Evaxion Biotech A/S (EVAX) 6-K 11 Aug 22 2022 Q2 Current report (foreign) Financial data

Document and Entity Information

Document and Entity Information	6 Months Ended
	Jun. 30, 2022
Document Information [Line Items]
Document Type	6-K
Document Period End Date	Jun. 30, 2022
Entity Registrant Name	Evaxion Biotech A/S
Entity Central Index Key	0001828253
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q2
Amendment Flag	false

Unaudited Condensed Consolidate

Unaudited Condensed Consolidated Interim Statements of Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Operating expenses:
Research and development	$ 4,112	$ 5,111	$ 8,916	$ 9,004
General and administrative	2,147	1,915	3,742	3,197
Total operating expenses	6,259	7,026	12,658	12,201
Operating loss	(6,259)	(7,026)	(12,658)	(12,201)
Finance income	1,539	33	2,058	1,005
Finance expenses	(225)	(495)	(383)	(792)
Net loss before tax	(4,945)	(7,488)	(10,983)	(11,988)
Income tax benefit	177	669	424	1,076
Net loss for the period	(4,768)	(6,819)	(10,559)	(10,912)
Net loss attributable to shareholders of Evaxion Biotech A/S	(4,768)	(6,819)	(10,559)	(10,912)
Other comprehensive income that may be reclassified to profit or loss in subsequent periods:
Exchange differences on translation of foreign operations	(11)	(57)	7	(28)
Tax on other comprehensive income		6
Other comprehensive income that will not be reclassified to profit or loss in subsequent periods:
Exchange differences on currency translation to presentation currency	(1,592)	474	(2,212)	(284)
Other comprehensive income/(loss) for the period, net of tax	(1,603)	423	(2,205)	(312)
Total comprehensive loss	(6,371)	(6,396)	(12,764)	(11,224)
Total comprehensive loss attributable to shareholders of Evaxion Biotech A/S	$ (6,371)	$ (6,396)	$ (12,764)	$ (11,224)
Loss per share - basic (in USD per share)	$ (0.20)	$ (0.36)	$ (0.45)	$ (0.59)
Loss per share - diluted (in USD per share)	$ (0.20)	$ (0.36)	$ (0.45)	$ (0.59)

Unaudited Condensed Consolida_2

Unaudited Condensed Consolidated Interim Statements of Financial Position - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Non-current assets
Intangible assets	$ 85	$ 93
Property and equipment	4,724	5,174
Government grants receivables, non-current	117
Tax receivables, non-current	401
Leasehold deposits, non-current	148	191
Total non-current assets	5,475	5,458
Current assets
Prepayments and other receivables	1,894	1,138
Deferred offering costs	87
Government grants receivable, current	528	563
Tax receivables, current	768	838
Cash and cash equivalents	25,252	32,166
Total current assets	28,529	34,705
TOTAL ASSETS	34,004	40,163
EQUITY AND LIABILITIES
Share capital	3,844	3,755
Other reserves	76,632	79,114
Accumulated deficit	(60,326)	(50,432)
Total equity	20,150	32,437
Non-current liabilities
Lease liabilities, non-current	1,967	2,206
Borrowings, non-current	7,338	1,044
Provisions	141	153
Total non-current liabilities	9,446	3,403
Current liabilities
Lease liabilities, current	292	314
Warrant liability	625
Borrowings, current	119	126
Trade payables	2,439	2,848
Other payables	933	1,035
Total current liabilities	4,408	4,323
Total liabilities	13,854	7,726
TOTAL EQUITY AND LIABILITIES	$ 34,004	$ 40,163

Unaudited Condensed Consolida_3

Unaudited Condensed Consolidated Interim Statements of Changes in Equity kr in Thousands, $ in Thousands	Share capital USD ($)	Share capital DKK (kr)	Share premium USD ($)	Foreign currency translation Reserve USD ($)	Accumulated deficit USD ($)	USD ($)
Equity at Dec. 31, 2020	$ 2,648		$ 31,443	$ 226	$ (27,279)	$ 7,038
Net loss for the period					(4,093)	(4,093)
Other comprehensive income				(729)		(729)
Tax effect on OCI				(6)		(6)
Share-based compensation	0		0	0	294	294
Issuance of shares for cash	484		29,516			30,000
Transaction costs			(4,705)			(4,705)
Equity at Mar. 31, 2021	3,132		56,254	(509)	(31,078)	27,799
Equity at Dec. 31, 2020	2,648		31,443	226	(27,279)	7,038
Net loss for the period						(10,912)
Equity at Jun. 30, 2021	3,132		56,254	(86)	(37,471)	21,829
Equity at Mar. 31, 2021	3,132		56,254	(509)	(31,078)	27,799
Net loss for the period					(6,819)	(6,819)
Other comprehensive income				417		417
Tax effect on OCI				(6)		(6)
Share-based compensation	0		0	0	426	426
Equity at Jun. 30, 2021	3,132		56,254	(86)	(37,471)	21,829
Equity at Dec. 31, 2021	3,755	kr 23,204	80,430	(1,316)	(50,432)	32,437
Net loss for the period					(5,791)	(5,791)
Other comprehensive income				(602)		(602)
Share-based compensation	0		0	0	345	345
Equity at Mar. 31, 2022	3,755		80,430	(1,918)	(55,878)	26,389
Equity at Dec. 31, 2021	3,755	23,204	80,430	(1,316)	(50,432)	32,437
Net loss for the period						(10,559)
Equity at Jun. 30, 2022	3,844	23,834	80,153	(3,521)	(60,326)	20,150
Equity at Mar. 31, 2022	3,755		80,430	(1,918)	(55,878)	26,389
Net loss for the period					(4,768)	(4,768)
Other comprehensive income				(1,603)		(1,603)
Share-based compensation	0		0	0	320	320
Issuance of shares for cash	28					28
Transaction costs paid in shares	61		(61)
Transaction costs			(216)			(216)
Equity at Jun. 30, 2022	$ 3,844	kr 23,834	$ 80,153	$ (3,521)	$ (60,326)	$ 20,150

Unaudited Condensed Consolida_4

Unaudited Condensed Consolidated Interim Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021
Operating activities:
Net loss for the period	$ (10,559)	$ (10,912)
Adjustments for non-cash items	(949)	(908)
Interest paid	(126)	(3)
Cash flow from operating activities before changes in working capital	(11,634)	(11,823)
Cash flow from changes in working capital:
Changes in net working capital	(1,742)	300
Net cash used in operating activities	(13,376)	(11,523)
Investing activities:
Investment in intangible assets		(60)
Purchase of property and equipment	(264)	(792)
Receipt of non-current financial assets - leasehold deposits	28	30
Net cash used in investing activities	(236)	(822)
Financing activities:
Proceeds from issuance of shares	28	27,900
Transaction costs related to issuance of shares	(221)	(2,605)
Proceeds from borrowings	7,849
Repayment of borrowings	(60)
Leasing installments	(158)	(78)
Net cash provided by financing activities	7,438	25,217
Net increase/ (decrease) in cash and cash equivalents	(6,174)	12,872
Cash and cash equivalents at January 1	32,166	5,834
Exchange rate adjustments on cash and cash equivalents	(740)	93
Cash and cash equivalents at June 30	$ 25,252	$ 18,799

General Company Information

General Company Information	6 Months Ended
	Jun. 30, 2022
General Company Information
General Company Information	Note 1. General Company Information Evaxion Biotech A/S (the “Company” or “Evaxion”) is a clinical-stage biotech company developing AI-powered immunotherapies. Evaxion uses its proprietary and scalable artificial intelligence, or AI, technology to decode the human immune system to identify and develop immunotherapies for patients in the global market. Unless the context otherwise requires, references to the “Company,” “Evaxion,” “we,” “us,” and “our”, refer to Evaxion Biotech A/S and its subsidiaries. Evaxion is a public limited liability company incorporated and domiciled in Denmark with its registered office located at Dr. Neergaards Vej 5f, DK-2970 Hørsholm, Denmark. The unaudited condensed consolidated interim financial statements of Evaxion Biotech A/S and its subsidiaries (collectively, the “Group”) for the three and six months ended June 30, 2022 and 2021, were approved, and authorized for issuance, by the Audit Committee of the board of directors on August 8, 2022. Liquidity and Going Concern Assessment We anticipate incurring additional losses until such time, if ever, we can complete our research and development (“R&D”) activities and obtain an out-licensing partnership for our product candidates and generate revenues from such product candidates. Substantial additional financing will be needed by us to fund our operations and to continue development of our product candidates. We expect to finance cash needs through equity offerings, debt financings or other capital sources, including potential collaborations, licenses and other similar arrangements. We may be unable to raise additional funds or enter into such other arrangements when needed on favorable terms or at all. To the extent that we raise additional capital through the sale of equity or convertible debt securities, the ownership interest of current shareholders could be diluted, and the terms of these securities may include liquidation or other preferences that adversely affect the rights of the current shareholders. Debt financing and equity financing, if available, may involve agreements that include covenants limiting or restricting our ability to take specific actions, such as incurring additional debt, making capital expenditures or declaring dividends. If we raise funds through collaborations, licenses and other similar arrangements with third parties, we may have to relinquish valuable rights to our technologies, future revenue streams, research programs or product candidates or grant licenses on terms that may not be favorable and/or may reduce the value of our ordinary shares. Failure to raise capital or enter into such other arrangements when needed could have a negative impact on our financial condition and our ability to pursue our business plans and strategies. If we are unable to raise additional capital when needed, we could be forced to delay, limit, reduce or terminate our product candidate development or grant rights to develop and market our product candidates. On June 7, 2022 we entered into a Purchase Agreement (the “Purchase Agreement”) with an unrelated third party, Lincoln Park Capital Fund, LLC (“Lincoln Park”), to sell up to $40.0 million of our ordinary shares represented by American Depository Shares (“ADSs”) over a 36 month period. We are not obligated to sell any ordinary shares represented by ADSs pursuant to the Purchase Agreement and will control the timing and amount of any such sales, but in no event will Lincoln Park be required to purchase more than $1.5 million in ordinary shares represented by ADSs in any single regular purchase. Upon execution and delivery of the Purchase Agreement, we issued 428,572 ordinary shares represented by ADSs as consideration for a commitment fee of $1.2 million for Lincoln Park’s commitment to purchase our ordinary shares represented by ADSs under the Purchase Agreement. As of June 30, 2022, we had not issued and sold any additional ordinary shares represented by ADSs to Lincoln Park under the Purchase Agreement.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2022
Summary of Significant Accounting Policies
Summary of Significant Accounting Policies	Note 2. Summary of Significant Accounting Policies Basis of Preparation The unaudited condensed consolidated interim financial statements of the Company are prepared in accordance with International Accounting Standard 34, “ Interim Financial Reporting The preparation of financial statements in conformity with IFRS requires the use of certain critical accounting estimates and requires management to exercise its judgment in the process of applying the Company’s accounting policies. The areas involving a higher degree of judgment or complexity, or areas where assumptions and estimates are significant to the unaudited condensed consolidated interim financial statements are disclosed in Note 3. The accounting policies applied are consistent with the accounting policies as outlined in the basis of presentation section included in Note 2 of the audited financial statements as of and for the year ended December 31, 2021. As of January 1, 2022, the following accounting policy in respect to the Company’s loan and warrants with European Investment Bank (“EIB”) are in effect: EIB Loan All loans and borrowings are classified as financial liabilities and are initially recorded at fair value less the value attributable to any separately accounted for embedded derivative. Further, considerations from the lender for other elements in the transaction are accounted for separately. After initial recognition, any such loans and borrowings are measured at amortized cost using the effective interest method, with the amortization recognized in finance costs. In August 2020, we executed the EIB Loan Agreement, with EIB for a principal amount of €20.0 million, divided into three tranches of €7.0 million, €6.0 million, and €7.0 million (the “EIB Loan”). During the year ended December 31, 2021, the Company initiated the draw of the first tranche of the EIB Loan Agreement. The Company received the proceeds from the draw of the first tranche of €7.0 million (approximately $7.8 million) on February 17, 2022. Under the EIB Loan Agreement, the EIB Loan tranche balances are due six years from their respective disbursement dates. We received the first tranche of €7.0 million (approximately $7.8 million) on February 17, 2022. The loan is initially recorded at fair value less the value attributable to any separately accounted for embedded derivative. The loan is subsequently measured at amortized cost, with the unwinding of the discount recorded in finance costs over the life of the loan. EIB Warrants Under the EIB Loan Agreement, EIB is entitled to an aggregate of 1,003,032 cash settled EIB Warrants with an exercise price of 1 DKK per warrant for all tranches (the “EIB Warrants”). On February 17, 2022, 351,036 EIB Warrants were issued to EIB as part of the drawdown of the first tranche of the EIB Loan. The EIB Warrants are part of the overall return to EIB on the financing arrangement and are thus accounted for in accordance with the Financial Instruments Standards (IAS) 32 and IFRS 9. EIB is entitled to elect net in cash settlement of its warrants at any time, and consequently a financial liability for the redemption amount is recognized. The liability is measured initially at its fair value and is subsequently remeasured at the redemption amount. The redemption amount is equal to the current share price. The remeasurements are presented as finance expense or finance income. Standards issued but not yet effective There were a number of standards and interpretations which were issued but were not yet effective at June 30, 2022 and have not been adopted for these financial statements, including: ● Amendments to IAS 1 Presentation of Financial Statements: Classification of Liabilities as Current or Non-current (January 1, 2023) ● Amendment to IAS 1 Presentation of Financial Statements: Disclosure of Accounting Policies (January 1, 2023) ● Amendment to IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors: Definition of Accounting Estimates (January 1, 2023) The Company expects to adopt these standards, updates and interpretations when they become mandatory. These standards are not expected to have a significant impact on disclosures or amounts reported in the Company’s financial statements in the period of initial application and future reporting periods.

Significant Accounting Judgemen

Significant Accounting Judgements, Estimates, and Assumptions	6 Months Ended
	Jun. 30, 2022
Significant Accounting Judgements, Estimates, and Assumptions
Significant Accounting Judgements, Estimates, and Assumptions	Note 3. Significant Accounting Judgements, Estimates, and Assumptions In the application of its accounting policies, the Company 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 unaudited condensed consolidated interim financial statements do not include all disclosures for critical accounting judgments and estimation uncertainties that are required in the annual consolidated financial statements, and therefore, should be read in conjunction with the Company’s audited consolidated financial statements as of and for the year ended December 31, 2021. Significant accounting estimates made in the process of applying our accounting policies and that have the most significant effect on the amounts recognized in our unaudited condensed consolidated interim financial statements relate to share-based compensation. See Note 7 below for additional information regarding share-based compensation. There have been no other changes to the application of critical accounting judgments, or estimation uncertainties regarding accounting estimates.

Significant Events in the Repor

Significant Events in the Reporting Period	6 Months Ended
	Jun. 30, 2022
Significant Events in the Reporting Period
Significant Events in the Reporting Period	Note 4. Significant Events in the Reporting Period Impact from COVID-19 The Company continues to closely monitor the potential impact of COVID-19 on the 2022 financial results and cash flows and beyond. The Company has worked closely with laboratories and investigators to ensure safe continuation and working requirements of its ongoing research activities and human clinical trials. The Company has resumed business travel and has remained active and effective in the process of raising capital with institutional investors by conducting key meetings in person and on a virtual basis when appropriate. As of June 30, 2022, the Company has not experienced a materially negative impact from COVID-19 on the unaudited condensed consolidated interim financial statements. Russia’s Invasion of Ukraine ​ On February 24, 2022, Russia invaded Ukraine creating a global conflict. The resulting conflict and retaliatory measures by the global community have created global security concerns, including the possibility of expanded regional or global conflict, which have had, and are likely to continue to have, short-term and more likely longer-term adverse impacts on Ukraine and Europe and around the globe. Potential ramifications include disruption of the supply chain including research activities and complications with the conduct of ongoing and future clinical trials of our product candidates, including patient enrollment. The Company relies on global networks of contract research organizations and clinical trial sites to enroll patients. Delays in research activities or in the conduct of our clinical trials could increase associated costs and, depending upon the duration of any delays, require us to find alternative suppliers at additional expense. In addition, the conflict between Russia and the Ukraine has had significant ramifications on global financial markets, which may adversely impact our ability to raise capital on favorable terms or at all. As of June 30, 2022, the Company has not experienced a materially negative impact from Russia’s invasion of Ukraine on the unaudited condensed consolidated interim financial statements. ​

Borrowings

Borrowings	6 Months Ended
	Jun. 30, 2022
Borrowings
Borrowings	Note 5. Borrowings ​ Loan from Lessor ​ In October 2020, the Company entered into a lease for approximately 1,356 square meters, which is allocated on 839 square meters of office space, and 518 square meters of laboratory space in Hørsholm, Denmark. In addition to the ordinary lease payments, the Company obtained financing from DTU Science Park A/S (“DTU”) for rebuilding the laboratory facility and engineering building to match the Company’s needs. The Company will repay the $1.3 million financing at a fixed interest rate of 6% over 8 years. If the lease is terminated due to default by the Company before the outstanding balance, including interest accrued, has been repaid, the remaining balance is due immediately. The finance liability is recorded at amortized cost, which approximates fair value at the time of issuance. As of June 30, 2022, the Company is still in discussions with DTU on the actual costs incurred. For the three and six months ended June 30, 2022, interest expense related to the loan from lessor was immaterial. ​ As a result of the structure of the DTU financing this amount is not included as Purchase of property, plant and equipment ​ EIB Loan ​ In August 2020, the Company executed the EIB Loan, for a principal amount of €20.0 million, divided into three tranches of tranche 1 in the amount of €7.0 million, tranche 2 in the amount of €6.0 million and tranche 3 in the amount of €7.0 million. Under the EIB Loan Agreement, the tranche balances are due six years from their respective disbursement dates. During the year ended December 31, 2021, the Company initiated the draw of the first tranche of the EIB Loan Agreement. The Company received the proceeds from the draw of the first tranche of €7.0 million (approximately $7.8 million) on February 17, 2022. For the three and six months ended June 30, 2022, interest expense related to the EIB Loan was $0.2 million and $0.2 million, respectively. The loan is repayable in full six years after drawing down. ​ Borrowings are summarized as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ June 30, December 31, ​ ​ 2022 ​ 2021 Loan from lessor ​ $ 1,015 ​ $ 1,170 EIB Loan ​ 6,442 ​ — Total Borrowings ​ 7,457 ​ 1,170 Less: Borrowings, current portion ​ (119) ​ (126) Total Borrowings, net of current portion ​ $ 7,338 ​ $ 1,044 ​

Warrant Liability

Warrant Liability	6 Months Ended
	Jun. 30, 2022
Warrant Liability
Warrant Liability	Note 6. Warrant Liability ​ The Company received the proceeds from the draw of the first tranche of the EIB Loan on February 17, 2022. In connection therewith, EIB received 351,036 EIB Warrants, at an exercise price of DKK 1 per warrant, which vested immediately, pursuant to the terms of a separate warrant agreement, the EIB Warrant Agreement. The EIB Warrants are exercisable at any time after issuance either net in cash or through payment of the exercise price and receipt of shares. Therefore, the warrant liability is recognized in full upon issuance. The liability is measured initially at its fair value and is subsequently remeasured at the present value of the redemption amount. The liability is classified in level 1 of the fair value hierarchy. Due to the fact that the exercise price is insignificant compared to the share price, there is virtually no time value. Consequently, the present value of the redemption amount is equal to the current share price. ​ As the warrant liability is a non-cash financing cost the amount related to the initial recognition of the warrant liability is not included within the condensed consolidated interim statements of cash flows. ​ The following table sets forth the changes to the warrant liability: ​ ​ ​ ​ ​ ​ Warrant Liability ​ ​ (USD in thousands) Carrying amount at January 1, 2022 ​ $ — Initial recognition of warrant liability ​ 1,007 Remeasurement of warrant liability ​ (385) Foreign currency translation ​ ​ 3 Carrying amount at June 30, 2022 ​ $ 625 ​

Share-Based Payments

Share-Based Payments	6 Months Ended
	Jun. 30, 2022
Share-Based Payments
Share-Based Payments	Note 7. Share-Based Payments Warrant Program and Amendments The Company’s Articles of Association allow for the granting of equity compensation, in the form of equity settled warrants, to employees, consultants and Scientific Advisory Board members who provide services similar to employees, members of executive management, and the board of directors. The warrants granted in 2018 or prior vested upon the closing of our initial public offering in February 2021 (“IPO”). The warrants granted in 2020 vest either gradually over 36 months or vest immediately. Vested warrants granted in 2020 are exercisable in certain exercise windows beginning in the second half of the year of 2021. Warrants granted up until 2019 expire on December 31, 2036. Warrants granted in 2020 expire on December 31, 2031. For the six months ended June 30, 2022 and 2021, the number of warrants as a percentage of outstanding ordinary shares was 11.0% and 11.8%, respectively. On January 4, 2021, the Company effected its Stock Split which also resulted in a reduction of the nominal value of the Company’s ordinary shares from DKK 2 to DKK 1. In accordance with the anti-dilution provisions of the warrant agreements, the number of warrants was increased by a ratio of 36 to 1 and the exercise price was decreased from DKK 2 to 1 DKK. Accordingly, information related to the Company’s warrants, have been retroactively adjusted to reflect the stock split and the bonus shares for all periods presented. The following schedule specifies the granted warrants: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted Average ​ ​ ​ ​ Exercise ​ ​ Number of ​ Price/Share ​ ​ warrants ​ ​ Warrants granted as at December 31, 2021 2,732,618 DKK 7.53 (1) Warrants exercised ​ (201,314) ​ USD 0.16 Warrants granted 100,000 USD 2.23 Warrants forfeited (5,687) USD 5.36 Warrants cancelled — — Warrants granted as at June 30, 2022 (3) 2,625,617 USD 1.27 (2) Warrants exercisable as at June 30, 2022 2,020,351 USD 0.44 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted Average ​ ​ ​ ​ Exercise ​ ​ Number of ​ Price/Share ​ warrants (DKK) Warrants granted as at December 31, 2020 2,228,076 1 Warrants granted 63,809 1 Warrants forfeited (7,566) 1 Warrants cancelled (10,404) 1 Warrants granted as at June 30, 2021 2,273,915 1 Warrants exercisable as at June 30, 2021 — — ​ (1) December 31, 2021 USD-end rate used. (2) June 30, 2022 USD-end rate used. (3) Number of warrants exclude EIB Warrants referred to in Note 6. ​ During the six months ended June 30, 2022, the Company granted 100,000 warrants, of which 25,000 were granted to its Chief Operating Officer (“COO”) and 45,000 were granted to its Chief Financial Officer (“CFO”). All granted warrants will vest over 36 months. Employees will be entitled to receive a number of warrants based on the individual employee’s grade and performance for 2022. The warrants will be granted in December 2022 at the share price equal to the fair market value thereof on the date of grant and will vest 1/36 per month over 36 months beginning January 1, 2023. For the three and six months ended June 30, 2022, a service cost of $0.3 million and $0.7 million has been recognized respectively, based on the estimated fair value of the warrants granted in prior periods and warrants expected to be granted. For the three and six months ended June 30, 2021, a service cost of $0.4 million and $0.7 million has been recognized respectively, based on the estimated fair value of the warrants granted. Subsequent to the Company’s IPO, determining the initial fair value and subsequent accounting for equity awards require significant judgment regarding expected life and volatility of an equity award; however, as a public listed company there is objective evidence of the fair value of an ordinary share on the date an equity award is granted. On the other hand, due to the fact that as of 2021, warrants will be granted at the share price on the date of grant, fair value comprises a time value which is significantly affected by the expected life and expected volatility. The expected life of a warrant is based on the assumption that the holder will not exercise until after the equity award is fully vested. Actual exercise patterns may differ from the assumption used herein. The expected volatility is based on peer group data and reflects the assumption that the historical volatility over a period similar to the life of the warrant is indicative of future trends, which may not necessarily be the actual outcome. The peer group consists of listed companies that management believes are similar to the Company in respect to industry and stage of development. Even with objective evidence of the fair value of an ordinary share, small changes in any other individual assumption or in combination with other assumptions could have resulted in significantly different valuations. The following assumptions have been applied for the warrants issued during the six months ended June 30, 2022: ​ ​ ​ ​ ​ ​ Expected term (in years) ​ 6.5 Risk-free interest rate ​ ​ 2.43 – 3.54 % Expected volatility ​ ​ 85 % Share price ​ $ 1.71 – 3.03 ​ ​

Capital Structure and Financial

Capital Structure and Financial Matters	6 Months Ended
	Jun. 30, 2022
Capital Structure and Financial Matters
Capital Structure and Financial Matters	Note 8. Capital Structure and Financial Matters Share Capital – Ordinary Shares The following are changes in the Company’s share capital for the period ended June 30, 2022: ​ ​ ​ ​ ​ ​ ​ ​ Number of ​ Share Capital ​ ​ Ordinary Shares ​ (DKK in thousands) Share capital, December 31, 2021 23,203,808 23,204 Exercised warrants, April 20, 2022 ​ 54,072 ​ 54 Capital increase at June 7, 2022 ​ 428,572 ​ 429 Exercised warrants, June 7, 2022 ​ 92,313 ​ 92 Exercised warrants, June 8, 2022 ​ 37,665 ​ 38 Exercised warrants, June 14, 2022 ​ 17,264 ​ 17 Share capital, June 30, 2022 23,833,694 23,834 ​ Lincoln Park Purchase Agreement On June 7, 2022, the Company entered into the Purchase Agreement, with Lincoln Park, pursuant to which the Company may elect to sell up to $40.0

Commitments And Contingencies

Commitments And Contingencies	6 Months Ended
	Jun. 30, 2022
Commitments And Contingencies.
Commitments And Contingencies	Note 9. Commitments and Contingencies Legal Proceedings On April 28, 2022, the Company received formal notice that on April 21, 2022, Statens Serum Institut (“SSI”), had initiated a legal proceeding against the Company in The Danish Maritime and Commercial High Court (Sø og Handelsretten), claiming sole ownership of a patent application (PCT/EP2020/050058 and subsequently national filings, EP3906045), the Company filed related to a method for treating malignant neoplasm by administering a composition comprising a high dose of neopeptides, a solvent and SSI’s liposomal adjuvant, CAF®09b, for which the Company has a non-exclusive, royalty-bearing sub-licensable license to use from SSI (the “Invention”). The patent application for the Invention relates solely to the use of the adjuvant CAF®09b in conjunction with a high dose of neopeptides in the Company’s EVX-01 product candidate. SSI’s claim to the patent application does not relate to any other aspect of the Company’s patent portfolio covering EVX-01 or the PIONEER platform technology. The patent application stems from work the Company performed under a collaboration agreement the Company entered into with SSI, DTU, Center for Cancer Immune Therapy (Herlev Hospital) and the Center for Genomic Medicine (Rigshospitalet). The patent application names the Company and certain of the Company’s employees as the sole invertors of the Invention. In its filing, SSI’s primary claim is that the Invention disclosed in the patent application was not made by the Company and its employees, but rather, that SSI and members of its staff made the Invention and, therefore, SSI and certain of its staff members should be listed as the sole inventors of the Invention. In the alternative, SSI claims that it should have co-ownership with the Company of the patent application and the Invention. While it is too early to fully assess how the court will resolve this matter, it is the Company’s position that the Company and its employees are the sole inventors of the Invention. The Company believes that it has strong defenses against SSI’s claim and that SSI’s claim is without merit. The Company intends to vigorously defend the action. In any event, even if SSI’s claim were to be upheld by the court, while no assurance can be given, the Company does not expect that it would have a material impact on its rights to use the Invention in the development and commercialization of EVX-01, as the Company believes that such rights are covered by its current license agreement with SSI and SSI would be excluded from enforcing its rights in the Invention to prevent the Company from developing and commercializing its EVX-01 product candidate.

Events After the Reporting Peri

Events After the Reporting Period	6 Months Ended
	Jun. 30, 2022
Events After the Reporting Period
Events After the Reporting Period	Note 10. Events After the Reporting Period Selling Shareholder Registration Statement On July 7, 2022, the Company filed a “selling shareholder” registration statement with the U.S. Securities and Exchange Commission (“SEC”) related to the Purchase Agreement with Lincoln Park as the selling shareholder, referenced in Note 8 above, through which the Company registered 4,649,250 ordinary shares represented by ADSs for resale to the public by Lincoln Park. Each ADS represents one ordinary share. The Company will not receive any proceeds from the resale of ADSs by Lincoln Park, however, assuming that the Company sells the full amount of its ordinary shares represented by ADSs to Lincoln Park, under the Purchase Agreement the Company may receive up to $40.0 million in aggregate proceeds. Executive Management Agreement On August 2, 2022, the Company announced the appointment of a new Chief Executive Officer (“CEO”). The CEO is expected to join the Company within the next six months and will be granted warrants to purchase 50,000 of the Company’s ordinary shares with DKK 1 nominal value. The warrants granted to the CEO will have an exercise price equal to the fair market value of the Company’s ordinary shares represented by ADSs on the date of grant thereof, which will be the start date of the CEO’s employment with the Company.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2022
Summary of Significant Accounting Policies
Basis of Preparation	Basis of Preparation The unaudited condensed consolidated interim financial statements of the Company are prepared in accordance with International Accounting Standard 34, “ Interim Financial Reporting The preparation of financial statements in conformity with IFRS requires the use of certain critical accounting estimates and requires management to exercise its judgment in the process of applying the Company’s accounting policies. The areas involving a higher degree of judgment or complexity, or areas where assumptions and estimates are significant to the unaudited condensed consolidated interim financial statements are disclosed in Note 3. The accounting policies applied are consistent with the accounting policies as outlined in the basis of presentation section included in Note 2 of the audited financial statements as of and for the year ended December 31, 2021. As of January 1, 2022, the following accounting policy in respect to the Company’s loan and warrants with European Investment Bank (“EIB”) are in effect:
EIB Loan	EIB Loan All loans and borrowings are classified as financial liabilities and are initially recorded at fair value less the value attributable to any separately accounted for embedded derivative. Further, considerations from the lender for other elements in the transaction are accounted for separately. After initial recognition, any such loans and borrowings are measured at amortized cost using the effective interest method, with the amortization recognized in finance costs. In August 2020, we executed the EIB Loan Agreement, with EIB for a principal amount of €20.0 million, divided into three tranches of €7.0 million, €6.0 million, and €7.0 million (the “EIB Loan”). During the year ended December 31, 2021, the Company initiated the draw of the first tranche of the EIB Loan Agreement. The Company received the proceeds from the draw of the first tranche of €7.0 million (approximately $7.8 million) on February 17, 2022. Under the EIB Loan Agreement, the EIB Loan tranche balances are due six years from their respective disbursement dates. We received the first tranche of €7.0 million (approximately $7.8 million) on February 17, 2022. The loan is initially recorded at fair value less the value attributable to any separately accounted for embedded derivative. The loan is subsequently measured at amortized cost, with the unwinding of the discount recorded in finance costs over the life of the loan.
EIB Warrants	EIB Warrants Under the EIB Loan Agreement, EIB is entitled to an aggregate of 1,003,032 cash settled EIB Warrants with an exercise price of 1 DKK per warrant for all tranches (the “EIB Warrants”). On February 17, 2022, 351,036 EIB Warrants were issued to EIB as part of the drawdown of the first tranche of the EIB Loan. The EIB Warrants are part of the overall return to EIB on the financing arrangement and are thus accounted for in accordance with the Financial Instruments Standards (IAS) 32 and IFRS 9. EIB is entitled to elect net in cash settlement of its warrants at any time, and consequently a financial liability for the redemption amount is recognized. The liability is measured initially at its fair value and is subsequently remeasured at the redemption amount. The redemption amount is equal to the current share price. The remeasurements are presented as finance expense or finance income.
Standards issued but not yet effective	Standards issued but not yet effective There were a number of standards and interpretations which were issued but were not yet effective at June 30, 2022 and have not been adopted for these financial statements, including: ● Amendments to IAS 1 Presentation of Financial Statements: Classification of Liabilities as Current or Non-current (January 1, 2023) ● Amendment to IAS 1 Presentation of Financial Statements: Disclosure of Accounting Policies (January 1, 2023) ● Amendment to IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors: Definition of Accounting Estimates (January 1, 2023) The Company expects to adopt these standards, updates and interpretations when they become mandatory. These standards are not expected to have a significant impact on disclosures or amounts reported in the Company’s financial statements in the period of initial application and future reporting periods.

Borrowings (Tables)

Borrowings (Tables)	6 Months Ended
	Jun. 30, 2022
Borrowings
Schedule of borrowings	Borrowings are summarized as follows (in thousands): ​ ​ ​ ​ ​ ​ ​ ​ ​ June 30, December 31, ​ ​ 2022 ​ 2021 Loan from lessor ​ $ 1,015 ​ $ 1,170 EIB Loan ​ 6,442 ​ — Total Borrowings ​ 7,457 ​ 1,170 Less: Borrowings, current portion ​ (119) ​ (126) Total Borrowings, net of current portion ​ $ 7,338 ​ $ 1,044

Warrant Liability (Tables)

Warrant Liability (Tables)	6 Months Ended
	Jun. 30, 2022
Warrant Liability
Schedule of changes to the warrant liability	​ ​ ​ ​ ​ ​ Warrant Liability ​ ​ (USD in thousands) Carrying amount at January 1, 2022 ​ $ — Initial recognition of warrant liability ​ 1,007 Remeasurement of warrant liability ​ (385) Foreign currency translation ​ ​ 3 Carrying amount at June 30, 2022 ​ $ 625

Share-Based Payments (Tables)

Share-Based Payments (Tables)	6 Months Ended
	Jun. 30, 2022
Share-Based Payments
Schedule of granted warrants	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted Average ​ ​ ​ ​ Exercise ​ ​ Number of ​ Price/Share ​ ​ warrants ​ ​ Warrants granted as at December 31, 2021 2,732,618 DKK 7.53 (1) Warrants exercised ​ (201,314) ​ USD 0.16 Warrants granted 100,000 USD 2.23 Warrants forfeited (5,687) USD 5.36 Warrants cancelled — — Warrants granted as at June 30, 2022 (3) 2,625,617 USD 1.27 (2) Warrants exercisable as at June 30, 2022 2,020,351 USD 0.44 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Weighted Average ​ ​ ​ ​ Exercise ​ ​ Number of ​ Price/Share ​ warrants (DKK) Warrants granted as at December 31, 2020 2,228,076 1 Warrants granted 63,809 1 Warrants forfeited (7,566) 1 Warrants cancelled (10,404) 1 Warrants granted as at June 30, 2021 2,273,915 1 Warrants exercisable as at June 30, 2021 — — ​ (1) December 31, 2021 USD-end rate used. (2) June 30, 2022 USD-end rate used. (3) Number of warrants exclude EIB Warrants referred to in Note 6. ​
Schedule of assumptions have been applied for the warrants issued	The following assumptions have been applied for the warrants issued during the six months ended June 30, 2022: ​ ​ ​ ​ ​ ​ Expected term (in years) ​ 6.5 Risk-free interest rate ​ ​ 2.43 – 3.54 % Expected volatility ​ ​ 85 % Share price ​ $ 1.71 – 3.03 ​

Capital Structure and Financi_2

Capital Structure and Financial Matters (Tables)	6 Months Ended
	Jun. 30, 2022
Capital Structure and Financial Matters
Schedule of changes in the share capital	​ ​ ​ ​ ​ ​ ​ ​ Number of ​ Share Capital ​ ​ Ordinary Shares ​ (DKK in thousands) Share capital, December 31, 2021 23,203,808 23,204 Exercised warrants, April 20, 2022 ​ 54,072 ​ 54 Capital increase at June 7, 2022 ​ 428,572 ​ 429 Exercised warrants, June 7, 2022 ​ 92,313 ​ 92 Exercised warrants, June 8, 2022 ​ 37,665 ​ 38 Exercised warrants, June 14, 2022 ​ 17,264 ​ 17 Share capital, June 30, 2022 23,833,694 23,834

General Company Information (De

General Company Information (Details) - USD ($) $ in Millions		6 Months Ended
	Jun. 07, 2022	Jun. 30, 2022
General Company Information
Maximum aggregate value of shares to sell	$ 40
Period of Purchase Agreement	36 months
Maximum value of shares to sell in a single transaction	$ 1.5
Number of shares issued as commitment fee	428,572	428,572
Value of shares issued as commitment fee	$ 1.2

Summary of Significant Accoun_3

Summary of Significant Accounting Policies - EBI loan (Details) $ in Thousands, € in Millions	Feb. 17, 2022 EUR (€) shares	Feb. 17, 2022 USD ($) shares	Feb. 17, 2022 EUR (€) kr / shares shares	Jun. 30, 2022 USD ($)	Feb. 17, 2022 USD ($) shares	Dec. 31, 2021 USD ($)	Aug. 31, 2020 EUR (€) tranche
Disclosure of detailed information about borrowings [line items]
Borrowings | $				$ 7,457		$ 1,170
EIB Loan Agreement
Disclosure of detailed information about borrowings [line items]
Principal amount							€ 20
Number of tranches | tranche							3
Debt maturity term	6 years	6 years
Borrowings | $				$ 6,442
Issuable cash settled warrants | shares	1,003,032		1,003,032		1,003,032
Number of warrants issued | shares	351,036	351,036
Exercise price per warrant | kr / shares			kr 1
EIB Loan Agreement. Tranche One
Disclosure of detailed information about borrowings [line items]
Principal amount							€ 7
Proceeds from borrowings	€ 7	$ 7,800
Borrowings	€ 7		kr 7		$ 7,800
EIB Loan Agreement. Tranche Two
Disclosure of detailed information about borrowings [line items]
Principal amount							6
EIB Loan Agreement. Tranche Three
Disclosure of detailed information about borrowings [line items]
Principal amount							€ 7

Borrowings - Loan from Lessor (

Borrowings - Loan from Lessor (Details) $ in Thousands	1 Months Ended
	Oct. 31, 2020 USD ($) m²	Jun. 30, 2022 USD ($)	Dec. 31, 2021 USD ($)
Disclosure of financial liabilities [line items]
Lease area (in square meters)	1,356
Borrowings. | $		$ 7,457	$ 1,170
DTU Financing
Disclosure of financial liabilities [line items]
Interest rate	6%
Payment period	8 years
Borrowings. | $	$ 1,300	$ 1,015	$ 1,170
Office space
Disclosure of financial liabilities [line items]
Lease area (in square meters)	839
Laboratory space
Disclosure of financial liabilities [line items]
Lease area (in square meters)	518

Borrowings - EIB Loan (Details)

Borrowings - EIB Loan (Details) € in Millions, $ in Millions			1 Months Ended	3 Months Ended	6 Months Ended
	Feb. 17, 2022 EUR (€)	Feb. 17, 2022 USD ($)	Aug. 31, 2020 EUR (€) tranche	Jun. 30, 2022 USD ($)	Jun. 30, 2022 USD ($)
EIB Loan Agreement
Disclosure of detailed information about borrowings [line items]
Principal amount			€ 20
Number of tranches | tranche			3
Debt instrument term			6 years
Interest expense | $				$ 0.2	$ 0.2
Long-term Debt, Repayment Period					6 years
EIB Loan Agreement. Tranche One
Disclosure of detailed information about borrowings [line items]
Principal amount			€ 7
Proceeds from the draw of loan agreement	€ 7	$ 7.8
EIB Loan Agreement. Tranche Two
Disclosure of detailed information about borrowings [line items]
Principal amount			6
EIB Loan Agreement. Tranche Three
Disclosure of detailed information about borrowings [line items]
Principal amount			€ 7

Borrowings - Summary (Details)

Borrowings - Summary (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021	Oct. 31, 2020
Disclosure of detailed information about borrowings [line items]
Total Borrowings	$ 7,457	$ 1,170
Less: Loan from lessor, current portion	(119)	(126)
Total Borrowings, net of current portion	7,338	1,044
DTU Financing
Disclosure of detailed information about borrowings [line items]
Total Borrowings	1,015	$ 1,170	$ 1,300
EIB Loan Agreement
Disclosure of detailed information about borrowings [line items]
Total Borrowings	$ 6,442

Warrant Liability (Details)

Warrant Liability (Details) $ in Thousands		6 Months Ended
	Feb. 17, 2022 kr / shares shares	Jun. 30, 2022 USD ($)
Reconciliation of changes in fair value measurement, liabilities [abstract]
Liabilities at beginning of period		$ 7,726
Liabilities at end of period		13,854
EIB Warrants
Reconciliation of changes in fair value measurement, liabilities [abstract]
Warrants received (in shares) | shares	351,036
warrants exercise price | kr / shares	kr 1
Warrant liability
Reconciliation of changes in fair value measurement, liabilities [abstract]
Liabilities at beginning of period		0
Initial recognition of warrant liability		1,007
Remeasurement of warrant liability		(385)
Foreign currency translation		3
Liabilities at end of period		$ 625

Share-Based Payments - Narrativ

Share-Based Payments - Narrative (Details) $ in Millions		3 Months Ended		6 Months Ended
	Jan. 04, 2021 kr / shares	Jun. 30, 2022 USD ($)	Jun. 30, 2021 USD ($)	Jun. 30, 2022 USD ($)	Jun. 30, 2021 USD ($)	Jun. 07, 2022 kr / shares
Share-Based Payments
Warrants as a percentage of outstanding shares				11%	11.80%
Nominal value per share						kr 1
Service cost | $		$ 0.3	$ 0.4	$ 0.7	$ 0.7
Warrants.
Share-Based Payments
IFRS Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period				36 months
Number of other equity instruments granted in share-based payment arrangement				100,000	63,809
Warrants. | CFO
Share-Based Payments
Number of other equity instruments granted in share-based payment arrangement				45,000
Warrants. | COO
Share-Based Payments
Number of other equity instruments granted in share-based payment arrangement				25,000
Ordinary Shares | Stock Split
Share-Based Payments
Nominal value per share prior to stock split	kr 2
Nominal value per share	kr 1
Ordinary Shares | Warrants. | Stock Split
Share-Based Payments
Increase in number of warrants, ratio	36
Warrants granted exercise price, prior to stock split	kr 2
Warrants granted, price per share	kr 1

Share-Based Payments - Table (D

Share-Based Payments - Table (Details)		6 Months Ended
	Jun. 07, 2022 $ / shares	Jun. 30, 2022 kr / shares $ / shares	Jun. 30, 2022 $ / shares	Jun. 30, 2021 kr / shares
Other information
Price per share	$ 2.80
Warrants.
Number of warrants outstanding
Warrants granted as at beginning of period		2,732,618	2,732,618	2,228,076
Warrants exercised		(201,314)	(201,314)
Warrants granted		100,000	100,000	63,809
Warrants forfeited		(5,687)	(5,687)	(7,566)
Warrants cancelled		0	0	(10,404)
Warrants granted as at end of period		2,020,351	2,020,351	1
Warrants exercisable as at end of period		2,625,617	2,625,617	2,273,915
Weighted Average Exercise Price/Share
Warrants granted as at beginning of period (DKK / share) | kr / shares		kr 7.53
Warrants exercised (DKK / share)			$ 0.16
Warrants granted (DKK / share) | (per share)			2.23	kr 1
Warrants forfeited (DKK / share) | (per share)			5.36	1
Warrants cancelled (DKK / share) | kr / shares				kr 1
Warrants granted as at end of period (DKK / share)			1.27
Warrants exercisable as at end of period		kr 0.44	$ 0.44

Share-Based Payments - Assumpti

Share-Based Payments - Assumptions of Warrants (Details) - Warrants.	6 Months Ended
	Jun. 30, 2022 $ / shares
Disclosure of terms and conditions of share-based payment arrangement [line items]
Expected term (in years)	6 years 6 months
Expected volatility	85%
Minimum
Disclosure of terms and conditions of share-based payment arrangement [line items]
Risk-free interest rate	2.43%
Share price	$ 1.71
Maximum
Disclosure of terms and conditions of share-based payment arrangement [line items]
Risk-free interest rate	3.54%
Share price	$ 3.03

Capital Structure and Financi_3

Capital Structure and Financial Matters - Changes in Share Capital (Details) kr in Thousands, $ in Thousands					6 Months Ended
	Jun. 14, 2022 DKK (kr) shares	Jun. 08, 2022 DKK (kr) shares	Jun. 07, 2022 DKK (kr) shares	Apr. 20, 2022 DKK (kr) shares	Jun. 30, 2022 USD ($) shares	Jun. 30, 2022 DKK (kr) shares
Capital Structure and Financial Matters
Equity | $					$ 32,437
Equity | $					20,150
Share capital
Capital Structure and Financial Matters
Equity					3,755	kr 23,204
Exercised warrants, Share Capital | kr	kr 17	kr 38	kr 92	kr 54
Capital increase | kr						429
Equity					$ 3,844	kr 23,834
Ordinary Shares
Capital Structure and Financial Matters
Share capital, shares, beginning of year					23,203,808	23,203,808
Exercise of warrants (in shares)	17,264	37,665	92,313	54,072
Capital increase (in shares)					428,572	428,572
Share capital, shares, end of the period					23,833,694	23,833,694

Capital Structure and Financi_4

Capital Structure and Financial Matters (Details) $ / shares in Units, $ in Millions		6 Months Ended
	Jun. 07, 2022 USD ($) $ / shares shares	Jun. 30, 2022 shares	Jun. 07, 2022 kr / shares
Disclosure of classes of share capital [line items]
Maximum aggregate value of shares to sell | $	$ 40
Par value per share | kr / shares			kr 1
Number of shares issued as commitment fee | shares	428,572	428,572
Weighted average share price | $ / shares	$ 2.80
Value of shares issued as commitment fee | $	$ 1.2
Period of Purchase Agreement	36 months
Maximum value of shares to sell in a single transaction | $	$ 1.5
Minimum
Disclosure of classes of share capital [line items]
Shares to sell in a single transaction | shares	50,000
Maximum
Disclosure of classes of share capital [line items]
Shares to sell in a single transaction | shares	70,000

Events After the Reporting Pe_2

Events After the Reporting Period (Details) kr / shares in Units, $ in Thousands, kr in Millions	Aug. 02, 2022 kr / shares shares	Jul. 07, 2022 DKK (kr) shares	Jun. 30, 2022 USD ($)	Jun. 07, 2022 kr / shares	Mar. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Jun. 30, 2021 USD ($)	Mar. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)
Disclosure of non-adjusting events after reporting period [line items]
Issued share capital (in DKK) | $			$ 3,844			$ 3,755
Outstanding share capital (in DKK) | $			$ 20,150		$ 26,389	$ 32,437	$ 21,829	$ 27,799	$ 7,038
Par value per share | kr / shares				kr 1
Selling Shareholder Registration Statement | ADS
Disclosure of non-adjusting events after reporting period [line items]
Issuance of shares to third party		4,649,250
Number of shares per ADS		1
Aggregate proceeds | kr		kr 40
Executive Management Agreement
Disclosure of non-adjusting events after reporting period [line items]
Period within which new CEO is expected to join	6 months
Number of warrants to be granted	50,000
Par value per share | kr / shares	kr 1