Quarterly report pursuant to Section 13 or 15(d)

Fair Value Disclosures (Tables)

v3.23.3
Fair Value Disclosures (Tables)
9 Months Ended
Sep. 30, 2023
Fair Value Disclosures [Abstract]  
Schedule of liabilities measured on recurring basis The following table provides information for liabilities measured at fair value on a recurring basis using Level 3 inputs:
September 30, 2023 December 31, 2022
Contingent Consideration:
Current $ 495,000  $ 322,385 
Non-current 5,002,505  3,309,175 
Total Contingent Consideration $ 5,497,505  $ 3,631,560 
Schedule of unobservable Level 3 inputs
After the initial valuation, the Company generally uses its best estimate to measure contingent consideration at each subsequent reporting period using the following unobservable Level 3 inputs:
Valuation Technique Unobservable Inputs September 30, 2023 December 31, 2022
Discounted cash flow Payment discount rate 13.6  % 14.7  %
Bayon Payment period 2023 - 2028 2023 - 2028
Panoptes Payment period 2025 - 2028 2024 - 2028
Jade Payment period 2027 2026
Bayon Probability of success for payment
42% - 100%
17% - 67%
Panoptes Probability of success for payment
30% - 33%
17% - 36%
Jade Probability of success for payment 56  % 56  %
The Company engaged a third-party valuation firm to complete a quantitative assessment of in-process R&D as of August 31, 2023 which includes the following unobservable Level 3 inputs:
Valuation Technique Unobservable Inputs Input Discount Rate
KIO-101 Relief from Royalty Method Probability of success for next development phase 17  % 30  %
KIO-104 Multi-Period Excess Earnings Method Probability of success for next development phase
17% to 36%
25  %
KIO-201 Relief from Royalty Method Probability of success for next development phase
17% to 46%
30  %
KIO-301 Multi-Period Excess Earnings Method Probability of success for next development phase
17% to 67%
25  %