Cayman Islands | 2836 | 98-1586514 | ||
(State or other jurisdiction of incorporation or organization) | (Primary Standard Industrial Classification Code Number) | (I.R.S. Employer Identification Number) |
Todd C. Girolamo, Esq. ProKidney Corp. 2000 Frontis Plaza Blvd., Ste 250 Winston-Salem, NC 27103 Telephone: (336) 999-7028 | Megan N. Gates, Esq. Jason S. McCaffrey, Esq. Matthew T. Simpson, Esq. Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, P.C. One Financial Center Boston, Massachusetts 02111 Telephone: (617) 542-6000 |
Large accelerated filer | ☐ | Accelerated filer | ☐ | |||
Non-accelerated filer | ☒ | Smaller reporting company | ☒ | |||
Emerging growth company | ☒ |
ii | ||||
vi | ||||
1 | ||||
5 | ||||
6 | ||||
FS-1 |
Issuer | ProKidney Corp. |
Class A ordinary shares offered by the Selling Securityholders (representing the PIPE Shares purchased by certain PIPE Investors, shares issued or issuable pursuant to the vesting of restricted stock units, and shares issued or issuable pursuant to the Exchange Agreement) |
Use of proceeds | We will not receive any proceeds from the sale of the Class A ordinary shares to be offered by the Selling Securityholders. |
Lock-up agreements | Certain of our shareholders are subject to certain restrictions on transfer until the termination of applicable lock-up periods. See “Plan of Distribution — Lock-Up Agreements |
Ticker Symbol | “PROK” for the Class A ordinary shares. |
trial or requesting further information on the process, which could in turn result in delays to the clinical trials; |
New ProKidney Ordinary Shares | Ownership | |||||||
Public Shareholders | 2,170,231 | 0.9 | % | |||||
Sponsor | 6,890,000 | 2.9 | % | |||||
Third Party PIPE Investors | 36,840,000 | 15.2 | % | |||||
Sponsor Related PIPE Investors | 15,640,000 | 6.5 | % | |||||
ProKidney Unitholders (including the ProKidney Related PIPE Investors) | 180,000,000 | 74.5 | % | |||||
Total Shares Outstanding | 241,540,231 | 100.00 | % |
SCS Historical | ProKidney Historical | Transaction Accounting Adjustments (Note 3) | Note | Proforma Combined | SCS Historical | ProKidney Historical | Transaction Accounting Adjustments (Note 3) | Note | Proforma Combined | |||||||||||||||||||||||||||||||
Current assets | ||||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 52 | $ | 29,802 | $ | 531,461 | (a | ) | $ | 561,315 | $ | 108 | $ | 21,882 | $ | 516,204 | (a | ) | $ | 538,194 | ||||||||||||||||||||
Prepaid assets | 543 | 592 | — | 1,135 | 525 | 682 | — | 1,207 | ||||||||||||||||||||||||||||||||
Prepaid clinical | — | 4,855 | — | 4,855 | — | 11,350 | — | 11,350 | ||||||||||||||||||||||||||||||||
Other current assets | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||
Total current assets | 595 | 35,249 | 531,461 | 567,305 | 633 | 33,914 | 516,204 | 550,751 | ||||||||||||||||||||||||||||||||
Investments held in Trust Account | 250,034 | — | (250,034 | ) | (b | ) | — | 250,371 | — | (250,371 | ) | (b | ) | — | ||||||||||||||||||||||||||
Fixed assets, net | — | 11,103 | — | 11,103 | — | 10,857 | — | 10,857 | ||||||||||||||||||||||||||||||||
Right of use assets, net | — | 1,673 | — | 1,673 | — | 1,962 | — | 1,962 | ||||||||||||||||||||||||||||||||
Deferred offering costs | — | 5,108 | (5,108 | ) | (c | ) | — | — | 6,905 | (6,905 | ) | (c | ) | — | ||||||||||||||||||||||||||
Intangible assets, net | — | 374 | — | 374 | — | 320 | — | 320 | ||||||||||||||||||||||||||||||||
Other long term assets | 124 | — | — | 124 | — | — | — | — | ||||||||||||||||||||||||||||||||
Total assets | $ | 250,753 | $ | 53,507 | $ | 276,319 | $ | 580,579 | $ | 251,004 | $ | 53,958 | $ | 258,928 | $ | 563,890 | ||||||||||||||||||||||||
Current liabilities | ||||||||||||||||||||||||||||||||||||||||
Accounts payable | $ | 27 | $ | 2,509 | $ | (34 | ) | $ | 2,502 | $ | — | $ | 2,513 | $ | — | $ | 2,513 | |||||||||||||||||||||||
Lease liabilities | — | 328 | — | 328 | — | 377 | — | 377 | ||||||||||||||||||||||||||||||||
Accrued expenses and other | 5,342 | 8,117 | — | 13,459 | 7,603 | 6,184 | — | 13,787 | ||||||||||||||||||||||||||||||||
Related party notes payable | — | 20,000 | (20,000 | ) | (d | ) | — | 250 | 35,000 | (35,250 | ) | (d | ) | — | ||||||||||||||||||||||||||
Income taxes payable | — | 958 | — | 958 | — | 1,730 | — | 1,730 | ||||||||||||||||||||||||||||||||
Advances from related party | 44 | — | (44 | ) | (e | ) | — | 81 | — | (81 | ) | (e | ) | — | ||||||||||||||||||||||||||
Total current liabilities | 5,413 | 31,912 | (20,078 | ) | 17,247 | 7,934 | 45,804 | (35,331 | ) | 18,407 | ||||||||||||||||||||||||||||||
Long term liabilities | ||||||||||||||||||||||||||||||||||||||||
Deferred underwriting fee payable | 7,700 | — | (7,700 | ) | (f | ) | — | 7,700 | — | (7,700 | ) | (f | ) | — | ||||||||||||||||||||||||||
Lease liabilities, net of current portion | — | 1,428 | — | 1,428 | — | 1,617 | — | 1,617 | ||||||||||||||||||||||||||||||||
Tax Receivable Agreement liability | — | — | — | (g | ) | — | — | — | — | (g | ) | — | ||||||||||||||||||||||||||||
Temporary equity: | ||||||||||||||||||||||||||||||||||||||||
Class A ordinary shares subject to possible redemption | 250,000 | — | (250,000 | ) | (h | ) | — | 250,371 | — | (250,371 | ) | (h | ) | — | ||||||||||||||||||||||||||
Redeemable noncontrolling interest | — | — | 422,491 | (i | ) | 422,491 | — | — | 410,388 | (i | ) | 410,388 | ||||||||||||||||||||||||||||
ProKidney Corp.: | ||||||||||||||||||||||||||||||||||||||||
ProKidney Corp. | ||||||||||||||||||||||||||||||||||||||||
ProKidney Corp. Class A ordinary shares | — | — | 58 | (j | ),(h),(o) | 58 | — | — | 58 | (j | ),(h),(o) | 58 | ||||||||||||||||||||||||||||
ProKidney Corp. Class B ordinary shares | — | — | 18 | (k | ) | 18 | — | — | 18 | (k | ) | 18 | ||||||||||||||||||||||||||||
SCS: | ||||||||||||||||||||||||||||||||||||||||
SCS Preference shares, $0.0001 par value | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||
SCS Class A ordinary shares, $0.0001 par value | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||
SCS Class B ordinary shares, $0.0001 par value | 1 | — | (1 | ) | (o | ) | — | 1 | — | (1 | ) | (o | ) | — | ||||||||||||||||||||||||||
— | ||||||||||||||||||||||||||||||||||||||||
ProKidney: | ||||||||||||||||||||||||||||||||||||||||
ProKidney - Class A Units | — | 186,500 | (186,500 | ) | (k | ) | — | |||||||||||||||||||||||||||||||||
ProKidney - Class B Units | — | 62,663 | (62,663 | ) | (k | ) | — | |||||||||||||||||||||||||||||||||
ProKidney—Class A Units | — | 186,500 | (186,500 | ) | (k | ) | — | |||||||||||||||||||||||||||||||||
ProKidney—Class B Units | — | 71,164 | (71,164 | ) | (k | ) | — | |||||||||||||||||||||||||||||||||
Additional paid-in capital | 131,531 | (k | ),(l) | 131,531 | 141,867 | (k | ),(l) | 141,867 | ||||||||||||||||||||||||||||||||
Accumulated deficit | (12,361 | ) | (228,996 | ) | 249,163 | (k | ) | 7,806 | (15,002 | ) | (251,127 | ) | 257,664 | (k | ) | (8,465 | ) | |||||||||||||||||||||||
Total equity | (12,360 | ) | 20,167 | 131,606 | 139,413 | (15,001 | ) | 6,537 | 141,942 | 133,478 | ||||||||||||||||||||||||||||||
Total liabilities, redeemable noncontrolling interest and equity | $ | 250,753 | $ | 53,507 | $ | 276,319 | $ | 580,579 | $ | 251,004 | $ | 53,958 | $ | 258,928 | $ | 563,890 | ||||||||||||||||||||||||
SCS Historical | ProKidney Historical | Transaction Accounting Adjustments (Note 3) | Note | Proforma Combined | SCS Historical | ProKidney Historical | Transaction Accounting Adjustments (Note 3) | Note | Proforma Combined | |||||||||||||||||||||||||||||||
Current assets | ||||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 440 | $ | 20,558 | $ | 551,493 | (a | ) | $ | 572,491 | $ | 440 | $ | 20,558 | $ | 551,493 | (a | ) | $ | 572,491 | ||||||||||||||||||||
Prepaid assets | 505 | 588 | — | 1,093 | 505 | 588 | — | 1,093 | ||||||||||||||||||||||||||||||||
Prepaid clinical | — | 6,100 | — | 6,100 | — | 6,100 | — | 6,100 | ||||||||||||||||||||||||||||||||
Other current assets | — | 25 | — | 25 | — | 25 | — | 25 | ||||||||||||||||||||||||||||||||
Total current assets | 945 | 27,271 | 551,493 | 579,709 | 945 | 27,271 | 551,493 | 579,709 | ||||||||||||||||||||||||||||||||
Investments held in Trust Account | 250,008 | — | (250,008 | ) | (b | ) | — | 250,008 | — | (250,008 | ) | (b | ) | — | ||||||||||||||||||||||||||
Fixed assets, net | — | 11,358 | — | 11,358 | — | 11,358 | — | 11,358 | ||||||||||||||||||||||||||||||||
Right of Use assets, net | — | 1,241 | — | 1,241 | — | 1,241 | — | 1,241 | ||||||||||||||||||||||||||||||||
Intangible assets, net | — | 428 | — | 428 | — | 428 | — | 428 | ||||||||||||||||||||||||||||||||
Other long term assets | 248 | — | — | 248 | 248 | — | — | 248 | ||||||||||||||||||||||||||||||||
Total assets | $ | 251,201 | $ | 40,298 | $ | 301,485 | $ | 592,984 | $ | 251,201 | $ | 40,298 | $ | 301,485 | $ | 592,984 | ||||||||||||||||||||||||
Current liabilities | ||||||||||||||||||||||||||||||||||||||||
Accounts payable | $ | 1,870 | $ | 2,834 | $ | — | $ | 4,704 | $ | 1,870 | $ | 2,834 | $ | — | $ | 4,704 | ||||||||||||||||||||||||
Lease liabilities | — | 267 | — | 267 | — | 267 | — | 267 | ||||||||||||||||||||||||||||||||
Accrued expenses and other | — | 9,213 | — | 9,213 | — | 9,213 | — | 9,213 | ||||||||||||||||||||||||||||||||
Advances from related party | 10 | — | (10 | ) | (c | ) | — | 10 | — | (10 | ) | (c | ) | — | ||||||||||||||||||||||||||
Total current liabilities | 1,880 | 12,314 | (10 | ) | 14,184 | 1,880 | 12,314 | (10 | ) | 14,184 | ||||||||||||||||||||||||||||||
Long term liabilities | ||||||||||||||||||||||||||||||||||||||||
Deferred underwriting fee payable | 7,700 | — | (7,700 | ) | (d | ) | — | 7,700 | — | (7,700 | ) | (d | ) | — | ||||||||||||||||||||||||||
Lease liabilities, net of current portion | — | 1,067 | — | 1,067 | — | 1,067 | — | 1,067 | ||||||||||||||||||||||||||||||||
Tax Receivable Agreement liability | — | — | — | (m | ) | — | — | — | — | (m | ) | — | ||||||||||||||||||||||||||||
Temporary equity: | ||||||||||||||||||||||||||||||||||||||||
Class A ordinary shares subject to possible redemption | 250,008 | — | (250,008 | ) | (e | ) | — | 250,008 | — | (250,008 | ) | (e | ) | — | ||||||||||||||||||||||||||
Redeemable noncontrolling interest | — | — | 430,480 | (f | ) | 430,480 | — | — | 430,480 | (f | ) | 430,480 | ||||||||||||||||||||||||||||
New ProKidney: | ||||||||||||||||||||||||||||||||||||||||
New ProKidney Class A ordinary shares | — | — | 58 | (g | ),(e),(l) | 58 | — | — | 58 | (g | ),(e),(l) | 58 | ||||||||||||||||||||||||||||
New ProKidney Class B ordinary shares | — | — | 18 | (h | ) | 18 | — | — | 18 | (h | ) | 18 | ||||||||||||||||||||||||||||
SCS: | ||||||||||||||||||||||||||||||||||||||||
SCS Preference shares, $0.0001 par value | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||
SCS Class A ordinary shares, $0.0001 par value | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||
SCS Class B ordinary shares, $0.0001 par value | 1 | — | — | (1) | (l | ) | — | 1 | — | — | (1) | (l | ) | — | ||||||||||||||||||||||||||
ProKidney: | ||||||||||||||||||||||||||||||||||||||||
ProKidney - Class A Units | — | 186,500 | (186,500 | ) | (h | ) | — | — | 186,500 | (186,500 | ) | (h | ) | — | ||||||||||||||||||||||||||
ProKidney - Class B Units | — | 1,927 | (1,927 | ) | (h | ) | — | — | 1,927 | (1,927 | ) | (h | ) | — | ||||||||||||||||||||||||||
Additional paid-in capital | 128,648 | (h | ),(i) | 128,648 | — | — | 128,648 | (h | ),(i) | 128,648 | ||||||||||||||||||||||||||||||
Accumulated deficit | (8,388 | ) | (161,510 | ) | 188,427 | (h | ) | 18,529 | (8,388 | ) | (161,510 | ) | 188,427 | (h | ) | 18,529 | ||||||||||||||||||||||||
Total equity | (8,387 | ) | 26,917 | 128,723 | 147,253 | (8,387 | ) | 26,917 | 128,723 | 147,253 | ||||||||||||||||||||||||||||||
Total liabilities, redeemable noncontrolling interest and equity | $ | 251,201 | $ | 40,298 | $ | 301,485 | $ | 592,984 | $ | 251,201 | $ | 40,298 | $ | 301,485 | $ | 592,984 | ||||||||||||||||||||||||
SCS Historical | ProKidney Historical | Transaction Accounting Adjustments (Note 3) | Note | Proforma Combined | SCS Historical | ProKidney Historical | Transaction Accounting Adjustments (Note 3) | Note | Proforma Combined | |||||||||||||||||||||||||||||||||||||||
Operating expenses | ||||||||||||||||||||||||||||||||||||||||||||||||
Research and development | $ | — | $ | 28,490 | $ | — | $ | 28,490 | $ | — | $ | 40,048 | $ | — | $ | 40,048 | ||||||||||||||||||||||||||||||||
Operation and formation costs | 4,006 | — | — | 4,006 | 6,614 | — | — | 6,614 | ||||||||||||||||||||||||||||||||||||||||
General and administrative | — | 37,972 | — | 37,972 | — | 47,152 | — | 47,152 | ||||||||||||||||||||||||||||||||||||||||
Total operating expenses | 4,006 | 66,462 | — | 70,468 | 6,614 | 87,200 | — | 93,814 | ||||||||||||||||||||||||||||||||||||||||
Operating loss | (4,006 | ) | (66,462 | ) | — | (70,468 | ) | (6,614 | ) | (87,200 | ) | — | (93,814 | ) | ||||||||||||||||||||||||||||||||||
Other income | ||||||||||||||||||||||||||||||||||||||||||||||||
Interest expense | — | (14 | ) | — | (14 | ) | — | (184 | ) | — | (184 | ) | ||||||||||||||||||||||||||||||||||||
Interest income | 25 | — | (8 | ) | (aa | ) | 17 | 363 | — | (363 | ) | (aa | ) | — | ||||||||||||||||||||||||||||||||||
Total other income | 25 | (14 | ) | (8 | ) | 3 | 363 | (184 | ) | (363 | ) | (184 | ) | |||||||||||||||||||||||||||||||||||
Net loss before income taxes | (3,981 | ) | (66,476 | ) | (8 | ) | (70,465 | ) | (6,251 | ) | (87,384 | ) | (363 | ) | (93,998 | ) | ||||||||||||||||||||||||||||||||
Income tax expense | — | 1,010 | — | (bb | ) | 1,010 | — | 2,233 | — | (bb | ) | 2,233 | ||||||||||||||||||||||||||||||||||||
Net loss | (3,981 | ) | (67,486 | ) | (8 | ) | (71,475 | ) | (6,251 | ) | (89,617 | ) | (363 | ) | (96,231 | ) | ||||||||||||||||||||||||||||||||
Net loss attributable to noncontrolling interest | — | — | (53,264 | ) | (cc | ) | (53,264 | ) | — | — | (71,713 | ) | (cc | ) | (71,713 | ) | ||||||||||||||||||||||||||||||||
Net loss available to Class A ordinary shares | $ | (3,981 | ) | $ | (67,486 | ) | $ | 53,256 | $ | (18,211 | ) | $ | (6,251 | ) | $ | (89,617 | ) | $ | 71,350 | $ | (24,518 | ) | ||||||||||||||||||||||||||
Weighted average Class A ordinary shares, basic and diluted | 61,540,231 | 61,540,231 | ||||||||||||||||||||||||||||||||||||||||||||||
Net loss per share attributable to Class A ordinary shares, basic and diluted | $ | (0.30 | ) | (dd | ) | $ | (0.40 | ) | (dd | ) | ||||||||||||||||||||||||||||||||||||||
SCS Historical | ProKidney Historical | Transaction Accounting Adjustments (Note 3) | Note | Proforma Combined | ||||||||||||||||||||
Operating expenses | ||||||||||||||||||||||||
Research and development | $ | — | $ | 46,255 | $ | — | $ | 46,255 | ||||||||||||||||
Operation and formation costs | 2,333 | — | 2,333 | |||||||||||||||||||||
General and administrative | — | 8,855 | — | 8,855 | ||||||||||||||||||||
Total operating expenses | 2,333 | 55,110 | — | 57,443 | ||||||||||||||||||||
Operating loss | (2,333 | ) | (55,110 | ) | — | (57,443 | ) | |||||||||||||||||
Other income | ||||||||||||||||||||||||
Interest income | 8 | 2 | (8 | ) | (aa | ) | 2 | |||||||||||||||||
Total other income | 8 | 2 | (8 | ) | 2 | |||||||||||||||||||
Net loss before income taxes | (2,325 | ) | (55,108 | ) | (8 | ) | (57,441 | ) | ||||||||||||||||
Income tax expense | — | 38 | — | (bb | ) | 38 | ||||||||||||||||||
Net loss | (2,325 | ) | (55,146 | ) | (8 | ) | (57,479 | ) | ||||||||||||||||
Net loss attributable to noncontrolling interest | — | — | (42,834 | ) | (cc | ) | (42,834 | ) | ||||||||||||||||
Net loss available to Class A ordinary shares | $ | (2,325 | ) | $ | (55,146 | ) | $ | 42,826 | $ | (14,645 | ) | |||||||||||||
Weighted average Class A ordinary shares, basic and diluted | 61,540,231 | |||||||||||||||||||||||
Net loss per share attributable to Class A ordinary shares, basic and diluted | $ | (0.24 | ) | (dd | ) |
1. | Description of Transaction |
vested, the Earnout RCUs will automatically convert into Post-Combination ProKidney Common Units and the associated Earnout RSRs will automatically convert into ProKidney Class B ordinary shares, respectively. |
Units | Percentage | |||||||
Interest in ProKidney LP held by the Issuer | 61,540,231 | 25.5 | % | |||||
Noncontrolling interest in the Issuer | 180,000,000 | 74.5 | % | |||||
Total | 241,540,231 | 100.0 | % |
2. | Adjustments to Unaudited Pro Forma Condensed Combined Financial Information |
3. | Transaction Adjustments |
(a) | Represents pro forma adjustments to cash and cash equivalents to reflect the following: |
(in thousands) | Note | Note | ||||||||||||||
SCS cash held in Trust Account | (1 | ) | $ | 250,034 | (1 | ) | $ | 250,371 | ||||||||
Payment of deferred underwriting fees | (2 | ) | (7,700 | ) | (2 | ) | (7,700 | ) | ||||||||
PIPE Financing | (3 | ) | 574,800 | (3 | ) | 574,800 | ||||||||||
Payment to redeeming Public Stockholders | (4 | ) | (228,329 | ) | (4 | ) | (228,636 | ) | ||||||||
Payment of other transaction costs | (5 | ) | (37,300 | ) | (5 | ) | (37,300 | ) | ||||||||
Repayment of related party notes payable | (6 | ) | (20,000 | ) | (6 | ) | (35,250 | ) | ||||||||
Repayment of related party advance | (7 | ) | (44 | ) | (7 | ) | (81 | ) | ||||||||
Excess cash to balance sheet from Business Combination | $ | 531,461 | $ | 516,204 | ||||||||||||
(1) | Reflects the liquidation and reclassification of investments held in the Trust Account to cash and cash equivalents. |
(2) | Reflects the payment of $7.7 million of underwriters’ fees deferred by SCS and which were paid at the Closing. |
(3) | Reflects the gross proceeds of $574.8 million from the issuance and sale of |
(4) | Represents the payments made to the holders of SCS Class A ordinary shares in connection with the redemption of 22,829,769 SCS Class A ordinary shares. |
(5) | Represents transaction costs of $37.3 million incurred by Legacy ProKidney prior to, or concurrent with, the Closing that were cash settled upon Closing in accordance with the Business Combination Agreement. Of that amount, approximately $17.5 million related to investment transaction fees; $11.9 million related to equity financing fees associated with the PIPE Investment, and the remaining $7.9 million related to direct and incremental costs such as legal, tax, accounting, third-party advisory and other miscellaneous fees. This amount excluded the $7.7 million of deferred underwriting fees related to the SCS initial public offering as described in note (2) above, any amounts relating to the ProKidney Promissory Notes, which were repaid at the Closing, and other SCS transaction costs. |
(6) | Represents repayment of amounts drawn on ProKidney Promissory |
(7) | Repayment of related party advance. |
(b) | Reflects the liquidation and reclassification of investments held in the Trust Account to cash and cash equivalents. |
(c) | Represents reclassification of Legacy ProKidney deferred offering costs incurred through |
(d) | Reflects repayment of amounts drawn on the ProKidney Promissory |
(e) | Repayment of related party advance. |
(f) | Reflects the payment of $7.7 million of underwriters’ fees deferred by SCS for which payment is due upon the Closing. |
(g) | Upon the completion of the Business Combination, the combined company became a party to the Tax Receivable Agreement. Under the terms of the Tax Receivable Agreement, the combined company is required to pay to certain parties to the agreement 85% of the tax savings that it is deemed to realize in certain circumstances as a result of certain tax attributes that exist following the Transaction and that are created thereafter, including as a result of payments made under the Tax Receivable Agreement. The combined company does not expect to record net deferred tax assets related to the tax basis adjustments associated with the exchange of Paired Interests as those deferred tax assets are not more |
likely han not expected to be realized in accordance with ASC 740—Income Taxes. Accordingly, the combined company has not recorded a liability related to the Tax Receivable Agreement as of |
(h) | Reflects the reclassification of SCS Class A ordinary shares, giving effect to the redemption of 22,829,769 SCS Class A ordinary shares. |
(i) | As discussed in Note 1 to these unaudited pro forma condensed consolidated financial statements, the combined company will consolidate ProKidney, but does not own 100% of the economic interest in ProKidney. The noncontrolling interest reflecting actual redemptions is 74.5%. |
(j) | Reflects the gross proceeds of $574.8 million, net of an adjustment for the associated par value, from the issuance and sale of |
(k) | Represents the recapitalization of the Legacy ProKidney Class A and Class B Units upon issuance of ProKidney Class B ordinary shares and Class B PMEL RSRs to Closing ProKidney Unitholders. |
(l) | Represents pro forma adjustments to additional paid in capital to reflect the following: |
(in thousands) | Note | Note | ||||||||||||||
PIPE Financing | (j | ) | $ | 574,743 | (j | ) | $ | 574,743 | ||||||||
Reclassification of ordinary shares subject to redemption to permanent equity | (h | ) | 21,705 | (h | ) | 21,735 | ||||||||||
Issuance of Class B ordinary shares to existing ProKidney owners | (k | ) | (18 | ) | (k | ) | (18 | ) | ||||||||
Transaction related fees | (m | ) | (37,300 | ) | (m | ) | (37,300 | ) | ||||||||
Issuance of Earnout Shares | (n | ) | — | (n | ) | — | ||||||||||
Reclassification of ProKidney deferred offering costs to equity upon close | (c | ) | (5,108 | ) | (c | ) | (6,905 | ) | ||||||||
Noncontrolling interest | (i | ) | (422,491 | ) | (i | ) | (410,388 | ) | ||||||||
Adjusted additional paid in capital | $ | 131,531 | $ | 141,867 | ||||||||||||
(m) | Represents transaction costs of $37.3 million incurred by Legacy ProKidney prior to, or concurrent with, the Closing that were cash settled upon Closing in accordance with the Business Combination Agreement. Of that amount, approximately $17.5 million related to investment transaction fees; $11.9 million related to equity financing fees associated with the PIPE financing and the remaining $7.9 million related to direct and incremental costs such as legal, tax, accounting, third-party advisory and other miscellaneous fees. This amount excluded the $7.7 million of deferred underwriting fees related to the SCS initial public offering as described in note (2) above, any amounts relating to the ProKidney Promissory Notes, which were repaid at the Closing, and other SCS transaction costs. |
(n) | Represents the issuance of 17,500,000 Earnout Rights to Earnout Participants upon Closing. As discussed in Note 2 to the unaudited condensed consolidated financial statements, the adjustment to recognize the Earnout Rights would have no net impact on any financial statement line item as it would simultaneously increase and decrease additional paid-in capital. |
(o) | Represents the exchange of SCS Class A ordinary shares, SCS Class B ordinary shares and related director restricted stock units held by the Sponsor and an independent director of SCS for ProKidney Class A ordinary shares. |
(aa) | Represents the adjustment to eliminate interest income related to the investment held in Trust Account. |
(bb) | Does not reflect a pro forma adjustment to income tax expense as Legacy ProKidney has historically been in a net loss position. Legacy ProKidney files as a partnership for federal and state income tax |
purposes. As such, each partner is responsible for reporting income or loss to the extent required by federal and state income tax regulations, based upon their respective share of Legacy ProKidney income and expenses. ProKidney-US is a limited liability company and has elected to be treated as a C corporation, therefore, a provision for federal and state taxes has been recorded. Income tax expense of the combined company may differ from historical results due to the change in structure of ProKidney. |
(cc) | Represents the adjustment for the net loss attributable to noncontrolling interest. The noncontrolling interest, giving effect to redemptions, is 74.5%. |
(dd) | Represents the |
(a) | Represents pro forma adjustments to cash and cash equivalents to reflect the following: |
(in thousands) | Note | |||||||
SCS cash held in Trust Account | (1 | ) | $ | 250,008 | ||||
Payment of deferred underwriting fees | (2 | ) | (7,700 | ) | ||||
PIPE Financing | (3 | ) | 574,800 | |||||
Payment to redeeming Public Shareholders | (4 | ) | (228,305 | ) | ||||
Payment of other transaction costs | (5 | ) | (37,300 | ) | ||||
Repayment of related party advance | (6 | ) | (10 | ) | ||||
Excess cash to balance sheet from Business Combination | $ | 551,493 | ||||||
(1) | Reflects the liquidation and reclassification of investments held in the Trust Account to cash and cash equivalents. |
(2) | Reflects the payment of $7.7 million of underwriters’ fees deferred by SCS and which were paid at the Closing. |
(3) | Reflects the gross proceeds of $574.8 million from the issuance and sale of |
(4) | Represents the payments made to the holders of SCS Class A ordinary shares in connection with the redemption of 22,829,769 SCS Class A ordinary shares. |
(5) | Represents transaction costs of $37.3 million incurred by Legacy ProKidney prior to, or concurrent with, the Closing that were cash settled upon Closing in accordance with the Business Combination Agreement. Of that amount, approximately $17.5 million related to investment transaction fees; $11.9 million related to equity financing fees associated with the PIPE financing and the remaining $7.9 million related to direct and |
incremental costs such as legal, tax, accounting, third-party advisory and other miscellaneous fees. This amount excludes the $7.7 million of deferred underwriting fees related to the SCS initial public offering as described in note (2) above, any amounts relating to the ProKidney Promissory Notes, which were repaid at the Closing, and other SCS transaction costs. |
(6) | Repayment of related party advance. |
(b) | Reflects the liquidation and reclassification of investments held in the Trust Account to cash and cash equivalents. |
(c) | Repayment of related party advance. |
(d) | Reflects the payment of $7.7 million of underwriters’ fees deferred by SCS and which were paid at the Closing. |
(e) | Reflects the reclassification of SCS Class A ordinary shares, giving effect to the redemption of 22,829,769 SCS Class A ordinary shares. |
(f) | As discussed in Note 1 to these unaudited pro forma condensed consolidated financial statements, the combined company will consolidate ProKidney but does not own 100% of the economic interest in Legacy ProKidney. The noncontrolling interest reflecting actual redemptions is 74.5%. |
(g) | Reflects the gross proceeds of $574.8 million, net of an adjustment for the associated par value, from the issuance and sale of |
(h) | Represents the recapitalization of the Legacy ProKidney Class A and Class B Units upon issuance of ProKidney Class B ordinary shares and Class B PMEL RSRs to Closing ProKidney Unitholders. |
(i) | Represents pro forma adjustments to additional paid in capital to reflect the following: |
(in thousands) | Note | |||||||
PIPE Financing | (g | ) | $ | 574,743 | ||||
Reclassification of ordinary shares subject to redemption to permanent equity | (e | ) | 21,703 | |||||
Issuance of Class B ordinary shares to existing ProKidney owners | (h | ) | (18 | ) | ||||
Transaction related fees | (j | ) | (37,300 | ) | ||||
Issuance of Earnout Shares | (k | ) | — | |||||
Noncontrolling interest | (f | ) | (430,480 | ) | ||||
Adjusted additional paid in capital | $ | 128,648 | ||||||
(j) | Represents transaction costs of $37.3 million incurred by Legacy ProKidney prior to, or concurrent with, the Closing that were cash settled upon Closing in accordance with the Business Combination Agreement. Of that amount, approximately $17.5 million related to investment transaction fees; $11.9 million related to equity financing fees associated with the PIPE financing and the remaining $7.9 million related to direct and incremental costs such as legal, tax, accounting, third-party advisory and other miscellaneous fees. This amount excluded the $7.7 million of deferred underwriting fees related to the SCS initial public offering as described in note (2) above, any amounts relating to the ProKidney Promissory Notes, which were repaid at the Closing, and other SCS transaction costs. |
(k) | Represents the issuance of 17,500,000 Earnout Rights to Earnout Participants upon Closing. As discussed in Note 2 to the unaudited condensed consolidated financial statements, the adjustment to recognize the Earnout Rights would have no net impact on any financial statement line item as it would simultaneously increase and decrease additional paid-in capital. |
(l) | Represents the exchange of SCS Class A ordinary shares, SCS Class B ordinary shares and related director restricted stock units held by the Sponsor and an independent director of SCS for ProKidney Class A ordinary shares. |
(m) | Upon the completion of the Business Combination, the combined company became a party to the Tax Receivable Agreement. Under the terms of the Tax Receivable Agreement, the combined company is required to pay to certain parties to the agreement 85% of the tax savings that it is deemed to realize in certain circumstances as a result of certain tax attributes that exist following the Transaction and that are created thereafter, including as a result of payments made under the Tax Receivable Agreement. The combined company does not expect to record net deferred tax assets related to the tax basis adjustments associated with the exchange of Paired Interests as those deferred tax assets are not more likely than not expected to be realized in accordance with ASC 740—Income Taxes. Accordingly, the combined company has not recorded a liability related to the Tax Receivable Agreement as of December 31, 2021, as the liability is not considered to be probable in accordance with ASC 450—Contingencies. |
(aa) | Represents the adjustment to eliminate interest income related to the investment held in Trust Account. |
(bb) | Does not reflect a pro forma adjustment to income tax expense as Legacy ProKidney has historically been in a net loss position. Legacy ProKidney files as a partnership for federal and state income tax purposes. As such, each partner is responsible for reporting income or loss to the extent required by federal and state income tax regulations, based upon their respective share of Legacy ProKidney income and expenses. ProKidney-US is a limited liability company and has elected to be treated as a C corporation, therefore, a provision for federal and state taxes has been recorded. Income tax expense of the combined company may differ from historical results due to the change in structure of ProKidney. |
(cc) | Represents the adjustment for the net loss attributable to noncontrolling interest. The noncontrolling interest, giving effect to actual redemptions, is 74.5%. |
(dd) | Represents the loss per share calculated using the historical weighted average shares outstanding, and the issuance of additional shares in connection with the Business Combination, assuming the shares were outstanding since January 1, 2021. As the Business Combination and related equity transactions are being reflected as if they had occurred at the beginning of the period presented, the calculation of weighted average shares outstanding for basic and diluted net income per share assumes that the shares issuable relating to the Business Combination were outstanding for the entirety of the period presented. |
* | Plan to launch an additional phase 3 trial REGEN-016 in the first quarter of 2023. |
* | Based on ProKidney management estimates and analysis |
system. Key obligations include expedited reporting of suspected serious adverse reactions and submission of periodic safety update reports (“PSURs”). |
anything of value to any foreign government official (including, potentially, healthcare professionals in countries in which we operate or may sell our products), government staff member, political party, or political candidate to obtain or retain business or to otherwise seek favorable treatment. |
Three Months Ended March 31, | Three Months Ended June 30, | |||||||||||||||||||||||
2022 | 2021 | Change | 2022 | 2021 | Change | |||||||||||||||||||
Operating expenses: | ||||||||||||||||||||||||
Research and development | $ | 28,490 | $ | 9,859 | $ | 18,631 | $ | 11,558 | $ | 10,969 | $ | 589 | ||||||||||||
General and administrative | 37,972 | 1,744 | 36,228 | 9,180 | 1,748 | 7,432 | ||||||||||||||||||
Total operating expense | 66,462 | 11,603 | 54,859 | 20,738 | 12,717 | 8,021 | ||||||||||||||||||
Loss from operations | (66,462 | ) | (11,603 | ) | (54,859 | ) | (20,738 | ) | (12,717 | ) | (8,021 | ) | ||||||||||||
Interest income | — | 2 | (2 | ) | ||||||||||||||||||||
Interest expense | (14 | ) | — | (14 | ) | (170 | ) | — | (170 | ) | ||||||||||||||
Net loss before taxes | (66,476 | ) | (11,603 | ) | (54,873 | ) | (20,908 | ) | (12,715 | ) | (8,193 | ) | ||||||||||||
Income tax expense (benefit) | 1,010 | 6 | 1,004 | |||||||||||||||||||||
Income tax expense | 1,223 | 10 | 1,213 | |||||||||||||||||||||
Net loss | $ | (67,486 | ) | $ | (11,609 | ) | $ | (55,877 | ) | $ | (22,131 | ) | $ | (12,725 | ) | $ | (9,406 | ) | ||||||
Six Months Ended June 30, | ||||||||||||
2022 | 2021 | Change | ||||||||||
Operating expenses: | ||||||||||||
Research and development | $ | 40,048 | $ | 20,828 | $ | 19,220 | ||||||
General and administrative | 47,152 | 3,492 | 43,660 | |||||||||
Total operating expense | 87,200 | 24,320 | 62,880 | |||||||||
Loss from operations | (87,200 | ) | (24,320 | ) | (62,880 | ) | ||||||
Interest income | — | 2 | (2 | ) | ||||||||
Interest expense | (184 | ) | — | (184 | ) | |||||||
Net loss before taxes | (87,384 | ) | (24,318 | ) | (63,066 | ) | ||||||
Income tax expense | 2,233 | 16 | 2,217 | |||||||||
Net loss | $ | (89,617 | ) | $ | (24,334 | ) | $ | (65,283 | ) | |||
Year Ended December 31, | ||||||||||||
2021 | 2020 | Change | ||||||||||
Operating expenses: | ||||||||||||
Research and development | $ | 46,255 | $ | 21,042 | $ | 25,213 | ||||||
General and administrative | 8,855 | 5,982 | 2,873 | |||||||||
Total operating expense | 55,110 | 27,024 | 28,086 | |||||||||
Loss from operations | (55,110 | ) | (27,024 | ) | (28,086 | ) | ||||||
Other income | ||||||||||||
Interest income | 2 | 43 | (41 | ) | ||||||||
Net loss before taxes | (55,108 | ) | (26,981 | ) | (28,127 | ) | ||||||
Income tax expense (benefit) | 38 | (232 | ) | 270 | ||||||||
Net loss | $ | (55,146 | ) | $ | (26,749 | ) | $ | (28,397 | ) | |||
Three Months Ended March 31, | ||||||||
2022 | 2021 | |||||||
Net cash used in operating activities | $ | (15,459 | ) | $ | (7,256 | ) | ||
Net cash used in investing activities | (839 | ) | (1,389 | ) | ||||
Net cash provided by financing activities | 25,542 | 19,993 | ||||||
Net change in cash and cash equivalents | $ | 9,244 | $ | 11,348 | ||||
Six Months Ended June 30, | ||||||||
2022 | 2021 | |||||||
Net cash flows used in operating activities | $ | (38,485 | ) | $ | (19,095 | ) | ||
Net cash flows used in investing activities | (1,225 | ) | (3,393 | ) | ||||
Net cash flows provided by financing activities | 41,034 | 29,985 | ||||||
Net change in cash and cash equivalents | $ | 1,324 | $ | 7,497 | ||||
Year Ended December 31, | Year Ended December 31, | |||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||
Net cash used in operating activities | $ | (50,299 | ) | $ | (25,181 | ) | $ | (50,299 | ) | $ | (25,181 | ) | ||||
Net cash used in investing activities | (5,191 | ) | (5,456 | ) | (5,191 | ) | (5,456 | ) | ||||||||
Net cash provided by financing activities | 71,470 | 19,989 | 71,470 | 19,989 | ||||||||||||
Net change in cash and cash equivalents | $ | 15,980 | $ | (10,648 | ) | $ | 15,980 | $ | (10,648 | ) | ||||||
a) | the purchaser is a relevant financial business required to comply with the Regulations or is a majority-owned subsidiary of such a business; or |
b) | assessed as having a low degree of risk of money laundering and terrorist financing in accordance with the Regulations (each a “Low Risk Country”) or is a majority-owned subsidiary of such subscriber; or |
c) | the purchaser is a central or local government organization, statutory body or agency of government in the Cayman Islands or a Low Risk Country; or |
d) | the purchaser is a company that is listed on a recognized stock exchange and subject to disclosure requirements which impose requirements to ensure adequate transparency of beneficial ownership, or is a majority-owned subsidiary of such a company; or |
e) | the purchaser is a pension fund for a professional association, trade union or is acting on behalf of employees of an entity referred to in sub-paragraphs (a) to (d); or |
f) | the application is made through a nominee or the applicant is relying on an introduction from an introducer, which nominee or introducer, as applicable, falls within one of sub-paragraphs (a) to (e). In this situation the company may rely on a written assurance from the nominee or the introducer (as applicable) which confirms (i) that the requisite identification and verification procedures on the applicant for business and (for introducers only) its beneficial owners have been carried out; (ii) the nature and intended purpose of the business relationship; (iii) that the nominee or the introducer has identified the source of funds of the applicant for business; (iv) (for introducers only) that the introducer is supervised or monitored by an overseas regulatory authority and has measures in place to comply with customer due diligence and record keeping requirements; and (v) that the nominee or introducer shall make available on request and without delay copies of any identification and verification data or information and relevant documents. |
Name and Address of Beneficial Owner(1) | Class A Ordinary Shares | Class B Ordinary Shares | % of Total Voting Power | Class A Ordinary Shares | Class B Ordinary Shares | % of Total Voting Power | ||||||||||||||||||
Directors and Named Executive Officers | ||||||||||||||||||||||||
Tim Bertram, Ph.D.(2) | — | 2,696,468 | 1.2 | % | — | 2,696,468 | 1.2 | % | ||||||||||||||||
Pablo Legorreta(3)(11) | — | 94,677,968 | 40.8 | % | — | 94,677,968 | 40.8 | % | ||||||||||||||||
William F. Doyle(4) | — | 1,350,469 | * | — | 1,350,469 | * | ||||||||||||||||||
Jennifer Fox | — | — | — | — | — | — | ||||||||||||||||||
José Ignacio Jiménez Santos | — | — | — | — | — | — | ||||||||||||||||||
Alan M. Lotvin(5) | — | 1,350,469 | * | — | 1,350,469 | * | ||||||||||||||||||
John M. Maraganore, Ph.D.(6) | — | 450,156 | * | — | 450,156 | * | ||||||||||||||||||
Brian J.G. Pereira, M.D(7) | — | 1,350,469 | * | — | 1,350,469 | * | ||||||||||||||||||
Uma Sinha, Ph.D. | 30,000 | — | * | 30,000 | — | * | ||||||||||||||||||
Deepak Jain, Ph.D.(8) | — | 937,836 | * | — | 937,836 | * | ||||||||||||||||||
Joseph Stavas, M.D., MPH(9) | — | 735,391 | * | — | 735,391 | * | ||||||||||||||||||
All Directors and Executive Officers as a Group (14 persons) | 30,000 | 103,453,062 | 44.6 | % | 30,000 | 103,453,062 | 44.6 | % | ||||||||||||||||
Greater-than-Five Percent Holders: | ||||||||||||||||||||||||
Tolerantia, LLC(3)(11) | — | 94,677,968 | 40.8 | % | — | 94,677,968 | 40.8 | % | ||||||||||||||||
Control Empresarial de Capitales, S.A. de C.V. (formerly Inversora Carso, S.A. de C.V.)(10)(11) | — | 63,118,645 | 27.2 | % | — | 63,118,645 | 27.2 | % | ||||||||||||||||
Chamath Palihapitiya(12) | 13,273,000 | — | 5.5 | % | 16,273,000 | — | 5.5 | % | ||||||||||||||||
SC PIPE Holdings LLC(12) | 9,500,000 | — | 3.9 | % | ||||||||||||||||||||
Banco Invex, S.A., Institución de Banca Múltiple, Invex Grupo Financiero, as Trustee of Trust I14165(14) | 5,000,000 | — | 2.2 | % | ||||||||||||||||||||
IHCI Investments LP(15) | 5,000,000 | — | 2.2 | % | ||||||||||||||||||||
Jupiter CAN LP(16) | 5,000,000 | — | 2.2 | % | ||||||||||||||||||||
Morgan Stanley Investment Management Inc.(17) | 10,000,000 | — | 4.3 | % | ||||||||||||||||||||
Averill Master Fund, Ltd.(18) | 3,140,000 | — | 1.4 | % | ||||||||||||||||||||
Banco Invex, S.A., Institución de Banca Múltiple, Invex Grupo Financiero, as Trustee of Trust I14165(13) | 5,000,000 | — | 2.2 | % | ||||||||||||||||||||
IHCI Investments LP(14) | 5,000,000 | — | 2.2 | % | ||||||||||||||||||||
Jupiter CAN LP(15) | 5,000,000 | — | 2.2 | % | ||||||||||||||||||||
Morgan Stanley Investment Management Inc.(16) | 10,000,000 | — | 4.3 | % | ||||||||||||||||||||
Aaron Cowen(17) | 6,227,000 | — | 2.7 | % |
* | Indicated beneficial ownership of less than 1%. |
(1) | Unless otherwise noted, the business address of each of the following entities or individuals is c/o ProKidney Corp., 2000 Frontis Plaza Blvd., Ste 250, Winston-Salem, North Carolina, 27103. |
(2) | Represents 2,696,468 Class B ordinary shares issued as consideration in the Business Combination and does not include 2,248,469 Class B ordinary shares issuable upon the vesting of PMEL RCUs. |
(3) | Represents 94,677,968 Class B ordinary shares held by Tolerantia, LLC (“Tolerantia”), a Delaware limited liability company, which is an affiliate controlled and majority-owned by Mr. Pablo Legorreta. Mr. Legorreta controls the voting and disposition of the shares held by Tolerantia. Mr. Legorreta disclaims beneficial ownership of the shares held by Tolerantia except to the extent of his indirect pecuniary interest therein. The business address of Tolerantia is 110, East 59th Street, Suite 3300, New York, New York, 10022. |
(4) | Represents 1,350,469 Class B ordinary shares issued as consideration in the Business Combination and does not include 163,857 Class B ordinary shares issuable upon the vesting of PMEL RCUs. |
(5) | Represents 1,350,469 Class B ordinary shares issued as consideration in the Business Combination and does not include 163,857 Class B ordinary shares issuable upon the vesting of PMEL RCUs. |
(6) | Represents 450,156 Class B ordinary shares issued as consideration in the Business Combination and does not include 163,857 Class B ordinary shares issuable upon the vesting of PMEL RCUs. |
(7) | Represents 1,350,469 Class B ordinary shares issued as consideration in the Business Combination and does not include 163,857 Class B ordinary shares issuable upon the vesting of PMEL RCUs. |
(8) | Represents 937,836 Class B ordinary shares issued as consideration in the Business Combination and does not include 630,103 Class B ordinary shares issuable upon the vesting of PMEL RCUs. |
(9) | Represents 735,391 Class B ordinary shares issued as consideration in the Business Combination and does not include 315,650 Class B ordinary shares issuable upon the vesting of PMEL RCUs. |
(10) | Information in the table and footnote is based upon information provided to us by the direct shareholder, Control Empresarial de Capitales S.A. de C.V., acting as successor of Inversora Carso S.A. de C.V. by virtue of a merger (“CEC”). Represents 63,118,645 Class B ordinary shares held by CEC. Members of the Slim family, directly or indirectly, own all of the issued and outstanding voting equity securities of CEC. Therefore, the Slim family may be deemed to beneficially own indirectly the Class B ordinary shares held by CEC. CEC is a sociedad anónima de capital variable organized under the laws of the United Mexican States (“Mexico”). The Slim family has an address of Paseo de las Palmas 736, Colonia Lomas de Chapultepec, 11000 Ciudad de Mexico, Mexico and Control Empresarial has an address of Paseo de las Palmas 781, Piso 3, Colonia Lomas de Chapultepec, Seccion III, Migual Hidalgo, Ciudad de Mexico, Mexico, 11000. |
(11) | The Voting Agreement provides that from the Closing until the third anniversary of the Closing, CEC shall vote all ordinary shares beneficially held by it in a manner proportionate to the manner in which all other Class B ordinary shares not held by CEC, including the Class B ordinary shares beneficially held by Tolerantia, are voted, with respect to the election, appointment, or removal of any director to the Board. As a result, Tolerantia may be deemed to share beneficial ownership of CEC’s ordinary shares. |
(12) | Consists of 16,273,000 Class A ordinary shares. SC PIPE Holdings LLC (“SC PIPE Holdings”) is the record holder of 9,500,000 of the Class A ordinary shares reported herein. SC PIPE Holdings is controlled by Mr. Palihapitiya, the former Chief Executive Officer and Chairman of the Board of Directors of SCS. SC Master Holdings, LLC (“SC Master Holdings”) is the sole member of SC PIPE Holdings. Mr. Palihapitiya and SC Master Holdings may be deemed to beneficially own Class A ordinary shares held directly by SC PIPE Holdings by virtue of their indirect or direct interests in SC PIPE Holdings or their control over SC PIPE Holdings, as the case may be. SC Master Holdings is the record holder of 3,773,000 of the Class A ordinary shares reported herein. SC Master Holdings is controlled by Mr. Palihapitiya. Mr. Palihapitiya may be deemed to beneficially own Class A ordinary shares held directly by SC Master Holdings by virtue of his indirect interests in SC Master Holdings or his control over SC Master Holdings, as the case may be. A trust for the benefit of members of Mr. Palihapitiya’s immediate family (the “Family Trust”), is the record holder of 3,000,000 of the Class A ordinary shares reported herein. Mr. Palihapitiya may be deemed to beneficially own Class A ordinary shares held directly by the Family Trust. The |
(13) |
Consists of 5,000,000 Class A ordinary shares held of record by Banco Invex, S.A., Institución de Banca Múltiple, Invex Grupo Financiero, acting solely and exclusively in its capacity as trustee of the trustee of |
Trust I14165 (the “Trust”), whose record holders are the Trust Beneficiaries (as defined below), issued in connection with, and, upon the closing of, the PIPE Placement. Each of (i) Bertha Paula Michel Gonzalez, (ii) Maria Magdalena Michel Gonzalez and (iii) Maximino Jose Michel Gonzalez (collectively, the “Trust Beneficiaries”), has voting and dispositive power over, one-third of the total number of Class A ordinary shares held by the Trust. The address of the Trust is Boulevard Manuel Avila Camacho No. 40, Piso 7, Lomas De Chapultepec, Ciudad De México 11000. The address of each of the Trust Beneficiaries is Bosque De Radiatas6-602, Bosques De Las Lomas, Cuajimalpa 05120, Mexico. |
Consists of 5,000,000 Class A ordinary shares held of record by IHCI Investments LP issued in connection with, and, upon the closing of, the PIPE Placement. The address of IHCI Investments LP is 1188 Union, Montreal QC H3B 0E5, Canada. |
Consists of 5,000,000 Class A ordinary shares held of record by Jupiter CAN LP issued in connection with, and, upon the closing of, the PIPE Placement. The address of Jupiter CAN LP is 5930 Royal Lane, Suite E, #117, Dallas TX 75230-3896. |
Morgan Stanley Investment Management Inc. is the adviser or sub-adviser, as the case may be, of each of (i) Brighthouse Funds Trust I: Morgan Stanley Discovery Portfolio, holding 497,653 Class A ordinary shares, (ii) ERAFP Actions Mid Cap USA I holding 12,443 Class A ordinary shares, (iii) Growth Trust holding 245,905 Class A ordinary shares, (iv) Inception Trust holding, 166,790 Class A ordinary shares, (v) Johnson & Johnson Pension and Savings Master Trust (JJ9L) holding 15,421 Class A ordinary shares, (vi) Johnson & Johnson Pension and Savings Master Trust (JJ9LDB) holding 136,426 Class A ordinary shares, (vii) Kinstead Global Equity Pool holding 16,039 Class A ordinary shares, (viii) Lawrencium Atoll Investments Ltd. holding 34,707 Class A ordinary shares, (ix) Master Trust for Defined Contribution Plans of American Airlines, Inc. and Affiliates holding 109,253 Class A ordinary shares, (x) Morgan Stanley Funds (UK)—Global Insight Fund holding 7,231 Class A ordinary shares, (xi) Morgan Stanley Insight Fund holding 1,421,688 Class A ordinary shares, (xii) Morgan Stanley Institutional Fund Trust—Discovery Portfolio holding 800,384 Class A ordinary shares, (xiii) Morgan Stanley Institutional Fund, Inc.—Inception Portfolio holding 332,167 Class A ordinary shares, (xiv) Morgan Stanley Institutional Fund, Inc.—Counterpoint Global Portfolio holding 3,802 Class A ordinary shares, (xv) Morgan Stanley Institutional Fund, Inc.—Global Endurance Portfolio holding 19,748 Class A ordinary shares, (xvi) Morgan Stanley Institutional Fund, Inc.—Global Insight Portfolio holding 67,622 Class A ordinary shares, (xvii) Morgan Stanley Institutional Fund, Inc.—Growth Portfolio holding 3,865,953 Class A ordinary shares, (xviii) Morgan Stanley Investment Funds—Counterpoint Global Fund holding 1,657 Class A ordinary shares, (xiv) Morgan Stanley Investment Funds—Global Endurance Fund holding 34,186 Class A ordinary shares, (xx) Morgan Stanley Investment Funds—Global Insight Fund holding 293,852 Class A ordinary shares, (xxi) Morgan Stanley Investment Funds—US Growth Fund holding 1,549,102 Class A ordinary shares, (xxii) Morgan Stanley Investment Funds—US Insight Fund holding 46,844 Class A ordinary shares, (xxiii) Morgan Stanley Variable Insurance Fund, Inc.—Discovery Portfolio holding 79,084 Class A ordinary shares, (xxiv) Morgan Stanley Variable Insurance Fund, Inc.—Growth Portfolio holding 242,043 Class A ordinary shares (collectively, the “MS Accounts”) and holds voting and dispositive power with respect to shares of record held by each of the MS Accounts. Each of the MS accounts received their respective Class A ordinary shares in connection with the issuance of, and, upon the closing of, the PIPE Placement. The address of Morgan Stanley Investment Management Inc., acting as adviser orsub-adviser, as the case may be, of each of the MS Accounts is 522 Fifth Avenue, New York, NY 10036. |
Consists of 6,227,000 Class A ordinary shares. Averill Master Fund, Ltd. (“Averill Fund”) is the record holder of 3,140,000 Class A ordinary shares |
Name of Selling Securityholder | Class A Ordinary Shares | Class B Ordinary Shares (or Securities Convertible into Class B Ordinary Shares) | Percentage Voting Power | Number of Ordinary Shares Offered | Number of Ordinary Shares Beneficially Owned After the Offered Shares are Sold | Percentage Voting Power | Class A Ordinary Shares | Class B Ordinary Shares (or Securities Convertible into Class B Ordinary Shares) | Percentage Voting Power | Number of Ordinary Shares Offered | Number of Ordinary Shares Beneficially Owned After the Offered Shares are Sold | Percentage Voting Power | ||||||||||||||||||||||||||||||||||||
Anna-Maria and Stephen Kellen Foundation, Inc.(1) | 1,000,000 | * | 1,000,000 | — | — | % | 1,000,000 | * | 1,000,000 | — | — | % | ||||||||||||||||||||||||||||||||||||
Averill Master Fund, Ltd.(2) | 3,140,000 | 1.4 | % | 3,140,000 | — | — | % | 3,140,000 | 1.4 | % | 3,140,000 | — | — | % | ||||||||||||||||||||||||||||||||||
Banco Invex, S.A., Institución de Banca Múltiple, Invex Grupo Financiero, as Trustee of Trust I14165(3) | 5,000,000 | 2.2 | % | 5,000,000 | — | — | % | 5,000,000 | 2.2 | % | 5,000,000 | — | — | % | ||||||||||||||||||||||||||||||||||
Brighthouse Funds Trust I: Morgan Stanley Discover y Portfolio(4) | 497,653 | * | 497,653 | — | — | % | 497,653 | * | 497,653 | — | — | % | ||||||||||||||||||||||||||||||||||||
Brown University(5) | 1,000,000 | * | 1,000,000 | — | — | % | 1,000,000 | * | 1,000,000 | — | — | % | ||||||||||||||||||||||||||||||||||||
Carlos X. Del Rio(6) | 27,500 | * | 27,500 | — | — | % | 27,500 | * | 27,500 | — | — | % | ||||||||||||||||||||||||||||||||||||
Control Empresarial de Capitales, S.A. de C.V. (formerly Inversora Carso, S.A. de C.V.)(7) | 63,118,645 | 27.2 | % | 63,118,645 | — | — | % | |||||||||||||||||||||||||||||||||||||||||
Chamath Palihapitiya (7) | 13,273,000 | 5.7 | % | 13,273,000 | — | — | % | |||||||||||||||||||||||||||||||||||||||||
Control Empresarial de Capitales, S.A. de C.V. (formerly Inversora Carso, S.A. de C.V.)(8) | 63,118,645 | 27.2 | % | 63,118,645 | — | — | % |
Name of Selling Securityholder | Class A Ordinary Shares | Class B Ordinary Shares (or Securities Convertible into Class B Ordinary Shares) | Percentage Voting Power | Number of Ordinary Shares Offered | Number of Ordinary Shares Beneficially Owned After the Offered Shares are Sold | Percentage Voting Power | Class A Ordinary Shares | Class B Ordinary Shares (or Securities Convertible into Class B Ordinary Shares) | Percentage Voting Power | Number of Ordinary Shares Offered | Number of Ordinary Shares Beneficially Owned After the Offered Shares are Sold | Percentage Voting Power | ||||||||||||||||||||||||||||||||||||
CP WY REMAINDER INTEREST TRUST U/A/D DATED DECEMBER 22, 2021 | 3,000,000 | 1.3 | % | 3,000,000 | — | — | % | 3,000,000 | 1.3 | % | 3,000,000 | — | — | % | ||||||||||||||||||||||||||||||||||
David Spiegel(9) | 10,000 | * | 10,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Denise and Michael Kellen Foundation, Inc.(10) | 100,000 | * | 100,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
DJG Associated, LLC(11) | 600,000 | * | 600,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Donald P. Spencer and Vickie Riccardo JTWROS(12) | 50,000 | * | 50,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
David Spiegel, M.D., Ph.D.(10) | 10,000 | * | 10,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Denise and Michael Kellen Foundation, Inc.(11) | 100,000 | * | 100,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
DJG Associated, LLC(12) | 600,000 | * | 600,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Donald P. Spencer and Vickie Riccardo JTWROS(13) | 50,000 | * | 50,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
ERAFP Actions Mid Cap USA I(4) | 12,443 | * | 12,443 | — | — | % | 12,443 | * | 12,443 | — | — | % | ||||||||||||||||||||||||||||||||||||
Fourteen Plus Twelve Partners, LLC(13) | 200,000 | * | 200,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
George W. Siguler Family Trust (14) | 125,000 | * | 125,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Fourteen Plus Twelve Partners, LLC(14) | 200,000 | * | 200,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
George W. Siguler Family Trust (15) | 125,000 | * | 125,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Growth Trust(4) | 245,905 | * | 245,905 | — | — | % | 245,905 | * | 245,905 | — | — | % | ||||||||||||||||||||||||||||||||||||
Hill Family Alternative Investments LLC(15) | 500,000 | * | 500,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Hottinger AG(16) | 100,000 | * | 100,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
IHCI Investments LP(17) | 5,000,000 | 2.2 | % | 5,000,000 | — | — | % | |||||||||||||||||||||||||||||||||||||||||
Hill Family Alternative Investments LLC(16) | 500,000 | * | 500,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Hottinger AG(17) | 100,000 | * | 100,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
IHCI Investments LP(18) | 5,000,000 | 2.2 | % | 5,000,000 | — | — | % | |||||||||||||||||||||||||||||||||||||||||
Inception Trust(4) | 166,790 | * | 166,790 | — | — | % | 166,790 | * | 166,790 | — | — | % | ||||||||||||||||||||||||||||||||||||
Johnson & Johnson Pension and Savings Master Trust (JJ9L)(4) | 15,421 | * | 15,421 | — | — | % | 15,421 | * | 15,421 | — | — | % | ||||||||||||||||||||||||||||||||||||
Johnson & Johnson Pension and Savings Master Trust (JJ9LDB)(4) | 136,426 | * | 136,426 | — | — | % | 136,426 | * | 136,426 | — | — | % | ||||||||||||||||||||||||||||||||||||
Juan Maria Pedro David Michel(18) | 800,000 | * | 800,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Jupiter CAN(19) | 5,000,000 | 2.2 | % | 5,000,000 | — | — | % | |||||||||||||||||||||||||||||||||||||||||
Juan Maria Pedro David Michel(19) | 800,000 | * | 800,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Jupiter CAN(20) | 5,000,000 | 2.2 | % | 5,000,000 | — | — | % | |||||||||||||||||||||||||||||||||||||||||
Kinstead Global Equity Pool(4) | 16,039 | * | 16,039 | — | — | % | 16,039 | * | 16,039 | — | — | % | ||||||||||||||||||||||||||||||||||||
KJB Associated LLC(20) | 200,000 | * | 200,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
KJB Associated LLC(21) | 200,000 | * | 200,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Lawrencium Atoll Investments Ltd.(4) | 34,707 | * | 34,707 | — | — | % | 34,707 | * | 34,707 | — | — | % | ||||||||||||||||||||||||||||||||||||
Leman Management Nominees Limited(21) | 2,000,000 | * | 2,000,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Luis Felipe Mancera de Arrigunaga(22) | 80,000 | * | 80,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Marina Kellen French Foundation(23) | 100,000 | * | 100,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Leman Management Nominees Limited(22) | 2,000,000 | * | 2,000,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Luis Felipe Mancera de Arrigunaga(23) | 80,000 | * | 80,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Marc Semigran(24) | 30,000 | * | 30,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Marina Kellen French Foundation(25) | 100,000 | * | 100,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Master Trust for Defined Contribution Plans of American Airlines, Inc. and Affiliates(4) | 109,253 | * | 109,253 | — | — | % | 109,253 | * | 109,253 | — | — | % | ||||||||||||||||||||||||||||||||||||
Max Pierre David Michel(24) | 800,000 | * | 800,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
MGG Strategic SICAF SIF, for and on behalf of its compartment, MGG Strategic(25) | 1,000,000 | * | 1,000,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Mikel Andoni Arriola Peñalosa (26) | 15,000 | * | 15,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Monique Berthe Michele Madeleine David Michel(27) | 800,000 | * | 800,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Max Pierre David Michel(26) | 800,000 | * | 800,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
MGG Strategic SICAF SIF, for and on behalf of its compartment, MGG Strategic(27) | 1,000,000 | * | 1,000,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Mikel Andoni Arriola Peñalosa (28) | 15,000 | * | 15,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Monique Berthe Michele Madeleine David Michel(29) | 800,000 | * | 800,000 | — | — | % | ||||||||||||||||||||||||||||||||||||||||||
Morgan Stanley Funds (UK)—Global Insight Fund(4) | 7,231 | * | 7,231 | — | — | % | 7,231 | * | 7,231 | — | — | % | ||||||||||||||||||||||||||||||||||||
Morgan Stanley Insight Fund(4) | 1,421,688 | * | 1,421,688 | — | — | % | 1,421,688 | * | 1,421,688 | — | — | % | ||||||||||||||||||||||||||||||||||||
Morgan Stanley Institutional Fund Trust—Discovery Portfolio(4) | 800,384 | * | 800,384 | — | — | % | 800,384 | * | 800,384 | — | — | % | ||||||||||||||||||||||||||||||||||||
Morgan Stanley Institutional Fund, Inc.—Counterpoint Global Portfolio(4) | 3,802 | * | 3,802 | — | — | % | 3,802 | * | 3,802 | — | — | % | ||||||||||||||||||||||||||||||||||||
Morgan Stanley Institutional Fund, Inc.—Global Endurance Portfolio(4) | 19,748 | * | 19,748 | — | — | % | 19,748 | * | 19,748 | — | — | % | ||||||||||||||||||||||||||||||||||||
Morgan Stanley Institutional Fund, Inc.—Global Insight Portfolio(4) | 67,622 | * | 67,622 | — | — | % | 67,622 | * | 67,622 | — | — | % | ||||||||||||||||||||||||||||||||||||
Morgan Stanley Institutional Fund, Inc.—Growth Portfolio(4) | 3,865,953 | 1.7 | % | 3,865,953 | — | — | % | 3,865,953 | 1.7 | % | 3,865,953 | — | — | % | ||||||||||||||||||||||||||||||||||
Morgan Stanley Institutional Fund, Inc.—Inception Portfolio(4) | 332,167 | * | 332,167 | — | — | % | 332,167 | * | 332,167 | — | — | % | ||||||||||||||||||||||||||||||||||||
Morgan Stanley Investment Funds—Counterpoint Global Fund(4) | 1,657 | * | 1,657 | — | — | % | 1,657 | * | 1,657 | — | — | % | ||||||||||||||||||||||||||||||||||||
Morgan Stanley Investment Funds—Global Endurance Fund(4) | 34,186 | * | 34,186 | — | — | % | 34,186 | * | 34,186 | — | — | % | ||||||||||||||||||||||||||||||||||||
Morgan Stanley Investment Funds—Global Insight Fund(4) | 293,852 | * | 293,852 | — | — | % | 293,852 | * | 293,852 | — | — | % | ||||||||||||||||||||||||||||||||||||
Morgan Stanley Investment Funds—US Growth Fund(4) | 1,549,102 | * | 1,549,102 | — | — | % | 1,549,102 | * | 1,549,102 | — | — | % |
Name of Selling Securityholder | Class A Ordinary Shares | Class B Ordinary Shares (or Securities Convertible into Class B Ordinary Shares) | Percentage Voting Power | Number of Ordinary Shares Offered | Number of Ordinary Shares Beneficially Owned After the Offered Shares are Sold | Percentage Voting Power | ||||||||||||||||||
Morgan Stanley Investment Funds—US Insight Fund(4) | 46,844 | * | 46,844 | — | — | % | ||||||||||||||||||
Morgan Stanley Variable Insurance Fund, Inc.—Discovery Portfolio(4) | 79,084 | * | 79,084 | — | — | % | ||||||||||||||||||
Morgan Stanley Variable Insurance Fund, Inc.—Growth Portfolio(4) | 242,043 | * | 242,043 | — | — | % | ||||||||||||||||||
Nogra Group SICAF-SIF, for and on behalf of its compartment, Nogra Group SICAF—SIF—GG Strategic (the Investor)(28) | 1,200,000 | * | 1,200,000 | — | — | % | ||||||||||||||||||
Pamela Mallon Siguler Family Trust(29) | 125,000 | * | 125,000 | — | — | % | ||||||||||||||||||
Paul Mower(30) | 7,500 | * | 7,500 | — | — | % | ||||||||||||||||||
ProKidney Management Equity LLC(31) | 22,203,387 | 5.6 | % | 22,203,387 | — | — | % | |||||||||||||||||
iPrime Participations LLC(32) | 300,000 | * | 300,000 | — | — | % | ||||||||||||||||||
Regina Mancera Bustamante(33) | 100,000 | * | 100,000 | — | — | % | ||||||||||||||||||
Ricardo José Garza Bustamante(34) | 50,000 | * | 50,000 | — | — | % | ||||||||||||||||||
SC PIPE Holdings LLC(35) | 9,500,000 | 4.1 | % | 9,500,000 | — | — | % | |||||||||||||||||
Stephen M. Kellen 2004 Trust FBO Annabelle Garrett(36) | 75,000 | * | 75,000 | — | — | % | ||||||||||||||||||
Stephen M. Kellen 2004 Trust FBO Andrew Gundlach(37) | 75,000 | * | 75,000 | — | — | % | ||||||||||||||||||
Stephen M. Kellen 2004 Trust FBO Caroline L. Kellen(38) | 75,000 | * | 75,000 | — | — | % | ||||||||||||||||||
Stephen M. Kellen 2004 Trust FBO Christopher N. Kellen(39) | 75,000 | * | 75,000 | — | — | % | ||||||||||||||||||
Sukumar Nagendran(40) | 10,000 | * | 10,000 | — | — | % | ||||||||||||||||||
Tensleep Group LLC(41) | 10,000 | * | 10,000 | — | — | % | ||||||||||||||||||
Tolerantia, LLC(42) | 94,677,968 | 40.8 | % | 94,677,968 | — | — | % | |||||||||||||||||
WECMA Family, LLC(43) | 250,000 | * | 250,000 | — | — | % | ||||||||||||||||||
Uma Sinha, Ph.D.(44) | 30,000 | * | 30,000 | — | — | % |
Name of Selling Securityholder | Class A Ordinary Shares | Class B Ordinary Shares (or Securities Convertible into Class B Ordinary Shares) | Percentage Voting Power | Number of Ordinary Shares Offered | Number of Ordinary Shares Beneficially Owned After the Offered Shares are Sold | Percentage Voting Power | ||||||||||||||||||
Morgan Stanley Investment Funds—US Insight Fund(4) | 46,844 | * | 46,844 | — | — | % | ||||||||||||||||||
Morgan Stanley Variable Insurance Fund, Inc.—Discovery Portfolio(4) | 79,084 | * | 79,084 | — | — | % | ||||||||||||||||||
Morgan Stanley Variable Insurance Fund, Inc.—Growth Portfolio(4) | 242,043 | * | 242,043 | — | — | % | ||||||||||||||||||
Nogra Group SICAF-SIF, for and on behalf of its compartment, Nogra Group SICAF—SIF—GG Strategic (the Investor)(30) | 1,200,000 | * | 1,200,000 | — | — | % | ||||||||||||||||||
Pamela Mallon Siguler Family Trust(31) | 125,000 | * | 125,000 | — | — | % | ||||||||||||||||||
Paul Mower(32) | 7,500 | * | 7,500 | — | — | % | ||||||||||||||||||
ProKidney Management Equity LLC(33) | 22,203,387 | 5.6 | % | 22,203,387 | — | — | % | |||||||||||||||||
iPrime Participations LLC(34) | 300,000 | * | 300,000 | — | — | % | ||||||||||||||||||
Regina Mancera Bustamante(35) | 100,000 | * | 100,000 | — | — | % | ||||||||||||||||||
Ricardo José Garza Bustamante(36) | 50,000 | * | 50,000 | — | — | % | ||||||||||||||||||
Stephen M. Kellen 2004 Trust FBO Annabelle Garrett(37) | 75,000 | * | 75,000 | — | — | % | ||||||||||||||||||
Stephen M. Kellen 2004 Trust FBO Andrew Gundlach(38) | 75,000 | * | 75,000 | — | — | % | ||||||||||||||||||
Stephen M. Kellen 2004 Trust FBO Caroline L. Kellen(39) | 75,000 | * | 75,000 | — | — | % | ||||||||||||||||||
Stephen M. Kellen 2004 Trust FBO Christopher N. Kellen(40) | 75,000 | * | 75,000 | — | — | % | ||||||||||||||||||
Sukumar Nagendran(41) | 10,000 | * | 10,000 | — | — | % | ||||||||||||||||||
SVAV Sponsor III, LLC(42) | 3,087,000 | 1.3 | % | 3,087,000 | — | — | % | |||||||||||||||||
Tensleep Group LLC(43) | 10,000 | * | 10,000 | — | — | % | ||||||||||||||||||
Tolerantia, LLC(44) | 94,677,968 | 40.8 | % | 94,677,968 | — | — | % | |||||||||||||||||
WECMA Family, LLC(45) | 250,000 | * | 250,000 | — | — | % | ||||||||||||||||||
Uma Sinha, Ph.D.(46) | 30,000 | * | 30,000 | — | — | % |
** | Less than 1%. |
(1) | Consists of 1,000,000 Class A ordinary shares. The address of Anna-Maria and Stephen Kellen Foundation, Inc. is 1345 Avenue of the Americas, 47th Floor, New York, NY 10105. |
(2) | Consists of 3,140,000 Class A ordinary |
(3) | Consists of 5,000,000 Class A ordinary shares held of record by Banco Invex, S.A., Institución de Banca Múltiple, Invex Grupo Financiero, acting solely and exclusively in its capacity as trustee of the trustee of Trust, one-third of the total number of Class A ordinary shares held by the Trust. The address of the Trust is Boulevard Manuel Avila Camacho No. 40, Piso 7, Lomas De Chapultepec, Ciudad De México 11000. The address of each of the Trust Beneficiaries is Bosque De Radiatas6-602, Bosques De Las Lomas, Cuajimalpa 05120, Mexico. |
(4) | Morgan Stanley Investment Management Inc. is the adviser or sub-adviser, as the case may be, of each of (i) Brighthouse Funds Trust I: Morgan Stanley Discovery Portfolio, holding 497,653 Class A ordinary shares, (ii) ERAFP Actions Mid Cap USA I holding 12,443 Class A ordinary shares, (iii) Growth Trust holding 245,905 Class A ordinary shares, (iv) Inception Trust holding, 166,790 Class A ordinary shares, (v) Johnson & Johnson Pension and Savings Master Trust (JJ9L) holding 15,421 Class A ordinary shares, (vi) Johnson & Johnson Pension and Savings Master Trust (JJ9LDB) holding 136,426 Class A ordinary shares, (vii) Kinstead Global Equity Pool holding 16,039 Class A ordinary shares, (viii) Lawrencium Atoll Investments Ltd. holding 34,707 Class A ordinary shares, (ix) Master Trust for Defined Contribution Plans of American Airlines, Inc. and Affiliates holding 109,253 Class A ordinary shares, (x) Morgan Stanley Funds (UK)—Global Insight Fund holding 7,231 Class A ordinary shares, (xi) Morgan Stanley Insight Fund holding 1,421,688 Class A ordinary shares, (xii) Morgan Stanley Institutional Fund Trust—Discovery Portfolio holding 800,384 Class A ordinary shares, (xiii) Morgan Stanley Institutional Fund, Inc.—Inception Portfolio holding 332,167 Class A ordinary shares, (xiv) Morgan Stanley Institutional Fund, Inc.—Counterpoint Global Portfolio holding 3,802 Class A ordinary shares, (xv) Morgan Stanley Institutional Fund, Inc.—Global Endurance Portfolio holding 19,748 Class A ordinary shares, (xvi) Morgan Stanley Institutional Fund, Inc.—Global Insight Portfolio holding 67,622 Class A ordinary shares, (xvii) Morgan Stanley Institutional Fund, |
Inc.—Growth Portfolio holding 3,865,953 Class A ordinary shares, (xviii) Morgan Stanley Investment Funds—Counterpoint Global Fund holding 1,657 Class A ordinary shares, (xiv) Morgan Stanley Investment Funds—Global Endurance Fund holding 34,186 Class A ordinary shares, (xx) Morgan Stanley Investment Funds—Global Insight Fund holding 293,852 Class A ordinary shares, (xxi) Morgan Stanley Investment Funds—US Growth Fund holding 1,549,102 Class A ordinary shares, (xxii) Morgan Stanley Investment Funds—US Insight Fund holding 46,844 Class A ordinary shares, (xxiii) Morgan Stanley Variable Insurance Fund, Inc.—Discovery Portfolio holding 79,084 Class A ordinary shares, (xxiv) Morgan Stanley Variable Insurance Fund, Inc.—Growth Portfolio holding 242,043 Class A ordinary shares sub-adviser, as the case may be, of each of the MS Accounts is 522 Fifth Avenue, New York, NY 10036. |
(5) | Consists of 1,000,000 Class A ordinary shares. The address of Brown University is 121 South Main Street, 9th floor, Providence RI, 02903. |
(6) | Consists of 27,500 Class A ordinary shares. The address of Carlos X. Del Rio is Monte Everest 440, Col. Lomas de Chapultepec, Ciudad de México, 11000, Mexico. |
(7) | Consists of 13,273,000 Class A ordinary shares, including 9,500,000 Class A ordinary shares held of record by SC PIPE Holdings and 3,773,000 Class A ordinary shares held of record by SC Master Holdings. SC PIPE Holdings is controlled by Mr. Palihapitiya, the former Chief Executive Officer and Chairman of the Board of Directors of SCS. SC Master Holdings is the sole member of SC PIPE Holdings. Mr. Palihapitiya and SC Master Holdings may be deemed to beneficially own Class A ordinary shares held directly by SC PIPE Holdings by virtue of their indirect or direct interests in SC PIPE Holdings or their control over SC PIPE Holdings, as the case may be. SC Master Holdings is controlled by Mr. Palihapitiya. Mr. Palihapitiya may be deemed to beneficially own Class A ordinary shares held directly by SC Master Holdings by virtue of his indirect interests in SC Master Holdings or his control over SC Master Holdings, as the case may be. The Class A ordinary shares reported herein do not include 3,000,000 Class A ordinary shares held directly by the Family Trust, which are otherwise reported in this table. Mr. Palihapitiya may be deemed to beneficially own Class A ordinary shares held directly by the Family Trust. The address of each of Mr. Palihapitiya, SC Master Holdings and SC PIPE Holdings is c/o SC Master Holdings, LLC, 506 Santa Cruz Avenue, Suite 300, Menlo Park, California 94025. |
(8) | Information in the table and footnote is based upon information provided to us by the direct shareholder, |
Consists of 3,000,000 Class A ordinary shares. Mr. Palihapitiya, the former Chief Executive Officer and Chairman of the Board of Directors of SCS, may be deemed to beneficially own Class A ordinary shares held directly by CP WY REMAINDER INTEREST TRUST U/A/D DATED DECEMBER 22, 2021. The address of CP WY REMAINDER INTEREST TRUST U/A/D DATED DECEMBER 22, 2021 is |
Consists of 10,000 Class A ordinary |
Consists of 100,000 Class A ordinary shares. The address of Denise and Michael Kellen Foundation, Inc. is 1345 Avenue of the Americas, 47th Floor, New York, NY 10105. |
Consists of 600,000 Class A ordinary shares. The address of DJG Associated, LLC is 62 Vineyard Lane, Greenwich, CT 06831. |
Consists of 50,000 Class A ordinary shares. The address of Donald P. Spencer and Vickie Riccardo JTWROS is 370 Palmetto Road, St. Augustine, FL 32080. |
Consists of 200,000 Class A ordinary shares. The address of Fourteen Plus Twelve Partners, LLC is 62 Vineyard Lane, Greenwich, CT 06831. |
Consists of 125,000 Class A ordinary shares. The address of George W. Siguler Family Trust is 893 Ponte Vedra Blvd, Ponte Vedra Beach, FL 32082. |
Consists of 500,000 Class A ordinary shares. The address of Hill Family Alternative Investments LLC is 834 Fifth Avenue, 10B, New York, NY 10065. |
Consists of 100,000 Class A ordinary shares. The address of Hottinger AG is 60 Rue du Stand, Geneva 1204, Switzerland. |
Consists of 5,000,000 Class A ordinary shares. The address of IHCI Investments LP is 1188 Union, Montreal QC H3B 0E5, Canada. |
Consists of 800,000 Class A ordinary shares. The address of Juan María Pedro David Michel is Bosque de Radiatas 6-602, Bosques de las Lomas, Cuajimalpa 05120, Mexico. |
Consists of 5,000,000 Class A ordinary shares. The address of Jupiter CAN LP is 5930 Royal Lane, Suite E, #117, Dallas, TX 75230. |
Consists of 200,000 Class A ordinary shares. The address of KJB Associated LLC is 860 United Nations Plz Apt #33D, New York, NY 10017. |
Consists of 2,000,000 Class A ordinary shares. The address of Leman Management Nominees Limited is Wessex House 2nd Floor, 45 Reid Street, Hamilton HM 12, Bermuda. |
Consists of 80,000 Class A ordinary shares. The address of Luis Felipe Mancera de Arrigunaga is Colina 52 Lomas de Bezarcs 11910, Mexico City, Mexico. |
Consists of 30,000 Class A ordinary shares. |
(25) | Consists of 100,000 Class A ordinary shares. The address of Marina Kellen French Foundation is 1345 Avenue of the Americas, 47th Floor, New York, NY 10105. |
Consists of 800,000 Class A ordinary shares. The address of Max Pierre David Michel is Bosque de Radiatas 6-602-103, |
Consists of 1,000,000 Class A ordinary shares. The address of MGG Strategic SICAF SIF, for and on behalf of its compartment, MGG Strategic is 18 Avenue de la Porte Neuve, Luxembourg 2227, Luxembourg. |
Consists of 15,000 Class A ordinary shares. The address of Mikel Andoni Arriola Peñalosa is Av. Paseo de la Reforma 2693, 401-C, Lomas de Bezares, Miguel Hidalgo, Mexico City 11910, Mexico. |
Consists of 800,000 Class A ordinary shares. The address of Monique Berthe Michele Madeleine David Michel is Bosque de Radiatas 6-602-103, |
Consists of 1,200,000 Class A ordinary shares. The address of GG 1978 SICAF SIF, for and on behalf of its compartment, GG Strategic (the Investor) is 18 Avenue de la Porte Neuve, Luxembourg 2227, Luxembourg. |
Consists of 125,000 Class A ordinary shares. The address of Pamela Mallon Siguler Family Trust is 893 Ponte Vedra Blvd, Ponte Vedra Beach, FL 32082. |
Consists of 7,500 Class A ordinary shares. The address of Paul Mower is 614 Lakota Lane (PO Box 4112), Jackson, WY 83001. |
Consists of (i) 12,927,348 13,045,190 Class B ordinary shares, (ii) 117,842 Class B ordinary shares issuable upon the vesting of PMEL RCUs within 60 days of July 31, 2022 and (iii) 9,158,197 PMEL RCUs held by ProKidney Management Equity LLC on behalf of individual unitholders. Upon vesting of the PMEL RCUS, the aggregate of 22,203,387 Class B ordinary shares may be exchanged, together with a corresponding number of Post-Combination ProKidney Common Units, pursuant to the Exchange Agreement, for a total of 22,203,387 Class A ordinary shares. |
Consists of 300,000 Class A ordinary shares. The address of Prime Participations LLC is 110 East 59th Street, 33rd Fl, New York, NY 10022. |
Consists of 100,000 Class A ordinary shares. The address of Regina Mancera Bustamante is Bosque de Tulipanes 14, Col. Bosques de las Lomas, Cuajimalpa 05120, Mexico. |
Consists of 50,000 Class A ordinary shares. The address of Ricardo José Garza Bustamante is Av de Los Poetas 100, RCA 901, Col. Cumbres de Santa Fe, Mexico City 05600, Mexico. |
Consists of 75,000 Class A ordinary shares. The address of Stephen M. Kellen 2004 Trust FBO Annabelle Garrett is 1345 Avenue of the Americas, 47th Floor, New York, NY 10105. |
Consists of 75,000 Class A ordinary shares. The address of Stephen M. Kellen 2004 Trust FBO Andrew Gundlach is 1345 Avenue of the Americas, 47th Floor, New York, NY 10105. |
Consists of 75,000 Class A ordinary shares. The address of Stephen M. Kellen 2004 Trust FBO Caroline L. Kellen is 1345 Avenue of the Americas, 47th Floor, New York, NY 10105. |
Consists of 75,000 Class A ordinary shares. The address Stephen M. Kellen 2004 Trust FBO Christopher N. Kellen is 1345 Avenue of the Americas, 47th Floor, New York, NY 10105. |
Consists of 10,000 Class A ordinary |
Consists of 3,087,000 Class A ordinary shares. Aaron Cowen and Kishan Mehta may be deemed to control SVAV, and therefore may be deemed to beneficially own the Class A ordinary shares held by SVAV. Kishan Mehta was the president and on the board of directors of SCS. The address of SVAV is 540 Madison Avenue, 7th Floor, New York, NY 10022. |
(43) | Consists of 10,000 Class A ordinary shares. The address of Tensleep Group LLC is 140 S. Cache St. (PO Box 4112), Jackson, WY 83001. |
Consists of 94,677,968 Class B ordinary shares held by Tolerantia, which may be exchanged, together with a corresponding number of Post-Combination ProKidney Common Units, pursuant to the Exchange Agreement, for 94,677,968 Class A ordinary shares. Tolerantia is an affiliate controlled and majority-owned by Mr. Pablo Legorreta. Mr. Legorreta controls the voting and disposition of the shares held by Tolerantia. Mr. Legorreta disclaims beneficial ownership of the shares held by Tolerantia except to the extent of his indirect pecuniary interest therein. The business address of Tolerantia is 110, East 59th Street, Suite 3300, New York, New York, 10022. |
Consists of 250,000 Class A ordinary shares. The address of WECMA Family, LLC is 893 Ponte Vedra Blvd, Ponte Vedra Beach, FL 32082. |
Consists of 30,000 Class A ordinary |
Name | Age | Position | ||||||
Executive Officers: | ||||||||
Tim Bertram, Ph.D. | 66 | Chief Executive Officer and Director | ||||||
James Coulston, CPA | 46 | Chief Financial Officer | ||||||
Deepak Jain, Ph.D. | 68 | Chief Operating Officer | ||||||
Darin J. Weber, Ph.D. | 54 | Senior Vice President of Regulatory Development | ||||||
Todd C. Girolamo | 57 | Chief Legal Officer | ||||||
Libbie P. McKenzie, M.D. | 49 | Chief Medical Officer | ||||||
Non-Employee Directors: | ||||||||
Pablo Legorreta | 58 | Chairman of the Board, Director | ||||||
William F. Doyle | 60 | Director | ||||||
Alan M. Lotvin, M.D. | 60 | Director | ||||||
Brian J.G. Pereira, M.D. | 63 | Director | ||||||
Uma Sinha, Ph.D. | 65 | Director | ||||||
John M. Maraganore, Ph.D. | 59 | Director | ||||||
José Ignacio Jimenez Santos | 47 | Director | ||||||
Jennifer Fox | 51 | Director |
Name and Principal Position | Year | Salary ($) | Bonus ($) (1) | Non- Incentive Equity Plan ($) | All Other Compensation ($) (2) | Total ($) | ||||||||||||||||||
Tim Bertram, Ph.D. | 2021 | $ | 489,258 | $ | 360,000 | $ | — | $ | 24,503 | $ | 873,761 | |||||||||||||
Chief Executive Officer | ||||||||||||||||||||||||
Deepak Jain, Ph.D. | 2021 | $ | 401,694 | $ | 216,000 | $ | — | $ | 14,522 | $ | 632,216 | |||||||||||||
Chief Operating Officer | ||||||||||||||||||||||||
Joseph Stavas, M.D., MPH | 2021 | $ | 530,110 | $ | 145,000 | $ | — | $ | 14,522 | $ | 689,632 | |||||||||||||
Senior Vice President of Clinical Development |
(1) | Reflects bonuses actually paid for the 12-month period from January 1, 2021 to December 31, 2021, and excludes payments made in 2021 for 2020 bonuses, for each executive officer. |
(2) | Reflects the amounts of all other compensation paid to the named individuals for the year ended December 31, 2021, which comprise of (1) the matching contributions to the 401(k) plan; (2) allowance paid to Dr. Bertram, and (3) insurance premiums with respect to a group life insurance policy, a group short- term disability policy, a group long-term disability policy, an accidental death and dismemberment policy, and flexible spending accounts paid on behalf of each of Dr. Bertram, Dr. Jain and Dr. Stavas. |
Equity Awards (1) | ||||||||||||||||||||
Name | Grant Date | Number of Profits Interest that Have Vested (#) | Market Value of Profits Interest Units that Have Vested ($) | Number of Profits Interest that Have Not Vested (#) | Market Value of Profits Interest Units that Have Not Vested ($) (3) | |||||||||||||||
Tim Bertram, Ph.D. | 9/30/2019 | (2) | 2,773,973 | $ | 998,630 | 924,658 | $ | 332,877 | ||||||||||||
Deepak Jain, Ph.D. | 9/30/2019 | (3) | 924,657 | $ | 332,877 | 308,220 | $ | 110,959 | ||||||||||||
Joseph Stavas, M.D., MPH | 11/1/2019 | ( 4) | 693,493 | $ | 249,657 | 539,384 | $ | 194,178 |
(1) | There was no public market for the Profits Interests. For purposes of this disclosure, the equity value of the Profits Interests was determined using contemporaneous valuations using methodologies consistent with the American Institute of Certified Public Accountants Practice Aid, Valuation of Privately-Held Company Equity Securities Issued as Compensation |
(2) | Represents 3,698,631 Profits Interests granted on September 30, 2019, with the first 25% of such Profits Interests vested on January 7, 2020, and the remaining 75% vested in increments of 6.25% each calendar quarter thereafter, subject to continued employment of the NEO on each vesting date. |
(3) | Represents 1,232,877 Profits Interests granted on September 30, 2019, with the first 25% of such Profits Interests vested on January 7, 2020, and the remaining 75% vested in increments of 6.25% each calendar quarter thereafter, subject to continued employment of the NEO on each vesting date. |
(4) | Represents 1,232,877 Profits Interests granted on November 1, 2019, with the first 25% of such Profits Interests vested on November 1, 2020, and the remaining 75% vested in increments of 6.25% each calendar quarter thereafter, subject to continued employment of the NEO on each vesting date. |
1. | That no law which is hereafter enacted in the Islands imposing any tax to be levied on profits, income, gains or appreciations shall apply to the Company or its operations; and |
2. | In addition, that no tax to be levied on profits, income, gains or appreciations or which is in the nature of estate duty or inheritance tax shall be payable: |
2.1 | On or in respect of the shares, debentures or other obligations of the Company; or |
2.2 | by way of the withholding in whole or part, of any relevant payment as defined in Section 6(3) of the Tax Concessions Act (as amended). |
PAGE | ||||
Audited Consolidated Financial Statements for Social Capital Suvretta Holdings Corp. III | ||||
FS-2 | ||||
FS-3 | ||||
FS-4 | ||||
FS-5 | ||||
FS-6 | ||||
FS-7 | ||||
Unaudited Consolidated Financial Statements for Social Capital Suvretta Holdings Corp. III | ||||
FS-20 | ||||
FS-21 | ||||
FS-22 | ||||
FS-23 | ||||
FS-24 | ||||
Audited Consolidated Financial Statements for ProKidney LP and Subsidiaries | ||||
Unaudited Consolidated Financial Statements for ProKidney LP and Subsidiaries | ||||
FS-56 | ||||
FS-57 | ||||
FS-59 | ||||
FS-60 |
ASSETS | ||||
Current Assets | ||||
Cash | $ | 440,488 | ||
Prepaid expenses | 504,189 | |||
Total Current Assets | 944,677 | |||
Non-current prepaid insurance | 247,500 | |||
Marketable Securities held in Trust Account | 250,008,324 | |||
TOTAL ASSETS | $ | 251,200,501 | ||
LIABILITIES, TEMPORARY EQUITY AND PERMANENT DEFICIT | ||||
Current liabilities | ||||
Accounts payable | $ | 5,000 | ||
Accrued expense | 1,864,796 | |||
Advances from related party | 10,000 | |||
Total Current Liabilities | 1,879,796 | |||
Deferred underwriting fee payable | 7,700,000 | |||
TOTAL LIABILITIES | 9,579,796 | |||
Commitments and Contingencies (Note 6) | 0 | |||
Temporary Equity | ||||
Class A ordinary shares subject to possible redemption, 25,000,000 shares at redemption value | 250,008,324 | |||
Permanent Deficit | ||||
Preference shares, $0.0001 par value; 5,000,000 shares authorized; 0 shares issued and outstanding | 0— | |||
Class A ordinary shares, $0.0001 par value; 500,000,000 shares authorized; 640,000 shares issued and outstanding (excluding 25,000,000 shares subject to possible redemption) | 64 | |||
Class B ordinary shares, $0.0001 par value; 50,000,000 shares authorized; 6,250,000 shares issued and outstanding | 625 | |||
Additional paid-in capital | 0— | |||
Accumulated deficit | (8,388,308 | ) | ||
Total Permanent Deficit | (8,387,619 | ) | ||
TOTAL LIABILITIES, TEMPORARY EQUITY AND PERMANENT DEFICIT | $ | 251,200,501 | ||
Operating and formation costs | $ | 2,332,953 | ||
Loss from operations | (2,332,953 | ) | ||
Other income: | ||||
Interest earned on marketable securities held in Trust Account | 8,324 | |||
Net loss | $ | (2,324,629 | ) | |
Basic and diluted weighted average shares outstanding, Class A ordinary shares | 15,101,877 | |||
Basic and diluted net loss per share, Class A ordinary shares | $ | (0.11 | ) | |
Basic and diluted weighted average shares outstanding, Class B ordinary shares | 5,852,751 | |||
Basic and diluted net loss per share, Class B ordinary shares | $ | (0.11 | ) | |
Temporary Equity | Class A Ordinary Shares | Class B Ordinary Shares | Additional Paid-in Capital | Accumulated Deficit | Total Permanent Deficit | |||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Shares | Amount | |||||||||||||||||||||||||||||||
Balance—February 25, 2021 (inception) | — | $ | — | — | $ | — | — | $ | — | $ | — | $ | — | $ | — | |||||||||||||||||||||
Issuance of Class B ordinary shares to Sponsor | — | — | — | — | 6,325,000 | 633 | 24,367 | — | 25,000 | |||||||||||||||||||||||||||
Sale of 25,000,000 Public Shares, net of discounts and offering expenses | 25,000,000 | 237,520,334 | — | — | — | — | — | — | — | |||||||||||||||||||||||||||
Remeasurement of Class A ordinary shares to redemption value | — | 12,487,990 | — | — | — | — | (6,424,311 | ) | (6,063,679 | ) | (12,487,990 | ) | ||||||||||||||||||||||||
Sale of 640,000 Private Placement Shares | — | — | 640,000 | 64 | — | — | 6,399,936 | — | 6,400,000 | |||||||||||||||||||||||||||
Forfeiture of Founder Shares | — | — | — | — | (75,000 | ) | (8 | ) | 8 | — | — | |||||||||||||||||||||||||
Net loss | — | — | — | — | — | — | — | (2,324,629 | ) | (2,324,629 | ) | |||||||||||||||||||||||||
Balance — December 31, 2021 | 25,000,000 | $ | 250,008,324 | 640,000 | $ | 64 | 6,250,000 | $ | 625 | $ | — | $ | (8,388,308 | ) | $ | (8,387,619 | ) | |||||||||||||||||||
Cash Flows from Operating Activities: | ||||||||
Net loss | $ | (2,324,629 | ) | $ | (2,324,629 | ) | ||
Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||
Formation costs paid by Sponsor in exchange for issuance of Founder Shares | 5,000 | 5,000 | ||||||
Interest earned on marketable securities held in Trust Account | (8,324 | ) | (8,324 | ) | ||||
Changes in operating assets and liabilities: | ||||||||
Prepaid expenses | (751,689 | ) | (751,689 | ) | ||||
Accounts payable | 5,000 | 5,000 | ||||||
Accrued expenses | 1,864,796 | 1,864,796 | ||||||
Net cash used in operating activities | (1,209,846 | ) | (1,209,846 | ) | ||||
Cash Flows from Investing Activities: | ||||||||
Investment of cash into Trust Account | (250,000,000 | ) | (250,000,000 | ) | ||||
Net cash used in investing activities | (250,000,000 | ) | (250,000,000 | ) | ||||
Cash Flows from Financing Activities: | ||||||||
Proceeds from sale of Public Shares, net of underwriting discounts paid | 245,600,000 | 245,600,000 | ||||||
Proceeds from sale of Private Placement Shares | 6,400,000 | 6,400,000 | ||||||
Advances from related party | 97,319 | 97,319 | ||||||
Repayment of advances from related party | (87,319 | ) | (87,319 | ) | ||||
Proceeds from promissory note — related party | 300,000 | 300,000 | ||||||
Repayment of promissory note—related party | (300,000 | ) | (300,000 | ) | ||||
Payment of offering costs | (359,666 | ) | (359,666 | ) | ||||
Net cash provided by financing activities | 251,650,334 | 251,650,334 | ||||||
Net Change in Cash | 440,488 | 440,488 | ||||||
Cash — Beginning of period (inception) | 0— | — | ||||||
Cash — End of period | $ | 440,488 | $ | 440,488 | ||||
Non-Cash Investing and Financing Activities: | ||||||||
Offering costs paid by Sponsor in exchange for issuance of Founder Shares | $ | 20,000 | $ | 20,000 | ||||
Remeasurement of Class A ordinary share subject to possible redemption | $ | 12,487,990 | $ | 12,487,990 | ||||
Deferred underwriting fee payable | $ | 7,700,000 | $ | 7,700,000 | ||||
Gross proceeds | $ | 250,000,000 | ||
Less: | ||||
Class A ordinary shares issuance costs | (12,479,666 | ) | ||
Plus: | ||||
Increase of carrying value to redemption value | 12,487,990 | |||
Class A ordinary shares subject to possible redemption | $ | 250,008,324 | ||
For the Period from February 25, 2021 (Inception) Through December 31, 2021 | ||||||||
Class A | Class B | |||||||
Basic and diluted net loss per ordinary share | ||||||||
Numerator: | ||||||||
Allocation of net loss | $ | (1,675,346 | ) | $ | (649,283 | ) | ||
Denominator: | ||||||||
Basic and diluted weighted average shares outstanding | 15,101,877 | 5,852,751 | ||||||
Basic and diluted net loss per ordinary share | $ | (0.11 | ) | $ | (0.11 | ) |
Level 1: | Quoted prices in active markets for identical assets or liabilities. An active market for an asset or liability is a market in which transactions for the asset or liability occur with sufficient frequency and volume to provide pricing information on an ongoing basis. |
Level 2: | Observable inputs other than Level 1 inputs. Examples of Level 2 inputs include quoted prices in active markets for similar assets or liabilities and quoted prices for identical assets or liabilities in markets that are not active. |
Level 3: | Unobservable inputs based on our assessment of the assumptions that market participants would use in pricing the asset or liability. |
Description | Level | December 31, 2021 | ||||||
Assets: | ||||||||
Marketable securities held in Trust Account | 1 | $ | 250,008,324 |
March 31, 2022 | December 31, 2021 | |||||||
(Unaudited) | ||||||||
ASSETS | ||||||||
Current assets | ||||||||
Cash | $ | 51,889 | $ | 440,488 | ||||
Prepaid expenses | 543,088 | 504,189 | ||||||
Total Current Assets | 594,977 | 944,677 | ||||||
Non-current prepaid insurance | 123,750 | 247,500 | ||||||
Marketable securities held in Trust Account | 250,033,500 | 250,008,324 | ||||||
TOTAL ASSETS | $ | 250,752,227 | $ | 251,200,501 | ||||
LIABILITIES, TEMPORARY EQUITY AND PERMANENT DEFICIT | ||||||||
Current liabilities | ||||||||
Accounts payable | $ | 26,735 | $ | 5,000 | ||||
Accrued expense | 5,342,189 | 1,864,796 | ||||||
Advances from related party | 43,623 | 10,000 | ||||||
Total current liabilities | 5,412,547 | 1,879,796 | ||||||
Deferred underwriting fee payable | 7,700,000 | 7,700,000 | ||||||
Total Liabilities | 13,112,547 | 9,579,796 | ||||||
Commitments and Contingencies (Note 6) | 0 | 0 | ||||||
Temporary Equity | ||||||||
Class A ordinary shares subject to possible redemption, 25,000,000 shares at redemption value as of March 31, 2022 and December 31, 2021 | 250,000,000 | 250,008,324 | ||||||
Permanent Deficit | ||||||||
Preference shares, $0.0001 par value; 5,000,000 shares authorized; 0 shares issued and outstanding as of March 31, 2022 and December 31, 2021 | 0— | 0— | ||||||
Class A ordinary shares, $0.0001 par value; 500,000,000 shares authorized; 640,000 shares issued and outstanding (excluding 25,000,000 shares subject to possible redemption) as of March 31, 2022 and December 31, 2021 | 64 | 64 | ||||||
Class B ordinary shares, $0.0001 par value; 50,000,000 shares authorized; 6,250,000 shares issued and outstanding as of March 31, 2022 and December 31, 2021 | 625 | 625 | ||||||
Additional paid-in capital | 0— | 0— | ||||||
Accumulated deficit | (12,361,009 | ) | (8,388,308 | ) | ||||
Total Permanent Deficit | (12,360,320 | ) | (8,387,619 | ) | ||||
TOTAL LIABILITIES, TEMPORARY EQUITY AND PERMANENT DEFICIT | $ | 250,752,227 | $ | 251,200,501 | ||||
For the Three Months Ended March 31, 2022 | For the Period from February 25, 2021 (Inception) Through March 31, 2021 | |||||||
Operating and formation costs | $ | 4,006,201 | $ | 5,182 | ||||
Loss from operations | (4,006,201 | ) | (5,182 | ) | ||||
Other income: | ||||||||
Interest earned on marketable securities held in Trust Account | 25,176 | — | ||||||
Net loss | $ | (3,981,025 | ) | $ | (5,182 | ) | ||
Basic and diluted weighted average shares outstanding, Class A ordinary shares | 25,640,000 | — | ||||||
Basic and diluted net loss per share, Class A ordinary shares | $ | (0.12 | ) | $ | — | |||
Basic and diluted weighted average shares outstanding, Class B ordinary shares | 6,250,000 | 5,500,000 | ||||||
Basic and diluted net loss per share, Class B ordinary shares | $ | (0.12 | ) | $ | (0.0 | ) | ||
Temporary Equity | Class A Ordinary Shares | Class B Ordinary Shares | Additional Paid-in Capital | Accumulated Deficit | Total Permanent Deficit | |||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Shares | Amount | |||||||||||||||||||||||||||||||
Balance—January 1, 2022 | 25,000,000 | $ | 250,008,324 | 640,000 | $ | 64 | 6,250,000 | $ | 625 | $ | — | $ | (8,388,308 | ) | $ | (8,387,619 | ) | |||||||||||||||||||
Remeasurement for Class A ordinary shares to redemption amount | — | (8,324 | ) | — | — | — | — | — | 8,324 | 8,324 | ||||||||||||||||||||||||||
Net loss | — | — | — | — | — | — | — | (3,981,025 | ) | (3,981,025 | ) | |||||||||||||||||||||||||
Balance—March 31, 2022 | 25,000,000 | $ | 250,000,000 | 640,000 | $ | 64 | 6,250,000 | $ | 625 | $ | — | $ | (12,361,009 | ) | $ | (12,360,320 | ) | |||||||||||||||||||
Temporary Equity | Class A Ordinary Shares | Class B Ordinary Shares | Additional Paid-in Capital | Accumulated Deficit | Total Permanent Equity | |||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Shares | Amount | |||||||||||||||||||||||||||||||
Balance—February 25, 2021 (inception) | — | $ | — | — | $ | — | — | $ | — | $ | — | $ | — | $ | — | |||||||||||||||||||||
Issuance of Class B ordinary shares to | — | — | — | — | 6,325,000 | 633 | 24,367 | — | 25,000 | |||||||||||||||||||||||||||
Net loss | — | — | — | — | — | — | — | (5,182 | ) | (5,182 | ) | |||||||||||||||||||||||||
Balance—March 31, 2021 | — | $ | — | — | $ | — | 6,325,000 | $ | 633 | $ | 24,367 | $ | (5,182 | ) | $ | 19,818 | ||||||||||||||||||||
June 30, 2022 | December 31, 2021 | |||||||
(Unaudited) | ||||||||
ASSETS | ||||||||
Current assets | ||||||||
Cash | $ | 107,546 | $ | 440,488 | ||||
Prepaid expenses | 524,750 | 504,189 | ||||||
Total Current Assets | 632,296 | 944,677 | ||||||
Non-current prepaid insurance | — | 247,500 | ||||||
Marketable securities held in Trust Account | 250,371,095 | 250,008,324 | ||||||
TOTAL ASSETS | $ | 251,003,391 | $ | 251,200,501 | ||||
LIABILITIES, TEMPORARY EQUITY AND PERMANENT DEFICIT | ||||||||
Current liabilities | ||||||||
Accounts payable | $ | — | $ | 5,000 | ||||
Accrued expense | 7,603,038 | 1,864,796 | ||||||
Advances from related party | 80,687 | 10,000 | ||||||
Promissory note – related party | 250,000 | — | ||||||
Total current liabilities | 7,933,725 | 1,879,796 | ||||||
Deferred underwriting fee payable | 7,700,000 | 7,700,000 | ||||||
Total Liabilities | 15,633,725 | 9,579,796 | ||||||
Commitments and Contingencies (Note 6) | 0 | 0 | ||||||
Temporary Equity | ||||||||
Class A ordinary shares subject to possible redemption, 25,000,000 shares at redemption value as of June 30, 2022 and December 31, 2021 | 250,371,095 | 250,008,324 | ||||||
Permanent Deficit | ||||||||
Preference shares, $0.0001 par value; 5,000,000 shares authorized; 0 shares issued and outstanding as of June 30, | 0— | 0— | ||||||
Class A ordinary shares, $0.0001 par value; 500,000,000 shares authorized; 640,000 shares issued and outstanding (excluding 25,000,000 shares subject to possible redemption) as of June 30, 2022 and December 31, 2021 | 64 | 64 | ||||||
Class B ordinary shares, $0.0001 par value; 50,000,000 shares authorized; 6,250,000 shares issued and outstanding as of June 30, 2022 and December 31, 2021 | 625 | 625 | ||||||
Additional paid-in capital | 0— | 0— | ||||||
Accumulated deficit | (15,002,118 | ) | (8,388,308 | ) | ||||
Total Permanent Deficit | (15,001,429 | ) | (8,387,619 | ) | ||||
TOTAL LIABILITIES, TEMPORARY EQUITY AND PERMANENT DEFICIT | $ | 251,003,391 | $ | 251,200,501 | ||||
For the Three Months Ended March 31, 2022 | For the Period from February 25, 2021 (Inception) Through March 31, 2021 | |||||||
Cash Flows from Operating Activities: | ||||||||
Net loss | $ | (3,981,025 | ) | $ | (5,182 | ) | ||
Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||
Formation costs paid by Sponsor in exchange for issuance of Founder Shares | 5,000 | |||||||
Interest earned on marketable securities held in Trust Account | (25,176 | ) | — | |||||
Changes in operating assets and liabilities: | ||||||||
Prepaid expenses | 84,851 | — | ||||||
Advances from related party | 33,623 | — | ||||||
Accrued expenses and accounts payable | 3,499,128 | 44 | ||||||
Net cash used in operating activities | (388,599 | ) | (138 | ) | ||||
Cash Flows from Financing Activities: | ||||||||
Proceeds from promissory note — related party | — | 255 | ||||||
Payment of offering costs | — | (117 | ) | |||||
Net cash provided by financing activities | — | 138 | ||||||
Net Change in Cash | (388,599 | ) | — | |||||
Cash — Beginning of period (inception) | 440,488 | — | ||||||
Cash — End of period | $ | 51,889 | $ | — | ||||
Non-Cash Investing and Financing Activities: | ||||||||
Offering costs paid by Sponsor in exchange for issuance of Founder Shares | $ | — | $ | 20,000 | ||||
Remeasurement of Class A ordinary shares subject to possible redemption | $ | — | $ | — | ||||
Offering costs included in accrued offering costs | $ | — | $ | 5,000 | ||||
Three Months Ended June 30, | Six Months Ended June 30, | For the Period from February 25, 2021 (Inception) Through June 30, | ||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||
Operating and formation costs | $ | 2,607,609 | $ | 143 | $ | 6,613,810 | $ | 5,325 | ||||||||
Loss from operations | (2,607,609 | ) | (143 | ) | (6,613,810 | ) | (5,325 | ) | ||||||||
Other income: | ||||||||||||||||
Interest earned on marketable securities held in Trust Account | 337,595 | — | 362,771 | — | ||||||||||||
Other income, net | 337,595 | — | 362,771 | — | ||||||||||||
Net loss | $ | (2,270,014 | ) | $ | (143 | ) | $ | (6,251,039 | ) | $ | (5,325 | ) | ||||
Basic and diluted weighted average shares outstanding, Class A ordinary shares | 25,640,000 | — | 25,640,000 | — | ||||||||||||
Basic and diluted net loss per share, Class A ordinary shares | $ | (0.07 | ) | $ | — | $ | (0.20 | ) | $ | — | ||||||
Basic and diluted weighted average shares outstanding, Class B ordinary shares | 6,250,000 | 5,500,000 | 6,250,000 | 5,500,000 | ||||||||||||
Basic and diluted net loss per share, Class B ordinary shares | $ | (0.07 | ) | $ | (0.00 | ) | $ | (0.20 | ) | $ | (0.00 | ) | ||||
Temporary Equity | Class A Ordinary Shares | Class B Ordinary Shares | Additional Paid-in Capital | Accumulated Deficit | Total Permanent Deficit | |||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Shares | Amount | |||||||||||||||||||||||||||||||
Balance—January 1, 2022 | 25,000,000 | $ | 250,008,324 | 640,000 | $ | 64 | 6,250,000 | $ | 625 | $ | — | $ | (8,388,308 | ) | $ | (8,387,619 | ) | |||||||||||||||||||
Remeasurement for Class A ordinary shares to redemption amount | — | (8,324 | ) | — | — | — | — | — | 8,324 | 8,324 | ||||||||||||||||||||||||||
Net loss | — | — | — | — | — | — | — | (3,981,025 | ) | (3,981,025 | ) | |||||||||||||||||||||||||
Balance—March 31, 2022 | 25,000,000 | $ | 250,000,000 | 640,000 | $ | 64 | 6,250,000 | $ | 625 | $ | — | $ | (12,361,009 | ) | $ | (12,360,320 | ) | |||||||||||||||||||
Remeasurement for Class A ordinary shares to redemption amount | — | 371,095 | — | — | — | — | — | (371,095 | ) | (371,095 | ) | |||||||||||||||||||||||||
Net loss | — | — | — | — | — | — | — | (2,270,014 | ) | (2,270,014 | ) | |||||||||||||||||||||||||
Balance—June 30, 2022 | 25,000,000 | $ | 250,371,095 | 640,000 | $ | 64 | 6,250,000 | $ | 625 | $ | — | $ | (15,002,118 | ) | $ | (15,001,429 | ) | |||||||||||||||||||
Temporary Equity | Class A Ordinary Shares | Class B Ordinary Shares | Additional Paid-in Capital | Accumulated Deficit | Total Permanent Equity | |||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | Shares | Amount | |||||||||||||||||||||||||||||||
Balance—February 25, 2021 (inception) | — | $ | — | — | $ | — | — | $ | — | $ | — | $ | — | $ | — | |||||||||||||||||||||
Issuance of Class B ordinary shares to Sponsor | — | — | — | — | 6,325,000 | 633 | 24,367 | — | 25,000 | |||||||||||||||||||||||||||
Net loss | — | — | — | — | — | — | — | (5,182 | ) | (5,182 | ) | |||||||||||||||||||||||||
Balance—March 31, 2021 | — | $ | — | — | $ | — | 6,325,000 | $ | 633 | $ | 24,367 | $ | (5,182 | ) | $ | 19,818 | ||||||||||||||||||||
Net loss | — | — | — | — | — | — | — | (143 | ) | (143 | ) | |||||||||||||||||||||||||
Balance—June 30, 2021 | — | $ | — | — | $ | — | 6,325,000 | $ | 633 | $ | 24,367 | $ | (5,325 | ) | $ | 19,675 | ||||||||||||||||||||
Six Months Ended June 30, 2022 | For the Period from February 25, 2021 (Inception) Through June 30, 2021 | |||||||
Cash Flows from Operating Activities: | ||||||||
Net loss | $ | (6,251,039 | ) | $ | (5,325 | ) | ||
Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||
Formation costs paid by Sponsor in exchange for issuance of Founder Shares | — | 5,000 | ||||||
Interest earned on marketable securities held in Trust Account | (362,771 | ) | — | |||||
Changes in operating assets and liabilities: | ||||||||
Prepaid expenses | 226,939 | (19,600 | ) | |||||
Advances from related party | 70,687 | — | ||||||
Accrued expenses and accounts payable | 5,733,242 | 88 | ||||||
Net cash used in operating activities | (582,942 | ) | (19,837 | ) | ||||
Cash Flows from Financing Activities: | ||||||||
Advances from related party | — | 25,643 | ||||||
Proceeds from promissory note—related party | 250,000 | 300,000 | ||||||
Payment of offering costs | — | (82,268 | ) | |||||
Net cash provided by financing activities | 250,000 | 243,375 | ||||||
Net Change in Cash | (332,942 | ) | 223,538 | |||||
Cash—Beginning of period | 440,488 | — | ||||||
Cash—End of period | $ | 107,546 | $ | 223,538 | ||||
Non-Cash Investing and Financing Activities: | ||||||||
Offering costs paid by Sponsor in exchange for issuance of Founder Shares | $ | — | $ | 20,000 | ||||
Remeasurement of Class A ordinary shares subject to possible redemption | $ | 362,771 | $ | — | ||||
Offering costs included in accrued offering costs | $ | — | $ | 277,398 | ||||
Gross proceeds | $ | 250,000,000 | ||
Less: | ||||
Class A ordinary shares issuance costs | (12,479,666 | ) | ||
Plus: | ||||
Accretion of carrying value to redemption value | 12,487,990 | |||
Class A ordinary shares subject to possible redemption, December 31, 2021 | 250,008,324 | |||
Plus: | ||||
Remeasurement of carrying value to redemption value | (8,324 | ) | ||
Class A ordinary shares subject to possible redemption, March 31, 2022 | $ | 250,000,000 | ||
Gross proceeds | $ | 250,000,000 | ||
Less: | ||||
Class A ordinary shares issuance costs | (12,479,666 | ) | ||
Plus: | ||||
Accretion of carrying value to redemption value | 12,487,990 | |||
Class A ordinary shares subject to possible redemption, December 31, 2021 | 250,008,324 | |||
Less: Remeasurement of carrying value to redemption value | (8,324 | ) | ||
Class A ordinary shares subject to possible redemption, March 31, 2022 | 250,000,000 | |||
Add: Remeasurement of carrying value to redemption value | 371,095 | |||
Class A ordinary shares subject to possible redemption, June 30, 2022 | $ | 250,371,095 | ||
Three Months Ended June 30, | Six Months Ended June 30, | For the Period from January 20, 2021 (inception) through June 30, | ||||||||||||||||||||||||||||||||||||||||||||||
For the Three Months Ended March 31, 2022 | For the Period from February 25, 2021 (Inception) Through March 31, 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||
Class A | Class B | Class A | Class B | Class A | Class B | Class A | Class B | Class A | Class B | Class A | Class B | |||||||||||||||||||||||||||||||||||||
Basic and diluted net loss per ordinary share | ||||||||||||||||||||||||||||||||||||||||||||||||
Numerator: | ||||||||||||||||||||||||||||||||||||||||||||||||
Allocation of net loss | $ | (3,200,799 | ) | $ | (780,226 | ) | $ | — | $ | (5,182 | ) | |||||||||||||||||||||||||||||||||||||
Allocation of net loss, as adjusted | $ | (1,825,123 | ) | $ | (444,891 | ) | $ | — | $ | (143 | ) | $ | (5,025,922 | ) | $ | (1,225,117 | ) | $ | — | $ | (5,325 | ) | ||||||||||||||||||||||||||
Denominator: | ||||||||||||||||||||||||||||||||||||||||||||||||
Basic and diluted weighted average shares outstanding | 25,640,000 | 6,250,000 | — | 5,500,000 | 25,640,000 | 6,250,000 | — | 5,500,000 | 25,640,000 | 6,250,000 | — | 5,500,000 | ||||||||||||||||||||||||||||||||||||
Basic and diluted net loss per ordinary share | $ | (0.12 | ) | $ | (0.12 | ) | $ | — | $ | (0.00 | ) | $ | (0.07 | ) | $ | (0.07 | ) | $ | — | $ | (0.00 | ) | $ | (0.20 | ) | $ | (0.20 | ) | $ | — | $ | (0.00 | ) |
Level 1: | Quoted prices in active markets for identical assets or liabilities. An active market for an asset or liability is a market in which transactions for the asset or liability occur with sufficient frequency and volume to provide pricing information on an ongoing basis. |
Level 2: | Observable inputs other than Level 1 inputs. Examples of Level 2 inputs include quoted prices in active markets for similar assets or liabilities and quoted prices for identical assets or liabilities in markets that are not active. | |
Level 3: | Unobservable inputs based on the Company’s assessment of the assumptions that market participants would use in pricing the asset or liability. |
Description | Level | March 31, 2022 | December 31, 2021 | Level | June 30, 2022 | December 31, 2021 | ||||||||||||||||||
Assets: | ||||||||||||||||||||||||
Marketable securities held in Trust Account | 1 | $ | 250,033,500 | $ | 250,008,324 | 1 | $ | 250,371,095 | $ | 250,008,324 |
December 31, | ||||||||
2021 | 2020 | |||||||
Assets | ||||||||
Current assets | ||||||||
Cash and cash equivalents | $ | 20,558 | $ | 4,578 | ||||
Prepaid assets | 588 | 202 | ||||||
Prepaid clinical | 6,100 | 753 | ||||||
Other current assets | 25 | 52 | ||||||
Total current assets | 27,271 | 5,585 | ||||||
Fixed assets, net | 11,358 | 8,914 | ||||||
Right of use assets, net | 1,241 | 1,559 | ||||||
Intangible assets, net | 428 | 642 | ||||||
Total assets | $ | 40,298 | $ | 16,700 | ||||
Liabilities and Equity | ||||||||
Current liabilities | ||||||||
Accounts payable | $ | 2,834 | $ | 781 | ||||
Lease liabilities | 267 | 225 | ||||||
Accrued expenses and other | 9,213 | 4,496 | ||||||
Total current liabilities | 12,314 | 5,502 | ||||||
Lease liabilities, net of current portion | 1,067 | 1,334 | ||||||
Commitments and contingencies | 0 | 0 | ||||||
Members’ equity: | ||||||||
Class A Units (186,500,000 and 115,000,000 issued and outstanding as of December 31, 2021 and 2020, respectively) | 186,500 | 115,000 | ||||||
Class B Units (7,767,122 issued and outstanding as of December 31, 2021 and 2020) | 1,927 | 1,228 | ||||||
Accumulated deficit | (161,510 | ) | (106,364 | ) | ||||
Total members’ equity | 26,917 | 9,864 | ||||||
Total liabilities and equity | $ | 40,298 | $ | 16,700 | ||||
Years Ended December 31, | ||||||||
2021 | 2020 | |||||||
Revenue | $ | — | $ | — | ||||
Operating expenses | ||||||||
Research and development | 46,255 | 21,042 | ||||||
General and administrative | 8,855 | 5,982 | ||||||
Total operating expenses | 55,110 | 27,024 | ||||||
Operating loss | (55,110 | ) | (27,024 | ) | ||||
Other income | ||||||||
Interest income | 2 | 43 | ||||||
Net loss before income taxes | (55,108 | ) | (26,981 | ) | ||||
Income tax expense (benefit) | 38 | (232 | ) | |||||
Net and comprehensive loss | $ | (55,146 | ) | $ | (26,749 | ) | ||
Weighted average Class A Units outstanding: | ||||||||
Basic and diluted | 150,706,849 | 104,986,301 | ||||||
Net loss per Class A Unit: | ||||||||
Basic and diluted | $ | (0.37 | ) | $ | (0.25 | ) | ||
Class A | Class B | Accumulated Deficit | Total Members’ Equity | |||||||||||||||||
Units | Amount | Profits Interests | ||||||||||||||||||
Balance as of January 1, 2020 | 95,000,000 | $ | 95,000 | $ | 498 | $ | (79,615 | ) | $ | 15,883 | ||||||||||
Capital contribution | 20,000,000 | 20,000 | — | — | 20,000 | |||||||||||||||
Equity-based compensation | — | — | 730 | — | 730 | |||||||||||||||
Net loss | — | — | — | (26,749 | ) | (26,749 | ) | |||||||||||||
Balance as of December 31, 2020 | 115,000,000 | 115,000 | 1,228 | (106,364 | ) | 9,864 | ||||||||||||||
Capital contribution | 71,500,000 | 71,500 | — | — | 71,500 | |||||||||||||||
Equity-based compensation | — | — | 699 | — | 699 | |||||||||||||||
Net loss | — | — | — | (55,146 | ) | (55,146 | ) | |||||||||||||
Balance as of December 31, 2021 | 186,500,000 | $ | 186,500 | $ | 1,927 | $ | (161,510 | ) | $ | 26,917 | ||||||||||
Years Ended December 31, | ||||||||
2021 | 2020 | |||||||
Cash flows from operating activities | ||||||||
Net loss | $ | (55,146 | ) | $ | (26,749 | ) | ||
Adjustments to reconcile net loss to net cash flows | ||||||||
Depreciation and amortization | 1,984 | 964 | ||||||
Equity-based compensation | 699 | 730 | ||||||
Changes in operating assets and liabilities | ||||||||
Other assets | (5,704 | ) | (809 | ) | ||||
Accounts payable and accrued expenses | 7,868 | 683 | ||||||
Net cash flows used in operating activities | (50,299 | ) | (25,181 | ) | ||||
Cash flows used in investing activities | ||||||||
Proceeds from sale of equipment | 1 | — | ||||||
Purchase of equipment and facility expansion | (5,192 | ) | (5,456 | ) | ||||
Net cash flows used in investing activities | (5,191 | ) | (5,456 | ) | ||||
Cash flows from financing activities | ||||||||
Payments on finance leases | (30 | ) | (11 | ) | ||||
Net cash contribution | 71,500 | 20,000 | ||||||
Net cash flows from financing activities | 71,470 | 19,989 | ||||||
Net change in cash and cash equivalents | 15,980 | (10,648 | ) | |||||
Cash, beginning of period | 4,578 | 15,226 | ||||||
Cash, end of period | $ | 20,558 | $ | 4,578 | ||||
Supplemental disclosure of non-cash investing activities: | ||||||||
Equipment and facility expansion included in accounts payable and accrued expenses | $ | 1,295 | $ | 1,840 | ||||
December 31, 2021 | December 31, 2020 | |||||||
Compensation | $ | 1,832 | $ | 1,085 | ||||
Clinical study related costs | 2,031 | 1,154 | ||||||
Facility expansion costs | 19 | 1,709 | ||||||
Accrued legal | 964 | — | ||||||
Manufacturing improvement costs | 4,164 | — | ||||||
Other accrued expenses | 203 | 548 | ||||||
Total accrued expenses and other | $ | 9,213 | $ | 4,496 | ||||
Computer equipment and software | 3- 5 years | |
Furniture and equipment | 5- 7 years | |
Leasehold improvements | remainder of lease term |
December 31, 2021 | December 31, 2020 | |||||||
Furniture and equipment | $ | 2,180 | $ | 2,011 | ||||
Computer equipment and software | 569 | 130 | ||||||
Leasehold improvements | 10,517 | 76 | ||||||
Construction in progress | 351 | 7,854 | ||||||
Less: accumulated depreciation | (2,259 | ) | (1,157 | ) | ||||
Total fixed assets, net | $ | 11,358 | $ | 8,914 | ||||
December 31, 2021 | December 31, 2020 | |||||||
Gross carrying amount | $ | 1,073 | $ | 1,073 | ||||
Accumulated amortization | 645 | 431 | ||||||
Net carrying amount | $ | 428 | $ | 642 | ||||
Level 1 – | Unadjusted quoted prices in active markets for identical assets or liabilities | |
Level 2 – | Inputs other than quoted prices included within Level 1 that are either directly or indirectly observable through correlation with market data | |
Level 3 – | Unobservable inputs that are supported by little or no market data, which require the reporting entity to develop its own assumptions |
December 31, 2021 | December 31, 2020 | |||||||
Current: | ||||||||
Federal | $ | 72 | $ | (242 | ) | |||
State | (34 | ) | 10 | |||||
Total current income tax expense (benefit) | 38 | (232 | ) | |||||
Deferred: | ||||||||
Federal | — | — | ||||||
State | — | — | ||||||
Total deferred income tax expense | — | — | ||||||
Income tax expense (benefit) | $ | 38 | $ | (232 | ) | |||
December 31, 2021 | December 31, 2020 | |||||||
Current: | ||||||||
Income taxes at statutory rate | 21.0 | % | 21.0 | % | ||||
State taxes, net of federal benefit | — | — | ||||||
LLC flow-through structure | (21.4 | ) | (21.5 | ) | ||||
Federal Credits | 1.8 | 2.3 | ||||||
Provision to return adjustment | — | 0.2 | ||||||
Change in valuation allowance | (1.3 | ) | (1.1 | ) | ||||
Other | (0.2 | ) | — | |||||
Effective income tax rate | (0.1 | )% | 0.9 | % | ||||
December 31, 2021 | December 31, 2020 | |||||||
Deferred tax assets: | ||||||||
Accrued bonus | $ | 376 | $ | 243 | ||||
Fixed assets | — | 108 | ||||||
Federal credit carryforwards | 939 | 331 | ||||||
Leases | 28 | — | ||||||
Start-up costs | 39 | 48 | ||||||
Deferred tax assets before valuation allowance | 1,382 | 730 | ||||||
Valuation allowance | 1,237 | 560 | ||||||
Total deferred tax assets | 145 | 170 | ||||||
Deferred tax liabilities: | ||||||||
Intangible assets | 90 | 148 | ||||||
Fixed assets | 47 | — | ||||||
Prepaid expenses | 8 | 22 | ||||||
Total deferred tax liabilities | 145 | 170 | ||||||
Net deferred tax asset | $ | — | $ | — | ||||
December 31, 2021 | December 31, 2020 | |||||||
Unrecognized tax benefits (gross): | ||||||||
Benefits at the beginning of the year | $ | — | $ | — | ||||
Increase related to prior year tax positions | 94 | — | ||||||
Decrease related to prior year tax positions | — | — | ||||||
Increase related to current year tax positions | 86 | — | ||||||
Benefits at the end of the year | $ | 180 | $ | — | ||||
December 31, 2021 | December 31, 2020 | December 31, 2021 | December 31, 2020 | |||||||||||||
Operating leases: | ||||||||||||||||
Right of use assets | $ | 1,139 | $ | 1,415 | $ | 1,139 | $ | 1,415 | ||||||||
Operating lease liabilities, current | 235 | 195 | $ | 235 | $ | 195 | ||||||||||
Operating lease liabilities, noncurrent | 985 | 1,219 | 985 | 1,219 | ||||||||||||
Total operating lease liabilities | $ | 1,220 | $ | 1,414 | $ | 1,220 | $ | 1,414 | ||||||||
Finance leases: | ||||||||||||||||
Right of use assets | $ | 102 | $ | 145 | $ | 102 | $ | 145 | ||||||||
Finance lease liabilities, current | 32 | 30 | $ | 32 | $ | 30 | ||||||||||
Finance lease liabilities, noncurrent | 82 | 115 | 82 | 115 | ||||||||||||
Total finance lease liabilities | $ | 114 | $ | 145 | $ | 114 | $ | 145 | ||||||||
Operating Leases | Finance Leases | Total | ||||||||||
2022 | $ | 326 | $ | 40 | $ | 366 | ||||||
2023 | 332 | 40 | 372 | |||||||||
2024 | 341 | 40 | 381 | |||||||||
2025 | 282 | 7 | 289 | |||||||||
2026 | 180 | — | 180 | |||||||||
Thereafter | — | — | — | |||||||||
Total lease payments | 1,461 | 127 | 1,588 | |||||||||
Less: imputed interest | (241 | ) | (13 | ) | (254 | ) | ||||||
Present value of lease liabilities | $ | 1,220 | $ | 114 | $ | 1,334 | ||||||
Units outstanding January 1, 2020 | 95,000,000 | |||
Issued 2020 | 20,000,000 | |||
Units outstanding December 31, 2020 | 115,000,000 | |||
Issued 2021 | 71,500,000 | |||
Units outstanding December 31, 2021 | 186,500,000 | |||
Years Ended December 31, | ||||||||
2021 | 2020 | |||||||
Numerator | ||||||||
Net loss available to Class A Unit holders | $ | (55,146 | ) | $ | (26,749 | ) | ||
Denominator | ||||||||
Weighted average Class A Units outstanding, basic and diluted | 150,706,849 | 104,986,301 | ||||||
Net loss per Class A Unit | ||||||||
Net loss per Class A Unit, basic and diluted | $ | (0.37 | ) | $ | (0.25 | ) |
Number of Shares | Weighted Average Grant Date Fair Value | |||||||
Awards outstanding at December 31, 2020 | 4,402,398 | $ | 0.36 | |||||
Vested | (1,941,781 | ) | 0.36 | |||||
Awards outstanding at December 31, 2021 | 2,460,617 | $ | 0.36 | |||||
Total equity value (in thousands) | $ | 78,100 | ||
Expected volatility of total equity | 80 | % | ||
Discount for lack of market | 30 | % | ||
Expected time to exit event | 3 years |
March 31, 2022 | December 31, 2021 | June 30, 2022 | December 31, 2021 | |||||||||||||
(Unaudited) | (Unaudited) | |||||||||||||||
Assets | ||||||||||||||||
Current assets | ||||||||||||||||
Cash and cash equivalents | $ | 29,802 | $ | 20,558 | $ | 21,882 | $ | 20,558 | ||||||||
Prepaid assets | 592 | 588 | 682 | 588 | ||||||||||||
Prepaid clinical | 4,855 | 6,100 | 11,350 | 6,100 | ||||||||||||
Other current assets | — | 25 | — | 25 | ||||||||||||
Total current assets | 35,249 | 27,271 | 33,914 | 27,271 | ||||||||||||
Fixed assets, net | 11,103 | 11,358 | 10,857 | 11,358 | ||||||||||||
Right of use assets, net | 1,673 | 1,241 | 1,962 | 1,241 | ||||||||||||
Deferred offering costs | 5,108 | — | 6,905 | — | ||||||||||||
Intangible assets, net | 374 | 428 | 320 | 428 | ||||||||||||
Total assets | $ | 53,507 | $ | 40,298 | $ | 53,958 | $ | 40,298 | ||||||||
Liabilities and Equity | ||||||||||||||||
Current liabilities | ||||||||||||||||
Accounts payable | $ | 2,509 | $ | 2,834 | $ | 2,513 | $ | 2,834 | ||||||||
Lease liabilities | 328 | 267 | 377 | 267 | ||||||||||||
Accrued expenses and other | 8,117 | 9,213 | 6,184 | 9,213 | ||||||||||||
Income taxes payable | 958 | — | 1,730 | — | ||||||||||||
Related party notes payable | 20,000 | — | 35,000 | — | ||||||||||||
Total current liabilities | 31,912 | 12,314 | 45,804 | 12,314 | ||||||||||||
Lease liabilities, net of current portion | 1,428 | 1,067 | 1,617 | 1,067 | ||||||||||||
Members’ equity: | ||||||||||||||||
Class A Units (186,500,000 issued and outstanding as of March 31, 2022 and December 31, 2021) | 186,500 | 186,500 | ||||||||||||||
Class B Units (17,354,894 and 7,767,122 issued and outstanding as of March 31, 2022 and December 31, 2021, respectively) | 62,663 | 1,927 | ||||||||||||||
Class A Units (186,500,000 issued and outstanding as of June 30, 2022 and December 31, 2021) | 186,500 | 186,500 | ||||||||||||||
Class B Units (27,100,937 and 7,767,122 issued and outstanding as of June 30, 2022 and December 31, 2021, respectively) | 71,164 | 1,927 | ||||||||||||||
Accumulated deficit | (228,996 | ) | (161,510 | ) | (251,127 | ) | (161,510 | ) | ||||||||
Total members’ equity | 20,167 | 26,917 | 6,537 | 26,917 | ||||||||||||
Total liabilities and equity | $ | 53,507 | $ | 40,298 | $ | 53,958 | $ | 40,298 | ||||||||
Three Months Ended March 31, | Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||
Revenue | $ | — | $ | — | ||||||||||||||||||||
Operating expenses | ||||||||||||||||||||||||
Research and development | 28,490 | 9,859 | $ | 11,558 | $ | 10,969 | $ | 40,048 | $ | 20,828 | ||||||||||||||
General and administrative | 37,972 | 1,744 | 9,180 | 1,748 | 47,152 | 3,492 | ||||||||||||||||||
Total operating expenses | 66,462 | 11,603 | 20,738 | 12,717 | 87,200 | 24,320 | ||||||||||||||||||
Operating loss | (66,462 | ) | (11,603 | ) | (20,738 | ) | (12,717 | ) | (87,200 | ) | (24,320 | ) | ||||||||||||
Interest income | — | 2 | — | 2 | ||||||||||||||||||||
Interest expense | (14 | ) | — | (170 | ) | — | (184 | ) | — | |||||||||||||||
Net loss before income taxes | (66,476 | ) | (11,603 | ) | (20,908 | ) | (12,715 | ) | (87,384 | ) | (24,318 | ) | ||||||||||||
Income tax expense | 1,010 | 6 | 1,223 | 10 | 2,233 | 16 | ||||||||||||||||||
Net and comprehensive loss | $ | (67,486 | ) | $ | (11,609 | ) | $ | (22,131 | ) | $ | (12,725 | ) | $ | (89,617 | ) | $ | (24,334 | ) | ||||||
Weighted average Class A Units outstanding: | ||||||||||||||||||||||||
Basic and diluted | 186,500,000 | 122,111,111 | 186,500,000 | 140,109,890 | 186,500,000 | 131,160,221 | ||||||||||||||||||
Net loss per Class A Unit: | ||||||||||||||||||||||||
Basic and diluted | $ | (0.36 | ) | $ | (0.10 | ) | $ | (0.12 | ) | $ | (0.09 | ) | $ | (0.48 | ) | $ | (0.19 | ) | ||||||
For the three months ended March 31, 2022 | ||||||||||||||||||||
Class a | Class B | Accumulated Deficit | Total Members’ Equity | |||||||||||||||||
Units | Amounts | Profits Interests | ||||||||||||||||||
Balance as of December 31, 2021 | 186,500,000 | $ | 186,500 | $ | 1,927 | $ | (161,510 | ) | $ | 26,917 | ||||||||||
Capital contribution | — | — | 5,550 | — | 5,550 | |||||||||||||||
Equity-based payments | — | — | 55,186 | — | 55,186 | |||||||||||||||
Net loss | — | — | — | (67,486 | ) | (67,486 | ) | |||||||||||||
Balance as of March 31, 2022 | 186,500,000 | $ | 186,500 | $ | 62,663 | $ | (228,996 | ) | $ | 20,167 | ||||||||||
For the three months ended March 31, 2021 | ||||||||||||||||||||||||||||||||||||||||
For the Three Months Ended June 30, 2022 | For the Three Months Ended June 30, 2022 | |||||||||||||||||||||||||||||||||||||||
Class A | Class B | Accumulated Deficit | Total Members’ Equity | Class A | Class B | Accumulated Deficit | Total Members’ Equity | |||||||||||||||||||||||||||||||||
Units | Amounts | Profits Interests | Units | Amount | Profits Interests | |||||||||||||||||||||||||||||||||||
Balance as of December 31, 2020 | 115,000,000 | $ | 115,000 | $ | 1,228 | $ | (106,364 | ) | $ | 9,864 | ||||||||||||||||||||||||||||||
Balance as of March 31, 2022 | 186,500,000 | 186,500 | 62,663 | (228,996 | ) | 20,167 | ||||||||||||||||||||||||||||||||||
Capital contribution | 20,000,000 | 20,000 | — | — | 20,000 | — | — | 500 | — | 500 | ||||||||||||||||||||||||||||||
Equity-based payments | — | — | 175 | — | 175 | — | — | 8,001 | — | 8,001 | ||||||||||||||||||||||||||||||
Net loss | — | — | — | (11,609 | ) | (11,609 | ) | — | — | — | (22,131 | ) | (22,131 | ) | ||||||||||||||||||||||||||
Balance as of March 31, 2021 | 135,000,000 | $ | 135,000 | $ | 1,403 | $ | (117,973 | ) | $ | 18,430 | ||||||||||||||||||||||||||||||
Balance as of June 30, 2022 | 186,500,000 | $ | 186,500 | $ | 71,164 | $ | (251,127 | ) | $ | 6,537 | ||||||||||||||||||||||||||||||
For the Three Months Ended June 30, 2021 | ||||||||||||||||||||
Class A | Class B | Accumulated Deficit | Total Members’ Equity | |||||||||||||||||
Units | Amount | Profits Interests | ||||||||||||||||||
Balance as of March 31, 2021 | 135,000,000 | 135,000 | 1,403 | (117,973 | ) | 18,430 | ||||||||||||||
Capital contribution | 10,000,000 | 10,000 | — | — | 10,000 | |||||||||||||||
Equity-based payments | — | — | 175 | — | 175 | |||||||||||||||
Net loss | — | — | — | (12,725 | ) | (12,725 | ) | |||||||||||||
Balance as of June 30, 2021 | 145,000,000 | $ | 145,000 | $ | 1,578 | $ | (130,698 | ) | $ | 15,880 | ||||||||||
For the Six Months Ended June 30, 2022 | ||||||||||||||||||||
Class A | Class B | Accumulated Deficit | Total Members’ Equity | |||||||||||||||||
Units | Amount | Profits Interests | ||||||||||||||||||
Balance as of December 31, 2021 | 186,500,000 | 186,500 | 1,927 | (161,510 | ) | 26,917 | ||||||||||||||
Capital contribution | — | — | 6,050 | — | 6,050 | |||||||||||||||
Equity-based payments | — | — | 63,187 | — | 63,187 | |||||||||||||||
Net loss | — | — | — | (89,617 | ) | (89,617 | ) | |||||||||||||
Balance as of June 30, 2022 | 186,500,000 | $ | 186,500 | $ | 71,164 | $ | (251,127 | ) | $ | 6,537 | ||||||||||
For the Six Months Ended June 30, 2021 | ||||||||||||||||||||
Class A | Class B | Accumulated Deficit | Total Members’ Equity | |||||||||||||||||
Units | Amount | Profits Interests | ||||||||||||||||||
Balance as of December 31, 2020 | 115,000,000 | 115,000 | 1,228 | (106,364 | ) | 9,864 | ||||||||||||||
Capital contribution | 30,000,000 | 30,000 | — | — | 30,000 | |||||||||||||||
Equity-based payments | — | — | 350 | — | 350 | |||||||||||||||
Net loss | — | — | — | (24,334 | ) | (24,334 | ) | |||||||||||||
Balance as of June 30, 2021 | 145,000,000 | $ | 145,000 | $ | 1,578 | $ | (130,698 | ) | $ | 15,880 | ||||||||||
Three Months Ended March 31, | Six Months Ended June 30, | |||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||
Cash flows from operating activities | ||||||||||||||||
Net loss | $ | (67,486 | ) | $ | (11,609 | ) | $ | (89,617 | ) | $ | (24,334 | ) | ||||
Adjustments to reconcile net loss to net cash flows | ||||||||||||||||
Depreciation and amortization | 710 | 361 | 1,462 | 878 | ||||||||||||
Equity-based compensation expense | 52,684 | 175 | ||||||||||||||
Equity-based compensation | 60,685 | 350 | ||||||||||||||
Changes in operating assets and liabilities | ||||||||||||||||
Other assets | (3,843 | ) | 249 | |||||||||||||
Deferred offering costs | (6,905 | ) | — | |||||||||||||
Prepaid and other assets | (5,320 | ) | (4,896 | ) | ||||||||||||
Accounts payable and accrued expenses | 1,519 | 3,568 | (520 | ) | 8,907 | |||||||||||
Income taxes payable | 957 | — | 1,730 | — | ||||||||||||
Net cash flows used in operating activities | (15,459 | ) | (7,256 | ) | (38,485 | ) | (19,095) | |||||||||
Cash flows used in investing activities | ||||||||||||||||
Purchase of equipment and facility expansion | (839 | ) | (1,389 | ) | (1,225 | ) | (3,393 | ) | ||||||||
Net cash flows used in investing activities | (839 | ) | (1,389 | ) | (1,225 | ) | (3,393 | ) | ||||||||
Cash flows from financing activities | ||||||||||||||||
Payments on finance leases | (8 | ) | (7 | ) | (16 | ) | (15 | ) | ||||||||
Borrowings under related party notes payable | 20,000 | — | 35,000 | — | ||||||||||||
Net cash contribution | 5,550 | 20,000 | 6,050 | 30,000 | ||||||||||||
Net cash flows provided by financing activities | 25,542 | 19,993 | 41,034 | 29,985 | ||||||||||||
Net change in cash and cash equivalents | 9,244 | 11,348 | 1,324 | 7,497 | ||||||||||||
Cash, beginning of period | 20,558 | 4,577 | 20,558 | 4,578 | ||||||||||||
Cash, end of period | $ | 29,802 | $ | 15,925 | $ | 21,882 | $ | 12,075 | ||||||||
Supplemental disclosure of non-cash investing activities: | ||||||||||||||||
Right of use assets obtained in exchange for lease obligations | $ | 496 | $ | — | $ | 878 | $ | — | ||||||||
Equipment and facility expansion included in accounts payable and accrued expenses | $ | 501 | $ | 910 | $ | 529 | $ | 635 | ||||||||
March 31, 2022 | December 31, 2021 | June 30, 2022 | December 31, 2021 | |||||||||||||
Compensation | $ | 818 | $ | 1,832 | $ | 1,545 | $ | 1,832 | ||||||||
Clinical study related costs | 653 | 2,031 | 222 | 2,031 | ||||||||||||
Accrued legal | 3,095 | 964 | ||||||||||||||
Accrued legal costs | 3,193 | 964 | ||||||||||||||
Manufacturing improvement costs | 3,137 | 4,164 | 652 | 4,164 | ||||||||||||
Other accrued expenses | 414 | 222 | 572 | 222 | ||||||||||||
Total accrued expenses and other | $ | 8,117 | $ | 9,213 | $ | 6,184 | $ | 9,213 | ||||||||
Computer equipment and software | 3-5 years | |
Furniture and equipment | 5-7 years | |
Leasehold improvements | remainder of lease term |
March 31, 2022 | December 31, 2021 | |||||||
Furniture and equipment | $ | 2,220 | $ | 2,180 | ||||
Computer equipment and software | 589 | 569 | ||||||
Leasehold improvements | 10,520 | 10,517 | ||||||
Construction in progress | 631 | 351 | ||||||
Less: accumulated depreciation | (2,857 | ) | (2,259 | ) | ||||
Total fixed assets, net | $ | 11,103 | $ | 11,358 | ||||
June 30, 2022 | December 31, 2021 | |||||||
Furniture and equipment | $ | 2,367 | $ | 2,180 | ||||
Computer equipment and software | 719 | 569 | ||||||
Leasehold improvements | 10,538 | 10,517 | ||||||
Construction in progress | 694 | 351 | ||||||
Less: accumulated depreciation | (3,461 | ) | (2,259 | ) | ||||
Total fixed assets, net | $ | 10,857 | $ | 11,358 | ||||
March 31, 2022 | December 31, 2021 | June 30, 2022 | December 31, 2021 | |||||||||||||
Gross carrying amount | $ | 1,073 | $ | 1,073 | $ | 1,073 | $ | 1,073 | ||||||||
Accumulated amortization | 699 | 645 | 753 | 645 | ||||||||||||
Net carrying amount | $ | 374 | $ | 428 | $ | 320 | $ | 428 | ||||||||
March 31, 2022 | December 31, 2021 | June 30, 2022 | December 31, 2021 | |||||||||||||
Operating leases: | ||||||||||||||||
Right of use assets | $ | 1,579 | $ | 1,139 | $ | 1,876 | $ | 1,139 | ||||||||
Operating lease liabilities, current | 295 | 235 | $ | 343 | $ | 235 | ||||||||||
Operating lease liabilities, noncurrent | 1,354 | 985 | 1,551 | 985 | ||||||||||||
Total operating lease liabilities | $ | 1,649 | $ | 1,220 | $ | 1,894 | $ | 1,220 | ||||||||
Finance leases: | ||||||||||||||||
Right of use assets | $ | 94 | $ | 102 | $ | 86 | $ | 102 | ||||||||
Finance lease liabilities, current | $ | 33 | $ | 32 | $ | 34 | $ | 32 | ||||||||
Finance lease liabilities, noncurrent | 74 | 82 | 66 | 82 | ||||||||||||
Total finance lease liabilities | $ | 107 | $ | 114 | $ | 100 | $ | 114 | ||||||||
Operating Leases | Finance Leases | Total | Operating Leases | Finance Leases | Total | |||||||||||||||||||
2022 (remaining nine months) | $ | 315 | $ | 30 | $ | 345 | ||||||||||||||||||
2022 (remaining six months) | 242 | 20 | 262 | |||||||||||||||||||||
2023 | 428 | 40 | 468 | 494 | 40 | 534 | ||||||||||||||||||
2024 | 440 | 40 | 480 | 507 | 40 | 547 | ||||||||||||||||||
2025 | 440 | 7 | 447 | 507 | 10 | 517 | ||||||||||||||||||
2026 | 355 | — | 355 | 421 | — | 421 | ||||||||||||||||||
Thereafter | 15 | — | 15 | 119 | — | 119 | ||||||||||||||||||
Total lease payments | 1,993 | 117 | 2,110 | 2,290 | 110 | 2,400 | ||||||||||||||||||
Less: imputed interest | (344 | ) | (10 | ) | (354 | ) | (396 | ) | (10 | ) | (406 | ) | ||||||||||||
Present value of lease liabilities | $ | 1,649 | $ | 107 | $ | 1,756 | $ | 1,894 | $ | 100 | $ | 1,994 | ||||||||||||
Three Months Ended March 31, | Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||
Numerator | ||||||||||||||||||||||||
Net loss available to Class A Unit holders | $ | (67,486 | ) | $ | (11,609 | ) | $ | (22,131 | ) | $ | (12,725 | ) | $ | (89,617 | ) | $ | (24,334 | ) | ||||||
Denominator | ||||||||||||||||||||||||
Weighted average Class A Units outstanding, basic and diluted | 186,500,000 | 122,111,111 | 186,500,000 | 140,109,890 | 186,500,000 | 131,160,221 | ||||||||||||||||||
Net loss per Class A Unit | ||||||||||||||||||||||||
Net loss per Class A Unit, basic and diluted | $ | (0.36 | ) | $ | (0.10 | ) | (0.12 | ) | (0.09 | ) | (0.48 | ) | (0.19 | ) | ||||||||||
Antidilutive securities | ||||||||||||||||||||||||
Class B Units | 27,100,937 | 7,767,122 | 27,100,937 | 7,767,122 |
Number of Shares | Weighted Average Grant Date Fair Value | Number of Shares | Weighted Average Grant Date Fair Value | |||||||||||||
Unvested awards outstanding at January 1, 2022 | 2,460,617 | $ | 0.36 | 2,460,617 | $ | 0.36 | ||||||||||
Granted | 8,498,488 | 6.03 | 9,977,072 | 6.09 | ||||||||||||
Vested | (449,486 | ) | 0.36 | (1,073,973 | ) | 1.28 | ||||||||||
Forfeited | (29,070 | ) | 6.03 | (41,612 | ) | 6.03 | ||||||||||
Unvested awards outstanding at March 31, 2022 | 10,480,549 | $ | 4.94 | |||||||||||||
Awards outstanding at June 30, 2022 | 11,322,104 | $ | 5.30 | |||||||||||||
Three Months Ended March 31, | Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||
Research and development | $ | 17,367 | $ | — | $ | 1,336 | $ | — | $ | 18,703 | $ | — | ||||||||||||
General and administrative | 35,319 | 175 | 6,664 | 175 | 41,983 | 350 | ||||||||||||||||||
Total equity-based compensation expense | $ | 52,686 | $ | 175 | $ | 8,001 | $ | 175 | $ | 60,686 | $ | 350 | ||||||||||||
OPM | PWERM | |||||||
Total equity value (in thousands) | $ | 280,400 | $ | 1,750,000 | ||||
Expected volatility of total equity | 95 | % | 60 | % | ||||
Discount for lack of market | 30 | % | 15 | % | ||||
Expected time to exit event | 3.7 years | 0.5 years |
OPM | PWERM | |||||||
Total equity value (in thousands) | $234,551 - $280,400 | $1,750,000 | ||||||
Expected volatility of total equity | 95% | 60% - 90% | ||||||
Discount for lack of market | 30% | 7% - 15% | ||||||
Expected time to exit event | 3.4 years - 3.7 years | 0.1 years - 0.5 years |
Expense | Estimated Amount | |||
Securities and Exchange Commission registration fee | $ | 187,100 | ||
Accounting fees and expenses | * | |||
Legal fees and expenses | * | |||
Financial printing and miscellaneous expenses | * | |||
Total | $ | 187,100 | ||
* | These fees are calculated based on the securities offered and the number of issuances and accordingly cannot be defined at this time. |
(a) | Exhibits |
Exhibit Number | Exhibit Description | Filed Herewith | Incorporated by Reference herein from Form or Schedule | Filing Date | SEC File/ Reg. Number | |||||||||||
23.2 | Consent of Ernst & Young LLP, independent registered public accounting firm. | X | ||||||||||||||
23.3 | Consent of Walkers (Cayman) LLP (included in Exhibit 5.1). | |||||||||||||||
| Power of Attorney (included on the signature page | |||||||||||||||
101.INS | Inline XBRL Instance Document | X | ||||||||||||||
101.SCH | Inline XBRL Taxonomy Extension Schema Document | X | ||||||||||||||
101.CAL | Inline XBRL Taxonomy Extension Calculation Linkbase Document | X | ||||||||||||||
101.DEF | Inline XBRL Taxonomy Extension Definition Linkbase Document | X | ||||||||||||||
101.LAB | Inline XBRL Taxonomy Extension Label Linkbase Document | X | ||||||||||||||
101.PRE | Inline XBRL Taxonomy Extension Presentation Linkbase Document | X | ||||||||||||||
104 | Cover Page Interactive Data File (formatted as Inline XBRL) | X | ||||||||||||||
107.1 | Calculation of Registration Fee | X |
* | Previously filed. |
† | Certain of the exhibits and schedules to this Exhibit have been omitted in accordance with Regulation S-K Item 601(a) (5). The Registrant agrees to furnish a copy of all omitted exhibits and schedules to the SEC upon its request. |
+ | Management contract or compensatory plan or arrangement. |
(1) | To file, during any period in which offers or sales are being made, a post-effective amendment to this registration statement: |
(i) | To include any prospectus required by Section 10(a)(3) of the Securities Act of 1933, as amended; |
(ii) | To reflect in the prospectus any facts or events arising after the effective date of the registration statement (or the most recent post-effective amendment thereof) which, individually or in the aggregate, represent a fundamental change in the information set forth in the registration statement. Notwithstanding the foregoing, any increase or decrease in volume of securities offered (if the total dollar value of securities offered would not exceed that which was registered) and any deviation from the low or high end of the estimated maximum offering range may be reflected in the form of prospectus filed with the SEC pursuant to Rule 424(b) if, in the aggregate, the changes |
in volume and price represent no more than a 20% change in the maximum aggregate offering price set forth in the “Calculation of Registration Fee” table in the effective registration statement; and |
(iii) | To include any material information with respect to the plan of distribution not previously disclosed in the registration statement or any material change to such information in the registration statement. |
(2) | That, for the purpose of determining any liability under the Securities Act, each such post-effective amendment shall be deemed to be a new registration statement relating to the securities offered therein, and the offering of such securities at that time shall be deemed to be the initial bona fide |
(3) | To remove from registration by means of a post-effective amendment any of the securities being registered which remain unsold at the termination of the offering. |
(4) | That, for the purpose of determining liability under the Securities Act to any purchaser, each prospectus filed pursuant to Rule 424(b) as part of a registration statement relating to an offering, other than registration statements relying on Rule 430B or other than prospectuses filed in reliance on Rule 430A, shall be deemed to be part of and included in the registration statement as of the date it is first used after effectiveness; provided however |
(5) | That, for the purpose of determining liability of the registrant under the Securities Act to any purchaser in the initial distribution of the securities, the undersigned registrant undertakes that in a primary offering of securities of the undersigned registrant pursuant to this registration statement, regardless of the underwriting method used to sell the securities to the purchaser, if the securities are offered or sold to such purchaser by means of any of the following communications, the undersigned registrant will be a seller to the purchaser and will be considered to offer or sell such securities to such purchaser: |
(i) | Any preliminary prospectus or prospectus of the undersigned registrant relating to the offering required to be filed pursuant to Rule 424; |
(ii) | Any free writing prospectus relating to the offering prepared by or on behalf of the undersigned registrant or used or referred to by the undersigned registrant; |
(iii) | The portion of any other free writing prospectus relating to the offering containing material information about the undersigned registrant or its securities provided by or on behalf of the undersigned registrant; and |
(iv) | Any other communication that is an offer in the offering made by the undersigned registrant to the purchaser. |
PROKIDNEY CORP. | ||
By: | /s/ Tim Bertram, Ph.D. | |
Tim Bertram, Ph.D. | ||
Chief Executive Officer |
Signature | Title | Date | ||
/s/ Tim Bertram, Ph.D. Tim Bertram, Ph.D. | Chief Executive Officer and Director (Principal Executive Officer) | August | ||
/s/ James Coulston, CPA James Coulston, CPA | Chief Financial Officer (Principal Financial and Accounting Officer) | August | ||
Pablo Legorreta | Chairman | August | ||
William F. Doyle | Director | August | ||
Jennifer Fox | Director | August | ||
José Ignacio Jimenez Santos | Director | August | ||
Alan M. Lotvin, M.D. | Director | August | ||
John M. Maraganore, Ph.D | Director | August | ||
Brian J.G. Pereira, M.D. | Director | August | ||
Uma Sinha, Ph.D. | Director | August |
*By: | /s/ Tim Bertram, Ph.D. | |
Tim Bertram, Ph.D., Attorney-in-Fact |