Transition report pursuant to Rule 13a-10 or 15d-10

Related Party Transactions

v3.21.1
Related Party Transactions
9 Months Ended
Dec. 31, 2020
Related Party Transactions [Abstract]  
Related Party Transactions

NOTE 13 — RELATED PARTY TRANSACTIONS

 

In October 2017, Sekisui purchased all outstanding shares of the Company’s Series D and Series D-1 preferred stock from Gen-Probe Incorporated. As such, Sekisui became a related party as of October 2017. These Series D and Series D-1 preferred stock shares were converted into 1,980,233 shares of the Company’s common stock in connection with the reverse recapitalization transaction in May 2020. However, during the nine months ended December 31, 2020, Sekisui ceased to be a related party, so sales to (and costs related to sales to) Sekisui will not be classified as “related party” line items in our 2021 statement of operations.

 

The following are transactions made between the Company and Sekisui as of and for the nine months ended December 31, 2020 and year ended March 31, 2020:

 

  The Company sells products and provides collaborative research and development (“R&D”) services to Sekisui. As of December 31, 2020 and March 31, 2020, the Company had a receivable from Sekisui of approximately $381,000 and $290,000, respectively. The Company recorded product sales to Sekisui of approximately $1.6 million and $3.4 million for the nine months ended December 31, 2020 and year ended March 31, 2020, respectively. In May 2019, the Company and Sekisui terminated the R&D portion of their distribution and development agreement. There was no collaborative R&D revenue from Sekisui for the nine months ended December 31, 2020 and year ended March 31, 2020. The Company had cost of product sales relating to Sekisui of approximately $1.7 million and $2.5 million for the nine months ended December 31, 2020 and year ended March 31, 2020, respectively. R&D expenses relating to Sekisui were approximately $0 and $525,000 for the nine months ended December 31, 2020 and year ended March 31, 2020, respectively.
     
  As of December 31, 2020 and March 31, 2020, the Company had approximately $0 and $0.9 million, respectively, classified as due to related party (Sekisui) on the accompanying balance sheets. The Company satisfied the $0.9 million obligation which existed at March 31, 2020 (related to product development financing payments made by Sekisui) by payment in full on July 21, 2020.
     
  As of December 31, 2020 and March 31, 2020, the Company had approximately $95,000 and $271,000 classified as deferred revenue from Sekisui on the accompanying balance sheets, respectively.