Document and Entity Information
Document and Entity Information | 9 Months Ended |
Sep. 30, 2020 | |
Document and Entity Information | |
Entity Registrant Name | Zealand Pharma A/S |
Entity Central Index Key | 0001674988 |
Document Type | 6-K |
Document Period End Date | Sep. 30, 2020 |
Amendment Flag | false |
Current Fiscal Year End Date | --12-31 |
Document Fiscal Year Focus | 2020 |
Document Fiscal Period Focus | Q3 |
Consolidated income statements
Consolidated income statements - DKK (kr) kr in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Consolidated income statements | ||||
Revenue | kr 56,526 | kr 9,922 | kr 289,958 | kr 29,840 |
Cost of goods sold | (34,271) | 0 | (62,297) | 0 |
Royalty expenses | 0 | (231) | 0 | (415) |
Gross margin | 22,255 | 9,691 | 227,661 | 29,425 |
Research and development expenses | (139,332) | (123,822) | (430,991) | (380,733) |
Sales and marketing expenses | (97,429) | 0 | (172,282) | 0 |
Administrative expenses | (40,567) | (16,020) | (111,232) | (51,211) |
Other operating income | 36,866 | 89 | 37,724 | 384 |
Operating result | (218,207) | (130,062) | (449,120) | (402,135) |
Financial income | 4,070 | 17,101 | 1,265 | 27,398 |
Financial expenses | (13,816) | (1,580) | (20,014) | (7,083) |
Result before tax | (227,953) | (114,541) | (467,869) | (381,820) |
Income tax | (621) | 1,313 | 1,686 | 3,954 |
Net result for the period | kr (228,574) | kr (113,228) | kr (466,183) | kr (377,866) |
Earnings/loss per share - DKK | ||||
Earnings/loss per share - basic/diluted (DKK) | kr (5.76) | kr (3.44) | kr (12.39) | kr (11.49) |
Consolidated statements of comp
Consolidated statements of comprehensive income (loss) - DKK (kr) kr in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Consolidated statements of comprehensive income (loss) | ||||
Net result for the period | kr (228,574) | kr (113,228) | kr (466,183) | kr (377,866) |
Adjustment of foreign currency fluctuations on subsidiaries | 2,733 | 0 | 2,405 | 0 |
Comprehensive result for the period | kr (225,841) | kr (113,228) | kr (463,778) | kr (377,866) |
Consolidated statements of cash
Consolidated statements of cash flows - DKK (kr) kr in Thousands | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Consolidated statements of cash flows | |||
Operating result | kr (449,120) | kr (402,135) | kr (587,942) |
Bargain purchase | (36,692) | 0 | 0 |
Depreciation and amortization | 25,567 | 6,176 | 13,682 |
Adjustments for other non-cash items | 44,977 | 13,418 | 12,019 |
Change in working capital | 43,133 | (13,224) | 10,873 |
Financial income received | 901 | 5,100 | 5,413 |
Financial expenses paid | (5,862) | (1,362) | (3,390) |
Deferred revenue | (34,532) | 150,787 | 139,890 |
Income tax paid/received | 0 | 0 | 93 |
Cash flow from operating activities | (411,628) | (241,240) | (409,455) |
Acquisition of Valeritas business, net of cash acquired | (167,725) | 0 | 0 |
Royalty expenses regarding sale of future royalty and milestones | 0 | (6,575) | 0 |
Change in deposits | (3,583) | (4,531) | (6,250) |
Purchase of other investments | 0 | (22,804) | (22,804) |
Purchase of property, plant and equipment | (29,491) | (14,569) | (21,036) |
Purchase of intangible assets | 0 | 0 | (2,480) |
Sale of property, plant and equipment | 0 | 25 | 25 |
Dividends on securities | 0 | 0 | 878 |
Cash flow from investing activities | (200,799) | (48,454) | (51,666) |
Proceeds from issuance of shares related to exercise of warrants | 38,832 | 29,283 | 52,468 |
Proceeds from issuance of shares | 794,929 | 645,145 | 645,145 |
Costs related to issuance of shares | (42,689) | (13,977) | (14,444) |
Lease installments | (10,246) | (4,440) | (8,689) |
Cash flow from financing activities | 780,826 | 656,011 | 674,480 |
Decrease/increase in cash and cash equivalents | 168,400 | 366,318 | 213,359 |
Cash and cash equivalents at beginning of period | 1,081,060 | 860,635 | 860,635 |
Exchange rate adjustments | (17,775) | 15,918 | 7,066 |
Cash and cash equivalents at end of period | kr 1,231,685 | kr 1,242,871 | kr 1,081,060 |
Consolidated statements of fina
Consolidated statements of financial position - DKK (kr) | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Dec. 31, 2018 |
Non-current assets | ||||
Intangible assets | kr 75,154,000 | kr 2,480,000 | ||
Property, plant and equipment | 94,315,000 | 39,708,000 | ||
Right-of-use assets | 131,966,000 | 85,632,000 | ||
Deposits | 16,261,000 | 9,012,000 | ||
Corporate tax receivable | 4,125,000 | 0 | ||
Deferred tax assets | 510,000 | 0 | ||
Other investments | 33,007,000 | 35,632,000 | ||
Total non-current assets | 355,338,000 | 172,464,000 | ||
Current assets | ||||
Inventories | 75,162,000 | 0 | ||
Trade receivables | 44,238,000 | 751,000 | ||
Prepaid expenses | 39,896,000 | 30,755,000 | ||
Corporate tax receivable | 6,725,000 | 7,101,000 | ||
Other receivables | 9,190,000 | 7,935,000 | ||
Marketable securities | 296,909,000 | 299,448,000 | ||
Cash and cash equivalents | 1,231,685,000 | 1,081,060,000 | kr 1,242,871,000 | kr 860,635,000 |
Total current assets | 1,703,805,000 | 1,427,050,000 | ||
Total assets | 2,059,143,000 | 1,599,514,000 | ||
EQUITY AND LIABILITIES | ||||
Share capital | 39,778,961 | 36,054,661 | 35,865,461 | 30,786,827 |
Share premium | 3,457,526,000 | 2,650,142,000 | ||
Translation reserve | 2,405,000 | 0 | ||
Accumulated loss | (1,909,707,000) | (1,443,524,000) | ||
Equity | 1,590,003,000 | 1,242,673,000 | kr 1,409,193,000 | kr 1,116,281,000 |
Deferred revenue | 45,191,000 | 83,639,000 | ||
Deferred tax liabilities | 11,163,000 | 0 | ||
Lease liabilities | 119,290,000 | 78,068,000 | ||
Non-current liabilities | 175,644,000 | 161,707,000 | ||
Trade payables | 61,703,000 | 57,533,000 | ||
Corporate tax payables | 1,775,000 | 614,000 | ||
Lease liabilities | 14,218,000 | 7,692,000 | ||
Deferred revenue | 58,589,000 | 56,251,000 | ||
Discount and rebate liabilities | 28,289,000 | 0 | ||
Other liabilities | 128,922,000 | 73,044,000 | ||
Current liabilities | 293,496,000 | 195,134,000 | ||
Total liabilities | 469,140,000 | 356,841,000 | ||
Total equity and liabilities | kr 2,059,143,000 | kr 1,599,514,000 |
Consolidated statements of chan
Consolidated statements of changes in equity - DKK (kr) kr in Thousands | Share capitalRestatement | Share capital | Share premiumRestatement | Share premium | Translation reserveRestatement | Translation reserve | Retained lossesRestatement | Retained losses | Restatement | Total |
Restated equity | kr 30,787 | kr 1,957,478 | kr 0 | kr (871,984) | kr 1,116,281 | |||||
Equity at beginning of period at Dec. 31, 2018 | kr 0 | 30,787 | kr (22,015) | 1,979,493 | kr 0 | 0 | kr 22,015 | (893,999) | kr 0 | 1,116,281 |
Other comprehensive income for the period | 0 | 0 | 0 | 0 | 0 | |||||
Net loss for the period | 0 | 0 | 0 | (377,866) | (377,866) | |||||
Share-based compensation expenses | 0 | 10,327 | 0 | 0 | 10,327 | |||||
Capital increase | 5,078 | 669,350 | 0 | 0 | 674,428 | |||||
Costs related to capital increases | 0 | (13,977) | 0 | 0 | (13,977) | |||||
Equity at end of period at Sep. 30, 2019 | 35,865 | 2,623,178 | 0 | (1,249,850) | 1,409,193 | |||||
Equity at beginning of period at Dec. 31, 2019 | 36,055 | 2,650,142 | 0 | (1,443,524) | 1,242,673 | |||||
Other comprehensive income for the period | 0 | 0 | 2,405 | 0 | 2,405 | |||||
Net loss for the period | 0 | 0 | 0 | (466,183) | (466,183) | |||||
Share-based compensation expenses | 0 | 20,037 | 0 | 0 | 20,037 | |||||
Capital increase | 3,724 | 830,037 | 0 | 0 | 833,761 | |||||
Costs related to capital increases | 0 | (42,689) | 0 | 0 | (42,689) | |||||
Equity at end of period at Sep. 30, 2020 | kr 39,779 | kr 3,457,526 | kr 2,405 | kr (1,909,707) | kr 1,590,003 |
Basis of preparation and change
Basis of preparation and changes to the Group's accounting policies | 9 Months Ended |
Sep. 30, 2020 | |
Basis of preparation and changes to the Group's accounting policies | |
Basis of preparation and changes to the Group's accounting policies | Note 1 - Basis of preparation and changes to the Group’s accounting policies Basis of preparation The interim condensed consolidated financial statements of Zealand Pharma A/S (“the Company”) have been prepared in accordance with IAS 34, Interim Financial Reporting, as issued by the International Accounting Standards Board (IASB) and as adopted by EU and and additional requirements of the Danish Financial Statements Act.The interim condensed consolidated financial statements are presented in Danish kroner (DKK) which is also the functional currency of the parent company. The accounting policies used in the interim condensed consolidated financial statements are consistent with those used in the Company’s Annual report for the year ended December 31, 2019 except for the newly applied accounting policies following the acquisition of the business activities from Valeritas as disclosed in note 20, which has also implied adoption of new standards effective as of January 1, 2020 as discussed below. New standards, interpretations and amendments adopted by the Group A few amendments apply for the first time in 2020, but do not have an impact on the interim condensed consolidated financial statements of the Group. Amendments to IFRS 3: Definition of a Business The amendment to IFRS 3 clarifies that to be considered a business, an integrated set of activities and assets must include, at a minimum, an input and a substantive process that together significantly contribute to the ability to create output. Furthermore, it clarified that a business can exist without including all of the inputs and processes needed to create outputs. Amendments to IFRS 7, IFRS 9 and IAS 39: Interest Rate Benchmark Reform The amendments to IFRS 9 and IAS 39 Financial Instruments: Recognition and Measurement provide a number of reliefs, which apply to all hedging relationships that are directly affected by interest rate benchmark reform. A hedging relationship is affected if the reform gives rise to uncertainties about the timing and or amount of benchmark-based cash flows of the hedged item or the hedging instrument. Amendments to IAS 1 and IAS 8: Definition of Material The amendments provide a new definition of material that states “information is material if omitting, misstating or obscuring it could reasonably be expected to influence decisions that the primary users of general purpose financial statements make on the basis of those financial statements, which provide financial information about a specific reporting entity.” The amendments clarify that materiality will depend on the nature or magnitude of information, either individually or in combination with other information, in the context of the financial statements. A misstatement of information is material if it could reasonably be expected to influence decisions made by the primary users. Significant judgements estimates In the preparation of the reviewed condensed consolidated interim financial statements, the Company’s management (“Management”) makes several accounting estimates that form the basis for the presentation, recognition and measurement of the Company’s assets and liabilities. In the application of the Company’s accounting policies, Management is required to make judgments, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods. The estimates used are based on assumptions assessed as reasonable by Management; however, estimates are inherently uncertain and unpredictable. The assumptions can be incomplete or inaccurate, and unexpected events or circumstances might occur. Furthermore, the Company is subject to risks and uncertainties that might result in deviations in actual results compared with estimates. For further information regarding significant accounting estimates and judgments related to revenue recognition please see note 1 in the Annual Report for 2019. Additionally, new significant accounting estimates and judgements have been applied regarding Gross to net accruals and business combinations. Gross to net accruals is relating to the discounts and rebates arising from our V-Go sales in USA and is described under newly applied accounting policies below. The purchase price allocation is described in general terms in the section on Business combinations under newly applied accounting policies and specifically for the Valeritas acquisition in note 20. Newly applied accounting policies The following accounting policies have been applied for the first time in the condensed consolidated interim reporting for the period ended September 30, 2020 because of the acquisition of the Valeritas business as disclosed in note 19. Revenue from contracts with customers (extended) Sale of Goods Revenue from sale of goods is recognized at a point in time when control of the goods are transferred to the customer and recorded net of adjustments for managed care rebates, wholesale distributions fees, cash discounts, prompt pay discounts, and co-pay card redemptions, all of which are established at the time of sale. In order to prepare the consolidated financial statements, the company is required to make estimates regarding the amounts earned or to be claimed on the related product sales, including the following: · managed care and Medicare rebates, which are based on the estimated end user pay or mix and related contractual rebates; · distribution fees, prompt pay discounts and other discounts, which are recorded based on specified payment terms, and which vary by customer and other incentive programs; and · Co-pay card redemption charges which are based on the net transaction costs of prescriptions filled via a company-subsidized card program and other incentive programs. Zealand believes its estimates related to managed care rebates and Medicare rebates, distribution fees, prompt pay and other discounts, and co-pay card redemption do not have a high degree of estimation complexity or uncertainty as the related amounts are settled within a relatively short period of time. The Group has concluded that it is the principal in this revenue arrangements since it controls the goods before transferring them to the customer. Return Reserve We record allowances for product returns as a reduction of revenue at the time product sales are recorded. Several factors are considered in determining whether an allowance for product returns is required, including the customers’ return rights and our historical experience with returns and the amount of product sales in the distribution channel not consumed by patients and subject to return. We rely on historical return rates to estimate returns. In the future, as any of these factors and/or the history of product returns change, adjustments to the allowance for product returns will be reflected Cost of goods sold Cost of goods sold includes raw materials, labor costs, manufacturing overhead expenses and reserves for anticipated scrap and inventory obsolescence. Sales and marketing expenses (extended) Sales and marketing expenses include expenses for sales personnel and expenses related to company premises in the US used for sales activities. Other significant expenses include product demonstration samples, trade show expenses, professional fees for our contracted customer support center and other consultants, insurance, facilities and information technology expenses. Overhead expenses have been allocated to sales and marketing expenses according to the number of employees in each department, based on the respective employees’ associated undertakings. Impairment testing Each year, the assets are reviewed in order to assess whether there are indications of impairment. If such indications exist, the recoverable amount, determined as the higher amount of the fair value of the asset adjusted for expected costs to sell and the value in use of the asset, is calculated. The value in use is calculated based on the estimated future cash flows, discounted by using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. If the recoverable amount of an asset or its cash-generating unit is lower than the carrying amount, an impairment charge is recognized in respect of the asset. The impairment loss is recognized in the income statement. In addition, for goodwill and other intangible assets with indefinite useful lives, impairment tests are performed at each balance sheet date, regardless of whether there are any indications of impairment. For acquisitions, the first impairment test is performed before the end of the year of acquisition. Inventories Raw materials , work in progress and finished goods are stated at the lower of cost and net realizable value. Cost comprises direct materials, direct labor and an appropriate proportion of variable and fixed overhead expenditure, the latter being allocated on the basis of normal operating capacity . C osts of purchased inventory are determined after deducting rebates and discounts. Net realizable value is the estimated selling price in the ordinary course of business less the estimated costs of completion and the estimated costs necessary to make the sale. Trade receivables write-down On initial recognition, receivables are measured at fair value. The Group holds the trade receivables with the objective to collect the contractual cash flows and therefore measures them subsequently at amortized cost. Trade receivables are written down for expected credit losses. The Group applies the simplified approach in IFRS 9 to measuring expected credit losses which uses a lifetime expected loss allowance for trade receivables and contract assets. A write-down is recognized in sales and marketing expenses. Business combinations Business combinations are accounted for using the acquisition method of accounting. At the date of the acquisition, the Company initially recognizes the fair value of the identifiable assets acquired, the liabilities assumed and any non-controlling interest in the acquired business. The consideration transferred is measured at fair value at the date of acquisition and the excess of the consideration transferred over the fair value of net identifiable assets of the business acquired is recorded as goodwill. In circumstances where the consideration transferred is less than the fair value of net identifiable assets of the business acquired, the difference is recognized directly in the consolidated statement of profit and loss as a bargain purchase. Where the settlement of any part of cash consideration is deferred, the amounts payable in the future are discounted to their present value. Contingent consideration is classified either as equity or a financial liability and is recognized at fair value on the acquisition date. Amounts classified as a financial liability are subsequently remeasured to fair value in accordance with IFRS 9 (Financial Instruments), with changes in fair value recognized in the consolidated statement of comprehensive loss as an administrative expense. Business combinations require management making an assessment of the fair value of the net assets acquired as well as an assessment regarding whether control exists. Management judgement is particularly involved in the recognition and measurement of the following items at fair value: · intellectual property: this may include patents, licenses, trademarks and similar rights for currently marketed products, and also the rights and scientific knowledge associated with projects that are currently in research or development phases, and requires the projection of estimated future cash inflows and outflows and relevant risks, the terminal value of these assets, discount rates and weighted average costs of capital, · working capital items such as trade receivables, inventory (raw materials, work in process, parts and finished goods), prepaid expenses, trade payables, and fixed assets · Guarantees, warranties, indemnities, rights, claims, counterclaims etc. set off against third parties relating to the acquired assets or assumed liabilities, including rights under vendors’ and manufacturers’ warranties, indemnities, guaranties and avoidance claims and causes of action under any applicable Law, employee liabilities and other contingencies In all cases, management makes an assessment based on the underlying economic substance of the items concerned, and not only on the contractual terms, in order to fairly present these items. In making these assessments, management relies to a significant extent on the work of valuation experts. However, the assessments are highly subjective and sensitive to the assumptions used. In accordance with IFRS 3, if a business combination indicates a bargain gain all applied assumptions will be reassessed by Management before recognition. Directly attributable acquisition-related costs are expensed as incurred within the consolidated statement of comprehensive loss. Customer relationships and other intangible assets acquired through business combinations are measured at fair value at the acquisition date and amortized on a systematic basis over their useful life 8 and 10 years respectively (unless the asset has an indefinite useful life, in which case it is not amortized). |
Revenue
Revenue | 9 Months Ended |
Sep. 30, 2020 | |
Revenue | |
Revenue | Note 2 - Revenue Recognized revenue can be specified as follows for all agreements: DKK thousand Q3 2020 Q3 2019 Q1-Q3 2020 Q1-Q3 2019 Alexion Pharmaceuticals Inc. 10,645 8,267 36,870 26,528 Boehringer Ingelheim International GmbH — — 149,120 — Undisclosed counterpart — 1,655 — 3,312 Total license and milestone revenue 10,645 9,922 185,990 29,840 Total sale of goods revenue net (V-Go sales) 45,881 — 103,968 — Total revenue 56,526 9,922 289,958 29,840 Total revenue recognized over time 10,645 9,922 36,870 29,840 Total revenue recognized at a point in time 45,881 — 253,088 — License revenue for the first nine months of 2020 of DKK 37.1 million relate to the research and development agreement with Alexion Pharmaceuticals entered into in March 2019. Under the agreement DKK 103.8 million is accounted for as deferred revenue at September 30, 2020. Milestone revenue for the first nine months of 2020 of DKK 149.1 million relate to the license agreement with Boehringer Ingelheim entered into in 2011. No deferred revenue related to this agreement is recognized at September 30, 2020 as payments are not received before the achievement of pre-specified development, regulatory and commercial milestones for the lead product are met. For further information about the agreements please see note 2 in the Annual Report 2019. Sale of goods revenue net for first nine months of 2020 of DKK 104.0 million relate to V-Go, which is a product line developed by Valeritas Inc. that was acquired as part of the business combination as described in note 20. The net sales comprises of gross sales of DKK 192.8 million and discounts and rebates of DKK -88.8 million. Zealand is managed and operated as one business unit, which is reflected in the organizational structure and internal reporting. No separate lines of business or separate business entities have been identified with respect to any of the product candidates or geographical markets and no segment information is currently included in the internal reporting. All V-Go related costs can be identified in the financial statement lines cost of goods sold (DKK 62.3 million for the nine month period ended September 30, 2020) and sales and marketing expenses (DKK 163.6 million for the nine month period ended September 30, 2020). Net revenue in Germany for the nine months period ended September 30, 2020 comprise DKK 149.1 million in license revenue whereas net sales in US for the nine months period ended September 30, 2020 comprise DKK 140.8 million including license revenues and sale of goods. No other countries accounts for more than 10% of the net total sales. |
Other operating income
Other operating income | 9 Months Ended |
Sep. 30, 2020 | |
Other operating income | |
Other operating income | Note 3 – Other operating income Recognized other operating income can be specified as follows: DKK thousand Q3 2020 Q3 2019 Q1-Q3 2020 Q1-Q3 2019 Bargain purchase 36,692 — 36,692 — Other 174 89 1,032 384 Total other operating income 36,866 89 37,724 384 The bargain purchase recognized is relating to Valeritas business described in note 20 on business combinations. |
Financial expenses
Financial expenses | 9 Months Ended |
Sep. 30, 2020 | |
Financial expenses | |
Financial expenses | Note 4 - Financial expenses Recognized financial expenses can be specified as follows: DKK thousand Q3 2020 Q3 2019 Q1-Q3 2020 Q1-Q3 2019 Interest expenses and banking fees -134 -503 -279 -922 Fair value adjustment — — -5,164 — Other financial expenses -1,256 -657 -5,583 -1,555 Currency exchange adjustments -12,426 -420 -8,988 -4,606 Financial expenses -13,816 -1,580 -20,014 -7,083 *Fair value adjustments for the 3 months period in Q3 is a net income and therefore not included in the table as it is recognized under financial income. |
Earnings_Loss per share
Earnings/Loss per share | 9 Months Ended |
Sep. 30, 2020 | |
Earnings/Loss per share | |
Earnings/Loss per share | Note 5 - Earnings/Loss per share The earnings/loss and weighted average number of ordinary shares used in the calculation of basic and diluted earnings/loss per share are as follows: DKK thousand Q3 2020 Q3 2019 Q1-Q3 2020 Q1-Q3 2019 Net earnings/loss for the period -228,574 -113,228 -466,183 -377,866 Net earnings/loss used in the calculation of basic earnings/loss per share -228,574 -113,228 -466,183 -377,866 Weighted average number of ordinary shares 39,750,959 32,956,731 37,701,621 32,956,731 Weighted average number of treasury shares -64,223 -64,223 -64,223 -64,223 Weighted average number of ordinary shares used in the calculation of basic/diluted loss per share 39,686,736 32,892,508 37,637,398 32,892,508 Earnings/loss per share – basic/diluted (DKK) -5.76 -3.44 -12.39 -11.49 The following potential ordinary shares are anti-dilutive and are therefore excluded from the weighted average number of ordinary shares for the purpose of diluted earnings/loss per share: September 30, 2020 September 30, 2019 Outstanding warrants under the 2010 Employee incentive program — 87,359 Outstanding warrants under the 2015 Employee incentive program 1,941,209 1,768,073 Outstanding warrants under the 2020 Employee incentive program 63,217 — Outstanding Performance Share Units (PSUs) under the LTIP 2019 program 19,765 19,765 Outstanding Restricted Share Units (RSUs) under the LTIP 2020 program 27,466 — Total outstanding warrants 2,051,657 1,875,197 For further information on the Employee incentive programs please see note 6 in the Annual Report for 2019. |
Intangible assets
Intangible assets | 9 Months Ended |
Sep. 30, 2020 | |
Intangible assets | |
Intangible assets | Note 6 – Intangible assets Intangible assets of DKK 75.2 million recognized as at September 30, 2020 as compared to DKK 2.5 million as of December 31, 2019. The increase is primarily related to the acquisition of the Valeritas business (DKK 82.1 million) described in note 20 on business combinations. |
Property, plant and equipment
Property, plant and equipment | 9 Months Ended |
Sep. 30, 2020 | |
Property, plant and equipment | |
Property, plant and equipment | Note 7 – Property, plant and equipment DKK thousand September 30, 2020 December 31, 2019 Plant and machinery 42,785 13,457 Other fixtures and fittings 9,413 8,337 Building improvements 35,828 3,913 Assets under construction 6,289 14,001 Carrying amount 94,315 39,708 The increase from DKK 39.7 million as at December 31, 2019 to DKK 94.3 million as at September 30, 2020 is primarily related to tooling, machinery and equipment for the production lines to procedures V-Go and leasehold improvements purchased as part of the Valeritas acquisition (DKK 41.1 million) described in note 20 on business combinations and new leasehold improvements in Søborg (DKK 29.2 million). |
Right of use assets and lease l
Right of use assets and lease liabilities | 9 Months Ended |
Sep. 30, 2020 | |
Right of use assets and lease liabilities | |
Right of use assets and lease liabilities | Note 8 - Right of use assets and lease liabilities Right-of-use-assets of DKK 132.0 million and lease liability of DKK 133.5 million were recognized as at September 30, 2020 as compared to DKK 85.6 million and DKK 85.8 million, respectively, as of December 31, 2019. The increase is primarily related to the office spaces at the headquarters in Søborg, Denmark (DKK 24.2 million) and lease agreement on the assumed Valeritas domicile (DKK 12.3 million) transferred in connection with the acquisition of the Valeritas business described in note 20 on business combinations. |
Financial instruments
Financial instruments | 9 Months Ended |
Sep. 30, 2020 | |
Financial instruments | |
Financial instruments | Note 9 - Financial instruments As of September 30,2020 and December 31, 2019, the following financial instruments are measured at fair value through profit or loss: DKK thousand September 30, 2020 December 31, 2019 Marketable securities 296,909 299,448 Other investments 33,007 35,632 Financial assets measured at fair value 329,916 335,080 The fair value of marketable securities and other investments is based on Level 1 and Level 3, respectively, in the fair value hierarchy. No financial assets are based on Level 2. Other investments consist of a USD 5.2 million (December 31, 2019: USD 5.3 million) investment in Beta Bionics, Inc., the developer of iLet™, a fully integrated dual-hormone pump (bionic pancreas) for autonomous diabetes care. The fair value of the investment in Beta Bionics, Inc. is based on the capital contributions made by either Zealand or other investors, and investee’s current business plan, and is classified as level 3 fair values in the fair value hierarchy due to the use of unobservable inputs. For further information please see note 15 in the Annual Report 2019. Management has for the purpose of measuring the fair value at September 30, 2020 obtained information about capital contributions made during the three months period ended September 30, 2020 and other progress achieved already or in the short-term that can be used as firm evidence for a revised valuation. Management has obtained a valuation report from Beta Bionics supporting the fair value at September 30, 2020. A net fair value adjustment of DKK -5.2 million from marketable securities and other investments have been recognized as financial expenses, as of September 30, 2020 (September 30, 2019: DKK 6.9 million as financial income). There were no transfers between levels 1, 2 and 3 for recurring fair value measurements during the interim periods ended September 30, 2019 and 2020, respectively. |
Inventories
Inventories | 9 Months Ended |
Sep. 30, 2020 | |
Inventories | |
Inventories | Note 10 – Inventories DKK thousand September 30, 2020 December 31, 2019 Raw materials 15,262 — Work in progress 27,570 — Finished goods 32,330 — Inventories 75,162 — Inventories is related to the V-Go product. The increase is due to the acquisition of the Valeritas business described in note 20 on business combinations. |
Trade receivables
Trade receivables | 9 Months Ended |
Sep. 30, 2020 | |
Trade receivables | |
Trade receivables | Note 11 – Trade receivables The increase in Trade receivables from DKK 0.8 million at December 31, 2019 to DKK 61.7 million at September 30, 2020 is mainly related the receivables from V-Go sales. |
Prepaid expenses
Prepaid expenses | 9 Months Ended |
Sep. 30, 2020 | |
Prepaid expenses | |
Prepaid expenses | Note 12 – Prepaid expenses The increase in Prepaid expenses from DKK 30.8 million at December 31, 2019 to DKK 39.9 million at September 30, 2020 is mainly relating to periodical movements. |
Other receivables
Other receivables | 9 Months Ended |
Sep. 30, 2020 | |
Other receivables | |
Other receivables | Note 13 - Other receivables DKK thousand September 30, 2020 December 31, 2019 VAT 7,265 5,437 Other 1,925 2,498 Total other receivables 9,190 7,935 Other receivables is mainly related to VAT receivables in Denmark. |
Cash and cash equivalents
Cash and cash equivalents | 9 Months Ended |
Sep. 30, 2020 | |
Cash and cash equivalents | |
Cash and cash equivalents | Note 14 - Cash and cash equivalents DKK thousand September 30, 2020 December 31, 2019 DKK 724,287 732,405 USD 347,509 306,748 EUR 159,889 41,907 Total cash and cash equivalents 1,231,685 1,081,060 |
Changes in share capital
Changes in share capital | 9 Months Ended |
Sep. 30, 2020 | |
Changes in share capital | |
Changes in share capital | Note 15 - Changes in share capital The following changes have occurred in the share capital during the respective year-to-date interim periods: No. of shares Share capital at January 1, 2019 30,786,827 Capital increase on March 15, 2019 (issue of shares related to exercise of warrants) 72,000 Capital increase on March 25, 2019 (private placement and directed issue of shares) 802,859 Capital increase on April 5, 2019 (issue of shares related to exercise of warrants) 18,250 Capital increase on May 28, 2019 (issue of shares related to exercise of warrants) 45,539 Capital increase on June 14, 2019 (issue of shares related to exercise of warrants) 89,315 Capital increase on August 23, 2019 (issue of shares related to exercise of warrants) 16,500 Capital increase on September 5, 2019 (issue of shares related to exercise of warrants) 3,975,000 Capital increase on September 13, 2019 (issue of shares related to exercise of warrants) 59,171 Share capital at September 30, 2019 35,865,461 Share capital at January 1, 2020 36,054,661 Capital increase on March 20, 2020 (issue of shares related to exercise of warrants) 91,475 Capital increase on March 26, 2020 (private placement and directed issue of shares) 741,816 Capital increase on April 15, 2020 (issue of shares related to exercise of warrants) 29,372 Capital increase on May 26, 2020 (issue of shares related to exercise of warrants) 90,871 Capital increase on June 12, 2020 (issue of shares related to exercise of warrants) 41,495 Capital increase on June 18, 2020 (private placement and directed issue of shares) 2,684,461 Capital increase on August 21, 2020 (issue of shares related to exercise of warrants) 30,959 Capital increase on September 11, 2020 (issue of shares related to exercise of warrants) 13,851 Share capital at September 30, 2020 39,778,961 |
Trade payables
Trade payables | 9 Months Ended |
Sep. 30, 2020 | |
Trade payables | |
Trade payables | Note 16 – Trade payables The increase in Trade payables from DKK 57.5 million at December 31, 2019 to DKK 61.8 million at September 30, 2020 is mainly related to increased V-Go operating expenses as a consequence of the acquisition of the Valeritas business described in note 19 on business combinations. |
Other liabilities
Other liabilities | 9 Months Ended |
Sep. 30, 2020 | |
Other liabilities | |
Other liabilities | Note 17 - Other liabilities DKK thousand September 30, 2020 December 31, 2019 Employee benefits 67,202 36,082 Royalty payable to third party 6,274 6,843 CRO liabilities 8,718 — Other payables 46,728 30,119 Total other liabilities 128,922 73,044 The increase in Other liabilities is related to increase in employee related accruals in the US due to increase in activities (DKK 16.2 million), increased vacation an bonus accruals in Denmark (DKK 14.8 million), and accruals regarding ongoing CRO work (DKK 8.7 million). |
Contingent assets, liabilities
Contingent assets, liabilities and other contractual obligations | 9 Months Ended |
Sep. 30, 2020 | |
Contingent assets, liabilities and other contractual obligations | |
Contingent assets, liabilities and other contractual obligations | Note 18 - Contingent assets, liabilities and contractual obligations Contingent assets Zealand is still eligible for a payment from Sanofi of up to USD 15.0 million in total, expected during 2020 and 2022. However, it is Management’s opinion that the amount of any payment cannot be determined on a sufficiently reliable basis, and has therefore not recognized an asset in the financial position of the Group. Contingent liabilities and contractual obligations At September 30, 2020, total contractual obligations related to agreements with CROs amounted to DKK 251.1 million (DKK 83.9 million for 2020 and DKK 167.2 million for the years 2021‑24). Zealand may be required to pay future development, regulatory and commercial milestones related to the acquisition of Encycle Therapeutics. For further information, please see Note 12 in the Annual Report for 2019. As of September 30, 2020 Zealand has committed inventory purchase orders of DKK 21.1 million (September 30, 2019 DKK 0). |
Long-term incentive and warrant
Long-term incentive and warrant programs | 9 Months Ended |
Sep. 30, 2020 | |
Long-term incentive and warrant programs | |
Long-term incentive and warrant programs | Note 19 - Long-term incentive and warrant programs On September 14, 2020, Zealand granted 63,217 new warrants and 5,864 RSUs to employees in the United States. Grant of warrants The warrant program is an incentive scheme reflecting Zealand’s objective to attract and retain first-rate employees and to help ensure shared short- and long-term interests for the management and employees with shareholders of Zealand. A total of 63,217 warrants have been granted, giving the rights to subscribe for up to 63,217 new Zealand shares with a nominal value of DKK 1 each, corresponding to 0.2% of Zealand's total outstanding share capital. The exercise price is DKK 216.80, calculated as the closing price of Zealand’s shares on Nasdaq Copenhagen on September 11, 2020. The warrants will vest annually over a three-year period, and the exercise of the warrants may take place, in whole or in part, in defined time windows from September 14, 2021 up to and including September 13, 2030. The exercise time windows are defined as four times a year during a four-week window following the time of publication of either Zealand's annual report or quarterly or semi-annual reports (three, nine and nine months respectively). The total new warrants granted have a combined market value of DKK 5,676,887 calculated on the basis of the Black–Scholes model. The cost of each warrant is DKK 89.80 based on Black-Scholes parameters for U.S. grants based with an average volatility of 45.6%, an average risk-free interest rate of -0.495%, and a share price of DKK 216.80. Long-term incentive program Zealand’s LTIP is intended to drive long-term performance, align management’s interests with those of Zealand’s shareholders, and support the attraction, retention and motivation of first-rate executive talent. The members of the Executive Management and Corporate Management are eligible to receive an annual grant of restricted share units (RSUs) free of charge. The 2020 RSU grants have a three-year vesting period from September 14, 2020 to September 13, 2023. Each vested RSU entitles the holder to receive one share in Zealand at no cost, provided the holders continued employment throughout the vesting period. This grant of RSUs under the LTIP will have an estimated aggregate theoretical value of DKK 1.3 million, while each RSU has a value of DKK 220.50. The value of the RSUs is determined as the simple average of the closing price of the Zealand share on Nasdaq Copenhagen A/S for a period of five trading days prior to the grant date. |
Business combinations
Business combinations | 9 Months Ended |
Sep. 30, 2020 | |
Business combinations | |
Business combinations | Note 20 - Business combinations Acquisition of medical technology business from Valeritas, Inc. On April 2, 2020 (or “the acquisition date”) Zealand acquired substantially all of the medical technology business from Valeritas Holdings, Inc. (or “Valeritas”) pursuant to the terms of the stalking horse asset purchase agreement previously entered into with Valeritas and following approval by the U.S. Bankruptcy Court for the District of Delaware on March 20, 2020. Valeritas was a U.S. based commercial-stage public company whose activities comprised development, production and sale of wearable disposable insulin pumps and has therefore been acquired to accelerate Zealand’s plans for establishing U.S. operations to support the anticipated launch of the dasiglucagon HypoPal® rescue pen. The acquisition comprises all medical technology business related tangible and intangible assets that pursuant to the Bankruptcy Code was transferred to Zealand free and clear of all claims, liabilities and encumbrances including the Valeritas workforce. Additionally, the acquisition includes most of the working capital assets and selected liabilities. Under IFRS 3, Business Combinations, the acquisition has been accounted for as a business combination using the acquisition method. The interim condensed consolidated financial statements include the results of Valeritas for the nine-months periods ended September 30, 2020 from the acquisition date. The consideration transferred was DKK 167.7 million (USD 24.5 million) and the fair values of the identifiable assets and liabilities of Valeritas as at the date of acquisition were: Fair value recognized on DKK thousand acquisition Assets Physician Relationship 68,459 V-Go IP 13,692 Property, plant and equipment 41,138 Right-of-use assets 14,299 Inventories 55,796 Trade receivables 50,603 Other assets 10,132 Cash and cash equivalents 66 Liabilities Trade payables -4,050 Deferred tax liabilities -11,880 Lease liabilities -14,046 Other liabilities -19,792 Total identifiable net assets at fair value 204,417 Bargain purchase recognized -36,692 Purchase consideration transferred 167,725 Analysis of cash flows on acquisition: Net cash acquired with the subsidiary (included in cash flows from investing activities) 66 Cash paid -167,725 Net cash flow on acquisition -167,659 The fair value attributable to intangible assets (DKK 82.2 million as of the acquisition date) consists of the value arising from the existing Valeritas physician network and relationships, valued at DKK 68.5 million which is based on the estimated cost it would require to establish similar network and relationships, or a so-called with/without valuation method, and intellectual property related to the V-Go technology, valued at DKK 13.7 million using an excess earnings model. The valuations is calculated using cash flow projections from financial budget approved by Corporate Management covering a 10 year period. The discount rate applied to the cash flow projections is 13%. The growth rate used to extrapolate the cash flows of the unit beyond the 10 year period is -50% which reflects our estimate of the expected lifetime of the product of 10 years with a significant decrease in revenues afterwards. The calculation of the fair value of intangible assets is most sensitive to the revenue and gross margin growths: Revenue and gross margin: Revenue and gross margin are based on historical trends. The revenue growth applied in the calculation is between 1-20% in the 10-year budget period with the first years having the highest revenue growth in percentage. Operating costs: Operating costs are based on historical trends and industry knowledge. Operating costs over the 10-year budget period has been adjusted to incorporate the allocation related to shared efforts of future product launches. Trade receivables have been measured at the contractual amount expected to be received which approximates the fair value of DKK 50.6 million. The amounts have not been discounted, as maturity on receivables is generally very short and the discounted effect therefore immaterial. The acquisition resulted in a bargain purchase gain of DKK 36.7 million which was recognized within other operating income in the consolidated income statement. The gain arose as the fair value of the net assets acquired (DKK 204.4 million) exceeded the fair value of the purchase consideration (DKK 167.7 million). The gain is primarily attributable to the Company purchasing the medical technology business of Valeritas out of bankruptcy. Valertias encountered operational and financial difficulties in late 2019 and filed for Bankruptcy in February 2020. Specifically, the fair value of the tangible and financial assets acquired (DKK 147.5 million), such as inventories, trade receivables, and property, plant and equipment, represents a significant component of the purchase price prior to consideration of the fair value of the identified intangible assets. Acquisition-related costs of DKK 7.1 million have been expensed and are included in administrative expenses in profit or loss and are part of operating cash flows in the statement of cash flows for three and the nine months periods ended September 30, 2020 that have all been incurred in the three months periods ended March 31, 2020. Adjustments may be applied to the various net asset categories when full alignment to Zealand accounting policies is finalized. Consequently, adjustments may be applied for a period of up to twelve months from the acquisition date in accordance with IFRS 3. The Valeritas business acquisition has contributed with net revenues of approximately DKK 104.0 million and profit and loss of approximately DKK -108.8 million to the Group for the interim period ending September 30, 2020 since the acquisition on April 2, 2020. The revenue and profit or loss of the combined entities (the acquired asset were transferred to several Zealand entities) for the current reporting period as though the acquisition date had been as of the beginning of the annual reporting period is impracticable to disclose as the 2019 Financial Statements for Valeritas have not been audited. |
Significant events after the ba
Significant events after the balance sheet date | 9 Months Ended |
Sep. 30, 2020 | |
Significant events after the balance sheet date | |
Significant events after the balance sheet date | Note 21 - Significant events after the reporting period No significant events have occurred after the end of the reporting period. |
Basis of preparation and chan_2
Basis of preparation and changes to the Group's accounting policies (Policies) | 9 Months Ended |
Sep. 30, 2020 | |
Basis of preparation and changes to the Group's accounting policies | |
Revenue from contracts with customers (extended) | Revenue from contracts with customers (extended) Sale of Goods Revenue from sale of goods is recognized at a point in time when control of the goods are transferred to the customer and recorded net of adjustments for managed care rebates, wholesale distributions fees, cash discounts, prompt pay discounts, and co-pay card redemptions, all of which are established at the time of sale. In order to prepare the consolidated financial statements, the company is required to make estimates regarding the amounts earned or to be claimed on the related product sales, including the following: · managed care and Medicare rebates, which are based on the estimated end user pay or mix and related contractual rebates; · distribution fees, prompt pay discounts and other discounts, which are recorded based on specified payment terms, and which vary by customer and other incentive programs; and · Co-pay card redemption charges which are based on the net transaction costs of prescriptions filled via a company-subsidized card program and other incentive programs. Zealand believes its estimates related to managed care rebates and Medicare rebates, distribution fees, prompt pay and other discounts, and co-pay card redemption do not have a high degree of estimation complexity or uncertainty as the related amounts are settled within a relatively short period of time. The Group has concluded that it is the principal in this revenue arrangements since it controls the goods before transferring them to the customer. Return Reserve We record allowances for product returns as a reduction of revenue at the time product sales are recorded. Several factors are considered in determining whether an allowance for product returns is required, including the customers’ return rights and our historical experience with returns and the amount of product sales in the distribution channel not consumed by patients and subject to return. We rely on historical return rates to estimate returns. In the future, as any of these factors and/or the history of product returns change, adjustments to the allowance for product returns will be reflected |
Cost of goods sold | Cost of goods sold Cost of goods sold includes raw materials, labor costs, manufacturing overhead expenses and reserves for anticipated scrap and inventory obsolescence. |
Sales and marketing expenses (extended) | Sales and marketing expenses (extended) Sales and marketing expenses include expenses for sales personnel and expenses related to company premises in the US used for sales activities. Other significant expenses include product demonstration samples, trade show expenses, professional fees for our contracted customer support center and other consultants, insurance, facilities and information technology expenses. Overhead expenses have been allocated to sales and marketing expenses according to the number of employees in each department, based on the respective employees’ associated undertakings. |
Impairment testing | Impairment testing Each year, the assets are reviewed in order to assess whether there are indications of impairment. If such indications exist, the recoverable amount, determined as the higher amount of the fair value of the asset adjusted for expected costs to sell and the value in use of the asset, is calculated. The value in use is calculated based on the estimated future cash flows, discounted by using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. If the recoverable amount of an asset or its cash-generating unit is lower than the carrying amount, an impairment charge is recognized in respect of the asset. The impairment loss is recognized in the income statement. In addition, for goodwill and other intangible assets with indefinite useful lives, impairment tests are performed at each balance sheet date, regardless of whether there are any indications of impairment. For acquisitions, the first impairment test is performed before the end of the year of acquisition. |
Inventories | Inventories Raw materials , work in progress and finished goods are stated at the lower of cost and net realizable value. Cost comprises direct materials, direct labor and an appropriate proportion of variable and fixed overhead expenditure, the latter being allocated on the basis of normal operating capacity . C osts of purchased inventory are determined after deducting rebates and discounts. Net realizable value is the estimated selling price in the ordinary course of business less the estimated costs of completion and the estimated costs necessary to make the sale. |
Trade receivables write-down | Trade receivables write-down On initial recognition, receivables are measured at fair value. The Group holds the trade receivables with the objective to collect the contractual cash flows and therefore measures them subsequently at amortized cost. Trade receivables are written down for expected credit losses. The Group applies the simplified approach in IFRS 9 to measuring expected credit losses which uses a lifetime expected loss allowance for trade receivables and contract assets. A write-down is recognized in sales and marketing expenses. |
Business combinations | Business combinations Business combinations are accounted for using the acquisition method of accounting. At the date of the acquisition, the Company initially recognizes the fair value of the identifiable assets acquired, the liabilities assumed and any non-controlling interest in the acquired business. The consideration transferred is measured at fair value at the date of acquisition and the excess of the consideration transferred over the fair value of net identifiable assets of the business acquired is recorded as goodwill. In circumstances where the consideration transferred is less than the fair value of net identifiable assets of the business acquired, the difference is recognized directly in the consolidated statement of profit and loss as a bargain purchase. Where the settlement of any part of cash consideration is deferred, the amounts payable in the future are discounted to their present value. Contingent consideration is classified either as equity or a financial liability and is recognized at fair value on the acquisition date. Amounts classified as a financial liability are subsequently remeasured to fair value in accordance with IFRS 9 (Financial Instruments), with changes in fair value recognized in the consolidated statement of comprehensive loss as an administrative expense. Business combinations require management making an assessment of the fair value of the net assets acquired as well as an assessment regarding whether control exists. Management judgement is particularly involved in the recognition and measurement of the following items at fair value: · intellectual property: this may include patents, licenses, trademarks and similar rights for currently marketed products, and also the rights and scientific knowledge associated with projects that are currently in research or development phases, and requires the projection of estimated future cash inflows and outflows and relevant risks, the terminal value of these assets, discount rates and weighted average costs of capital, · working capital items such as trade receivables, inventory (raw materials, work in process, parts and finished goods), prepaid expenses, trade payables, and fixed assets · Guarantees, warranties, indemnities, rights, claims, counterclaims etc. set off against third parties relating to the acquired assets or assumed liabilities, including rights under vendors’ and manufacturers’ warranties, indemnities, guaranties and avoidance claims and causes of action under any applicable Law, employee liabilities and other contingencies In all cases, management makes an assessment based on the underlying economic substance of the items concerned, and not only on the contractual terms, in order to fairly present these items. In making these assessments, management relies to a significant extent on the work of valuation experts. However, the assessments are highly subjective and sensitive to the assumptions used. In accordance with IFRS 3, if a business combination indicates a bargain gain all applied assumptions will be reassessed by Management before recognition. Directly attributable acquisition-related costs are expensed as incurred within the consolidated statement of comprehensive loss. Customer relationships and other intangible assets acquired through business combinations are measured at fair value at the acquisition date and amortized on a systematic basis over their useful life 8 and 10 years respectively (unless the asset has an indefinite useful life, in which case it is not amortized). |
Revenue (Tables)
Revenue (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Revenue | |
Schedule of revenue recognition | DKK thousand Q3 2020 Q3 2019 Q1-Q3 2020 Q1-Q3 2019 Alexion Pharmaceuticals Inc. 10,645 8,267 36,870 26,528 Boehringer Ingelheim International GmbH — — 149,120 — Undisclosed counterpart — 1,655 — 3,312 Total license and milestone revenue 10,645 9,922 185,990 29,840 Total sale of goods revenue net (V-Go sales) 45,881 — 103,968 — Total revenue 56,526 9,922 289,958 29,840 Total revenue recognized over time 10,645 9,922 36,870 29,840 Total revenue recognized at a point in time 45,881 — 253,088 — |
Other operating income (Tables)
Other operating income (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Other operating income | |
Schedule of other operating income | DKK thousand Q3 2020 Q3 2019 Q1-Q3 2020 Q1-Q3 2019 Bargain purchase 36,692 — 36,692 — Other 174 89 1,032 384 Total other operating income 36,866 89 37,724 384 |
Financial expenses (Tables)
Financial expenses (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Financial expenses | |
Schedule of financial expenses | DKK thousand Q3 2020 Q3 2019 Q1-Q3 2020 Q1-Q3 2019 Interest expenses and banking fees -134 -503 -279 -922 Fair value adjustment — — -5,164 — Other financial expenses -1,256 -657 -5,583 -1,555 Currency exchange adjustments -12,426 -420 -8,988 -4,606 Financial expenses -13,816 -1,580 -20,014 -7,083 *Fair value adjustments for the 3 months period in Q3 is a net income and therefore not included in the table as it is recognized under financial income. |
Earnings_Loss per share (Tables
Earnings/Loss per share (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Earnings/Loss per share | |
Schedule of basic and diluted earnings/loss per share | DKK thousand Q3 2020 Q3 2019 Q1-Q3 2020 Q1-Q3 2019 Net earnings/loss for the period -228,574 -113,228 -466,183 -377,866 Net earnings/loss used in the calculation of basic earnings/loss per share -228,574 -113,228 -466,183 -377,866 Weighted average number of ordinary shares 39,750,959 32,956,731 37,701,621 32,956,731 Weighted average number of treasury shares -64,223 -64,223 -64,223 -64,223 Weighted average number of ordinary shares used in the calculation of basic/diluted loss per share 39,686,736 32,892,508 37,637,398 32,892,508 Earnings/loss per share – basic/diluted (DKK) -5.76 -3.44 -12.39 -11.49 |
Schedule of potential ordinary shares are antidilutive and are therefore excluded from the weighted average number of ordinary shares for the purpose of diluted earnings/loss per share | September 30, 2020 September 30, 2019 Outstanding warrants under the 2010 Employee incentive program — 87,359 Outstanding warrants under the 2015 Employee incentive program 1,941,209 1,768,073 Outstanding warrants under the 2020 Employee incentive program 63,217 — Outstanding Performance Share Units (PSUs) under the LTIP 2019 program 19,765 19,765 Outstanding Restricted Share Units (RSUs) under the LTIP 2020 program 27,466 — Total outstanding warrants 2,051,657 1,875,197 |
Property, plant and equipment (
Property, plant and equipment (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Property, plant and equipment | |
Schedule of property, plant and equipment | DKK thousand September 30, 2020 December 31, 2019 Plant and machinery 42,785 13,457 Other fixtures and fittings 9,413 8,337 Building improvements 35,828 3,913 Assets under construction 6,289 14,001 Carrying amount 94,315 39,708 |
Financial instruments (Tables)
Financial instruments (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Financial instruments | |
Schedule of financial instruments are measured at fair value through profit and loss | DKK thousand September 30, 2020 December 31, 2019 Marketable securities 296,909 299,448 Other investments 33,007 35,632 Financial assets measured at fair value 329,916 335,080 |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Inventories | |
Schedule of inventories | DKK thousand September 30, 2020 December 31, 2019 Raw materials 15,262 — Work in progress 27,570 — Finished goods 32,330 — Inventories 75,162 — |
Other receivables (Tables)
Other receivables (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Other receivables | |
Schedule of other receivables | DKK thousand September 30, 2020 December 31, 2019 VAT 7,265 5,437 Other 1,925 2,498 Total other receivables 9,190 7,935 |
Cash and cash equivalents (Tabl
Cash and cash equivalents (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Cash and cash equivalents | |
Schedule of cash and cash equivalents | DKK thousand September 30, 2020 December 31, 2019 DKK 724,287 732,405 USD 347,509 306,748 EUR 159,889 41,907 Total cash and cash equivalents 1,231,685 1,081,060 |
Changes in share capital (Table
Changes in share capital (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Changes in share capital | |
Schedule of share capital | No. of shares Share capital at January 1, 2019 30,786,827 Capital increase on March 15, 2019 (issue of shares related to exercise of warrants) 72,000 Capital increase on March 25, 2019 (private placement and directed issue of shares) 802,859 Capital increase on April 5, 2019 (issue of shares related to exercise of warrants) 18,250 Capital increase on May 28, 2019 (issue of shares related to exercise of warrants) 45,539 Capital increase on June 14, 2019 (issue of shares related to exercise of warrants) 89,315 Capital increase on August 23, 2019 (issue of shares related to exercise of warrants) 16,500 Capital increase on September 5, 2019 (issue of shares related to exercise of warrants) 3,975,000 Capital increase on September 13, 2019 (issue of shares related to exercise of warrants) 59,171 Share capital at September 30, 2019 35,865,461 Share capital at January 1, 2020 36,054,661 Capital increase on March 20, 2020 (issue of shares related to exercise of warrants) 91,475 Capital increase on March 26, 2020 (private placement and directed issue of shares) 741,816 Capital increase on April 15, 2020 (issue of shares related to exercise of warrants) 29,372 Capital increase on May 26, 2020 (issue of shares related to exercise of warrants) 90,871 Capital increase on June 12, 2020 (issue of shares related to exercise of warrants) 41,495 Capital increase on June 18, 2020 (private placement and directed issue of shares) 2,684,461 Capital increase on August 21, 2020 (issue of shares related to exercise of warrants) 30,959 Capital increase on September 11, 2020 (issue of shares related to exercise of warrants) 13,851 Share capital at September 30, 2020 39,778,961 |
Other liabilities (Tables)
Other liabilities (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Other liabilities | |
Schedule of other liabilities | DKK thousand September 30, 2020 December 31, 2019 Employee benefits 67,202 36,082 Royalty payable to third party 6,274 6,843 CRO liabilities 8,718 — Other payables 46,728 30,119 Total other liabilities 128,922 73,044 |
Business combinations (Tables)
Business combinations (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Business combinations | |
Disclosure of detailed information about business combination [text block] | Fair value recognized on DKK thousand acquisition Assets Physician Relationship 68,459 V-Go IP 13,692 Property, plant and equipment 41,138 Right-of-use assets 14,299 Inventories 55,796 Trade receivables 50,603 Other assets 10,132 Cash and cash equivalents 66 Liabilities Trade payables -4,050 Deferred tax liabilities -11,880 Lease liabilities -14,046 Other liabilities -19,792 Total identifiable net assets at fair value 204,417 Bargain purchase recognized -36,692 Purchase consideration transferred 167,725 Analysis of cash flows on acquisition: Net cash acquired with the subsidiary (included in cash flows from investing activities) 66 Cash paid -167,725 Net cash flow on acquisition -167,659 |
Revenue (Details)
Revenue (Details) - DKK (kr) kr in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Revenue: | ||||
License and milestone revenue | kr 10,645 | kr 9,922 | kr 185,990 | kr 29,840 |
Total sale of goods revenue net (V-Go sales) | 45,881 | 103,968 | ||
Total revenue | 56,526 | 9,922 | 289,958 | 29,840 |
Gross sales | 192,800 | |||
Discount and rebates | (88,800) | |||
Cost of goods sold | 34,271 | 0 | 62,297 | 0 |
Sales and marketing expenses | 97,429 | 0 | 172,282 | 0 |
Germany | ||||
Revenue: | ||||
Total revenue | 149,100 | |||
US | ||||
Revenue: | ||||
Total revenue | 140,800 | |||
V Go | ||||
Revenue: | ||||
Total sale of goods revenue net (V-Go sales) | 104,000 | |||
Cost of goods sold | 62,300 | |||
Sales and marketing expenses | 163,600 | |||
Recognized over time | ||||
Revenue: | ||||
Total revenue | 10,645 | 9,922 | 36,870 | 29,840 |
Recognized at a point in time | ||||
Revenue: | ||||
Total revenue | 45,881 | 253,088 | ||
Alexion | ||||
Revenue: | ||||
License and milestone revenue | 10,645 | 8,267 | 36,870 | 26,528 |
Deferred revenue | 103,800 | 103,800 | ||
Alexion | Research and development | ||||
Revenue: | ||||
License and milestone revenue | 37,100 | |||
Boehringer Ingelheim | ||||
Revenue: | ||||
License and milestone revenue | 149,120 | |||
Deferred revenue | kr 0 | kr 0 | ||
Undisclosed counterpart | ||||
Revenue: | ||||
License and milestone revenue | kr 1,655 | kr 3,312 |
Other operating income (Details
Other operating income (Details) $ in Millions | Apr. 02, 2020DKK (kr) | Sep. 30, 2020DKK (kr) | Sep. 30, 2019DKK (kr) | Sep. 30, 2020DKK (kr) | Sep. 30, 2019DKK (kr) | Dec. 31, 2019DKK (kr) | Sep. 30, 2020USD ($) |
Other operating income | |||||||
Bargain purchase | kr 36,692,000 | kr 36,692,000 | kr 36,692,000 | kr 0 | kr 0 | ||
Other | 174,000 | kr 89,000 | 1,032,000 | 384,000 | |||
Total other operating income | kr 36,866,000 | kr 89,000 | kr 37,724,000 | kr 384,000 | |||
Sanofi | |||||||
Other operating income | |||||||
Estimated effect of potential milestone | $ | $ 15 |
Financial expenses (Details)
Financial expenses (Details) - DKK (kr) kr in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Financial expenses | ||||
Interest expenses and banking fees | kr (134) | kr (503) | kr (279) | kr (922) |
Fair value adjustment | 0 | 0 | 5,164 | 0 |
Other financial expenses | (1,256) | (657) | (5,583) | (1,555) |
Currency exchange adjustments | (12,426) | (420) | (8,988) | (4,606) |
Total Financial expenses | kr (13,816) | kr (1,580) | kr (20,014) | kr (7,083) |
Earnings_Loss per share (Detail
Earnings/Loss per share (Details) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020DKK (kr)kr / sharesshares | Sep. 30, 2019DKK (kr)kr / sharesshares | Sep. 30, 2020DKK (kr)kr / sharesshares | Sep. 30, 2019DKK (kr)kr / sharesshares | |
Basic and diluted result per share | ||||
Net result for the period | kr (228,574,000) | kr (113,228,000) | kr (466,183,000) | kr (377,866,000) |
Net earnings/loss used in the calculation of basic earnings/loss per share | kr (228,574,000) | kr (113,228,000) | kr (466,183,000) | kr (377,866,000) |
Weighted average number of ordinary shares | shares | 39,750,959 | 32,956,731 | 37,701,621 | 32,956,731 |
Weighted average number of treasury shares | shares | (64,223) | (64,223) | (64,223) | (64,223) |
Weighted average number of ordinary shares used in the calculation of basic/diluted earnings per share | shares | 39,686,736 | 32,892,508 | 37,637,398 | 32,892,508 |
Earnings/loss per share - basic/diluted (DKK) | kr / shares | kr (5.76) | kr (3.44) | kr (12.39) | kr (11.49) |
Potential ordinary shares excluded or included due to anti-dilutive effect | ||||
Total outstanding warrants | 2,051,657 | 1,875,197 | 2,051,657 | 1,875,197 |
2010 employee incentive program | ||||
Potential ordinary shares excluded or included due to anti-dilutive effect | ||||
Total outstanding warrants | 87,359 | 87,359 | ||
2015 employee incentive program | ||||
Potential ordinary shares excluded or included due to anti-dilutive effect | ||||
Total outstanding warrants | 1,941,209 | 1,768,073 | 1,941,209 | 1,768,073 |
2020 employee incentive program | ||||
Potential ordinary shares excluded or included due to anti-dilutive effect | ||||
Total outstanding warrants | 63,217 | 63,217 | ||
Performance Share Units (PSUs) under the LTIP 2019 program | ||||
Potential ordinary shares excluded or included due to anti-dilutive effect | ||||
Total outstanding warrants | 19,765 | 19,765 | 19,765 | 19,765 |
Outstanding Restricted Share Units (RSUs) under the LTIP 2020 program | ||||
Potential ordinary shares excluded or included due to anti-dilutive effect | ||||
Total outstanding warrants | 27,466 | 27,466 |
Intangible assets (Details)
Intangible assets (Details) - DKK (kr) kr in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Dec. 31, 2019 | |
Disclosure of detailed information about intangible assets [line items] | ||
Intangible assets other than goodwill | kr 75,154 | kr 2,480 |
Valeritas Holdings, Inc [Member] | ||
Disclosure of detailed information about intangible assets [line items] | ||
Acquisitions through business combinations, intangible assets other than goodwill | kr 82,100 |
Property, plant and equipment_2
Property, plant and equipment (Details) - DKK (kr) kr in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Dec. 31, 2019 | |
Property, plant and equipment | ||
Carrying amount | kr 94,315 | kr 39,708 |
V Go | ||
Property, plant and equipment | ||
Carrying amount | 94,300 | 39,700 |
Plant and machinery | ||
Property, plant and equipment | ||
Carrying amount | 42,785 | 13,457 |
Other fixtures and fittings | ||
Property, plant and equipment | ||
Carrying amount | 9,413 | 8,337 |
Building improvements | ||
Property, plant and equipment | ||
Carrying amount | 35,828 | 3,913 |
Assets under construction | ||
Property, plant and equipment | ||
Carrying amount | 6,289 | kr 14,001 |
Leasehold improvements | DENMARK | ||
Property, plant and equipment | ||
Additions other than through business combinations, property, plant and equipment | 29,200 | |
Leasehold improvements | Valeritas Holdings, Inc [Member] | ||
Property, plant and equipment | ||
Acquisitions through business combinations, property, plant and equipment | kr 41,100 |
Right of use assets and lease_2
Right of use assets and lease liabilities (Details) - DKK (kr) kr in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Dec. 31, 2019 | |
Right of use assets and lease liabilities | ||
Right-of-use assets | kr 131,966 | kr 85,632 |
Lease liabilities | 133,500 | kr 85,800 |
Valeritas Holdings, Inc [Member] | ||
Right of use assets and lease liabilities | ||
Increase (decrease) through other changes, property, plant and equipment | 12,300 | |
Office Space | DENMARK | ||
Right of use assets and lease liabilities | ||
Increase in right of use assets | kr 24,200 |
Financial instruments (Details)
Financial instruments (Details) kr in Thousands, $ in Millions | 9 Months Ended | |||||
Sep. 30, 2020DKK (kr) | Sep. 30, 2019DKK (kr) | Sep. 30, 2020USD ($) | Sep. 30, 2020DKK (kr) | Dec. 31, 2019USD ($) | Dec. 31, 2019DKK (kr) | |
Disclosure of detailed information about financial instruments [line items] | ||||||
Financial assets measured at fair value | kr 329,916 | kr 335,080 | ||||
Other investments | 33,007 | 35,632 | ||||
Transfer out of level 1 to level 2, Assets | kr 0 | |||||
Transfer out of level 2 to level 1, Assets | 0 | |||||
Transfer out of level 1 to level 2, Liabilities | 0 | |||||
Transfer out of level 1 to level 2, Liabilities | 0 | |||||
Transfer into Level 3, Assets | 0 | |||||
Transfer into Level 3, Liabilities | 0 | |||||
Transfer out of level 3, Assets | 0 | |||||
Transfer out of level 3, Liabilities | 0 | |||||
Level 2 of fair value hierarchy [member] | ||||||
Disclosure of detailed information about financial instruments [line items] | ||||||
Financial assets | 0 | |||||
Marketable securities | ||||||
Disclosure of detailed information about financial instruments [line items] | ||||||
Financial assets measured at fair value | 296,909 | 299,448 | ||||
Fair value adjustments of securities | kr (5,200) | kr 6,900 | ||||
Other investments | ||||||
Disclosure of detailed information about financial instruments [line items] | ||||||
Financial assets measured at fair value | kr 33,007 | kr 35,632 | ||||
Investment in Beta Bionics, Inc [Member] | ||||||
Disclosure of detailed information about financial instruments [line items] | ||||||
Other investments | $ | $ 5.2 | $ 5.3 |
Inventories (Details)
Inventories (Details) - DKK (kr) kr in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Inventories | ||
Raw materials | kr 15,262 | |
Work in progress | 27,570 | |
Finished goods | 32,330 | |
Inventories | kr 75,162 | kr 0 |
Trade receivables (Details)
Trade receivables (Details) - DKK (kr) kr in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Trade receivables | |||||
Trade receivables | kr 61,700 | kr 800 | |||
Licence and milestone revenue | kr 10,645 | kr 9,922 | 185,990 | kr 29,840 | |
Alexion | |||||
Trade receivables | |||||
Licence and milestone revenue | kr 10,645 | 8,267 | 36,870 | 26,528 | |
Boehringer Ingelheim | |||||
Trade receivables | |||||
Licence and milestone revenue | kr 149,120 | ||||
Undisclosed counterpart | |||||
Trade receivables | |||||
Licence and milestone revenue | kr 1,655 | kr 3,312 |
Prepaid expenses (Details)
Prepaid expenses (Details) - DKK (kr) kr in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Prepaid expenses | ||
Prepaid expense | kr 39.9 | kr 30.8 |
Other receivables (Details)
Other receivables (Details) - DKK (kr) kr in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Other receivables | ||
VAT | kr 7,265 | kr 5,437 |
Other | 1,925 | 2,498 |
Total other receivables | kr 9,190 | kr 7,935 |
Cash and cash equivalents (Deta
Cash and cash equivalents (Details) - DKK (kr) kr in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Dec. 31, 2018 |
Cash and cash equivalents | ||||
Cash and cash equivalents | kr 1,231,685 | kr 1,081,060 | kr 1,242,871 | kr 860,635 |
DKK | ||||
Cash and cash equivalents | ||||
Cash and cash equivalents | 724,287 | 732,405 | ||
USD | ||||
Cash and cash equivalents | ||||
Cash and cash equivalents | 347,509 | 306,748 | ||
EUR | ||||
Cash and cash equivalents | ||||
Cash and cash equivalents | kr 159,889 | kr 41,907 |
Changes in share capital (Detai
Changes in share capital (Details) - DKK (kr) | Sep. 11, 2020 | Aug. 21, 2020 | Jun. 18, 2020 | Jun. 12, 2020 | May 26, 2020 | Apr. 15, 2020 | Mar. 26, 2020 | Mar. 20, 2020 | Sep. 13, 2019 | Sep. 05, 2019 | Aug. 23, 2019 | Jun. 14, 2019 | May 28, 2019 | Apr. 05, 2019 | Mar. 25, 2019 | Mar. 15, 2019 |
Issue of shares related to exercise of warrants on March, 15, 2019 | ||||||||||||||||
Disclosure of classes of share capital [line items] | ||||||||||||||||
Capital increase during the period | kr 72,000 | |||||||||||||||
Private placement and directed issue of shares on March 25, 2019 | ||||||||||||||||
Disclosure of classes of share capital [line items] | ||||||||||||||||
Capital increase during the period | kr 802,859 | |||||||||||||||
Issue of shares related to exercise of warrants on April 5, 2019 | ||||||||||||||||
Disclosure of classes of share capital [line items] | ||||||||||||||||
Capital increase during the period | kr 18,250 | |||||||||||||||
Issue of shares related to exercise of warrants on May 28, 2019 | ||||||||||||||||
Disclosure of classes of share capital [line items] | ||||||||||||||||
Capital increase during the period | kr 45,539 | |||||||||||||||
Issue of shares related to exercise of warrants on June 14, 2019 | ||||||||||||||||
Disclosure of classes of share capital [line items] | ||||||||||||||||
Capital increase during the period | kr 89,315 | |||||||||||||||
Issue of shares related to exercise of warrants on August 23, 2019 | ||||||||||||||||
Disclosure of classes of share capital [line items] | ||||||||||||||||
Capital increase during the period | kr 16,500 | |||||||||||||||
Issue of shares related to exercise of warrants on September 5, 2019 | ||||||||||||||||
Disclosure of classes of share capital [line items] | ||||||||||||||||
Capital increase during the period | kr 3,975,000 | |||||||||||||||
Issue of shares related to exercise of warrants on September 13, 2019 | ||||||||||||||||
Disclosure of classes of share capital [line items] | ||||||||||||||||
Capital increase during the period | kr 59,171 | |||||||||||||||
Issue of shares related to exercise of warrants on March 20, 2020 | ||||||||||||||||
Disclosure of classes of share capital [line items] | ||||||||||||||||
Capital increase during the period | kr 91,475 | |||||||||||||||
Private placement and directed issue of shares on March 26, 2020 | ||||||||||||||||
Disclosure of classes of share capital [line items] | ||||||||||||||||
Capital increase during the period | kr 741,816 | |||||||||||||||
Issue of shares related to exercise of warrants on April 15, 2020 | ||||||||||||||||
Disclosure of classes of share capital [line items] | ||||||||||||||||
Capital increase during the period | kr 29,372 | |||||||||||||||
Issue of shares related to exercise of warrants on May 26, 2020 | ||||||||||||||||
Disclosure of classes of share capital [line items] | ||||||||||||||||
Capital increase during the period | kr 90,871 | |||||||||||||||
Issue of shares related to exercise of warrants on June 12, 2020 | ||||||||||||||||
Disclosure of classes of share capital [line items] | ||||||||||||||||
Capital increase during the period | kr 41,495 | |||||||||||||||
Private placement and directed issue of shares on June 18, 2020 | ||||||||||||||||
Disclosure of classes of share capital [line items] | ||||||||||||||||
Capital increase during the period | kr 2,684,461 | |||||||||||||||
Issue of shares related to exercise of warrants on August 21, 2020 | ||||||||||||||||
Disclosure of classes of share capital [line items] | ||||||||||||||||
Capital increase during the period | kr 30,959 | |||||||||||||||
Issue of shares related to exercise of warrants on September 11, 2020 | ||||||||||||||||
Disclosure of classes of share capital [line items] | ||||||||||||||||
Capital increase during the period | kr 13,851 |
Trade Payables (Details)
Trade Payables (Details) - DKK (kr) kr in Millions | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Trade payables | ||
Trade payables | kr 61.8 | kr 57.5 |
Other liabilities (Details)
Other liabilities (Details) - DKK (kr) kr in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Dec. 31, 2019 | |
Disclosure of detailed information about business combination [line items] | ||
Employee benefits | kr 67,202 | kr 36,082 |
Royalty payable to third party | 6,274 | 6,843 |
CRO liabilities | 8,718 | 0 |
Other payables | 46,728 | 30,119 |
Total other liabilities | 128,922 | kr 73,044 |
Accruals regarding ongoing CRO work | 8,700 | |
US | ||
Disclosure of detailed information about business combination [line items] | ||
Increase in employee related accruals | 16,200 | |
DENMARK | ||
Disclosure of detailed information about business combination [line items] | ||
Increased vacation an bonus accruals | kr 14,800 |
Contingent assets, liabilitie_2
Contingent assets, liabilities and other contractual obligations (Details) kr in Millions, $ in Millions | Sep. 30, 2020USD ($) | Sep. 30, 2020DKK (kr) | Sep. 30, 2019DKK (kr) |
Contractual obligations: | |||
Committed inventory purchase orders | kr 21.1 | kr 0 | |
With in 1 year | |||
Contractual obligations: | |||
Contractual obligations | 251.1 | ||
Later than one year but not later than two years | |||
Contractual obligations: | |||
Contractual obligations | 83.9 | ||
Later than two year but not later than three years | |||
Contractual obligations: | |||
Contractual obligations | kr 167.2 | ||
Sanofi | |||
Contractual obligations: | |||
Estimated effect of potential milestone | $ | $ 15 |
Long-term incentive and warra_2
Long-term incentive and warrant programs (Details) | Sep. 14, 2020DKK (kr)Dkr / sharesshares | Sep. 30, 2020kr / shares |
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Warrants granted | 63,217 | |
Shares issued | shares | 1 | |
Share price | kr / shares | kr 1 | kr 216.80 |
Percentage of outstanding share capital. | 0.20% | |
Exercise price | kr / shares | kr 216.80 | |
Vesting period | 3 years | |
Exercise time | 4 years | |
Number of weeks window | 4 | |
Market value of warrants | kr 5,676,887 | |
Cost of each warrant | kr / shares | kr 89.80 | |
Historic volatility | 45.60% | |
Average risk-free interest rate | (0.495%) | |
RSU | ||
Disclosure of terms and conditions of share-based payment arrangement [line items] | ||
Warrants granted | 5,864 | |
Share price | kr / shares | kr 220.50 | |
Estimated theoretical value | kr 1,300,000 | |
Number of trading days | D | 5 |
Business combinations (Details)
Business combinations (Details) kr in Thousands, $ in Millions | Apr. 02, 2020USD ($) | Apr. 02, 2020DKK (kr) | Sep. 30, 2020DKK (kr) | Sep. 30, 2020DKK (kr) | Sep. 30, 2019DKK (kr) | Dec. 31, 2019DKK (kr) |
Disclosure of detailed information about business combination [line items] | ||||||
Consideration transferred, acquisition-date fair value | kr 167,725 | |||||
Trade receivables | 50,603 | |||||
Intangible assets other than goodwill | kr 75,154 | kr 75,154 | kr 2,480 | |||
Bargain purchase | 36,692 | 36,692 | 36,692 | kr 0 | kr 0 | |
Net assets at fair value | 204,417 | |||||
Acquisition Of Medical Technology Business From Valeritas Holdings, Inc. [Member] | ||||||
Disclosure of detailed information about business combination [line items] | ||||||
Consideration transferred, acquisition-date fair value | 167,700 | |||||
Acquisition-related costs | $ | $ 24.5 | |||||
Trade receivables | 50,600 | |||||
Acquisition-related costs | kr 7,100 | kr 7,100 | ||||
Unallocated intangible assets | 82,200 | |||||
Intangible assets other than goodwill | kr 68,500 | |||||
Cash flows of projections period | 10 years | 10 years | ||||
Growth rate | (50.00%) | |||||
Discount rate | 13.00% | |||||
Budget period for revenue growth | 10 years | 10 years | ||||
Budget period for operating costs | 10 years | 10 years | ||||
Bargain purchase | kr 36,700 | |||||
Net assets at fair value | 204,400 | |||||
Fair value of the tangible and financial assets acquired | 147,500 | |||||
Acquisition contributed with net revenues | 104,000 | |||||
Profit (loss) of acquiree | kr (108,800) | |||||
Acquisition Of Medical Technology Business From Valeritas Holdings, Inc. [Member] | Minimum | ||||||
Disclosure of detailed information about business combination [line items] | ||||||
Growth rate for revenue | 1.00% | |||||
Acquisition Of Medical Technology Business From Valeritas Holdings, Inc. [Member] | Maximum | ||||||
Disclosure of detailed information about business combination [line items] | ||||||
Growth rate for revenue | 20.00% | |||||
Acquisition Of Medical Technology Business From Valeritas Holdings, Inc. [Member] | Intellectual Property | ||||||
Disclosure of detailed information about business combination [line items] | ||||||
Intangible assets other than goodwill | kr 13,700 |
Business combinations - Identif
Business combinations - Identifiable assets and liabilities (Details) - DKK (kr) kr in Thousands | Apr. 02, 2020 | Sep. 30, 2020 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 |
Amounts recognised as of acquisition date for each major class of assets acquired and liabilities assumed [abstract] | |||||
Physician Relationship | kr 68,459 | ||||
V-Go IP | 13,692 | ||||
Property, plant and equipment | 41,138 | ||||
Right-of-use assets | 14,299 | ||||
Inventories | 55,796 | ||||
Trade receivables | 50,603 | ||||
Other assets | 10,132 | ||||
Cash and cash equivalents | 66 | ||||
Trade payables | (4,050) | ||||
Deferred tax liabilities | (11,880) | ||||
Lease liabilities | (14,046) | ||||
Other liabilities | (19,792) | ||||
Total identifiable net assets at fair value | 204,417 | ||||
Bargain purchase | (36,692) | kr (36,692) | kr (36,692) | kr 0 | kr 0 |
Purchase consideration transferred | 167,725 | ||||
Net cash acquired with the subsidiary (included in cash flows from investing activities) | 66 | ||||
Cash paid | (167,725) | ||||
Net cash flow on acquisition | (167,659) | kr (167,725) | kr 0 | kr 0 | |
Acquisition Of Medical Technology Business From Valeritas Holdings, Inc. [Member] | |||||
Amounts recognised as of acquisition date for each major class of assets acquired and liabilities assumed [abstract] | |||||
Trade receivables | 50,600 | ||||
Total identifiable net assets at fair value | 204,400 | ||||
Bargain purchase | (36,700) | ||||
Purchase consideration transferred | kr 167,700 |