Cover Page
Cover Page - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Feb. 15, 2024 | Jun. 30, 2023 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2023 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Transition Report | false | ||
Entity File Number | 001-36042 | ||
Entity Registrant Name | PRECIGEN, INC. | ||
Entity Incorporation, State or Country Code | VA | ||
Entity Tax Identification Number | 26-0084895 | ||
Entity Address, Address Line One | 20374 Seneca Meadows Parkway | ||
Entity Address, City or Town | Germantown, | ||
Entity Address, State or Province | MD | ||
Entity Address, Postal Zip Code | 20876 | ||
City Area Code | 301 | ||
Local Phone Number | 556-9900 | ||
Title of 12(b) Security | Common Stock, No Par Value | ||
Trading Symbol | PGEN | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | false | ||
Entity Shell Company | false | ||
Document Financial Statement Error Correction [Flag] | false | ||
Entity Public Float | $ 177.3 | ||
Entity Common Stock, Shares Outstanding (in shares) | 248,919,096 | ||
Documents Incorporated by Reference | Portions of the registrant's Definitive Proxy Statement for its 2024 Annual Meeting of Shareholders are incorporated by reference in Part III of this Annual Report on Form 10-K where indicated. Such proxy statement will be filed with the Securities and Exchange Commission within 120 days of the registrant's fiscal year ended December 31, 2023. | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY | ||
Entity Central Index Key | 0001356090 |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2023 | |
Audit Information [Abstract] | |
Auditor Name | Deloitte & Touche LLP |
Auditor Location | Baltimore, Maryland |
Auditor Firm ID | 34 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Current assets | ||
Cash and cash equivalents | $ 7,578,000 | $ 4,858,000 |
Restricted cash | 0 | 43,339,000 |
Short-term investments | 55,277,000 | 51,092,000 |
Receivables | ||
Trade, less allowance for credit losses of $184 as of both December 31, 2023 and 2022 | 902,000 | 978,000 |
Other | 673,000 | 12,826,000 |
Prepaid expenses and other | 4,325,000 | 5,066,000 |
Total current assets | 68,755,000 | 118,159,000 |
Property, plant and equipment, net | 7,111,000 | 7,329,000 |
Intangible assets, net | 40,701,000 | 44,455,000 |
Goodwill | 26,612,000 | 36,923,000 |
Right-of-use assets | 7,097,000 | 8,086,000 |
Other assets | 767,000 | 1,025,000 |
Total assets | 151,043,000 | 215,977,000 |
Current liabilities | ||
Accounts payable | 1,726,000 | 4,068,000 |
Accrued compensation and benefits | 8,250,000 | 6,377,000 |
Other accrued liabilities | 6,223,000 | 4,997,000 |
Settlement and indemnification accrual | 5,075,000 | 18,750,000 |
Deferred revenue | 509,000 | 25,000 |
Current portion of long-term debt | 0 | 43,219,000 |
Current portion of lease liabilities | 1,202,000 | 1,209,000 |
Total current liabilities | 22,985,000 | 78,645,000 |
Long-term portion of deferred revenue | 1,818,000 | 1,818,000 |
Lease liabilities, net of current portion | 5,895,000 | 6,992,000 |
Deferred tax liabilities | 1,847,000 | 2,263,000 |
Total liabilities | 32,545,000 | 89,718,000 |
Commitments and Contingencies | ||
Shareholders' equity | ||
Common stock, no par value, 400,000,000 shares authorized as of December 31, 2023 and 2022; 256,398,527 shares and 208,150,021 shares issued as of December 31, 2023 and 2022, 248,919,096 shares and 208,150,021 shares outstanding December 31, 2023 and 2022, respectively. | 0 | 0 |
Additional paid-in capital | 2,084,916,000 | 1,998,314,000 |
Accumulated deficit | (1,964,471,000) | (1,868,567,000) |
Accumulated other comprehensive loss | (1,947,000) | (3,488,000) |
Total shareholders' equity | 118,498,000 | 126,259,000 |
Total liabilities and shareholders' equity | $ 151,043,000 | $ 215,977,000 |
Common stock, shares outstanding (in shares) | 248,919,096 | 208,150,021 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Related Party Transaction [Line Items] | ||
Accounts receivable, allowance for credit loss, current | $ 184 | |
Long-term portion of deferred revenue | $ 1,818 | $ 1,818 |
Common stock, shares authorized (in shares) | 400,000,000 | 400,000,000 |
Common stock, shares issued (in shares) | 256,398,527 | 208,150,021 |
Common stock, shares outstanding (in shares) | 248,919,096 | 208,150,021 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Operating Expenses | |||
Impairment of goodwill | $ 10,390 | $ 482 | $ 0 |
Impairment of other noncurrent assets | 445 | 638 | 543 |
Other Income (expense), Net | |||
Equity in net income (loss) of affiliates | 0 | 862 | (3) |
Loss from continuing operations before income taxes | (96,362) | (79,966) | (110,967) |
Income tax benefit | 458 | 189 | 160 |
Income from discontinued operations, net of income tax benefit | 0 | 108,094 | 18,641 |
Net loss attributable to Precigen | $ (95,904) | $ 28,317 | $ (92,166) |
Net (Loss) Income per Share | |||
Net loss from continuing operations per share, basic (in usd per share) | $ (0.39) | $ (0.40) | $ (0.56) |
Net loss from continuing operations per share, diluted (in usd per share) | (0.39) | (0.40) | (0.56) |
Net income from discontinued operations per share, basic (in usd per share) | 0 | 0.54 | 0.09 |
Net income from discontinued operations per share, diluted (in usd per share) | 0 | 0.54 | 0.09 |
Net (loss) income per share, diluted (in usd per share) | (0.39) | 0.14 | (0.47) |
Net (loss) income per share, basic (in usd per share) | $ (0.39) | $ 0.14 | $ (0.47) |
Weighted average shares outstanding, basic (in shares) | 244,536,221 | 200,360,821 | 197,759,900 |
Weighted average shares outstanding, diluted (in shares) | 244,536,221 | 200,360,821 | 197,759,900 |
Collaboration and licensing agreements | |||
Revenues | |||
Revenues | $ 75 | $ 14,661 | $ 506 |
Continuing Operations | |||
Revenues | |||
Revenues | 6,225 | 26,909 | 14,267 |
Operating Expenses | |||
Research and development | 48,614 | 47,170 | 47,933 |
Selling, general and administrative | 40,415 | 48,006 | 51,994 |
Impairment of goodwill | 10,390 | 482 | 0 |
Impairment of other noncurrent assets | 445 | 638 | 543 |
Total operating expenses | 105,983 | 102,635 | 106,215 |
Operating loss | (99,758) | (75,726) | (91,948) |
Other Income (expense), Net | |||
Interest expense | (468) | (6,774) | (18,755) |
Interest income | 3,237 | 133 | 171 |
Other income (expense), net | 627 | 1,539 | (432) |
Total other income (expense), net | 3,396 | (5,102) | (19,016) |
Equity in net income (loss) of affiliates | 0 | 862 | (3) |
Loss from continuing operations before income taxes | (96,362) | (79,966) | (110,967) |
Income tax benefit | 458 | 189 | 160 |
Loss from continuing operations | (95,904) | (79,777) | (110,807) |
Continuing Operations | Collaboration and licensing agreements | |||
Revenues | |||
Revenues | 75 | 14,661 | 506 |
Continuing Operations | Product revenues | |||
Revenues | |||
Revenues | 840 | 1,903 | 2,164 |
Continuing Operations | Service revenues | |||
Revenues | |||
Revenues | 5,301 | 10,094 | 11,095 |
Operating Expenses | |||
Cost of product and services | 6,119 | 6,339 | 5,745 |
Continuing Operations | Other revenues | |||
Revenues | |||
Revenues | $ 9 | $ 251 | $ 502 |
Consolidated Statements of Op_2
Consolidated Statements of Operations (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Collaboration and licensing agreements | |||
Related Party Transaction [Line Items] | |||
Revenues | $ 75 | $ 14,661 | $ 506 |
Continuing Operations | |||
Related Party Transaction [Line Items] | |||
Revenues | 6,225 | 26,909 | 14,267 |
Continuing Operations | Collaboration and licensing agreements | |||
Related Party Transaction [Line Items] | |||
Revenues | $ 75 | 14,661 | $ 506 |
Continuing Operations | Collaboration and licensing agreements | Related Parties, Aggregated | |||
Related Party Transaction [Line Items] | |||
Revenues | $ 14,561 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Comprehensive Income (loss) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Statement of Comprehensive Income [Abstract] | |||
Net (loss) income | $ (95,904) | $ 28,317 | $ (92,166) |
Other comprehensive income (loss): | |||
Unrealized gain (loss) on investments | 727 | (431) | (344) |
Gain (loss) on foreign currency translation adjustments | 814 | (3,262) | (3,450) |
Comprehensive (loss) Income | $ (94,363) | $ 24,624 | $ (95,960) |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) $ in Thousands | Total | Cumulative effect of adoption of ASU 2020-06 | Common Stock | Additional Paid-in Capital | Additional Paid-in Capital Cumulative effect of adoption of ASU 2020-06 | Accumulated Other Comprehensive Income | Accumulated Deficit | Accumulated Deficit Cumulative effect of adoption of ASU 2020-06 | Treasury Stock, Common |
Beginning balance at Dec. 31, 2020 | $ 67,174 | $ 0 | $ 1,886,567 | $ 3,997 | $ (1,823,390) | ||||
Beginning balance, shares at Dec. 31, 2020 | 187,663,207 | ||||||||
Changes in Stockholders' Equity | |||||||||
Stock-based compensation expense | 13,904 | 13,904 | |||||||
Shares issued upon vesting of restricted stock units and for exercises of stock options and warrants | 608 | 608 | |||||||
Shares issued upon vesting of restricted stock units and for exercises of stock options and warrants, shares | 1,751,896 | ||||||||
Shares issued as payment for services | 577 | 577 | |||||||
Shares issued as payment for services, shares | 74,771 | ||||||||
Shares issued in public offering, net of issuance costs | 121,045 | 121,045 | |||||||
Shares issued in public offering, net of issuance costs, shares | 17,250,000 | ||||||||
Net loss | (92,166) | (92,166) | |||||||
Other comprehensive income (loss) | (3,794) | (3,794) | |||||||
Ending balance at Dec. 31, 2021 | $ 107,348 | $ (18,196) | $ 0 | 2,022,701 | $ (36,868) | 203 | (1,915,556) | $ 18,672 | |
Ending balance, shares at Dec. 31, 2021 | 206,739,874 | ||||||||
Changes in Stockholders' Equity | |||||||||
Cumulative effect of adoption of ASC 606 [Extensible List] | Adoption of ASU 2020-06 | ||||||||
Stock-based compensation expense | $ 10,207 | 10,207 | |||||||
Shares issued upon vesting of restricted stock units and for exercises of stock options | 1 | 1 | |||||||
Shares issued upon vesting of restricted stock units and for exercises of stock options, shares | 354,089 | ||||||||
Shares issued for accrued compensation | 1,698 | 1,698 | |||||||
Shares issued for accrued compensation, shares | 772,071 | ||||||||
Shares issued as payment for services | 575 | 575 | |||||||
Shares issued as payment for services, shares | 283,987 | ||||||||
Net loss | 28,317 | 28,317 | |||||||
Other comprehensive income (loss) | (3,691) | (3,691) | |||||||
Treasury stock (in shares), ending balance at Dec. 31, 2022 | 0 | ||||||||
Ending balance at Dec. 31, 2022 | $ 126,259 | $ 0 | 1,998,314 | (3,488) | (1,868,567) | $ 0 | |||
Ending balance, shares at Dec. 31, 2022 | 208,150,021 | 208,150,021 | |||||||
Changes in Stockholders' Equity | |||||||||
Stock-based compensation expense | $ 9,888 | 9,888 | |||||||
Shares issued upon vesting of restricted stock units and for exercises of stock options, shares | 751,233 | ||||||||
Shares issued for accrued compensation | 3,361 | 3,361 | |||||||
Shares issued for accrued compensation, shares | 3,068,825 | ||||||||
Shares issued as payment for services | 545 | 545 | |||||||
Shares issued as payment for services, shares | 465,808 | ||||||||
Shares issued in public offering, net of issuance costs | 72,808 | 72,808 | |||||||
Shares issued in public offering, net of issuance costs, shares | 43,962,640 | ||||||||
Shares returned pursuant to share lending, shares | (7,479,431) | (7,479,431) | |||||||
Net loss | (95,904) | (95,904) | |||||||
Other comprehensive income (loss) | 1,541 | 1,541 | |||||||
Treasury stock (in shares), ending balance at Dec. 31, 2023 | 7,479,431 | ||||||||
Ending balance at Dec. 31, 2023 | $ 118,498 | $ 0 | $ 2,084,916 | $ (1,947) | $ (1,964,471) | ||||
Ending balance, shares at Dec. 31, 2023 | 248,919,096 | 248,919,096 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Cash flows from operating activities | |||
Net (loss) income | $ (95,904) | $ 28,317 | $ (92,166) |
Adjustments to reconcile net (loss) income to net cash used in operating activities: | |||
Depreciation and amortization | 6,668 | 10,765 | 13,761 |
(Loss) Gain on disposals of assets, net | (72) | 421 | 150 |
Impairment of goodwill | 10,390 | 482 | 0 |
Impairment of other noncurrent assets | 445 | 638 | 543 |
Disposal Group, Including Discontinued Operation, Gain (Loss) on Disposal | 0 | (94,702) | 0 |
Gain on debt retirement | (60) | (961) | 0 |
Amortization of premiums (discounts) on investments, net | (1,809) | 832 | 1,232 |
Equity in net (income) loss of affiliates | 0 | (862) | 3 |
Stock-based compensation expense | 9,888 | 10,206 | 13,904 |
Shares issued as payment for services | 545 | 575 | 577 |
Provision for credit losses | 0 | 944 | 1,268 |
Accretion of debt discount and amortization of deferred financing costs | 60 | 1,042 | 11,735 |
Deferred income taxes | (479) | (150) | (167) |
Noncash gain on termination of leases | 0 | 0 | (5,831) |
Other noncash items | 2 | 107 | 24 |
Receivables: | |||
Trade | 76 | (2,175) | (6,230) |
Other | 12,153 | (11,338) | (330) |
Prepaid expenses and other | 748 | 2,630 | (1,383) |
Other assets | 129 | (101) | 305 |
Accounts payable | (2,421) | 379 | 420 |
Accrued compensation and benefits | 5,227 | (37) | 2,853 |
Other accrued liabilities | 782 | (1,517) | 1,858 |
Deferred revenue | 484 | (23,396) | 1,656 |
Lease liabilities | (107) | (107) | 97 |
Other long-term liabilities | 0 | (37) | (50) |
Settlement and Indemnification Accruals | (13,675) | 13,000 | 0 |
Net cash used in operating activities | (66,930) | (65,045) | (55,771) |
Cash flows from investing activities | |||
Purchases of investments | (185,026) | 0 | (174,221) |
Sales and maturities of investments | 183,377 | 68,441 | 100,168 |
Purchases of property, plant and equipment | (1,536) | (4,924) | (7,247) |
Proceeds from sale of assets | 98 | 594 | 3,006 |
Proceeds from sale of discontinued operations | 0 | 162,306 | 0 |
Proceeds from repayment of notes receivable | 0 | 0 | 3,754 |
Net cash (used in) provided by investing activities | (3,087) | 226,417 | (74,540) |
Cash flows from financing activities | |||
Proceeds from issuance of common stock , net of issuance costs | 72,808 | 0 | 121,045 |
Payments of long-term debt, including cost to retire of $120 and $588 in 2023 and 2022, respectively | (43,219) | (155,293) | (466) |
Proceeds from stock option exercises | 0 | 1 | 608 |
Net cash provided by (used in) financing activities | 29,589 | (155,292) | 121,187 |
Effect of exchange rate changes on cash, cash equivalents, and restricted cash | (320) | (827) | 217 |
Net (decrease) increase in cash, cash equivalents, and restricted cash | (40,748) | 5,253 | (8,907) |
Cash, cash equivalents, and restricted cash | |||
Beginning of year | 48,596 | 43,343 | 52,250 |
End of year | 7,848 | 48,596 | 43,343 |
Supplemental disclosure of cash flow information | |||
Cash paid during the period for interest | 1,171 | 8,535 | 7,155 |
Cash paid during the period for income taxes | 21 | 0 | 36 |
Significant noncash activities | |||
Accrued compensation paid in equity awards | 3,361 | 1,698 | 0 |
Purchases of property and equipment included in accounts payable and other accrued liabilities | 566 | 40 | 820 |
Proceeds from sale of assets included in receivables | $ 0 | $ 0 | $ 14 |
Consolidated Statements of Ca_2
Consolidated Statements of Cash Flows (Reconciliation of Cash) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Statement of Cash Flows [Abstract] | ||
Cash and cash equivalents | $ 7,578 | $ 4,858 |
Restricted cash | 0 | 43,339 |
Restricted cash included in other assets | 270 | 399 |
Cash, cash equivalents, and restricted cash | $ 7,848 | $ 48,596 |
Consolidated Statement of Cash
Consolidated Statement of Cash Flows (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Statement of Cash Flows [Abstract] | ||
Cost to retire debt | $ 120 | $ 588 |
Organization and Basis of Prese
Organization and Basis of Presentation | 12 Months Ended |
Dec. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Basis of Presentation | Organization and Basis of Presentation Precigen, Inc. ("Precigen"), a Virginia corporation, is a dedicated discovery and clinical-stage biopharmaceutical company advancing the next generation of gene and cell therapies with the overall goal of improving outcomes for patients with significant unmet medical needs. Precigen is leveraging its proprietary technology platforms to develop product candidates designed to target urgent and intractable diseases in its core therapeutic areas of immuno-oncology, autoimmune disorders, and infectious diseases. Precigen has developed an extensive pipeline of therapies across multiple indications within these core focus areas. Precigen’s primary operations are located in the State of Maryland. Precigen also has two wholly owned operating subsidiaries. Precigen ActoBio, Inc. ("ActoBio"), and Exemplar Genetics, LLC, doing business as Precigen Exemplar ("Exemplar"). ActoBio is pioneering a proprietary class of microbe-based biopharmaceuticals that enable expression and local delivery of disease-modifying therapeutics, with its primary operations located in Ghent, Belgium. Exemplar is committed to enabling the study of life-threatening human diseases through the development of MiniSwine Yucatan miniature pig research models and services, as well as enabling the production of cells and organs in its genetically engineered swine for regenerative medicine applications. Exemplar’s primary operations are located in the State of Iowa. Precigen and its consolidated subsidiaries are hereinafter collectively referred to as the "Company." Discontinued Operations On August 18, 2022, Precigen completed the sale of 100% of the issued and outstanding membership interests in its wholly-owned subsidiary, Trans Ova Genetics, L.C. (“Trans Ova”), a provider of reproductive technologies, including services and products sold to cattle breeders and other producers. Trans Ova has been presented as discontinued operations for all periods through its sale in August of 2022. See Note 3 for further discussion. Trans Ova was formerly a separate reportable segment. Beginning in the second quarter of 2020, the Company suspended its proprietary methane bioconversion platform operations and began the process to wind down MBP Titan's activities and had substantially completed the wind down by December 31, 2020, with the final disposition of certain property and equipment and the facility operating lease occurring in January 2021. MBP Titan has been presented as discontinued operations for all periods through the finalization of its sale in January 2021. See Note 3 for further discussion. Liquidity and Going Concern During the twelve months ended December 31, 2023, we incurred a loss from continuing operations of $95.9 million and used $66.9 million of cash in our operations, and as of December 31, 2023, had an accumulated deficit of $1,964.5 million. The Company has incurred operating losses since its inception and management expects operating losses and negative cash flows from operations to continue for the foreseeable future and, as a result, the Company will require additional capital to fund its operations and execute its business plan. In addition, as of December 31, 2023, the Company had $62.9 million in cash, cash equivalents and short-term investments, and had no committed source of additional funding from either debt or equity financings. The Company’s current cash and investments position is not sufficient to fund the Company's planned operations through one year after the date the consolidated financial statements are issued and accordingly, there is substantial doubt about the Company's ability to continue as a going concern. The analysis used to determine the Company's ability to continue as a going concern does not include cash sources outside of the Company's direct control that management expects to be available within the next twelve months. The Company’s ability to fund its operations on an ongoing basis is dependent upon the successful execution of management’s plans, which include raising additional capital in the near term. This additional capital could be raised through a combination of non-dilutive financings (including debt financings, collaborations, strategic alliances, monetization of non-core assets, marketing, distribution or licensing arrangements), dilutive financings (including equity and/or debt financings which may include an equity component) and, in the longer term, from revenue related to product sales, to the extent its product candidates receive marketing approval and can be commercialized. There can be no assurance that new financings or other transactions will be available to the Company on commercially acceptable terms, or at all. Also, any collaborations, strategic alliances, monetization of non-core assets or marketing, distribution or licensing arrangement may require the Company to give up some or all of its rights to a product or technology, which in some cases may be at less than the full potential value of such rights. If the Company is unable to obtain additional capital, the Company will assess its capital resources and may be required to delay, reduce the scope of, or eliminate some or all of its operations, which may include research and development and clinical trials. This may have a material adverse effect on the Company’s business, financial condition, results of operations and ability to operate as a going concern. These consolidated financial statements have been prepared on a going concern basis and do not include any adjustments to the amounts and classification of assets and liabilities that may be necessary in the event the Company can no longer continue as a going concern. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Principles of Consolidation The accompanying consolidated financial statements reflect the operations of Precigen and its majority-owned subsidiaries. All intercompany accounts and transactions have been eliminated. Risks and Uncertainties The Company is subject to a number of risks similar to those of other companies conducting high-risk, early-stage research and development of therapeutic product candidates. Principal among these risks are dependence on key individuals and intellectual property, competition from products and companies, and the technical risks associated with the successful research, development and clinical manufacturing of its therapeutic product candidates. Revenue Recognition The Company recognizes revenue when its customer obtains control of the promised goods or services, in an amount that reflects the consideration that the Company expects to receive in exchange for those goods or services. To determine revenue recognition for arrangements that are within the scope of Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC") Topic 606, Revenue from Contracts with Customers ("ASC 606"), the Company performs the following five steps: (i) identify the contract(s) with a customer, (ii) identify the promises and distinct performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations in the contract, and (v) recognize revenue when (or as) the Company satisfies the performance obligations. Collaboration and licensing revenues The Company has historically generated collaboration and licensing revenues through agreements with collaborators (known as exclusive channel collaborations or "ECCs") and licensing agreements whereby the collaborators or the licensee obtained exclusive access to the Company's proprietary technologies for use in the research, development and commercialization of products and/or treatments in a contractually specified field of use. Generally, the terms of these agreements provided that the Company received some or all of the following: (i) upfront payments upon consummation of the agreement; (ii) reimbursements for costs incurred by the Company for research and development and/or manufacturing efforts related to specific applications provided for in the agreement; (iii) milestone payments upon the achievement of specified development, regulatory, and commercial activities; and (iv) royalties on sales of products arising from the collaboration or licensing agreement. The agreement typically continued in perpetuity unless terminated and each of the Company's collaborators retain a right to terminate the agreement upon providing the Company written notice a certain period of time prior to such termination, generally 90 days. The Company's collaboration and licensing agreements typically contain multiple promises, including technology licenses, research and development services and, in certain cases, manufacturing services. The Company determined whether each of the promises is a distinct performance obligation. As the nature of the promises in the Company's collaboration and licensing agreements were highly integrated and interrelated, the Company typically combined most of its promises into a single performance obligation. Because the Company was performing research and development services during early-stage development, the services were integral to the utilization of the technology license. Therefore, the Company determined that the technology license and research and development services were typically inseparable from each other during the performance period of its collaboration and licensing agreements. Options to acquire additional services were considered to determine if they constituted material rights. Contingent manufacturing services that may be provided under certain of the Company's agreements were considered to be a separate future contract and not part of the collaboration or licensing agreement. At contract inception, the Company determined the transaction price, including fixed consideration and any estimated amounts of variable consideration. The transaction price was allocated to the performance obligations in the agreement based on the standalone selling price of each performance obligation. The Company utilized judgment to determine the most appropriate method to measure its progress of performance under the agreement, primarily based on inputs necessary to fulfill the performance obligation. From time to time, the Company and certain collaborators may cancel their agreements, relieving the Company of any further performance obligations under the agreement. Upon such cancellation or when the Company has determined no further performance obligations are required of the Company under an agreement, the Company recognizes any remaining deferred revenue as revenue. Product and service revenues The Company's product and service revenues are generated through Exemplar which generates product and service revenues through the development and sale of genetically engineered miniature swine models. The Company evaluates each promised product or service under its contracts and identifies performance obligations for each distinct product or service. The Company then allocates the transaction price of the contract to each performance obligation, recognizing the transaction price as revenue at a point in time when control of the promised product or over time when the promised service is rendered. The Company typically recognizes revenue using an output-based measure, generally time elapsed or days of service, to measure progress and transfer of the control of the performance obligation to the customer. Payment terms are typically due within 30 days of invoicing, which occurs prior to or when revenue is recognized. Research and Development The Company considers that regulatory requirements inherent in the research and development of new products preclude it from capitalizing such costs. Research and development expenses include salaries and related costs of research and development personnel, including stock-based compensation expense, costs to acquire or reacquire technology rights, contract research organizations and consultants, facilities, materials and supplies associated with research and development projects as well as various laboratory studies. Costs incurred in conjunction with collaboration and licensing arrangements are included in research and development. Indirect research and development costs include depreciation, amortization, and other indirect overhead expenses. The Company has research and development arrangements with third parties that include upfront and milestone payments. As of December 31, 2023 and 2022, the Company had research and development commitments with third parties that had not yet been incurred totaling $17,800 and $19,909, respectively. The commitments are generally cancellable by the Company by providing written notice at least sixty days before the desire termination date. Cash and Cash Equivalents All highly liquid investments with an original maturity of three months or less at the date of purchase are considered to be cash equivalents. Cash balances at a limited number of banks may periodically exceed insurable amounts. The Company believes that it mitigates its risk by investing in or through major financial institutions. Recoverability of investments is dependent upon the performance of the issuer. Restricted Cash Included in the Consolidated Balance Sheet as of December 31, 2022, is restricted cash of $43,339. This cash was restricted for the permitted purposes related to our Convertible Notes, including the resolution of such notes. See Note 10 for further discussion. Short-term and Long-Term Investments As of December 31, 2023 and 2022 short-term and long-term investments include corporate bonds, United States government debt securities and certificates of deposit. The Company determines the appropriate classification as short-term or long-term at the time of purchase based on original maturities and management's reasonable expectation of sales and redemption. The Company reevaluates such classification at each balance sheet date. Fair Value of Financial Instruments Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset and liability. As a basis for considering such assumptions, the Company uses a three-tier fair value hierarchy that prioritizes the inputs used in its fair value measurements. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are as follows: Level 1: Quoted prices in active markets for identical assets and liabilities; Level 2: Other than quoted prices included in Level 1 inputs that are observable for the asset or liability, either directly or indirectly; and Level 3: Unobservable inputs for the asset or liability used to measure fair value to the extent that observable inputs are not available. Concentrations of Risk Due to the Company's fixed rate securities holdings, the Company's investment portfolio is susceptible to changes in interest rates. As of December 31, 2023, gross unrealized losses on the Company's short-term investments were not material. From time to time, the Company may liquidate some or all of its investments to fund operational needs or other activities, such as capital expenditures or business acquisitions. Although the Company has no intent to liquidate such investments, depending on which investments the Company liquidates to fund these activities, the Company could recognize a portion, or all, of the gross unrealized losses. Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of trade and other receivables. The Company manages credit risk through credit approvals, credit limits, and monitoring procedures. The Company performs ongoing credit evaluations of its customers but generally does not require collateral to support accounts receivable. Equity Method Investments The Company has accounted for its investment in its joint ventures ("JVs") using the equity method of accounting based upon relative ownership interest. At December 31, 2023 and 2022, the Company does not hold any material investments in JVs. Variable Interest Entities The Company identifies entities that (i) do not have sufficient equity investment at risk to permit the entity to finance its activities without additional subordinated financial support or (ii) in which the equity investors lack an essential characteristic of a controlling financial interest as variable interest entities ("VIEs"). The Company performs an initial and on-going evaluation of the entities with which the Company has variable interests to determine if any of these entities are VIEs. If an entity is identified as a VIE, the Company performs an assessment to determine whether the Company has both (i) the power to direct activities that most significantly impact the VIE's economic performance and (ii) have the obligation to absorb losses from or the right to receive benefits of the VIE that could potentially be significant to the VIE. If both of these criteria are satisfied, the Company is identified as the primary beneficiary of the VIE. As of December 31, 2023 and 2022 , the Company determined that certain of its collaborators and JVs were VIEs. The Company was not the primary beneficiary for these entities since it did not have the power to direct the activities that most significantly impact the economic pe rformance of the VIEs. As of December 31, 2023 and 2022, the Company had no risk of loss related to the identified VIEs. Accounts Receivable The Company's expected loss allowance methodology for accounts receivable is developed using historical collection experience, current and future economic and market conditions, and a review of the current status of accounts receivables. Balances are written off at the point when collection attempts have been exhausted. Estimates are used to determine the loss allowance, which is based on assessment of anticipated payment and other historical, current, and future information that is reasonably available. The following table shows the activity in the allowance for credit losses for the years ended December 31, 2023, 2022, and 2021: 2023 2022 2021 Beginning balance $ 184 $ 1,693 $ 1,509 Charged to operating expenses — — 140 Write offs of accounts receivable, net of recoveries — (1,509) 44 Ending balance $ 184 $ 184 $ 1,693 Property, Plant and Equipment Property, plant and equipment are stated at cost, less accumulated depreciation and amortization. Major additions or betterments are capitalized and repairs and maintenance are expensed as incurred. Depreciation and amortization is calculated using the straight-line method over the estimated useful lives of the assets. The estimated useful lives of these assets from continuing operations are as follows: Years Land improvements 9–15 Buildings and building improvements 9–15 Furniture and fixtures 2–7 Equipment 3–7 Breeding stock 2 Computer hardware and software 1–5 Leasehold improvements are amortized over the shorter of the useful life of the asset or the applicable lease term, generally one Operating Leases The Company determines if an arrangement is a lease at inception. Operating leases are included as right-of-use assets ("ROU Assets") and lease liabilities on the consolidated balance sheets. The Company has elected not to recognize ROU Assets or lease liabilities for leases with lease terms of one year or less. Lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. The initial measurement of the ROU Asset also includes any lease payments made, adjusted for lease incentives. For leases that contain fixed non-lease payments, the Company accounts for the lease and non-lease components as a single lease component. Variable lease payments, which primarily include payments for non-lease components such as maintenance costs, are excluded from the ROU Assets and lease liabilities and are recognized in the period in which the obligation for those payments is incurred. As the Company's operating leases do not provide an implicit interest rate, the Company uses its incremental borrowing rate at the lease commencement date, which is the estimated rate the Company would be required to pay for a collateralized borrowing equal to the total lease payments over the term of the lease, in determining the present value of future payments. The lease term for all of the Company's leases includes the noncancelable period of the lease plus any additional periods covered by options that the Company is reasonably certain to exercise, either to extend or to not terminate the lease. Lease expense is recognized on a straight-line basis over the lease term. Goodwill Goodwill represents the future economic benefits arising from other assets acquired in a business combination that are not individually identified and separately recognized. Goodwill is reviewed for impairment at least annually. The Company may elect to perform a qualitative assessment to determine whether it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount prior to performing the goodwill impairment test. If this is the case, the quantitative goodwill impairment test is required. If it is more-likely-than-not that the fair value of a reporting unit is greater than the carrying amount, the quantitative goodwill impairment test is not required. When a quantitative goodwill impairment test is performed, the fair value of the reporting unit is compared with its carrying amount (including goodwill). If the fair value of the reporting unit is less than its carrying amount, the entity must record the impairment charge for the excess carrying amount, which is limited to the amount of goodwill allocated to the reporting unit. If the fair value of the reporting unit exceeds its carrying amount, no goodwill impairment charge is necessary. The Company performs its annual impairment review of goodwill on December 31 and performs incremental impairment reviews if a triggering event occurs prior to the annual impairment review. When the Company performs quantitative evaluations, the fair value of the reporting units are primarily determined based on the income approach. The income approach is a valuation technique in which fair value is based on forecasted future cash flows, discounted at the appropriate rate of return commensurate with the risk as well as current rates of return for equity and debt capital as of the valuation date. The forecast used in the Company's estimation of fair value was developed by management based on historical operating results, incorporating adjustments to reflect management's planned changes in operations and market considerations. The discount rate utilizes a risk adjusted weighted average cost of capital. See Note 9 for additional discussion regarding goodwill impairment charges recorded in the years ended December 31, 2023 and 2022. Intangible Assets Intangible assets subject to amortization consist of patents, developed technologies and know-how; customer relationships; and trademarks acquired as a result of mergers and acquisitions. These intangible assets are subject to amortization, were recorded at fair value at the date of acquisition, and are stated net of accumulated amortization. The Company amortizes long-lived intangible assets to reflect the pattern in which the economic benefits of the intangible asset are expected to be realized. The intangible assets are amortized over their estimated useful lives, ranging from three Impairment of Long-Lived Assets Long-lived assets to be held and used, including property, plant and equipment, ROU Assets, and intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the assets may not be recoverable. Conditions that would necessitate an impairment assessment include a significant decline in the observable market value of an asset, a significant change in the extent or manner in which an asset is used, or a significant adverse change that would indicate that the carrying amount of an asset or group of assets is not recoverable. See Notes 3 and 8 for additional discussion of impairment of long-lived assets for the years ended December 31, 2023, 2022, and 2021. Foreign Currency Translation The assets and liabilities of foreign subsidiaries, where the local currency is the functional currency, are translated from their respective functional currencies into United States dollars at the exchange rates in effect at the balance sheet date, with resulting foreign currency translation adjustments recorded in the consolidated statement of comprehensive income (loss). Revenue and expense amounts are translated at average rates during the period. Income Taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to both differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases as well as operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date of the change. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. The Company identifies any uncertain income tax positions and recognizes the effect of income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. The Company records interest, if any, related to unrecognized tax benefits as a component of interest expense. Penalties, if any, are recorded in selling, general and administrative expenses. The Company accounts for the minimum tax on global intangible low-taxed income ("GILTI") as a period charge in the period in which the tax arises. There was no impact from GILTI to the accompanying consolidated financial statements. Share-Based Payments Precigen uses the Black-Scholes option pricing model to estimate the grant-date fair value of all stock options. The Black-Scholes option pricing model requires the use of assumptions for estimated expected volatility, estimated expected term of stock options, risk-free rate, estimated expected dividend yield, and the fair value of the underlying common stock at the date of grant. Through 2019, since Precigen did not have sufficient history to estimate the expected volatility of its common stock price, expected volatility was based on a blended approach that utilized the volatility of Precigen's common stock and the volatility of peer public entities that were similar in size and industry. Beginning in 2020, for stock options with an expected term where there is sufficient history available, expected volatility is based on the volatility of Precigen's common stock. For any stock options where sufficient history is not available for the expected term, expected volatility is based on the blended approach discussed above. Precigen estimates the expected term of options based on previous history of exercises unless certain terms of the stock option require a different expected term that more appropriately reflects the estimated life of the stock option. The risk-free rate is based on the United States Treasury yield curve in effect at the time of grant for the expected term of the option. The expected dividend yield is 0% as Precigen does not expect to declare cash dividends in the near future. The fair value of the underlying common stock is determined based on the quoted market price on the Nasdaq Global Select Market ("Nasdaq"). Forfeitures are recorded when incurred. The assumptions used in the Black-Scholes option pricing model for the years ended December 31, 2023, 2022, and 2021 are set forth in the table below: 2023 2022 2021 Valuation assumptions Expected dividend yield 0% 0% 0% Expected volatility 85%–95% 87%–89% 87%–90% Expected term (years) 6.00-10.00 6.25 6.00 Risk-free interest rate 3.52%–4.80% 1.64%–4.12% 0.61%–1.33% Grant date fair value for the Company's restricted stock units ("RSUs") is based on the fair value of the underlying common stock as determined based on the quoted market price on the Nasdaq on the date of grant. Net Income (Loss) per Share Basic net income (loss) per share is calculated by dividing net income (loss) attributable to common shareholders by the weighted average shares outstanding during the period, without consideration of common stock equivalents. Diluted net income (loss) per share is calculated by adjusting weighted average shares outstanding for the dilutive effect of common stock equivalents outstanding for the period, using the treasury-stock method. For purposes of the diluted net income (loss) per share calculation, shares to be issued pursuant to convertible debt, stock options, RSUs, and warrants are considered to be common stock equivalents but are excluded from the calculation of diluted net income (loss) per share because their effect would be anti-dilutive as described in the next paragraph, therefore, basic and diluted net income (loss) per share were the same for all periods presented. See Note 12 for further discussion of the Company's Share Lending Agreement, which was terminated in October 2023. In accordance with ASC 260, the control number for determining whether including potential common shares in the diluted earnings per share, or EPS, computation would be antidilutive should be income from continuing operations. As a result, if there is a loss from continuing operations, diluted EPS would be computed in the same manner as basic EPS is computed, even if the entity has net income after adjusting for a discontinued operation. The following potentially dilutive securities as of December 31, 2023, 2022, and 2021, have been excluded from the computations of diluted weighted average shares outstanding for the years then ended as they would have been anti-dilutive: December 31, 2023 2022 2021 Options 22,057,340 15,201,276 12,260,187 Restricted stock units 961,534 697,815 468,481 Warrants — — 121,888 Total 23,018,874 15,899,091 12,850,556 In addition, the Company's Convertible Notes, prior to their retirement in the second quarter of 2023, were convertible into common stock at an exercise price of approximately $17.05 per share of common stock, representing approximately 2,542,420 shares at December 31, 2022 and 11,732,440 shares at December 31, 2021. The shares underlying the Convertibles Notes were considered for the dilutive calculation but were excluded in all years presented as their effect is antidilutive. See Note 10 for further discussion of the Convertible Notes. Segment Information The Company's chief operating decision maker ("CODM") regularly reviews disaggregated financial information for various operating segments. The financial information regularly reviewed by the CODM consists of (i) Biopharmaceuticals and (ii) Exemplar, each an operating segment which were also determined to be reportable segments. The Biopharmaceuticals reportable segment is primarily comprised of the Company's legal entities of Precigen and ActoBio. See Note 1 for a description of Precigen, ActoBio and Exemplar. Prior to January 1, 2023, corporate expenses were not allocated to the segments and were managed at a consolidated level. Corporate expenses, include costs associated with general and administrative functions, including the Company's finance, accounting, legal, human resources, information technology, corporate communication, and investor relations functions. Corporate expenses exclude interest expense, depreciation and amortization, gain or loss on disposals of assets, stock-based compensation expense, loss on settlement agreement, and equity in net loss of affiliates and include unrealized and realized gains and losses on the Company's securities portfolio as well as dividend income. Beginning in the first quarter of 2023, the Company allocated certain corporate expenses to Precigen as its operations directly benefited from these expenditures, and are now included in the Biopharmaceuticals reportable segment. As presented in Note 16, the prior year period has been reclassified to conform to the current period’s presentation. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. Recently Adopted Accounting Pronouncements In August 2020, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2020-06, Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity's Own Equity (Subtopic 815-40)—Accounting for Convertible Instruments and Contracts in an Entity's Own Equity ("ASU 2020-06"). Under ASU 2020-06, the embedded conversion features are no longer separated from the host contract for convertible instruments with conversion features that are not required to be accounted for as derivatives under Topic 815, or that do not result in substantial premiums accounted for as paid-in capital. Consequently, a convertible debt instrument will be accounted for as a single liability measured at its amortized cost, as long as no other features require bifurcation and recognition as derivatives. The new guidance also requires the if-converted method to be applied for all convertible instruments. We adopted ASU 2020-06 on January 1, 2022 using the modified retrospective transition method, which resulted in an increase to our reported long-term debt outstanding, net of current portion, of $18,196, a decrease to our additional paid-in capital of $36,868, and a corresponding cumulative-effect reduction to our opening accumulated deficit of $18,672. Upon the adoption of ASU 2020-06, non-cash interest expense related to existing convertible debt outstanding at January 1, 2022 was expected to be reduced by approximately $11,800 for the year ended December 31, 2022, and did not have an impact on our consolidated cash flows. The use of the if-converted method did not have an impact on our overall earnings per share calculation. Recently Issued Accounting Pronouncements Not Yet Adopted In August 2023, the FASB issued Accounting Standards Update No. 2023-05, Business Combinations—Joint Venture Formations (Subtopic 805-60): Recognition and Initial Measurement (“ASU 2023-05”). ASU 2023-05 clarifies existing guidance to reduce diversity in practice and is requiring a joint venture to recognize and initially measure its assets and liabilities using a new basis of accounting, at fair value, upon formation. These amendments are effective prospectively for all joint venture formations with a formation date on or after January 1, 2025. We do not believe the adoption of ASU 2023-05 will have a material impact on our consolidated financial statements and disclosures. In November 2023, the FASB issued ASU 2023-07, Segment Reporting—Improvements to Reportable Segment Disclosures. According to ASU 2023-07, public entities are required to disclose its significant segment expense categories and amounts for each reportable segment. A significant segment expense is an expense that is significant to the segment, regularly provided to or easily computed from information regularly provided to the chief operating decision maker and included in the reported measure of segment profit or loss. This updated standard is effective for public entities for fiscal years beginning after December 15, 2023, and interim periods in fiscal years beginning after December 15, 2024. We do not believe the adoption of ASU 2023-07 will have a material impact on our consolidated financial statements and disclosures. There are no other new accounting standards which have not yet been adopted that are expected to have a significant impact on our financial statements and related disclosures. |
Discontinued Operations
Discontinued Operations | 12 Months Ended |
Dec. 31, 2023 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | Discontinued Operations Trans Ova As part of the Company's strategic shift to becoming a primarily healthcare company, as discussed in Note 1, on August 18, 2022, the Company completed the sale of 100% of the issued and outstanding membership interests in its wholly-owned subsidiary, Trans Ova, to Spring Bidco LLC, a Delaware limited liability company for $170,000 and up to $10,000 in cash earn-out payments contingent upon the performance of Trans Ova in each of 2022 and 2023, $5,000 for each year (the “Transaction”). The Company received $162,306 in proceeds, net of certain transaction costs, on August 18, 2022, after giving effect to the preliminary closing purchase price adjustments. The final working capital adjustment of $936 was received in the fourth quarter of 2022. In February 2023, Spring Bidco LLC notified the company that Trans Ova did not meet the financial measures required in 2022 in order to require the first $5,000 earn-out payment. The Company elected to account for the contingent consideration arrangement as a gain contingency in accordance with ASC 450, Contingencies (Subtopic 450-30). Under this approach, the Company recognizes the contingent consideration receivable in earnings after the contingency is resolved. Accordingly, to determine the initial gain on the sale of Trans Ova, the Company did not include an amount related to the contingent consideration arrangement as part of the consideration received. In connection with the Transaction, the Company held restricted cash in a segregated account to be used for certain permitted purposes, including resolution of the then outstanding Company’s Convertible Notes as discussed further in Note 10. In addition, the Company is required to indemnify the Buyer for certain expenses incurred post close (related to covenants and certain additional specified liabilities including certain patent infringement lawsuits), if incurred, in amounts not to exceed $5,750, which was recorded as a reduction of the gain on divestiture in the third quarter of 2022. As of December 31, 2023 and 2022, $5,075 and $5,750 were included in settlement and indemnification accrual on the consolidated balance sheets, respectively, related to this indemnification liability. During 2023, the Company paid $675 for indemnification claims against this liability. The following table presents the financial results of discontinued operations related to TransOva through the date of disposition in 2022: Year Ended December 31, 2022 2021 Product revenues $ 21,494 $ 25,131 Service revenues 49,657 64,475 Total revenues 71,151 89,606 Cost of products 18,634 23,070 Cost of services 22,701 29,570 Research and development 2,348 2,208 Selling, general and administrative 15,215 22,128 Total operating expenses 58,898 76,976 Operating income 12,253 12,630 Other income, net 1,139 1,412 Gain on divestiture 94,702 — Income before income taxes $ 108,094 $ 14,042 Income tax (expense) benefit — — Income from discontinued operations $ 108,094 $ 14,042 The following table presents the significant noncash items, purchases of property, plant and equipment, and proceeds from sales of assets for the discontinued operations related to Trans Ova that are included in the accompanying consolidated statements of cash flows: Year Ended December 31, 2022 2021 Adjustments to reconcile net loss to net cash used in operating activities Depreciation and amortization 3,574 5,622 Loss on disposal of assets 421 561 Provision for credit losses 944 1,128 Stock-based compensation expense 9 350 Cash flows from investing activities Proceeds from repayment of notes receivable — 3,689 Purchases of property, plant and equipment (3,529) (4,694) Proceeds from sales of assets 594 1,894 MBP Titan As a result of market uncertainty driven by the COVID-19 pandemic and the state of the energy sector raising significant challenges for the strategic alternatives pursued by MBP Titan, beginning in the second quarter of 2020 and throughout the remainder of 2020, the Company suspended MBP Titan's operations, preserved certain of MBP Titan's intellectual property, terminated all of its personnel, and undertook steps to dispose of its other assets and obligations. The wind down of MBP Titan's activities was substantially completed by December 31, 2020, with the final disposition of certain property and equipment and the facility operating lease occurring in January 2021. This discontinuation of operations represented the continuation of a strategic shift to becoming primarily a healthcare company advancing technologies and products that address complex healthcare challenges. The income and expenses related to the discontinued operations of MBP Titan are classified and presented as discontinued operations in the accompanying consolidated 2021 financial statements. The January 2021 sale of property and equipment resulted in a gain on disposal of assets of $464, which is included in income from discontinued operations in the accompanying consolidated statement of operations for the year ended December 31, 2021. In January 2021, the Company executed termination and recapture agreements with the landlord of the leased facility used in MBP Titan's operations, thereby relieving the Company of all of its obligations related to the facility that were originally due to expire in July 2025. This lease termination resulted in a gain of $4,602, which is also included in income from discontinued operations in the accompanying consolidated statement of operations for the year ended December 31, 2021. After the wind down of MBP Titan, certain assets and contractual obligations which were previously managed by MBP Titan continue to be managed at the Precigen corporate level. These remaining assets and contractual obligations included the Company's equity interest in and collaboration agreements with Intrexon Energy Partners, LLC ("Intrexon Energy Partners") and Intrexon Energy Partners II, LLC ("Intrexon Energy Partners II"), including the associated deferred revenue which remained under each collaboration agreement (Notes 4 and 5), as well as the associated intellectual property developed by MBP Titan to date. These assets, liabilities, and related historical revenue and equity losses are included in the Company's operating results from continuing operations in the accompanying consolidated financial statements for all periods presented as a result of the Company's continuing involvement. The following table presents the financial results of discontinued operations related to MBP Titan: Year Ended December 31, 2021 Operating gains $ (4,599) Operating income 4,599 Income before income taxes 4,599 Income from discontinued operations $ 4,599 The following table presents the significant noncash items, purchases of property, plant and equipment, and proceeds from sales of assets for the discontinued operations related to MBP Titan that are included in the accompanying consolidated statements of cash flows. Year Ended December 31, 2021 Adjustments to reconcile net loss to net cash used in operating activities Gain on disposal of assets, net (464) Noncash gain on termination of leases (4,602) Cash flows from investing activities Proceeds from sales of assets 1,083 |
Investments in Joint Ventures
Investments in Joint Ventures | 12 Months Ended |
Dec. 31, 2023 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Investments in Joint Ventures | Investments in Joint Ventures Intrexon Energy Partners In 2014, the Company and certain investors (the "IEP Investors"), including an affiliate of Third Security, entered into a Limited Liability Company Agreement that governs the affairs and conduct of business of Intrexon Energy Partners, a JV formed to optimize and scale-up the Company's MBP technology for the production of certain fuels and lubricants. The Company also entered into an ECC with Intrexon Energy Partners providing exclusive rights to the Company's technology for the use in bioconversion for the production of certain fuels and lubricants, as a result of which the Company received a technology access fee of $25,000 while retaining a 50% membership interest in Intrexon Energy Partners at that time. Intrexon Energy Partners was governed by the Intrexon Energy Partners' board of managers, which had five members. Prior to Precigen’s purchase of certain membership interests from the IEP Investors in the third quarter of 2022 as discussed below, two members of the Intrexon Energy Partners Board were designated by the Company and three members were designated by a majority of the IEP Investors. Upon accumulating 87.5% of the membership interests owned by the IEP Investors in the third quarter of 2022, the Company obtained the right to designate all members of the Intrexon Energy Partners Board. See Note 5 for additional discussion regarding the Company's investment in Intrexon Energy Partners. Intrexon Energy Partners II In 2015, the Company and certain investors (the "IEPII Investors"), entered into a Limited Liability Company Agreement that governs the affairs and conduct of business of Intrexon Energy Partners II, a JV formed to utilize the Company's MBP technology for the production of 1,4-butanediol, an industrial chemical used to manufacture spandex, polyurethane, plastics, and polyester. The Company also entered into an ECC with Intrexon Energy Partners II that provided exclusive rights to the Company's technology for use in the field, as a result of which the Company received a technology access fee of $18,000 while retaining a 50% membership interest in Intrexon Energy Partners II. Intrexon Energy Partners II was governed by the Intrexon Energy Partners II's board of managers, which had five members. Prior to Precigen’s purchase of the membership interests from the IEPII Investors in the third quarter of 2022, one member of the Intrexon Energy Partners II Board was designated by the Company and four members were designated by a majority of the IEPII Investors. Upon acquisition of 97.1% of the membership interests owned by the IEPII Investors in the third quarter of 2022 (the Company purchased the remaining 2.9% membership units in the fourth quarter of 2022), the Company obtained the right to designate all members of the Intrexon Energy Partners II Board. See Note 5 for additional discussion regarding the Company's investment in Intrexon Energy Partners II. Acquisition of Membership Interests in Intrexon Energy Partners and Intrexon Energy Partners II On December 29, 2021, the Company received a letter from a group of investors in each of Intrexon Energy Partners and Intrexon Energy Partners II, referring certain issues to arbitration pursuant to the arbitration provisions of the Amended and Restated Limited Liability Company Agreements of Intrexon Energy Partners and Intrexon Energy Partners II (the “Arbitration Matters”). In July 2022, the arbitration panel ruled on the Arbitration Matters, and adopted the Company’s proposed terms with respect to each of the Arbitration Matters and, pursuant to that ruling, the Company acquired the membership interests of the investors for an aggregate amount of approximately $7,000 in cash. The Company recorded the $7,000 payment as a reduction of the revenue in 2022 (from deferred revenue – see Note 5) upon the Company obtaining control of Intrexon Energy Partners and Intrexon Energy Partners II. The fair value of the net assets of Intrexon Energy Partners and Intrexon Energy Partners II at the acquisition date is deemed to be substantially $0. The Company liquidated and dissolved Intrexon Energy Partners and Intrexon Energy Partners II during the fourth quarter of 2022, which did not have a material impact on the financial statements of the Company. |
Collaboration and Licensing Rev
Collaboration and Licensing Revenue | 12 Months Ended |
Dec. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Collaboration and Licensing Revenue | Collaboration and Licensing Revenue The Company's collaborations and licensing agreements may provide for multiple promises to be satisfied by the Company and typically include a license to the Company's technology platforms, participation in collaboration committees, and performance of certain research and development services. Based on the nature of the promises in the Company's collaboration and licensing agreements, the Company typically combines most of its promises into a single performance obligation because the promises are highly interrelated and not individually distinct. Options to acquire additional services are considered to determine if they constitute material rights. At contract inception, the transaction price is typically the upfront payment received and is allocated to the performance obligations. The Company has determined the transaction price should be recognized as revenue based on its measure of progress under the agreement primarily based on inputs necessary to fulfill the performance obligation. The Company determines whether collaborations and licensing agreements are individually significant for disclosure based on a number of factors, including total revenue recorded by the Company pursuant to collaboration and licensing agreements, collaborators or licensees with equity method investments, or other qualitative factors. Collaboration and licensing revenues generated from consolidated subsidiaries are eliminated in consolidation. The following table summarizes the amounts recorded as revenue in the consolidated statements of operations for each significant counterparty to a collaboration or licensing agreement for the years ended December 31, 2023, 2022, and 2021. Year Ended December 31, 2023 2022 2021 Intrexon Energy Partners, LLC — 3,768 — Intrexon Energy Partners II, LLC — 10,793 — Other 75 100 506 Total (1) $ 75 $ 14,661 $ 506 (1) Collaboration and licensing revenues recognized for the years ended December 31, 2023, 2022, and 2021, include the recognition of $0, $14,561, and $397, respectively, associated with upfront and milestone payments which were previously deferred. The following is a summary of the terms of the Company's significant collaborations and licensing agreements from continuing operations. Intrexon Energy Partners and Intrexon Energy Partners II Collaborations As discussed in Note 4 in July 2022, the Company obtained control of both of Intrexon Energy Partners' board of managers and Intrexon Energy Partners II's board of managers. Based on its assessment of the status of each collaboration and ultimate dissolution of Intrexon Energy Partners and Intrexon Energy Partners II, the Company determined that it was probable that no further performance obligations would occur under the respective collaboration agreements. Accordingly, the Company recognized the remaining balance of deferred revenue associated with Intrexon Energy Partners and Intrexon Energy Partners II, less the amounts paid to acquire the membership interests of the investors of $7,000, for an aggregate amount of revenue recognized of approximately $14,561 . Alaunos License Agreement On April 3, 2023, the Company entered into an amended and restated exclusive license agreement (the “License Agreement”), with Alaunos Therapeutics (“Alaunos”). The License Agreement amended and replaced an Exclusive License Agreement by and between the Company and Alaunos, dated October 5, 2018. Pursuant to the terms of the License Agreement, the Company granted Alaunos an exclusive, worldwide, royalty-free, sub-licensable license to certain patents and know-how to research, develop and commercialize T-cell receptor products, which are referred to as TCR Products,designed for neoantigens for the treatment of cancer or the treatment and prevention of human papilloma virus, or HPV, to the extent that the primary reason for such treatment or prevention is to prevent cancer, which is referred to as the HPV Field. The Company has also granted Alaunos an exclusive, worldwide, royalty-free, sub-licensable license to certain patents relating to the Sleeping Beauty technology to research, develop and commercialize TCR Products (other than those designed for neoantigens) for the treatment of cancer and in the HPV Field. The Company also granted Alaunos certain non-exclusive rights to certain patents and know-how to research, develop and commercialize products developed under or arising from a program of research and development focused on NK cells and gamma delta T-cells in the HPV field. Alaunos has the exclusive right to conduct in its sole discretion, and is solely responsible for all aspects of, the research, development and commercialization of the licensed products for the treatment of cancer and is not subject to a diligence obligation with respect to such efforts. The License Agreement will terminate on a product-by-product and/or country-by-country basis upon the expiration of the last to expire patent claim for each licensed product. In addition, Alaunos may terminate the License Agreement on a country-by-country or program-by-program basis following written notice to the Company, and either party may terminate the License Agreement following notice of a material breach subject to a certain cure period. In consideration of the licenses and other rights granted by the Company, Alaunos will pay the Company an annual license fee of $0.075 million. Neither Alaunos nor the Company will have any other obligations with respect to the payment of milestones or royalties on products developed in connection with the License Agreement. Deferred Revenue Deferred revenue primarily consists of consideration received for the Company's collaboration and licensing agreements. The arrangements classified as long-term are not active while the respective counterparties evaluate the status of the project and its desired future development activities since the Company cannot reasonably estimate the amount of service to be performed over the next year. Deferred revenue consisted of the following: December 31, 2023 2022 Collaboration and licensing agreements $ 1,818 $ 1,818 Prepaid product and service revenues 15 15 Other 494 10 Total $ 2,327 $ 1,843 Current portion of deferred revenue $ 509 $ 25 Long-term portion of deferred revenue 1,818 1,818 Total $ 2,327 $ 1,843 |
Short-term and Long-term Invest
Short-term and Long-term Investments | 12 Months Ended |
Dec. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Short-term and Long-term Investments | Short-term and Long-term Investments The Company's investments are classified as available-for-sale. The following table summarizes the amortized cost, gross unrealized gains and losses, and fair value of available-for-sale investments as of December 31, 2023: Amortized Gross Gross Aggregate United States government debt securities $ 51,704 $ 102 $ (135) $ 51,671 Certificates of deposit 3,361 1 (1) 3,361 Corporate Bonds 245 — — 245 Total $ 55,310 $ 103 $ (136) $ 55,277 The following table summarizes the amortized cost, gross unrealized gains and losses, and fair value of available-for-sale investments as of December 31, 2022: Amortized Gross Gross Aggregate United States government debt securities $ 51,755 $ — $ (760) $ 50,995 Certificates of deposit 97 — — 97 Total $ 51,852 $ — $ (760) $ 51,092 See Notes 2 and 7 for further discussion on the Company's method for determining the fair value of its assets. The estimated fair value of available-for-sale investments was $55,277 at December 31, 2023, and these available-for-sale investments all contractually mature within one year. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements The carrying amount of cash and cash equivalents, receivables, accounts payable, accrued compensation and benefits, and other accrued liabilities approximate fair value due to the short maturity of these instruments. Assets The following table presents the placement in the fair value hierarchy of financial assets that are measured at fair value on a recurring basis as of December 31, 2023: Quoted Prices in Active Markets Significant Other Observable Inputs Significant Unobservable Inputs December 31, Assets United States government debt securities $ — $ 51,671 $ — $ 51,671 Certificates of deposit — 3,361 — 3,361 Corporate Bonds — 245 — 245 Total $ — $ 55,277 $ — $ 55,277 The following table presents the placement in the fair value hierarchy of financial assets that are measured at fair value on a recurring basis as of December 31, 2022: Quoted Prices in Active Markets Significant Other Observable Inputs Significant Unobservable Inputs December 31, Assets United States government debt securities $ — $ 50,995 $ — $ 50,995 Certificates of deposit — 97 — 97 Total $ — $ 51,092 $ — $ 51,092 The method used to estimate the fair value of the Level 2 short-term and long-term debt investments in the tables above is based on professional pricing sources for identical or comparable instruments, rather than direct observations of quoted prices in active markets. Liabilities The calculated fair value of the Convertible Notes (Note 10) was approximately $43,000 as of December 31, 2022, and was based on the recent third-party trades of the instrument as of the balance sheet date. The fair value of the Convertible Notes were classified as Level 2 within the fair value hierarchy as there was not an active market for the Convertible Notes, however, third-party trades of the instrument are considered observable inputs. The Convertible Notes are reflected on the accompanying consolidated balance sheets at amortized cost, which was $43,219 as of December 31, 2022. See Notes 8 and 9 for discussion of non-recurring fair value estimates used in calculating impairment charges recorded during the years ended December 31, 2023, 2022, and 2021. |
Property, Plant and Equipment,
Property, Plant and Equipment, Net | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment, Net | Property, Plant and Equipment, Net Property, plant and equipment consist of the following: December 31, 2023 2022 Land and land improvements $ 164 $ 164 Buildings and building improvements 2,629 2,592 Furniture and fixtures 530 457 Equipment 18,576 18,006 Leasehold improvements 4,380 4,333 Breeding stock 79 123 Computer hardware and software 3,459 4,562 Construction and other assets in progress 1,577 531 31,394 30,768 Less: Accumulated depreciation and amortization (24,283) (23,439) Property, plant and equipment, net $ 7,111 $ 7,329 Depreciation expense was $1,820, $2,393, and $2,866 for the years ended December 31, 2023, 2022, and 2021, respectively. Recorded impairment losses of $445, $638 and $543 for the years ended December 31, 2023, 2022, and 2021, respectively, are included in impairment of other noncurrent assets |
Goodwill and Intangible Assets,
Goodwill and Intangible Assets, Net | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets, Net | Goodwill and Intangible Assets, Net The changes in the carrying amount of goodwill for the years ended December 31, 2023 and 2022, are as follows: 2023 2022 Beginning of year $ 36,923 $ 37,554 Impairment (10,390) (482) Foreign currency translation adjustments 79 (149) End of year $ 26,612 $ 36,923 The Company had $24,873 and $14,483 of cumulative goodwill impairment losses as of December 31, 2023 and 2022. For the year ended December 31, 2023, the Company recorded a $10,390 impairment charge related to the Exemplar reporting unit. As the Company completed its calendar year 2024 forecast in the fourth quarter of 2023, it revised its outlook for the Exemplar business, resulting in lower financial projections compared to the prior year strategic planning cycle. The revised projections were used as a key input into Exemplar's reporting unit’s annual goodwill impairment test performed as of December 31, 2023. The impairment charge represented the estimated excess of carrying value over fair value of this reporting unit. The Company determined the fair value of the Exemplar reporting unit using the income approach in which fair value derived from forecasted future cash flows, discounted at the appropriate rate of return commensurate with the risk as well as current rates of return for equity and debt capital as of the valuation date. The projections incorporated the effect of current market conditions, including revenue growth, customer attrition, operating margins, capital expenditures, and working capital dynamics. The market-based weighted average cost of capital used in the income approach for the Exemplar reporting unit was 12.5% and the terminal growth rate used in the discounted cash flow model was 3%. See Note 16 for information regarding goodwill by reportable segment. Intangible assets consist of the following as of December 31, 2023: Weighted Average Useful Life (Years) Gross Carrying Amount Accumulated Amortization Net Patents, developed technologies and know-how 16.5 $ 82,501 $ (41,800) $ 40,701 Intangible assets consist of the following as of December 31, 2022: Gross Carrying Amount Accumulated Amortization Net Patents, developed technologies and know-how $ 80,892 $ (36,437) $ 44,455 Amortization expense was $4,848, $4,798, and $5,273 for the years ended December 31, 2023, 2022, and 2021, respectively. Estimated aggregate amortization expense for definite lived intangible assets is expected to be as follows: 2024 $ 4,770 2025 4,770 2026 4,770 2027 4,770 2028 4,134 Thereafter 17,487 Total $ 40,701 |
Lines of Credit and Long-Term D
Lines of Credit and Long-Term Debt | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Lines of Credit and Long-Term Debt | Lines of Credit and Long-Term Debt Lines of Credit Exemplar has a $5,000 revolving line of credit with American State Bank that matures on November 1, 2024. As of December 31, 2023, the line of credit bore interest at 8.50% per annum. As of December 31, 2023 and December 31, 2022, there was no outstanding balance. Short-Term Debt As of December 31, 2022, $43,219 of short-term debt consisted solely of the Company's Convertible Notes. Convertible Debt Precigen Convertible Notes In July 2018, Precigen completed a registered underwritten public offering of $200,000 aggregate principal amount of Convertible Notes and issued the Convertible Notes under an indenture (the "Base Indenture") between Precigen and The Bank of New York Mellon Trust Company, N.A., as trustee, as supplemented by the First Supplemental Indenture (together with the Base Indenture, the "Indenture"). Precigen received net proceeds of $193,958 after deducting underwriting discounts and offering expenses of $6,042. The Convertible Notes were senior unsecured obligations of Precigen and bore interest at a rate of 3.50% per year, payable semiannually in arrears on January 1 and July 1 of each year beginning on January 1, 2019. The Convertible Notes matured on July 1, 2023 although certain notes were repurchased prior to maturity beginning in the third quarter of 2022 (as discussed further below). On June 30, 2023, the Company repurchased all remaining outstanding Convertible Notes at par plus accrued interest. As discussed in Note 3, in connection with the sale of Trans Ova in 2022, the Company transferred a total of $200,000 into a segregated account to be used for certain permitted purposes, including resolution of the Company's outstanding Convertible Notes. During the year ended December 31, 2022 and subsequently, the Company executed open market purchases of a portion of the outstanding Convertible Notes. During the year ended December 31, 2023, the Company retired, through open market purchases and payment upon maturity, $43,340 of principal balance and recorded a gain on extinguishment of debt of approximately $60, which was recorded within Other income (expense), net, within the consolidated statements of operations. The Company had previously retired $156,660 of principal balance from purchases during the year ended December 31, 2022. As of December 31, 2023, no restricted cash remained in the segregated account noted above, as all of the Company's outstanding Convertible Notes had been retired. The components of interest expense related to the Convertible Notes were as follows: Year Ended December 31, 2023 2022 2021 Cash interest expense $ 397 $ 5,727 $ 7,000 Non-cash interest expense 60 1,042 11,735 Total interest expense $ 457 $ 6,769 $ 18,735 Accrued interest of $759 was included in other accrued liabilities on the accompanying consolidated balance sheet as of December 31, 2022. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The components of loss from continuing operations before income taxes are presented below: Year Ended December 31, 2023 2022 2021 Domestic $ (93,522) $ (76,572) $ (107,582) Foreign (2,840) (3,394) (3,385) Loss from continuing operations before income taxes $ (96,362) $ (79,966) $ (110,967) The components of income tax benefit from continuing operations are presented below: Year Ended December 31, 2023 2022 2021 United States federal income taxes: Deferred $ (247) $ 37 $ 37 Foreign income taxes: Current — (39) 7 Deferred (152) (198) (215) State income taxes: Current 21 — — Deferred (80) 11 11 Income tax benefit from continuing operations $ (458) $ (189) $ (160) Income tax benefit from continuing operations for the years ended December 31, 2023, 2022, and 2021 differed from amounts computed by applying the applicable United States federal corporate income tax rate of 21% to loss before income taxes as a result of the following: 2023 2022 2021 Computed statutory income tax benefit from continuing operations $ (20,236) $ (16,793) $ (23,303) State and provincial income tax benefit, net of federal income taxes (6,693) (2,884) (4,670) Nondeductible stock based compensation 3,417 179 832 Nondeductible officer compensation 278 263 1,459 Impairment of goodwill — 101 — Nondeductible equity investment loss — 3,093 — Research and development tax incentives (1,383) (991) (958) United States-foreign rate differential (15) 18 (32) Other, net 1,109 533 (46) (23,523) (16,481) (26,718) Change in valuation allowance for deferred tax assets 23,065 16,292 26,558 Total income tax benefit from continuing operations $ (458) $ (189) $ (160) The tax effects of temporary differences that comprise the deferred tax assets and liabilities included in continuing operations as of December 31, 2023 and 2022, are as follows: 2023 2022 Deferred tax assets Allowance for doubtful accounts $ 48 $ 53 Equity securities and investments in affiliates 413 258 Property, plant and equipment 369 284 Intangible assets 64,013 69,807 Accrued liabilities 3,262 3,219 Lease liabilities 1,834 2,182 Stock-based compensation 14,465 17,106 Deferred revenue 478 474 Capitalized research and development cost 23,918 16,318 Research and development tax credits 13,577 12,160 Net operating, capital loss, and interest expense carryforwards 311,154 288,397 Total deferred tax assets 433,531 410,258 Less: (Valuation allowance) 424,432 401,086 Net deferred tax assets 9,099 9,172 Deferred tax liabilities Right-of-use assets 1,830 2,071 Foreign intangible asset 9,116 9,364 Total deferred tax liabilities 10,946 11,435 Net deferred tax liabilities included in continuing operations $ (1,847) $ (2,263) Activity within the valuation allowance for deferred tax assets included in continuing operations during the years ended December 31, 2023, 2022, and 2021 was as follows: 2023 2022 2021 Valuation allowance at beginning of year $ 401,086 $ 408,396 $ 387,348 Increase (decrease) in valuation allowance as a result of Current year continuing operations 23,065 16,292 26,558 Discontinued operations treated as asset sales — (27,909) (3,626) Discontinued operations related to MBP Titan — — (1,186) Adoption of ASU 2020-06 — 4,698 — Foreign currency translation adjustment 281 (391) (698) Valuation allowance at end of year $ 424,432 $ 401,086 $ 408,396 In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities, projected future taxable income and tax planning strategies in making this assessment. Due to the Company and its subsidiaries' histories of net losses incurred from inception, any corresponding net domestic and certain foreign deferred tax assets have been fully reserved as the Company and its subsidiaries cannot sufficiently be assured that these deferred tax assets will be realized. The components of the deferred tax assets and liabilities as of the date of the mergers and acquisitions by the Company prior to consideration of the valuation allowance are substantially similar to the components of deferred tax assets presented herein. The Company's past issuances of stock and mergers and acquisitions have resulted in ownership changes as defined in Section 382 of the Internal Revenue Code of 1986, as amended ("Section 382"). As a result, utilization of portions of the net operating losses may be subject to annual limitations, however as of December 31, 2023, all such limited losses applicable to Precigen, other than losses inherited via acquisition, have been fully utilized. As of December 31, 2023, approximately $39,700 of the Company's domestic net operating losses were inherited via acquisition and are limited based on the value of the target at the time of the transaction. As of December 31, 2023, the Company has net operating loss carryforwards for United States federal income tax purposes of approximately $891,600 available to offset future taxable income, including approximately $675,000 generated after 2017, United States capital loss carryforwards of approximately $212,500, and federal and state research and development tax credits of approximately $13,500, prior to consideration of annual limitations that may be imposed under Section 382. Net operating loss carryforwards generated prior to 2018 begin to expire in 2023, and capital loss carryforwards will expire if unutilized beginning in 2024. As of December 31, 2023, the Company's foreign subsidiaries have foreign loss carryforwards of approximately $73,800, most of which do not expire. The Company and its subsidiaries do not have material unrecognized tax benefits as of December 31, 2023. The Company does not anticipate significant changes in the amount of unrecognized tax benefits in the next 12 months. The Company's tax returns for years 2004 and forward are subject to examination by federal or state tax authorities due to the carryforward of unutilized net operating and capital losses and research and development tax credits. |
Shareholders' Equity
Shareholders' Equity | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Shareholders' Equity | Shareholders' Equity Issuances of Precigen Common Stock In January 2023, the Company closed a public offering of 43,962,640 shares of its common stock, resulting in net proceeds of $72,808, after deducting underwriting discounts, fees, and other underwriting expenses. Of the 43,962,640 shares issued, 11,517,712 shares were purchased by related parties and their affiliates, including the Company's Chief Executive Officer, its Chairman of the Board of Directors and his affiliates, and certain other of the Company's officers. The Company completed the offering of shares of common stock, utilizing a number of underwriters, with J.P. Morgan Securities LLC acting as representative of the underwriters. The services provided by JP Morgan Securities LLC were in the ordinary course of their role as lead underwriter, for which they received customary fees and commissions. In January 2021, the Company closed a public offering of 17,250,000 shares of its common stock, resulting in net proceeds of $121,045, after deducting underwriting discounts and capitalizable offering expenses. Share Lending Agreement Concurrently with the offering of the Convertible Notes (Note 10), Precigen entered into a share lending agreement (the "Share Lending Agreement") with J.P. Morgan Securities LLC (the "Share Borrower") pursuant to which Precigen loaned and delivered 7,479,431 shares of its common stock (the "Borrowed Shares") to the Share Borrower. The Share Lending Agreement terminated on October 1, 2023, and the Borrowed Shares were returned to Precigen on October 5, 2023 and were recorded as treasury shares at that time. The Share Lending Agreement was entered into at fair value and met the requirements for equity classification. Therefore, the value was netted against the issuance of the Borrowed Shares in additional paid-in capital. Additionally, the Borrowed Shares were not included in the denominator for loss per share attributable to Precigen shareholders. At-the-Market Sales Agreement On August 9, 2022, the Company entered into a Controlled Equity Offering Sales Agreement (the “Sales Agreement”) with Cantor Fitzgerald & Co. (the “Agent”), pursuant to which the Company could issue and sell from time to time shares of the Company’s common stock, no par value per share (the “Shares”), through the Agent. The offering and sale of up to $100,000 of the Shares was registered under the Securities Act of 1933. The Company had no obligation to sell any of the Shares under the Sales Agreement, and could at any time suspend or terminate the offering of its common stock pursuant to the Sales Agreement upon notice and subject to other conditions. The Company intended to use the proceeds of any sales to fund the development of clinical and preclinical product candidates and for working capital and other general corporate purposes. On July 1, 2023, the Company’s shelf registration statement on Form S-3 (file number 333-239366) pursuant to which the shares available under the sales Agreement had been registered, expired. The Company filed a new Registration Statement on Form S-3 (file number 333-276337) with the Securities and Exchange Commission (“SEC”) on December 29, 2023, which was declared effective by the SEC on January 17, 2024. However, the Company has not renewed the Sales Agreement in conjunction with the effectiveness of the new Registration Statement and therefore is precluded from selling Shares through the Agent. No shares were sold in connection with the Sales Agreement during the years ended December 31, 2022 and 2023. Components of Accumulated Other Comprehensive loss The components of accumulated other comprehensive loss are as follows: December 31, 2023 2022 Unrealized loss on investments $ (33) $ (760) Loss on foreign currency translation adjustments (1,914) (2,728) Total accumulated other comprehensive loss $ (1,947) $ (3,488) |
Share-Based Payments
Share-Based Payments | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Share-Based Payments | Share-Based Payments The Company measures the fair value of stock options and RSUs issued to employees and nonemployees as of the grant date for recognition of stock-based compensation expense. Stock-based compensation expense for employees and nonemployees is recognized over the requisite service period, which is typically the vesting period. Stock-based compensation costs included in the consolidated statements of operations are presented below: Year Ended December 31, 2023 2022 2021 Cost of products and services $ 72 $ 110 $ 161 Research and development 2,237 2,188 2,706 Selling, general and administrative 7,579 7,899 10,687 Discontinued operations — 9 350 Total $ 9,888 $ 10,206 $ 13,904 Precigen Equity Compensation Plans In August 2013, Precigen adopted the 2013 Omnibus Incentive Plan (the "2013 Plan"), for employees and nonemployees pursuant to which Precigen's board of directors granted share-based awards, including stock options, restricted stock units, shares of common stock and other awards, to employees, officers, consultants, advisors, and nonemployee directors. Upon the effectiveness of the 2023 Omnibus Incentive Plan (the "2023 Plan") by Precigen's shareholders in June 2023, as discussed in the next paragraph, no new awards may be granted under the 2013 Plan and any awards granted under the 2013 Plan prior to the effectiveness of the 2023 Plan will remain outstanding under such plan and will continue to vest and/or become exercisable in accordance with their original terms and conditions. As of December 31, 2023, there were 18,559,333 stock options and no RSUs outstanding under the 2013 Plan. The 2023 Plan permits the grant of share-based awards, including stock options, restricted stock awards, RSUs, performanced-based awards and other awards, to officers, employees and nonemployees. The 2023 Plan authorizes for issuance pursuant to awards under the 2023 Plan an aggregate of 16,418,137 shares, which included shares remaining available for issuance under the 2013 Plan upon the adoption of the 2023 Plan. As of December 31, 2023, there were 340,000 stock options and no RSUs were outstanding under the 2023 Plan and 16,078,137 shares were available for grant. In April 2019, Precigen adopted the 2019 Incentive Plan for Non-Employee Service Providers (the "2019 Plan"), which became effective upon shareholder approval in June 2019. The 2019 Plan permits the grant of share-based awards, including stock options, restricted stock awards, and RSUs, to non-employee service providers, including board members. As of December 31, 2023, there were 12,000,000 shares authorized for issuance under the 2019 Plan, of which 3,158,007 stock options and 961,534 RSUs were outstanding and 4,502,466 shares were available for grant. Stock options may be granted with an exercise price equal to or greater than the stock's fair market value at the date of grant. Stock options may be granted with an exercise price less than the stock's fair market value at the date of grant only if the stock options are replacement options in accordance with certain United States Treasury regulations. All stock options have terms of up to ten-year and vest four years from the date of grant. Stock option activity was as follows: Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (Years) Balances at December 31, 2020 11,255,896 $ 15.53 7.25 Granted 2,058,820 7.59 Exercised (127,883) (4.75) Forfeited (305,293) (7.02) Expired (621,353) (24.61) Balances at December 31, 2021 12,260,187 14.06 6.79 Granted 4,451,890 2.22 Exercised (375) (2.28) Forfeited (567,179) (5.19) Expired (943,247) (22.32) Balances at December 31, 2022 15,201,276 10.41 6.87 Granted 7,847,869 1.19 Exercised — — Forfeited (275,250) (2.65) Expired (716,555) (20.41) Balances at December 31, 2023 22,057,340 6.90 7.12 Exercisable at December 31, 2023 11,396,409 10.62 5.72 Total unrecognized compensation costs related to unvested awards as of December 31, 2023 were $10,217 and are expected to be recognized over a weighted-average period of approximately 2.34 years. The weighted average grant date fair value of options granted during 2023, 2022, and 2021 was $0.92, $1.65, and $5.57, respectively. The aggregate intrinsic value of options exercised during 2023, 2022, and 2021 was $0, $0, and $225, respectively. The aggregate intrinsic value of options is calculated as the difference between the exercise price of the underlying options and the fair value of Precigen's common stock for those shares where the exercise price was lower than the fair value of Precigen's common stock on the date of exercise. RSU activity was as follows: Number of Restricted Stock Units Weighted Average Grant Date Fair Value Weighted Average Remaining Contractual Term (Years) Balances at December 31, 2020 1,727,712 $ 6.11 0.42 Granted 462,019 7.87 Vested (1,624,013) (5.76) Forfeited (97,237) (8.96) Balances at December 31, 2021 468,481 8.47 0.33 Granted 1,387,831 2.12 Vested (1,125,785) (4.29) Forfeited (32,712) (7.26) Balances at December 31, 2022 697,815 2.66 0.13 Granted 4,083,777 1.01 Vested (3,820,058) (1.27) Forfeited — — Balances at December 31, 2023 961,534 1.17 0.19 Total unrecognized compensation costs related to unvested RSU awards as of December 31, 2023 were $212 and are expected to be recognized over a weighted-average period of approximately 0.2 years. Precigen currently uses treasury shares and authorized and unissued shares to satisfy share award exercises. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Contingencies In October 2020, several shareholder class action lawsuits were filed in the United States District Court for the Northern District of California on behalf of certain purchasers of the Company's common stock. The complaints name as defendants the Company and certain of its current and former officers. The plaintiffs' claims challenged disclosures about the MBP program from May 10, 2017 to March 1, 2019. In March 2021, the court granted an order consolidating the claims and, in April 2021, appointed a lead plaintiff and lead counsel in the case, captioned In re Precigen Securities Litigation , Case No. 5:20-cv-06936-BLF (N.D. Cal.). On May 18, 2021, the lead plaintiff filed an Amended Class Action Complaint. On August 2, 2021, the defendants moved to dismiss the Amended Class Action Complaint. On September 27, 2021, the lead plaintiff filed a Second Amended Class Action Complaint in lieu of a response to the defendants’ motion to dismiss. On November 3, 2021, the defendants moved to dismiss the Second Amended Class Action Complaint and on May 31, 2022, the court granted the defendants’ motion to dismiss the Second Amended Class Action Complaint with leave to amend. On August 1, 2022, the lead plaintiff filed a Third Amended Class Action Complaint. On August 2, 2022 the Court granted the parties' request to conduct a private mediation session to explore potential resolution of the action. On November 17, 2022, at the conclusion of the mediation session, the parties executed a memorandum of understanding that agreed in principle to resolve the claims asserted in the securities class action. The settlement provides for a payment to the plaintiff class of $13,000. As a result, the shareholder class action lawsuit was resolved. As of December 31, 2022, the Company recorded an accrual of $13,000 in settlement and indemnification accruals on the consolidated balance sheet for this matter. In addition, the Company recognized an insurance receivable asset of $12,411 within Receivables, other, on the consolidated balance sheet as of December 31, 2022, in addition to expense recognized in 2022 of $589 recorded in selling, general and administrative on the consolidated statement of operations, the amount remaining on its self-insured retention/deductible. On November 6, 2023, the Court granted final approval of the settlement, dismissed the litigation with prejudice, and entered final judgment. As a result, the Company had no amounts recorded in settlement and indemnification accruals or an insurance receivable asset on the consolidated balance sheet as of December 31, 2023. In December 2020, a derivative shareholder action, captioned Edward D. Wright, derivatively on behalf of Precigen, Inc. F/K/A Intrexon Corp. v. Alvarez et al , was filed in the Circuit Court for Fairfax County in Virginia on behalf of Precigen, Inc. asserting similar claims under state law against Precigen's current directors and certain officers. The plaintiff seeks damages, forfeiture of benefits received by defendants, and an award of reasonable attorneys' fees and costs. The case was stayed by an order entered on June 14, 2021. On September 24, 2021, an individual shareholder filed a lawsuit in the Circuit Court for Henrico County styled Kent v. Precigen , Inc., Case CL21-6349. The Kent action demands inspection of certain books and records of the Company pursuant to Virginia statutory and common law. On April 1, 2022, the court denied the demurrer and referred the matter to a hearing on the merits. The Company intends to defend the lawsuits vigorously; however, there can be no assurances regarding the ultimate outcome of these lawsuits. In the course of its business, the Company is involved in litigation or legal matters, including governmental investigations. Such matters may result in adverse judgments, unfavorable settlements, or concessions by the Company, or adverse regulatory action, any of which could harm the Company’s business or operations. Moreover, such matters are subject to many uncertainties and outcomes are not predictable with assurance. The Company accrues liabilities for such matters when it is probable that future expenditures will be made and such expenditures can be reasonably estimated. As of December 31, 2023, the Company does not believe that any such matters, individually or in the aggregate, will have a material adverse effect on the Company's business, financial condition, results of operations, or cash flows. |
Operating Leases
Operating Leases | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Operating Leases | Operating Leases The Company leases certain facilities and equipment under operating leases. Leases with a lease term of twelve months or less are considered short-term leases and are not recorded on the balance sheet, and expense for these leases is recognized over the term of the lease. All other leases have remaining terms of less than one . The leases are renewable at the option of the Company and do not contain residual value guarantees, covenants, or other restrictions. The components of lease costs were as follows: Year Ended December 31, 2023 2022 2021 Operating lease costs $ 2,234 $ 2,444 $ 2,872 Short-term lease costs 52 170 252 Variable lease costs 384 422 800 Lease costs $ 2,670 $ 3,036 $ 3,924 As of December 31, 2023, maturities of lease liabilities, excluding short-term and variable leases, for continuing operations were as follows: 2024 $ 1,946 2025 1,911 2026 1,507 2027 1,239 2028 1,260 Thereafter 1,847 Total 9,710 Present value adjustment (2,613) Total $ 7,097 Current portion of operating lease liabilities $ 1,202 Long-term portion of operating lease liabilities 5,895 Total $ 7,097 Other information related to operating leases in continuing operations was as follows: December 31, 2023 2022 Weighted average remaining lease term (years) 5.39 6.09 Weighted average discount rate 11.20 % 11.05 % Year Ended December 31, 2023 2022 2021 Supplemental disclosure of cash flow information Cash paid for operating lease liabilities $ 2,326 $ 2,493 $ 3,199 Operating lease right-of-use assets obtained in exchange for new lease liabilities (includes new leases or modifications of existing leases) 399 466 4,868 During the years ended December 31, 2022 and 2021 the Company recorded impairment charges related to right-of-use assets. See Note 8 for further discussion. |
Segments
Segments | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
Segments | Segments The Company's CODM assesses the operating performance of and allocates resources for several operating segments using Segment Adjusted EBITDA. Management believes this financial metric is a key indicator of operating results since it excludes noncash revenues and expenses that are not reflective of the underlying business performance of an individual enterprise. The Company defines Segment Adjusted EBITDA as net income (loss) before (i) interest expense and interest income, (ii) income tax expense or benefit, (iii) depreciation and amortization, (iv) stock-based compensation expense, (v) loss on settlement agreements where noncash consideration is paid, (vi) adjustments for accrued bonuses paid in equity awards, (vii) gain or loss on disposals of assets, (viii) loss on impairment of goodwill and other noncurrent assets, (ix) equity in net loss of affiliates, and (x) recognition of previously deferred revenue associated with upfront and milestone payments as well as cash outflows from capital expenditures and investments in affiliates but includes proceeds from the sale of assets in the period sold. Segment Adjusted EBITDA excludes the gain or loss on disposals of assets and include proceeds from the sale of assets in the period sold. Because the Company uses Segment Adjusted EBITDA as its primary measure of segment performance, it has included this measure in its discussion of segment operating results. The Company has also disclosed revenues from external customers and intersegment revenues for each reportable segment. The CODM does not use total assets by segment to evaluate segment performance or allocate resources, and accordingly, these amounts are not required to be disclosed. The Company's segment presentation excludes amounts related to the operations of MBP Titan and Trans Ova which are reported as discontinued operations (Note 3). For the year ended December 31, 2023, the Company's reportable segments were (i) Biopharmaceuticals and (ii) Exemplar. These identified reportable segments met the quantitative thresholds to be reported separately for the year ended December 31, 2023. See Note 2 for a description of Biopharmaceuticals and Exemplar. Segment Adjusted EBITDA by reportable segment was as follows: Year Ended December 31, 2023 2022 2021 Biopharmaceuticals $ (75,339) $ (77,542) $ (78,891) Exemplar (726) 4,997 6,898 Segment Adjusted EBITDA for operating segments $ (76,065) $ (72,545) $ (71,993) The table below reconciles Segment Adjusted EBITDA for reportable segments to consolidated net loss from continuing operations before income taxes: Year Ended December 31, 2023 2022 2021 Segment Adjusted EBITDA for reportable segments $ (76,065) $ (72,545) $ (71,993) Remove cash paid for capital expenditures net of proceeds from sale of assets 1,438 1,395 2,524 Interest Income 3,237 133 171 Add recognition of previously deferred revenue associated with upfront and milestone payments — 14,561 2,034 Other expenses: Interest expense (468) (6,774) (18,755) Depreciation and amortization (6,668) (7,191) (8,139) Gain (loss) from disposals of assets 72 — (53) Impairment losses (10,835) (1,120) (543) Stock-based compensation expense (9,888) (10,197) (13,554) Adjustment related to accrued bonuses paid in equity awards 3,361 1,698 — Equity in net income (loss) of affiliates — 862 (3) Shares issue for payment of services (545) (575) (577) Other (1) (107) (17) Eliminations — (106) (2,062) Consolidated loss from continuing operations before income taxes $ (96,362) $ (79,966) $ (110,967) Revenues by reportable segment were as follows: Year Ended December 31, 2023 Biopharmaceuticals Exemplar Total Revenues from external customers/Total segment revenues $ 75 $ 6,150 $ 6,225 Year Ended December 31, 2022 Biopharmaceuticals Exemplar Total Revenues from external customers/Total segment revenues $ 14,894 $ 12,015 $ 26,909 Year Ended December 31, 2021 Biopharmaceuticals Exemplar Total Revenues from external customers/Total segment revenues $ 922 $ 13,345 $ 14,267 Total segment revenues from reportable segments equal total consolidated revenues. For the years ended December 31, 2023, 2022, and 2021, 74.6%, 59.6%, and 61.5% of total Exemplar segment revenue was attributable to four customers in 2023 and one for 2022 and 2021, respectively. The Company recognized revenues derived in foreign countries totaling $0, $233, and $378 for the years ended December 31, 2023, 2022 and 2021, respectively. Goodwill by reportable segment was as follows: Biopharmaceuticals Exemplar Total Goodwill Balances at December 31, 2021 $ 17,478 $ 20,076 $ 37,554 Impairments (482) — $ (482) Foreign currency translation adjustments (149) — (149) Balances at December 31, 2022 16,847 20,076 36,923 Foreign currency translation adjustments 79 — 79 Impairments — (10,390) (10,390) Balances at December 31, 2023 $ 16,926 $ 9,686 $ 26,612 |
Defined Contribution Plans
Defined Contribution Plans | 12 Months Ended |
Dec. 31, 2023 | |
Retirement Benefits [Abstract] | |
Defined Contribution Plans | Defined Contribution Plans The Company sponsors defined contribution plans covering employees who meet certain eligibility requirements. The Company makes contributions to the plans in accordance with terms specified in the plan agreement. The Company's contributions to the plans were $178, $564, and $388 for the years ended December 31, 2023, 2022, and 2021, respectively. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation The accompanying consolidated financial statements reflect the operations of Precigen and its majority-owned subsidiaries. All intercompany accounts and transactions have been eliminated. |
Revenue Recognition | Revenue Recognition The Company recognizes revenue when its customer obtains control of the promised goods or services, in an amount that reflects the consideration that the Company expects to receive in exchange for those goods or services. To determine revenue recognition for arrangements that are within the scope of Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC") Topic 606, Revenue from Contracts with Customers ("ASC 606"), the Company performs the following five steps: (i) identify the contract(s) with a customer, (ii) identify the promises and distinct performance obligations in the contract, (iii) determine the transaction price, (iv) allocate the transaction price to the performance obligations in the contract, and (v) recognize revenue when (or as) the Company satisfies the performance obligations. Collaboration and licensing revenues The Company has historically generated collaboration and licensing revenues through agreements with collaborators (known as exclusive channel collaborations or "ECCs") and licensing agreements whereby the collaborators or the licensee obtained exclusive access to the Company's proprietary technologies for use in the research, development and commercialization of products and/or treatments in a contractually specified field of use. Generally, the terms of these agreements provided that the Company received some or all of the following: (i) upfront payments upon consummation of the agreement; (ii) reimbursements for costs incurred by the Company for research and development and/or manufacturing efforts related to specific applications provided for in the agreement; (iii) milestone payments upon the achievement of specified development, regulatory, and commercial activities; and (iv) royalties on sales of products arising from the collaboration or licensing agreement. The agreement typically continued in perpetuity unless terminated and each of the Company's collaborators retain a right to terminate the agreement upon providing the Company written notice a certain period of time prior to such termination, generally 90 days. The Company's collaboration and licensing agreements typically contain multiple promises, including technology licenses, research and development services and, in certain cases, manufacturing services. The Company determined whether each of the promises is a distinct performance obligation. As the nature of the promises in the Company's collaboration and licensing agreements were highly integrated and interrelated, the Company typically combined most of its promises into a single performance obligation. Because the Company was performing research and development services during early-stage development, the services were integral to the utilization of the technology license. Therefore, the Company determined that the technology license and research and development services were typically inseparable from each other during the performance period of its collaboration and licensing agreements. Options to acquire additional services were considered to determine if they constituted material rights. Contingent manufacturing services that may be provided under certain of the Company's agreements were considered to be a separate future contract and not part of the collaboration or licensing agreement. At contract inception, the Company determined the transaction price, including fixed consideration and any estimated amounts of variable consideration. The transaction price was allocated to the performance obligations in the agreement based on the standalone selling price of each performance obligation. The Company utilized judgment to determine the most appropriate method to measure its progress of performance under the agreement, primarily based on inputs necessary to fulfill the performance obligation. From time to time, the Company and certain collaborators may cancel their agreements, relieving the Company of any further performance obligations under the agreement. Upon such cancellation or when the Company has determined no further performance obligations are required of the Company under an agreement, the Company recognizes any remaining deferred revenue as revenue. Product and service revenues The Company's product and service revenues are generated through Exemplar which generates product and service revenues through the development and sale of genetically engineered miniature swine models. The Company evaluates each promised product or service under its contracts and identifies performance obligations for each distinct product or service. The Company then allocates the transaction price of the contract to each performance obligation, recognizing the transaction price as revenue at a point in time when control of the promised product or over time when the promised service is rendered. The Company typically recognizes revenue using an output-based measure, generally time elapsed or days of service, to measure progress and transfer of the control of the performance obligation to the customer. Payment terms are typically due within 30 days of invoicing, which occurs prior to or when revenue is recognized. |
Research and Development | Research and Development The Company considers that regulatory requirements inherent in the research and development of new products preclude it from capitalizing such costs. Research and development expenses include salaries and related costs of research and development personnel, including stock-based compensation expense, costs to acquire or reacquire technology rights, contract research organizations and consultants, facilities, materials and supplies associated with research and development projects as well as various laboratory studies. Costs incurred in conjunction with collaboration and licensing arrangements are included in research and development. Indirect research and development costs include depreciation, amortization, and other indirect overhead expenses. The Company has research and development arrangements with third parties that include upfront and milestone payments. As of December 31, 2023 and 2022, the Company had research and development commitments with third parties that had not yet been incurred totaling $17,800 and $19,909, respectively. The commitments are generally cancellable by the Company by providing written notice at least sixty days before the desire termination date. |
Cash and Cash Equivalents | Cash and Cash Equivalents All highly liquid investments with an original maturity of three months or less at the date of purchase are considered to be cash equivalents. Cash balances at a limited number of banks may periodically exceed insurable amounts. The Company believes that it mitigates its risk by investing in or through major financial institutions. Recoverability of investments is dependent upon the performance of the issuer. |
Restricted Cash | This cash was restricted for the permitted purposes related to our Convertible Notes, including the resolution of such notes. See Note 10 for further discussion. |
Short-term and Long-Term Investments | Short-term and Long-Term Investments |
Fair Value of Financial Instruments | Fair Value of Financial Instruments Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset and liability. As a basis for considering such assumptions, the Company uses a three-tier fair value hierarchy that prioritizes the inputs used in its fair value measurements. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are as follows: Level 1: Quoted prices in active markets for identical assets and liabilities; Level 2: Other than quoted prices included in Level 1 inputs that are observable for the asset or liability, either directly or indirectly; and Level 3: Unobservable inputs for the asset or liability used to measure fair value to the extent that observable inputs are not available. |
Concentrations of Risk | Concentrations of Risk Due to the Company's fixed rate securities holdings, the Company's investment portfolio is susceptible to changes in interest rates. As of December 31, 2023, gross unrealized losses on the Company's short-term investments were not material. From time to time, the Company may liquidate some or all of its investments to fund operational needs or other activities, such as capital expenditures or business acquisitions. Although the Company has no intent to liquidate such investments, depending on which investments the Company liquidates to fund these activities, the Company could recognize a portion, or all, of the gross unrealized losses. Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of trade and other receivables. The Company manages credit risk through credit approvals, credit limits, and monitoring procedures. The Company performs ongoing credit evaluations of its customers but generally does not require collateral to support accounts receivable. |
Equity Method Investments | Equity Method Investments |
Variable Interest Entities | Variable Interest Entities |
Accounts Receivables | Accounts Receivable The Company's expected loss allowance methodology for accounts receivable is developed using historical collection experience, current and future economic and market conditions, and a review of the current status of accounts receivables. Balances are written off at the point when collection attempts have been exhausted. Estimates are used to determine the loss allowance, which is based on assessment of anticipated payment and other historical, current, and future information that is reasonably available. |
Property, Plant and Equipment | Property, Plant and Equipment Property, plant and equipment are stated at cost, less accumulated depreciation and amortization. Major additions or betterments are capitalized and repairs and maintenance are expensed as incurred. Depreciation and amortization is calculated using the straight-line method over the estimated useful lives of the assets. The estimated useful lives of these assets from continuing operations are as follows: Years Land improvements 9–15 Buildings and building improvements 9–15 Furniture and fixtures 2–7 Equipment 3–7 Breeding stock 2 Computer hardware and software 1–5 Leasehold improvements are amortized over the shorter of the useful life of the asset or the applicable lease term, generally one |
Operating Leases | Operating Leases The Company determines if an arrangement is a lease at inception. Operating leases are included as right-of-use assets ("ROU Assets") and lease liabilities on the consolidated balance sheets. The Company has elected not to recognize ROU Assets or lease liabilities for leases with lease terms of one year or less. Lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. The initial measurement of the ROU Asset also includes any lease payments made, adjusted for lease incentives. For leases that contain fixed non-lease payments, the Company accounts for the lease and non-lease components as a single lease component. Variable lease payments, which primarily include payments for non-lease components such as maintenance costs, are excluded from the ROU Assets and lease liabilities and are recognized in the period in which the obligation for those payments is incurred. As the Company's operating leases do not provide an implicit interest rate, the Company uses its incremental borrowing rate at the lease commencement date, which is the estimated rate the Company would be required to pay for a collateralized borrowing equal to the total lease payments over the term of the lease, in determining the present value of future payments. The lease term for all of the Company's leases includes the noncancelable period of the lease plus any additional periods covered by options that the Company is reasonably certain to exercise, either to extend or to not terminate the lease. Lease expense is recognized on a straight-line basis over the lease term. |
Goodwill | Goodwill Goodwill represents the future economic benefits arising from other assets acquired in a business combination that are not individually identified and separately recognized. Goodwill is reviewed for impairment at least annually. The Company may elect to perform a qualitative assessment to determine whether it is more-likely-than-not that the fair value of a reporting unit is less than its carrying amount prior to performing the goodwill impairment test. If this is the case, the quantitative goodwill impairment test is required. If it is more-likely-than-not that the fair value of a reporting unit is greater than the carrying amount, the quantitative goodwill impairment test is not required. When a quantitative goodwill impairment test is performed, the fair value of the reporting unit is compared with its carrying amount (including goodwill). If the fair value of the reporting unit is less than its carrying amount, the entity must record the impairment charge for the excess carrying amount, which is limited to the amount of goodwill allocated to the reporting unit. If the fair value of the reporting unit exceeds its carrying amount, no goodwill impairment charge is necessary. The Company performs its annual impairment review of goodwill on December 31 and performs incremental impairment reviews if a triggering event occurs prior to the annual impairment review. |
Intangible Assets | Intangible Assets Intangible assets subject to amortization consist of patents, developed technologies and know-how; customer relationships; and trademarks acquired as a result of mergers and acquisitions. These intangible assets are subject to amortization, were recorded at fair value at the date of acquisition, and are stated net of accumulated amortization. The Company amortizes long-lived intangible assets to reflect the pattern in which the economic benefits of the intangible asset are expected to be realized. The intangible assets are amortized over their estimated useful lives, ranging from three |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets Long-lived assets to be held and used, including property, plant and equipment, ROU Assets, and intangible assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the assets may not be recoverable. Conditions that would necessitate an impairment assessment include a significant decline in the observable market value of an asset, a significant change in the extent or manner in which an asset is used, or a significant adverse change that would indicate that the carrying amount of an asset or group of assets is not recoverable. |
Foreign Currency Translation | Foreign Currency Translation The assets and liabilities of foreign subsidiaries, where the local currency is the functional currency, are translated from their respective functional currencies into United States dollars at the exchange rates in effect at the balance sheet date, with resulting foreign currency translation adjustments recorded in the consolidated statement of comprehensive income (loss). Revenue and expense amounts are translated at average rates during the period. |
Income Taxes | Income Taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to both differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases as well as operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date of the change. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. The Company identifies any uncertain income tax positions and recognizes the effect of income tax positions only if those positions are more likely than not of being sustained. Recognized income tax positions are measured at the largest amount that is greater than 50% likely of being realized. Changes in recognition or measurement are reflected in the period in which the change in judgment occurs. The Company records interest, if any, related to unrecognized tax benefits as a component of interest expense. Penalties, if any, are recorded in selling, general and administrative expenses. |
Share-Based Payments | Share-Based Payments Precigen uses the Black-Scholes option pricing model to estimate the grant-date fair value of all stock options. The Black-Scholes option pricing model requires the use of assumptions for estimated expected volatility, estimated expected term of stock options, risk-free rate, estimated expected dividend yield, and the fair value of the underlying common stock at the date of grant. Through 2019, since Precigen did not have sufficient history to estimate the expected volatility of its common stock price, expected volatility was based on a blended approach that utilized the volatility of Precigen's common stock and the volatility of peer public entities that were similar in size and industry. Beginning in 2020, for stock options with an expected term where there is sufficient history available, expected volatility is based on the volatility of Precigen's common stock. For any stock options where sufficient history is not available for the expected term, expected volatility is based on the blended approach discussed above. Precigen estimates the expected term of options based on previous history of exercises unless certain terms of the stock option require a different expected term that more appropriately reflects the estimated life of the stock option. The risk-free rate is based on the United States Treasury yield curve in effect at the time of grant for the expected term of the option. The expected dividend yield is 0% as Precigen does not expect to declare cash dividends in the near future. The fair value of the underlying common stock is determined based on the quoted market price on the Nasdaq Global Select Market ("Nasdaq"). Forfeitures are recorded when incurred. The assumptions used in the Black-Scholes option pricing model for the years ended December 31, 2023, 2022, and 2021 are set forth in the table below: 2023 2022 2021 Valuation assumptions Expected dividend yield 0% 0% 0% Expected volatility 85%–95% 87%–89% 87%–90% Expected term (years) 6.00-10.00 6.25 6.00 Risk-free interest rate 3.52%–4.80% 1.64%–4.12% 0.61%–1.33% |
Net Income (Loss) per Share | Net Income (Loss) per Share Basic net income (loss) per share is calculated by dividing net income (loss) attributable to common shareholders by the weighted average shares outstanding during the period, without consideration of common stock equivalents. Diluted net income (loss) per share is calculated by adjusting weighted average shares outstanding for the dilutive effect of common stock equivalents outstanding for the period, using the treasury-stock method. For purposes of the diluted net income (loss) per share calculation, shares to be issued pursuant to convertible debt, stock options, RSUs, and warrants are considered to be common stock equivalents but are excluded from the calculation of diluted net income (loss) per share because their effect would be anti-dilutive as described in the next paragraph, therefore, basic and diluted net income (loss) per share were the same for all periods presented. See Note 12 for further discussion of the Company's Share Lending Agreement, which was terminated in October 2023. |
Segment Information | Segment Information The Company's chief operating decision maker ("CODM") regularly reviews disaggregated financial information for various operating segments. The financial information regularly reviewed by the CODM consists of (i) Biopharmaceuticals and (ii) Exemplar, each an operating segment which were also determined to be reportable segments. The Biopharmaceuticals reportable segment is primarily comprised of the Company's legal entities of Precigen and ActoBio. See Note 1 for a description of Precigen, ActoBio and Exemplar. Prior to January 1, 2023, corporate expenses were not allocated to the segments and were managed at a consolidated level. Corporate expenses, include costs associated with general and administrative functions, including the Company's finance, accounting, legal, human resources, information technology, corporate communication, and investor relations functions. Corporate expenses exclude interest expense, depreciation and amortization, gain or loss on disposals of assets, stock-based compensation expense, loss on settlement agreement, and equity in net loss of affiliates and include unrealized and realized gains and losses on the Company's securities portfolio as well as dividend income. Beginning in the first quarter of 2023, the Company allocated certain corporate expenses to Precigen as its operations directly benefited from these expenditures, and are now included in the Biopharmaceuticals reportable segment. As presented in Note 16, the prior year period has been reclassified to conform to the current period’s presentation. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncements In August 2020, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2020-06, Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity's Own Equity (Subtopic 815-40)—Accounting for Convertible Instruments and Contracts in an Entity's Own Equity ("ASU 2020-06"). Under ASU 2020-06, the embedded conversion features are no longer separated from the host contract for convertible instruments with conversion features that are not required to be accounted for as derivatives under Topic 815, or that do not result in substantial premiums accounted for as paid-in capital. Consequently, a convertible debt instrument will be accounted for as a single liability measured at its amortized cost, as long as no other features require bifurcation and recognition as derivatives. The new guidance also requires the if-converted method to be applied for all convertible instruments. We adopted ASU 2020-06 on January 1, 2022 using the modified retrospective transition method, which resulted in an increase to our reported long-term debt outstanding, net of current portion, of $18,196, a decrease to our additional paid-in capital of $36,868, and a corresponding cumulative-effect reduction to our opening accumulated deficit of $18,672. Upon the adoption of ASU 2020-06, non-cash interest expense related to existing convertible debt outstanding at January 1, 2022 was expected to be reduced by approximately $11,800 for the year ended December 31, 2022, and did not have an impact on our consolidated cash flows. The use of the if-converted method did not have an impact on our overall earnings per share calculation. Recently Issued Accounting Pronouncements Not Yet Adopted In August 2023, the FASB issued Accounting Standards Update No. 2023-05, Business Combinations—Joint Venture Formations (Subtopic 805-60): Recognition and Initial Measurement (“ASU 2023-05”). ASU 2023-05 clarifies existing guidance to reduce diversity in practice and is requiring a joint venture to recognize and initially measure its assets and liabilities using a new basis of accounting, at fair value, upon formation. These amendments are effective prospectively for all joint venture formations with a formation date on or after January 1, 2025. We do not believe the adoption of ASU 2023-05 will have a material impact on our consolidated financial statements and disclosures. In November 2023, the FASB issued ASU 2023-07, Segment Reporting—Improvements to Reportable Segment Disclosures. According to ASU 2023-07, public entities are required to disclose its significant segment expense categories and amounts for each reportable segment. A significant segment expense is an expense that is significant to the segment, regularly provided to or easily computed from information regularly provided to the chief operating decision maker and included in the reported measure of segment profit or loss. This updated standard is effective for public entities for fiscal years beginning after December 15, 2023, and interim periods in fiscal years beginning after December 15, 2024. We do not believe the adoption of ASU 2023-07 will have a material impact on our consolidated financial statements and disclosures. There are no other new accounting standards which have not yet been adopted that are expected to have a significant impact on our financial statements and related disclosures. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Accounts Receivable, Allowance for Credit Losses | The following table shows the activity in the allowance for credit losses for the years ended December 31, 2023, 2022, and 2021: 2023 2022 2021 Beginning balance $ 184 $ 1,693 $ 1,509 Charged to operating expenses — — 140 Write offs of accounts receivable, net of recoveries — (1,509) 44 Ending balance $ 184 $ 184 $ 1,693 |
Estimated Useful Lives of Property, Plant and Equipment | The estimated useful lives of these assets from continuing operations are as follows: Years Land improvements 9–15 Buildings and building improvements 9–15 Furniture and fixtures 2–7 Equipment 3–7 Breeding stock 2 Computer hardware and software 1–5 Leasehold improvements are amortized over the shorter of the useful life of the asset or the applicable lease term, generally one |
Summary of Assumptions Used in Option Pricing Model | The assumptions used in the Black-Scholes option pricing model for the years ended December 31, 2023, 2022, and 2021 are set forth in the table below: 2023 2022 2021 Valuation assumptions Expected dividend yield 0% 0% 0% Expected volatility 85%–95% 87%–89% 87%–90% Expected term (years) 6.00-10.00 6.25 6.00 Risk-free interest rate 3.52%–4.80% 1.64%–4.12% 0.61%–1.33% |
Potentially Dilutive Securities Excluded from Calculation of Net Loss per Share | The following potentially dilutive securities as of December 31, 2023, 2022, and 2021, have been excluded from the computations of diluted weighted average shares outstanding for the years then ended as they would have been anti-dilutive: December 31, 2023 2022 2021 Options 22,057,340 15,201,276 12,260,187 Restricted stock units 961,534 697,815 468,481 Warrants — — 121,888 Total 23,018,874 15,899,091 12,850,556 |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Disposal Groups, Including Discontinued Operations | The following table presents the financial results of discontinued operations related to TransOva through the date of disposition in 2022: Year Ended December 31, 2022 2021 Product revenues $ 21,494 $ 25,131 Service revenues 49,657 64,475 Total revenues 71,151 89,606 Cost of products 18,634 23,070 Cost of services 22,701 29,570 Research and development 2,348 2,208 Selling, general and administrative 15,215 22,128 Total operating expenses 58,898 76,976 Operating income 12,253 12,630 Other income, net 1,139 1,412 Gain on divestiture 94,702 — Income before income taxes $ 108,094 $ 14,042 Income tax (expense) benefit — — Income from discontinued operations $ 108,094 $ 14,042 The following table presents the significant noncash items, purchases of property, plant and equipment, and proceeds from sales of assets for the discontinued operations related to Trans Ova that are included in the accompanying consolidated statements of cash flows: Year Ended December 31, 2022 2021 Adjustments to reconcile net loss to net cash used in operating activities Depreciation and amortization 3,574 5,622 Loss on disposal of assets 421 561 Provision for credit losses 944 1,128 Stock-based compensation expense 9 350 Cash flows from investing activities Proceeds from repayment of notes receivable — 3,689 Purchases of property, plant and equipment (3,529) (4,694) Proceeds from sales of assets 594 1,894 The following table presents the financial results of discontinued operations related to MBP Titan: Year Ended December 31, 2021 Operating gains $ (4,599) Operating income 4,599 Income before income taxes 4,599 Income from discontinued operations $ 4,599 The following table presents the significant noncash items, purchases of property, plant and equipment, and proceeds from sales of assets for the discontinued operations related to MBP Titan that are included in the accompanying consolidated statements of cash flows. Year Ended December 31, 2021 Adjustments to reconcile net loss to net cash used in operating activities Gain on disposal of assets, net (464) Noncash gain on termination of leases (4,602) Cash flows from investing activities Proceeds from sales of assets 1,083 |
Collaboration and Licensing R_2
Collaboration and Licensing Revenue (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Summarized Collaboration and Licensing Revenues | The following table summarizes the amounts recorded as revenue in the consolidated statements of operations for each significant counterparty to a collaboration or licensing agreement for the years ended December 31, 2023, 2022, and 2021. Year Ended December 31, 2023 2022 2021 Intrexon Energy Partners, LLC — 3,768 — Intrexon Energy Partners II, LLC — 10,793 — Other 75 100 506 Total (1) $ 75 $ 14,661 $ 506 (1) Collaboration and licensing revenues recognized for the years ended December 31, 2023, 2022, and 2021, include the recognition of $0, $14,561, and $397, respectively, associated with upfront and milestone payments which were previously deferred. |
Summary of Deferred Revenue | Deferred revenue consisted of the following: December 31, 2023 2022 Collaboration and licensing agreements $ 1,818 $ 1,818 Prepaid product and service revenues 15 15 Other 494 10 Total $ 2,327 $ 1,843 Current portion of deferred revenue $ 509 $ 25 Long-term portion of deferred revenue 1,818 1,818 Total $ 2,327 $ 1,843 |
Short-term and Long-term Inve_2
Short-term and Long-term Investments (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Summary of Amortized Cost, Gross Unrealized Gains and Losses and Fair Value of Investments | The following table summarizes the amortized cost, gross unrealized gains and losses, and fair value of available-for-sale investments as of December 31, 2023: Amortized Gross Gross Aggregate United States government debt securities $ 51,704 $ 102 $ (135) $ 51,671 Certificates of deposit 3,361 1 (1) 3,361 Corporate Bonds 245 — — 245 Total $ 55,310 $ 103 $ (136) $ 55,277 The following table summarizes the amortized cost, gross unrealized gains and losses, and fair value of available-for-sale investments as of December 31, 2022: Amortized Gross Gross Aggregate United States government debt securities $ 51,755 $ — $ (760) $ 50,995 Certificates of deposit 97 — — 97 Total $ 51,852 $ — $ (760) $ 51,092 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Summary of Placement in the Fair Value Hierarchy of Financial Assets that are Measured at Fair Value on a Recurring Basis | The following table presents the placement in the fair value hierarchy of financial assets that are measured at fair value on a recurring basis as of December 31, 2023: Quoted Prices in Active Markets Significant Other Observable Inputs Significant Unobservable Inputs December 31, Assets United States government debt securities $ — $ 51,671 $ — $ 51,671 Certificates of deposit — 3,361 — 3,361 Corporate Bonds — 245 — 245 Total $ — $ 55,277 $ — $ 55,277 The following table presents the placement in the fair value hierarchy of financial assets that are measured at fair value on a recurring basis as of December 31, 2022: Quoted Prices in Active Markets Significant Other Observable Inputs Significant Unobservable Inputs December 31, Assets United States government debt securities $ — $ 50,995 $ — $ 50,995 Certificates of deposit — 97 — 97 Total $ — $ 51,092 $ — $ 51,092 |
Property, Plant and Equipment_2
Property, Plant and Equipment, Net (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property, Plant and Equipment | Property, plant and equipment consist of the following: December 31, 2023 2022 Land and land improvements $ 164 $ 164 Buildings and building improvements 2,629 2,592 Furniture and fixtures 530 457 Equipment 18,576 18,006 Leasehold improvements 4,380 4,333 Breeding stock 79 123 Computer hardware and software 3,459 4,562 Construction and other assets in progress 1,577 531 31,394 30,768 Less: Accumulated depreciation and amortization (24,283) (23,439) Property, plant and equipment, net $ 7,111 $ 7,329 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets, Net (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Changes in Carrying Amount of Goodwill | The changes in the carrying amount of goodwill for the years ended December 31, 2023 and 2022, are as follows: 2023 2022 Beginning of year $ 36,923 $ 37,554 Impairment (10,390) (482) Foreign currency translation adjustments 79 (149) End of year $ 26,612 $ 36,923 |
Schedule of Intangible Assets | Intangible assets consist of the following as of December 31, 2023: Weighted Average Useful Life (Years) Gross Carrying Amount Accumulated Amortization Net Patents, developed technologies and know-how 16.5 $ 82,501 $ (41,800) $ 40,701 Intangible assets consist of the following as of December 31, 2022: Gross Carrying Amount Accumulated Amortization Net Patents, developed technologies and know-how $ 80,892 $ (36,437) $ 44,455 |
Schedule of Definite-Lived Intangible Assets, Estimated Future Amortization Expense | Estimated aggregate amortization expense for definite lived intangible assets is expected to be as follows: 2024 $ 4,770 2025 4,770 2026 4,770 2027 4,770 2028 4,134 Thereafter 17,487 Total $ 40,701 |
Lines of Credit and Long-Term_2
Lines of Credit and Long-Term Debt (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Components of Interest Expense | The components of interest expense related to the Convertible Notes were as follows: Year Ended December 31, 2023 2022 2021 Cash interest expense $ 397 $ 5,727 $ 7,000 Non-cash interest expense 60 1,042 11,735 Total interest expense $ 457 $ 6,769 $ 18,735 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Components of Loss Before Income Taxes | The components of loss from continuing operations before income taxes are presented below: Year Ended December 31, 2023 2022 2021 Domestic $ (93,522) $ (76,572) $ (107,582) Foreign (2,840) (3,394) (3,385) Loss from continuing operations before income taxes $ (96,362) $ (79,966) $ (110,967) |
Components of Income Tax Benefit | The components of income tax benefit from continuing operations are presented below: Year Ended December 31, 2023 2022 2021 United States federal income taxes: Deferred $ (247) $ 37 $ 37 Foreign income taxes: Current — (39) 7 Deferred (152) (198) (215) State income taxes: Current 21 — — Deferred (80) 11 11 Income tax benefit from continuing operations $ (458) $ (189) $ (160) |
Schedule of Effective Income Tax Rate Reconciliation | Income tax benefit from continuing operations for the years ended December 31, 2023, 2022, and 2021 differed from amounts computed by applying the applicable United States federal corporate income tax rate of 21% to loss before income taxes as a result of the following: 2023 2022 2021 Computed statutory income tax benefit from continuing operations $ (20,236) $ (16,793) $ (23,303) State and provincial income tax benefit, net of federal income taxes (6,693) (2,884) (4,670) Nondeductible stock based compensation 3,417 179 832 Nondeductible officer compensation 278 263 1,459 Impairment of goodwill — 101 — Nondeductible equity investment loss — 3,093 — Research and development tax incentives (1,383) (991) (958) United States-foreign rate differential (15) 18 (32) Other, net 1,109 533 (46) (23,523) (16,481) (26,718) Change in valuation allowance for deferred tax assets 23,065 16,292 26,558 Total income tax benefit from continuing operations $ (458) $ (189) $ (160) |
Schedule of Deferred Tax Assets and Liabilities | The tax effects of temporary differences that comprise the deferred tax assets and liabilities included in continuing operations as of December 31, 2023 and 2022, are as follows: 2023 2022 Deferred tax assets Allowance for doubtful accounts $ 48 $ 53 Equity securities and investments in affiliates 413 258 Property, plant and equipment 369 284 Intangible assets 64,013 69,807 Accrued liabilities 3,262 3,219 Lease liabilities 1,834 2,182 Stock-based compensation 14,465 17,106 Deferred revenue 478 474 Capitalized research and development cost 23,918 16,318 Research and development tax credits 13,577 12,160 Net operating, capital loss, and interest expense carryforwards 311,154 288,397 Total deferred tax assets 433,531 410,258 Less: (Valuation allowance) 424,432 401,086 Net deferred tax assets 9,099 9,172 Deferred tax liabilities Right-of-use assets 1,830 2,071 Foreign intangible asset 9,116 9,364 Total deferred tax liabilities 10,946 11,435 Net deferred tax liabilities included in continuing operations $ (1,847) $ (2,263) |
Summary of Valuation Allowance | Activity within the valuation allowance for deferred tax assets included in continuing operations during the years ended December 31, 2023, 2022, and 2021 was as follows: 2023 2022 2021 Valuation allowance at beginning of year $ 401,086 $ 408,396 $ 387,348 Increase (decrease) in valuation allowance as a result of Current year continuing operations 23,065 16,292 26,558 Discontinued operations treated as asset sales — (27,909) (3,626) Discontinued operations related to MBP Titan — — (1,186) Adoption of ASU 2020-06 — 4,698 — Foreign currency translation adjustment 281 (391) (698) Valuation allowance at end of year $ 424,432 $ 401,086 $ 408,396 |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | The components of accumulated other comprehensive loss are as follows: December 31, 2023 2022 Unrealized loss on investments $ (33) $ (760) Loss on foreign currency translation adjustments (1,914) (2,728) Total accumulated other comprehensive loss $ (1,947) $ (3,488) |
Share-Based Payments (Tables)
Share-Based Payments (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of Stock-based Compensation Expense | Stock-based compensation costs included in the consolidated statements of operations are presented below: Year Ended December 31, 2023 2022 2021 Cost of products and services $ 72 $ 110 $ 161 Research and development 2,237 2,188 2,706 Selling, general and administrative 7,579 7,899 10,687 Discontinued operations — 9 350 Total $ 9,888 $ 10,206 $ 13,904 |
Schedule of Stock Option Activity | Stock option activity was as follows: Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (Years) Balances at December 31, 2020 11,255,896 $ 15.53 7.25 Granted 2,058,820 7.59 Exercised (127,883) (4.75) Forfeited (305,293) (7.02) Expired (621,353) (24.61) Balances at December 31, 2021 12,260,187 14.06 6.79 Granted 4,451,890 2.22 Exercised (375) (2.28) Forfeited (567,179) (5.19) Expired (943,247) (22.32) Balances at December 31, 2022 15,201,276 10.41 6.87 Granted 7,847,869 1.19 Exercised — — Forfeited (275,250) (2.65) Expired (716,555) (20.41) Balances at December 31, 2023 22,057,340 6.90 7.12 Exercisable at December 31, 2023 11,396,409 10.62 5.72 |
Schedule of Restricted Stock Unit Activity | RSU activity was as follows: Number of Restricted Stock Units Weighted Average Grant Date Fair Value Weighted Average Remaining Contractual Term (Years) Balances at December 31, 2020 1,727,712 $ 6.11 0.42 Granted 462,019 7.87 Vested (1,624,013) (5.76) Forfeited (97,237) (8.96) Balances at December 31, 2021 468,481 8.47 0.33 Granted 1,387,831 2.12 Vested (1,125,785) (4.29) Forfeited (32,712) (7.26) Balances at December 31, 2022 697,815 2.66 0.13 Granted 4,083,777 1.01 Vested (3,820,058) (1.27) Forfeited — — Balances at December 31, 2023 961,534 1.17 0.19 |
Operating Leases (Tables)
Operating Leases (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Components of Lease Costs | The components of lease costs were as follows: Year Ended December 31, 2023 2022 2021 Operating lease costs $ 2,234 $ 2,444 $ 2,872 Short-term lease costs 52 170 252 Variable lease costs 384 422 800 Lease costs $ 2,670 $ 3,036 $ 3,924 Other information related to operating leases in continuing operations was as follows: December 31, 2023 2022 Weighted average remaining lease term (years) 5.39 6.09 Weighted average discount rate 11.20 % 11.05 % Year Ended December 31, 2023 2022 2021 Supplemental disclosure of cash flow information Cash paid for operating lease liabilities $ 2,326 $ 2,493 $ 3,199 Operating lease right-of-use assets obtained in exchange for new lease liabilities (includes new leases or modifications of existing leases) 399 466 4,868 |
Maturities of Lease Liabilities | As of December 31, 2023, maturities of lease liabilities, excluding short-term and variable leases, for continuing operations were as follows: 2024 $ 1,946 2025 1,911 2026 1,507 2027 1,239 2028 1,260 Thereafter 1,847 Total 9,710 Present value adjustment (2,613) Total $ 7,097 Current portion of operating lease liabilities $ 1,202 Long-term portion of operating lease liabilities 5,895 Total $ 7,097 |
Segments (Tables)
Segments (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
Information by Reportable Segment | Segment Adjusted EBITDA by reportable segment was as follows: Year Ended December 31, 2023 2022 2021 Biopharmaceuticals $ (75,339) $ (77,542) $ (78,891) Exemplar (726) 4,997 6,898 Segment Adjusted EBITDA for operating segments $ (76,065) $ (72,545) $ (71,993) Revenues by reportable segment were as follows: Year Ended December 31, 2023 Biopharmaceuticals Exemplar Total Revenues from external customers/Total segment revenues $ 75 $ 6,150 $ 6,225 Year Ended December 31, 2022 Biopharmaceuticals Exemplar Total Revenues from external customers/Total segment revenues $ 14,894 $ 12,015 $ 26,909 Year Ended December 31, 2021 Biopharmaceuticals Exemplar Total Revenues from external customers/Total segment revenues $ 922 $ 13,345 $ 14,267 Goodwill by reportable segment was as follows: Biopharmaceuticals Exemplar Total Goodwill Balances at December 31, 2021 $ 17,478 $ 20,076 $ 37,554 Impairments (482) — $ (482) Foreign currency translation adjustments (149) — (149) Balances at December 31, 2022 16,847 20,076 36,923 Foreign currency translation adjustments 79 — 79 Impairments — (10,390) (10,390) Balances at December 31, 2023 $ 16,926 $ 9,686 $ 26,612 |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated | The table below reconciles Segment Adjusted EBITDA for reportable segments to consolidated net loss from continuing operations before income taxes: Year Ended December 31, 2023 2022 2021 Segment Adjusted EBITDA for reportable segments $ (76,065) $ (72,545) $ (71,993) Remove cash paid for capital expenditures net of proceeds from sale of assets 1,438 1,395 2,524 Interest Income 3,237 133 171 Add recognition of previously deferred revenue associated with upfront and milestone payments — 14,561 2,034 Other expenses: Interest expense (468) (6,774) (18,755) Depreciation and amortization (6,668) (7,191) (8,139) Gain (loss) from disposals of assets 72 — (53) Impairment losses (10,835) (1,120) (543) Stock-based compensation expense (9,888) (10,197) (13,554) Adjustment related to accrued bonuses paid in equity awards 3,361 1,698 — Equity in net income (loss) of affiliates — 862 (3) Shares issue for payment of services (545) (575) (577) Other (1) (107) (17) Eliminations — (106) (2,062) Consolidated loss from continuing operations before income taxes $ (96,362) $ (79,966) $ (110,967) |
Organization and Basis of Pre_2
Organization and Basis of Presentation - Additional Information (Details) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2023 USD ($) subsidiary | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Aug. 18, 2022 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Number of wholly owned operating subsidiaries | subsidiary | 2 | |||
Net loss | $ (95,904) | $ 28,317 | $ (92,166) | |
Net cash used in operating activities | (66,930) | (65,045) | $ (55,771) | |
Accumulated deficit | (1,964,471) | $ (1,868,567) | ||
Cash, cash equivalents, and short-term investments | $ 62,900 | |||
Discontinued Operations, Held-for-sale or Disposed of by Sale | Trans Ova | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Disposal group, including discontinued operation, ownership interest disposed of | 100% |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Organization And Significant Accounting Policies [Line Items] | |||
Required notice period for voluntary termination of collaborative agreement | 90 days | ||
Research and development commitments with third parties not incurred | $ 17,800,000 | $ 19,909,000 | |
Maturity period of highly liquid investment | 3 months | ||
Restricted cash | $ 0 | $ 43,339,000 | |
Antidilutive securities excluded from computation of earnings per share, amount | 23,018,874 | 15,899,091 | 12,850,556 |
Stock-based compensation expense | $ 9,888,000 | $ 10,207,000 | $ 13,904,000 |
Additional Paid-in Capital | |||
Organization And Significant Accounting Policies [Line Items] | |||
Stock-based compensation expense | $ 9,888,000 | 10,207,000 | $ 13,904,000 |
Cumulative effect of adoption of ASU 2020-06 | Accounting Standards Update 2020-06 Retrospective | |||
Organization And Significant Accounting Policies [Line Items] | |||
Non-cash interest expense | $ 11,800,000 | ||
Convertible debt | |||
Organization And Significant Accounting Policies [Line Items] | |||
Antidilutive securities excluded from computation of earnings per share, amount | 2,542,420 | 11,732,440 | |
3.5% Convertible Notes Due 2023 | |||
Organization And Significant Accounting Policies [Line Items] | |||
Conversion price (in usd per share) | $ 17.05 | ||
Non-cash interest expense | $ 60,000 | $ 1,042,000 | $ 11,735,000 |
Minimum | |||
Organization And Significant Accounting Policies [Line Items] | |||
Expected useful life of intangible asset | 3 years | ||
Maximum | |||
Organization And Significant Accounting Policies [Line Items] | |||
Expected useful life of intangible asset | 18 years | ||
Precigen Stock Option Plans | |||
Organization And Significant Accounting Policies [Line Items] | |||
Expected dividend yield | 0% | 0% | 0% |
Products and services revenues | |||
Organization And Significant Accounting Policies [Line Items] | |||
Product and service revenues, standard payment terms | 30 days |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Rollforward of Allowance for Credit Losses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Allowance for Credit Losses | |||
Charged to operating expenses | $ 0 | $ 944 | $ 1,268 |
Continuing Operations | |||
Allowance for Credit Losses | |||
Beginning balance | 184 | 1,693 | 1,509 |
Charged to operating expenses | 0 | 0 | 140 |
Write offs of accounts receivable, net of recoveries | 0 | (1,509) | 44 |
Ending balance | $ 184 | $ 184 | $ 1,693 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Estimated Useful Lives of Property, Plant and Equipment (Details) | Dec. 31, 2023 |
Breeding stock | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 2 years |
Minimum | Land improvements | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 9 years |
Minimum | Buildings and building improvements | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 9 years |
Minimum | Furniture and fixtures | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 2 years |
Minimum | Equipment | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 3 years |
Minimum | Computer hardware and software | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 1 year |
Minimum | Leasehold improvements | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 1 year |
Maximum | Land improvements | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 15 years |
Maximum | Buildings and building improvements | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 15 years |
Maximum | Furniture and fixtures | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 7 years |
Maximum | Equipment | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 7 years |
Maximum | Computer hardware and software | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 5 years |
Maximum | Leasehold improvements | |
Property, Plant and Equipment [Line Items] | |
Property plant and equipment, useful life | 11 years |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Summary of Assumptions Used in Option Pricing Model (Details) - Precigen Stock Option Plans | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected dividend yield | 0% | 0% | 0% |
Expected volatility, minimum | 85% | 87% | 87% |
Expected volatility, maximum | 95% | 89% | 90% |
Expected term (years) | 6 years 3 months | 6 years | |
Risk-free interest rate, minimum | 3.52% | 1.64% | 0.61% |
Risk-free interest rate, maximum | 4.80% | 4.12% | 1.33% |
Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected term (years) | 6 years | ||
Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected term (years) | 10 years |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies - Potentially Dilutive Securities Excluded from Calculation of Net Loss per Share (Details) - shares | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of earnings per share, amount | 23,018,874 | 15,899,091 | 12,850,556 |
Options | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of earnings per share, amount | 22,057,340 | 15,201,276 | 12,260,187 |
Restricted stock units | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of earnings per share, amount | 961,534 | 697,815 | 468,481 |
Warrants | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of earnings per share, amount | 0 | 0 | 121,888 |
Discontinued Operations - Narra
Discontinued Operations - Narrative (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||||
Aug. 18, 2022 | Dec. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2022 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Proceeds from divestiture of businesses | $ 162,306,000 | $ 0 | $ 162,306,000 | $ 0 | ||
Increase (decrease) settlement and identification accruals | 13,675,000 | (13,000,000) | 0 | |||
Trans Ova | Discontinued Operations, Held-for-sale or Disposed of by Sale | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Disposal group, including discontinued operation, ownership interest disposed of | 100% | |||||
Consideration | $ 170,000,000 | |||||
Contingent cash earnout payments, maximum | 10,000,000 | |||||
Proceeds from divestiture of businesses | $ 936,000 | |||||
Disposal group, including discontinued operation, indemnification liability | $ 5,750,000 | 5,075,000 | 5,750,000 | |||
Increase (decrease) settlement and identification accruals | $ 675,000 | |||||
Gain (loss) on disposition of assets | $ (421,000) | (561,000) | ||||
Trans Ova | Discontinued Operations, Held-for-sale or Disposed of by Sale | Maximum | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Earnout payments, maximum | $ 5,000,000 | |||||
Reimbursement limit | $ 5,750,000 | |||||
MBP Titan | Discontinued Operations, Disposed of by Means Other than Sale, Abandonment | ||||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||||
Gain (loss) on disposition of assets | 464,000 | |||||
Gain on lease termination | $ 4,602,000 |
Discontinued Operations - Summa
Discontinued Operations - Summary of Financial Results for Trans Ova (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Income from discontinued operations | $ 0 | $ 108,094 | $ 18,641 |
Trans Ova | Discontinued Operations, Held-for-sale or Disposed of by Sale | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Total revenues | 71,151 | 89,606 | |
Cost of products | 18,634 | 23,070 | |
Cost of services | 22,701 | 29,570 | |
Research and development | 2,348 | 2,208 | |
Selling, general and administrative | 15,215 | 22,128 | |
Total operating expenses | 58,898 | 76,976 | |
Operating income | 12,253 | 12,630 | |
Other income, net | 1,139 | 1,412 | |
Discontinued Operation, Gain (Loss) from Disposal of Discontinued Operation, before Income Tax | 94,702 | 0 | |
Income before income taxes | 108,094 | 14,042 | |
Discontinued Operation, Tax Effect of Discontinued Operation | 0 | 0 | |
Income from discontinued operations | 108,094 | 14,042 | |
Trans Ova | Discontinued Operations, Held-for-sale or Disposed of by Sale | Product revenues | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Total revenues | 21,494 | 25,131 | |
Trans Ova | Discontinued Operations, Held-for-sale or Disposed of by Sale | Service revenues | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Total revenues | $ 49,657 | $ 64,475 |
Discontinued Operations - Sum_2
Discontinued Operations - Summary of Significant Non-Cash Items, Investments and Purchases of Property, Plant and Equipment on Cash Flows - Trans Ova (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Adjustments to Reconcile Net Income (Loss) to Cash Provided by (Used in) Operating Activities [Abstract] | |||
Depreciation and amortization | $ 6,668 | $ 10,765 | $ 13,761 |
Equity in net income (loss) of affiliates | 0 | (862) | 3 |
Provision for credit losses | 0 | 944 | 1,268 |
Stock-based compensation expense | 9,888 | 10,206 | 13,904 |
Cash flows from investing activities | |||
Proceeds from repayment of notes receivable | 0 | 0 | 3,754 |
Purchases of property, plant and equipment | $ (1,536) | (4,924) | (7,247) |
Trans Ova | Discontinued Operations, Held-for-sale or Disposed of by Sale | |||
Adjustments to Reconcile Net Income (Loss) to Cash Provided by (Used in) Operating Activities [Abstract] | |||
Depreciation and amortization | 3,574 | 5,622 | |
Gain on disposal of assets, net | 421 | 561 | |
Provision for credit losses | 944 | 1,128 | |
Stock-based compensation expense | 9 | 350 | |
Cash flows from investing activities | |||
Proceeds from repayment of notes receivable | 0 | 3,689 | |
Purchases of property, plant and equipment | (3,529) | (4,694) | |
Proceeds from sales of assets | $ 594 | $ 1,894 |
Discontinued Operations - Sum_3
Discontinued Operations - Summary of Financial Results for MBP Titan (Details) - MBP Titan - Discontinued Operations, Disposed of by Means Other than Sale, Abandonment $ in Thousands | 12 Months Ended |
Dec. 31, 2021 USD ($) | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Operating (gains) expenses | $ (4,599) |
Operating income | 4,599 |
Income before income taxes | 4,599 |
Income from discontinued operations | $ 4,599 |
Discontinued Operations - Sum_4
Discontinued Operations - Summary Of Significant Non-Cash Items, Investments and Purchases of Property, Plant and Equipment on Cash Flows - MBP Titan (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Noncash gain on termination of leases | $ 0 | $ 0 | $ (5,831) |
Proceeds from sale of assets | $ 98 | $ 594 | 3,006 |
MBP Titan | Discontinued Operations, Disposed of by Means Other than Sale, Abandonment | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
(Loss) Gain on disposals of assets, net | (464) | ||
Noncash gain on termination of leases | (4,602) | ||
Proceeds from sale of assets | $ 1,083 |
Investments in Joint Ventures -
Investments in Joint Ventures - Intrexon Energy Partners - Additional Information (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 USD ($) | Dec. 31, 2023 board_seat | Sep. 30, 2023 board_seat | |
Intrexon Energy Partners, LLC | |||
Schedule Of Investments In Joint Venture [Line Items] | |||
Membership interest | 50% | ||
Total number of seats on the joint venture's governing board | 5 | ||
Total number of seats on the joint venture's governing board, internally selected | 2 | ||
Total number of seats on the joint venture's governing board, externally selected | 3 | ||
Intrexon Energy Partners, LLC | Intrexon Energy Partners, LLC | Precigen And Remaining IEP Investors | |||
Schedule Of Investments In Joint Venture [Line Items] | |||
Noncontrolling interest, ownership percentage by noncontrolling owners | 87.50% | ||
Intrexon Energy Partners, LLC | Collaboration and licensing agreements | |||
Schedule Of Investments In Joint Venture [Line Items] | |||
Collaborative agreement, consideration received, value | $ | $ 25,000 |
Investments in Joint Ventures_2
Investments in Joint Ventures - Intrexon Energy Partners II - Additional Information (Details) | 12 Months Ended | ||
Dec. 31, 2015 USD ($) board_seat | Dec. 31, 2022 | Sep. 30, 2022 | |
Intrexon Energy Partners II, LLC | |||
Schedule Of Investments In Joint Venture [Line Items] | |||
Membership interest | 50% | ||
Total number of seats on the joint venture's governing board | 5 | ||
Total number of seats on the joint venture's governing board, internally selected | 1 | ||
Total number of seats on the joint venture's governing board, externally selected | 4 | ||
Intrexon Energy Partners II, LLC | Intrexon Energy Partners II, LLC | Precigen And Remaining IEP Investors | |||
Schedule Of Investments In Joint Venture [Line Items] | |||
Noncontrolling interest, ownership percentage by noncontrolling owners | 2.90% | 97.10% | |
Intrexon Energy Partners II, LLC | Collaboration and licensing agreements | |||
Schedule Of Investments In Joint Venture [Line Items] | |||
Collaborative agreement, consideration received, value | $ | $ 18,000,000 |
Investments in Joint Ventures_3
Investments in Joint Ventures - Interests in Intrexon Energy Partners and Intrexon Energy Partners II (Details) $ in Thousands | 1 Months Ended |
Jul. 31, 2022 USD ($) | |
Intrexon Energy Partners And Interxon Energy Partners II | |
Schedule of Equity Method Investments [Line Items] | |
Fair value, net asset (liability) | $ 0 |
Intrexon Energy Partners And Interxon Energy Partners II | |
Schedule of Equity Method Investments [Line Items] | |
Capital contribution | $ 7,000 |
Collaboration and Licensing R_3
Collaboration and Licensing Revenue - Summarized Collaboration and Licensing Revenues (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | ||
Jul. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Collaboration and licensing agreements | ||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||
Revenues | $ 14,561 | $ 75 | $ 14,661 | $ 506 |
Upfront and Milestone Payments | ||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||
Revenue recognized from previously deferred balances | 0 | 14,561 | 397 | |
Intrexon Energy Partners, LLC | Collaboration and licensing agreements | ||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||
Revenues | 0 | 3,768 | 0 | |
Intrexon Energy Partners II, LLC | Collaboration and licensing agreements | ||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||
Revenues | 0 | 10,793 | 0 | |
Other revenues | Collaboration and licensing agreements | ||||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||||
Revenues | $ 75 | $ 100 | $ 506 |
Collaboration and Licensing R_4
Collaboration and Licensing Revenue - Additional Information (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |||
Apr. 03, 2023 | Jul. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Intrexon Energy Partners And Interxon Energy Partners II | |||||
Collaboration Agreements [Line Items] | |||||
Capital contribution | $ 7,000 | ||||
Collaboration and licensing agreements | |||||
Collaboration Agreements [Line Items] | |||||
Revenues | $ 14,561 | $ 75 | $ 14,661 | $ 506 | |
Amended Licensing Agreement Between Alaunos and Precigen 2023 | |||||
Collaboration Agreements [Line Items] | |||||
License agreement, annual fee | $ 75 |
Collaboration and Licensing R_5
Collaboration and Licensing Revenue - Summary of Deferred Revenue (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Deferred Revenue Arrangement [Line Items] | ||
Deferred revenue | $ 2,327 | $ 1,843 |
Current portion of deferred revenue | 509 | 25 |
Long-term portion of deferred revenue | 1,818 | 1,818 |
Prepaid product and service revenues | ||
Deferred Revenue Arrangement [Line Items] | ||
Deferred revenue | 15 | 15 |
Other | ||
Deferred Revenue Arrangement [Line Items] | ||
Deferred revenue | 494 | 10 |
Collaboration and licensing agreements | ||
Deferred Revenue Arrangement [Line Items] | ||
Deferred revenue | $ 1,818 | $ 1,818 |
Short-term and Long-term Inve_3
Short-term and Long-term Investments - Summary of Amortized Cost, Gross Unrealized Gains and Losses and Fair Value of Investments (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | $ 55,310 | $ 51,852 |
Gross Unrealized Gains | 103 | 0 |
Gross Unrealized Losses | (136) | (760) |
Aggregate Fair Value | 55,277 | 51,092 |
United States government debt securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 51,704 | 51,755 |
Gross Unrealized Gains | 102 | 0 |
Gross Unrealized Losses | (135) | (760) |
Aggregate Fair Value | 51,671 | 50,995 |
Certificates of deposit | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 3,361 | 97 |
Gross Unrealized Gains | 1 | 0 |
Gross Unrealized Losses | (1) | 0 |
Aggregate Fair Value | 3,361 | $ 97 |
Corporate Bonds | ||
Debt Securities, Available-for-sale [Line Items] | ||
Gross Unrealized Gains | 0 | |
Gross Unrealized Losses | 0 | |
Aggregate Fair Value | $ 245 |
Short-term and Long-term Inve_4
Short-term and Long-term Investments - Narrative (Details) $ in Thousands | Dec. 31, 2023 USD ($) |
Investments, Debt and Equity Securities [Abstract] | |
Debt Securities, Available-for-Sale, Maturity, Allocated and Single Maturity Date, Rolling within One Year, Fair Value | $ 55,277 |
Fair Value Measurements - Summa
Fair Value Measurements - Summary of Placement in the Fair Value Hierarchy of Financial Assets that are Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets | $ 55,277 | $ 51,092 |
United States government debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets | 51,671 | 50,995 |
Certificates of deposit | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets | 3,361 | 97 |
Corporate Bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets | 245 | |
Quoted Prices in Active Markets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets | 0 | 0 |
Quoted Prices in Active Markets (Level 1) | United States government debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets | 0 | 0 |
Quoted Prices in Active Markets (Level 1) | Certificates of deposit | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets | 0 | 0 |
Quoted Prices in Active Markets (Level 1) | Corporate Bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets | 0 | |
Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets | 55,277 | 51,092 |
Significant Other Observable Inputs (Level 2) | United States government debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets | 51,671 | 50,995 |
Significant Other Observable Inputs (Level 2) | Certificates of deposit | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets | 3,361 | 97 |
Significant Other Observable Inputs (Level 2) | Corporate Bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets | 245 | |
Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets | 0 | 0 |
Significant Unobservable Inputs (Level 3) | United States government debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Certificates of deposit | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets | 0 | $ 0 |
Significant Unobservable Inputs (Level 3) | Corporate Bonds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair value of assets | $ 0 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) - 3.5% Convertible Notes Due 2023 $ in Thousands | Dec. 31, 2022 USD ($) |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Fair value of convertible debt | $ 43,000 |
Carrying value of convertible debt | $ 43,219 |
Property, Plant and Equipment_3
Property, Plant and Equipment, Net - Schedule of Property, Plant and Equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Property, Plant and Equipment [Abstract] | ||
Land and land improvements | $ 164 | $ 164 |
Buildings and building improvements | 2,629 | 2,592 |
Furniture and fixtures | 530 | 457 |
Equipment | 18,576 | 18,006 |
Leasehold improvements | 4,380 | 4,333 |
Breeding stock | 79 | 123 |
Computer hardware and software | 3,459 | 4,562 |
Construction and other assets in progress | 1,577 | 531 |
Property, plant and equipment, gross | 31,394 | 30,768 |
Less: Accumulated depreciation and amortization | (24,283) | (23,439) |
Property, plant and equipment, net | $ 7,111 | $ 7,329 |
Property, Plant and Equipment_4
Property, Plant and Equipment, Net - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |||
Depreciation expense | $ 1,820 | $ 2,393 | $ 2,866 |
Impairment of long-lived assets held-for-use | $ 445 | $ 638 | $ 543 |
Impairment, Long-Lived Asset, Held-for-Use, Statement of Income or Comprehensive Income [Extensible Enumeration] | Impairment of other noncurrent assets | Impairment of other noncurrent assets | Impairment of other noncurrent assets |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets, Net - Schedule of Changes in Carrying Amount of Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Goodwill | |||
Beginning of year | $ 36,923 | ||
Impairment | (10,390) | $ (482) | $ 0 |
Foreign currency translation adjustments | 79 | (149) | |
End of year | 26,612 | 36,923 | |
Continuing Operations | |||
Goodwill | |||
Beginning of year | 36,923 | 37,554 | |
Impairment | (10,390) | (482) | 0 |
Foreign currency translation adjustments | 79 | (149) | |
End of year | $ 26,612 | $ 36,923 | $ 37,554 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets, Net - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Goodwill [Line Items] | |||
Accumulated goodwill impairment losses | $ 24,873 | $ 14,483 | |
Impairment of goodwill | 10,390 | 482 | $ 0 |
Amortization expense | 4,848 | 4,798 | 5,273 |
Continuing Operations | |||
Goodwill [Line Items] | |||
Impairment of goodwill | $ 10,390 | $ 482 | $ 0 |
Exemplar | |||
Goodwill [Line Items] | |||
Market-based weighted average cost of capital | 12.50% | ||
Terminal growth rate | 0.03 |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets, Net - Schedule of Intangible Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Finite-Lived Intangible Assets, Net [Abstract] | ||
Finite-lived intangible assets, net, total | $ 40,701 | |
Patents, developed technologies and know-how | ||
Finite-Lived Intangible Assets, Net [Abstract] | ||
Gross Carrying Amount | 82,501 | $ 80,892 |
Accumulated Amortization | (41,800) | (36,437) |
Finite-lived intangible assets, net, total | $ 40,701 | $ 44,455 |
Weighted Average Useful Life (Years) | Patents, developed technologies and know-how | ||
Finite-Lived Intangible Assets [Line Items] | ||
Weighted Average Useful Life (Years) | 16 years 6 months |
Goodwill and Intangible Asset_6
Goodwill and Intangible Assets, Net - Schedule of Definite-Lived Intangible Assets, Estimated Future Amortization Expense (Details) $ in Thousands | Dec. 31, 2023 USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2024 | $ 4,770 |
2025 | 4,770 |
2026 | 4,770 |
2027 | 4,770 |
2028 | 4,134 |
Thereafter | 17,487 |
Finite-lived intangible assets, net, total | $ 40,701 |
Lines of Credit and Long-Term_3
Lines of Credit and Long-Term Debt - Lines of Credit - Additional Information (Details) - Revolving Credit Facility - Exemplar Genetics, LLC - American State Bank - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Line of Credit Facility [Line Items] | ||
Line of credit facility, maximum borrowing capacity | $ 5,000,000 | |
Debt instrument, interest rate, stated percentage | 8.50% | |
Line of credit outstanding | $ 0 | $ 0 |
Lines of Credit and Long-Term_4
Lines of Credit and Long-Term Debt - Short-Term Debt and Convertible Debt - Additional Information (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||
Jul. 31, 2018 | Mar. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Aug. 18, 2022 | |
Debt Instrument [Line Items] | ||||||
Restricted cash | $ 200,000,000 | |||||
Gain (loss) on extinguishment of debt | $ 60,000 | $ 961,000 | $ 0 | |||
Restricted cash | 0 | 43,339,000 | ||||
Interest payable | $ 759,000 | |||||
Convertible debt | ||||||
Debt Instrument [Line Items] | ||||||
Extinguishment of debt, amount | $ 156,660,000 | 43,340,000 | ||||
Gain (loss) on extinguishment of debt | $ 60,000 | |||||
3.5% Convertible Notes Due 2023 | ||||||
Debt Instrument [Line Items] | ||||||
Aggregate principal amount | $ 200,000,000 | |||||
Proceeds from long-term debt, net of issuance costs | 193,958,000 | |||||
Debt issuance costs | $ 6,042,000 | |||||
Debt instrument, interest rate, stated percentage | 3.50% |
Lines of Credit and Long-Term_5
Lines of Credit and Long-Term Debt - Components of Interest Expense (Details) - 3.5% Convertible Notes Due 2023 - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Debt Instrument [Line Items] | |||
Cash interest expense | $ 397 | $ 5,727 | $ 7,000 |
Non-cash interest expense | 60 | 1,042 | 11,735 |
Total interest expense | $ 457 | $ 6,769 | $ 18,735 |
Income Taxes - Components of Lo
Income Taxes - Components of Loss Before Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax [Line Items] | |||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | $ (96,362) | $ (79,966) | $ (110,967) |
Domestic | |||
Income Tax [Line Items] | |||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | (93,522) | (76,572) | (107,582) |
Foreign | |||
Income Tax [Line Items] | |||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | $ (2,840) | $ (3,394) | $ (3,385) |
Income Taxes - Components of In
Income Taxes - Components of Income Tax Benefit (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
United States federal income taxes: | |||
Deferred | $ (247) | $ 37 | $ 37 |
Foreign income taxes: | |||
Current | 0 | (39) | 7 |
Deferred | (152) | (198) | (215) |
State income taxes: | |||
Current | 21 | 0 | 0 |
Deferred | (80) | 11 | 11 |
Total income tax benefit from continuing operations | $ (458) | $ (189) | $ (160) |
Income Taxes - Schedule of Effe
Income Taxes - Schedule of Effective Income Tax Rate Reconciliation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
Computed statutory income tax benefit from continuing operations | $ (20,236) | $ (16,793) | $ (23,303) |
State and provincial income tax benefit, net of federal income taxes | (6,693) | (2,884) | (4,670) |
Nondeductible stock based compensation | 3,417 | 179 | 832 |
Nondeductible officer compensation | 278 | 263 | 1,459 |
Impairment of goodwill | 0 | 101 | 0 |
Nondeductible equity investment loss | 0 | 3,093 | 0 |
Research and development tax incentives | (1,383) | (991) | (958) |
United States-foreign rate differential | (15) | 18 | (32) |
Other, net | 1,109 | 533 | (46) |
Income tax reconciliation income tax benefit before valuation allowance, total | (23,523) | (16,481) | (26,718) |
Change in valuation allowance for deferred tax assets | 23,065 | 16,292 | 26,558 |
Total income tax benefit from continuing operations | $ (458) | $ (189) | $ (160) |
Income Taxes - Schedule of Defe
Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Deferred tax assets | ||||
Allowance for doubtful accounts | $ 48 | $ 53 | ||
Equity securities and investments in affiliates | 413 | 258 | ||
Property, plant and equipment | 369 | 284 | ||
Intangible assets | 64,013 | 69,807 | ||
Accrued liabilities | 3,262 | 3,219 | ||
Lease liabilities | 1,834 | 2,182 | ||
Stock-based compensation | 14,465 | 17,106 | ||
Deferred revenue | 478 | 474 | ||
Capitalized research and development cost | 23,918 | 16,318 | ||
Research and development tax credits | 13,577 | 12,160 | ||
Net operating, capital loss, and interest expense carryforwards | 311,154 | 288,397 | ||
Total deferred tax assets | 433,531 | 410,258 | ||
Less: (Valuation allowance) | 424,432 | 401,086 | $ 408,396 | $ 387,348 |
Net deferred tax assets | 9,099 | 9,172 | ||
Deferred tax liabilities | ||||
Right-of-use assets | 1,830 | 2,071 | ||
Foreign intangible asset | 9,116 | 9,364 | ||
Total deferred tax liabilities | 10,946 | 11,435 | ||
Net deferred tax liabilities included in continuing operations | $ (1,847) | $ (2,263) |
Income Taxes - Summary of Valua
Income Taxes - Summary of Valuation Allowance (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Valuation Allowance | |||
Valuation allowance at beginning of year | $ 401,086 | $ 408,396 | $ 387,348 |
Current year continuing operations | 23,065 | 16,292 | 26,558 |
Discontinued operations treated as asset sales | 0 | (27,909) | (3,626) |
Discontinued operations related to MBP Titan | 0 | 0 | (1,186) |
Foreign currency translation adjustment | 281 | (391) | (698) |
Valuation allowance at end of year | 424,432 | 401,086 | 408,396 |
Adoption of ASU 2020-06 | |||
Valuation Allowance | |||
Adoption of ASU 2020-06 | $ 0 | $ 4,698 | $ 0 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Operating Loss Carryforwards [Line Items] | ||
Federal and state research and development tax credits | $ 13,577 | $ 12,160 |
Domestic | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating losses inherited via acquisition | 39,700 | |
Operating loss carryforwards | 891,600 | |
Deferred tax assets, capital loss carryforwards | 212,500 | |
Federal and state research and development tax credits | 13,500 | |
Foreign | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carryforwards | 73,800 | |
Generated after 2017 | Domestic | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carryforwards | $ 675,000 |
Shareholders' Equity - Addition
Shareholders' Equity - Additional Information (Details) - USD ($) | 1 Months Ended | 12 Months Ended | ||||
Aug. 09, 2022 | Jan. 31, 2023 | Jan. 31, 2021 | Dec. 31, 2023 | Dec. 31, 2021 | Jul. 31, 2018 | |
Class of Stock [Line Items] | ||||||
Shares issued in public offering, net of issuance costs, shares | 43,962,640 | 17,250,000 | ||||
Value of shares issued in public or private offering | $ 121,045,000 | $ 72,808,000 | $ 121,045,000 | |||
Shares issued in share lending agreement, shares | 7,479,431 | |||||
Maximum | ||||||
Class of Stock [Line Items] | ||||||
Sale of stock, consideration received on transaction | $ 100,000,000 | |||||
Affiliated Entity | ||||||
Class of Stock [Line Items] | ||||||
Shares issued in public offering, net of issuance costs, shares | 11,517,712 |
Shareholders' Equity - Componen
Shareholders' Equity - Components of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Total accumulated other comprehensive loss | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Precigen shareholders' equity | $ (1,947) | $ (3,488) |
Unrealized loss on investments | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Precigen shareholders' equity | (33) | (760) |
Loss on foreign currency translation adjustments | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Precigen shareholders' equity | $ (1,914) | $ (2,728) |
Share-Based Payments - Schedule
Share-Based Payments - Schedule of Stock-based Compensation Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
Stock-based compensation cost | $ 9,888 | $ 10,206 | $ 13,904 |
Cost of products and services | |||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
Stock-based compensation cost | 72 | 110 | 161 |
Research and development | |||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
Stock-based compensation cost | 2,237 | 2,188 | 2,706 |
Selling, general and administrative | |||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
Stock-based compensation cost | 7,579 | 7,899 | 10,687 |
Discontinued operations | |||
Share-based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
Stock-based compensation cost | $ 0 | $ 9 | $ 350 |
Share-Based Payments - Addition
Share-Based Payments - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation arrangement by share-based payment award, terms of award | ten | |||
Precigen Stock Option Plans | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options outstanding (in shares) | 22,057,340 | 15,201,276 | 12,260,187 | 11,255,896 |
Restricted stock units outstanding (in shares) | 961,534 | 697,815 | 468,481 | 1,727,712 |
Unrecognized compensation costs related to unvested stock option awards | $ 10,217 | |||
Recognized over weighted-average period | 2 years 4 months 2 days | |||
Weighted average grant date fair value of options granted (in usd per share) | $ 0.92 | $ 1.65 | $ 5.57 | |
Aggregate intrinsic value of options exercised | $ 0 | $ 0 | $ 225 | |
Precigen Stock Option Plan 2013 Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Remaining shares available to grant (in shares) | 0 | |||
Options outstanding (in shares) | 18,559,333 | |||
Precigen Stock Option Plan 2019 Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Remaining shares available to grant (in shares) | 4,502,466 | |||
Options outstanding (in shares) | 3,158,007 | |||
Restricted stock units outstanding (in shares) | 961,534 | |||
Number of authorized awards (in shares) | 12,000,000 | |||
Precigen Stock Option Plan 2023 Plan and 2013 Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of authorized awards (in shares) | 16,418,137 | |||
Precigen Stock Option Plan 2023 Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Options outstanding (in shares) | 340,000 | |||
Options | Precigen Stock Option Plans | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation arrangement by share-based payment award, terms of award | ten-year | |||
Vesting period of equity grant | 4 years | |||
Restricted stock units | Precigen Stock Option Plans | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Recognized over weighted-average period | 2 months 12 days | |||
Unrecognized compensation costs related to restricted stock unit awards | $ 212 | |||
Restricted stock units | Precigen Stock Option Plan 2013 Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted stock units outstanding (in shares) | 0 | |||
Restricted stock units | Precigen Stock Option Plan 2023 Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Remaining shares available to grant (in shares) | 16,078,137 | |||
Restricted stock units outstanding (in shares) | 0 |
Share-Based Payments - Schedu_2
Share-Based Payments - Schedule of Stock Option Activity (Details) - Precigen Stock Option Plans - $ / shares | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Number of Shares | ||||
Balances at beginning of period (in shares) | 15,201,276 | 12,260,187 | 11,255,896 | |
Granted (in shares) | 7,847,869 | 4,451,890 | 2,058,820 | |
Exercised (in shares) | 0 | (375) | (127,883) | |
Forfeited (in shares) | (275,250) | (567,179) | (305,293) | |
Expired (in shares) | (716,555) | (943,247) | (621,353) | |
Balances at period end (in shares) | 22,057,340 | 15,201,276 | 12,260,187 | 11,255,896 |
Weighted Average Exercise Price (usd per share) | ||||
Balances at beginning of period (in usd per share) | $ 10.41 | $ 14.06 | $ 15.53 | |
Granted (in usd per share) | 1.19 | 2.22 | 7.59 | |
Exercised (in usd per share) | 0 | (2.28) | (4.75) | |
Forfeited (in usd per share) | (2.65) | (5.19) | (7.02) | |
Expired (in usd per share) | (20.41) | (22.32) | (24.61) | |
Balances at period end (in usd per share) | $ 6.90 | $ 10.41 | $ 14.06 | $ 15.53 |
Additional Disclosures | ||||
Exercisable at period end (in shares) | 11,396,409 | |||
Options exercisable, weighted average exercise price (in usd per share) | $ 10.62 | |||
Balances at period end, weighted average remaining contractual period | 7 years 1 month 13 days | 6 years 10 months 13 days | 6 years 9 months 14 days | 7 years 3 months |
Exercisable at period end, weighted average remaining contractual period | 5 years 8 months 19 days |
Share-Based Payments - Schedu_3
Share-Based Payments - Schedule of Restricted Stock Unit Activity (Details) - Precigen Stock Option Plans - $ / shares | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Number of Restricted Stock Units | ||||
Balances at beginning of period (in shares) | 697,815 | 468,481 | 1,727,712 | |
Granted (in shares) | 4,083,777 | 1,387,831 | 462,019 | |
Vested (in shares) | (3,820,058) | (1,125,785) | (1,624,013) | |
Forfeited (in shares) | 0 | (32,712) | (97,237) | |
Balances at period end (in shares) | 961,534 | 697,815 | 468,481 | 1,727,712 |
Weighted Average Grant Date Fair Value | ||||
Balances at beginning of period (in usd per share) | $ 2.66 | $ 8.47 | $ 6.11 | |
Granted (in usd per share) | 1.01 | 2.12 | 7.87 | |
Vested (in usd per share) | (1.27) | (4.29) | (5.76) | |
Forfeited (in usd per share) | 0 | (7.26) | (8.96) | |
Balances at period end (in usd per share) | $ 1.17 | $ 2.66 | $ 8.47 | $ 6.11 |
Additional Disclosures | ||||
Balances at period end, weighted average remaining contractual period | 2 months 8 days | 1 month 17 days | 3 months 29 days | 5 months 1 day |
Commitments and Contingencies -
Commitments and Contingencies - Contingencies - Additional Information (Details) - Precigen Securities Litigation - USD ($) $ in Thousands | Nov. 17, 2022 | Dec. 31, 2022 |
Loss Contingencies [Line Items] | ||
Loss contingency, damages awarded, value | $ 13,000 | |
Insurance settlements receivable | $ 12,411 | |
Loss contingency, estimate of possible loss | $ 589 |
Operating Leases - Additional I
Operating Leases - Additional Information (Details) | 12 Months Ended |
Dec. 31, 2023 | |
Lessee, Lease, Description [Line Items] | |
Termination period | 1 year |
Minimum | |
Lessee, Lease, Description [Line Items] | |
Remaining lease term | 1 year |
Maximum | |
Lessee, Lease, Description [Line Items] | |
Remaining lease term | 7 years |
Operating Leases - Components o
Operating Leases - Components of Lease Costs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Leases [Abstract] | |||
Operating lease costs | $ 2,234 | $ 2,444 | $ 2,872 |
Short-term lease costs | 52 | 170 | 252 |
Variable lease costs | 384 | 422 | 800 |
Lease costs | $ 2,670 | $ 3,036 | $ 3,924 |
Operating Leases - Maturities o
Operating Leases - Maturities of Lease Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Lessee, Operating Lease, Liability, Payment, Due [Abstract] | ||
2024 | $ 1,946 | |
2025 | 1,911 | |
2026 | 1,507 | |
2027 | 1,239 | |
2028 | 1,260 | |
Thereafter | 1,847 | |
Total | 9,710 | |
Present value adjustment | (2,613) | |
Total | 7,097 | |
Current portion of lease liabilities | 1,202 | $ 1,209 |
Long-term portion of operating lease liabilities | $ 5,895 | $ 6,992 |
Operating Leases - Lease Terms
Operating Leases - Lease Terms and Discount Rates (Details) | Dec. 31, 2023 | Dec. 31, 2022 |
Leases [Abstract] | ||
Weighted average remaining lease term (years) | 5 years 4 months 20 days | 6 years 1 month 2 days |
Weighted average discount rate | 11.20% | 11.05% |
Operating Leases - Other Inform
Operating Leases - Other Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Supplemental Cash Flows Information | |||
Cash paid for operating lease liabilities | $ 2,326 | $ 2,493 | $ 3,199 |
Operating lease right-of-use assets obtained in exchange for new lease liabilities (includes new leases or modifications of existing leases) | $ 399 | $ 466 | $ 4,868 |
Segments - Adjusted EBITDA by R
Segments - Adjusted EBITDA by Reportable Segment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Segment Reporting Information [Line Items] | |||
Segment Adjusted EBITDA for operating segments | $ (76,065) | $ (72,545) | $ (71,993) |
Biopharmaceuticals | |||
Segment Reporting Information [Line Items] | |||
Segment Adjusted EBITDA for operating segments | (75,339) | (77,542) | (78,891) |
Exemplar | |||
Segment Reporting Information [Line Items] | |||
Segment Adjusted EBITDA for operating segments | $ (726) | $ 4,997 | $ 6,898 |
Segments - Reconciliation of Ne
Segments - Reconciliation of Net Loss Before Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Segment Reporting Information [Line Items] | |||
Segment Adjusted EBITDA for operating segments | $ (76,065) | $ (72,545) | $ (71,993) |
Other expenses: | |||
Depreciation and amortization | (6,668) | (10,765) | (13,761) |
Stock-based compensation expense | (9,888) | (10,206) | (13,904) |
Equity in net income (loss) of affiliates | 0 | 862 | (3) |
Shares issued as payment for services | 545 | 575 | 577 |
Other | (2) | (107) | (24) |
Consolidated loss from continuing operations before income taxes | (96,362) | (79,966) | (110,967) |
Add recognition of previously deferred revenue associated with upfront and milestone payments | |||
Segment Reporting Information [Line Items] | |||
Add recognition of previously deferred revenue associated with upfront and milestone payments | 0 | 14,561 | 397 |
Operating segments | |||
Segment Reporting Information [Line Items] | |||
Remove cash paid for capital expenditures net of proceeds from sale of assets | 1,438 | 1,395 | 2,524 |
Interest Income | 3,237 | 133 | 171 |
Operating segments | Add recognition of previously deferred revenue associated with upfront and milestone payments | |||
Segment Reporting Information [Line Items] | |||
Add recognition of previously deferred revenue associated with upfront and milestone payments | 0 | 14,561 | 2,034 |
Corporate And Reconciling Items | |||
Other expenses: | |||
Interest expense | (468) | (6,774) | (18,755) |
Depreciation and amortization | (6,668) | (7,191) | (8,139) |
Gain (loss) from disposals of assets | 72 | 0 | (53) |
Impairment losses | (10,835) | (1,120) | (543) |
Stock-based compensation expense | (9,888) | (10,197) | (13,554) |
Adjustment related to accrued bonuses paid in equity awards | 3,361 | 1,698 | 0 |
Equity in net income (loss) of affiliates | 0 | 862 | (3) |
Shares issued as payment for services | (545) | (575) | (577) |
Other | (1) | (107) | (17) |
Eliminations | |||
Other expenses: | |||
Consolidated loss from continuing operations before income taxes | 0 | (106) | (2,062) |
Segment Adjusted EBITDA for reportable segments | |||
Segment Reporting Information [Line Items] | |||
Segment Adjusted EBITDA for operating segments | $ (76,065) | $ (72,545) | $ (71,993) |
Segments - Revenues by Reportab
Segments - Revenues by Reportable Segment (Details) - Operating segments - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Segment Reporting Information [Line Items] | |||
Revenues from external customers/Total segment revenues | $ 6,225 | $ 26,909 | $ 14,267 |
Biopharmaceuticals | |||
Segment Reporting Information [Line Items] | |||
Revenues from external customers/Total segment revenues | 75 | 14,894 | 922 |
Exemplar | |||
Segment Reporting Information [Line Items] | |||
Revenues from external customers/Total segment revenues | $ 6,150 | $ 12,015 | $ 13,345 |
Segments - Additional Informati
Segments - Additional Information (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 USD ($) customer | Dec. 31, 2022 USD ($) customer | Dec. 31, 2021 USD ($) customer | |
Segment Reporting Information [Line Items] | |||
Number of customers | customer | 4 | 1 | 1 |
Exemplar | |||
Segment Reporting Information [Line Items] | |||
Percentage of revenue attributable to customer | 74.60% | 59.60% | 61.50% |
Non-US | |||
Segment Reporting Information [Line Items] | |||
Revenues | $ 0 | $ 233 | $ 378 |
Long-lived assets | $ 1,958 | $ 2,591 |
Segments - Goodwill (Details)
Segments - Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Goodwill | |||
Beginning of year | $ 36,923 | ||
Foreign currency translation adjustments | 79 | $ (149) | |
Impairment of goodwill | (10,390) | (482) | $ 0 |
End of year | 26,612 | 36,923 | |
Operating segments | |||
Goodwill | |||
Beginning of year | 37,554 | ||
End of year | 37,554 | ||
Operating segments | Biopharmaceuticals | |||
Goodwill | |||
Beginning of year | 16,847 | 17,478 | |
Foreign currency translation adjustments | 79 | (149) | |
Impairment of goodwill | 0 | (482) | |
End of year | 16,926 | 16,847 | 17,478 |
Operating segments | Exemplar | |||
Goodwill | |||
Beginning of year | 20,076 | 20,076 | |
Foreign currency translation adjustments | 0 | 0 | |
Impairment of goodwill | (10,390) | 0 | |
End of year | $ 9,686 | $ 20,076 | $ 20,076 |
Defined Contribution Plans - Ad
Defined Contribution Plans - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Retirement Benefits [Abstract] | |||
Defined contribution plans, cost recognized | $ 178 | $ 564 | $ 388 |