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Basis of Presentation and Summary of Significant Accounting Policies (Tables) | 9 Months Ended
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Sep. 30, 2021
Organization, Consolidation and Presentation of Financial Statements [Abstract] |
Schedule of Revenue by Source | The following table represents disaggregation of royalties, Captisol and contract revenue (in thousands):
|  | Three months ended |  | Nine months ended
|  | September 30, |  | September 30,
|  | 2021 |  | 2020 |  | 2021 |  | 2020
Royalties |  |  |  |  |  |  |
| Kyprolis | $ | 8,821 |  |  | $ | 6,923 |  |  | $ | 18,548 |  |  | $ | 16,809 |
| Evomela | 2,665 |  |  | 1,802 |  |  | 7,191 |  |  | 4,577 |
| Other | 4,162 |  |  | 280 |  |  | 5,637 |  |  | 1,365 |
|  | $ | 15,648 |  |  | $ | 9,005 |  |  | $ | 31,376 |  |  | $ | 22,751 |
Captisol |  | $ | 35,093 |  |  | $ | 23,389 |  |  | $ | 128,875 |  |  | $ | 68,966 |
Contract revenue |  |  |  |  |  |  |
| Service Revenue | $ | 4,828 |  |  | $ | 7,341 |  |  | $ | 17,650 |  |  | $ | 15,280 |
| License Fees | 200 |  |  | 158 |  |  | 2,293 |  |  | 1,793 |
| Milestone | 7,419 |  |  | 960 |  |  | 19,436 |  |  | 4,766 |
| Other | 1,647 |  |  | 995 |  |  | 5,030 |  |  | 2,873 |
|  | $ | 14,094 |  |  | $ | 9,454 |  |  | $ | 44,409 |  |  | $ | 24,712 |
Total | $ | 64,835 |  |  | $ | 41,848 |  |  | $ | 204,660 |  |  | $ | 116,429 |
Schedule of Short-Term Investments | Our short-term investments consist of the following at September 30, 2021 and December 31, 2020 (in thousands):
| September 30, 2021 |  | December 31, 2020
| Amortized cost |  | Gross unrealized gains |  | Gross unrealized losses |  | Estimated fair value |  | Amortized cost |  | Gross unrealized gains |  | Gross unrealized losses |  | Estimated fair value
Bank deposits | $ | 47,739 |  |  | $ | 8 |  |  | $ | (3) |  |  | $ | 47,744 |  |  | $ | 84,120 |  |  | $ | 35 |  |  | $ | (1) |  |  | $ | 84,154 |
Corporate bonds | 25,914 |  |  | 50 |  |  | — |  |  | 25,964 |  |  | 30,512 |  |  | 99 |  |  | (1) |  |  | 30,610 |
Agency bonds | 2,501 |  |  | — |  |  | — |  |  | 2,501 |  |  | 4,499 |  |  | 2 |  |  | — |  |  | 4,501 |
Commercial paper | 23,264 |  |  | 10 |  |  | — |  |  | 23,274 |  |  | 45,459 |  |  | 27 |  |  | (1) |  |  | 45,485 |
Corporate equity securities | 5,807 |  |  | 307 |  |  | (723) |  |  | 5,391 |  |  | 4,466 |  |  | 360 |  |  | (1,388) |  |  | 3,438 |
Mutual fund | 152,041 |  |  | 53 |  |  | — |  |  | 152,094 |  |  | 151,512 |  |  | 386 |  |  | — |  |  | 151,898 |
Treasury bill | — |  |  | — |  |  | — |  |  | — |  |  | 3,999 |  |  | — |  |  | — |  |  | 3,999 |
Warrants | — |  |  | 642 |  |  | — |  |  | 642 |  |  | — |  |  | 393 |  |  | — |  |  | 393 |
| $ | 257,266 |  |  | $ | 1,070 |  |  | $ | (726) |  |  | $ | 257,610 |  |  | $ | 324,567 |  |  | $ | 1,302 |  |  | $ | (1,391) |  |  | $ | 324,478 |
Viking common stock |  |  |  |  |  |  | 42,171 |  |  |  |  |  |  |  |  | 32,763 |
Viking warrants |  |  |  |  |  |  | — |  |  |  |  |  |  |  |  | 6,326 |
Total short-term investments |  |  |  |  |  |  | $ | 299,781 |  |  |  |  |  |  |  |  | $ | 363,567 |
Schedule of Available-for-Sale Debt Securities | The following table summarizes our available-for-sale debt securities by contractual maturity (in thousands):
| September 30, 2021
| Amortized Cost |  | Fair Value
Within one year | $ | 76,055 |  |  | $ | 76,086 |
After one year through five years | 23,363 |  |  | 23,396 |
Total | $ | 99,418 |  |  | $ | 99,482 |
Schedule of Goodwill and Other Identifiable Intangible Assets | Goodwill and other identifiable intangible assets consist of the following (in thousands):
| September 30, |  | December 31,
| 2021 |  | 2020
Indefinite-lived intangible assets |  |  |
Goodwill | $ | 190,183 |  |  | $ | 189,662 |
Definite lived intangible assets |  |  |
Complete technology | 280,173 |  |  | 277,740 |
Less: accumulated amortization | (75,159) |  |  | (63,600) |
Trade name | 2,642 |  |  | 2,642 |
Less: accumulated amortization | (1,411) |  |  | (1,312) |
Customer relationships | 40,700 |  |  | 40,700 |
Less: accumulated amortization | (17,599) |  |  | (15,597) |
Contractual relationships | 362,000 |  |  | 362,000 |
Less: accumulated amortization | (28,974) |  |  | (7,243) |
Total goodwill and other identifiable intangible assets, net | $ | 752,555 |  |  | $ | 784,992 |
Schedule of Commercial License and Other Economic Rights | Commercial license and other economic rights consist of the following (in thousands):
|  | September 30, 2021 |  | December 31, 2020
|  | Gross |  | Adjustments(1) |  | Net |  | Gross |  | Adjustments(2) |  | Net
Commercial license rights |  | $ | 28,298 |  |  | $ | (17,550) |  |  | $ | 10,748 |  |  | $ | 28,298 |  |  | $ | (17,319) |  |  | $ | 10,979 |
(1) Amounts represent accumulated amortization to principal of $11.6 million and credit loss adjustments of $6.0 million as of September 30, 2021. (2) Amounts represent accumulated amortization to principal of $11.3 million and credit loss adjustments of $6.0 million as of December 31, 2020.
Schedule of Accrued Liabilities | Accrued liabilities consist of the following (in thousands):
| September 30, |  | December 31,
| 2021 |  | 2020
Compensation | $ | 4,564 |  |  | $ | 8,810 |
Professional fees | 1,327 |  |  | 977 |
Amounts owed to former licensees | 579 |  |  | 421 |
Royalties owed to third parties | 103 |  |  | 693 |
Return reserve | 105 |  |  | 687 |
Acquisition related liabilities | 1,004 |  |  | 1,500 |
Subcontractor | — |  |  | 733 |
Supplier | 1,031 |  |  | 604 |
Accrued interest | — |  |  | 464 |
Other | 3,524 |  |  | 3,641 |
Total accrued liabilities | $ | 12,237 |  |  | $ | 18,530 |
Schedule of Accounting for Share-Based Compensation | The following table summarizes share-based compensation expense recorded as components of research and development expenses and general and administrative expenses for the periods indicated (in thousands):
| Three months ended |  | Nine months ended
| September 30, |  | September 30,
| 2021 |  | 2020 |  | 2021 |  | 2020
SBC - Research and development expenses | $ | 4,480 |  |  | $ | 3,094 |  |  | $ | 12,975 |  |  | $ | 8,510 |
SBC - General and administrative expenses | 5,274 |  |  | 4,646 |  |  | 15,400 |  |  | 12,242 |
| $ | 9,754 |  |  | $ | 7,740 |  |  | $ | 28,375 |  |  | $ | 20,752 |
Schedule of Fair-Value Options Awarded to Employees and Directors | The fair-value for options that were awarded to employees and directors was estimated at the date of grant using the Black-Scholes option valuation model with the following weighted-average assumptions:
| Three months ended |  | Nine months ended
| September 30, |  | September 30,
| 2021 |  | 2020 |  | 2021 |  | 2020
Risk-free interest rate | 0.8% |  | 3% |  | 0.5% |  | 1%
Dividend yield | — |  | — |  | — |  | —
Expected volatility | 48% |  | 59% |  | 61% |  | 55%
Expected term | 4.9 |  | 4.9 |  | 5.0 |  | 4.8
Schedule of Computation of Basic and Diluted Earnings per Share | The following table presents the calculation of weighted average shares used to calculate basic and diluted earnings per share (in thousands):
| Three months ended |  | Nine months ended
| September 30, |  | September 30,
| 2021 |  | 2020 |  | 2021 |  | 2020
Weighted average shares outstanding: | 16,688 |  |  | 16,082 |  |  | 16,595 |  |  | 16,222 |
Dilutive potential common shares: |  |  |  |  |  |  |
Restricted stock | 75 |  |  | — |  |  | 85 |  |  | — |
Stock options | 379 |  |  | — |  |  | 507 |  |  | — |
Shares used to compute diluted income per share | 17,142 |  |  | 16,082 |  |  | 17,187 |  |  | 16,222 |
Potentially dilutive shares excluded from calculation due to anti-dilutive effect | 5,574 |  |  | 7,028 |  |  | 4,984 |  |  | 8,330 |

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