0001558370-22-008452 | 10-Q | XBRL Viewer

Document and Entity Information - shares	3 Months Ended
Document and Entity Information - shares	Mar. 31, 2022	Apr. 30, 2022
Document And Entity Information [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Mar. 31, 2022
Current Fiscal Year End Date	--12-31
Entity File Number	001-38520
Entity Registrant Name	MeiraGTx Holdings plc
Entity Incorporation, State or Country Code	E9
Entity Tax Identification Number	98-1448305
Entity Address, Address Line One	450 East 29th Street
Entity Address, Address Line Two	14th Floor
Entity Address, City or Town	New York
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	10016
City Area Code	646
Local Phone Number	860-7985
Title of 12(b) Security	Ordinary Shares,$0.00003881 par value per share
Trading Symbol	MGTX
Security Exchange Name	NASDAQ
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Current Reporting Status	Yes
Entity Shell Company	false
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Common Stock, Shares Outstanding		44,710,678
Entity Central Index Key	0001735438
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q1
Amendment Flag	false

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
CURRENT ASSETS:
Cash and cash equivalents	$ 113,781	$ 137,703
Accounts receivable - related party	13,078	22,384
Prepaid expenses	7,217	8,102
Tax incentive receivable	6,865	12,634
Other current assets	1,984	2,420
Total Current Assets	142,925	183,243
Property, plant and equipment, net	84,069	75,860
Intangible assets, net	1,668	1,791
In-process research and development	772	783
Other assets	1,609	1,404
Equity method and other investments	6,656	6,656
Right-of-use assets - operating leases, net	23,223	22,782
Right-of-use assets - finance leases, net	26,771	27,645
TOTAL ASSETS	287,693	320,164
CURRENT LIABILITIES:
Accounts payable	18,498	15,348
Accrued expenses	23,181	27,586
Lease obligations, current	3,632	3,374
Deferred revenue - related party, current	20,190	21,820
Total Current Liabilities	65,501	68,128
Deferred revenue - related party	37,277	43,046
Lease obligations	20,767	20,359
Asset retirement obligations	2,114	2,081
Deferred income tax liability	194	196
Other long-term liabilities	556	953
TOTAL LIABILITIES	126,409	134,763
COMMITMENTS (Note 9)
SHAREHOLDERS' EQUITY:
Ordinary Shares, $0.00003881 par value, 1,288,327,750 authorized, 44,710,678 and 44,548,925 shares issued and outstanding at March 31, 2022 and December 31, 2021, respectively	2	2
Capital in excess of par value	533,655	528,659
Accumulated other comprehensive loss	(739)	(2,671)
Accumulated deficit	(371,634)	(340,589)
Total Shareholders' Equity	161,284	185,401
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY	$ 287,693	$ 320,164

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Income Statement [Abstract]
License revenue - related party	$ 5,633	$ 4,595
Operating expenses:
General and administrative	11,268	9,918
Research and development	23,099	16,709
Total operating expenses	34,367	26,627
Loss from operations	(28,734)	(22,032)
Other non-operating income (expense):
Foreign currency loss	(2,647)	(1,615)
Interest income	16	89
Interest expense	(77)	(59)
Fair value adjustment	397
Net loss	(31,045)	(23,617)
Other comprehensive income (loss):
Foreign currency translation gain (loss)	1,932	(271)
Total comprehensive loss	(29,113)	(23,888)
Net loss	$ (31,045)	$ (23,617)
Basic net loss per ordinary share	$ (0.70)	$ (0.54)
Diluted net loss per ordinary share	$ (0.70)	$ (0.54)
Weighted-average number of ordinary shares outstanding, basic	44,501,314	43,974,395
Weighted-average number of ordinary shares outstanding, diluted	44,501,314	43,974,395

CONDENSED CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY - USD ($) $ in Thousands	Ordinary Shares [Member]	Capital in Excess of Par Value [Member]	Accumulated Other Comprehensive Loss [Member]	Accumulated Deficit [Member]	Total
Beginning Balance at Dec. 31, 2020	$ 2	$ 504,482	$ (4,897)	$ (261,028)	$ 238,559
Beginning Balance, Shares at Dec. 31, 2020	44,189,150
Share based compensation activity		4,958			4,958
Share based compensation activity, shares	17,923
Issuance of shares in connection with equity method and other investments		1,165			1,165
Issuance of shares in connection with equity method and other investments, shares	75,000
Other comprehensive income (loss)			(271)		(271)
Net loss				(23,617)	(23,617)
Balance at Mar. 31, 2021	$ 2	510,605	(5,168)	(284,645)	220,794
Balance, Shares at Mar. 31, 2021	44,282,073
Beginning Balance at Dec. 31, 2021	$ 2	528,659	(2,671)	(340,589)	185,401
Beginning Balance, Shares at Dec. 31, 2021	44,548,925
Share based compensation activity		4,996			4,996
Share based compensation activity, shares	161,753
Other comprehensive income (loss)			1,932		1,932
Net loss				(31,045)	$ (31,045)
Exercise of share options, shares					18,065
Balance at Mar. 31, 2022	$ 2	$ 533,655	$ (739)	$ (371,634)	$ 161,284
Balance, Shares at Mar. 31, 2022	44,710,678

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

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- Definition

Total of all stockholders' equity (deficit) items, net of receivables from officers, directors, owners, and affiliates of the entity which are attributable to the parent. The amount of the economic entity's stockholders' equity attributable to the parent excludes the amount of stockholders' equity which is allocable to that ownership interest in subsidiary equity which is not attributable to the parent (noncontrolling interest, minority interest). This excludes temporary equity and is sometimes called permanent equity.

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CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Cash flows from operating activities:
Net loss	$ (31,045)	$ (23,617)
Adjustments to reconcile net loss to net cash (used in) provided by operating activities:
Share-based compensation expense	7,578	4,817
Foreign currency loss	2,647	1,615
Depreciation and amortization	2,118	1,758
Net change in right-of-use assets and liabilities	(50)	(35)
Amortization of interest on asset retirement obligations	42	35
Fair value adjustment	(397)
(Increase) decrease in operating assets:
Accounts receivable - related party	9,171	26,764
Prepaid expenses	780	739
Tax incentive receivable	5,565	5,667
Other current assets	387	(348)
Other assets	(239)	(212)
Increase (decrease) in operating liabilities:
Accounts payable	4,609	1,593
Accrued expenses	(3,831)	(5,071)
Other current liabilities		(24)
Deferred revenue - related party	(5,633)	(4,595)
Net cash (used in) provided by operating activities	(8,298)	9,086
Cash flows from investing activities:
Purchase of property, plant and equipment	(12,460)	(4,502)
Payment for right-of-use asset		(8,866)
Equity method and other investments		(5,500)
Net cash used in investing activities	(12,460)	(18,868)
Cash flows from financing activities:
Exercise of share options	192	141
Payments of withholdings on shares withheld for income taxes	(2,774)
Payments on lease obligations - financing leases		(5)
Net cash (used in) provided by financing activities	(2,582)	136
Net decrease in cash and cash equivalents	(23,340)	(9,646)
Effect of exchange rate changes on cash	(582)	(464)
Cash and cash equivalents at beginning of the period	137,703	209,520
Cash and cash equivalents at end of the period	113,781	199,410
Supplemental disclosure of non-cash transactions:
Issuance of shares in connection with equity method and other investments		1,165
Fixed asset acquisition included in accounts payable and accrued expenses at end of the period	8,567	1,709
Right-of-use assets obtained in exchange for lease liabilities	1,793	1,120
Asset retirement obligations incurred in connection with leases	10
Supplemental disclosure of cash flow information:
Cash paid for interest	$ 36	$ 24

Summary of Significant Accounting Policies and Recent Accounting Pronouncements

3 Months Ended

Mar. 31, 2022

Accounting Policies [Abstract]

Summary of Significant Accounting Policies and Recent Accounting Pronouncements

2. Summary of Significant Accounting Policies and Recent Accounting Pronouncements:

Certain of the Company’s significant accounting policies are described below. All of the Company’s significant accounting policies are disclosed in the notes to the audited consolidated financial statements as of and for the year ended December 31, 2021 included in the Company’s Form 10-K. Since the date of such financial statements, the Company has adopted the new accounting pronouncements which are disclosed further in this note.

Consolidation

The accompanying condensed consolidated financial statements include the accounts of Meira Holdings and its wholly owned subsidiaries:

MeiraGTx Limited, a limited company incorporated under the laws of England and Wales;

MeiraGTx, LLC, a Delaware limited liability company (“Meira LLC”);

MeiraGTx UK II Limited, a limited company incorporated under the laws of England and Wales (“Meira UK II”);

MeiraGTx Ireland DAC, a designated activity company incorporated under the laws of Ireland (“Meira Ireland”);

MeiraGTx Netherlands, B.V., a private company with limited liability incorporated under the laws of the Netherlands (“Meira Netherlands”);

MeiraGTx Belgium, a private company with limited liability incorporated under the laws of Belgium (“Meira Belgium”);

BRI-Alzan, Inc., a Delaware corporation (“BRI-Alzan”);

MeiraGTx Bio, Inc., a Delaware corporation (“Meira Bio”);

MeiraGTx B.V., a private company with limited liability incorporated under the laws of the Netherlands (“Meira B.V.”);

MeiraGTx Neurosciences, Inc., a Delaware corporation (“Meira Neuro”);

MeiraGTx Therapeutics, Inc., a Delaware corporation (“Meira Therapeutics”); and

MeiraGTx UK Limited, a limited company incorporated under the laws of England and Wales (“Meira UK”).

All intercompany balances and transactions between the consolidated companies have been eliminated in consolidation.

Use of Estimates

Management considers many factors in selecting appropriate financial accounting policies and controls, and in developing the estimates and assumptions that are used in the preparation of these condensed consolidated financial statements. Management must apply significant judgment in this process. In addition, other factors may affect estimates, including expected business and operational changes, sensitivity and volatility associated with the assumptions used in developing estimates, and whether historical trends are expected to be representative of future trends. The estimation process often may yield a range of potentially reasonable estimates of the ultimate future outcomes and management must select an amount that falls within that range of reasonable estimates. This process may result in actual results differing materially from those estimated amounts used in the preparation of the financial statements if these results differ from historical experience, or other assumptions do not turn out to be substantially accurate, even if such assumptions are reasonable when made. In preparing these condensed consolidated financial statements, management used significant estimates in the following areas, among others: collaboration revenue, the accounting for research and development costs, share-based compensation, leases, asset retirement obligations and tax incentive receivable.

Additionally, the Company has made estimates of the impact of the COVID-19 pandemic within the condensed consolidated financial statements and there may be changes to those estimates in future periods. Actual results may differ from these estimates.

Fair Value Measurements

Fair value is defined as the price that would be received upon sale of an asset or paid upon transfer of a liability in an orderly transaction between market participants at the measurement date and in the principal or most advantageous market for that asset or liability. The fair value should be calculated based on assumptions that market participants would use in pricing the asset or liability, not on assumptions specific to the entity. In addition, the fair value of liabilities should include consideration of non-performance risk including the Company’s credit risk.

The Company follows ASC Topic 820, Fair Value Measurements and Disclosures, or ASC 820, for application to financial assets and liabilities. In addition to defining fair value, the standard expands the disclosure requirements around fair value and establishes a fair value hierarchy for valuation inputs. The hierarchy prioritizes the inputs into three levels based on the extent to which inputs used in measuring fair value are observable in the market. Each fair value measurement is reported in one of the three levels which are determined by the lowest level input that is significant to the fair value measurement in its entirety. These levels are:

●

Level 1: Observable inputs such as quoted prices in active markets for identical assets the reporting entity has the ability to access as of the measurement date;

●

Level 2: Inputs, other than the quoted prices in active markets, that are observable either directly or indirectly; and

●

Level 3: Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions.

The table below represents the values of the Company's financial assets and liabilities that are required to be measured at fair value on a recurring basis (in thousands):


	Fair Value Measurement Using:
			Significant		Significant Other		Significant
	March 31,		Observable Inputs		Observable Inputs		Unobservable
Description	2022		(Level 1)		(Level 2)		(Level 3)
Cash and cash equivalents	$	60,320	$	60,320	$	—	$	—
Other long-term liabilities	$	556	$	556	$	—	$	—


	Fair Value Measurement Using:
			Significant		Significant Other		Significant
	December 31,		Observable Inputs		Observable Inputs		Unobservable
Description	2021		(Level 1)		(Level 2)		(Level 3)
Cash and cash equivalents	$	66,585	$	66,585	$	—	0	—
Other long-term liabilities	$	953	$	953

Equity Method and Other Investments

The Company accounts for equity investments under the equity method of accounting when the requirements for consolidation are not met, and the Company has significant influence over the operations of the investee. Equity method investments are initially recorded at cost and subsequently adjusted for the Company’s share of net income or loss and cash contributions and distributions and are included in equity method and other investments in the accompanying condensed consolidated balance sheets. Equity investments that do not result in consolidation and are not accounted for under the equity method are measured at fair value, with any changes in fair value recognized in net income (loss). For any such investments that do not have readily determinable fair values, the Company elects the measurement alternative to measure the investments at cost minus impairment, if any, plus or minus changes

resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer.

Equity method investments are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. If it is determined that a loss in value of the equity method investment is other than temporary, an impairment loss is measured based on the excess of the carrying amount of an investment over its estimated fair value. Impairment analyses are based on current plans, intended holding periods, and available information at the time the analysis is prepared.

Leases

The Company accounts for leases in accordance with ASC 842. The Company determines if an arrangement is a lease at contract inception. A lease exists when a contract conveys the right to control the use of identified property, plant, or equipment for a period of time in exchange for consideration. The definition of a lease embodies two conditions: (1) there is an identified asset in the contract that is land or a depreciable asset (i.e., property, plant, and equipment), and (2) the Company has the right to control the use of the identified asset. The Company accounts for the lease and non-lease components as a single lease component.

From time to time the Company enters into direct financing lease arrangements that include a lessee obligation to purchase the leased asset at the end of the lease term, a bargain purchase option, or provides for minimum lease payments with a present value of 90% or more of the fair value of the leased asset at the date of lease inception.

Operating leases where the Company is the lessee are included in right-of-use (“ROU”) assets and lease obligations are included on the Company’s condensed consolidated balance sheets. The lease obligations are initially and subsequently measured at the present value of the unpaid lease payments at the lease commencement date and subsequent reporting periods.

Finance leases where the Company is the lessee are included in ROU assets and lease obligations on the Company’s condensed consolidated balance sheets. The lease obligations are initially measured in the same manner as for operating leases and are subsequently measured at amortized cost using the effective interest method.

Key estimates and judgments include how the Company determined (1) the discount rate used to discount the unpaid lease payments to present value, (2) lease term and (3) lease payments.

ASC 842 requires a lessee to discount its unpaid lease payments using the interest rate implicit in the lease or, if that rate cannot be readily determined, its incremental borrowing rate. As most of the Company’s leases where it is the lessee do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. The Company’s incremental borrowing rate for a lease is the rate of interest it would have to pay on a collateralized basis to borrow an amount equal to the lease payments under similar terms. The Company uses the implicit rate when readily determinable.

The lease term for all of the Company’s leases includes the non-cancellable period of the lease plus any additional periods covered by either a lessee option to extend (or not to terminate) the lease that is reasonably certain to be exercised, or an option to extend (or not to terminate) the lease controlled by the lessor.

The ROU asset is initially measured at cost, which comprises the initial amount of the lease liability adjusted for lease payments made at or before the lease commencement date less any lease incentives received.

For operating leases, the ROU asset is subsequently measured throughout the lease term at the carrying amount of the lease liability, minus any accrued lease payments, less the unamortized balance of lease incentives received. Lease expense for lease payments is recognized on a straight-line basis over the lease term.

For finance leases, the ROU asset is subsequently amortized using the straight-line method from the lease commencement date to the earlier of the end of its useful life or the end of the lease term unless the lease transfers

ownership of the underlying asset, or the Company is reasonably certain to exercise an option to purchase the underlying asset. In those cases, the ROU asset is amortized over the useful life of the underlying asset. Amortization of the ROU asset is recognized and presented separately from interest expense on the lease liability.

The Company has elected not to recognize ROU assets and lease liabilities for all short-term leases that have a lease term of 12 months or less at lease commencement. Lease payments associated with short-term leases are recognized as an expense on a straight-line basis over the lease term.

Asset Retirement Obligations

Accounting for asset retirement obligations requires legal obligations associated with the retirement of long-lived assets to be recognized at fair value when incurred and capitalized as part of the related long-lived asset. In the absence of quoted market prices, the Company estimates the fair value of its asset retirement obligations using Level 3 present value techniques, in which estimates of future cash flows associated with retirement activities are discounted using a credit-adjusted risk-free rate. Asset retirement obligations currently reported as other liabilities on the condensed consolidated balance sheet were measured during a period of historically low interest rates. The impact on measurements of new asset retirement obligations using different rates in the future may be significant.

The Company uses estimates to determine the asset retirement obligations at the end of the lease term and discounts such asset retirement obligations using an estimated discount rate. Interest on the discounted asset retirement obligation is amortized over the term of the lease using the effective interest method and is recorded as interest expense in the condensed consolidated statements of operations and comprehensive loss.

The change in asset retirement obligations is as follows (in thousands):


	For the Three-Month Period Ended March 31,
	2022		2021
Balance at beginning of period	$	2,081	$	1,814
Additional asset retirement obligations during the period		10		—
Amortization of interest		42		35
Effects of exchange rate		(19)		7
Balance at end of period	$	2,114	$	1,856

Collaboration Arrangements

The Company evaluates its collaborative arrangements pursuant to ASC 808, Collaborative Arrangements (“ASC 808”) and ASC 606, Revenue from Contracts with Customers (“ASC 606”). The Company considers the nature and contractual terms of collaborative arrangements and assesses whether the arrangement involves a joint operating activity pursuant to which the Company is an active participant and is exposed to significant risks and rewards with respect to the arrangement. If the Company is an active participant and is exposed to significant risks and rewards with respect to the arrangement, the Company accounts for the arrangement as a collaboration under ASC 808. To date, the Company has entered into two separate collaboration agreements, both of which are with Janssen, which were determined to be within the scope of ASC 808.

ASC 808 does not address recognition or measurement matters related to collaborative arrangements. Payments between participants pursuant to a collaborative arrangement that are within the scope of other authoritative accounting literature on income statement classification are accounted for using the relevant provisions of that literature. If the payments are not within the scope of other authoritative accounting literature, the income statement classification for the payments is based on an analogy to authoritative accounting literature or if there is no appropriate analogy, a reasonable, rational and consistently applied accounting policy election. Payments received from a collaboration partner to which this policy applies may include upfront payments in respect of a license of intellectual property, development and commercialization-based milestones, and royalties.

Refer to the discussion in Note 7 for further information related to the accounting for the Collaboration Agreement.

Revenue Recognition

Arrangements with collaborators may include licenses to intellectual property, research and development services, manufacturing services for clinical and commercial supply, and participation on joint steering committees. The Company evaluates the promised goods or services to determine which promises, or group of promises, represent performance obligations. In contemplation of whether a promised good or service meets the criteria required of a performance obligation, the Company considers the stage of development of the underlying intellectual property, the capabilities and expertise of the customer relative to the underlying intellectual property, and whether the promised goods or services are integral to or dependent on other promises in the contract. When accounting for an arrangement that contains multiple performance obligations, the Company must develop judgmental assumptions, which may include market conditions, reimbursement rates for personnel costs, development timelines and probabilities of regulatory success to determine the stand-alone selling price for each performance obligation identified in the contract.

When the Company concludes that a contract should be accounted for as a combined performance obligation and recognized over time, the Company must then determine the period over which revenue should be recognized and the method by which to measure revenue. The Company generally recognizes revenue using a cost-based input method.

The Collaboration Agreement with Janssen is accounted for under ASC 808, however, as ASC 808 does not address recognition or measurement matters such as determining the appropriate unit of accounting or when the recognition criteria are met, the Company accounts for the consideration received from Janssen in accordance with ASC 606. In accordance with ASC 606, the Company recognizes revenue when its customer or collaborator obtains control of promised goods or services, in an amount that reflects the consideration which the Company expects to receive in exchange for those goods or services. To determine revenue recognition for arrangements that the Company determines are within the scope of ASC 606, it performs the following five steps:

identify the contract(s) with a customer;

ii.

identify the performance obligations in the contract;

iii.

determine the transaction price;

iv.

allocate the transaction price to the performance obligations within the contract; and

recognize revenue when (or as) the entity satisfies a performance obligation.

The Company only applies the five-step model to contracts when it determines that it is probable it will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer.

At contract inception, once the contract is determined to be by analogy within the scope of ASC 606, the Company assesses the goods or services promised within the contract to determine whether each promised good or service is a performance obligation. The promised goods or services in the Company’s arrangements typically consist of a license to the Company’s intellectual property and research, development and manufacturing services. The Company may provide options to additional items in such arrangements, which are accounted for as separate contracts when the customer elects to exercise such options, unless the option provides a material right to the customer. Performance obligations are promises in a contract to transfer a distinct good or service to the customer that (i) the customer can benefit from on its own or together with other readily available resources, and (ii) is separately identifiable from other promises in the contract. Goods or services that are not individually distinct performance obligations are combined with other promised goods or services until such combined group of promises meet the requirements of a performance obligation.

The Company determines transaction price based on the amount of consideration the Company expects to receive for transferring the promised goods or services in the contract. Consideration may be fixed, variable, or a combination of both. At contract inception for arrangements that include variable consideration, the Company estimates the probability and extent of consideration it expects to receive under the contract utilizing either the most likely amount method or expected amount method, whichever best estimates the amount expected to be received. The Company then considers any constraints on the variable consideration and includes in the transaction price variable consideration to the extent it is deemed probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved.

The Company then allocates the transaction price to each performance obligation based on the relative standalone selling price and recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligation when (or as) control is transferred to the customer and the performance obligation is satisfied. For performance obligations which consist of licenses and other promises, the Company utilizes judgment to assess the nature of the combined performance obligation to determine whether the combined performance obligation is satisfied over time or at a point in time and, if over time, the appropriate method of measuring progress. The Company evaluates the measure of progress each reporting period and, if necessary, adjusts the measure of performance and related revenue recognition.

The Company records amounts as accounts receivable when the right to consideration is deemed unconditional. When consideration is received, or such consideration is unconditionally due, from a customer prior to transferring goods or services to the customer under the terms of a contract, a contract liability is recorded as deferred revenue.

Amounts received prior to satisfying the revenue recognition criteria are recognized as deferred revenue in the Company’s condensed consolidated balance sheet. Amounts expected to be recognized as revenue within the 12 months following the balance sheet date are classified as deferred revenue – related party, current. Amounts not expected to be recognized as revenue within the 12 months following the balance sheet date are classified as deferred revenue – related party.

The Company’s collaboration revenue arrangements include the following:

Up-front License Fees: If a license is determined to be distinct from the other performance obligations identified in the arrangement, the Company recognizes revenues from nonrefundable, up-front fees allocated to the license when the license is transferred to the licensee and the licensee is able to use and benefit from the license. For licenses that are bundled with other promises, the Company utilizes judgment to assess the nature of the combined performance obligation to determine whether the combined performance obligation is satisfied over time or at a point in time and, if over time, the appropriate method of measuring progress for purposes of recognizing revenue from non-refundable, up-front fees. The Company evaluates the measure of progress each reporting period and, if necessary, adjusts the measure of performance and related revenue recognition.

Milestone Payments: At the inception of an agreement that includes research and development milestone payments, the Company evaluates each milestone to determine when and how much of the milestone to include in the transaction price. The Company first estimates the amount of the milestone payment that the Company could receive using either the expected value or the most likely amount approach. The Company primarily uses the most likely amount approach as that approach is generally most predictive for milestone payments with a binary outcome. Then, the Company considers whether any portion of that estimated amount is subject to the variable consideration constraint (that is, whether it is probable that a significant reversal of cumulative revenue would not occur upon resolution of the uncertainty.) The Company updates the estimate of variable consideration included in the transaction price at each reporting date which includes updating the assessment of the likely amount of consideration and the application of the constraint to reflect current facts and circumstances.

Royalties: For arrangements that include sales-based royalties, including milestone payments based on a level of sales, and the license is deemed to be the predominant item to which the royalties relate, the Company will recognize revenue at the later of (i) when the related sales occur, or (ii) when the performance obligation to which some or all

of the royalty has been allocated has been satisfied (or partially satisfied). To date, the Company has not recognized any revenue related to sales-based royalties or milestone payments based on the level of sales.

Research and Development Services: The Company is incurring research and development costs, with Janssen responsible for up to 100% of the costs, depending on the type of research and development services being performed. The Company records costs associated with the development activities as research and development expenses in the condensed consolidated statements of operations and comprehensive loss consistent with ASC 730, Research and Development. The reimbursement of the research and development costs by Janssen is representative of the joint risk sharing nature of the arrangement. The Company considered the guidance in ASC 808 and recognizes the payments received from Janssen as a reduction to research and development expense when the related costs are incurred.

Research and Development

Research and development costs are charged to expense as incurred. These costs include, but are not limited to, employee-related expenses, including salaries, benefits and travel of the Company’s research and development personnel; expenses incurred under agreements with contract research organizations and investigative sites that conduct clinical and preclinical studies and for the drug product for the clinical studies and preclinical activities; facilities; supplies; rent, insurance, certain legal fees, share-based compensation, depreciation and other costs associated with clinical and preclinical activities and regulatory operations. Research funding under collaboration agreements and refundable research and development credits / tax credits are recorded as an offset to these costs.

Costs for certain development activities, such as Company funded outside research programs, are recognized based on an evaluation of the progress to completion of specific tasks with respect to their actual costs incurred. Payments for these activities are based on the terms of the individual arrangements, which may differ from the pattern of costs incurred, and are reflected in the condensed consolidated financial statements as prepaid expenses or accrued expenses, as the case may be.

Net Loss per Ordinary Share

Basic net loss per ordinary share is computed by dividing net loss by the weighted average number of shares of the Company’s ordinary shares assumed to be outstanding during the period of computation. Diluted net loss per ordinary share is computed similar to basic net loss per share except that the denominator is increased to include the number of additional ordinary shares that would have been outstanding if the potential ordinary shares had been issued at the beginning of the year and if the additional ordinary shares were dilutive (treasury stock method) or the two-class method, whichever is more dilutive. For all periods presented, basic and diluted net loss per ordinary share are the same, as any additional ordinary share equivalents would be anti-dilutive.

The following securities are considered to be ordinary share equivalents, but were not included in the computation of diluted net loss per ordinary share because to do so would have been anti-dilutive:


	March 31,	March 31,
	2022	2021
Share options	6,969,337	6,168,592
Restricted share units	2,197,500	1,050,000
Restricted ordinary shares subject to forfeiture	173,097	290,000
	9,339,934	7,508,592

Segment Information

Management has concluded it has a single reporting segment for purposes of reporting financial condition and results of operations.

The Company’s license revenue, research funding and deferred revenue from its Collaboration Agreement are generated in the United Kingdom.

The following table summarizes non-current assets by geographical area (in thousands):


	March 31,		December 31,
	2022		2021
United States	$	23,071	$	23,636
United Kingdom		43,227		43,349
European Union		78,470		69,936
	$	144,768	$	136,921

Recent Accounting Pronouncements Not Yet Adopted

In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which adds a new Topic 326 to the Codification and removes the thresholds that companies apply to measure credit losses on financial instruments measured at amortized cost, such as loans, receivables, and held-to-maturity debt securities. Under current GAAP, companies generally recognize credit losses when it is probable that the loss has been incurred. The revised guidance will remove all recognition thresholds and will require companies to recognize an allowance for credit losses for the difference between the amortized cost basis of a financial instrument and the amount of amortized cost that the Company expects to collect over the instrument’s contractual life. ASU 2016-13 also amends the credit loss measurement guidance for available-for-sale debt securities and beneficial interests in securitized financial assets. The guidance is applicable for fiscal years beginning after December 15, 2019 and interim periods within those years, however, the FASB extended the effective date for smaller reporting companies to fiscal years beginning after December 15, 2022. The Company is currently evaluating the potential impact of the adoption of this standard on its related disclosures.

Share-Based Compensation

3 Months Ended

Mar. 31, 2022

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Share-Based Compensation

5. Share-Based Compensation

Equity Incentive Plans

The Company’s 2018 Incentive Award Plan and 2016 Equity Incentive Plan (collectively, the “Plans”) were adopted by the Company’s board of directors and shareholders. Under the Plans, the Company has granted share options and restricted share units (“RSUs”) to selected officers, employees, non-employee members of the board of directors and non-employee consultants. The Company’s board of directors or a committee thereof administers the Plans. Upon the adoption of the 2018 Incentive Award Plan, the Company ceased issuing awards under the 2016 Equity Incentive Plan.

Options

A summary of the Company’s share option activity related to employees, non-employee members of the board of directors and non-employee consultants as of December 31, 2021 and for the three-month period ended March 31, 2022 is as follows (in thousands, except share and per share amounts):


					Weighted-
			Weighted-		Average
			Average		Remaining
		Number of	Exercise		Contractual
		Options	Price		Life (years)
Outstanding at December 31, 2021		5,924,690	$	13.16	7.40	years
Granted		1,155,400	$	20.80
Exercised		(18,065)	$	10.61
Expired		—	$	—
Forfeited		(92,688)	$	18.94
Outstanding at March 31, 2022		6,969,337	$	14.46	7.85	years
Options exercisable at March 31, 2022		3,834,778	$	11.64	6.82	years
Aggregate intrinsic value of options outstanding as of March 31, 2022	$	15,693
Aggregate intrinsic value of options exercisable as of March 31, 2022	$	14,519

Options granted under the Plans have a maximum contractual term of ten years. Options granted generally vest 25% on the first anniversary of the date of grant and the balance ratably over the next 36 months. Options granted to directors when they join the board generally vest in 36 equal monthly installments following the date of grant, and

annual options granted to directors generally vest on the earlier of the first anniversary of the date of grant or the day before the Company’s annual meeting of shareholders after the date of grant.

The total share-based compensation expense recorded in connection with the options was $4.3 million and $3.7 million, of which $1.6 million and $1.6 million was recorded as general and administrative expense and $2.7 million and $2.1 million was recorded as research and development expense during the three-month periods ended March 31, 2022 and 2021, respectively.

The total fair value of options vested during the three-month periods ended March 31, 2022 and 2021 was $6.8 million and $5.4 million, respectively.

The weighted-average grant date fair value of options granted during the three-month periods ended March 31, 2022 and 2021 was $14.39 per share and $11.93 per share, respectively.

The grant date fair values of the share options granted were estimated using the Black-Scholes option valuation model with the following ranges of assumptions:


	2022	2021
Risk-free interest rate	1.60 - 2.55%	0.62 - 1.39%
Expected volatility	80%	90%
Expected dividend yield	0%	0%
Expected life (in years)	6.1	6.1

As of March 31, 2022, the total compensation expense relating to unvested options granted that had not yet been recognized was $37.8 million, which is expected to be realized over a period of 4.0 years. The Company will issue shares upon exercise of options from ordinary shares reserved under the Plans.

Restricted Share Units

A summary of the Company’s RSU activity related to employees, non-employee members of the board of directors and non-employee consultants as of December 31, 2021 and for the three-month period ended March 31, 2022 is as follows:


		Weighted-
	Number of	Average
	Restricted	Grant Date
	Share Units	Fair Value
Outstanding at December 31, 2021	1,415,000	$	17.16
Granted	1,055,000	$	21.53
Vested	(272,500)	$	20.02
Forfeited	—	$	—
Outstanding at March 31, 2022	2,197,500	$	18.90

RSUs granted generally vest 50% on the second anniversary of the date of grant and 25% on the third and fourth anniversaries of the date of grant. Annual RSUs granted to directors generally vest in a single installment on the earliest to occur of the first anniversary of the grant date or the day immediately prior to the date of the next annual meeting of the Company’s shareholders occurring after the date of grant. The RSUs granted to the directors in June 2021 will be paid on or within 30 days after the date a director ceases to serve on the board. For RSUs granted in future years, the directors will be able to elect whether to defer the payment of their annual RSU awards under the Deferred Compensation Plan for Non-Employee Directors. The related share-based compensation expense, which is recognized ratably over the requisite service period, is included in general and administrative and research and

development expenses, as applicable, in the condensed consolidated statements of operations and comprehensive loss.

Total share-based compensation expense recorded in connection with the RSUs was $3.3 million and $1.1 million, of which $2.4 million and $0.9 million was recorded as general and administrative expense and $0.9 million and $0.2 million was recorded as research and development expense during the three-month periods ended March 31, 2022 and 2021, respectively.

As of March 31, 2022, the total compensation expense relating to unvested RSUs granted that had not yet been recognized was $35.1 million, which is expected to be realized over a period of 3.84 years.

To satisfy employee minimum statutory tax withholding requirements for restricted share units that vest, the Company withholds a portion of the vesting ordinary shares. During the three months ended March 31, 2022, the Company withheld 128,812 ordinary shares with a total value of approximately $2.8 million. No shares were withheld during the three months ended March 31, 2021. These amounts are presented as a cash outflow from financing activities in the accompanying consolidated statement of cash flows.

During the three-month period ended March 31, 2022 and 2021, the Company recognized total share-based compensation expense in the accompanying condensed consolidated statements of operations and comprehensive loss as follows (in thousands):


	Three-Month Period Ended March 31,
	2022		2021
Research and development	$	3,632	$	2,278
General and administrative		3,946		2,539
Total share-based compensation	$	7,578	$	4,817

The Company does not expect to realize any tax benefits from its share option activity or the recognition of share-based compensation expense because the Company currently has net operating losses and has a full valuation allowance against its deferred tax assets. Accordingly, no amounts related to excess tax benefits have been reported in cash flows from operations or cash flows from financing activities for the three-month periods ended March 31, 2022 and 2021.

Related-Party Transactions

3 Months Ended

Mar. 31, 2022

Related-Party Transactions

7. Related-Party Transactions

Collaboration and License Agreements

Janssen Pharmaceuticals, Inc.

On January 30, 2019, the Company entered into a Collaboration Agreement with Janssen for the research, development and commercialization of gene therapies for the treatment of IRDs. Under the agreement, Janssen paid the Company a non-refundable upfront fee of $100.0 million. Janssen and the Company will collaborate to develop the Company’s current clinical programs in retinitis pigmentosa and two genetic forms of achromatopsia, and Janssen has the exclusive right to commercialize these three product candidates (“Clinical IRD Product Candidates”) globally.

Pursuant to the Collaboration Agreement, the Company and Janssen also agreed on a research collaboration to develop a pipeline of preclinical inherited retinal disease gene therapy candidates (“Research IRD Product Candidates”). The parties will select and prioritize the Research IRD Product Candidates and Janssen has the right to opt-in for a fee for each of the specified targets (each an “Option Target”) to obtain certain development, manufacturing and commercialization rights for the Research IRD Product Candidates.

Unless terminated earlier under certain termination clauses, the Collaboration Agreement will continue in effect, on a product-by-product and country-by-country basis, until such time as the royalty terms expire in such country. The Company has determined enforceable rights exist in the Collaboration Agreement as the termination clauses are substantive termination penalties by way of the non-refundable upfront fee and the reversion of any licensed intellectual property granted to Janssen upon the termination of the agreement.

On February 27, 2019, in connection with a private placement, the Company issued 2,898,550 ordinary shares to Johnson & Johnson Innovation – JJDC, Inc. (“JJDC”), the investment arm of Johnson and Johnson and owner of Janssen, on the same terms and conditions as the other investors in the offering. After the offering, JJDC became a related party.

Clinical IRD Product Candidates

Under the Collaboration Agreement, the Company and Janssen will jointly develop Clinical IRD Product Candidates to permit Janssen to commercialize such Clinical IRD Product Candidates under an exclusive license from the Company. In general, the Company will have the primary responsibility to develop each Clinical IRD Product Candidate in accordance with the development plan for each Clinical IRD Product Candidate, including where applicable, conducting any necessary research in order to submit the applicable regulatory filings to regulatory authorities. The Company will manufacture these products in its cGMP manufacturing facility for both clinical and commercial supply. Janssen will pay 100% of the clinical and commercialization costs of the products and the Company is eligible to receive untiered 20% royalties on net sales of products and additional development and commercialization milestones up to $340.0 million.

Research IRD Product Candidates

Under the Collaboration Agreement, the Company and Janssen will collaborate to develop Research IRD Product Candidates, with Janssen paying for the majority of the research costs. Janssen has the right to exclusively license any product coming out of the collaboration at the time of an investigational new drug application (“IND”) for an additional fee for each Research IRD Product Candidate. Janssen will then pay 100% of the clinical and commercialization costs for these Research IRD Product Candidates and the Company will receive an untiered royalty on net sales in the high teens as well as development milestones for each Research IRD Product Candidate.

Revenue Recognition under the Collaboration Agreement

The Collaboration Agreement is accounted for under ASC 808, however, ASC 808 does not address recognition or measurement matters. Therefore, the Company will account for the recognition and measurement of consideration under ASC 606. In determining the appropriate amount of revenue to be recognized under ASC 606, the Company performed the following steps: (i) identified the promised goods or services in the contract; (ii) determined whether the promised goods or services are performance obligations including whether they are distinct in the context of the contract; (iii) measurement of the transaction price, including the constraint on variable consideration; (iv) allocation of the transaction price to the performance obligations; and (v) recognition of revenue when (or as) the Company satisfies each performance obligation. The Company evaluated the potential performance obligations in the contract, which included the exclusive license to Clinical IRD Product Candidates, the research, development and manufacturing services (“the services”), and the participation in various joint committees and determined that none of the performance obligations by themselves were distinct. Goods and services that are not distinct are bundled with other goods or services in the contract until a bundle of goods or services that is distinct is created. The services, when combined with the licenses, represent a bundle and should be accounted for as a single performance obligation due to the relevance of the services to the value of the early-stage license and the potential for the intellectual property to be significantly modified during the services period. The Company also evaluated whether or not the right to purchase exclusive option rights for specified Research IRD Product Candidates represents future performance obligations and concluded that these represent a separate buyer decision at market rates, rather than a material right performance obligation. As such, these options have been excluded from the initial allocation of transaction price and the Company will account for these options as separate contracts when and if Janssen elects to exercise the options.

Under ASC 606, the Company recognized collaboration revenue using the cost-to-cost input method, which it believes best depicts the transfer of control to the customer. Under the cost-to-cost input method, the extent of progress towards completion is measured based on the ratio of actual costs incurred to the total estimated costs expected upon satisfying the combined performance obligation by the potential product candidate. Under this method, revenue is being recorded as a percentage of the estimated transaction price based on the extent of progress towards completion. Under ASC 606, the estimated transaction price includes variable consideration subject to constraints. The Company does not include variable consideration to the extent that it is probable that a significant reversal in the amount of cumulative revenue recognized will occur when any uncertainty associated with the variable consideration is resolved. The estimate of the Company’s measure of progress and estimate of variable consideration to be included in the transaction price will be updated at each reporting date as a change in estimate. The amount related to the unsatisfied portion will be recognized as that portion is satisfied over time.

Under ASC 606 the Company accounts for (i) the licenses it conveyed with respect to the Clinical IRD Product Candidates and (ii) its obligations to perform services as a single performance obligation under the Collaboration Agreement with Janssen on a product candidate basis. Janssen’s right to purchase exclusive options to obtain certain development, manufacturing and commercialization rights are accounted for separately as they do not represent material rights, based on the criteria of ASC 606. Upon the exercise of any purchased option by Janssen, the contract promises associated with an Option Target would use a separate cost-to-cost model for purposes of revenue recognition under ASC 606.

In 2019, the Company received a $100.0 million non-refundable upfront fee from Janssen and during the year ended December 31, 2021, received a $30.0 million milestone payment. The Company allocated these amounts plus other variable consideration not subject to constraint to each identified performance obligation using a combination of methods allowable under ASC 606. The Company applies the practical expedient in Topic 606 and does not include disclosures regarding amounts for variable consideration allocated to wholly-unsatisfied performance obligations or wholly-unsatisfied distinct goods that form part of a single performance obligation, if any. This variable consideration includes expected reimbursement of research and development costs.

During the three-month periods ended March 31, 2022 and 2021, the Company recognized $5.6 million and $4.6 million, respectively, of the deferred revenue – related party as license revenue.

The Company also recognized $13.2 million and $11.7 million during the three-month periods ended March 31, 2022 and 2021, respectively, related to the reimbursement of research and development expenses, which were recorded as an offset to research and development expenses.

As of March 31, 2022, the Company expects to recognize the remaining $57.5 million in deferred revenue associated with the non-refundable upfront fee and milestone payment over the estimated research and development period using the cost-to-cost input method over an estimated period of approximately 3.25 years.

A summary of the deferred revenue recognition is as follows (in thousands):


Deferred revenue at December 31, 2020	$	72,842
Milestone payment from Janssen		30,000
Deferred revenue recognized as license revenue during the year ended December 31, 2021		(37,701)
Effects of exchange rate		(275)
Deferred revenue at December 31, 2021		64,866
Deferred revenue recognized as license revenue during the three-month period ended March 31, 2022		(5,633)
Effects of exchange rate		(1,766)
Deferred revenue at March 31, 2022	$	57,467

Leases

ARE Vivarium Lease

Effective May 1, 2019, the Company entered into an operating lease for vivarium space with ARE, which was subsequently amended to add additional space within the vivarium. The initial lease had a term of twelve months which automatically renews on an annual basis.

The rent expense under this operating lease was $0.04 million and $0.01 million for the three-month periods ended March 31, 2022 and 2021, respectively, which are included in loss from operations.

The Company made cash payments to ARE in connection with this operating lease in the amount of $0.03 million and $0.01 million during the three-month periods ended March 31, 2022 and 2021, respectively.

There were no amounts due to ARE under this operating lease at March 31, 2022 and December 31, 2021.

Kadmon Lease

The Company leased office space on a month-to-month basis from Kadmon Corporation, LLC (“Kadmon”).

During the three-month periods ended March 31, 2022 and 2021, the Company incurred and paid rent charges from Kadmon in the amount of $0 and $0.2 million, respectively, which are included in loss from operations.

This lease has been terminated effective November 12, 2021.

Leases

3 Months Ended

Mar. 31, 2022

Leases [Abstract]

Leases

8. Leases

The Company has commitments under operating leases for laboratory, warehouse, clinical trial sites and office space. The Company also has finance leases for manufacturing space and office equipment. The Company’s leases have initial lease terms ranging from 3 years to 191 years. Certain lease agreements contain provisions for future rent increases. Payments due under the lease contracts include fixed payments.

Total rent expense under these leases was $1.3 million and $1.1 million for the three-month periods ended March 31, 2022 and 2021, respectively.

As of March 31, 2022, the Company has short term lease commitments amounting to approximately $0.01 million on a monthly basis for one lease for vivarium space that is on a one-year lease.

During the three-month period ended March 31, 2022, the Company recognized three operating leases for locations in connection with its clinical trials for its IRD product candidates and office and warehouse space, with initial lease terms between 3 years and 9 years. Certain lease agreements contain provisions for tenant allowances and future rent increases. Payments due under the lease contracts include fixed payments. In conjunction with these operating leases, the Company recognized initial operating lease right-of-use assets in the amount of $1.8 million and corresponding lease liabilities in the amount of $1.8 million which are included in the right-of-use assets and lease obligations in the condensed consolidated balance sheets as of March 31, 2022.

The components of lease cost for the three-month periods ended March 31, 2022 and 2021 are as follows (in thousands):


	Three-Month Period Ended March 31,
	2022		2021
Finance lease cost
Amortization of right-of-use assets	$	294	$	309
Interest on lease liabilities		—		1
Total finance lease cost		294		310
Operating lease cost		1,315		1,137
Short-term lease cost		38		189
Total lease cost	$	1,647	$	1,636

Amounts reported in the condensed consolidated balance sheets for leases where the Company is the lessee as of March 31, 2022 and December 31, 2021 were as follows (in thousands):


	March 31,			December 31,
	2022			2021
Operating leases
Right-of-use asset	$	23,223		$	22,782
Capitalized lease obligations	$	24,391		$	23,721
Finance leases
Right-of-use asset	$	26,771		$	27,645
Capitalized lease obligations	$	8		$	12
Weighted-average remaining lease term
Operating leases		6.4	years		6.5	years
Finance leases		176.5	years		176.7	years
Weighted-average discount rate
Operating leases		8.5	%		8.5	%
Finance leases		8.0	%		8.0	%

Other information related to leases for the three-month periods ended March 31, 2022 and 2021 are as follows (in thousands):


	Three-Month Period Ended March 31,
	2022		2021
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from finance leases	$	4	$	4
Operating cash flows from operating leases	$	1,370	$	1,186
Financing cash flows from finance leases	$	—	$	1

Right-of-use assets obtained in exchange for lease liabilities
Operating leases	$	1,793	$	1,120
Finance leases	$	—	$	—

Future minimum lease payments under non-cancellable leases as of March 31, 2022 are as follows (in thousands):


	Operating Leases		Finance Leases
2022	$	4,183	$	8
2023		5,682		—
2024		5,530		—
2025		5,476		—
2026		5,229		—
Thereafter		4,974		—
Total undiscounted lease payments	$	31,074	$	8
Less: Imputed interest		(6,683)		—
Total lease liabilities	$	24,391	$	8

Summary of Significant Accounting Policies and Recent Accounting Pronouncements (Policies)

3 Months Ended

Mar. 31, 2022

Accounting Policies [Abstract]

Consolidation

The accompanying condensed consolidated financial statements include the accounts of Meira Holdings and its wholly owned subsidiaries:

MeiraGTx Limited, a limited company incorporated under the laws of England and Wales;

MeiraGTx, LLC, a Delaware limited liability company (“Meira LLC”);

MeiraGTx UK II Limited, a limited company incorporated under the laws of England and Wales (“Meira UK II”);

MeiraGTx Ireland DAC, a designated activity company incorporated under the laws of Ireland (“Meira Ireland”);

MeiraGTx Netherlands, B.V., a private company with limited liability incorporated under the laws of the Netherlands (“Meira Netherlands”);

MeiraGTx Belgium, a private company with limited liability incorporated under the laws of Belgium (“Meira Belgium”);

BRI-Alzan, Inc., a Delaware corporation (“BRI-Alzan”);

MeiraGTx Bio, Inc., a Delaware corporation (“Meira Bio”);

MeiraGTx B.V., a private company with limited liability incorporated under the laws of the Netherlands (“Meira B.V.”);

MeiraGTx Neurosciences, Inc., a Delaware corporation (“Meira Neuro”);

MeiraGTx Therapeutics, Inc., a Delaware corporation (“Meira Therapeutics”); and

MeiraGTx UK Limited, a limited company incorporated under the laws of England and Wales (“Meira UK”).

All intercompany balances and transactions between the consolidated companies have been eliminated in consolidation.

Use of Estimates

Fair Value Measurements

●

Level 1: Observable inputs such as quoted prices in active markets for identical assets the reporting entity has the ability to access as of the measurement date;

●

Level 2: Inputs, other than the quoted prices in active markets, that are observable either directly or indirectly; and

●

Level 3: Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions.

The table below represents the values of the Company's financial assets and liabilities that are required to be measured at fair value on a recurring basis (in thousands):


	Fair Value Measurement Using:
			Significant		Significant Other		Significant
	March 31,		Observable Inputs		Observable Inputs		Unobservable
Description	2022		(Level 1)		(Level 2)		(Level 3)
Cash and cash equivalents	$	60,320	$	60,320	$	—	$	—
Other long-term liabilities	$	556	$	556	$	—	$	—


	Fair Value Measurement Using:
			Significant		Significant Other		Significant
	December 31,		Observable Inputs		Observable Inputs		Unobservable
Description	2021		(Level 1)		(Level 2)		(Level 3)
Cash and cash equivalents	$	66,585	$	66,585	$	—	0	—
Other long-term liabilities	$	953	$	953

Equity Method and Other Investments

resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer.

Leases

Key estimates and judgments include how the Company determined (1) the discount rate used to discount the unpaid lease payments to present value, (2) lease term and (3) lease payments.

Asset Retirement Obligations

The change in asset retirement obligations is as follows (in thousands):


	For the Three-Month Period Ended March 31,
	2022		2021
Balance at beginning of period	$	2,081	$	1,814
Additional asset retirement obligations during the period		10		—
Amortization of interest		42		35
Effects of exchange rate		(19)		7
Balance at end of period	$	2,114	$	1,856

Collaboration Arrangements

Refer to the discussion in Note 7 for further information related to the accounting for the Collaboration Agreement.

Revenue Recognition

identify the contract(s) with a customer;

ii.

identify the performance obligations in the contract;

iii.

determine the transaction price;

iv.

allocate the transaction price to the performance obligations within the contract; and

recognize revenue when (or as) the entity satisfies a performance obligation.

The Company’s collaboration revenue arrangements include the following:

Research and Development

Net Loss per Ordinary Share


	March 31,	March 31,
	2022	2021
Share options	6,969,337	6,168,592
Restricted share units	2,197,500	1,050,000
Restricted ordinary shares subject to forfeiture	173,097	290,000
	9,339,934	7,508,592

Segment Information

Management has concluded it has a single reporting segment for purposes of reporting financial condition and results of operations.

The Company’s license revenue, research funding and deferred revenue from its Collaboration Agreement are generated in the United Kingdom.

The following table summarizes non-current assets by geographical area (in thousands):


	March 31,		December 31,
	2022		2021
United States	$	23,071	$	23,636
United Kingdom		43,227		43,349
European Union		78,470		69,936
	$	144,768	$	136,921

Recent Accounting Pronouncements Not Yet Adopted

Summary of Significant Accounting Policies and Recent Accounting Pronouncements (Tables)

3 Months Ended

Mar. 31, 2022

Accounting Policies [Abstract]

Schedule of Company's Financial Assets and Liabilities Measured at Fair Value

The table below represents the values of the Company's financial assets and liabilities that are required to be measured at fair value on a recurring basis (in thousands):


	Fair Value Measurement Using:
			Significant		Significant Other		Significant
	March 31,		Observable Inputs		Observable Inputs		Unobservable
Description	2022		(Level 1)		(Level 2)		(Level 3)
Cash and cash equivalents	$	60,320	$	60,320	$	—	$	—
Other long-term liabilities	$	556	$	556	$	—	$	—


	Fair Value Measurement Using:
			Significant		Significant Other		Significant
	December 31,		Observable Inputs		Observable Inputs		Unobservable
Description	2021		(Level 1)		(Level 2)		(Level 3)
Cash and cash equivalents	$	66,585	$	66,585	$	—	0	—
Other long-term liabilities	$	953	$	953

Schedule of Change in Asset Retirement Obligations

The change in asset retirement obligations is as follows (in thousands):


	For the Three-Month Period Ended March 31,
	2022		2021
Balance at beginning of period	$	2,081	$	1,814
Additional asset retirement obligations during the period		10		—
Amortization of interest		42		35
Effects of exchange rate		(19)		7
Balance at end of period	$	2,114	$	1,856

Schedule of Anti-dilutive Securities Excluded from Computation of Earnings per Share


	March 31,	March 31,
	2022	2021
Share options	6,969,337	6,168,592
Restricted share units	2,197,500	1,050,000
Restricted ordinary shares subject to forfeiture	173,097	290,000
	9,339,934	7,508,592

Summary of Non-Current Assets by Geographical Area

The following table summarizes non-current assets by geographical area (in thousands):


	March 31,		December 31,
	2022		2021
United States	$	23,071	$	23,636
United Kingdom		43,227		43,349
European Union		78,470		69,936
	$	144,768	$	136,921

Share-Based Compensation (Tables)

3 Months Ended

Mar. 31, 2022

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Summary of Company's Share Option Activity Related to Employees, Non-Employee Members of the Board of Directors and Non-Employee Consultants


					Weighted-
			Weighted-		Average
			Average		Remaining
		Number of	Exercise		Contractual
		Options	Price		Life (years)
Outstanding at December 31, 2021		5,924,690	$	13.16	7.40	years
Granted		1,155,400	$	20.80
Exercised		(18,065)	$	10.61
Expired		—	$	—
Forfeited		(92,688)	$	18.94
Outstanding at March 31, 2022		6,969,337	$	14.46	7.85	years
Options exercisable at March 31, 2022		3,834,778	$	11.64	6.82	years
Aggregate intrinsic value of options outstanding as of March 31, 2022	$	15,693
Aggregate intrinsic value of options exercisable as of March 31, 2022	$	14,519

Schedule of Grant Date Fair Values of the Stock Options Granted


	2022	2021
Risk-free interest rate	1.60 - 2.55%	0.62 - 1.39%
Expected volatility	80%	90%
Expected dividend yield	0%	0%
Expected life (in years)	6.1	6.1

Summary of Company's RSU Activity Related to Employees, Non-Employee Members of the Board of Directors and Non-Employee Consultants


		Weighted-
	Number of	Average
	Restricted	Grant Date
	Share Units	Fair Value
Outstanding at December 31, 2021	1,415,000	$	17.16
Granted	1,055,000	$	21.53
Vested	(272,500)	$	20.02
Forfeited	—	$	—
Outstanding at March 31, 2022	2,197,500	$	18.90

Schedule of Share-Based Compensation Expense


	Three-Month Period Ended March 31,
	2022		2021
Research and development	$	3,632	$	2,278
General and administrative		3,946		2,539
Total share-based compensation	$	7,578	$	4,817

Leases (Tables)

3 Months Ended

Mar. 31, 2022

Leases [Abstract]

Schedule of Components of Lease Cost

The components of lease cost for the three-month periods ended March 31, 2022 and 2021 are as follows (in thousands):


	Three-Month Period Ended March 31,
	2022		2021
Finance lease cost
Amortization of right-of-use assets	$	294	$	309
Interest on lease liabilities		—		1
Total finance lease cost		294		310
Operating lease cost		1,315		1,137
Short-term lease cost		38		189
Total lease cost	$	1,647	$	1,636

Schedule of Consolidated Balance Sheets for Leases

Amounts reported in the condensed consolidated balance sheets for leases where the Company is the lessee as of March 31, 2022 and December 31, 2021 were as follows (in thousands):


	March 31,			December 31,
	2022			2021
Operating leases
Right-of-use asset	$	23,223		$	22,782
Capitalized lease obligations	$	24,391		$	23,721
Finance leases
Right-of-use asset	$	26,771		$	27,645
Capitalized lease obligations	$	8		$	12
Weighted-average remaining lease term
Operating leases		6.4	years		6.5	years
Finance leases		176.5	years		176.7	years
Weighted-average discount rate
Operating leases		8.5	%		8.5	%
Finance leases		8.0	%		8.0	%

Schedule of Other Information Related to Leases

Other information related to leases for the three-month periods ended March 31, 2022 and 2021 are as follows (in thousands):


	Three-Month Period Ended March 31,
	2022		2021
Cash paid for amounts included in the measurement of lease liabilities
Operating cash flows from finance leases	$	4	$	4
Operating cash flows from operating leases	$	1,370	$	1,186
Financing cash flows from finance leases	$	—	$	1

Right-of-use assets obtained in exchange for lease liabilities
Operating leases	$	1,793	$	1,120
Finance leases	$	—	$	—

Schedule of Future Minimum Lease Payments Under Non-Cancellable Leases

Future minimum lease payments under non-cancellable leases as of March 31, 2022 are as follows (in thousands):


	Operating Leases		Finance Leases
2022	$	4,183	$	8
2023		5,682		—
2024		5,530		—
2025		5,476		—
2026		5,229		—
Thereafter		4,974		—
Total undiscounted lease payments	$	31,074	$	8
Less: Imputed interest		(6,683)		—
Total lease liabilities	$	24,391	$	8

Share-Based Compensation - Additional Information (Details) - USD ($)	3 Months Ended		12 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted-average remaining contractual life of options, outstanding	7 years 10 months 6 days		7 years 4 months 24 days
Fair value of options, Vested	$ 6,800,000	$ 5,400,000
Weighted-average grant date fair value of options granted	$ 14.39	$ 11.93
Total share-based compensation	$ 7,578,000	$ 4,817,000
Excess Tax Benefit from Share-based Compensation, Operating Activities1	$ 0	0
Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted-average remaining contractual life of options, outstanding	10 years
General and Administrative Expense [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total share-based compensation	$ 3,946,000	2,539,000
Research and Development Expenses [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total share-based compensation	$ 3,632,000	2,278,000
Restricted share units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Period expected to realize unrecognized compensation expense	3 years 10 months 2 days
Total compensation expense not yet recognized relating to unvested RSUs	$ 35,100,000
Total share-based compensation	$ 3,300,000	1,100,000
Withheld ordinary shares	128,812
Share-based payment arrangement decrease for tax withholding obligation	$ 2,800,000	0
Restricted share units \| General and Administrative Expense [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total share-based compensation	2,400,000	900,000
Restricted share units \| Research and Development Expenses [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total share-based compensation	900,000	200,000
Share Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total unvested options compensation expense not yet recognized	$ 37,800,000
Period expected to realize unrecognized compensation expense	4 years
Total share-based compensation	$ 4,300,000	3,700,000
Share Options \| General and Administrative Expense [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total share-based compensation	1,600,000	1,600,000
Share Options \| Research and Development Expenses [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total share-based compensation	$ 2,700,000	$ 2,100,000
Director [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	36 months
First Anniversary [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage	25.00%
Second Anniversary [Member] \| Restricted share units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage	50.00%
Third Anniversary [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage	25.00%
Fourth Anniversary [Member] \| Restricted share units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage	25.00%
Over Three Years [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	36 months

Share-Based Compensation - Summary of Company's Share Option Activity (Details) - USD ($)	3 Months Ended	12 Months Ended
	Mar. 31, 2022	Dec. 31, 2021
Number of Options
Number of options, Beginning balance	5,924,690
Number of options, Granted	1,155,400
Number of options, Exercised	(18,065)
Number of options, Forfeited	(92,688)
Number of options, Ending balance	6,969,337	5,924,690
Weighted-Average Exercise Price
Weighted-average exercise price, Beginning balance	$ 13.16
Weighted-average exercise price, Granted	20.80
Weighted-average exercise price, Exercised	10.61
Weighted-average exercise price, Forfeited	18.94
Weighted-average exercise price, Ending balance	$ 14.46	$ 13.16
Options additional disclosures
Number of options, Options exercisable	3,834,778
Weighted-average exercise price, Options exercisable	$ 11.64
Weighted-average remaining contractual life of options, outstanding	7 years 10 months 6 days	7 years 4 months 24 days
Weighted-average remaining contractual life of options, exercisable	6 years 9 months 25 days
Aggregate intrinsic value, options outstanding	$ 15,693
Aggregate intrinsic value, options exercisable	$ 14,519

Leases - Schedule of Future Minimum Lease Payments Under Non-Cancellable Leases (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Operating Leases
2022	$ 4,183
2023	5,682
2024	5,530
2025	5,476
2026	5,229
Thereafter	4,974
Total undiscounted lease payments	31,074
Less: Imputed interest	(6,683)
Operating lease liability	24,391	$ 23,721
Finance Leases
2022	8
2023	0
2024	0
2025	0
2026	0
Thereafter	0
Total undiscounted lease payments	8
Less: Imputed interest	0
Finance lease liability	$ 8	$ 12

Organization and Basis of Presentation - Additional Information (Details) $ in Thousands	1 Months Ended		3 Months Ended
	Dec. 31, 2021 USD ($)	Mar. 31, 2019 USD ($)	Mar. 31, 2022 USD ($) item Program	Mar. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)
Schedule Of Description Of Business [Line Items]
Accumulated deficit	$ (340,589)		$ (371,634)
Cash flows from operations			(8,298)	$ 9,086
Cash, cash equivalents	137,703		$ 113,781	$ 199,410	$ 209,520
No. Of Programs In Clinical Development \| Program			6
No. Of Distinct Areas Of Unmet Medical Need \| item			3
Janssen Pharmaceuticals Inc \| Collaboration Agreement
Schedule Of Description Of Business [Line Items]
Collaboration agreement upfront payment		$ 100,000
Milestone payments	$ 30,000
Minimum
Schedule Of Description Of Business [Line Items]
Offsetting expense, period			12 months

Equity Method and Other Investments - Summary of Investments (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Schedule of Equity Method Investments [Line Items]
Carrying Value	$ 6,656
Cost Basis	$ 6,665
Ownership Percentage, other investments	3.00%
Carrying Value and cost other investments	$ 1,500
Total equity method and other investments	$ 6,656	$ 6,656
Visiogene LLC
Schedule of Equity Method Investments [Line Items]
Ownership percentage	25.00%
Carrying Value	$ 5,156
Cost Basis	$ 5,165

Equity Method and Other Investments (Details) - Visiogene LLC $ in Millions	Jan. 04, 2021 USD ($) shares
Schedule of Equity Method Investments [Line Items]
Number of preferred units acquired \| shares	3,000,000
Cash consideration	$ 5.0
Ordinary shares issued in connection with a license agreement (in shares) \| shares	75,000
Value of shares issued	$ 1.2
Visiogene License Agreement
Schedule of Equity Method Investments [Line Items]
Allocation of payments	1.0
Investment allocated amount expensed	1.0
Visiogene Unit Agreement
Schedule of Equity Method Investments [Line Items]
Allocation of payments	$ 5.2

Accrued Expenses - Schedule of Accrued Expenses (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Payables and Accruals [Abstract]
Clinical trial costs	$ 15,005	$ 12,524
Manufacturing costs	2,103	2,889
Fixed assets	2,093	2,077
Compensation and benefits	1,152	6,029
Professional fees	893	1,018
Research and development	845	1,735
Consulting	652	858
Rent and facilities costs	84
Other	354	456
Accrued expenses	$ 23,181	$ 27,586

Share-Based Compensation - Summary of Restricted Share Units (Details) - Restricted share units	3 Months Ended
	Mar. 31, 2022 $ / shares shares
Number of restricted share units
Number of restricted share units, Beginning balance \| shares	1,415,000
Number of restricted share units, Granted \| shares	1,055,000
Number of restricted share units, Vested \| shares	(272,500)
Number of restricted share units, Ending balance \| shares	2,197,500
Weighted-average grant date fair value
Weighted-average grant date fair value, Beginning balance \| $ / shares	$ 17.16
Weighted-average grant date fair value, Granted \| $ / shares	21.53
Weighted-average grant date fair value, Vested \| $ / shares	20.02
Weighted-average grant date fair value, Ending balance \| $ / shares	$ 18.90

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Mar. 31, 2022	Dec. 31, 2021
Statement of Financial Position [Abstract]
Common stock, par value	$ 0.00003881	$ 0.00003881
Common stock, shares authorized	1,288,327,750	1,288,327,750
Common stock, shares issued	44,710,678	44,548,925
Common stock, shares outstanding	44,710,678	44,548,925

Summary of Significant Accounting Policies and Recent Accounting Pronouncements - Company's Financial Assets and Liabilities Measured at Fair Value (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Other long-term liabilities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value, net asset (liability)	$ 556	$ 953
Cash and cash equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value, net asset (liability)	60,320	66,585
Fair Value, Inputs, Level 1 [Member] \| Other long-term liabilities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value, net asset (liability)	556	953
Fair Value, Inputs, Level 1 [Member] \| Cash and cash equivalents
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair value, net asset (liability)	$ 60,320	$ 66,585

Summary of Significant Accounting Policies and Recent Accounting Pronouncements - Schedule of Change in Asset Retirement Obligations (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Asset Retirement Obligation [Abstract]
Balance at beginning of period	$ 2,081	$ 1,814
Additional asset retirement obligations during the period	10
Amortization of interest	42	35
Effects of exchange rate	(19)	7
Balance at end of period	$ 2,114	$ 1,856

Summary of Significant Accounting Policies and Recent Accounting Pronouncements - Schedule of Anti-dilutive Securities Excluded from Computation of Earnings per Share (Details) - shares	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from computation of earning per share, amount	9,339,934	7,508,592
Share Options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from computation of earning per share, amount	6,969,337	6,168,592
Restricted share units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from computation of earning per share, amount	2,197,500	1,050,000
Restricted ordinary shares subject to forfeiture
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive securities excluded from computation of earning per share, amount	173,097	290,000

Summary of Significant Accounting Policies and Recent Accounting Pronouncements - Summary of Non-Current Assets by Geographical Area (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Operation By Geographical [Line Items]
Non-current assets	$ 144,768	$ 136,921
United States
Operation By Geographical [Line Items]
Non-current assets	23,071	23,636
United Kingdom
Operation By Geographical [Line Items]
Non-current assets	43,227	43,349
European Union
Operation By Geographical [Line Items]
Non-current assets	$ 78,470	$ 69,936

Share-Based Compensation - Schedule of Share-Based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Share Based Compensation Expense [Line Items]
Total share-based compensation	$ 7,578	$ 4,817
General and Administrative Expense [Member]
Share Based Compensation Expense [Line Items]
Total share-based compensation	3,946	2,539
Research and Development Expenses [Member]
Share Based Compensation Expense [Line Items]
Total share-based compensation	$ 3,632	$ 2,278

Income Taxes - Additional Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Income Tax Disclosure [Abstract]
Provision for income taxes	$ 0	$ 0

Related-Party Transactions - Collaboration and License Agreements (Details) - USD ($) $ in Thousands		3 Months Ended		12 Months Ended
	Jan. 30, 2019	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021	Dec. 31, 2019	Feb. 27, 2019
Related Party Transaction [Line Items]
Shares issued to related party		44,710,678		44,548,925
Clinical IRD Product Candidate development \| Maximum
Related Party Transaction [Line Items]
Additional development and commercialization milestones	$ 340,000
Clinical IRD Product Candidate development \| Collaboration Agreement
Related Party Transaction [Line Items]
Royalties receivable, as a percentage	20.00%
JJDC \| Private Placement [Member]
Related Party Transaction [Line Items]
Shares issued to related party						2,898,550
Janssen Pharmaceuticals Inc \| Collaboration Agreement
Related Party Transaction [Line Items]
Collaboration agreement upfront payment					$ 100,000
Milestone payments				$ 30,000
Deferred revenue - related party recognized as license revenue		$ 5,633	$ 4,600	$ 37,701
Reimbursement of research and development expenses		$ 13,200	$ 11,700
Estimated period to recognize remaining deferred revenue		3 years 3 months
Remaining deferred revenue		$ 57,500
Janssen Pharmaceuticals Inc \| Research, development and commercialization of gene therapies \| Collaboration Agreement
Related Party Transaction [Line Items]
Collaboration agreement upfront payment	$ 100,000
Janssen Pharmaceuticals Inc \| Clinical IRD Product Candidate development \| Collaboration Agreement
Related Party Transaction [Line Items]
Percentage of clinical and commercialization costs to be paid by related party	100.00%
Janssen Pharmaceuticals Inc \| Research IRD Candidates development \| Collaboration Agreement
Related Party Transaction [Line Items]
Percentage of clinical and commercialization costs to be paid by related party	100.00%

Leases - Additional Information (Details) $ in Thousands	3 Months Ended
Leases - Additional Information (Details) $ in Thousands	Mar. 31, 2022 USD ($) lease	Mar. 31, 2021 USD ($)	Dec. 31, 2021 USD ($)
Lessee, Lease, Description [Line Items]
Operating lease rent expenses	$ 1,300	$ 1,100
Right-of-use asset	23,223		$ 22,782
Operating lease liability	24,391		$ 23,721
Vivarium Space
Lessee, Lease, Description [Line Items]
Short term lease commitments monthly amount	$ 10
Number of short term leases \| lease	1
Operating lease, term of contract	1 year
Janssen Pharmaceuticals Inc
Lessee, Lease, Description [Line Items]
Number of operating leases \| lease	3
Right-of-use asset	$ 1,800
Operating lease liability	$ 1,800
Minimum
Lessee, Lease, Description [Line Items]
Lease term	3 years
Minimum \| Janssen Pharmaceuticals Inc
Lessee, Lease, Description [Line Items]
Operating lease, term of contract	3 years
Maximum
Lessee, Lease, Description [Line Items]
Lease term	191 years
Maximum \| Janssen Pharmaceuticals Inc
Lessee, Lease, Description [Line Items]
Operating lease, term of contract	9 years

Leases - Schedule of Consolidated Balance Sheets for Leases (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Operating leases
Right-of-use asset	$ 23,223	$ 22,782
Capitalized lease obligations	$ 24,391	$ 23,721
Operating Lease, Liability, Statement of Financial Position [Extensible List]	Liabilities	Liabilities
Finance leases
Right-of-use asset	$ 26,771	$ 27,645
Capitalized lease obligations	$ 8	$ 12
Finance Lease, Liability, Statement of Financial Position [Extensible Enumeration]	Liabilities	Liabilities
Weighted-average remaining lease term
Operating leases	6 years 4 months 24 days	6 years 6 months
Finance leases	176 years 6 months	176 years 8 months 12 days
Weighted-average discount rate
Operating leases	8.50%	8.50%
Finance leases	8.00%	8.00%