Discontinued Operations

3 Months Ended

Mar. 31, 2020

Discontinued Operations And Disposal Groups [Abstract]

7.	Discontinued Operations

As explained in Note 1, on April 24, 2019 and April 25, 2019, the Company completed the sale of its cell therapy business to Lorem and Mr. Shirahama. The following table summarizes the calculation of the loss on sale of the cell therapy business, which was finalized during the fourth quarter of 2019 (in thousands):


Consideration received	$	7,000
Transaction costs		(1,363	)
Net cash proceeds		5,637
Less:
Carrying value of business and assets sold		12,145
Net loss on sale of business	$	(6,508	)

There were no assets or liabilities related to discontinued operations as of March 31, 2020 or December 31, 2019.

The following table summarizes the results of discontinued operations for the periods presented (in thousands.):


	Three Months Ended March 31,
	2020		2019
Product revenue	$	—	$	703
Cost of revenue		—		659
Gross profit		—		44
Operating expenses:
Research and development		—		420
Sales and marketing		—		314
General and administrative		—		145
Total operating expenses		—		879
Operating loss		—		(835	)
Other income (expense)				149
Loss from discontinued operations	$	—	$	(686	)

During the three months ended March 31, 2019, revenues from discontinued operations were related to the cell therapy business. Because of the sale of the cell therapy business to Lorem and Mr. Shirahama, all product revenues and costs of product revenues for these periods have been recorded in loss from discontinued operations in the consolidated statements of operations.

Included in the statement of cash flows are the following non-cash adjustments related to the discontinued operations (in thousands):


	Three Months Ended March 31,
	2020		2019
Depreciation and amortization	$	—	$	344
Provision for excess inventory	$	—	$	—
Loss on asset disposal	$	—	$	—