plans, partially offset by higher interest income for the three months ended March 31, 2023 due to higher yields received on our cash deposits.

Financial expense

Our financial expense increased to USD 10.4 million for the three months ended March 31, 2023 from USD 9.2 million for the three months ended March 31, 2022, an increase of USD 1.2 million, or 13.0%. The increase was primarily due to interest expense related to the accretion of our deferred royalty obligation with HCR and senior secured term loans.

Non-operating (expense) income

Notable items in non-operating (expense) income impacting the results of operations for the three months ended March 31, 2023 and 2022 included:

		Three Months Ended March 31,
in KUSD	P&L Classification	2023	2022	Change
Fair value adjustment of Facility Agreement derivatives	Non-operating income	—	15,855	(15,855)
Fair value adjustment of senior secured term loan warrant obligation	Non-operating income	656	—	656
Fair value adjustment of Deerfield warrant obligation	Non-operating income	616	—	616
Share of Overland ADCT BioPharma net loss	Non-operating expense	1,363	2,502	(1,139)

Convertible loans, derivatives, change in fair value income

The change in fair value of the convertible loans derivatives was recognized as income of USD 15.9 million for the three months ended March 31, 2022. The decreases in fair values of the embedded derivatives were primarily due to decreases in the fair value of the underlying shares during the period. The loan was exchanged on August 15, 2022. As a result, no income or

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expense was recognized during the three months ended March 31, 2023. Our accounting is explained further in note 14, "Convertible loan" to the unaudited condensed consolidated interim financial statements.

Senior secured term loans and warrants

The Company has accounted for the first tranche of the senior secured term loan and warrants as one hybrid financial instrument, with the USD 120.0 million proceeds separated into two components: a warrant obligation and a loan. The warrant obligation has been recorded at its initial fair value at the time the agreement was entered into on August 15, 2022 and is remeasured to fair value at the end of each reporting period. The loan is presented as a liability and represents the net present value of all future cash flows associated with the loan discounted at its EIR. The income of USD 0.7 million as a result of changes in the warrant obligation for the three months ended March 31, 2023 was primarily due to the decrease in fair value of the underlying shares since December 31, 2022. Our accounting for these changes in the fair value of our warrant obligation is explained in note 13, "Senior secured term loan facility and warrants" to the unaudited condensed consolidated interim financial statements.

Deerfield warrant obligation, change in fair value income

Pursuant to an exchange agreement with Deerfield entered into on August 15, 2022, the Company issued warrants to Deerfield to purchase an aggregate of 4,412,840 common shares. The Deerfield warrants obligation has been recorded at its initial fair value at the time the agreement was entered into on August 15, 2022 and is remeasured to fair value at the end of each reporting period. The income of USD 0.6 million as a result of changes in the warrants obligation for the three months March 31, 2023 was primarily due to the decrease in fair value of the underlying shares since December 31, 2022. Changes in fair value of the Deerfield warrants obligation are explained in note 15, "Deerfield warrants" to the unaudited condensed consolidated interim financial statements.

Share of Results with Joint Venture

We recorded our proportionate share of Overland ADCT BioPharma’s net loss of USD 1.4 million and USD 2.5 million for the three months ended March 31, 2023 and 2022, respectively. The decrease in Overland ADCT BioPharma's net loss was primarily due to lower R&D expenses for the three months ended March 31, 2023 as compared to the three months ended March 31, 2022. We also recorded a true-up during the three months ended March 31, 2023 to align our proportionate share of Overland ADCT BioPharma's share-based compensation expense, which was lower than our estimate for the year ended December 31, 2022. See note 11, “Interest in joint venture” within the notes to the unaudited condensed consolidated interim financial statements for further details.

Income tax expense

We recorded an income tax benefit of USD 0.3 million for the three months ended March 31, 2023 as compared to income tax benefit of USD 1.2 million for the three months ended March 31, 2022.

We are subject to corporate taxation in Switzerland. We are also subject to taxation in other jurisdictions in which we operate, in particular, the United States and the United Kingdom, where our two wholly-owned subsidiaries are incorporated. We are entitled under Swiss laws to carry forward any losses incurred for a period of seven years, which could be used to offset future taxable income. We are also entitled under U.S. tax law to carry forward R&D tax credits for a period of up to 20 years, which could be used to offset future taxable income.

The income tax benefit recorded for the three months ended March 31, 2023 is significantly less than the loss before taxes effected at the blended statutory rate due to the fact that we do not recognize current or deferred income taxes in connection with our Swiss operations. We do not expect to be able to realize the benefit of our tax loss carryforwards for Swiss corporate income tax purposes, and, therefore, we have not recognized deferred tax assets in our financial statements. Further, we do not generate or pay current income taxes in Switzerland.

Our income tax benefit recorded during the three months ended March 31, 2023 is driven by our U.S. operations. Generally, current income tax is recorded primarily due to our internal arrangements to reimburse our foreign subsidiaries in the U.S. and the United Kingdom for the services they render to our parent company in Switzerland. Commercial sales in the U.S. also contributed to the current period income tax expense. Ultimately, the net profit at each subsidiary is subject to local income tax. During the three months ended March 31, 2023, with respect to our U.S. operations, a deferred tax benefit of USD 0.8 million was recorded and partially offset by current income tax expense of USD 0.5 million.

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Comparatively, our income tax benefit of USD 1.2 million recorded during the three months ended March 31, 2022 was driven by USD 3.9 million of deferred income tax benefit recorded in connection with the recognition of deferred tax assets associated with our U.S. operations on the basis of our projections of future taxable income, partially offset by the current income tax expense of USD 2.7 million.

In estimating future taxable income to assess the realizability of deferred tax assets, management develops assumptions including the amount of future net revenue and pre-tax operating income and the implementation of feasible and prudent tax planning strategies. These assumptions require significant judgment about the forecasts of future taxable income and are consistent with the plans and estimates we are using to manage the underlying business. Management notes that its projections of future taxable profits rely on currently enacted law and are subject to revision if the U.S. legislates new tax law. As such, changes in tax laws and rates could also affect recorded deferred tax assets and liabilities in the future. We record the effect of a tax rate or law change on our deferred tax assets and liabilities in the period of enactment. Future tax rate or law changes could have a material effect on our financial condition, results of operations or cash flows.

Liquidity and Capital Resources

As of March 31, 2023, we had cash and cash equivalents of USD 310.5 million. We also have an at-the-market (“ATM”) offering program, pursuant to which we may sell our common shares with an aggregate offering price of up to USD 150.0 million. There have been no shares sold under the ATM program to date. In addition, under the Loan Agreement, we may draw up to two additional tranches, each up to USD 27.5 million principal amount of term loans before February 15, 2024, subject to satisfaction of certain customary conditions including compliance with our other material agreements for the incurrence of such debt. We plan to continue to fund our operating needs through our existing cash and cash equivalents, revenues from the sale of ZYNLONTA, potential milestone and royalty payments under our licensing agreements and additional equity financings, debt financings and/or other forms of financing, as well as funds provided by collaborations. We are also continuously engaged in discussions to establish value-maximizing strategic collaborations, business combinations, acquisitions, dispositions, licensing opportunities and similar transactions to further the clinical development and commercialization of ZYNLONTA and/or our product candidates.

Our primary uses of capital are, and we expect will continue to be, R&D expenses, S&M expenses, compensation and related expenses, interest and principal payments on debt obligations and other operating expenses. We expect to incur substantial expenses as we continue to devote substantial resources to research and development and marketing and commercialization efforts, in particular to establish ZYNLONTA as the 3L+ diffuse large B cell lymphoma (“DLBCL”) standard of care, continue to study and advance ZYNLONTA in earlier lines of therapy and in combinations to potentially expand our market opportunity and further develop our clinical-stage PBD-based pipeline and our ADC platform. Cash used to fund operating expenses is impacted by the timing of when we pay expenses, as reflected in the change in our outstanding accounts payable and accrued expenses, as well as the timing of collecting receivables from the sale of ZYNLONTA and paying royalties related to our deferred royalty obligation.

Cash Flows

Comparison of the Three Months Ended March 31, 2023 and 2022

The following table summarizes our cash flows for the three months ended March 31, 2023 and 2022:

(in KUSD)	Three months ended March 31,
Net cash (used in) provided by:	2023	2022	Change
Operating activities	(14,771)	(33,882)	19,111
Investing activities	(1,016)	(1,448)	432
Financing activities	(196)	(258)	62
Net change in cash and cash equivalents	(15,983)	(35,588)	19,605

Net cash used in operating activities

Net cash used in operating activities decreased to USD 14.8 million for the three months ended March 31, 2023 from USD 33.9 million for the three months ended March 31, 2022, a decrease of USD 19.1 million, or 56.4%. The decrease was primarily due to the receipt of the USD 50.0 million milestone payment from Sobi upon approval of the Marketing Authorisation

8

Application by the European Commission for ZYNLONTA in third-line DLBCL in February 2023, and due to increases in the cash received from the sale of ZYNLONTA, partially offset by decreases in accounts payable and other current liabilities.

Net cash used in investing activities

Net cash used in investing activities decreased to USD 1.0 million for the three months ended March 31, 2023 from USD 1.4 million for the three months ended March 31, 2022, a decrease of USD 0.4 million, or 29.8%. The decrease was primarily due to lower intangible asset acquisitions and lower deposits made during the period, partially offset by higher capital expenditures related to property, plant and equipment during the three months ended March 31, 2023.

Net cash provided by financing activities

Net cash provided by financing activities was USD 0.2 million for the three months ended March 31, 2023 and primarily related to the proceeds received under the employee share purchase plan. Net cash used in financing activities was USD 0.3 million for the three months ended March 31, 2022.

Operating Capital Requirements

As of March 31, 2023, we had cash and cash equivalents of USD 310.5 million. Based on our current business plan, we believe that our existing cash and cash equivalents, forecasted revenue from ZYNLONTA, receipt of forecasted royalty and milestone payments under our license agreements and royalty purchase agreement with HCR will enable us to meet our financial obligations for at least the next 12 months from the date of issuance of these unaudited condensed consolidated interim financial statements. We have based this estimate on assumptions that may prove to be wrong, and we could use our capital resources sooner than we currently expect. Our future capital requirements will depend on many factors, which are outlined in our Annual Report on Form 20-F for the year ended December 31, 2022 and our subsequent filings with the SEC, as well as actual versus forecast demand for ZYNLONTA and amounts that we receive under our license and collaboration agreements. In addition, we may seek to raise additional capital through debt and equity financings, license agreements and other arrangements and combinations thereof that we believe are in our best interest.

Off-Balance Sheet Arrangements

As of March 31, 2023 and during the periods presented, we did not have, and we do not currently have, any off-balance sheet arrangements.

Quantitative and Qualitative Disclosures about Market Risk

During the periods presented, there were no significant changes to our quantitative and qualitative disclosures about market risk from those described in the section in our Annual Report on Form 20-F for the year ended December 31, 2022 titled “Item 11. Quantitative and Qualitative Disclosures About Market Risk” with the exception of a hypothetical 100 basis point increase (decrease) in our interest rate as of March 31, 2023. A hypothetical 100 basis point increase (decrease) in the interest rate as of March 31, 2023 would have increased (decreased) the effective interest associated with our senior secured term loan facility by KUSD 676 and (KUSD 676), respectively.

Critical Accounting Policies and Significant Judgments and Estimates

In preparing the unaudited condensed consolidated interim financial statements, the significant judgements made by management in applying the Group’s accounting policies and the key sources of estimation uncertainty included those that applied to the consolidated financial statements for the year ended December 31, 2022. There have been no material changes to the significant accounting policies other than those described in note 3, "Significant accounting policies" to our unaudited condensed consolidated interim financial statements.

Recent Accounting Pronouncements

See note 3, “Significant accounting policies”, to our unaudited condensed consolidated interim financial statements for a description of recent accounting pronouncements applicable to our unaudited condensed consolidated interim financial statements.

9

EX-99.3

Exhibit 99.3

ADC Therapeutics Reports First Quarter 2023 Financial Results and Provides Business and Strategy Update

1Q 2023 ZYNLONTA®1 net sales increased 15% and operating expenses decreased 19% year-over-year2; FY 2023 guidance reaffirmed for ZYNLONTA double-digit net sales growth and reduction in operating expenses as compared to FY 2022

Implementing new go-to-market model to help drive growth in both academic and community centers

Later-stage pipeline programs continue to progress with several initial data readouts expected in the next 12-15 months and supported by cash runway to mid-2025

Portfolio prioritized to nearer-term clinical catalysts; reducing workforce by 17% to enhance investments in the focused portfolio to accelerate and expand these programs

Company to host conference call today at 8:30 a.m. EDT

Lausanne, Switzerland, May 9, 2023 – ADC Therapeutics SA (NYSE: ADCT) today reported financial results for the first quarter 2023 and provided an updated corporate strategy.

“2023 is a pivotal year for positioning ADC Therapeutics to capture the full potential value of our assets. Our later-stage pipeline programs continue to progress, with several initial data readouts expected in the next 12-15 months. Following a comprehensive review of the business by our executive team, we are implementing a new corporate and capital allocation strategy which we believe will allow the Company to focus on the most advanced and highest-potential clinical value drivers,” said Ameet Mallik, Chief Executive Officer of ADC Therapeutics.

“After a comprehensive DLBCL market review including interactions with top academic and community centers, we are implementing a new commercial go-to-market model to better align with the market construct. Through our new strategy, we expect to optimize our commercial execution against ZYNLONTA’s unique and valuable market opportunity,” said Kristen Harrington-Smith, Chief Commercial Officer of ADC Therapeutics.

“By focusing our resources and executing on our new portfolio and commercial strategy, I am confident that we will deliver on our objectives and unlock value for all of our stakeholders,” added Mr. Mallik.

Updated Corporate Strategy

Following a comprehensive assessment by the leadership team of the status of the business and the evolving market, the Company is adjusting its corporate strategy to optimize operations and prioritize potential key value drivers:

•Implementing a new go-to-market model to help drive growth and optimize local area influence. The Company will continue to cover over 90% of the potential market opportunity with a team of account managers and community specialists that will foster tight coordination within referral networks and bring deep clinical and therapeutic experience.

(1) loncastuximab tesirine-lpyl; (2) 14% on an adjusted basis (non-IFRS measure excluding stock-based compensation)

•Re-prioritizing R&D pipeline to focus resources on the most advanced, lower risk value-generating programs:

◦The Company will continue the LOTIS-5, LOTIS-9 and LOTIS-7 studies which, if successful and support future regulatory approvals, have the potential to significantly increase ZYNLONTA’s market opportunity in earlier lines of therapy and with multiple combination partners.

◦The Company will continue the clinical-stage programs: ADCT-601 targeting AXL, ADCT-901 targeting KAAG1, ADCT-602 targeting CD22.

◦The Company will halt investments in its two preclinical programs ADCT-212 targeting PSMA and ADCT-701 targeting DLK-1.

•Increasing efficiencies through a 17% workforce reduction driven primarily by functions affected by the portfolio prioritization and back-office efficiencies, while maintaining the customer-facing footprint. This reduction is effective today and includes full-time employees, vacant roles and contractors. Along with decreasing additional operating expenses, this will allow the Company to re-deploy capital in programs with the highest value-generating potential.

Recent Highlights and Developments

ZYNLONTA (loncastuximab tesirine-lpyl)

•ZYNLONTA generated net sales of $19.0 million in the first quarter of 2023, representing a 15% increase over first quarter of 2022 and a slight decline from fourth quarter 2022. This includes higher gross-to-net sales deductions due to Group Purchasing Organization (GPO) contracting and the new Medicare Part B discarded drug policy effective January 1, 2023.

•The pivotal Phase 2 clinical trial in China, led by Overland ADCT BioPharma, achieved its primary objective and demonstrated efficacy and safety data consistent with prior clinical trial results. Based on these positive results, Overland ADCT BioPharma is preparing to submit its marketing authorization application to the China National Medical Products Administration (NMPA) for relapsed or refractory diffuse large B-cell lymphoma (DLBCL).

Pipeline

•ADCT-901 (targeting KAAG1): The Company is finalizing the protocol amendment to explore different dosing schedules to optimize the potential clinical outcomes for patients. Once finalized, the Company plans to advance to the next dosing level. The IHC assay is under final validation.

•ADCT-601 (targeting AXL): Dose escalation in the Phase 1b trial is progressing and a monotherapy cohort has been added for patients with non-small cell lung cancer (NSCLC) in addition to a monotherapy cohort focused on sarcoma. In parallel, the IHC assay is under final validation.

•ADCT-602 (targeting CD22): Dose escalation and expansion in the Phase 1 trial is progressing and the number of sites is being expanded.

•ADCT-212 (targeting PSMA): The Company is halting investments in this program to focus on nearer-term value drivers.

•ADCT-701 (targeting DLK-1): The Company is halting investments in this program to focus on nearer-term value drivers.

Guidance

The Company reaffirms the following guidance based on its current business plan:

•ZYNLONTA FY 2023 net product sales expected to grow by a double-digit percentage year-over-year. This includes a gross-to-net increase as compared to 2022 of:

◦Approximately 2 to 3 percentage points related to Group Purchasing Organization (GPO) contracting

◦Mid to high single-digit percentage points resulting from the Infrastructure Investment and Jobs Act’s requirement for manufacturers of certain single-source drugs separately paid for under Medicare Part B and marketed in single-dose containers to provide annual refunds for discarded drug, effective January 1, 2023

•Continued decrease in total operating expenses expected in 2023 and 2024 as compared to 2022 as a result of the implementation of the new corporate strategy

•Expected cash runway extended into the middle of 2025

Upcoming Expected Milestones

ZYNLONTA

•Grow ZYNLONTA net sales by a double-digit percentage year-over-year and achieve commercial brand profitability in 2023

•European phased launch by partner Sobi beginning in 2Q 2023

•Initial safety and efficacy data from the LOTIS-9 study by the end of 2023

•Complete enrollment of the LOTIS-5 study in 2024

•Initial safety and efficacy data from the LOTIS-7 study in 2024

Pipeline

ADCT-901 (targeting KAAG1)

•Initial data from Phase 1 study in 1H 2024

ADCT-601 (targeting AXL)

•Initial data from Phase 1 study in 1H 2024

ADCT-602 (targeting CD22)

•Additional data from Phase 1 study in 1H 2024

First Quarter 2023 Financial Results

Cash and Cash Equivalents

Cash and cash equivalents were $310.5 million as of March 31, 2023, compared to $326.4 million as of December 31, 2022. Based on the Company’s business plan and expected $75.0 million milestone from Healthcare Royalty Partners, triggered by the first EU commercial sale, the Company expects its cash runway to extend into the middle of 2025.

Product Revenues

Net product revenues were $19.0 million for the quarter ended March 31, 2023, compared to $16.5 million for the same quarter in 2022. Net product revenues are for U.S. sales of ZYNLONTA. The increase of $2.5 million for the quarter was primarily due to higher sales volume, partially offset with higher gross-to-net deductions.

Research and Development (R&D) Expenses

R&D expenses were $39.5 million for the quarter ended March 31, 2023, compared to $49.0 million for the same quarter in 2022. R&D expenses decreased due to less investment in CAMI and other programs.

Selling and Marketing (S&M) Expenses

S&M expenses were $15.4 million for the quarter ended March 31, 2023, compared to $18.4 million for the same quarter in 2022. The decrease in S&M expenses for the quarter was primarily due to lower share-based compensation expense.

General & Administrative Expenses

G&A expenses were $15.1 million for the quarter ended March 31, 2023, compared to $19.0 million for the same quarter in 2022. G&A expenses decreased during the first quarter of 2023 primarily due to lower share-based compensation expense.

Net Loss and Adjusted Net Loss

Net loss was $59.4 million, or a net loss of $0.74 per basic and diluted share, for the quarter ended March 31, 2023. This compares to a net loss of $16.7 million, or a net loss of $0.22 per basic and diluted share, for the same quarter in 2022.

Adjusted net loss was $42.5 million, or an adjusted net loss of $0.53 per basic and diluted share, for the quarter ended March 31, 2023. This compares to an adjusted net loss of $27.7 million, or an adjusted net loss of $0.36 per basic and diluted share, for the same quarter in 2022.

The increase in net loss and adjusted net loss for the quarter ended March 31, 2023, as compared to the same quarter in 2022, was primarily due to license revenue of $30.0 million arising from the Mitsubishi Tanabe Pharma Corporation (MTPC) agreement, other financial income arising from a cumulative catch-up adjustment associated with the valuation of the deferred obligation with Healthcare Royalty Partners and from changes in the fair value of our convertible loan derivatives, all of which were recognized in the first quarter of 2022. This increase in net loss was partially offset by higher product revenues, as well as lower R&D expenses and share-based compensation expense during the first quarter of 2023.

Conference Call Details

ADC Therapeutics management will host a conference call and live audio webcast to discuss first quarter 2023 financial results and provide a company update today at 8:30 a.m. Eastern Time. To access the conference call, please register here. Registrants will receive the dial-in number and unique PIN. It is recommended that you join 10 minutes before the event, though you may pre-register at any time. A live webcast of the call will be available under “Events & Presentations” in the Investors section of the ADC Therapeutics website at ir.adctherapeutics.com. The archived webcast will be available for 30 days following the call.

About ZYNLONTA® (loncastuximab tesirine-lpyl)

ZYNLONTA® is a CD19-directed antibody drug conjugate (ADC). Once bound to a CD19-expressing cell, ZYNLONTA is internalized by the cell, where enzymes release a pyrrolobenzodiazepine (PBD)

payload. The potent payload binds to DNA minor groove with little distortion, remaining less visible to DNA repair mechanisms. This ultimately results in cell cycle arrest and tumor cell death.

The U.S. Food and Drug Administration (FDA) has approved ZYNLONTA (loncastuximab tesirine-lpyl) for the treatment of adult patients with relapsed or refractory (r/r) large B-cell lymphoma after two or more lines of systemic therapy, including diffuse large B-cell lymphoma (DLBCL) not otherwise specified (NOS), DLBCL arising from low-grade lymphoma and also high-grade B-cell lymphoma. The trial included a broad spectrum of heavily pre-treated patients (median three prior lines of therapy) with difficult-to-treat disease, including patients who did not respond to first-line therapy, patients refractory to all prior lines of therapy, patients with double/triple hit genetics and patients who had stem cell transplant and CAR-T therapy prior to their treatment with ZYNLONTA. This indication is approved by the FDA under accelerated approval based on overall response rate and continued approval for this indication may be contingent upon verification and description of clinical benefit in a confirmatory trial.

ZYNLONTA is also being evaluated as a therapeutic option in combination studies in other B-cell malignancies and earlier lines of therapy.

About ADC Therapeutics

ADC Therapeutics (NYSE: ADCT) is a commercial-stage biotechnology company improving the lives of those affected by cancer with its next-generation, targeted antibody drug conjugates (ADCs). The Company is advancing its proprietary PBD-based ADC technology to transform the treatment paradigm for patients with hematologic malignancies and solid tumors.

ADC Therapeutics’ CD19-directed ADC ZYNLONTA (loncastuximab tesirine-lpyl) is approved by the FDA for the treatment of relapsed or refractory diffuse large b-cell lymphoma after two or more lines of systemic therapy. ZYNLONTA is also in development in combination with other agents. In addition to ZYNLONTA, ADC Therapeutics has multiple ADCs in ongoing clinical and preclinical development.

ADC Therapeutics is based in Lausanne (Biopôle), Switzerland and has operations in London, the San Francisco Bay Area and New Jersey. For more information, please visit https://adctherapeutics.com/ and follow the Company on Twitter and LinkedIn.

ZYNLONTA® is a registered trademark of ADC Therapeutics SA.

Use of Non-IFRS Financial Measures

In addition to financial information prepared in accordance with IFRS, this document also contains certain non-IFRS financial measures based on management’s view of performance including:

•Adjusted net loss and income

•Adjusted net loss and income per share

Management uses such measures internally when monitoring and evaluating our operational performance, generating future operating plans and making strategic decisions regarding the allocation of capital. We believe that these adjusted financial measures provide useful information to investors and others in understanding and evaluating our operating results in the same manner as our management and facilitate operating performance comparability across both past and future reporting periods. These non-IFRS measures have limitations as financial measures and should be considered in addition to, and not in isolation or as a substitute for, the information prepared in

accordance with IFRS. When preparing these supplemental non-IFRS measures, management typically excludes certain IFRS items that management does not believe are indicative of our ongoing operating performance. Furthermore, management does not consider these IFRS items to be normal, recurring cash operating expenses; however, these items may not meet the IFRS definition of unusual or non-recurring items. Since non-IFRS financial measures do not have standardized definitions and meanings, they may differ from the non-IFRS financial measures used by other companies, which reduces their usefulness as comparative financial measures. Because of these limitations, you should consider these adjusted financial measures alongside other IFRS financial measures.

The following items are excluded from adjusted net loss and adjusted net loss per share:

Shared-Based Compensation Expense: We exclude share-based compensation expense from our adjusted financial measures because share-based compensation expense, which is non-cash, fluctuates from period to period based on factors that are not within our control, such as our stock price on the dates share-based grants are issued. Share-based compensation expense has been, and will continue to be for the foreseeable future, a recurring expense in our business and an important part of our compensation strategy.

Certain Other Items: We exclude certain other significant items that we believe do not represent the performance of our business, from our adjusted financial measures. Such items are evaluated by management on an individual basis based on both quantitative and qualitative aspects of their nature. While not all-inclusive, examples of certain other significant items excluded from our adjusted financial measures would be: changes in the fair value of derivatives and warrant obligations and the effective interest expense associated with the Facility Agreement with Deerfield and the senior secured term loan facility and the effective interest expense and a cumulative catch-up adjustment associated with the deferred royalty obligation under the royalty purchase agreement with HealthCare Royalty Partners.

See the attached Reconciliation of IFRS Measures to Non-IFRS Measures for explanations of the amounts excluded and included to arrive at the non-IFRS financial measures.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are subject to certain risks and uncertainties that can cause actual results to differ materially from those described. Factors that may cause such differences include, but are not limited to: the success of the Company’s updated corporate strategy including operating efficiencies, capital deployment and portfolio prioritization; the Company’s ability to achieve the 2023 net product sales guidance for ZYNLONTA® and the decrease in total operating expenses for 2023 and 2024, the expected cash runway into the middle of 2025, the effectiveness of the new commercial go-to-market strategy and the Company’s ability to continue to commercialize ZYNLONTA® in the United States and future revenue from the same; Swedish Orphan Biovitrum AB (Sobi®) ability to successfully commercialize ZYNLONTA® in the European Economic Area and market acceptance, adequate reimbursement coverage, and future revenue from the same; our strategic partners’, including Mitsubishi Tanabe Pharma Corporation and Overland Pharmaceuticals, ability to obtain regulatory approval for ZYNLONTA® in foreign jurisdictions, and the timing and amount of future revenue and payments to us from such partnerships; the Company’s ability to market its products in compliance with applicable laws and regulations; the Company’s expectations regarding the impact of the Infrastructure Investment and Jobs Act; the timing and results of the Company’s or its partners’ research projects or clinical trials including LOTIS 5, 7 and 9, ADCT 901, 601 and 602, the timing and outcome of regulatory submissions and actions by the FDA or other regulatory agencies with respect to the Company’s products or product candidates; projected revenue and expenses; the Company’s indebtedness,

including Healthcare Royalty Management and Blue Owl and Oaktree facilities, and the restrictions imposed on the Company’s activities by such indebtedness, the ability to repay such indebtedness and the significant cash required to service such indebtedness; the Company’s ability to obtain financial and other resources for its research, development, clinical, and commercial activities and other statements regarding matters that are not historical facts, and involve predictions. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance, achievements or prospects to be materially different from any future results, performance, achievements or prospects expressed in or implied by such forward-looking statements. In some cases you can identify forward-looking statements by terminology such as “may”, “will”, “should”, “would”, “expect”, “intend”, “plan”, “anticipate”, “believe”, “estimate”, “predict”, “potential”, “seem”, “seek”, “future”, “continue”, or “appear” or the negative of these terms or similar expressions, although not all forward-looking statements contain these identifying words. Additional information concerning these and other factors that may cause actual results to differ materially from those anticipated in the forward-looking statements is contained in the “Risk Factors” section of the Company's Annual Report on Form 20-F and in the Company's other periodic reports and filings with the Securities and Exchange Commission. The Company cautions investors not to place undue reliance on the forward-looking statements contained in this document. The Company undertakes no obligation to revise or update these forward-looking statements to reflect events or circumstances after the date of this press release, except as required by law.

ADC Therapeutics SA

Condensed Consolidated Interim Statement of Operations (Unaudited)

(in KUSD except for per share data)

	For the Three Months Ended March 31,
	2023	2022
Product revenues, net	18,953	16,498
License revenues and royalties	39	30,000
Total revenue	18,992	46,498
Operating expense
Cost of product sales	(590)	(529)
Research and development expenses	(39,480)	(48,952)
Selling and marketing expenses	(15,351)	(18,370)
General and administrative expenses	(15,143)	(19,011)
Total operating expense	(70,564)	(86,862)
Loss from operations	(51,572)	(40,364)
Other income (expense)
Financial income	2,304	18,308
Financial expense	(10,417)	(9,217)
Non-operating (expense) income	(3)	13,442
Total other (expense) income	(8,116)	22,533
Loss before taxes	(59,688)	(17,831)
Income tax benefit	262	1,170
Net loss	(59,426)	(16,661)
Net loss attributable to:
Owners of the parent	(59,426)	(16,661)
Net loss per share, basic and diluted	(0.74)	(0.22)

ADC Therapeutics SA

Condensed Consolidated Interim Balance Sheet (Unaudited)

(in KUSD)

	March 31, 2023	December 31, 2022
ASSETS
Current assets
Cash and cash equivalents	310,547	326,441
Accounts receivable, net	24,037	72,971
Inventory	18,250	18,564
Other current assets	27,173	28,039
Total current assets	380,007	446,015
Non-current assets
Property, plant and equipment	4,484	3,261
Right-of-use assets	11,224	6,720
Intangible assets	13,586	14,360
Interest in joint venture	29,533	31,152
Deferred tax asset	27,605	26,757
Other long-term assets	1,233	903
Total non-current assets	87,665	83,153
Total assets	467,672	529,168
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
Accounts payable	8,694	12,351
Other current liabilities	57,412	73,035
Lease liabilities, short-term	1,447	1,097
Senior secured term loans, short-term	13,533	12,474
Total current liabilities	81,086	98,957
Non-current liabilities
Senior secured term loans, long- term	97,011	97,240
Warrant obligations	516	1,788
Deferred royalty obligation, long-term	216,551	212,353
Deferred gain of joint venture	23,539	23,539
Lease liabilities, long-term	10,955	6,564
Other long-term liabilities	329	—
Total non-current liabilities	348,901	341,484
Total liabilities	429,987	440,441
Equity attributable to owners of the parent
Share capital	7,312	7,312
Share premium	1,007,843	1,007,452
Treasury shares	(645)	(679)
Other reserves	163,501	155,683
Cumulative translation adjustments	(215)	(356)
Accumulated losses	(1,140,111)	(1,080,685)
Total equity attributable to owners of the parent	37,685	88,727
Total liabilities and equity	467,672	529,168

ADC Therapeutics SA

Reconciliation of IFRS Measures to Non-IFRS Measures (Unaudited)

(in KUSD except for share and per share data)

	Three Months Ended March 31,
in KUSD (except for share and per share data)	2023	2022
Net loss	(59,426)	(16,661)
Adjustments:
Share-based compensation expense (i)	8,074	13,910
Convertible loans, derivatives, change in fair value income (ii)	—	(15,855)
Senior secured term loans, warrants, change in fair value income (ii)	(656)	—
Effective interest expense on convertible loans (iii)	—	3,022
Deerfield warrants obligation, change in fair value income (ii)	(616)	—
Effective interest expense on senior secured term loan facility (iii)	4,540	—
Deferred royalty obligation interest expense (iv)	5,746	6,142
Deferred royalty obligation cumulative catch-up adjustment income (iv)	(129)	(18,288)
Adjusted net loss	(42,467)	(27,730)
Net loss per share, basic and diluted	(0.74)	(0.22)
Adjustment to net loss per share, basic and diluted	0.21	(0.14)
Adjusted net loss per share, basic and diluted	(0.53)	(0.36)
Weighted average shares outstanding, basic and diluted	80,805,770	76,821,726

(i)Share-based compensation expense represents the cost of equity awards issued to our directors, management and employees. The fair value of awards is computed at the time the award is granted, including any market and other performance conditions, and is recognized over the vesting period of the award by a charge to the income statement and a corresponding increase in other reserves within equity. These accounting entries have no cash impact.

(ii)Change in the fair value of the convertible loan derivatives, senior secured term loan facility warrants and the Deerfield warrant obligation results from the valuation at the end of each accounting period. There are several inputs to these valuations, but those most likely to result in significant changes to the valuations are changes in the value of the underlying instrument (i.e., changes in the price of our common shares) and changes in expected volatility in that price. These accounting entries have no cash impact.

(iii)Effective interest expense on convertible loans and senior secured term loans relates to the increase in the value of our loans in accordance with the amortized cost method.

(iv)Deferred royalty obligation interest expense relates to the accretion expense on our deferred royalty obligation pursuant to the royalty purchase agreement with HCR and cumulative catch-up adjustment income relates to changes in the expected payments to HCR based on a periodic assessment of our underlying revenue projections.

CONTACTS:

Investors
Eugenia Litz

ADC Therapeutics

Eugenia.Litz@adctherapeutics.com

+44 7879 627205

+1 908-723-2350

Amanda Loshbaugh
ADC Therapeutics

amanda.loshbaugh@adctherapeutics.com

+1 917-288-7023

Media
Mary Ann Ondish
ADC Therapeutics
maryann.ondish@adctherapeutics.com

+1 914-552-4625

XML

Cover	3 Months Ended
	Mar. 31, 2023
Cover [Abstract]
Document Type	6-K
Document Period End Date	Mar. 31, 2023
Entity File Number	001-39071
Entity Registrant Name	ADC Therapeutics SA
Entity Address, Address Line One	Biopôle
Entity Address, Address Line Two	Route de la Corniche 3B
Entity Address, Postal Zip Code	1066
Entity Address, City or Town	Epalinges
Entity Address, Country	CH
Entity Central Index Key	0001771910
Current Fiscal Year End Date	--12-31
Amendment Flag	false
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q1

XML

Condensed Consolidated Interim Statement of Operations - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Condensed Income Statements, Captions [Line Items]
Total revenue	$ 18,992	$ 46,498
Cost of product sales	(590)	(529)
Research and development expenses	(39,480)	(48,952)
Selling and marketing expenses	(15,351)	(18,370)
General and administrative expenses	(15,143)	(19,011)
Total operating expense	(70,564)	(86,862)
Loss from operations	(51,572)	(40,364)
Other income (expense)
Financial income	2,304	18,308
Financial expense	(10,417)	(9,217)
Non-operating (expense) income	(3)	13,442
Total other (expense) income	(8,116)	22,533
Loss before taxes	(59,688)	(17,831)
Income tax benefit	262	1,170
Net loss	$ (59,426)	(16,661)
Net loss attributable to:
Owners of the parent		$ (16,661)
Net loss per share
Net loss per share, basic (in USD per share)	$ (0.74)	$ (0.22)
Net loss per share, diluted (in dollars per share)	$ (0.74)	$ (0.22)
Product revenues, net
Condensed Income Statements, Captions [Line Items]
Total revenue	$ 18,953	$ 16,498
License revenues and royalties
Condensed Income Statements, Captions [Line Items]
Total revenue	$ 0	$ 30,000

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Condensed Consolidated Interim Statement of Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Profit or loss [abstract]
Net loss	$ (59,426)	$ (16,661)
Items that may be reclassified to profit and loss
Currency translation differences	141	(158)
Share of other comprehensive loss in joint venture	(256)	0
Total items that may be reclassified to profit and loss	(115)	(158)
Other comprehensive loss for the period	(115)	(158)
Total comprehensive loss for the period	(59,541)	(16,819)
Total comprehensive loss attributable to:
Owners of the parent	$ (59,541)	$ (16,819)

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Condensed Consolidated Interim Balance Sheet - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Current assets
Cash and cash equivalents	$ 310,547	$ 326,441
Accounts receivable, net	24,037	72,971
Inventory	18,250	18,564
Other current assets	27,173	28,039
Total current assets	380,007	446,015
Non-current assets
Property, plant and equipment	4,484	3,261
Right-of-use assets	11,224	6,720
Intangible assets	13,586	14,360
Interest in joint venture	29,533	31,152
Deferred tax asset	27,605	26,757
Other long-term assets	1,233	903
Total non-current assets	87,665	83,153
Total assets	467,672	529,168
Current liabilities
Accounts payable	8,694	12,351
Other current liabilities	57,412	73,035
Lease liabilities, short-term	1,447	1,097
Senior secured term loans, short-term	13,533	12,474
Total current liabilities	81,086	98,957
Non-current liabilities
Warrant obligations	516	1,788
Deferred royalty obligation, long-term	216,551	212,353
Deferred gain of joint venture	23,539	23,539
Lease liabilities, long-term	10,955	6,564
Other long-term liabilities	329	0
Total non-current liabilities	348,901	341,484
Total liabilities	429,987	440,441
Equity attributable to owners of the parent
Share capital	7,312	7,312
Share premium	1,007,843	1,007,452
Treasury shares	(645)	(679)
Other reserves	163,501	155,683
Cumulative translation adjustments	(215)	(356)
Accumulated losses	(1,140,111)	(1,080,685)
Total equity attributable to owners of the parent	37,685	88,727
Total liabilities and equity	467,672	529,168
Senior Secured Term Loans
Non-current liabilities
Convertible loans, long-term	$ 97,011	$ 97,240

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Condensed Consolidated Interim Statement of Changes in Equity - USD ($) $ in Thousands	Total	Share Capital	Share Premium	Other Reserves	Treasury Shares	Cumulative Translation Adjustments	Accumulated Losses
Equity, beginning balance at Dec. 31, 2021	$ 166,088	$ 6,445	$ 981,827	$ 102,646	$ (128)	$ 183	$ (924,885)
Loss for the period	(16,661)						(16,661)
Translation adjustment	(158)					(158)
Share of other comprehensive loss in joint venture	0
Other comprehensive loss for the period	(158)					(158)
Total comprehensive loss for the period	(16,819)					(158)	(16,661)
Vestings of RSUs	0		(9)		9
Share-based compensation expense	13,398			13,398
Increase (decrease) through transactions with owners, equity	13,398	0	(9)	13,398	9
Equity, ending balance at Mar. 31, 2022	162,667	6,445	981,818	116,044	(119)	25	(941,546)
Equity, beginning balance at Dec. 31, 2022	88,727	7,312	1,007,452	155,683	(679)	(356)	(1,080,685)
Loss for the period	(59,426)						(59,426)
Translation adjustment	141					141
Share of other comprehensive loss in joint venture	(256)			(256)
Other comprehensive loss for the period	(115)			(256)		141
Total comprehensive loss for the period	(59,541)			(256)		141	(59,426)
Issuance of shares, Deerfield exchange agreement, net of transaction costs			19,600
Vestings of RSUs	0		(23)		23
Issuance of shares, 2022 Employee Stock Purchase Plan	425		414		11
Share-based compensation expense	8,074			8,074
Increase (decrease) through transactions with owners, equity	8,499	0	391	8,074	34
Equity, ending balance at Mar. 31, 2023	$ 37,685	$ 7,312	$ 1,007,843	$ 163,501	$ (645)	$ (215)	$ (1,140,111)

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Condensed Consolidated Interim Statement of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Cash used in operating activities
Loss for the period	$ (59,426)	$ (16,661)
Adjustments for non-monetary items:
Share-based compensation expense	8,074	13,398
Impairments of assets	146	0
Depreciation of property, plant and equipment	249	261
Amortization of intangible assets	52	26
Impairment of intangible assets	743	0
Depreciation of right-of-use assets	393	307
Gain from reversal of inventory impairment charges	0	(361)
Share of results in joint venture	1,363	2,502
Deferred tax asset	(848)	(3,856)
Change in defined benefit pension liability	0	72
Convertible loans, derivatives, change in fair value	0	(15,855)
Warrant obligations, change in fair value	(1,272)	0
Employee stock purchase plan deductions	244	0
Financial income	(2,304)	(18,307)
Financial expense	10,291	9,165
Exchange differences	18	(63)
Operating loss before working capital changes	(42,277)	(29,372)
Decrease in accounts receivable, net	48,901	3,466
Decrease (increase) in other current assets	(175)	(355)
Decrease (increase) in other current assets	55	(1,065)
(Decrease) increase in accounts payable	(3,663)	4,383
Increase in income taxes	587	2,686
Decrease in other liabilities and other payables	(12,090)	(10,666)
Cash used in operating activities	(8,662)	(30,923)
Interest paid	(3,841)	(1,838)
Interest received	2,795	18
Interest expense on lease obligations	126	52
Payments made under royalty financing transaction	(4,885)	(1,191)
Tax paid	(304)	0
Net cash used in operating activities	(14,771)	(33,882)
Cash used in investing activities
Payment for purchase of property, plant and equipment	(996)	(229)
Payment for purchase of intangible assets	(20)	(889)
Payment for deposits	0	(330)
Net cash used in investing activities	(1,016)	(1,448)
Cash provided by (used in) financing activities
Principal portion of lease obligation payments	(196)	(258)
Net cash provided by (used in) financing activities	(196)	(258)
Net decrease in cash and cash equivalents	(15,983)	(35,588)
Exchange losses on cash and cash equivalents	89	(82)
Cash and cash equivalents at beginning of the period	326,441	466,544
Cash and cash equivalents at end of the period	310,547	430,874
Supplemental Non-Cash Investing Information
Capital expenditures and intangible asset acquisitions recorded in Accounts payable	$ 411	$ 0

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Corporate information

3 Months Ended

Mar. 31, 2023

Corporate Information And Statement Of IFRS Compliance [Abstract]

Corporate information

Corporate information

ADC Therapeutics SA (the “Company” or “ADCT”) was incorporated on June 6, 2011 under the laws of Switzerland. The registered office of the Company is located at Route de la Corniche 3B, 1066 Epalinges, Switzerland. The Company controls three wholly-owned subsidiaries: ADC Therapeutics America, Inc. (“ADCT America”), which was incorporated in Delaware, USA on December 10, 2014, ADC Therapeutics (UK) Ltd (“ADCT UK”), which was incorporated in England on December 12, 2014 and ADC Therapeutics (NL) B.V. which was incorporated in the Netherlands on February 25, 2022. The Company and its three subsidiaries form the ADCT Group (the “Group”).

The Group is focused on the development and commercialization of antibody drug conjugates (“ADCs”), including research, development, human clinical trials, regulatory approval and commercialization. On April 23, 2021, the U.S. Food and Drug Administration (“FDA”) approved ZYNLONTA for the treatment of relapsed or refractory diffuse large B-cell lymphoma (“DLBCL”) and the Company commenced recognizing revenue upon the sale of ZYNLONTA during the second quarter of 2021. ADCs are drug constructs which combine monoclonal antibodies specific to particular types of cells with cytotoxic molecules or warheads which seek to kill cancer cells to which the ADC attaches. ADCs have extensive potential therapeutic applications in cancer.

These unaudited condensed consolidated interim financial statements were authorized for issue by the Board of Directors on May 9, 2023.

Going concern basis

ADCT is a commercial-stage company developing innovative therapeutics. The Group is exposed to all risks inherent in establishing and developing its business, including the substantial uncertainty that current projects will succeed. The Group’s success may also depend on its ability to:

•establish and maintain a strong patent position and protection;

•develop, gain regulatory approval and commercialize drug products;

•enter into collaborations with partners in the pharmaceutical industry;

•acquire and retain key personnel; and

•acquire additional funding to support its operations.

Since its incorporation, the Group has primarily funded its growth through capital increases and additional funds provided by research collaborations, license agreements, the issuance of the Company’s common shares, the issuance of convertible loans, the issuance of term loans and proceeds from a royalty purchase agreement. The Group does not have recourse to bank loans. As a result, the Group is not exposed to liquidity risk through requests for early repayment of loans, other than, pursuant to the senior secured term loan facility, it must maintain a balance of at least USD 60.0 million in cash and cash equivalents plus any accounts payable that are greater than ninety days old at the end of each quarter.

As of March 31, 2023, the Group’s cash and cash equivalents amounted to USD 310.5 million (December 31, 2022: USD 326.4 million).

Management believes that the Group has sufficient resources to meet its financial obligations for at least the next 12 months from the date of issuance of these unaudited condensed consolidated interim financial statements and, as a result, is presenting these unaudited condensed consolidated interim financial statements of the Group on a going concern basis.

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Basis of preparation

3 Months Ended

Mar. 31, 2023

Corporate Information And Statement Of IFRS Compliance [Abstract]

Basis of preparation

Basis of preparation

Statement of Compliance

These unaudited condensed consolidated interim financial statements as of and for the three months ended March 31, 2023 have been prepared in accordance with International Accounting Standard 34 Interim Financial Reporting (“IAS 34”) and should be read in conjunction with the audited consolidated financial statements as of and for the year ended December 31, 2022.

Functional and reporting currency

These unaudited condensed consolidated interim financial statements are presented in United States Dollars (“USD” or “$”), which is the Company’s functional currency and the Group’s reporting currency.

A subsidiary of the Company, ADCT UK, has a functional currency of the British Pound (“GBP”). The following exchange rates have been used for the translation of the financial statements of ADCT UK:

	Three Months Ended March 31,
	2023	2022
USD / GBP
Closing rate, GBP 1	1.23681	1.31336
Weighted average exchange rate, GBP 1	1.23708	1.34361

Basis of Consolidation

The unaudited condensed consolidated interim financial statements incorporate the financial statements of the Company and entities controlled by the Company which are the same as those contained in the audited consolidated financial statements as of and for the year ended December 31, 2022.

Use of estimates and judgements

The preparation of the unaudited condensed consolidated interim financial statements in conformity with IAS 34 requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets and liabilities, income and expense. Actual results may differ from these estimates.

Estimates are based on management’s knowledge of current events and actions that the Company may undertake in the future. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

In preparing these unaudited condensed consolidated interim financial statements, the significant judgements made by management in applying the Group’s accounting policies and the key sources of estimation uncertainty included those that applied to the consolidated financial statements for the year ended December 31, 2022. There have been no material changes to the use of estimates and judgements other than those described in note 3, "Significant accounting policies."

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Significant accounting policies

3 Months Ended

Mar. 31, 2023

Accounting Policies, Changes in Accounting Estimates And Errors [Abstract]

Significant accounting policies

Significant accounting policies

The accounting policies applied by the Company in these unaudited condensed consolidated interim financial statements are the same as those applied by the Company in its audited consolidated financial statements as of and for the year ended December 31, 2022 and have been applied consistently to all periods presented in these unaudited condensed consolidated interim financial statements, except for the following:

Revenue Recognition

Product Revenue

The Company generates revenue from sales of ZYNLONTA in the U.S. for the treatment of relapsed or refractory DLBCL, which was approved by the FDA on April 23, 2021 and launched shortly thereafter. Revenue is recognized when control is transferred to the customer at the net selling price, which includes reductions for gross-to-net (“GTN”) sales adjustments such as government rebates, chargebacks, distributor service fees, other rebates and administrative fees, sales returns and allowances and sales discounts.

On November 15, 2021, the Infrastructure Investment and Jobs Act was enacted, which added a requirement for manufacturers of certain single-source drugs (including biologics and biosimilars) separately paid for under Medicare Part B for at least 18 months and marketed in single-dose containers or packages (known as refundable single-dose container or single-use package drugs) to provide annual refunds if those portions of the dispensed drug that are unused and discarded exceed an applicable percentage defined by statute or regulation. The Centers for Medicare & Medicaid Services (the “CMS”) finalized regulations to implement this section on November 18, 2022, and the provision went into effect on January 1, 2023.

The Company has accounted for this annual refund (“discarded drug rebate”) as a GTN sales adjustment beginning in the first quarter of 2023. The discarded drug rebate will involve significant estimates and judgment after considering factors including legal interpretations of applicable laws and regulations, historical experience with discarded volumes and processing time lags.

The Company will use information from external sources to identify the Company’s discarded volumes and estimate the discarded drug rebate. The Company’s estimates are subject to inherent limitations of estimates that rely on third-party information and reflect other limitations including lags between the date as of which third-party information is generated and the date on which the Company receives third-party information. Estimates for the discarded drug rebate will be assessed each period and adjusted as required to revise information or actual experience.

New and amended IFRS standards

There are no new IFRS standards, amendments to standards or interpretations that are mandatory for the financial year beginning on January 1, 2023, that are relevant to the Group. New standards, amendments to standards and interpretations that are not yet effective, which have been deemed by the Group as currently not relevant, are not listed here.

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Financial risk management

3 Months Ended

Mar. 31, 2023

Financial Instruments [Abstract]

Financial risk management

Financial risk management 

4.1Financial risk factors

The Group’s activities are exposed to a variety of financial risks: market risk (including changes in the Company’s share price, exposure to fluctuation in currency exchange rates and exposure to interest rate movements), credit risk and liquidity risk.

The unaudited condensed consolidated interim financial statements do not include all financial risk management information and disclosures required in the annual financial statements, and should be read in conjunction with the Group’s consolidated financial statements as of December 31, 2022. In relation to the royalty purchase agreement with entities managed by Healthcare Royalty Management, LLC ("HCR"), the Company is obligated to pay interest in the form of royalties in connection with certain net sales and licensing revenue. As the effective interest rate ("EIR") on the deferred royalty obligation does not depend on market performance, the exposure to interest rate and market risk is deemed low. See note 17, “Deferred royalty obligation” for further information. In regards to the senior secured term loans, the interest rate is variable and dependent upon market factors. The Company will update the EIR at the end of each reporting period for changes in the rate. See note 13, "Senior secured term loan facility and warrants" for further information. A hypothetical 100 basis point increase (decrease) in the interest rate as of March 31, 2023 would have increased (decreased) the effective interest expense associated with the Company's senior secured term loan facility by KUSD 676 and (KUSD 676), respectively. There have been no other material changes in financial risk management since December 31, 2022.

4.2Fair value estimation

As of March 31, 2023, the carrying amount is a reasonable approximation of fair value for the following financial assets and liabilities:

•Cash and cash equivalents

•Trade accounts receivable; and

•Trade accounts payable

In the three months ended March 31, 2023, there were no significant changes in the business or economic circumstances that affected the fair value of the Group’s financial assets and financial liabilities.

Fair values must be estimated at the end of each reporting period with regard to the senior secured term loan warrant obligation and the Deerfield warrants. The approach to valuation follows the grant date fair value principle, and the key input factors are described for the senior secured term loan facility warrant obligation in note 13, "Senior secured term loan facility and warrants" and for the Deerfield warrants in note 15, "Deerfield warrants." Commonly accepted pricing models (Black-Scholes) have been used to calculate the fair values. The valuation of the senior secured term loan facility warrant obligation and Deerfield warrants are classified as pertaining to Level 2 of the valuation hierarchy. The convertible loan derivatives previously were classified as pertaining to Level 3 of the valuation hierarchy and were extinguished on August 15, 2022. See note 14, "Convertible loans" for further information. The Company no longer has any inputs pertaining to level 3 of the valuation hierarchy set out below.

The different levels of the valuation hierarchy have been defined as follows:

(a)Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities;

(b)Level 2: inputs other than quoted prices that are observable for the asset or liability, either directly (for example, as prices) or indirectly (for example, derived from prices);

(c)Level 3: inputs for the asset or liability that are not based on observable market data.

There were no transfers between the respective levels during the period.

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Product revenues, net

3 Months Ended

Mar. 31, 2023

Revenue From Contracts With Customers [Abstract]

Product revenue, net

Revenue recognition

The table below provides a disaggregation of revenues by type of service and customer location for the three months ended March 31, 2023 and March 31, 2022.

	Three months ended March 31,
(in KUSD)	2023	2022
Types of goods and services
Product revenue, net	18,953	16,498
License revenues	—	30,000
Royalties	39	—
Total revenue	18,992	46,498
Customer Location
U.S.	18,953	16,498
EMEA(1)	39	—
Japan	—	30,000
Total revenue	18,992	46,498

(1) Europe, the Middle East and Africa

Product revenue, net

Product revenues, net from sales of ZYNLONTA were KUSD 18,953 and KUSD 16,498 for the three months ended March 31, 2023 and 2022, respectively. The Company records its best estimate of GTN sales adjustments to which customers are likely to be entitled.

The table below provides a rollforward of the Company’s accruals related to the GTN sales adjustments for the three months ended March 31, 2023 and March 31, 2022.

	Three months ended March 31,
(in KUSD)	2023	2022
Beginning balance	3,746	2,590
GTN sales adjustments for current period sales	5,616	3,491
GTN sales adjustments for prior period sales	(648)	(192)
Credits, payments and reclassifications to Accounts payable	(4,352)	(1,763)
Ending balance as of March 31,	4,362	4,126

The table below provides the classification of the accruals related to the GTN sales adjustment included in the Company’s unaudited condensed consolidated interim balance sheet as of March 31, 2023 and December 31, 2022.

(in KUSD)	As of March 31, 2023	As of December 31, 2022
Accounts receivable, net	1,688	2,151
Other current liabilities	2,674	1,595
	4,362	3,746

License revenues and royalties

On January 18, 2022, the Company entered into an exclusive license agreement with MTPC for the development and commercialization of ZYNLONTA for all hematologic and solid tumor indications in Japan. Under the terms of the agreement, the Company received an upfront payment of USD 30 million and may receive up to an additional USD 205 million in milestones if certain development and commercial events are achieved. The Company will also be entitled to receive royalties ranging in percentage from the high teens to the low twenties based on net sales of ZYNLONTA in Japan. MTPC will conduct clinical studies of ZYNLONTA in Japan and will have the right to participate in any global clinical studies by bearing a portion of the study costs. In addition, the Company will supply ZYNLONTA to MTPC for its drug development and commercialization under a supply agreement.

On July 8, 2022, the Company entered into exclusive license agreement with Sobi for the development and commercialization of ZYNLONTA for all hematologic and solid tumor indications outside of the U.S., greater China, Singapore and Japan. Under the terms of the agreement, the Company received an upfront payment of USD 55 million and is eligible to receive up to USD 382.5 million in regulatory and net sales-based milestones, of which USD 50 million in license revenue was recognized in December 2022 upon approval of a Marketing Authorisation Application by the European Commission for ZYNLONTA in third-line DLBCL and received in the first quarter of 2023. The Company will also receive royalties ranging in percentage from the mid-teens to the mid-twenties based on net sales of the product in Sobi’s licensed territories, subject to certain adjustments. The Company recognized a de minimus amount of revenue attributable to royalties in the Sobi licensed territories during the three months ended March 31, 2023.

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Segment information	3 Months Ended
	Mar. 31, 2023
Operating Segments [Abstract]
Segment information	Segment informationThe Company is managed and operated as one business. A single management team that reports to the chief executive officer comprehensively manages the entire business. Accordingly, the Company views its business and manages its operations as one operating segment.

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Operating expense

3 Months Ended

Mar. 31, 2023

Analysis of income and expense [abstract]

Operating expense

Operating expense

The following table provides the unaudited condensed consolidated interim statement of operations classification of the Company's total operating expense:

(in KUSD)	Three months ended March 31,
	2023	2022
Cost of product sales	590	529
R&D
External costs (1)	21,654	29,168
Employee expenses (2)	17,826	19,784
R&D expense	39,480	48,952
S&M
External costs (3)	7,360	8,911
Employee expenses (2)	7,991	9,459
S&M expense	15,351	18,370
G&A
External costs (1)	4,538	7,639
Employee expenses (2)	10,605	11,372
G&A expense	15,143	19,011
Total operating expense	70,564	86,862

(1) Includes depreciation expense

(2) Includes share-based compensation expense

(3) Includes depreciation expense for Property, plant and equipment for the three months ended March 31, 2023 and 2022.

R&D external costs decreased as a result of carefully weighing Cami against the rest of the Company's portfolio in terms of resource allocation, and deciding not to proceed on our own and to seek a partner to continue developing this program within this high unmet need patient segment. The Company also had lower clinical trial costs for closed studies LOTIS 3, LOTIS 6 and LOTIS 8, as well as lower manufacturing expenses related to IND-enabling work for ADCT 212. The decrease in external costs was partially offset by an increase in clinical trial costs for LOTIS 5, LOTIS 10 and LOTIS 9, as well as an increase in chemistry, manufacturing and controls expenses, as those studies progressed. Employee expense decreased for the three months ended March 31, 2023 primarily due to lower share-based compensation expense.

The decrease in S&M expenses in the three months ended March 31, 2023 was primarily due to lower spend on marketing, analytics and expenses in the European Union relating to the commercial launch of ZYNLONTA of USD 1.7 million, as well as lower share-based compensation expense of USD 1.3 million due to fluctuations in our share price.

The decrease in G&A expenses in the three months ended March 31, 2023 was primarily due to lower professional fees, including those fees associated with the license agreement entered into with MTPC, which were incurred during the three months ended March 31, 2022. Employee expense for the three months ended March 31, 2023 decreased primarily as a result of lower share-based compensation expense due to employee transitions and fluctuations in our share price, partially offset by higher wages and benefits.

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Cash and cash equivalents	3 Months Ended
	Mar. 31, 2023
Cash and cash equivalents [abstract]
Cash and cash equivalents	Cash and cash equivalents

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Inventories

3 Months Ended

Mar. 31, 2023

Inventory [Abstract]

Disclosure of inventories [text block]

Inventory

Inventory as of March 31, 2023 and December 31, 2022 consisted of the following:

(in KUSD)	As of March 31, 2023	As of December 31, 2022
Work in process	17,961	18,165
Finished goods	289	399
Total inventory	18,250	18,564

During the three months ended March 31, 2022, the Company reversed KUSD 361 of previously recorded impairment charges in accordance with its accounting policy, based on the existence of inventory on hand and estimated demand, as well as expiration dating. The reversal of impairment charges was recorded as a gain to R&D expenses in the Company’s unaudited condensed consolidated interim statement of operation

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Intangible assets

3 Months Ended

Mar. 31, 2023

Intangible Assets [Abstract]

Intangible assets

Intangible assets

During the three months ended March 31, 2023, the Company did not capitalize any license fees as intangible assets. During the three months ended March 31, 2022, the Company capitalized:

•    KUSD 195 paid upon the successful completion of in-vivo efficacy studies related to a license with a third party to use their specific binding proteins in the development, manufacturing and commercialization of products. The amount was capitalized as an indefinite-lived intangible asset.

During the three months ended March 31, 2023, the Company decided to terminate a program. Consequently, impairment charges of KUSD 743 (corresponding to the entire carrying amount of the capitalized licenses) was recognized and charged to R&D expenses in the unaudited condensed consolidated interim statement of operations. No impairment losses were recognized during the three months ended March 31, 2022. The Company performs an assessment at the end of each period to determine whether there is any indication that an intangible asset may be impaired. The Company identified one indicator of impairment during the three months ended March 31, 2023. The Company evaluated further and concluded there were no impairments, other than the terminated program.

The table below provides a rollforward of the Company’s intangible assets as of March 31, 2023 and 2022.

(in KUSD)	Indefinite lived		Definite lived
Cost	Licenses	Internal development costs	Internal development costs	Licenses	Software	Total
January 1, 2023	13,680	—	954	1,052	278	15,964
Additions	—	—	—	—	20	20
Exchange differences	—	—	—	—	3	3
March 31, 2023	13,680	—	954	1,052	301	15,987
Accumulated Amortization
January 1, 2023	(1,295)	—	—	(125)	(184)	(1,604)
Amortization charge	—	—	(19)	(19)	(14)	(52)
Impairment charge	(743)	—	—	—	—	(743)
Exchange differences	—	—		—	(2)	(2)
March 31, 2023	(2,038)	—	(19)	(144)	(200)	(2,401)
Net book amount as of March 31, 2023	11,642	—	935	908	101	13,586
Cost
January 1, 2022	12,985	631	—	1,052	176	14,844
Additions	195	82	—	—	19	296
Exchange differences	—	—	—	—	(1)	(1)
March 31, 2022	13,180	713	—	1,052	194	15,139
Accumulated Amortization
January 1, 2022	(1,069)	—	—	(50)	(143)	(1,262)
Amortization charge	—	—	—	(19)	(7)	(26)
March 31, 2022	(1,069)	—	—	(69)	(150)	(1,288)
Net book amount as of March 31, 2022	12,111	713	—	983	44	13,851

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Non-operating income

3 Months Ended

Mar. 31, 2023

Analysis of income and expense [abstract]

Non-operating income

Non-operating (expense) income

		Three months ended March 31,
(in KUSD)	Note	2023	2022
Convertible loans, derivatives, change in fair value income	14	—	15,855
Deerfield warrant obligation, change in fair value income	15	616	—
Senior secured term loan facility, warrants, change in fair value income	13	656	—
Share of results with joint venture	11	(1,363)	(2,502)
Exchange differences (loss) gain		(52)	81
R&D tax credit		140	8
Non-operating (expense) income		(3)	13,442

Convertible loans, derivatives, change in fair value income

Changes in derivative fair values are explained in note 14, “Convertible loans.” Pursuant to the Facility Agreement with Deerfield, the Company drew down the Deerfield First Tranche of the convertible loans amounting to USD 65.0 million on May 19, 2020. Additionally, in connection with the FDA approval of ZYNLONTA, the Company drew down the Deerfield Second Tranche of convertible loans amounting to USD 50.0 million on May 17, 2021. On August 15, 2022, pursuant to the exchange agreement with Deerfield, Deerfield exchanged USD 115.0 million aggregate principal amount of the Company's senior secured convertible notes for warrants to purchase an aggregate of 4,412,840 common shares, an aggregate of 2,390,297 common shares and cash equal to USD 117.3 million.

Deerfield warrant obligation, change in fair value income

Pursuant to an exchange agreement with Deerfield entered into on August 15, 2022, the Company issued warrants to purchase an aggregate of 4,412,840 common shares. The Deerfield warrant obligation has been recorded at its initial fair value and is remeasured to fair value at the end of each reporting period. Changes in fair value of the Deerfield warrant obligation are explained in note 15, "Deerfield warrants."

Senior secured term loan facility, warrants, change in fair value income

The Company has accounted for the First Tranche of the senior secured term loan and warrants as one hybrid financial instrument, with the USD 120 million proceeds separated into two components: a warrant obligation and a loan. The warrant obligation has been recorded at its initial fair value and is remeasured to fair value at the end of each reporting period. Changes in fair value of the warrant obligation are explained in note 13, "Senior secured term loan facility and warrants."

Share of results with joint venture

In connection with the formation of Overland ADCT BioPharma in December 2020, the Company recorded its proportionate share of Overland ADCT BioPharma’s comprehensive loss. See note 11, “Interest in joint venture.”

Exchange differences (loss) gain

Also included in non-operating (expense) income are favorable or unfavorable Exchange differences. The Company is exposed to foreign exchange risk arising from various currency exposures, primarily with respect to British pounds, Euros and Swiss francs. Exchange differences represent gain or (loss) based on favorable or unfavorable changes in foreign currencies.

R&D tax credit

The Company recognizes as income (expense) amounts received and receivable by its subsidiary, ADCT UK, under the United Kingdom’s R&D Expenditure Credit scheme (“UK R&D Credit Scheme”). The grants represent 13% and 12% of eligible expenditures for the three months ended March 31, 2023 and March 31, 2022, respectively. The claims are payable through the tax system, as a refund of corporation tax or of other taxes, including income tax and social security payments deducted at source from qualifying (research) employees’ payroll and VAT. The relevant amounts have been therefore presented net in the balance sheet. As the credit is independent of ADCT UK’s taxable profit, is clearly designed to incentivize companies to invest in R&D activities and is itself taxable income, the Group has recognized the income as government grants within non-operating (expense) income and not as a credit to income tax expense.

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Interest in joint venture

3 Months Ended

Mar. 31, 2023

Interests In Other Entities [Abstract]

Interest in joint venture

The Company is invested in a joint venture company, Overland ADCT BioPharma, with Overland Pharmaceuticals (“Overland”), to develop and commercialize one of the Company’s ADC products, ZYNLONTA, and three of the Company’s ADC product candidates, ADCT-601, ADCT-602 and ADCT-901, in greater China and Singapore. The table below provides a rollforward of the Company’s interest in Overland ADCT BioPharma as of March 31, 2023 and 2022, respectively.

(in KUSD)
Interest in joint venture
January 1, 2023	31,152
Share of comprehensive loss in joint venture	(1,619)
March 31, 2023	29,533
January 1, 2022	41,236
Share of comprehensive loss in joint venture	(2,502)
March 31, 2022	38,734

As of March 31, 2023, the deferred gain of USD 23.5 million arising from the Company’s contribution for its equity investment in the joint venture remained unchanged from December 31, 2022. The Company’s carrying value of its investment in a joint venture increases or decreases in relation to the Company’s proportionate share of comprehensive income or loss of the joint venture. When the Company’s share of losses of a joint venture exceeds the Company’s interest in that joint venture less the carrying value of the deferred gain described above, the Company ceases to recognize its share of further losses. Additional losses are recognized only to the extent that the Company has incurred legal or constructive obligations or made payments on behalf of the joint venture.

The tables below provide summarized financial information for Overland ADCT BioPharma that is material to the Company. The following information reflects the amounts presented in the financial statements of Overland ADCT BioPharma and not the Company’s share of those amounts.

(in KUSD)	As of
Summarized Balance Sheet	March 31, 2023	December 31, 2022
Cash and cash equivalents	14,977	19,261
Prepaid and other current assets	79	2
Intangible assets	48,039	49,249
Total liabilities	(2,408)	(3,062)
Net assets	60,687	65,450
Summarized Statement of Comprehensive Loss	Three months ended March 31,
	2023	2022
Operating expenses	3,653	4,791
Other expense (income)	274	(42)
Net loss	3,927	4,749

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Leases

3 Months Ended

Mar. 31, 2023

Leases [Abstract]

Leases

Leases

The table below provides a rollforward of the Company's right-of-use assets as of March 31, 2023 and 2022, respectively.

(in KUSD)
Right-of-Use Assets	Properties (Offices)	Vehicles	Total
Cost
January 1, 2023	9,311	134	9,445
Additions	4,818	—	4,818
Exchange difference	104	—	104
March 31, 2023	14,233	134	14,367
Accumulated depreciation
January 1, 2023	(2,642)	(83)	(2,725)
Depreciation charge	(385)	(8)	(393)
Exchange difference	(25)	—	(25)
March 31, 2023	(3,052)	(91)	(3,143)
Net book amount as of March 31, 2023	11,181	43	11,224
Cost
January 1, 2022	9,005	134	9,139
Exchange difference	(145)	—	(145)
March 31, 2022	8,860	134	8,994
Accumulated depreciation
January 1, 2022	(1,925)	(50)	(1,975)
Depreciation charge	(299)	(8)	(307)
Exchange difference	14	—	14
March 31, 2022	(2,210)	(58)	(2,268)
Net book amount as of March 31, 2022	6,650	76	6,726

On January 30, 2023, the Company expanded the square footage of its existing lease related to its U.K. office. The lease commenced on January 30, 2023 and expires on January 27, 2031, and includes an option to terminate early on January 26, 2026. The Company is reasonably certain it will not terminate the lease early and therefore will account for the lease using an eight-year lease term. Total rent payments including service charges through January 27, 2031 are USD 7.6 million.

Depreciation of right-of-use assets have been charged to the following categories in the unaudited condensed consolidated interim statement of operations. Depreciation expense for S&M expenses was not material for any of the periods presented.

	Three months ended March 31,
(in KUSD)	2023	2022
R&D expenses	331	245
G&A expenses	62	62
	393	307

The table below provides a rollforward of the Company's lease liabilities as of March 31, 2023 and 2022, respectively.

(in KUSD)
Lease liabilities	Properties (Offices)	Vehicles	Total
January 1, 2023	7,607	54	7,661
Additions	4,818	—	4,818
Cash outflow (including interest)	(313)	(9)	(322)
Interest	126	—	126
Exchange difference	109	10	119
March 31, 2023	12,347	55	12,402
January 1, 2022	7,898	125	8,023
Cash outflow (including interest)	(301)	(9)	(310)
Interest	51	1	52
Exchange difference	(134)	(36)	(170)
March 31, 2022	7,514	81	7,595
March 31, 2023
Lease liabilities (short-term)	1,411	36	1,447
Lease liabilities (long-term)	10,936	19	10,955
Total lease liabilities	12,347	55	12,402
March 31, 2022
Lease liabilities (short-term)	946	35	981
Lease liabilities (long-term)	6,568	46	6,614
Total lease liabilities	7,514	81	7,595

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Senior secured term loan facility and warrants

3 Months Ended

Mar. 31, 2023

Financial Instruments [Abstract]

Convertible loans

Senior secured term loan facility and warrants

Oak Tree and Owl Rock Warrant Obligations

During the three months ended March 31, 2023, the Company recognized income of KUSD 656 as a result of changes in the fair value of the warrant obligations. The fair value of the warrant obligations as of March 31, 2023 and December 31, 2022 was KUSD 339 and KUSD 995, respectively. The decrease in fair value of the warrant obligation from December 31, 2022 to March 31, 2023 was primarily due to the decrease in the fair value of the underlying shares during that period, which was recorded directly to Non-operating (expense) income in the unaudited condensed consolidated interim statement of operations. See note 8, "Non-operating (expense) income" for further information.

The Company used an independent valuation firm to assist in calculating the fair value of the warrant obligations, using the Black-Scholes option-pricing model. Key inputs for the valuation of the warrant obligations as of March 31, 2023 were as follows:

	As of		As of
	March 31, 2023		December 31, 2022
Exercise price in USD	8.30		8.30
Share price in USD	1.95		3.84
Risk-free interest rate	3.7	%	4.0	%
Expected volatility	80	%	80	%
Expected term (months)	52.5 months		55.5 months
Dividend yield	—		—
Black-Scholes value in USD	0.64		1.89

Senior Secured Term Loan

For the three months ended March 31, 2023, the Company recorded interest expense on the senior secured term loan in the amount of KUSD 4,540 which was recorded in Financial expense in the unaudited condensed consolidated interim statement of operations. The EIR at March 31, 2023 was 16.44%. The carrying value of the senior secured term loan was USD 110.5 million as of March 31, 2023, of which USD 13.5 million and USD 97.0 million represented the short-term and long-term portion of the liability, respectively.

Pursuant to this Loan Agreement, the Company is subject to a covenant that requires it to maintain a balance at the end of each quarter of at least USD 60.0 million in cash and cash equivalents that are included on the unaudited condensed consolidated interim balance sheet plus an amount equal to any accounts payable that remain unpaid more than ninety days after the date of the original invoice. As of March 31, 2023, the Company was in compliance with this covenant.

Convertible loans

On April 24, 2020, the Company entered into a USD 115.0 million Facility Agreement with Deerfield, pursuant to which Deerfield extended a tranche of USD 65.0 million of convertible loans on May 19, 2020 upon completion of the Company’s initial public offering (the “Deerfield First Tranche”) and a tranche of USD 50.0 million of convertible loans on May 17, 2021 after the receipt of regulatory approval for ZYNLONTA (the “Deerfield Second Tranche”).

On August 15, 2022, pursuant to an exchange agreement with Deerfield, Deerfield exchanged USD 115.0 million aggregate principal amount of the Company's senior secured convertible notes for warrants to purchase an aggregate of 4,412,840 common shares, an aggregate of 2,390,297 common shares and cash equal to USD 117.3 million.

As a result of the exchange agreement on August 15, 2022, the Company recognized a loss on extinguishment of USD 42.1 million, which primarily consists of the difference between the aggregate principal amount and carrying value of the convertible loans, exit fee, as well as the unpaid interest payments through the maturity date.

Embedded conversion option derivatives

Prior to the exchange, the Company accounted for the Facility agreement as a loan and embedded conversion option features. The embedded conversion option derivative was marked-to-market while the loan was measured at its amortized cost on a quarterly basis.

The following table summarizes the changes in fair value income of the embedded conversion option derivatives during the three months ended March 31, 2022:

	Three months ended March 31,
(in KUSD)	2022
Deerfield First Tranche	9,518
Deerfield Second Tranche - after FDA approval	6,337
Total	15,855

The decrease in fair value of the embedded derivatives was primarily due to a decrease in the fair value of the underlying shares during the three months ended March 31, 2022. These amounts were charged directly to the unaudited condensed consolidated interim statements of operations. See note 8, “Non-operating (expense) income” for further information.

The Company used an independent valuation firm to assist in calculating the fair value of the Deerfield First Tranche and Deerfield Second Tranche of the embedded conversion option derivatives, which is based on the mean of values derived from application of the Hull and Goldman Sachs convertible bond pricing models. Key inputs for the valuations as of March 31, 2022 was as follows:

Deerfield First Tranche

	As of
	March 31, 2022
Exercise price at 130% of the IPO price of 19.00, in USD	24.70
Forced conversion price, in USD	67.93
Share price in USD	14.69
Risk-free interest rate	2.4	%
Expected volatility	76	%
Expected term (months)	37.0 months
Dividend yield	—
Recovery rate	5	%
Implied bond yield	10.3	%

Deerfield Second Tranche

	As of
	March 31, 2022
Exercise price in USD	28.07
Forced conversion price, in USD	77.19
Share price in USD	14.69
Risk-free interest rate	2.4	%
Expected volatility	76	%
Expected term (months)	37.0 months
Dividend yield	—
Recovery rate	5	%
Implied bond yield	10.3	%

Residual convertible loan

The following table summarizes the interest expense recorded on the convertible loan for the three months ended March 31, 2022:

	Three months ended March 31,
(in KUSD)	2022
Deerfield First Tranche	2,219
Deerfield Second Tranche	803
Total	3,022

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Convertible loans

3 Months Ended

Mar. 31, 2023

Financial Instruments [Abstract]

Convertible loans

Senior secured term loan facility and warrants

Oak Tree and Owl Rock Warrant Obligations

During the three months ended March 31, 2023, the Company recognized income of KUSD 656 as a result of changes in the fair value of the warrant obligations. The fair value of the warrant obligations as of March 31, 2023 and December 31, 2022 was KUSD 339 and KUSD 995, respectively. The decrease in fair value of the warrant obligation from December 31, 2022 to March 31, 2023 was primarily due to the decrease in the fair value of the underlying shares during that period, which was recorded directly to Non-operating (expense) income in the unaudited condensed consolidated interim statement of operations. See note 8, "Non-operating (expense) income" for further information.

The Company used an independent valuation firm to assist in calculating the fair value of the warrant obligations, using the Black-Scholes option-pricing model. Key inputs for the valuation of the warrant obligations as of March 31, 2023 were as follows:

	As of		As of
	March 31, 2023		December 31, 2022
Exercise price in USD	8.30		8.30
Share price in USD	1.95		3.84
Risk-free interest rate	3.7	%	4.0	%
Expected volatility	80	%	80	%
Expected term (months)	52.5 months		55.5 months
Dividend yield	—		—
Black-Scholes value in USD	0.64		1.89

Senior Secured Term Loan

For the three months ended March 31, 2023, the Company recorded interest expense on the senior secured term loan in the amount of KUSD 4,540 which was recorded in Financial expense in the unaudited condensed consolidated interim statement of operations. The EIR at March 31, 2023 was 16.44%. The carrying value of the senior secured term loan was USD 110.5 million as of March 31, 2023, of which USD 13.5 million and USD 97.0 million represented the short-term and long-term portion of the liability, respectively.

Pursuant to this Loan Agreement, the Company is subject to a covenant that requires it to maintain a balance at the end of each quarter of at least USD 60.0 million in cash and cash equivalents that are included on the unaudited condensed consolidated interim balance sheet plus an amount equal to any accounts payable that remain unpaid more than ninety days after the date of the original invoice. As of March 31, 2023, the Company was in compliance with this covenant.

Convertible loans

On April 24, 2020, the Company entered into a USD 115.0 million Facility Agreement with Deerfield, pursuant to which Deerfield extended a tranche of USD 65.0 million of convertible loans on May 19, 2020 upon completion of the Company’s initial public offering (the “Deerfield First Tranche”) and a tranche of USD 50.0 million of convertible loans on May 17, 2021 after the receipt of regulatory approval for ZYNLONTA (the “Deerfield Second Tranche”).

On August 15, 2022, pursuant to an exchange agreement with Deerfield, Deerfield exchanged USD 115.0 million aggregate principal amount of the Company's senior secured convertible notes for warrants to purchase an aggregate of 4,412,840 common shares, an aggregate of 2,390,297 common shares and cash equal to USD 117.3 million.

As a result of the exchange agreement on August 15, 2022, the Company recognized a loss on extinguishment of USD 42.1 million, which primarily consists of the difference between the aggregate principal amount and carrying value of the convertible loans, exit fee, as well as the unpaid interest payments through the maturity date.

Embedded conversion option derivatives

Prior to the exchange, the Company accounted for the Facility agreement as a loan and embedded conversion option features. The embedded conversion option derivative was marked-to-market while the loan was measured at its amortized cost on a quarterly basis.

The following table summarizes the changes in fair value income of the embedded conversion option derivatives during the three months ended March 31, 2022:

	Three months ended March 31,
(in KUSD)	2022
Deerfield First Tranche	9,518
Deerfield Second Tranche - after FDA approval	6,337
Total	15,855

The decrease in fair value of the embedded derivatives was primarily due to a decrease in the fair value of the underlying shares during the three months ended March 31, 2022. These amounts were charged directly to the unaudited condensed consolidated interim statements of operations. See note 8, “Non-operating (expense) income” for further information.

The Company used an independent valuation firm to assist in calculating the fair value of the Deerfield First Tranche and Deerfield Second Tranche of the embedded conversion option derivatives, which is based on the mean of values derived from application of the Hull and Goldman Sachs convertible bond pricing models. Key inputs for the valuations as of March 31, 2022 was as follows:

Deerfield First Tranche

	As of
	March 31, 2022
Exercise price at 130% of the IPO price of 19.00, in USD	24.70
Forced conversion price, in USD	67.93
Share price in USD	14.69
Risk-free interest rate	2.4	%
Expected volatility	76	%
Expected term (months)	37.0 months
Dividend yield	—
Recovery rate	5	%
Implied bond yield	10.3	%

Deerfield Second Tranche

	As of
	March 31, 2022
Exercise price in USD	28.07
Forced conversion price, in USD	77.19
Share price in USD	14.69
Risk-free interest rate	2.4	%
Expected volatility	76	%
Expected term (months)	37.0 months
Dividend yield	—
Recovery rate	5	%
Implied bond yield	10.3	%

Residual convertible loan

The following table summarizes the interest expense recorded on the convertible loan for the three months ended March 31, 2022:

	Three months ended March 31,
(in KUSD)	2022
Deerfield First Tranche	2,219
Deerfield Second Tranche	803
Total	3,022

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Deerfield Warrants

3 Months Ended

Mar. 31, 2023

Subclassifications of assets, liabilities and equities [abstract]

Deerfield Warrants

Deerfield warrants

Pursuant to the exchange agreement with Deerfield entered into on August 15, 2022, the Company issued warrants to purchase an aggregate of 4,412,840 common shares. The warrants consist of warrants to purchase an aggregate of 2,631,578 common shares at an exercise price of USD 24.70 per share and warrants to purchase an aggregate of 1,781,262 common shares at an exercise price of USD 28.07 per share. Each warrant is exercisable, on a cash or a cashless basis, at the option of the holder, at any time on or prior to May 19, 2025. The warrants contain customary anti-dilution adjustments and entitle holders to receive any dividends or other distributions paid on the underlying common shares prior to their expiration on an as-exercised basis. Each holder also may require the Company to repurchase the warrants for their Black Scholes-based fair value in connection with certain transformative transactions or change of control of the Company that occur prior to their expiration.

The terms of the warrants are reflective of the terms of the embedded conversion option features of the Deerfield Facility Agreement prior to the Exchange Agreement. As a result, the fair value of the warrants was determined to approximate the fair value of the existing embedded conversion option features immediately prior to the consummation of the Exchange Agreement. As such, the warrant obligation was recorded at an initial fair value of KUSD 12,297 on August 15, 2022. Subsequent to issuance, the warrant obligation will be remeasured to fair value at the end of each reporting period.

During the three months ended March 31, 2023, the Company recognized income of KUSD 616 as a result of changes in the fair value of the warrant obligation. The fair value of the warrant obligation as of March 31, 2023 and December 31, 2022 was KUSD 177 and KUSD 793, respectively. The decrease in fair value of the warrant obligation from December 31, 2022 to March 31, 2023 was primarily due to the decrease in the fair value of the underlying shares during that period. These amounts were recorded to Non-operating (expense) income in the unaudited condensed consolidated interim statement of operations. See note 8, "Non-operating (expense) income" for further information.

The Company used an independent valuation firm to assist in calculating the fair value of the Deerfield warrant obligation, using the Black-Scholes option-pricing model. Key inputs for the valuation of the warrant obligation as of March 31, 2023 were as follows:

	As of		As of
	March 31, 2023		December 31, 2022
Exercise price in USD	24.70 and 28.07		24.70 and 28.07
Share price in USD	1.95		3.84
Risk-free interest rate	4.0	%	4.3	%
Expected volatility	80	%	70	%
Expected term (months)	25.7 months		28.7 months
Dividend yield	—		—
Black-Scholes value in USD	0.04 and 0.03		0.20 and 0.16

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Equity	3 Months Ended
	Mar. 31, 2023
Share Capital, Reserves And Other Equity Interest [Abstract]
Equity	EquityOn August 15, 2022, the Company entered into a share purchase agreement with the Purchasers, pursuant to which, on September 6, 2022, the Company issued and sold to the purchasers an aggregate of 733,568 common shares at USD 8.52 per share. The shares were issued from the Company’s treasury shares at par value, which arose from the Share Subscription Agreement. See note 2, “Basis of Preparation." The transaction was recorded as a USD 6.1 million net increase to share premium for the issuance of the common shares, net of transaction costs accrued and paid, and an increase in cash and cash equivalents.The Company also recorded a USD 19.6 million non-cash net increase to share premium for the issuance of the 2,390,297 common shares to Deerfield in connection with the exchange of the senior secured convertible notes. The shares were issued from the Company’s treasury shares at par value, which arose from the Share Subscription Agreement. See note 15, “Convertible loans” and note 2, “Basis of Preparation” for further information on this transaction and Share Subscription Agreement, respectively.

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Share-based compensation

3 Months Ended

Mar. 31, 2023

Share-based Payment Arrangements [Abstract]

Share-based compensation

Share-based compensation

Equity Incentive Plan 2019

In November 2019, the Company adopted the Equity Incentive Plan 2019. Under the Equity Incentive Plan 2019, the Company may at its discretion grant to plan participants, such as directors, certain employees and service providers, awards in the form of restricted shares and restricted share units (“RSUs”), share options, share appreciation rights, performance awards and other share-based awards. The Company has reserved 17,741,355 common shares for future issuance under the Equity Incentive Plan 2019 (including share-based equity awards granted to date less awards forfeited). As of March 31, 2023, the Company had 857,016 common shares available for the future issuance of share-based equity awards. On March 22, 2023, the Company issued its annual equity award, which was approved by the Compensation Committee of the Board of Directors and consisted of 2,026,341 share options and 538,175 RSUs. As of March 31, 2023, the Company has only granted share options, RSUs and performance awards under the Equity Incentive Plan 2019.

As of March 31, 2023, the cumulative amount recorded as an increase to Other Reserves within equity in the unaudited condensed consolidated interim balance sheet of the Equity Incentive Plan 2019 was KUSD 153,079. The amount of expense for all awards recognized for services received during the three months ended March 31, 2023 and 2022 were KUSD 7,977 and KUSD 13,910, respectively. An amount of KUSD 512 was withheld for tax charges during the three months ended March 31, 2022.

Share Options

Pursuant to the Equity Incentive Plan 2019, the Company may grant share options to its directors, certain employees and service providers working for the benefit of the Company at the time. The exercise price per share option is set by the Company at the fair market value of the underlying common shares on the date of grant, as determined by the Company, which is generally the closing share price of the Company’s common shares traded on the NYSE. The awards generally vest 25% on the first anniversary of the date of grant, and thereafter evenly on a monthly basis over the subsequent three years. The contractual term of each share option award granted is ten years. Under the grant, the options may be settled only in common shares of the Company. Therefore, the grants of share options under the Equity Incentive Plan 2019 have been accounted for as equity-settled under IFRS 2. As such, the Company records a charge for the vested portion of award grants and for partially earned but non-vested portions of award grants. This results in a front-loaded charge to the Company’s unaudited condensed consolidated interim statement of operations and a corresponding increase to Other Reserves within equity on the unaudited condensed consolidated interim balance sheet.

The expense recognized for services received during the three months ended March 31, 2023 and 2022 was KUSD 4,781 and KUSD 10,515, respectively.

The following table summarizes the share option awards outstanding as of March 31, 2023:

	Average strike price per share in USD	Number of awards	Weighted average remaining life in years
December 31, 2022	18.30	10,755,494	8.46
Granted	2.50	2,830,741	9.97
Forfeited	19.59	(467,579)	N/A
March 31, 2023	14.19	13,118,656	8.58

Awards outstanding as of March 31, 2023 and December 31, 2022, expire through 2033 and 2032, respectively. The options granted during 2023 include the Company’s annual equity award discussed above. The grant-date fair value of the options relating to the annual equity awards was USD 1.41 per share. As of March 31, 2023, 4,438,080 awards are vested and exercisable out of the total outstanding awards of 13,118,656 common shares. The weighted average strike price and weighted average remaining life for vested and exercisable awards is USD 24.74 and 7.25 years, respectively.

The fair values of the options granted were determined on the date of the grant using the Black-Scholes option-pricing model. The Company used an independent valuation firm to assist in calculating the fair value of the award grants per participant.

The fair values of the options granted during the three months ended March 31, 2023 and 2022 were determined on the date of the grant using the following assumptions:

	Three Months Ended	Three Months Ended
	March 31, 2023	March 31, 2022
Share price, in USD	1.99 - 5.45	14.00 - 19.69
Strike price, in USD	1.99 - 5.45	14.00 - 19.69
Expected volatility, in %	75% to 80%	70%
Award life, in years	6.08	6.08
Expected dividends	—	—
Risk-free interest rate, in %	3.39% - 4.13%	1.46% - 1.73%

The expected volatility was based on the Company’s historical volatility and selected volatility determined by median values observed among other comparable public companies.

The award life is based on the time interval between the date of grant and the date during the ten-year life after which, when making the grant, the Company expected on average that participants would exercise their options.

RSUs

Pursuant to the Equity Incentive Plan 2019, the Company may grant RSUs to its directors, certain employees and service providers working for the benefit of the Company at the time. The awards generally vest annually over a period of three years commencing on the first anniversary of the date of grant. The RSUs may be settled only in common shares of the Company. Therefore, the grants of RSUs under the Equity Incentive Plan 2019 have been accounted for as equity-settled under IFRS 2. As such, the Company records a charge for the vested portion of award grants and for partially earned but non-vested portions of award grants. This results in a front-loaded charge to the Company’s unaudited condensed consolidated interim statement of operations and a corresponding increase to Other Reserves within equity on the unaudited condensed consolidated interim balance sheet.

The expense recognized for services received during the three months ended March 31, 2023 and 2022 was KUSD 3,196 and KUSD 3,395, respectively.

	Number of awards	Weighted average grant date fair value
December 31, 2022	1,585,877	13.26
Granted	839,680	2.11
Vested	(254,891)	19.52
Forfeited	(60,444)	12.22
March 31, 2023	2,110,222	8.10

The RSUs granted during 2023 include the annual equity award discussed above which had a grant date fair value of USD 1.99.

Share-based Compensation Reserves

The movement in the Share-based Compensation Reserves (included in Other reserves within equity) is as follows:

	Three months ended
(in KUSD)	March 31, 2023	March 31, 2022
Equity Incentive Plan 2019 - Share Options	4,781	10,515
Equity Incentive Plan 2019 - RSUs	3,196	3,395
ESPP Expense	97	—
Tax and social charge deductions - Incentive Plan 2019	—	(512)
Total	8,074	13,398

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Related parties

3 Months Ended

Mar. 31, 2023

Related Party [Abstract]

Related parties

Related parties

Parties are considered to be related if one party has the ability, directly or indirectly, to control the other party or exercise significant influence over the other party in making financial and operating decisions. The Company has identified the following related parties and related transactions.

A.T. Holdings II Sàrl (“AT Holdings II”) is a shareholder in the Company. AT Holdings II is in turn ultimately wholly owned by Auven Therapeutics Holdings, L.P. (“ATH”), a limited partnership registered in the British Virgin Islands. ATH’s General Partner is Auven Therapeutics General L.P., which itself is a limited partnership whose General Partner is Auven Therapeutics GP Ltd. The manager of ATH is Auven Therapeutics Management L.L.L.P. (“ATM”). As a result, ATH is considered a related party.

Based on the Company’s contribution and equity interest in Overland ADCT BioPharma, certain of the Company’s employees serve on its board of directors. As a result, Overland ADCT BioPharma is considered a related party.

Services provided by the Company to related parties

The Company provides certain administrative services to three subsidiaries of ATH and provides Overland ADCT BioPharma clinical supply for use in trials and supply for early access programs, the amounts of which have been deemed immaterial.

As contemplated by the license agreement with Overland ADCT BioPharma, Overland ADCT BioPharma has elected to participate in certain of the Company’s global clinical trials, in exchange for which it reimburses the Company for a portion of the cost of those trials. Overland ADCT BioPharma also reimburses the Company for certain expenses in connection with technology transfer and assistance of clinical personnel. During the three months ended March 31, 2023, the Company incurred KUSD 1,066 of clinical trial and service costs to be reimbursed by Overland ADCT BioPharma, which is recorded as a reduction of R&D expenses in the Company’s unaudited condensed consolidated interim statement of operations (three months ended March 31, 2022: KUSD 320).

Related party balances

The Company had a related party receivable balance with Overland ADCT BioPharma of KUSD 1,066 and KUSD 805 as of March 31, 2023 and December 31, 2022, respectively. There was KUSD 20 in trade accounts payable with related parties as of December 31, 2022. There were no trade accounts payable with related parties as of March 31, 2023.

Key management compensation

The compensation of key management is shown below:

	Three months ended March 31,
(in KUSD)	2023	2022
Salaries and other short-term employee costs	3,631	2,144
Pension costs	195	133
Share-based compensation expense	3,644	5,574
Other compensation	38	10
Total	7,508	7,861

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Loss per share

3 Months Ended

Mar. 31, 2023

Earnings per share [abstract]

Loss per share

Loss per share

	Three Months Ended March 31,
(in KUSD, except per share amounts)	2023	2022
Loss attributable to owners	(59,426)	(16,661)
Weighted average number of shares outstanding	80,805,770	76,821,726
Basic and diluted loss per share	(0.74)	(0.22)

For the three months ended March 31, 2023 , basic and diluted loss per share are calculated on the weighted average number of shares issued and outstanding and exclude shares to be issued under the Equity Incentive Plan 2019, 2022 ESPP and the Company’s warrant agreements, as the effect of including those shares would be anti-dilutive. For the three months ended March 31, 2022, basic and diluted loss per share are calculated on the weighted average number of shares issued and outstanding and exclude shares to be issued under the 2019 Equity Incentive Plan and the conversion of the principal amount of the convertible loans into the Company’s common shares as the effect of including those shares would be anti-dilutive. See note 16, “Share-based compensation expense,” note 13, “Senior secured term loan facility and warrants,” note 15, “Deerfield warrants” and note 14, “Convertible loans” for further information.

Potentially dilutive securities that were not included in the diluted per share calculations because the effect of including them would be anti-dilutive were as follows:

	Three Months Ended March 31,
	2023	2022
Equity Incentive Plan 2019 - Share Options	13,118,656	7,179,859
Equity Incentive Plan 2019 - RSUs	2,110,222	793,791
Conversion of the principal amount of convertible loans into the Company’s common shares	—	4,412,840
Outstanding warrants	4,940,135	—
	20,169,013	12,386,490

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Events after the reporting date

3 Months Ended

Mar. 31, 2023

Events After Reporting Period [Abstract]

Events after the reporting date

Events after the reporting date

The Company has evaluated its subsequent events through May 9, 2023, the date the financial statements were available to be issued, and has concluded that there are no subsequent events requiring disclosure in the unaudited condensed consolidated interim financial statements, other than the item described below.

On March 6, 2023, the Company commenced a tender offer with employees to exchange some or all of their eligible stock options based on a pre-determined exchange ratio for new options as detailed in our Schedule TO filed March 6, 2023 with the Securities and Exchange Commission (the “Exchange Offer”), to, among other things, further align employee incentives with the current market conditions. The Exchange Offer expired on April 3, 2023 and new options were granted on April 4, 2023. Employees holding stock options to purchase 2.2 million common shares, with exercise prices ranging from USD 8.12 per share to USD 48.77 per share, participated in the Exchange Offer, and 0.9 million new options were granted based on the exchange ratios set forth in the Exchange Offer. The new options have an exercise price of USD 2.06 per share, which is equal to the closing price of the Company’s common shares as reported on the NYSE on April 4, 2023. The new options include additional vesting conditions.

Under IFRS 2, the incremental compensation expense of a modified award is measured as the excess of the fair value of each award of new options granted to participants in this Exchange Offer, measured as of the date the new options are granted, over the fair value of the eligible options replaced in exchange for the new options, measured immediately prior to the replacement. The Company utilized a binomial valuation model and determined there was no incremental share-based compensation expense associated with the new options granted under this Exchange Offer. The Company will continue to recognize share-based compensation expense equal to the grant date fair value of the exchanged options.

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Deferred royalty obligation

3 Months Ended

Mar. 31, 2023

Deferred Royalty Obligation [Abstract]

Deferred royalty obligation

Deferred royalty obligation

On August 25, 2021, the Company entered into a royalty purchase agreement with HCR for up to USD 325.0 million of which the Company received gross proceeds of USD 225.0 million during 2021 and is eligible to receive an additional USD 75.0 million upon the first commercial sale of ZYNLONTA in the United Kingdom or any European Union country.

The table below provides a rollforward of the Company’s debt obligation relating to the royalty purchase agreement.

(in KUSD)
January 1, 2022	225,477
Less: royalty payments	10,998
Plus: interest expense	23,200
Less: cumulative catch-up adjustment, Financial income	15,402
December 31, 2022	222,277
Less: royalty payments	4,885
Plus: interest expense	5,746
Less: cumulative catch-up adjustment, Financial income	129
March 31, 2023	223,009

The Company recorded a liability relating to the initial gross proceeds received less transaction costs. The Company will record additional liabilities upon the receipt of eligible amounts when such contingent events occur. To determine the accretion of the liability related to the deferred royalty obligation, the Company is required to estimate the total amount of future royalty payments and estimated timing of such payment to HCR based on the Company's revenue projections. Based on the Company's initial revenue projections, the Company used an independent valuation firm to assist in determining the total amount of future royalty payments and estimated timing of such payment to HCR using an option pricing Monte Carlo simulation model. The amount ultimately received by the Company will be accreted to the total amount of the royalty payments necessary to extinguish the Company’s obligation under the agreement, which will be recorded as interest expense over the life of the royalty purchase agreement. The estimate of this total interest expense resulted in an EIR of 10%. As royalty payments are made to HCR, the balance of the debt obligation will be effectively repaid over the life of the royalty purchase agreement.

Based on the Company's periodic review, the exact amount and timing of repayment is likely to be different each reporting period as compared to those estimated based on the Company's initial revenue projections. A significant increase or decrease in actual net sales of ZYNLONTA compared to the Company’s revenue projections, and regulatory approval and commercialization of Cami, as well as ZYNLONTA in other indications as well as licensing revenue could change the royalty rate and royalty cap due to HCR, which could materially impact the debt obligation as well as interest expense associated with the royalty purchase agreement. Also, the Company’s total obligation to HCR can vary depending on the achievement of the sales milestones as well as the timing of a change in control event. The Company will periodically assess the expected payments to HCR based on its underlying revenue projections and to the extent the amount or timing of such payments is materially different than its initial estimates it will record a cumulative catch-up adjustment.

Under the cumulative catch-up method, the EIR is not revised when actual or estimated net sales differ from those estimated as of the inception of the debt obligation. Instead, the carrying amount of the debt obligation is adjusted to an amount equal to the present value of the estimated remaining future payments, discounted by using the original EIR, 10%, as of the date on which the estimate changes.

Schedule of borrowings

The following table summarizes the interest expense recorded on the convertible loan for the three months ended March 31, 2022:

	Three months ended March 31,
(in KUSD)	2022
Deerfield First Tranche	2,219
Deerfield Second Tranche	803
Total	3,022

The table below provides a rollforward of the Company’s debt obligation relating to the royalty purchase agreement.

(in KUSD)
January 1, 2022	225,477
Less: royalty payments	10,998
Plus: interest expense	23,200
Less: cumulative catch-up adjustment, Financial income	15,402
December 31, 2022	222,277
Less: royalty payments	4,885
Plus: interest expense	5,746
Less: cumulative catch-up adjustment, Financial income	129
March 31, 2023	223,009

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Significant accounting policies (Policies)

3 Months Ended

Mar. 31, 2023

Accounting Policies, Changes in Accounting Estimates And Errors [Abstract]

Statement of Compliance

Statement of Compliance

These unaudited condensed consolidated interim financial statements as of and for the three months ended March 31, 2023 have been prepared in accordance with International Accounting Standard 34 Interim Financial Reporting (“IAS 34”) and should be read in conjunction with the audited consolidated financial statements as of and for the year ended December 31, 2022.

Functional and reporting currency

Functional and reporting currency

These unaudited condensed consolidated interim financial statements are presented in United States Dollars (“USD” or “$”), which is the Company’s functional currency and the Group’s reporting currency.

Use of estimates and judgements

Use of estimates and judgements

The preparation of the unaudited condensed consolidated interim financial statements in conformity with IAS 34 requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets and liabilities, income and expense. Actual results may differ from these estimates.

Estimates are based on management’s knowledge of current events and actions that the Company may undertake in the future. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

In preparing these unaudited condensed consolidated interim financial statements, the significant judgements made by management in applying the Group’s accounting policies and the key sources of estimation uncertainty included those that applied to the consolidated financial statements for the year ended December 31, 2022. There have been no material changes to the use of estimates and judgements other than those described in note 3, "Significant accounting policies."

Revenue Recognition

Revenue Recognition

Product Revenue

The Company generates revenue from sales of ZYNLONTA in the U.S. for the treatment of relapsed or refractory DLBCL, which was approved by the FDA on April 23, 2021 and launched shortly thereafter. Revenue is recognized when control is transferred to the customer at the net selling price, which includes reductions for gross-to-net (“GTN”) sales adjustments such as government rebates, chargebacks, distributor service fees, other rebates and administrative fees, sales returns and allowances and sales discounts.

On November 15, 2021, the Infrastructure Investment and Jobs Act was enacted, which added a requirement for manufacturers of certain single-source drugs (including biologics and biosimilars) separately paid for under Medicare Part B for at least 18 months and marketed in single-dose containers or packages (known as refundable single-dose container or single-use package drugs) to provide annual refunds if those portions of the dispensed drug that are unused and discarded exceed an applicable percentage defined by statute or regulation. The Centers for Medicare & Medicaid Services (the “CMS”) finalized regulations to implement this section on November 18, 2022, and the provision went into effect on January 1, 2023.

The Company has accounted for this annual refund (“discarded drug rebate”) as a GTN sales adjustment beginning in the first quarter of 2023. The discarded drug rebate will involve significant estimates and judgment after considering factors including legal interpretations of applicable laws and regulations, historical experience with discarded volumes and processing time lags.

The Company will use information from external sources to identify the Company’s discarded volumes and estimate the discarded drug rebate. The Company’s estimates are subject to inherent limitations of estimates that rely on third-party information and reflect other limitations including lags between the date as of which third-party information is generated and the date on which the Company receives third-party information. Estimates for the discarded drug rebate will be assessed each period and adjusted as required to revise information or actual experience.

New and amended IFRS standards

New and amended IFRS standards

There are no new IFRS standards, amendments to standards or interpretations that are mandatory for the financial year beginning on January 1, 2023, that are relevant to the Group. New standards, amendments to standards and interpretations that are not yet effective, which have been deemed by the Group as currently not relevant, are not listed here.

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Basis of preparation (Tables)

3 Months Ended

Mar. 31, 2023

Corporate Information And Statement Of IFRS Compliance [Abstract]

Schedule of Foreign currency exchange rate

A subsidiary of the Company, ADCT UK, has a functional currency of the British Pound (“GBP”). The following exchange rates have been used for the translation of the financial statements of ADCT UK:

	Three Months Ended March 31,
	2023	2022
USD / GBP
Closing rate, GBP 1	1.23681	1.31336
Weighted average exchange rate, GBP 1	1.23708	1.34361

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Product revenues, net (Tables)

3 Months Ended

Mar. 31, 2023

Revenue From Contracts With Customers [Abstract]

Disclosure Of Detailed Information About Sales Adjustments Explanatory

The table below provides a disaggregation of revenues by type of service and customer location for the three months ended March 31, 2023 and March 31, 2022.

	Three months ended March 31,
(in KUSD)	2023	2022
Types of goods and services
Product revenue, net	18,953	16,498
License revenues	—	30,000
Royalties	39	—
Total revenue	18,992	46,498
Customer Location
U.S.	18,953	16,498
EMEA(1)	39	—
Japan	—	30,000
Total revenue	18,992	46,498

(1) Europe, the Middle East and Africa

The table below provides a rollforward of the Company’s accruals related to the GTN sales adjustments for the three months ended March 31, 2023 and March 31, 2022.

	Three months ended March 31,
(in KUSD)	2023	2022
Beginning balance	3,746	2,590
GTN sales adjustments for current period sales	5,616	3,491
GTN sales adjustments for prior period sales	(648)	(192)
Credits, payments and reclassifications to Accounts payable	(4,352)	(1,763)
Ending balance as of March 31,	4,362	4,126

Disclosure Of Detailed Information About Sales Adjustment Included In the Balance Sheets

The table below provides the classification of the accruals related to the GTN sales adjustment included in the Company’s unaudited condensed consolidated interim balance sheet as of March 31, 2023 and December 31, 2022.

(in KUSD)	As of March 31, 2023	As of December 31, 2022
Accounts receivable, net	1,688	2,151
Other current liabilities	2,674	1,595
	4,362	3,746

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Operating expense (Tables)

3 Months Ended

Mar. 31, 2023

Analysis of income and expense [abstract]

Disclosure Of Detailed Information About Expenses By Nature Explanatory

The following table provides the unaudited condensed consolidated interim statement of operations classification of the Company's total operating expense:

(in KUSD)	Three months ended March 31,
	2023	2022
Cost of product sales	590	529
R&D
External costs (1)	21,654	29,168
Employee expenses (2)	17,826	19,784
R&D expense	39,480	48,952
S&M
External costs (3)	7,360	8,911
Employee expenses (2)	7,991	9,459
S&M expense	15,351	18,370
G&A
External costs (1)	4,538	7,639
Employee expenses (2)	10,605	11,372
G&A expense	15,143	19,011
Total operating expense	70,564	86,862

(1) Includes depreciation expense

(2) Includes share-based compensation expense

(3) Includes depreciation expense for Property, plant and equipment for the three months ended March 31, 2023 and 2022.

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Inventories (Tables)

3 Months Ended

Mar. 31, 2023

Inventory [Abstract]

Disclosure Of Inventory Information Explanatory

Inventory as of March 31, 2023 and December 31, 2022 consisted of the following:

(in KUSD)	As of March 31, 2023	As of December 31, 2022
Work in process	17,961	18,165
Finished goods	289	399
Total inventory	18,250	18,564

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Intangible assets (Tables)

3 Months Ended

Mar. 31, 2023

Intangible Assets [Abstract]

Disclosure of reconciliation of changes in intangible assets and goodwill [text block]

below provides a rollforward of the Company’s intangible assets as of March 31, 2023 and 2022.

(in KUSD)	Indefinite lived		Definite lived
Cost	Licenses	Internal development costs	Internal development costs	Licenses	Software	Total
January 1, 2023	13,680	—	954	1,052	278	15,964
Additions	—	—	—	—	20	20
Exchange differences	—	—	—	—	3	3
March 31, 2023	13,680	—	954	1,052	301	15,987
Accumulated Amortization
January 1, 2023	(1,295)	—	—	(125)	(184)	(1,604)
Amortization charge	—	—	(19)	(19)	(14)	(52)
Impairment charge	(743)	—	—	—	—	(743)
Exchange differences	—	—		—	(2)	(2)
March 31, 2023	(2,038)	—	(19)	(144)	(200)	(2,401)
Net book amount as of March 31, 2023	11,642	—	935	908	101	13,586
Cost
January 1, 2022	12,985	631	—	1,052	176	14,844
Additions	195	82	—	—	19	296
Exchange differences	—	—	—	—	(1)	(1)
March 31, 2022	13,180	713	—	1,052	194	15,139
Accumulated Amortization
January 1, 2022	(1,069)	—	—	(50)	(143)	(1,262)
Amortization charge	—	—	—	(19)	(7)	(26)
March 31, 2022	(1,069)	—	—	(69)	(150)	(1,288)
Net book amount as of March 31, 2022	12,111	713	—	983	44	13,851

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Non-operating income (Tables)

3 Months Ended

Mar. 31, 2023

Analysis of income and expense [abstract]

Schedule of Other income (expense)

		Three months ended March 31,
(in KUSD)	Note	2023	2022
Convertible loans, derivatives, change in fair value income	14	—	15,855
Deerfield warrant obligation, change in fair value income	15	616	—
Senior secured term loan facility, warrants, change in fair value income	13	656	—
Share of results with joint venture	11	(1,363)	(2,502)
Exchange differences (loss) gain		(52)	81
R&D tax credit		140	8
Non-operating (expense) income		(3)	13,442

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Interest in joint venture (Tables)

3 Months Ended

Mar. 31, 2023

Interests In Other Entities [Abstract]

Schedule of movement in interest in joint venture

The table below provides a rollforward of the Company’s interest in Overland ADCT BioPharma as of March 31, 2023 and 2022, respectively.

(in KUSD)
Interest in joint venture
January 1, 2023	31,152
Share of comprehensive loss in joint venture	(1,619)
March 31, 2023	29,533
January 1, 2022	41,236
Share of comprehensive loss in joint venture	(2,502)
March 31, 2022	38,734

Summary of financial information in join venture

The tables below provide summarized financial information for Overland ADCT BioPharma that is material to the Company. The following information reflects the amounts presented in the financial statements of Overland ADCT BioPharma and not the Company’s share of those amounts.

(in KUSD)	As of
Summarized Balance Sheet	March 31, 2023	December 31, 2022
Cash and cash equivalents	14,977	19,261
Prepaid and other current assets	79	2
Intangible assets	48,039	49,249
Total liabilities	(2,408)	(3,062)
Net assets	60,687	65,450
Summarized Statement of Comprehensive Loss	Three months ended March 31,
	2023	2022
Operating expenses	3,653	4,791
Other expense (income)	274	(42)
Net loss	3,927	4,749

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Leases (Tables)

3 Months Ended

Mar. 31, 2023

Leases [Abstract]

Schedule of quantitative information about right-of-use assets

(in KUSD)
Right-of-Use Assets	Properties (Offices)	Vehicles	Total
Cost
January 1, 2023	9,311	134	9,445
Additions	4,818	—	4,818
Exchange difference	104	—	104
March 31, 2023	14,233	134	14,367
Accumulated depreciation
January 1, 2023	(2,642)	(83)	(2,725)
Depreciation charge	(385)	(8)	(393)
Exchange difference	(25)	—	(25)
March 31, 2023	(3,052)	(91)	(3,143)
Net book amount as of March 31, 2023	11,181	43	11,224
Cost
January 1, 2022	9,005	134	9,139
Exchange difference	(145)	—	(145)
March 31, 2022	8,860	134	8,994
Accumulated depreciation
January 1, 2022	(1,925)	(50)	(1,975)
Depreciation charge	(299)	(8)	(307)
Exchange difference	14	—	14
March 31, 2022	(2,210)	(58)	(2,268)
Net book amount as of March 31, 2022	6,650	76	6,726

On January 30, 2023, the Company expanded the square footage of its existing lease related to its U.K. office. The lease commenced on January 30, 2023 and expires on January 27, 2031, and includes an option to terminate early on January 26, 2026. The Company is reasonably certain it will not terminate the lease early and therefore will account for the lease using an eight-year lease term. Total rent payments including service charges through January 27, 2031 are USD 7.6 million.

Schedule of quantitative information about lease liabilities

(in KUSD)
Lease liabilities	Properties (Offices)	Vehicles	Total
January 1, 2023	7,607	54	7,661
Additions	4,818	—	4,818
Cash outflow (including interest)	(313)	(9)	(322)
Interest	126	—	126
Exchange difference	109	10	119
March 31, 2023	12,347	55	12,402
January 1, 2022	7,898	125	8,023
Cash outflow (including interest)	(301)	(9)	(310)
Interest	51	1	52
Exchange difference	(134)	(36)	(170)
March 31, 2022	7,514	81	7,595
March 31, 2023
Lease liabilities (short-term)	1,411	36	1,447
Lease liabilities (long-term)	10,936	19	10,955
Total lease liabilities	12,347	55	12,402
March 31, 2022
Lease liabilities (short-term)	946	35	981
Lease liabilities (long-term)	6,568	46	6,614
Total lease liabilities	7,514	81	7,595

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Senior secured term loan facility and warrants (Tables)

3 Months Ended

Mar. 31, 2023

Financial Instruments [Abstract]

Schedule of key inputs used for valuation

The Company used an independent valuation firm to assist in calculating the fair value of the warrant obligations, using the Black-Scholes option-pricing model. Key inputs for the valuation of the warrant obligations as of March 31, 2023 were as follows:

	As of		As of
	March 31, 2023		December 31, 2022
Exercise price in USD	8.30		8.30
Share price in USD	1.95		3.84
Risk-free interest rate	3.7	%	4.0	%
Expected volatility	80	%	80	%
Expected term (months)	52.5 months		55.5 months
Dividend yield	—		—
Black-Scholes value in USD	0.64		1.89

Key inputs for the valuations as of March 31, 2022 was as follows:

Deerfield First Tranche

	As of
	March 31, 2022
Exercise price at 130% of the IPO price of 19.00, in USD	24.70
Forced conversion price, in USD	67.93
Share price in USD	14.69
Risk-free interest rate	2.4	%
Expected volatility	76	%
Expected term (months)	37.0 months
Dividend yield	—
Recovery rate	5	%
Implied bond yield	10.3	%

Deerfield Second Tranche

	As of
	March 31, 2022
Exercise price in USD	28.07
Forced conversion price, in USD	77.19
Share price in USD	14.69
Risk-free interest rate	2.4	%
Expected volatility	76	%
Expected term (months)	37.0 months
Dividend yield	—
Recovery rate	5	%
Implied bond yield	10.3	%

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Convertible loans (Tables)

3 Months Ended

Mar. 31, 2023

Financial Instruments [Abstract]

Schedule of Derivative Option and Convertible Loan

The following table summarizes the changes in fair value income of the embedded conversion option derivatives during the three months ended March 31, 2022:

	Three months ended March 31,
(in KUSD)	2022
Deerfield First Tranche	9,518
Deerfield Second Tranche - after FDA approval	6,337
Total	15,855

Schedule of key inputs used for valuation

The Company used an independent valuation firm to assist in calculating the fair value of the warrant obligations, using the Black-Scholes option-pricing model. Key inputs for the valuation of the warrant obligations as of March 31, 2023 were as follows:

	As of		As of
	March 31, 2023		December 31, 2022
Exercise price in USD	8.30		8.30
Share price in USD	1.95		3.84
Risk-free interest rate	3.7	%	4.0	%
Expected volatility	80	%	80	%
Expected term (months)	52.5 months		55.5 months
Dividend yield	—		—
Black-Scholes value in USD	0.64		1.89

Key inputs for the valuations as of March 31, 2022 was as follows:

Deerfield First Tranche

	As of
	March 31, 2022
Exercise price at 130% of the IPO price of 19.00, in USD	24.70
Forced conversion price, in USD	67.93
Share price in USD	14.69
Risk-free interest rate	2.4	%
Expected volatility	76	%
Expected term (months)	37.0 months
Dividend yield	—
Recovery rate	5	%
Implied bond yield	10.3	%

Deerfield Second Tranche

	As of
	March 31, 2022
Exercise price in USD	28.07
Forced conversion price, in USD	77.19
Share price in USD	14.69
Risk-free interest rate	2.4	%
Expected volatility	76	%
Expected term (months)	37.0 months
Dividend yield	—
Recovery rate	5	%
Implied bond yield	10.3	%

Schedule of borrowings

The following table summarizes the interest expense recorded on the convertible loan for the three months ended March 31, 2022:

	Three months ended March 31,
(in KUSD)	2022
Deerfield First Tranche	2,219
Deerfield Second Tranche	803
Total	3,022

The table below provides a rollforward of the Company’s debt obligation relating to the royalty purchase agreement.

(in KUSD)
January 1, 2022	225,477
Less: royalty payments	10,998
Plus: interest expense	23,200
Less: cumulative catch-up adjustment, Financial income	15,402
December 31, 2022	222,277
Less: royalty payments	4,885
Plus: interest expense	5,746
Less: cumulative catch-up adjustment, Financial income	129
March 31, 2023	223,009

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Deerfield Warrants (Tables)

3 Months Ended

Mar. 31, 2023

Subclassifications of assets, liabilities and equities [abstract]

Schedule of valuation inputs

Key inputs for the valuation of the warrant obligation as of March 31, 2023 were as follows:

	As of		As of
	March 31, 2023		December 31, 2022
Exercise price in USD	24.70 and 28.07		24.70 and 28.07
Share price in USD	1.95		3.84
Risk-free interest rate	4.0	%	4.3	%
Expected volatility	80	%	70	%
Expected term (months)	25.7 months		28.7 months
Dividend yield	—		—
Black-Scholes value in USD	0.04 and 0.03		0.20 and 0.16

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Share-based compensation (Tables)

3 Months Ended

Mar. 31, 2023

Share-based Payment Arrangements [Abstract]

Schedule of Shares Outstanding

The following table summarizes the share option awards outstanding as of March 31, 2023:

	Average strike price per share in USD	Number of awards	Weighted average remaining life in years
December 31, 2022	18.30	10,755,494	8.46
Granted	2.50	2,830,741	9.97
Forfeited	19.59	(467,579)	N/A
March 31, 2023	14.19	13,118,656	8.58

Schedule of Fair Value Assumption For Options Granted

The fair values of the options granted during the three months ended March 31, 2023 and 2022 were determined on the date of the grant using the following assumptions:

	Three Months Ended	Three Months Ended
	March 31, 2023	March 31, 2022
Share price, in USD	1.99 - 5.45	14.00 - 19.69
Strike price, in USD	1.99 - 5.45	14.00 - 19.69
Expected volatility, in %	75% to 80%	70%
Award life, in years	6.08	6.08
Expected dividends	—	—
Risk-free interest rate, in %	3.39% - 4.13%	1.46% - 1.73%

Schedule of Other Equity Instruments Outstanding

	Number of awards	Weighted average grant date fair value
December 31, 2022	1,585,877	13.26
Granted	839,680	2.11
Vested	(254,891)	19.52
Forfeited	(60,444)	12.22
March 31, 2023	2,110,222	8.10

Schedule of Share-based Compensation Reserve

The movement in the Share-based Compensation Reserves (included in Other reserves within equity) is as follows:

	Three months ended
(in KUSD)	March 31, 2023	March 31, 2022
Equity Incentive Plan 2019 - Share Options	4,781	10,515
Equity Incentive Plan 2019 - RSUs	3,196	3,395
ESPP Expense	97	—
Tax and social charge deductions - Incentive Plan 2019	—	(512)
Total	8,074	13,398

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Related parties (Tables)

3 Months Ended

Mar. 31, 2023

Related Party [Abstract]

Key Management Compensation

The compensation of key management is shown below:

	Three months ended March 31,
(in KUSD)	2023	2022
Salaries and other short-term employee costs	3,631	2,144
Pension costs	195	133
Share-based compensation expense	3,644	5,574
Other compensation	38	10
Total	7,508	7,861

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Loss per share (Tables)

3 Months Ended

Mar. 31, 2023

Earnings per share [abstract]

Schedule of loss per share and potentially dilutive securities

	Three Months Ended March 31,
(in KUSD, except per share amounts)	2023	2022
Loss attributable to owners	(59,426)	(16,661)
Weighted average number of shares outstanding	80,805,770	76,821,726
Basic and diluted loss per share	(0.74)	(0.22)

For the three months ended March 31, 2023 , basic and diluted loss per share are calculated on the weighted average number of shares issued and outstanding and exclude shares to be issued under the Equity Incentive Plan 2019, 2022 ESPP and the Company’s warrant agreements, as the effect of including those shares would be anti-dilutive. For the three months ended March 31, 2022, basic and diluted loss per share are calculated on the weighted average number of shares issued and outstanding and exclude shares to be issued under the 2019 Equity Incentive Plan and the conversion of the principal amount of the convertible loans into the Company’s common shares as the effect of including those shares would be anti-dilutive. See note 16, “Share-based compensation expense,” note 13, “Senior secured term loan facility and warrants,” note 15, “Deerfield warrants” and note 14, “Convertible loans” for further information.

Potentially dilutive securities that were not included in the diluted per share calculations because the effect of including them would be anti-dilutive were as follows:

	Three Months Ended March 31,
	2023	2022
Equity Incentive Plan 2019 - Share Options	13,118,656	7,179,859
Equity Incentive Plan 2019 - RSUs	2,110,222	793,791
Conversion of the principal amount of convertible loans into the Company’s common shares	—	4,412,840
Outstanding warrants	4,940,135	—
	20,169,013	12,386,490

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Corporate information (Details) $ / shares in Units, $ in Thousands		3 Months Ended
	Aug. 15, 2022 USD ($) $ / shares shares	Mar. 31, 2023 USD ($) subsidiary	Dec. 31, 2022 USD ($)	Mar. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Apr. 24, 2020 USD ($)
Disclosure of detailed information about borrowings [line items]
Number of subsidiaries | subsidiary		3
Cash and cash equivalents, minimum quarterly balance		$ 60,000
Cash and cash equivalents		310,547	$ 326,441	$ 430,874	$ 466,544
Exchange Of Convertible Notes For Warrants	$ 115,000
Convertible Notes, Value Converted	$ 117,300
Purchasers
Disclosure of detailed information about borrowings [line items]
Number of shares issued | shares	733,568
Sale Of Stock, Price Per Share | $ / shares	$ 8.52
Proceeds from equity issuance, net of transaction costs	$ 6,100
Warrants, Tranche One
Disclosure of detailed information about borrowings [line items]
Convertible Notes, Shares Converted | shares	4,412,840
Warrants, Tranche Two
Disclosure of detailed information about borrowings [line items]
Convertible Notes, Shares Converted | shares	2,390,297
Warrants, Tranche One, Price One
Disclosure of detailed information about borrowings [line items]
Convertible Notes, Shares Converted | shares	2,631,578
Warrants, Shares Converted, Exercise Price | $ / shares	$ 24.70
Warrants, Tranche One, Price Two
Disclosure of detailed information about borrowings [line items]
Convertible Notes, Shares Converted | shares	1,781,262
Warrants, Shares Converted, Exercise Price | $ / shares	$ 28.07
Facility Agreement with Deerfield Partners, L.P.
Disclosure of detailed information about borrowings [line items]
Borrowings, maximum borrowing capacity						$ 115,000
Borrowings		$ 120,000

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Basis of preparation - Schedule of Foreign currency exchange rate (Details) - $ / £	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Corporate Information And Statement Of IFRS Compliance [Abstract]
Closing foreign exchange rate	1.23681	1.31336
Average foreign exchange rate	1.23708	1.34361

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Significant accounting policies (Details)	Aug. 15, 2022 shares
Warrants, Tranche One
Disclosure of classes of share capital [line items]
Convertible Notes, Shares Converted	4,412,840
Warrants, Tranche One, Price One
Disclosure of classes of share capital [line items]
Convertible Notes, Shares Converted	2,631,578
Warrants, Tranche One, Price Two
Disclosure of classes of share capital [line items]
Convertible Notes, Shares Converted	1,781,262

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Financial risk management (Details) - Interest rate risk - Senior Secured Term Loan Facility $ in Thousands	Mar. 31, 2023 USD ($)
Disclosure of detailed information about financial instruments [line items]
Sensitivity analysis for types of interest rate risk, reasonably possible change in risk variable, increase on derivative values	$ 676
Sensitivity analysis for types of interest rate risk, reasonably possible change in risk variable, decrease on derivative values	$ 676

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Product revenues, net - Schedule Of Revenue (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Disclosure of disaggregation of revenue from contracts with customers [line items]
Total revenue	$ 18,992	$ 46,498
UNITED STATES
Disclosure of disaggregation of revenue from contracts with customers [line items]
Total revenue	18,953	16,498
EMEA
Disclosure of disaggregation of revenue from contracts with customers [line items]
Total revenue	39	0
JAPAN
Disclosure of disaggregation of revenue from contracts with customers [line items]
Total revenue	0	30,000
Product revenues, net
Disclosure of disaggregation of revenue from contracts with customers [line items]
Total revenue	18,953	16,498
License revenues and royalties
Disclosure of disaggregation of revenue from contracts with customers [line items]
Total revenue	0	30,000
Royalty Revenue
Disclosure of disaggregation of revenue from contracts with customers [line items]
Total revenue	$ 39	$ 0

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Product revenues, net (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022	Dec. 31, 2021
Revenue From Contracts With Customers [Abstract]
Sales adjustment, beginning balance	$ 4,362	$ 4,126	$ 3,746	$ 2,590
GTN Sales Adjustment, Provision	5,616	3,491
GTN Sales Adjustment, Provision, Prior Period Sales	(648)	(192)
GTN Sales Adjustment, Credits And Payments	(4,352)	(1,763)
Sales adjustment, ending balance	4,362	$ 4,126
Accounts receivable, net	1,688		2,151
Other current liabilities	$ 2,674		$ 1,595

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Product revenues, net - Narrative (Details) - USD ($) $ in Millions		1 Months Ended
	Jan. 18, 2022	Jul. 31, 2022	Jan. 31, 2022
Disclosure of disaggregation of revenue from contracts with customers [line items]
License Agreement, Milestone Payments	$ 205.0
Proceeds From License Agreement	$ 30.0
License Agreement
Disclosure of disaggregation of revenue from contracts with customers [line items]
License Agreement, Milestone Payments		$ 382.5
Proceeds From License Agreement		$ 55.0
Application Approval
Disclosure of disaggregation of revenue from contracts with customers [line items]
License Agreement, Milestone Payments			$ 50.0

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Segment information (Details)	3 Months Ended
	Mar. 31, 2023 segment
Operating Segments [Abstract]
Number of business segments	1

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Operating expense - Schedule of Expenses by Nature (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Disclosure Of Detailed Information About Expenses By Nature [Line Items]
Cost of product sales	$ 590	$ 529
Research and development expense	39,480	48,952
Sales and marketing expense	15,351	18,370
General and administrative expense	15,143	19,011
Operating expense	70,564	86,862
External costs
Disclosure Of Detailed Information About Expenses By Nature [Line Items]
Research and development expense	21,654	29,168
Sales and marketing expense	7,360	8,911
General and administrative expense	4,538	7,639
Employee expense
Disclosure Of Detailed Information About Expenses By Nature [Line Items]
Research and development expense	17,826	19,784
Sales and marketing expense	7,991	9,459
General and administrative expense	$ 10,605	$ 11,372

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Operating expense - Narrative (Details) $ in Millions	3 Months Ended
	Mar. 31, 2023 USD ($)
Disclosure Of Detailed Information About Expenses By Nature [Line Items]
Increase (Decrease) In Sales and Marketing Expense	$ 1.7
Increase (Decrease) In Share-Based Compensation	$ 1.3

XML

Cash and cash equivalents (Details) $ in Millions	Mar. 31, 2023 USD ($)
Cash and cash equivalents [abstract]
Cash and cash equivalents, minimum quarterly balance	$ 60.0

XML

Inventories (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Inventory [Abstract]
Current work in progress	$ 17,961	$ 18,165
Current finished goods	289	399
Inventories	$ 18,250	$ 18,564

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Inventories - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Disclosure Of Detailed Information About Expenses By Nature [Line Items]
Gain from reversal of inventory impairment charges	$ 0	$ (361)

XML

Intangible assets - Rollforward of Intangible Assets (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Disclosure of detailed information about intangible assets [line items]
Beginning balance	$ 14,360
Ending balance	13,586	$ 13,851
Impairment of intangible assets	743	0
Cost
Disclosure of detailed information about intangible assets [line items]
Beginning balance	15,964	14,844
Additions	20	296
Exchange differences	3	(1)
Ending balance	15,987	15,139
Accumulated amortization
Disclosure of detailed information about intangible assets [line items]
Beginning balance	(1,604)	(1,262)
Exchange differences	2
Amortisation, intangible assets other than goodwill	(52)	(26)
Ending balance	(2,401)	(1,288)
Impairment of intangible assets	(743)
Licenses
Disclosure of detailed information about intangible assets [line items]
Ending balance	11,642	12,111
Licenses | Cost
Disclosure of detailed information about intangible assets [line items]
Beginning balance	13,680	12,985
Additions	0	195
Exchange differences	0	0
Ending balance	13,680	13,180
Licenses | Accumulated amortization
Disclosure of detailed information about intangible assets [line items]
Beginning balance	(1,295)	(1,069)
Exchange differences	0
Amortisation, intangible assets other than goodwill	0	0
Ending balance	(2,038)	(1,069)
Impairment of intangible assets	(743)
Internal development costs
Disclosure of detailed information about intangible assets [line items]
Ending balance	0	713
Internal development costs | Cost
Disclosure of detailed information about intangible assets [line items]
Beginning balance	0	631
Additions	0	82
Exchange differences	0	0
Ending balance	0	713
Internal development costs | Accumulated amortization
Disclosure of detailed information about intangible assets [line items]
Beginning balance	0	0
Exchange differences	0
Amortisation, intangible assets other than goodwill	0	0
Ending balance	0	0
Impairment of intangible assets	0
Licenses
Disclosure of detailed information about intangible assets [line items]
Ending balance	908	983
Licenses | Cost
Disclosure of detailed information about intangible assets [line items]
Beginning balance	1,052	1,052
Additions	0	0
Exchange differences	0	0
Ending balance	1,052	1,052
Licenses | Accumulated amortization
Disclosure of detailed information about intangible assets [line items]
Beginning balance	(125)	(50)
Exchange differences	0
Amortisation, intangible assets other than goodwill	(19)	(19)
Ending balance	(144)	(69)
Impairment of intangible assets	0
Software
Disclosure of detailed information about intangible assets [line items]
Ending balance	101	44
Software | Cost
Disclosure of detailed information about intangible assets [line items]
Beginning balance	278	176
Additions	20	19
Exchange differences	3	(1)
Ending balance	301	194
Software | Accumulated amortization
Disclosure of detailed information about intangible assets [line items]
Beginning balance	(184)	(143)
Exchange differences	2
Amortisation, intangible assets other than goodwill	(14)	(7)
Ending balance	(200)	(150)
Impairment of intangible assets	0
Internal development costs
Disclosure of detailed information about intangible assets [line items]
Ending balance	935	0
Internal development costs | Cost
Disclosure of detailed information about intangible assets [line items]
Beginning balance	954	0
Additions	0	0
Exchange differences	0	0
Ending balance	954	0
Internal development costs | Accumulated amortization
Disclosure of detailed information about intangible assets [line items]
Beginning balance	0	0
Amortisation, intangible assets other than goodwill	(19)	0
Ending balance	(19)	$ 0
Impairment of intangible assets	$ 0

XML

Intangible assets - Narrative (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2022 USD ($)
License To Acquire An Antibody, ZYNLONTA | Milestone Payment
Disclosure of detailed information about intangible assets [line items]
Additions	$ 195

XML

Non-operating income - Schedule of Other Income (Expense) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Disclosure of attribution of expenses by nature to their function [line items]
Convertible loans, derivatives, change in fair value income	$ 0	$ 15,855
Share of results with joint venture	(1,363)	(2,502)
Exchange differences (loss) gain	(52)	81
R&D tax credit	140	8
Non-operating (expense) income	(3)	13,442
Facility Agreement with Deerfield Partners, L.P.
Disclosure of attribution of expenses by nature to their function [line items]
Deerfield warrant obligation, change in fair value income	616	0
Senior Secured Term Loan Facility
Disclosure of attribution of expenses by nature to their function [line items]
Deerfield warrant obligation, change in fair value income	$ 656	$ 0

XML

Non-operating income - Narrative (Details) - USD ($) $ in Millions	Aug. 15, 2022	Mar. 31, 2023	May 19, 2020	Apr. 24, 2020
Warrants, Tranche One
Disclosure of detailed information about borrowings [line items]
Convertible Notes, Shares Converted	4,412,840
Facility Agreement With Deerfield Partners, L.P., Tranche One
Disclosure of detailed information about borrowings [line items]
Borrowings			$ 65.0	$ 65.0
Facility Agreement With Deerfield Partners, L.P., Tranche Two
Disclosure of detailed information about borrowings [line items]
Borrowings				50.0
Borrowings, maximum borrowing capacity				50.0
Facility Agreement with Deerfield Partners, L.P.
Disclosure of detailed information about borrowings [line items]
Borrowings		$ 120.0
Borrowings, maximum borrowing capacity				$ 115.0

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Interest in joint venture - Narrative (Details) $ in Millions		3 Months Ended
	Dec. 14, 2020 product	Mar. 31, 2023 USD ($)
Disclosure of joint ventures [line items]
Deferred Gain On Investment In Joint Venture | $		$ 23.5
Overland ADCT BioPharma
Disclosure of joint ventures [line items]
Number of product candidates developed and commercialized in joint venture	3
Number of products developed and commercialized in joint venture	1

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Interest in joint venture - Schedule of movement in interest in joint venture (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Disclosure of joint ventures [line items]
Beginning balance	$ 31,152
Ending balance	29,533
Overland ADCT BioPharma
Disclosure of joint ventures [line items]
Beginning balance	31,152	$ 41,236
Share of comprehensive loss in joint venture	(1,619)	(2,502)
Ending balance	$ 29,533	$ 38,734

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Interest in joint venture - Summary of financial information in joint venture (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022	Dec. 31, 2021
Disclosure of joint ventures [line items]
Cash and cash equivalents	$ 310,547	$ 430,874	$ 326,441	$ 466,544
Intangible assets	13,586	13,851	14,360
Total liabilities	(429,987)		(440,441)
Operating expense	70,564	86,862
Net loss	(59,426)	(16,661)
Overland ADCT BioPharma
Disclosure of joint ventures [line items]
Cash and cash equivalents	14,977		19,261
Prepaid and other current assets	79		2
Intangible assets	48,039		49,249
Total liabilities	(2,408)		(3,062)
Net assets	60,687		$ 65,450
Operating expense	3,653	4,791
Other expense (income)	274	(42)
Net loss	$ 3,927	$ 4,749

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Leases - Narrative (Details) - USD ($) $ in Thousands	Dec. 31, 2023	Mar. 31, 2023	Dec. 31, 2022	Mar. 31, 2022	Dec. 31, 2021
Leases [Abstract]
Lease liabilities	$ 7,600	$ 12,402	$ 7,661	$ 7,595	$ 8,023

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Leases - Right-of-Use Assets and Accumulated Depreciation (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Disclosure of quantitative information about right-of-use assets [line items]
Right-of-use asset, beginning balance	$ 6,720
Depreciation charge	(393)	$ (307)
Right-of-use asset, ending balance	11,224	6,726
Cost
Disclosure of quantitative information about right-of-use assets [line items]
Right-of-use asset, beginning balance	9,445	9,139
Additions	4,818
Exchange difference	104	(145)
Right-of-use asset, ending balance	14,367	8,994
Accumulated amortization
Disclosure of quantitative information about right-of-use assets [line items]
Right-of-use asset, beginning balance	(2,725)	(1,975)
Exchange difference	(25)	14
Depreciation charge	(393)	(307)
Right-of-use asset, ending balance	(3,143)	(2,268)
Properties (Offices)
Disclosure of quantitative information about right-of-use assets [line items]
Right-of-use asset, ending balance	11,181	6,650
Properties (Offices) | Cost
Disclosure of quantitative information about right-of-use assets [line items]
Right-of-use asset, beginning balance	9,311	9,005
Additions	4,818
Exchange difference	104	(145)
Right-of-use asset, ending balance	14,233	8,860
Properties (Offices) | Accumulated amortization
Disclosure of quantitative information about right-of-use assets [line items]
Right-of-use asset, beginning balance	(2,642)	(1,925)
Exchange difference	(25)	14
Depreciation charge	(385)	(299)
Right-of-use asset, ending balance	(3,052)	(2,210)
Vehicles
Disclosure of quantitative information about right-of-use assets [line items]
Right-of-use asset, ending balance	43	76
Vehicles | Cost
Disclosure of quantitative information about right-of-use assets [line items]
Right-of-use asset, beginning balance	134	134
Additions	0
Exchange difference	0	0
Right-of-use asset, ending balance	134	134
Vehicles | Accumulated amortization
Disclosure of quantitative information about right-of-use assets [line items]
Right-of-use asset, beginning balance	(83)	(50)
Exchange difference	0	0
Depreciation charge	(8)	(8)
Right-of-use asset, ending balance	$ (91)	$ (58)

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Leases - Right-of-Use Asset Depreciation (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Disclosure of quantitative information about right-of-use assets [line items]
Depreciation, right-of-use assets	$ 393	$ 307
R&D expense
Disclosure of quantitative information about right-of-use assets [line items]
Depreciation, right-of-use assets	331	245
G&A expense
Disclosure of quantitative information about right-of-use assets [line items]
Depreciation, right-of-use assets	$ 62	$ 62

XML

Leases - Schedule of Lease Liabilities (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Disclosure Of Quantitative Information About Lease Liabilities [Line Items]
Beginning balance	$ 7,661	$ 8,023
Additions	4,818
Cash outflow (including interest)	(322)	(310)
Interest	126	52
Exchange difference	119	(170)
Ending balance	12,402	7,595
Lease liabilities, short-term	1,447	981	$ 1,097
Lease liabilities, long-term	10,955	6,614	$ 6,564
Properties (Offices)
Disclosure Of Quantitative Information About Lease Liabilities [Line Items]
Beginning balance	7,607	7,898
Additions	4,818
Cash outflow (including interest)	(313)	(301)
Interest	126	51
Exchange difference	109	(134)
Ending balance	12,347	7,514
Lease liabilities, short-term	1,411	946
Lease liabilities, long-term	10,936	6,568
Vehicles
Disclosure Of Quantitative Information About Lease Liabilities [Line Items]
Beginning balance	54	125
Additions	0
Cash outflow (including interest)	(9)	(9)
Interest	0	1
Exchange difference	10	(36)
Ending balance	55	81
Lease liabilities, short-term	36	35
Lease liabilities, long-term	$ 19	$ 46

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Senior secured term loan facility and warrants - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Senior Secured Term Loan Facility
Disclosure of detailed information about borrowings [line items]
Deerfield warrant obligation, change in fair value income	$ 656	$ 0
Oak Tree And Owl Rock Warrant Obligations
Disclosure of detailed information about borrowings [line items]
Warrant Obligation, Fair Value	$ 339		$ 995

XML

Senior secured term loan facility and warrants - Valuation of Derivative (Details) - Oak Tree And Owl Rock Warrant Obligations - shares	Mar. 31, 2023	Dec. 31, 2022
Written put options (in USD per share)
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations	8.30	8.30
Share Price (in USD per share)
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations	1.95	3.84
Risk Free, Interest Rate
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations	0.037	0.040
Expected Volatility
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations	0.80	0.80
Expected Term
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations	52.5	55.5
Dividend yield
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations	0	0
Black-Scholes Value
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations	0.64	1.89

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Convertible loans - Narrative (Details) - USD ($) $ in Thousands		3 Months Ended
	Aug. 15, 2022	Mar. 31, 2023	Dec. 31, 2022	May 19, 2020	Apr. 24, 2020
Disclosure of detailed information about borrowings [line items]
Exchange Of Convertible Notes For Warrants	$ 115,000
Convertible Notes, Value Converted	$ 117,300
Loss on extinguishment		$ (42,100)
Warrants, Tranche One
Disclosure of detailed information about borrowings [line items]
Convertible Notes, Shares Converted	4,412,840
Warrants, Tranche Two
Disclosure of detailed information about borrowings [line items]
Convertible Notes, Shares Converted	2,390,297
Facility Agreement with Deerfield Partners, L.P.
Disclosure of detailed information about borrowings [line items]
Borrowings		120,000
Borrowings, maximum borrowing capacity					$ 115,000
Warrant Obligation, Fair Value	$ 12,297	177	$ 793
Facility Agreement With Deerfield Partners, L.P., Tranche One
Disclosure of detailed information about borrowings [line items]
Borrowings				$ 65,000	65,000
Facility Agreement With Deerfield Partners, L.P., Tranche Two
Disclosure of detailed information about borrowings [line items]
Borrowings					50,000
Borrowings, maximum borrowing capacity					$ 50,000
Senior Secured Term Loans
Disclosure of detailed information about borrowings [line items]
Borrowings		110,500
Interest expense on borrowings		$ 4,540
Borrowings, interest rate		1644.00%

XML

Convertible loans - Valuation of Derivative (Details)		3 Months Ended
	May 19, 2020 $ / shares	Mar. 31, 2023 shares $ / shares period	Dec. 31, 2022 shares
Initial Public Offering
Disclosure of detailed information about borrowings [line items]
Offering price per share (in USD per share) | $ / shares	$ 19.00
Facility Agreement With Deerfield Partners, L.P., Tranche One
Disclosure of detailed information about borrowings [line items]
Conversion percentage		130.00%
Written put options (in USD per share) | Oak Tree And Owl Rock Warrant Obligations
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations | shares		8.30	8.30
Written put options (in USD per share) | Derivatives | Facility Agreement With Deerfield Partners, L.P., Tranche One
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations | $ / shares		24.70
Written put options (in USD per share) | Derivatives | Facility Agreement With Deerfield Partners, L.P., Tranche Two
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations | $ / shares		28.07
Forced Conversion Price (in USD per share) | Derivatives | Facility Agreement With Deerfield Partners, L.P., Tranche One
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations | $ / shares		67.93
Forced Conversion Price (in USD per share) | Derivatives | Facility Agreement With Deerfield Partners, L.P., Tranche Two
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations | $ / shares		77.19
Share Price (in USD per share) | Oak Tree And Owl Rock Warrant Obligations
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations | shares		1.95	3.84
Share Price (in USD per share) | Derivatives | Facility Agreement With Deerfield Partners, L.P., Tranche One
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations | $ / shares		14.69
Share Price (in USD per share) | Derivatives | Facility Agreement With Deerfield Partners, L.P., Tranche Two
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations | $ / shares		14.69
Risk Free, Interest Rate | Oak Tree And Owl Rock Warrant Obligations
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations | shares		0.037	0.040
Risk Free, Interest Rate | Derivatives | Facility Agreement With Deerfield Partners, L.P., Tranche One
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations		0.024
Risk Free, Interest Rate | Derivatives | Facility Agreement With Deerfield Partners, L.P., Tranche Two
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations		0.024
Expected Volatility | Oak Tree And Owl Rock Warrant Obligations
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations | shares		0.80	0.80
Expected Volatility | Derivatives | Facility Agreement With Deerfield Partners, L.P., Tranche One
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations		0.76
Expected Volatility | Derivatives | Facility Agreement With Deerfield Partners, L.P., Tranche Two
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations		0.76
Expected Term | Oak Tree And Owl Rock Warrant Obligations
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations | shares		52.5	55.5
Expected Term | Derivatives | Facility Agreement With Deerfield Partners, L.P., Tranche One
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations | period		37
Expected Term | Derivatives | Facility Agreement With Deerfield Partners, L.P., Tranche Two
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations | period		37
Dividend yield | Oak Tree And Owl Rock Warrant Obligations
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations | shares		0	0
Dividend yield | Derivatives | Facility Agreement With Deerfield Partners, L.P., Tranche One
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations		0
Dividend yield | Derivatives | Facility Agreement With Deerfield Partners, L.P., Tranche Two
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations		0
Recovery Rate [Member] | Derivatives | Facility Agreement With Deerfield Partners, L.P., Tranche One
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations		0.05
Recovery Rate [Member] | Derivatives | Facility Agreement With Deerfield Partners, L.P., Tranche Two
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations		0.05
Implied Bond Yield [Member] | Derivatives | Facility Agreement With Deerfield Partners, L.P., Tranche One
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations		0.103
Implied Bond Yield [Member] | Derivatives | Facility Agreement With Deerfield Partners, L.P., Tranche Two
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations		0.103
Black-Scholes Value | Oak Tree And Owl Rock Warrant Obligations
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations | shares		0.64	1.89

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Convertible loans - Interest Expense (Details) - Residual Loan $ in Thousands	3 Months Ended
	Mar. 31, 2022 USD ($)
Disclosure of detailed information about borrowings [line items]
Interest expense on borrowings	$ 3,022
Facility Agreement With Deerfield Partners, L.P., Tranche One
Disclosure of detailed information about borrowings [line items]
Interest expense on borrowings	2,219
Facility Agreement With Deerfield Partners, L.P., Tranche Two
Disclosure of detailed information about borrowings [line items]
Interest expense on borrowings	$ 803

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Convertible loans - Change in Fair Value (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Disclosure of detailed information about borrowings [line items]
Convertible loans, derivatives, change in fair value income	$ 0	$ 15,855
Facility Agreement With Deerfield Partners, L.P., Tranche One
Disclosure of detailed information about borrowings [line items]
Convertible loans, derivatives, change in fair value income		9,518
Facility Agreement With Deerfield Partners, L.P., Tranche Two After FDA Approval
Disclosure of detailed information about borrowings [line items]
Convertible loans, derivatives, change in fair value income		$ 6,337

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Deerfield Warrants - Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands		3 Months Ended
	Aug. 15, 2022	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Facility Agreement with Deerfield Partners, L.P.
Disclosure of detailed information about borrowings [line items]
Deerfield warrant obligation, change in fair value income		$ 616	$ 0
Warrant Obligation, Fair Value	$ 12,297	$ 177		$ 793
Warrants, Tranche One
Disclosure of detailed information about borrowings [line items]
Convertible Notes, Shares Converted	4,412,840
Warrants, Tranche One, Price One
Disclosure of detailed information about borrowings [line items]
Convertible Notes, Shares Converted	2,631,578
Warrants, Shares Converted, Exercise Price	$ 24.70
Warrants, Tranche One, Price Two
Disclosure of detailed information about borrowings [line items]
Convertible Notes, Shares Converted	1,781,262
Warrants, Shares Converted, Exercise Price	$ 28.07

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Deerfield Warrants - Schedule of Valuation Inputs (Details) - Deerfield Warrants	Mar. 31, 2023 period $ / shares shares	Dec. 31, 2022 shares $ / shares period
Exercise Price | Minimum
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations	24.70	24.70
Exercise Price | Maximum
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations	28.07	28.07
Black-Scholes Value | Minimum
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations | shares	0.04	0.20
Black-Scholes Value | Maximum
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations | shares	0.03	0.16
Derivatives | Forced Conversion Price (in USD per share)
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations	1.95	3.84
Derivatives | Share Price (in USD per share)
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations	0.040	0.043
Derivatives | Risk Free, Interest Rate
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations	0.80	0.70
Derivatives | Expected Volatility
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations	25.7	28.7
Derivatives | Expected Term
Disclosure of detailed information about borrowings [line items]
Key inputs for valuations | period	0	0

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Equity (Details) - USD ($) $ / shares in Units, $ in Millions		3 Months Ended
	Aug. 15, 2022	Mar. 31, 2023
Disclosure of reserves within equity [line items]
Loss on extinguishment		$ (42.1)
Warrants, Tranche Two
Disclosure of reserves within equity [line items]
Convertible Notes, Shares Converted	2,390,297
Purchasers
Disclosure of reserves within equity [line items]
Number of shares issued	733,568
Sale Of Stock, Price Per Share	$ 8.52
Proceeds from equity issuance, net of transaction costs	$ 6.1
Share Premium
Disclosure of reserves within equity [line items]
Issuance of shares, Deerfield exchange agreement, net of transaction costs		$ 19.6

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Share-based compensation - Narrative (Details) $ / shares in Units, $ in Thousands		3 Months Ended
	Mar. 22, 2021 shares	Mar. 31, 2023 USD ($) shares $ / shares	Mar. 31, 2022 USD ($) shares	Dec. 31, 2022 shares	Nov. 30, 2019 shares
Disclosure of terms and conditions of share-based payment arrangement [line items]
Expense recognized | $		$ 8,074	$ 13,398
Share-based compensation expense | $		$ 8,074	13,398
Number of share options outstanding in share-based payment arrangement (in shares)		13,118,656		10,755,494
Share Options
Disclosure of terms and conditions of share-based payment arrangement [line items]
Vesting period		3 years
Share-based compensation expense | $		$ 4,781	$ 10,515
Contractual term		10 years
Number of instruments granted in share-based payment arrangement	2,026,341	7,977,000	13,910,000
Weighted-average grant-date fair value (in dollars per share) | $ / shares		$ 1.41
Awards vested and exercisable (in shares)		4,438,080
Weighted average strike price, vested and exercisable (in dollars per share) | $ / shares		$ 24.74
Weighted average remaining life, vested and exercisable		7 years 3 months
Share Options | Tranche One
Disclosure of terms and conditions of share-based payment arrangement [line items]
Vesting percentage		25.00%
Share Options | Tranche Two
Disclosure of terms and conditions of share-based payment arrangement [line items]
Vesting percentage		25.00%
Share Options | Tranche Three
Disclosure of terms and conditions of share-based payment arrangement [line items]
Vesting percentage		25.00%
Share Options | Tranche Four
Disclosure of terms and conditions of share-based payment arrangement [line items]
Vesting percentage		25.00%
Restricted Share Units (RSU)
Disclosure of terms and conditions of share-based payment arrangement [line items]
Vesting period		3 years
Contractual term		10 years
Shares vested (in shares)		254,891
Number of instruments granted in share-based payment arrangement	538,175	3,196,000	3,395,000
Weighted average grant date fair value, granted (in USD per share) | $ / shares		$ 2.11
2019 Equity Incentive Plan
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of shares reserved for issue under options and contracts for sale of shares		857,016			17,741,355
Share-based compensation expense | $		$ 153,079
Annual Equity Award | Restricted Share Units (RSU)
Disclosure of terms and conditions of share-based payment arrangement [line items]
Weighted average grant date fair value, granted (in USD per share) | $ / shares		$ 1.99

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Share-based compensation - Schedule of Number of Awards Outstanding and Weighted Average Strike Price (Details)	3 Months Ended	12 Months Ended
	Mar. 31, 2023 shares $ / shares	Dec. 31, 2022 shares $ / shares
Share-based Payment Arrangements [Abstract]
Average strike price in USD per share, At beginning of the year (in USD per share) | $ / shares	$ 18.30
Fair value grant date (in USD per share) | $ / shares	2.50
Average strike price in USD per share, Forfeited (in USD per share) | $ / shares	19.59
Average strike price in USD per share, At end of the year (in USD per share) | $ / shares	$ 14.19	$ 18.30
Number of awards, At beginning of the year (in shares) | shares	10,755,494
Number of awards, Granted (in shares) | shares	2,830,741
Number of awards, Forfeited (in shares) | shares	(467,579)
Number of awards, At end of the year (in shares) | shares	13,118,656	10,755,494
Weighted average remaining contractual life of outstanding share options	8 years 6 months 29 days	8 years 5 months 15 days
Weighted average remaining contractual life of granted share options	9 years 11 months 19 days

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Share-based compensation expense - Schedule of Fair Value Assumptions For Options Granted (Details) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2023 USD ($) shares $ / shares	Mar. 31, 2022 USD ($) shares $ / shares
Disclosure of terms and conditions of share-based payment arrangement [line items]
Expected dividends | $	$ 0	$ 0
Minimum
Disclosure of terms and conditions of share-based payment arrangement [line items]
Weighted average share price (in USD per share)	$ 1.99	$ 14.00
Strike price (in USD per share)	$ 1.99	$ 14.00
Expected volatility, in %	75.00%	70.00%
Award life, in years | shares	6.08	6.08
Risk-free interest rate, in %	339.00%	1.46%
Maximum
Disclosure of terms and conditions of share-based payment arrangement [line items]
Weighted average share price (in USD per share)	$ 5.45	$ 19.69
Strike price (in USD per share)	$ 5.45	$ 19.69
Expected volatility, in %	80.00%
Risk-free interest rate, in %	4.13%	1.73%

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Share-based compensation - Schedule of Other Equity Instruments Outstanding (Details) - Restricted Share Units (RSU)	3 Months Ended
	Mar. 31, 2023 shares $ / shares
Disclosure of terms and conditions of share-based payment arrangement [line items]
Number of awards, beginning of period (in shares) | shares	1,585,877
Number of awards, granted (in shares) | shares	839,680
Number of awards, vested (in shares) | shares	(254,891)
Number of awards, forfeited (in shares) | shares	(60,444)
Number of awards, end of period (in shares) | shares	2,110,222
Weighted average grant date fair value, beginning balance (in USD per share) | $ / shares	$ 13.26
Weighted average grant date fair value, granted (in USD per share) | $ / shares	2.11
Weighted average grant date fair value, vested (in dollars per share) | $ / shares	19.52
Weighted average grant date fair value, forfeited (in dollars per share) | $ / shares	12.22
Weighted average grant date fair value, ending balance (in USD per share) | $ / shares	$ 8.10

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Share-based compensation - Schedule of Share-based Compensation Reserve (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Disclosure of terms and conditions of share-based payment arrangement [line items]
Expense recognized	$ 8,074	$ 13,398
2019 Equity Incentive Plan | Share Options
Disclosure of terms and conditions of share-based payment arrangement [line items]
Increase in reserve of share-based payments	4,781	10,515
2019 Equity Incentive Plan | Restricted Stock Units
Disclosure of terms and conditions of share-based payment arrangement [line items]
Increase in reserve of share-based payments	3,196	3,395
Tax and social charge deductions - Incentive Plan 2019
Disclosure of terms and conditions of share-based payment arrangement [line items]
Tax expense from share-based payment transactions with employees	0	(512)
ESPP Expense
Disclosure of terms and conditions of share-based payment arrangement [line items]
Increase in reserve of share-based payments	$ 97	$ 0

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Related parties - Narrative (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2023 USD ($) subsidiary	Mar. 31, 2022 USD ($)	Dec. 31, 2022 USD ($)
Auven Therapeutics Holdings, L.P.
Disclosure of transactions between related parties [line items]
Number of subsidiaries provide services to | subsidiary	3
Overland ADCT BioPharma
Disclosure of transactions between related parties [line items]
Services provided to, related party transactions	$ 1,066	$ 320
Amounts receivable, related party transactions	$ 1,066		$ 805

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Related parties - Schedule of Key Management Compensation (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Related Party [Abstract]
Salaries and other short-term employee costs	$ 3,631	$ 2,144
Pension costs	195	133
Share-based compensation expense	3,644	5,574
Other compensation	38	10
Key management compensation	$ 7,508	$ 7,861

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Loss per share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Earnings per share [abstract]
Net loss	$ (59,426)	$ (16,661)
Weighted average number of ordinary shares outstanding	80,805,770	76,821,726
Net loss per share, basic (in USD per share)	$ (0.74)	$ (0.22)
Net loss per share, diluted (in dollars per share)	$ (0.74)	$ (0.22)

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Loss per share -Schedule of Potentially Dilutive Securities (Details) - shares	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Earnings per share [line items]
Potentially dilutive securities	20,169,013	12,386,490
Equity Incentive Plan 2019 - Share Options
Earnings per share [line items]
Potentially dilutive securities	13,118,656	7,179,859
Equity Incentive Plan 2019 - RSUs
Earnings per share [line items]
Potentially dilutive securities	2,110,222	793,791
Conversion of the principal amount of convertible loans into the Company’s common shares
Earnings per share [line items]
Potentially dilutive securities	0	4,412,840
Outstanding Warrants
Earnings per share [line items]
Potentially dilutive securities	4,940,135	0

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Events after the reporting date (Details)		3 Months Ended
	Apr. 04, 2023 shares $ / shares	Mar. 31, 2023 shares	Dec. 31, 2022 shares
Disclosure of non-adjusting events after reporting period [line items]
Number of share options outstanding in share-based payment arrangement (in shares)		13,118,656	10,755,494
Number of awards, Granted (in shares)		2,830,741
Share-Based Compensation
Disclosure of non-adjusting events after reporting period [line items]
Number of share options outstanding in share-based payment arrangement (in shares)	2,200,000
Number of awards, Granted (in shares)	900,000
Strike price (in USD per share) | $ / shares	$ 2.06
Share-Based Compensation | Maximum
Disclosure of non-adjusting events after reporting period [line items]
Exercise price of outstanding share options | $ / shares	48.77
Share-Based Compensation | Minimum
Disclosure of non-adjusting events after reporting period [line items]
Exercise price of outstanding share options | $ / shares	$ 8.12

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Deferred royalty obligation (Details) - USD ($)	3 Months Ended	12 Months Ended
	Mar. 31, 2023	Dec. 31, 2022	Dec. 31, 2021	Aug. 25, 2021
Deferred Royalty Obligation [Abstract]
Royalty Purchase Agreement				$ 325,000,000
Proceeds From Royalty Purchase Agreement, Gross			$ 225,000,000
Royalty Purchase Additional Proceeds Eligibility		$ 75,000,000
Royalty Purchase Agreement, Effective Interest Rate	10.00%
Deferred Royalty Obligation	$ 223,009,000	222,277,000	$ 225,477,000
Royalty Obligation, Interest	5,746,000	23,200,000
Royalty Obligation, Payments	4,885,000	10,998,000
Royalty Obligation, Financial Expense Cumulative Catch-Up Adjustment	$ 129,000	$ 15,402,000