In August 2019, we initiated dosing in our ASCEND-MG trial, a Phase
2a clinical trial in patients with MG. We plan to report top-line results from this trial in the first half of 2020. In May 2019, we initiated dosing in our ASCEND-GO 1
trial, a Phase 2a clinical trial in Canada in patients with GO. We anticipate reporting initial results from this trial in the first quarter of 2020. Enrollment is ongoing in our ASCEND-GO 2 trial, a Phase 2b
clinical trial for GO in the United States, Canada and Europe. We plan to report initial results from this trial in early 2021. In November 2019, we submitted our investigational new drug application, or IND, to the U.S. Food and Drug
Administration, or the FDA, for WAIHA, and in December 2019, our IND was cleared for Phase 2 trial initiation. We plan to report initial results from the Phase 2a WAIHA study in the fourth quarter of 2020.
ISL was incorporated in July 2018 and its operations prior to the closing of the Business Combination (as defined below) were limited to organizing and
staffing ISL, acquiring the rights to IMVT-1401, and preparing for and conducting clinical trials. To date, we have not generated any revenue and have generated significant operating losses since our inception. As of December 31, 2019, we had
an accumulated deficit of $70.7 million. We recorded net losses of $11.3 and $45.8 million for the three and nine months ended December 31, 2019, respectively, and $8.8 million and $19.6 million for the three and nine months
ended December 31, 2018, respectively.
Our financial statements are derived by carving out the historical results of operations and historical cost
basis of the assets and liabilities associated with IMVT-1401 that have been contributed to us by Roivant Sciences Ltd., or RSL, from RSLs financial statements. Our financial statements have been presented as if we had been a separate business
since the acquisition of IMVT-1401 by Roivant Sciences GmbH, or RSG, on December 19, 2017 and accordingly, the assets, liabilities and expenses relating to our operations have been separated from RSL in the financial statements for periods
prior to and after our formation through March 31, 2019 and the nine months ended December 31, 2019. The financial statements as of and for the nine months ended December 31, 2018, the year ended March 31, 2019, and the nine
months ended December 31, 2019 include reasonable allocations for assets and liabilities and expenses attributable to our operations. Beginning on July 6, 2018 (date of formation), the combined and consolidated financial statements include
our accounts and those of our wholly owned subsidiaries.
Business Combination and Recapitalization
On December 18, 2019, Health Sciences Acquisition Corporation, or HSAC, completed its acquisition of Immunovant Sciences Ltd., or ISL, pursuant to the
share exchange agreement dated as of September 29, 2019, or the Share Exchange Agreement, by and among HSAC, ISL, the stockholders of ISL, or the Sellers, and RSL, as representative of the Sellers. As of the closing of the Business Combination,
the Sellers owned 100% of the issued and outstanding common shares of ISL. At the closing, HSAC acquired 100% of the issued and outstanding ISL Shares, in exchange for 42,080,376 shares of HSAC common stock issued to the Sellers and 10,000 shares of
HSAC Series A preferred stock issued to RSL, or the Business Combination. Upon the closing of the Business Combination, ISL became a wholly owned subsidiary of HSAC and HSAC was renamed Immunovant, Inc. The aggregate value of the
consideration paid by HSAC in the Business Combination was $420.9 million, consisting of 42,090,376 shares of HSAC capital stock valued at $10.00 per share.
ISL was founded on July 6, 2018 as a Bermuda exempted limited company and a wholly owned subsidiary of RSL. HSAC was incorporated in Delaware on
December 6, 2018 and was formed as a blank check company for the purpose of effecting a merger, share exchange, asset acquisition, stock purchase, recapitalization, reorganization or similar business combination with one or more businesses.
The Business Combination was accounted for as a reverse recapitalization and HSAC was treated as the acquired company for accounting
purposes. Accordingly, for accounting purposes, the Business Combination was treated as the equivalent of ISL issuing stock for the net assets of HSAC, accompanied by a recapitalization. Reported amounts from operations included herein prior to the
Business Combination are those of ISL.
Our Key Agreements
License Agreement with HanAll Biopharma Co., Ltd.
In December 2017, RSG entered into the HanAll Agreement. Under the HanAll Agreement, RSG received (1) the
non-exclusive right to manufacture and (2) the exclusive, royalty-bearing right to develop, import and use the antibody referred to as IMVT-1401 and certain back-up
and next-generation antibodies, and products containing such antibodies, and to commercialize such products, in the United States, Canada, Mexico, the E.U., the U.K., Switzerland, the Middle East, North Africa and Latin America, or the Licensed
Territory, for all human and animal uses, during the term of the agreement. In December 2018, we obtained and assumed all rights, title, interest and obligations under the HanAll Agreement from RSG, including all rights to IMVT-1401 from RSG in the
Licensed Territory, pursuant to an assignment and assumption agreement between RSG and its wholly owned subsidiary, ISG, for an aggregate purchase price of $37.8 million plus Swiss value-added tax of $2.9 million.