0001104659-24-003760 | F-1 | XBRL Viewer

Schedule of borrowings

Borrowings are summarized as follows (in thousands):


	September 30,		December 31,
	2023		2022
Loan from lessor	$	1,016	$	1,068
EIB Loan		7,123		6,932
Total Borrowings		8,139		8,000
Less: Borrowings, current portion		(150)		(136)
Total Borrowings, net of current portion	$	7,989	$	7,864


	December 31,
		2022		2021
Loan from lessor	$	1,068	$	1,170
EIB Loan		6,932		—
Total Borrowings		8,000		1,170
Less: Borrowings, current portion		(136)		(126)
Total Borrowings, net of current portion	$	7,864	$	1,044

Basic and Diluted Loss Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Basic and Diluted Loss Per Share
Net loss attributable to shareholders of Evaxion Biotech A/S					$ (23,169)	$ (24,532)	$ (15,018)
Weighted-average number of ordinary shares outstanding					23,638,685	19,493,143	15,434,758
Loss per share - basic (in USD per share)	$ (0.21)	$ (0.24)	$ (0.66)	$ (0.69)	$ (0.98)	$ (1.26)	$ (0.97)
Loss per share - diluted (in USD per share)	$ (0.21)	$ (0.24)	$ (0.66)	$ (0.69)	$ (0.98)	$ (1.26)	$ (0.97)

Summary of Significant Accounting Policies (Policies)

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Reclassifications of prior period presentation

Basis of Preparation

Basis of Preparation

The unaudited condensed consolidated interim financial statements of the Company are prepared in accordance with International Accounting Standard 34, “Interim Financial Reporting.” Certain information and disclosures normally included in the annual consolidated financial statements prepared in accordance with International Financial Reporting Standards (“IFRS”) have been condensed or omitted. Accordingly, these unaudited condensed consolidated interim financial statements should be read in conjunction with the Company’s audited annual consolidated financial statements for the year ended December 31, 2022 and accompanying notes, which have been prepared in accordance with IFRS as issued by the International Accounting Standards Board.

The preparation of financial statements in conformity with IFRS requires the use of certain critical accounting estimates and requires management to exercise its judgment in the process of applying the Company’s accounting policies. The areas involving a higher degree of judgment or complexity, or areas where assumptions and estimates are significant to the unaudited condensed consolidated interim financial statements are disclosed in Note 4.

The accounting policies applied are consistent with the accounting policies as outlined in the basis of presentation section included in Note 3 of the audited financial statements as of and for the year ended December 31, 2022, except for amendments to standards mentioned below.

Basis of Preparation

The financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”).

The preparation of financial statements in conformity with IFRS requires the use of certain critical accounting estimates and requires management to exercise its judgment in the process of applying the Company’s accounting policies. The areas involving a higher degree of judgment or complexity, or areas where assumptions and estimates are significant to the consolidated financial statements are disclosed in Note 4.

The financial statements are presented in the Company’s presentation currency, U.S. dollar (“USD”) which is not the functional currency of the parent company. The Group’s financial statements are presented in USD as the result of the Company’s publicly listing the ADSs in the United States. The company’s functional currency is DKK for Denmark, AUD for Australia, and USD for the United States. The financial statements have been prepared on a going concern basis using a historical cost basis. All financial assets and liabilities are measured at amortized cost unless otherwise stated.

Reclassifications of prior period presentation

Certain items included in the notes to prior year consolidated financial statements have been reclassified to conform to the current period’s presentation. The reclassifications are immaterial to the consolidated financial statements.

Basis of consolidation

Basis of Consolidation

The audited consolidated financial statements of the Company comprise the Statement of Financial Position as of December 31, 2022 and 2021, and the Statement of Comprehensive Loss for the twelve months ended December 31, 2022, 2021 and 2020. Subsidiaries are entities controlled by the Company. The Company controls an entity when it is exposed to, or has rights to, variable returns from its involvement with the entity and can affect those returns through its power over the entity. The financial statements of subsidiaries are included in the audited consolidated financial statements from the date that control commences until the date that control ceases. Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the Company. Control is reassessed whenever facts and circumstances indicate that there are changes of the control.

All intra-Group assets and liabilities, equity, income, expenses, and cash flows relating to transactions between members of the Group are eliminated in full in consolidation.

Retrospective effect of share split and bonus share issuance

Retrospective effect of share split and bonus share issuance

All share and per share data, including that related to warrants, in the consolidated financial statements give retroactive effect to a 2:1 share split and a bonus issue of shares in the ratio of 17:1 of the Company’s authorized, issued and outstanding ordinary shares, which was effective on January 4, 2021, with the corresponding impacts on both share capital and share premium also retroactively recognized.

Currency translation of transactions and balances

Currency translation of transactions and balances

Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the dates of the transactions. Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at year-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognized as financial income or financial expenses in the statements of comprehensive loss. Non-monetary items in foreign currency which are measured at cost at the statements of financial position date are translated using the exchange rates at the date of the transaction.

Translation of foreign operations

Translation of foreign operations

Assets and liabilities in the Company’s functional currency, DKK and AUD, for Denmark and Australia, respectively, are translated to the Company’s presentation currency at the exchange rate applicable on December 31 for the respective year. Income and expenses in the Company’s functional currency are translated to USD at the average exchange rate which corresponds to an approximation of the exchange rates prevailing on each individual transaction date. Translation differences arising in the translation to presentation currency are recognized in other comprehensive income.

Research and development expenses

Research and development expenses are primarily internal and external costs incurred in the development of the Company’s product candidates, including personnel costs, share-based compensation, external research and development expenses, maintenance of the Company’s patents, overhead allocation and enhancements and maintenance of the Company’s technology platforms.

The research activities are comprised of activities performed before filing an IND or equivalent and necessary pre-clinical activities for such product candidates. All research expenses are recognized in the period in which they are incurred and payments made prior to the receipt of goods or services to be used in research and development are deferred until the goods or services are received. The Company records accruals for estimated research and development costs, comprising payments for work performed by third-party contractors and others. Payments for these activities are based on the terms of the individual agreements, which may differ

from the timing of the expense recognition of these costs, in which case, they are reflected in the financial statements as either prepaid- or accrued expenses.

The development activities are comprised of the activities performed following the filing of an IND or equivalent clinical-enabling activities for such product candidates, including but not limited to, research and clinical development activities. In line with industry practice, internal and subcontracted development costs are expensed as incurred. Due to regulatory uncertainties and other uncertainties inherent in the development of new products, development expenses do not qualify for capitalization as intangible assets until marketing approval by a regulatory authority is obtained or considered highly probable. To date, the Company has not incurred any development costs which qualified for capitalization.

Contract Research Organizations expenses and related prepayments and accruals

Substantial portions of the Company’s clinical studies are performed by third-party laboratories, medical centers, contract research organizations and other vendors (collectively, the “CROs”). The CROs generally bill monthly or quarterly for services performed. For studies, the Company accrues expenses based upon estimated percentage of work completed.

The Company’s estimates depend on the timeliness and accuracy of the data provided by the CROs regarding the status of each program and total program spending. The Company evaluates the estimates to determine if adjustments are necessary or appropriate based on information received.

CROs invoice the Company upon the occurrence of predetermined contractual or activity-based milestones; however, the timing of these invoices and the Company’s related payments often do not correspond directly to the level of performance of contracted activities. To the extent payments are made by the Company in advance of the related activities performed by the CROs, they are included in prepayments to clinical research organizations and expensed when the activities performed by the CROs. To the extent the payments are made by the Company following the performance of the related activities, the expense is accrued for as a payable to clinical research organizations.

Intellectual property

The Company actively seeks to create, maintain and protect intellectual property and proprietary information and technology that is considered important to the Company’s business, which includes seeking and maintaining patents covering proprietary technology, product candidates, proprietary processes and any other inventions that are commercially and / or strategically important to the Company’s business development. These expenses are expensed as incurred and not capitalized as intangible assets until marketing approval by a regulatory authority is obtained or considered highly probable. The Company has not incurred any costs that qualify for capitalization.

Income from government grants

The Company receives grants for certain research and development activities. The grant income is recognized as a reduction of research and development expenses in the period in which the underlying expenditures were incurred and when there is reasonable assurance that the Company will comply with all conditions to receive the grant income. Government grants comprise direct grants and tax credits related to qualifying research and development costs in excess of the corporate tax rate. Tax credits in an amount up to the corporate tax rate are classified as income tax benefits.

General and administrative expenses

General and administrative expenses consist primarily of fees paid to external consultants and personnel costs, including share-based compensation for the Company’s executive, finance, corporate and business development functions. In addition, general and administrative expenses also include depreciation and other expenses for the Company’s corporate headquarters as well as other allocated overhead.

Share-based payments

The Company issues warrants as an incentive to employees and non-employees. The fair value of the warrants granted is recognized as an expense with a corresponding credit to accumulated deficit. The fair value is expensed over the requisite service period of the awards. The expense recognition is based on an estimate of the number of warrants expected to vest. The estimate is reassessed regularly, and on a cumulative basis, the expense is equal to the fair value of the number of warrants which actually vest.

For employees and consultants providing services similar to employees of the Company, the fair value of the equity instruments is determined at the date of grant resulting in a fixed fair value at grant date that is not adjusted for future changes in the fair value of the equity awards that may occur over the service period. The grant date is defined as the date at which the parties agree to the contractual terms.

For consultants providing other services that are not similar to employees of the Company, the transactions are measured at the fair value of the services received unless this is not reliably measurable. In such cases, the transactions are measured at fair value of the equity instruments granted at the dates when the services are provided.

Modification of warrants which are beneficial are accounted for with their incremental value or over the shorter vesting period. Non-beneficial modifications such as an extension of the vesting period are not accounted for. Consequently, the original terms are deemed to continue to exist. The Company estimates the fair value of warrants using the underlying value of the Company’s ordinary shares. Since the warrants granted before December 2020 are exercisable for nominal consideration, the warrants are valued using the fair value of the Company’s ordinary shares on grant date less the exercise consideration. Warrants granted during 2022 and 2021 are valued using a black-scholes share option pricing model. The assumptions used in calculating the fair value of share-based awards represent management’s best estimates and involve inherent uncertainties and the application of management’s judgment. The key assumption in this estimate is the fair value of the Company’s ordinary share on the warrant grant date.

Accounting for joint operations - Southern Denmark University

Accounting for joint operations – Southern Denmark University

The Company enters into agreements from time to time that may be subject to the requirements of IFRS 11, Joint Arrangements. The Company evaluates these agreements on execution and applies the requirements of the guidance. The collaboration agreement with Southern Denmark University (“SDU”) is considered a joint operation as defined in IFRS 11, with the principal place of business being Denmark. In September 2020, the Company terminated its existing agreement with SDU. For the year ended December 31, 2020, the Company recorded $0.3 million in compensation cost for SDU employees which was reported in research and development costs in the statement of comprehensive loss.

Accounting for joint operations - MSD International GmbH and MSD International Business GmbH

The Company has entered into a collaboration agreement with MSD International GmbH and MSD International Business GmbH (jointly ‘MSD’). Under the arrangement, the Company will share its clinical trial in which the Company’s compound and MSD’s compound is dosed in combination.

In determining the accounting treatment for these types of arrangements, the Company carefully evaluates the relationship between the two parties in order to determine whether the arrangement is, in substance, a collaboration arrangement between the two parties (to be accounted for in accordance with IFRS 11, Joint Arrangements), or rather, a vendor-customer contract (to be accounted for in accordance with IFRS 15, Revenue from Contracts with Customers).

Management has determined that MSD does not meet the definition of a customer under IFRS 15. Consequently, the arrangement is classified as a collaboration arrangement and is accounted for as a joint operation in accordance with IFRS 11 resulting in the recognition of the Company’s own income and expense and assets and liabilities, respectively.

Finance Income

Finance income consists primarily of foreign currency gains, and a gain from changes in fair value of liability-classified warrants.

Finance Expense

Finance expenses consists primarily of foreign currency losses, interest expense and related loan costs on the EIB Loan Agreement (as defined herein), and interest expense on leasing liabilities.

Income tax

The income tax for the period comprises current and deferred tax, including prior-year adjustments and changes in provisions for uncertain tax positions. Tax is recognized in the statement of comprehensive loss, except to the extent that it relates to items recognized in equity.

Research and development tax credits are available to the Group under the tax laws of Denmark and Australia respectively, based on qualifying research and development spend as defined under those tax laws. Tax credits not exceeding the corporate tax rate are recognized as an income tax benefit. Tax credits in excess of the corporate tax rate are classified as government grants.

Accruals for uncertain tax positions and/or valuation of government grant receivables require management to make judgments of potential exposures. Accruals for uncertain tax positions and/or valuation of government grant receivables are measured using either the most likely amount or the expected value amount, depending on taxable amounts.

Deferred taxes

Deferred tax is measured according to the liability method on all temporary differences between the carrying amount and the tax base of assets and liabilities. Where the tax value can be determined according to alternative tax rules, deferred tax is measured on the basis of the planned use of the asset or the settlement of the obligation.

Deferred tax assets are measured at the value at which they are expected to be utilized, either through elimination against tax on future earnings or through a set-off against deferred tax liabilities. Deferred tax assets are set off within the same legal tax entity and jurisdiction.

Uncertainties exist with respect to the interpretation of complex tax regulations and the amount and timing of future taxable income. Given the complexity of existing contractual agreements, differences arising between the actual results and the assumptions made, or future changes to such assumptions could necessitate future adjustments to tax income and expenses already recorded. As at December 31, 2022 and 2021, the Company has not recognized any provisions for uncertain tax positions resulting in a risk that the deferred tax asset related to warrants is lower than disclosed.

The Company recognizes deferred income tax assets if it is probable that sufficient taxable income will be available in the future against which the temporary differences and unused tax losses can be utilized. Management has considered future taxable income in assessing whether deferred income tax assets should be recognized and has concluded that the deferred income tax assets do not meet the criteria for recognition as assets in the statements of financial position.

Tax receivables

Current tax assets for the current and prior periods are measured at the amount expected to be recovered from the taxation authorities, using the tax rates and tax laws that have been enacted or substantively enacted by the end of the reporting period.

Deferred offering costs

EIB Loan

All loans and borrowings are classified as financial liabilities and are initially recorded at fair value less the value attributable to any separately accounted for embedded derivative. Further, considerations from the lender for other elements in the transaction are accounted for separately. After initial recognition, any such loans and borrowings are measured at amortized cost using the effective interest method, with the amortization recognized in finance costs.

In August 2020, we executed the EIB Loan Agreement, with European Investment Bank (“EIB”) for a principal amount of €20.0 million, divided into three tranches of €7.0 million, €6.0 million, and €7.0 million (the “EIB Loan”). During the year ended December 31, 2021, the Company initiated the draw of the first tranche of the EIB Loan Agreement. The Company received the proceeds from the draw of the first tranche of €7.0 million (approximately $7.8 million) on February 17, 2022. Under the EIB Loan Agreement, the EIB Loan tranche balances are due six years from their respective disbursement dates. We received the first tranche of €7.0 million (approximately $7.8 million) on February 17, 2022. The loan is initially recorded at fair value less the value attributable to any separately accounted for embedded derivative. The loan is subsequently measured at amortized cost, with the unwinding of the discount recorded in finance costs over the life of the loan.

EIB Warrants

Under the EIB Loan Agreement, EIB is entitled to an aggregate of 1,003,032 cash settled EIB Warrants with an exercise price of 1 DKK per warrant for all tranches (the “EIB Warrants”). On February 17, 2022, 351,036 EIB Warrants were issued to EIB as part of the drawdown of the first tranche of the EIB Loan. The EIB Warrants are part of the overall return to EIB on the financing arrangement and are thus accounted for in accordance with the Financial Instruments Standards (IAS) 32 and IFRS 9. The cost upon initial recognition is accounted for as transaction costs as it is directly linked to the draw down on each individual tranche of the EIB loan. EIB is entitled to elect net in cash settlement of its warrants at any time, and consequently a financial liability for the redemption amount is recognized.

The liability is measured initially at its fair value and is subsequently remeasured at the redemption amount. The redemption amount is equal to the current share price. The remeasurements are presented as finance expense or finance income.

Leases

The Company assesses at contract inception whether a contract is, or contains, a lease. That is, if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration.

The Company applies a single recognition and measurement approach for all leases, except for short-term leases and leases of low-value assets. The Company recognizes lease liabilities for future remaining lease payments and right-of-use assets representing the right to use the underlying assets.

Leasehold improvements and Loan from lessor

The Company’s lease contract comprises funding for the customization of the premises to the Company’s specific needs. The payment is determined based on the actual costs incurred for the customization, a repayment period of 8 years and an interest rate of 6% per annum.

The Company has assessed whether this is a lease component, or a leasehold improvement funded by the lessor. We have considered the following factors:

1.Which party designed the customization

2.Which party had the right to direct changes to the work

3.Who is taking on the economic risk of the cost price of the work

A third party has designed the project according to the Company’s instructions, and the Company had the right to direct changes to the work during the construction period. Further, the Company has the full economic risk of the work due to 1:1 linkage between construction costs and payments to the lessor. Consequently, the Company has assessed that the customization is a leasehold improvement funded by the lessor and accordingly presented a leasehold improvement and a corresponding liability for the loan from the lessor.

Right-of-use assets

The Company recognizes a right-of-use asset at the lease commencement date (i.e., the date the underlying asset is available for use). Right-of-use assets are measured at cost less any accumulated depreciation and impairment losses and adjusted for certain remeasurements of lease liabilities. The cost of right-of-use assets includes the amount of lease liabilities recognized, lease payments made at or before the commencement date less any lease incentives received, initial direct costs incurred, and restoration costs.

Right-of-use assets are depreciated over the shorter of the lease term and the useful life of the right-of-use asset using the straight-line method. In addition, right-of-use assets are reduced by impairment losses, if any, and adjusted for certain remeasurements.

The Company’s right-of-use assets are presented within property and equipment, net.

Lease liabilities

At the commencement date of the lease, the Company recognizes lease liabilities measured at the present value of the following payments, when applicable:

●

fixed payments (including in-substance fixed payments), less any lease incentives receivable;

●

variable lease payments (linked to an index or interest rate);

●

expected payments under residual value guarantees;

●

the exercise price of purchase options, where exercise is reasonably certain;

●

lease payments in optional renewal periods, where exercise of extension options is reasonably certain;

●

and penalty payments for the termination of a lease, if the lease term reflects the exercise of the respective termination option.

The lease payments are discounted using the interest rate implicit in the lease if this rate can be readily determined. Otherwise, the Company’s incremental borrowing rate is used, being the rate that the Company would have to pay to borrow the funds necessary to obtain an asset of similar value to the right-of-use asset in a similar economic environment with similar terms, security and conditions. Generally, the Company uses its incremental borrowing rate as the discount rate.

Lease liabilities are subsequently measured at amortized cost using the effective interest method. In addition, the carrying amount of the lease liabilities are remeasured if there is a modification, a change in the lease term, or a change in the lease payments (e.g., changes to future payments resulting from a change in an index or rate used to determine such lease payments).

Intangible assets

Intangible assets

The Company recognized intangible assets for licenses. Licenses are measured at cost less cumulative amortization and impairment. Cost is measured at fair value of the consideration transferred with addition of transactions costs. If additional consideration is transferred to the seller due to meeting certain milestones, these payments are added to the cost price once the conditions for making the payments are met.

The capitalized assets are amortized over their useful lives, which are determined on the basis of the expected pattern of consumption of the expected future economic benefits embodied in the license or similar development agreement. Amortization commences only once the necessary regulatory and marketing approval has been received for the product candidates to which they relate. To date, the Company has not received any regulatory and marketing approval for any of its product candidates. Consequently, the Company did not recognize any amortization expense for its intangible assets.

Property and equipment

Property and equipment are stated at cost, net of accumulated depreciation and accumulated impairment losses, if any. Depreciation is recognized on a straight-line basis over the estimated useful lives of the assets, as follows:

Assets		Useful life
Properties		Shorter of lease term and useful life of the asset
Leasehold improvements		11 years
Other equipment		5 – 10 years

Impairment of non-financial assets

Assets are tested for impairment annually, or whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognized for the amount by which the asset’s carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset’s fair value less costs of disposal and value in use. For the purposes of assessing impairment, assets are grouped at the lowest levels for which there are separately identifiable cash inflows which are largely independent of the cash inflows from other assets or groups of assets (cash-generating units). Non-financial assets other than goodwill that suffered impairment are reviewed for possible reversal of the impairment at the end of each reporting period. The Company has not recognized any impairment losses to date.

Provisions

Provisions

Provisions are recognized when we have an existing legal or constructive obligation as a result of events occurring prior to or on the balance sheet date, and it is probable that the utilization of economic resources will be required to settle the obligation. Provisions are measured as the best estimate of the expense necessary to settle the obligation at the balance sheet date. Provisions that are estimated to mature after more than one year after the balance sheet date are measured at their present values, using a discount rate based on the Company’s risk adjusted incremental borrowing rate.

Financial instruments

A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity. Financial instruments are classified at initial recognition, including on the basis of the purpose for which the instrument was acquired and managed. This classification determines the valuation of the instruments.

(i) Non-derivative financial assets

Non-derivative financial assets are recognized initially on the date they are originated. The Company derecognizes non-derivative financial assets when the contractual rights to cash flows expire or it transfers the right to receive cash flows in a transaction which transfers substantially all the risks and rewards of ownership of the asset. The Company’s financial assets are initially recognized at fair value and subsequently measured at amortized cost less accumulated impairment losses.

The Company holds the following categories of non-derivative financial assets:

Receivables

Receivables (including lease deposits, receivables and receivables from unpaid capital) represent the Company’s right to an amount of consideration that is unconditional (i.e., only the passage of time is required before payment of the consideration is due). They are measured at amortized cost less impairment.

Prepayments include expenditures related to future financial periods and are measured at amortized cost.

Cash and cash equivalents

Cash is comprised of cash on hand and in bank deposit accounts. Cash equivalents are instruments with original maturities of 90 days or less. The Company does not have any cash equivalents for the years ended December 31, 2022 and 2021.

(ii) Non-derivative financial liabilities

Non-derivative financial liabilities comprise other payables which are measured initially at fair value and subsequently at amortized cost.

Trade Payables

Trade payables and accruals relate to the Group’s purchase of products and services from various vendors in the normal course of business.

Other Payables

Other payables are comprised of payables to clinical research organizations, employee liabilities and other liabilities. The contract liabilities consist of CROs and vendor accruals. Employee cost liabilities are comprised of provision for holiday allowance, provision for salaries and other employee related provisions. Other liabilities consist of commitments and liabilities related to government grants received in advance.

Segment Information

An operating segment is a part of the Company that conducts business activities from which it can generate revenue and incur costs, and for which independent financial information is available. Identification of segments is based on internal reporting to the chief operating decision maker (“CODM”). The CODM for the Company is the Chief Executive Officer. The Company does not divide its operations into different segments and the CODM operates and manages the Company’s entire operations as one segment, which is consistent with the Company’s internal organization and reporting system. The Company does not have any revenue and there are no material non-current assets attributable to countries other than Denmark.

Shareholders' Equity

Shareholders’ Equity

The share capital comprises the nominal amount of the company’s ordinary shares, each at a nominal value of DKK 1.

Other reserves includes the share premium comprising the amount received, attributable to shareholders’ equity, in excess of the nominal amount of the shares issued at the company’s capital increases, reduced by any expenses directly attributable to the capital increases as well as translation reserves. Translation reserves include exchange rate adjustments of equity and intragroup receivables forming part of the net investments in our group enterprises.

Accumulated deficit includes the accumulated profit or loss as well as well as the reserve for share-based payment representing the corresponding entries to the share-based payment recognized in the profit or loss, arising from our warrant programs.

Loss Per Share

The calculation of basic loss per share is based on the Company’s net loss for the year attributable to shareholders of Evaxion Biotech A/S and on the weighted average number of ordinary shares outstanding during the year. The number of shares outstanding take in effect the 2 for 1 stock split and the 17 for 1 bonus share issuance on January 4, 2021. In calculating diluted loss per share, earnings and the average number of shares are adjusted for the dilutive effects of potential ordinary shares. Loss per share is not adjusted for any dilution that results in a loss per share that is lower than loss per ordinary share before dilution.

Standards issued but not yet effective

The implementation of the amendments did not give rise to changes to reported financial figures.

Implemented standards

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Amendment to IAS 1 Presentation of Financial Statements: Disclosure of Accounting Policies (January 1, 2023)

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Amendment to IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors: Definition of Accounting Estimates (January 1, 2023)

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Amendment to IAS 12 Accounting Policies, Deferred tax related to Assets and Liabilities arising from a Single Transaction (January 1, 2023)

Standards issued but not yet effective

There were a number of standards and interpretations which were issued but were not yet effective at September 30, 2023 and have not been adopted for these financial statements, including:

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Amendments to IAS 1 Presentation of Financial Statements: Classification of Liabilities as Current or Non-current (January 1, 2024)

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Amendments to IFRS 16 Accounting Policies, Lease Liability in a Sales and Leaseback (January 1, 2024)

The Company expects to adopt these standards, updates and interpretations when they become mandatory. These standards are not expected to have a significant impact on disclosures or amounts reported in the Company’s financial statements in the period of initial application and future reporting periods.

Income Taxes - Analysis of charge(credit) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Income Taxes
Income tax expense/(benefit)	$ (194)	$ (175)	$ (613)	$ (599)	$ (772)	$ (178)	$ (1,557)
Total income taxes for the year	$ (194)	$ (175)	$ (613)	$ (599)	(772)	(178)	(1,557)
Operating tax loss carry-forwards					$ 13,600	$ 9,500	$ 3,800

The aggregate amount included in the determination of profit (loss) for the period in respect of current tax and deferred tax. [Refer: Current tax expense (income); Deferred tax expense (income)]

Schedule of prepayments and other receivables

Share-Based Payments - Schedule of Warrants (Details) $ / shares in Units, $ in Thousands			1 Months Ended									3 Months Ended		9 Months Ended							12 Months Ended
	Mar. 15, 2023	Apr. 30, 2020 EquityInstruments	Sep. 30, 2022 EquityInstruments $ / shares	May 31, 2022 EquityInstruments	Mar. 31, 2022 EquityInstruments	Dec. 31, 2021 EquityInstruments	Dec. 31, 2021 EquityInstruments	Oct. 31, 2021 EquityInstruments	Jun. 30, 2021 USD ($) EquityInstruments Options	Dec. 31, 2020 EquityInstruments	Oct. 31, 2019 USD ($)	Sep. 30, 2023 USD ($) $ / shares	Sep. 30, 2022 USD ($) $ / shares	Sep. 30, 2023 USD ($) EquityInstruments $ / shares	Sep. 30, 2022 EquityInstruments $ / shares	Sep. 30, 2022 Options $ / shares	Sep. 30, 2022 $ / shares	Sep. 30, 2022 USD ($) $ / shares	Sep. 30, 2022 kr / shares $ / shares	Sep. 30, 2022 $ / shares	Dec. 31, 2022 EquityInstruments	Dec. 31, 2022 EquityInstruments	Dec. 31, 2022 EquityInstruments Options	Dec. 31, 2022 EquityInstruments	Dec. 31, 2022 USD ($) EquityInstruments	Dec. 31, 2022 EquityInstruments kr / shares	Dec. 31, 2022 EquityInstruments $ / shares	Dec. 31, 2022 EquityInstruments shares	Dec. 31, 2021 EquityInstruments	Dec. 31, 2021 EquityInstruments	Dec. 31, 2021 EquityInstruments Options	Dec. 31, 2021 USD ($) EquityInstruments	Dec. 31, 2021 EquityInstruments kr / shares	Dec. 31, 2021 EquityInstruments $ / shares	Dec. 31, 2021 EquityInstruments shares	Dec. 31, 2020	Dec. 31, 2020 EquityInstruments	Dec. 31, 2020 USD ($)	Dec. 31, 2020 kr / shares	Dec. 31, 2019 EquityInstruments kr / shares	Dec. 31, 2022 USD ($)	Dec. 31, 2022 shares	Dec. 31, 2021 Options	Dec. 31, 2021 USD ($)	Jan. 31, 2019 USD ($)
Number of warrants outstanding
Service cost \| $												$ 100	$ 200	$ 400				$ 700							$ 942							$ 1,379						$ 3,408
Weighted Average Remaining Contractual Life (years)
Warrants granted, remaining contractual life																					11 years
Executive management
Number of warrants outstanding
Warrants granted																						491,612
Warrants
Number of warrants outstanding
Warrants granted as at beginning of period														2,743,093			2,732,618							2,732,618
Warrants exercised														(351,515)			(345,548)
Warrants granted														260,000			161,000
Warrants forfeited														(82,381)			(16,623)
Warrants granted as at end of period			2,531,447				2,732,618					2,569,197	2,531,447	2,569,197			2,531,447							2,743,093
Warrants exercisable as at end of period			1,962,252									1,894,591	1,962,252	1,894,591	1,962,252	1,962,252	1,962,252	1,962,252	1,962,252	1,962,252
Service period																					36 months
Percentage of vesting																								2.80%
Service cost \| $																									$ 1,000							$ 1,400						$ 3,400
Warrants granted						523,599			62,147	1,655												491,612						491,612		63,802							363,168
Warrants exercised																						(388,181)								(62,284)
Warrants forfeited		(45,216)																				(92,956)								(10,178)							(45,216)
Warrants cancelled																														(10,397)							(22,032)
Warrants granted at beginning of period														2,743,093	2,732,618	2,732,618						2,732,618	2,732,618							2,228,076	2,228,076						1,932,156
Warrants granted at end of period						2,732,618				2,228,076												2,743,093								2,732,618	2,732,618						2,228,076			1,932,156
Warrants exercisable						2,072,122	2,072,122														1,988,106	1,988,106	1,988,106	1,988,106	1,988,106	1,988,106	1,988,106	1,988,106	2,072,122	2,072,122	2,072,122	2,072,122	2,072,122	2,072,122	2,072,122							1,988,106	2,732,618
Weighted Average Exercise Price/Share
Warrants granted at beginning of period, price per share \| (per share)														$ 1.50					kr 7.53							kr 7.53							kr 1						kr 1
Warrants granted, price per share \| (per share)																											$ 2.24						1	$ 5.38					1
Warrants exercised, price per share \| (per share)																											2.42						1
Warrants forfeited, price per share \| (per share)																											1.28						1						1
Warrants granted at end of period, price per share \| (per share)																											1.50						7.53						1	kr 1
Warrants cancelled, price per share \| kr / shares																																	1						kr 1
Warrants granted as at beginning of period \| (per share)														1.50					kr 7.53							kr 7.53
Warrants exercised \| $ / shares														0.14						$ 0.13
Warrants granted \| $ / shares														1.33						2.72
Warrants forfeited \| $ / shares														2.72						5.37
Warrants granted as at end of period \| (per share)			$ 1.32									$ 1.47	$ 1.32	1.47						1.32							1.50						kr 7.53
Warrants exercisable as at end of period \| $ / shares			$ 0.57									$ 1.11	$ 0.57	1.11	$ 0.57	$ 0.57	$ 0.57	$ 0.57	kr 0.57	0.57
Weighted Average Remaining Contractual Life (years)
Warrants granted, remaining contractual life																													13 years							15 years				17 years
Warrants cancelled , remaining contractual life																													15 years
Other information
Ordinary shares purchase price \| $ / shares														$ 1.40						$ 2.31							$ 2.42							$ 5.59
Warrants \| Board of Directors [Member]
Number of warrants outstanding
Warrants granted	10,000
Warrants \| COO [Member]
Number of warrants outstanding
Warrants granted					25,000
Warrants granted																						20,833
Warrants \| CFO [Member]
Number of warrants outstanding
Warrants granted				45,000
Warrants granted																						16,667																		150,660
Warrants \| CEO
Number of warrants outstanding
Warrants granted			50,000
Warrants granted																						3,125
Warrants forfeited																						(45,327)
Warrants \| Executive management
Number of warrants outstanding
Warrants granted														100,000
Service period											3 years										36 months
Warrants granted								0	62,147																					523,599
Warrants granted with immediate vesting \| shares																												2,500							22,916
Weighted average fair value at measurement date \| $									$ 400		$ 1,300																														$ 800			$ 1,500	$ 300

Borrowings - Summary (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022	Dec. 31, 2021
Borrowings.
Loan from lessor	$ 1,016	$ 1,068	$ 1,170
EIB Loan	7,123	6,932
Total Borrowings	8,139	8,000	1,170
Less: Borrowings, current portion	(150)	(136)	(126)
Total Borrowings, net of current portion	$ 7,989	$ 7,864	$ 1,044

Prepayments and other receivables (Tables)

12 Months Ended

Dec. 31, 2022

Prepayments and other receivables


	December 31,
	2022		2021

	(USD in thousands)
VAT receivables	$	287	$	387
Prepayments		2,494		638
Other receivables		10		113
Total prepayments and other receivables	$	2,791	$	1,138

Summary of Significant Accounting Policies - Accounting for joint operation (Details) $ in Millions	12 Months Ended
	Dec. 31, 2020 USD ($)
Southern Denmark University collaboration agreement
Disclosure of joint operations [line items]
Compensation cost	$ 0.3

Share-Based Payments - Warrants (Details)		1 Months Ended				3 Months Ended	9 Months Ended		12 Months Ended
Share-Based Payments - Warrants (Details)	Jan. 04, 2021 kr / shares	Dec. 31, 2021 EquityInstruments kr / shares	Oct. 31, 2021 EquityInstruments	Jun. 30, 2021 EquityInstruments Options	Dec. 31, 2020 EquityInstruments	Jun. 30, 2021 EquityInstruments	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022 kr / shares	Dec. 31, 2022 EquityInstruments kr / shares	Dec. 31, 2022 kr / shares	Dec. 31, 2022 kr / shares $ / shares	Dec. 31, 2022 shares kr / shares	Dec. 31, 2021 EquityInstruments kr / shares	Dec. 31, 2021 EquityInstruments kr / shares $ / shares	Dec. 31, 2020 EquityInstruments kr / shares	Aug. 31, 2022 kr / shares	Feb. 05, 2021 kr / shares	Aug. 10, 2020 kr / shares
Share-Based Payments
Warrants as a percentage of outstanding shares							9.20%	10.60%
Executive management
Share-Based Payments
Warrants granted										491,612
Warrants
Share-Based Payments
Warrants Vesting period							36 months		36 months							36 months
Warrants as a percentage of outstanding shares											11.40%			11.80%	11.80%	13.80%
Warrants granted, price per share \| (per share)												$ 2.24		kr 1	$ 5.38	kr 1
Warrants granted							260,000	161,000
Warrants granted		523,599		62,147	1,655					491,612			491,612	63,802	63,802	363,168
Shares that vest monthly (as a percent)							2.78	2.78
Warrants \| Executive management
Share-Based Payments
Warrants granted							100,000
Warrants granted			0	62,147										523,599	523,599
Warrants \| External consultant
Share-Based Payments
Warrants granted							150,000
Warrants \| CIO
Share-Based Payments
Warrants granted										35,000
Warrants \| CSO
Share-Based Payments
Warrants granted										25,000
Warrants \| CMO
Share-Based Payments
Warrants Vesting period						36 months
Warrants granted						62,147				25,000
Warrants \| CBO
Share-Based Payments
Warrants granted										3,125
Ordinary Shares
Share-Based Payments
Nominal value per share prior to stock split \| kr / shares	kr 2
Nominal value per share \| kr / shares	kr 1	kr 1							kr 1	kr 1	kr 1	$ 1	kr 1	kr 1	$ 1		kr 1	kr 1	kr 1
Ordinary Shares \| Warrants
Share-Based Payments
Increase in number of warrants, ratio	36
Warrants granted exercise price, prior to stock split \| kr / shares	kr 2
Warrants granted, price per share \| kr / shares	kr 1

Cash and Cash Equivalents

12 Months Ended

Dec. 31, 2022

Cash and Cash Equivalents

Cash and Cash Equivalents

Note 16. Cash and Cash Equivalents


	December 31,
	2022		2021

	(USD in thousands)
Cash and cash equivalents	$	13,184	$	32,166
Total cash and cash equivalents	$	13,184	$	32,166

Cash and cash equivalents consist mainly of cash on deposit with banks.

Changes in Net Working Capital


	December 31,
	2022		2021		2020

	(USD in thousands)
Changes in receivables and tax receivables	$	(1,486)	$	1,863	$	(2,501)
Changes in trade payables		(599)		(647)		1,798
Changes in other payables		(792)		21		918
Changes in net working capital	$	(2,877)	$	1,237	$	215

Working capital is defined as current assets (excluding cash) less current liabilities and measures the net liquid assets the Company has available for the business.

Adjustments for non-cash items

Adjustments of non-cash items in the statements of comprehensive loss:


	Year Ended
	December 31,
	2022		2021		2020

	(USD in thousands)
Income taxes	$	(772)	$	(178)	$	(1,557)
Tax credit schemes accounted for as grants		(226)		(12)		(510)
Depreciation		571		344		105
Impairment		87		—		—
Interest income		(13)		—		—
Interest expense		798		159		30
Share-based compensation expenses		942		1,379		3,408
Acquisition of property, plant and equipment		—		(90)		—
Gain in change from fair value of warrant liability		(395)		—		—
Other adjustments: Other adjustments, primarily exchange rate adjustments		(1,315)		(1,061)		107
Total adjustments for non-cash items	$	(323)	$	541	$	1,583

Reconciliation of Liabilities from Financing Activities


	December 31,				Accumulated		Transaction				Exchange rate		December 31,
(USD in thousands)	2021		Cash flows		interest		Costs		Additions		adjustment		2022
Lease liabilities	$	2,520	$	(305)	$	176	$	—	$	15	$	(151)	$	2,255
Borrowings		1,170		7,730		524		(1,117)		84		(391)		8,000
Provisions		153		—		—		—		—		(9)		144
Total liabilities from financing activities	$	3,843	$	7,425	$	700	$	(1,117)	$	99	$	(551)	$	10,399


	December 31,				Accumulated		Transaction				Exchange rate		December 31,
(USD in thousands)	2020		Cash flows		interest		Costs		Additions		adjustment		2021
Lease liabilities	$	20	$	(226)	$	123	$	—	$	2,731	$	(128)	$	2,520
Borrowings		—		—		31		—		1,269		(130)		1,170
Provisions		—		—		—		—		161		(8)		153
Total liabilities from financing activities	$	20	$	(226)	$	154	$	—	$	4,161	$	(266)	$	3,843

Share-Based Payments - Assumptions of Warrants (Details) - $ / shares	9 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Share-Based Payments
Expected term (in years)	6 years 6 months
Expected volatility	85.00%
Minimum
Share-Based Payments
Expected term (in years)	5 years
Risk-free interest rate	4.60%	3.97%
Share price	$ 0.60	$ 1.71
Maximum
Share-Based Payments
Expected term (in years)	7 years
Risk-free interest rate	4.61%	4.06%
Share price	$ 1.78	$ 3.03
Warrants
Share-Based Payments
Expected term (in years)			6 years 6 months
Risk-free interest rate			3.66%
Expected volatility			85.00%
Share price			$ 2.10

CONSOLIDATED STATEMENTS OF FINANCIAL POSITION $ in Thousands	Sep. 30, 2023 USD ($)	Jun. 30, 2023 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2022 DKK (kr)	Sep. 30, 2022 USD ($)	Jun. 30, 2022 USD ($)	Dec. 31, 2021 USD ($)	Nov. 09, 2021 DKK (kr)	Feb. 28, 2021 DKK (kr)	Dec. 31, 2020 USD ($)	Dec. 31, 2019 USD ($)
Non-current assets
Intangible assets							$ 93
Property and equipment, net	$ 4,312		$ 4,675				5,174
Government grants receivable	22		209
Tax receivables, non-current	594
Leasehold deposits, non-current	160		156				191
Total non-current assets	5,089		5,040				5,458
Current assets
Prepayments and other receivables	3,350		2,791				1,138
Unpaid capital contributions	117
Government grants receivable, current			221				563
Tax receivables, current	781		789				838
Cash and cash equivalents	2,605		13,184		$ 17,853		32,166			$ 5,834	$ 9,559
Total current assets	6,853		16,985				34,705
TOTAL ASSETS	11,942		22,025				40,163
EQUITY AND LIABILITIES
Share capital	4,415		3,886	kr 24,139,413			3,755	kr 23,141,524	kr 19,198,668
Other reserves	82,614		77,076				79,114
Accumulated deficit	(89,763)		(72,659)				(50,432)
Total equity	(2,734)	$ 2,535	8,303		$ 13,548	$ (20,150)	32,437			$ 7,038	$ 9,362
Non-current liabilities
Lease liabilities, non-current	1,856		1,952				2,206
Borrowings, non-current	7,989		7,864				1,044
Provisions	143		144				153
Total non-current liabilities	9,988		9,960				3,403
Current liabilities
Lease liabilities, current	311		303				314
Warrant liability	252		573
Borrowings, current	150		136				126
Trade payables	2,608		2,085				2,848
Other payables	1,367		665				1,035
Total current liabilities	4,688		3,762				4,323
Total liabilities	14,676		13,722				7,726
TOTAL EQUITY AND LIABILITIES	$ 11,942		$ 22,025				$ 40,163

Capital Structure and Financial Matters (Tables)

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Schedule of changes in the share capital


	Number of	Share Capital
	Ordinary Shares	(DKK in thousands)
Share capital, December 31, 2022	24,139,413	24,139
Capital increase at January 4, 2023 (JonesTrading sales agreement)	634,413	634
Capital increase at January 5, 2023 (JonesTrading sales agreement)	94,278	94
Capital increase at January 20, 2023 (JonesTrading sales agreement)	259,407	259
Capital increase at January 24, 2023 (JonesTrading sales agreement)	151,335	151
Capital increase at February 7, 2023 (JonesTrading sales agreement)	96,271	96
Capital increase at February 9, 2023 (JonesTrading sales agreement)	1,003,802	1,004
Capital increase at February 13, 2023 (JonesTrading sales agreement)	42,808	43
Capital increase at March 3, 2023 (JonesTrading sales agreement)	16,280	16
Exercised warrants, May 17, 2023	134,730	135
Exercised warrants, May 24, 2023	51,125	51
Exercised warrants, June 1, 2023	150,000	150
Capital increase at June 5, 2023 (JonesTrading sales agreement)	861,614	862
Exercised warrants, June 30, 2023	4,824	5
Capital increase at July 18, 2023 (JonesTrading sales agreement)	11,348	11
Exercised warrants, September 13, 2023	10,836	11
Capital increase at September 22, 2023 (JonesTrading sales agreement)	54,099	54
Capital increase at September 26, 2023 (JonesTrading sales agreement)	51,750	52
Capital increase at September 27, 2023 (JonesTrading sales agreement)	45,807	46
Share capital, September 30, 2023	27,814,140	27,814


	Number of	Share Capital
	Ordinary Shares	(DKK in thousands)
Share capital, December 31, 2019	15,184,152	15,184
Capital increase at September 17, 2020 (issuance of shares for cash)	745,380	745
Capital increase at October 15, 2020 (issuance of shares for cash)	269,136	269
Share capital, December 31, 2020	16,198,668	16,198
Capital increase at February 9, 2021 (for initial public offering)	3,000,000	3,000
Capital increase at November 9, 2021 (for follow-on offering)	3,942,856	3,943
Capital increase November 2021 (exercised warrants)	62,284	63
Share capital, December 31, 2021	23,203,808	23,204
Capital increase April 2022 (exercised warrants)	54,072	54
Capital increase June 2022 (exercised warrants)	92,313	92
Capital increase June 2022 (exercised warrants)	37,665	38
Capital increase at June 7, 2022 (LPC purchase agreement)	428,572	429
Capital increase June 2022 (exercised warrants)	17,264	17
Capital increase August 2022 (exercised warrants)	92,313	92
Capital increase August 2022 (exercised warrants)	41,085	41
Capital increase September 2022 (exercised warrants)	10,836	11
Capital increase at October 13, 2022 (JonesTrading sales agreement)	23,405	23
Capital increase at October 17, 2022 (JonesTrading sales agreement)	26,396	26
Capital increase at October 20, 2022 (JonesTrading sales agreement)	64,601	65
Capital increase at December 5, 2022 (exercised warrants)	42,633	43
Capital increase at December 29, 2022 (JonesTrading sales agreement)	4,450	4
Share capital, December 31, 2022	24,139,413	24,139


	December 31,
	2022		2021

	(USD in thousands)
Authorized, issued and fully paid
24,139,413 (2021: 23,203,808) ordinary shares of DKK 1 each (2021: ordinary shares of DKK 1 each)	$	3,886	$	3,755
Total share capital	$	3,886	$	3,755

Schedule of Executive Management's and Board of Director's holding of shares


Number of ordinary shares owned	2022	2021	2020
Per Norlén	—	—	—
Bo Karmark	2,000	—	—
Jesper Nyegaard Nissen	—	—	—
Birgitte Rønø	—	—	—
Erik Deichmann Heegaard	—	—	—
Andreas Holm Mattsson	4,071,961	4,163,832	4,163,832
Niels Iversen Møller	—	4,292,604	4,292,604
Lars Aage Staal Wegner (former)	82,124	182,124	182,124
Executive Management in total	4,156,085	8,638,560	8,638,560


Number of ordinary shares owned	2022	2021	2020
Niels Iversen Møller	4,196,840	—	—
Roberto Prego	310,248	310,248	310,248
Thomas William Wylonis (former)	—	—	485,676
Lars Holtug	—	—	—
Marianne Søgaard	41,652	41,652	41,652
Steven Projan	27,288	27,288	27,288
Board of Directors in total	4,576,028	379,188	864,864

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY kr in Thousands, $ in Thousands	Share capital USD ($)	Share capital DKK (kr)	Share premium USD ($)	Foreign currency translation reserve USD ($)	Accumulated deficit USD ($)	USD ($)
Balance at the beginning at Dec. 31, 2019	$ 2,481	kr 15,184	$ 22,862	$ (169)	$ (15,812)	$ 9,362
Net loss for the period					(15,018)	(15,018)
Other comprehensive income				395		395
Share-based compensation					3,551	3,551
Issuance of shares for cash	167		8,853			9,020
Transaction costs			(272)			(272)
Balance at the end at Dec. 31, 2020	2,648	16,198	31,443	226	(27,279)	7,038
Net loss for the period					(24,532)	(24,532)
Other comprehensive income				(1,537)		(1,537)
Tax effects on OCI				(5)		(5)
Share-based compensation					1,379	1,379
Issuance of shares for cash	1,107		56,502			57,609
Transaction costs			(7,515)			(7,515)
Balance at the end at Dec. 31, 2021	3,755	23,204	80,430	(1,316)	(50,432)	32,437
Net loss for the period					(10,559)	(10,559)
Other comprehensive income				(2,205)		(2,205)
Share-based compensation					665	665
Issuance of shares for cash	28					28
Transaction Costs Paid In Shares	(61)		61			0
Transaction costs			(216)			(216)
Balance at the end at Jun. 30, 2022	3,844		80,153	(3,521)	(60,326)	(20,150)
Balance at the beginning at Dec. 31, 2021	3,755	23,204	80,430	(1,316)	(50,432)	32,437
Net loss for the period						(16,297)
Balance at the end at Sep. 30, 2022	3,864		80,023	(4,579)	(65,760)	13,548
Balance at the beginning at Dec. 31, 2021	3,755	23,204	80,430	(1,316)	(50,432)	32,437
Net loss for the period					(23,169)	(23,169)
Other comprehensive income				(2,335)		(2,335)
Share-based compensation					942	942
Issuance of shares for cash	70		358			428
Transaction costs	61		(61)
Balance at the end at Dec. 31, 2022	3,886	24,139	80,727	(3,651)	(72,659)	8,303
Balance at the beginning at Jun. 30, 2022	3,844		80,153	(3,521)	(60,326)	(20,150)
Net loss for the period					(5,740)	(5,740)
Other comprehensive income				(1,058)		(1,058)
Share-based compensation					306	306
Issuance of shares for cash	20					20
Transaction costs			(130)			(130)
Balance at the end at Sep. 30, 2022	3,864		80,023	(4,579)	(65,760)	13,548
Balance at the beginning at Dec. 31, 2022	3,886	24,139	80,727	(3,651)	(72,659)	8,303
Net loss for the period					(11,924)	(11,924)
Other comprehensive income				34		34
Share-based compensation					326	326
Issuance of shares for cash	504		5,469			5,973
Transaction costs			(176)			(176)
Balance at the end at Jun. 30, 2023	4,390		86,020	(3,618)	(84,257)	2,535
Balance at the beginning at Dec. 31, 2022	3,886	24,139	80,727	(3,651)	(72,659)	8,303
Net loss for the period						(17,602)
Balance at the end at Sep. 30, 2023	4,415	27,814	86,145	(3,531)	(89,763)	(2,734)
Balance at the beginning at Jun. 30, 2023	4,390		86,020	(3,618)	(84,257)	2,535
Net loss for the period					(5,678)	(5,678)
Other comprehensive income				87		87
Share-based compensation					172	172
Issuance of shares for cash	25		129			154
Transaction costs			(4)			(4)
Balance at the end at Sep. 30, 2023	$ 4,415	kr 27,814	$ 86,145	$ (3,531)	$ (89,763)	$ (2,734)

The amount of residual interest in the assets of the entity after deducting all its liabilities.

Financial Income and Expenses

The total of income less expenses from continuing and discontinued operations, excluding the components of other comprehensive income. [Refer: Other comprehensive income]

+ References

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Reference 4: http://www.xbrl.org/2003/role/disclosureRef
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-URI https://taxonomy.ifrs.org/xifrs-link?type=IFRS&num=8&code=ifrs-tx-2023-en-r&anchor=para_23&doctype=Standard
-URIDate 2023-03-23

Reference 6: http://www.xbrl.org/2003/role/exampleRef
-Name IFRS
-Number 12
-IssueDate 2023-01-01
-Paragraph B10
-Subparagraph b
-URI https://taxonomy.ifrs.org/xifrs-link?type=IFRS&num=12&code=ifrs-tx-2023-en-r&anchor=para_B10_b&doctype=Appendix&subtype=B
-URIDate 2023-03-23

Reference 7: http://www.xbrl.org/2003/role/exampleRef
-Name IFRS
-Number 17
-IssueDate 2023-01-01
-Paragraph 113
-Subparagraph b
-URI https://taxonomy.ifrs.org/xifrs-link?type=IFRS&num=17&code=ifrs-tx-2023-en-r&anchor=para_113_b&doctype=Standard
-URIDate 2023-03-23

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Name IAS
-Number 1
-IssueDate 2023-01-01
-Paragraph 81A
-Subparagraph a
-URI https://taxonomy.ifrs.org/xifrs-link?type=IAS&num=1&code=ifrs-tx-2023-en-r&anchor=para_81A_a&doctype=Standard
-URIDate 2023-03-23

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Name IAS
-Number 1
-IssueDate 2023-01-01
-Paragraph 106
-Subparagraph d
-Clause i
-URI https://taxonomy.ifrs.org/xifrs-link?type=IAS&num=1&code=ifrs-tx-2023-en-r&anchor=para_106_d_i&doctype=Standard
-URIDate 2023-03-23

+ Details

Operating Activities (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
Operating Activities (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Operating Activities
Share-based compensation expenses	$ 100	$ 200	$ 400	$ 700	$ 942	$ 1,379	$ 3,408
Recognized government grants as a reduction of research and development expenses					500	300	800
Research and development expenses
Operating Activities
Employee salary and benefit expenses, excluding share-based compensation					7,396	6,794	3,337
Share-based compensation expenses					760	1,051	1,496
Depreciation					512	273	92
External expenses					8,388	11,465	5,977
Total research and development expenses					17,056	19,583	10,902
General and administrative expense
Operating Activities
Employee salary and benefit expenses, excluding share-based compensation					1,983	1,824	1,098
Share-based compensation expenses					182	328	1,912
Professional fees expense					5,901	4,028	2,644
Depreciation					142	71	12
Total research and development expenses					$ 8,208	$ 6,251	$ 5,666

Financial Income and Expenses

12 Months Ended

Dec. 31, 2022

Financial Income and Expenses

Note 9. Financial Income and Expenses


	Years Ended
	December 31,
	2022		2021		2020

	(USD in thousands)
Financial income:
Interest income, bank	$	13	$	—	$	—
Change in fair value of warrant liability		395		—		—
Foreign exchange gains		2,423		2,039		216
Total financial income		2,831		2,039		216
Financial expenses:
Interest expenses		(34)		(5)		(29)
Interest expenses, lease liabilities		(176)		(123)		—
Interest expenses, loan from lessor		(588)		(31)		—
Foreign exchange losses		(710)		(756)		(194)
Total financial expenses		(1,508)		(915)		(223)
Net financial items	$	1,323	$	1,124	$	(7)

CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Operating expenses:
Research and development	$ 2,830	$ 4,068			$ 9,618	$ 12,983	$ 17,056	$ 19,583	$ 10,902
General and administrative	2,932	2,015			8,215	5,756	8,208	6,251	5,666
Total operating expenses	5,762	6,083			17,833	18,739	25,264	25,834	16,568
Operating loss	(5,762)	(6,083)			(17,833)	(18,739)	(25,264)	(25,834)	(16,568)
Finance income	72	703			404	2,761	2,831	2,039	216
Finance expenses	(182)	(535)			(786)	(918)	(1,508)	(915)	(223)
Net loss before tax	(5,872)	(5,915)			(18,215)	(16,896)	(23,941)	(24,710)	(16,575)
Income tax benefit	194	175			613	599	772	178	1,557
Net loss for the year	(5,678)	(5,740)	$ (11,924)	$ (10,559)	(17,602)	(16,297)	(23,169)	(24,532)	(15,018)
Net loss attributable to shareholders of Evaxion Biotech A/S	(5,678)	(5,740)			(17,602)	(16,297)	(23,169)	(24,532)	(15,018)
Other comprehensive income that may be reclassified to profit or loss in subsequent periods (net of tax):
Exchange differences on translation of foreign operations	7	12			(46)	19	(25)	(83)	(18)
Exchange rate adjustments of investments in subsidiaries							(3)	93
Tax on other comprehensive income/(expense)								(5)
Other comprehensive income that will not be reclassified to profit or loss in subsequent periods (net of tax):
Exchange differences on currency translation to presentation currency	84	(1,063)			171	(3,278)	(2,324)	(1,547)	412
Other comprehensive income/(loss) for the year, net of tax	91	(1,051)			125	(3,259)	(2,352)	(1,542)	394
Total comprehensive loss	(5,587)	(6,791)			(17,477)	(19,556)	(25,521)	(26,074)	(14,624)
Total comprehensive loss attributable to shareholders of Evaxion Biotech A/S	$ (5,587)	$ (6,791)			$ (17,477)	$ (19,556)	$ (25,521)	$ (26,074)	$ (14,624)
Loss per share - basic (in USD per share)	$ (0.21)	$ (0.24)			$ (0.66)	$ (0.69)	$ (0.98)	$ (1.26)	$ (0.97)
Loss per share - diluted (in USD per share)	$ (0.21)	$ (0.24)			$ (0.66)	$ (0.69)	$ (0.98)	$ (1.26)	$ (0.97)

Fees to auditors

12 Months Ended

Dec. 31, 2022

Fees to auditors

Fees to auditors

Note 24. Fees to auditors

The following table presents the fees to our independent registered public accounting firm, EY Godkendt Revisionspartnerselskab, recognized in general and administrative expenses in the Statement of Profit or Loss for the years ended December 31, 2022 and 2021. This note was prepared in accordance with the requirements of the Danish Financial Statements Act:


	December 31,
	2022		2021

	(USD in thousands)
Audit fees	$	172	$	177
Audit related fees		50		108
Other fees		156		328
Total fees	$	378	$	613

Audit fees

Audit fees consist of fees billed for professional services rendered by EY for the audit of our annual consolidated financial statements or services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements for those fiscal years.

Audit-Related fees

Audit-related fees consist of assurance and related services performed by EY that are reasonably related to the performance of the audit or review of our consolidated financial statements and are not reported under “Audit-Related fees.”

Other fees

Other fees consist of services provided by EY for other permitted services, including fees for work performed by EY in connection with the initial public offering.

Summary of Significant Accounting Policies - EBI loan (Details) $ in Thousands, € in Millions				1 Months Ended
	Feb. 17, 2022 EUR (€) shares	Feb. 17, 2022 USD ($) shares	Feb. 17, 2022 kr / shares shares	Aug. 31, 2020 EUR (€) tranche	Sep. 30, 2023 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Aug. 31, 2020 USD ($) tranche
Summary of Significant Accounting Policies
Borrowings \| $					$ 8,139	$ 8,000	$ 1,170
EIB Loan Agreement
Summary of Significant Accounting Policies
Principal amount				€ 20.0				$ 20,000
Number of tranches \| tranche				3				3
Term from disbursement dates				6 years
Debt instrument term	6 years	6 years
Issuable cash settled warrants	1,003,032	1,003,032	1,003,032
Exercise price per warrant \| kr / shares			kr 1
Number of warrants issued	351,036	351,036
Tranche One
Summary of Significant Accounting Policies
Principal amount				€ 7.0				$ 7,000
Proceeds from borrowings	€ 7.0	$ 7,800
Tranche Two
Summary of Significant Accounting Policies
Principal amount				6.0				6,000
Tranche Three
Summary of Significant Accounting Policies
Principal amount				€ 7.0				$ 7,000

Summary of Significant Accounting Policies

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Summary of significant accounting policies

Note 3. Summary of Significant Accounting Policies

Basis of Preparation

The implementation of the amendments did not give rise to changes to reported financial figures.

Implemented standards

●

Amendment to IAS 1 Presentation of Financial Statements: Disclosure of Accounting Policies (January 1, 2023)

●

Amendment to IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors: Definition of Accounting Estimates (January 1, 2023)

●

Amendment to IAS 12 Accounting Policies, Deferred tax related to Assets and Liabilities arising from a Single Transaction (January 1, 2023)

Standards issued but not yet effective

There were a number of standards and interpretations which were issued but were not yet effective at September 30, 2023 and have not been adopted for these financial statements, including:

●

Amendments to IAS 1 Presentation of Financial Statements: Classification of Liabilities as Current or Non-current (January 1, 2024)

●

Amendments to IFRS 16 Accounting Policies, Lease Liability in a Sales and Leaseback (January 1, 2024)

Note 3. Summary of Significant Accounting Policies

Basis of Preparation

The financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”).

The preparation of financial statements in conformity with IFRS requires the use of certain critical accounting estimates and requires management to exercise its judgment in the process of applying the Company’s accounting policies. The areas involving a higher degree of judgment or complexity, or areas where assumptions and estimates are significant to the consolidated financial statements are disclosed in Note 4.

Reclassifications of prior period presentation

Basis of Consolidation

All intra-Group assets and liabilities, equity, income, expenses, and cash flows relating to transactions between members of the Group are eliminated in full in consolidation.

Retrospective effect of share split and bonus share issuance

Currency translation of transactions and balances

Translation of foreign operations

Research and development expenses

from the timing of the expense recognition of these costs, in which case, they are reflected in the financial statements as either prepaid- or accrued expenses.

Contract Research Organizations expenses and related prepayments and accruals

Intellectual property

Income from government grants

General and administrative expenses

Share-based payments

Accounting for joint operations – Southern Denmark University

Accounting for joint operations - MSD International GmbH and MSD International Business GmbH

Finance Income

Finance income consists primarily of foreign currency gains, and a gain from changes in fair value of liability-classified warrants.

Finance Expense

Finance expenses consists primarily of foreign currency losses, interest expense and related loan costs on the EIB Loan Agreement (as defined herein), and interest expense on leasing liabilities.

Income tax

Deferred taxes

Tax receivables

EIB Loan

EIB Warrants

Leases

Leasehold improvements and Loan from lessor

The Company has assessed whether this is a lease component, or a leasehold improvement funded by the lessor. We have considered the following factors:

1.Which party designed the customization

2.Which party had the right to direct changes to the work

3.Who is taking on the economic risk of the cost price of the work

Right-of-use assets

The Company’s right-of-use assets are presented within property and equipment, net.

Lease liabilities

At the commencement date of the lease, the Company recognizes lease liabilities measured at the present value of the following payments, when applicable:

●

fixed payments (including in-substance fixed payments), less any lease incentives receivable;

●

variable lease payments (linked to an index or interest rate);

●

expected payments under residual value guarantees;

●

the exercise price of purchase options, where exercise is reasonably certain;

●

lease payments in optional renewal periods, where exercise of extension options is reasonably certain;

●

and penalty payments for the termination of a lease, if the lease term reflects the exercise of the respective termination option.

Intangible assets

Property and equipment

Assets		Useful life
Properties		Shorter of lease term and useful life of the asset
Leasehold improvements		11 years
Other equipment		5 – 10 years

Impairment of non-financial assets

Provisions

Financial instruments

(i) Non-derivative financial assets

The Company holds the following categories of non-derivative financial assets:

Receivables

Prepayments include expenditures related to future financial periods and are measured at amortized cost.

Cash and cash equivalents

(ii) Non-derivative financial liabilities

Non-derivative financial liabilities comprise other payables which are measured initially at fair value and subsequently at amortized cost.

Trade Payables

Trade payables and accruals relate to the Group’s purchase of products and services from various vendors in the normal course of business.

Other Payables

Segment Information

Shareholders’ Equity

The share capital comprises the nominal amount of the company’s ordinary shares, each at a nominal value of DKK 1.

Loss Per Share

Standards issued but not yet effective

There were a number of standards and interpretations which were issued but were not yet effective at December 31, 2022 and have not been adopted for these financial statements, including:

●

Amendments to IAS 1 Presentation of Financial Statements: Classification of Liabilities as Current or Non-current (January 1, 2024)

●

Amendment to IAS 1 Presentation of Financial Statements: Disclosure of Accounting Policies (January 1, 2023)

●

Amendment to IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors: Definition of Accounting Estimates (January 1, 2023)

●

Amendment to IAS 12 Accounting Policies, Deferred tax related to Assets and Liabilities arising from a Single Transaction (January 1, 2023)

●

Amendments to IFRS 16 Accounting Policies, Lease Liability in a Sales and Leaseback (January 1, 2024)

Events After the Reporting Period

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Events After the Reporting Period

Events After the Reporting Period

Note 10. Events After the Reporting Period

Through the date of adoption of these interim financial statements 356,742 ADSs were sold. After deducting fees, and expenses, total proceeds to the Company from the sales of the ADSs were $0.3 million.

On December 21, 2023 the company closed a Private Placement related to the issuance and sale of 9,726,898 of the Company’s ordinary shares, DKK 1 nominal value (“Ordinary Shares”), represented by American Depositary Shares (“ADSs”), and accompanying warrants (the “Warrants”) to purchase up to 9,726,898 Ordinary Shares represented by ADSs at a purchase price of $0.544 per Ordinary Share for an aggregate purchase price of $5.3 million. The Warrants are exercisable immediately upon issuance, have a term of three years, and an exercise price equal to $0.707 per Ordinary Share. Each Ordinary Share is represented by one (1) ADS. The Private Placement was priced at-the-market under Nasdaq rules.

The gross proceeds to the Company from the Private Placement are $5.3 million, and if warrants are exercised up to an additional $6.9 million of gross proceeds upon exercise of the Warrants before deducting offering expenses payable by the Company. The Company intends to use the proceeds from the Private Placement for working capital and general corporate purposes. No brokerage, finder’s fees, or commissions were payable by the Company in connection with the Private Placement. In connection with such sales, the Company registered aggregate share capital increases of nominal DKK 9,726,898 with the Danish Business Authority.

Note 25. Events After the Reporting Period

Vaccine Discovery Collaboration Agreement

Effective January 1, 2023 the Company entered into a Vaccine Discovery Collaboration Agreement with ExpreS2ion Biotech Holding AB’s affiliate ExpreS2ion Biotechnologies ApS (“ExpreS2ion”) for the joint development of a novel cytomegalovirus (CMV) vaccine candidate. During the discovery phase of the collaboration, Evaxion will use its proprietary AI platform, RAVEN, to design a next-generation vaccine candidate that elicits both cellular and humoral/antibody responses. The antigen constructs derived from Evaxion’s AI platform will be produced by ExpreS2ion in the company’s ExpreS2 platform, followed by assessments in Evaxion’s state-of-the-art pre-clinical models. The joint discovery project will be included in Evaxion’s development pipeline under EVX-V1.

Under the terms of the collaboration, ExpreS2ion will have the exclusive right to license the CMV vaccine candidate under a potential Development and Commercialization Agreement. The research and intellectual property licensing costs for the collaboration project will be divided 50/50 between the parties until 2025, with all costs expected to be contained in each party’s existing operating expenses. A potential future Development and Commercialization Agreement for the jointly discovered CMV vaccine candidate is expected to include an upfront payment and future milestone payments to Evaxion from ExpreS2ion not exceeding a six-digit USD amount, as well as sub-licensing royalty to Evaxion from ExpreS2ion based on mid to lower two-digit percentage range of third-party licensee income depending on the clinical development stage of the CMV asset at the time of sublicensing.

Share Issuances After the Reporting Period

During the period between January 1, 2023 and March 3, 2023 the Company sold 2,298,594 ADSs representing the Company’s ordinary shares, DKK 1 nominal value, with each ADS representing one ordinary shares, at a volume weighted average price (VWAP) of $1.90 per ADS. The ADSs were sold pursuant to the Sales Agreement with JonesTrading dated October 3, 2022. After deducting fees, and expenses, total proceeds to the Company from the sales of the ADSs were approximately $4.2 million. In connection with such sales, the Company registered aggregate share capital increases of nominal DKK 2,298,594 with the Danish Business Authority.

Summary of Significant Accounting Policies (Policies)

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Reclassifications of prior period presentation

Basis of Preparation

Basis of Preparation

Basis of Preparation

The financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”).

The preparation of financial statements in conformity with IFRS requires the use of certain critical accounting estimates and requires management to exercise its judgment in the process of applying the Company’s accounting policies. The areas involving a higher degree of judgment or complexity, or areas where assumptions and estimates are significant to the consolidated financial statements are disclosed in Note 4.

Reclassifications of prior period presentation

Basis of consolidation

Basis of Consolidation

All intra-Group assets and liabilities, equity, income, expenses, and cash flows relating to transactions between members of the Group are eliminated in full in consolidation.

Retrospective effect of share split and bonus share issuance

Retrospective effect of share split and bonus share issuance

Currency translation of transactions and balances

Currency translation of transactions and balances

Translation of foreign operations

Translation of foreign operations

Research and development expenses

from the timing of the expense recognition of these costs, in which case, they are reflected in the financial statements as either prepaid- or accrued expenses.

Contract Research Organizations expenses and related prepayments and accruals

Intellectual property

Income from government grants

General and administrative expenses

Share-based payments

Accounting for joint operations - Southern Denmark University

Accounting for joint operations – Southern Denmark University

Accounting for joint operations - MSD International GmbH and MSD International Business GmbH

Finance Income

Finance income consists primarily of foreign currency gains, and a gain from changes in fair value of liability-classified warrants.

Finance Expense

Finance expenses consists primarily of foreign currency losses, interest expense and related loan costs on the EIB Loan Agreement (as defined herein), and interest expense on leasing liabilities.

Income tax

Deferred taxes

Tax receivables

Deferred offering costs

EIB Loan

EIB Warrants

Leases

Leasehold improvements and Loan from lessor

The Company has assessed whether this is a lease component, or a leasehold improvement funded by the lessor. We have considered the following factors:

1.Which party designed the customization

2.Which party had the right to direct changes to the work

3.Who is taking on the economic risk of the cost price of the work

Right-of-use assets

The Company’s right-of-use assets are presented within property and equipment, net.

Lease liabilities

At the commencement date of the lease, the Company recognizes lease liabilities measured at the present value of the following payments, when applicable:

●

fixed payments (including in-substance fixed payments), less any lease incentives receivable;

●

variable lease payments (linked to an index or interest rate);

●

expected payments under residual value guarantees;

●

the exercise price of purchase options, where exercise is reasonably certain;

●

lease payments in optional renewal periods, where exercise of extension options is reasonably certain;

●

and penalty payments for the termination of a lease, if the lease term reflects the exercise of the respective termination option.

Intangible assets

Intangible assets

Property and equipment

Assets		Useful life
Properties		Shorter of lease term and useful life of the asset
Leasehold improvements		11 years
Other equipment		5 – 10 years

Impairment of non-financial assets

Provisions

Provisions

Financial instruments

(i) Non-derivative financial assets

The Company holds the following categories of non-derivative financial assets:

Receivables

Prepayments include expenditures related to future financial periods and are measured at amortized cost.

Cash and cash equivalents

(ii) Non-derivative financial liabilities

Non-derivative financial liabilities comprise other payables which are measured initially at fair value and subsequently at amortized cost.

Trade Payables

Trade payables and accruals relate to the Group’s purchase of products and services from various vendors in the normal course of business.

Other Payables

Segment Information

Shareholders' Equity

Shareholders’ Equity

The share capital comprises the nominal amount of the company’s ordinary shares, each at a nominal value of DKK 1.

Loss Per Share

Standards issued but not yet effective

The implementation of the amendments did not give rise to changes to reported financial figures.

Implemented standards

●

Amendment to IAS 1 Presentation of Financial Statements: Disclosure of Accounting Policies (January 1, 2023)

●

Amendment to IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors: Definition of Accounting Estimates (January 1, 2023)

●

Amendment to IAS 12 Accounting Policies, Deferred tax related to Assets and Liabilities arising from a Single Transaction (January 1, 2023)

Standards issued but not yet effective

There were a number of standards and interpretations which were issued but were not yet effective at September 30, 2023 and have not been adopted for these financial statements, including:

●

Amendments to IAS 1 Presentation of Financial Statements: Classification of Liabilities as Current or Non-current (January 1, 2024)

●

Amendments to IFRS 16 Accounting Policies, Lease Liability in a Sales and Leaseback (January 1, 2024)

Events After the Reporting Period (Details)										1 Months Ended		2 Months Ended		3 Months Ended	9 Months Ended			12 Months Ended
Events After the Reporting Period (Details)	Dec. 21, 2023 USD ($) $ / shares shares	Dec. 29, 2022 USD ($) $ / shares shares	Dec. 29, 2022 DKK (kr) kr / shares shares	Oct. 20, 2022 shares	Oct. 20, 2022 USD ($) $ / shares shares	Oct. 20, 2022 DKK (kr) shares	Oct. 13, 2022 kr / shares shares	Oct. 03, 2022 USD ($)	Oct. 03, 2022 DKK (kr)	Oct. 31, 2020 USD ($) $ / shares shares	Sep. 30, 2020 USD ($) $ / shares shares	Mar. 03, 2023 USD ($) $ / shares shares	Mar. 03, 2023 DKK (kr) kr / shares shares	Jan. 12, 2024 USD ($) shares	Sep. 30, 2023 USD ($) $ / shares shares	Sep. 30, 2023 DKK (kr) shares	Sep. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Dec. 21, 2023 kr / shares	Dec. 21, 2023 $ / shares	Jul. 31, 2023 kr / shares	Dec. 31, 2022 kr / shares	Aug. 31, 2022 kr / shares	Dec. 31, 2021 kr / shares	Feb. 05, 2021 kr / shares	Jan. 04, 2021 kr / shares	Aug. 10, 2020 kr / shares
Events After the Reporting Period
Proceeds from issuance of shares and exercise warrants, less underwriter discounts															$ 6,127,000		$ 48,000	$ 428,000	$ 53,854,000	$ 9,019,000
American Depositary Shares [Member]
Events After the Reporting Period
Ordinary shares purchase price \| $ / shares					$ 2.76										$ 1.79
Gross proceeds from sale of ordinary shares								$ 300,000							$ 6,000,000.0
Ordinary shares sold (in shares) \| shares				114,402			114,402								3,323,212	3,323,212
Increase in share capital \| kr									kr 114,402							kr 3,323,212
Number of ordinary shares per ADS															1	1							1
Ordinary shares par value \| kr / shares																							kr 1
Ordinary Shares [Member]
Events After the Reporting Period
Ordinary shares purchase price \| $ / shares										$ 8.89	$ 8.89
Gross proceeds from sale of ordinary shares										$ 2,400,000	$ 6,600,000
Ordinary shares sold (in shares) \| shares										269,136	745,380
Ordinary shares par value \| kr / shares																								kr 1	kr 1	kr 1	kr 1	kr 1	kr 1
Share Issuances
Events After the Reporting Period
Increase in share capital \| kr													kr 2,298,594
Entered into financing agreement \| Private Placement
Events After the Reporting Period
Gross proceeds from sale of ordinary shares	$ 5,300,000
Ordinary shares sold (in shares) \| shares	9,726,898
Gross proceeds from exercise of warrants	$ 6,900,000
Entered into financing agreement \| American Depositary Shares [Member]
Events After the Reporting Period
Number of ordinary shares per ADS																							1
Ordinary shares par value \| kr / shares																							kr 1
Gross proceeds from exercise of warrants	$ 5,300,000
Entered into financing agreement \| American Depositary Shares [Member] \| Private Placement
Events After the Reporting Period
Ordinary shares sold (in shares) \| shares	9,726,898
Number of ordinary shares per ADS																					1	1
Ordinary shares par value \| $ / shares																						$ 0.544
Ifrs Debt Instrument, Term	3 years
Exercise Price Per Warrant \| $ / shares	$ 0.707
At-The-Market Issuance Sales Agreement
Events After the Reporting Period
Gross proceeds from sale of ordinary shares		$ 9,968
Ordinary shares sold (in shares) \| shares		4,450	4,450
Increase in share capital \| kr			kr 4,450
At-The-Market Issuance Sales Agreement \| American Depositary Shares [Member]
Events After the Reporting Period
Ordinary shares purchase price \| $ / shares		$ 2.24			$ 2.76
Gross proceeds from sale of ordinary shares					$ 300,000
Ordinary shares sold (in shares) \| shares		4,450	4,450		114,403	114,403
Increase in share capital \| kr						kr 114,403
Number of ordinary shares per ADS			1	1	1	1
At-The-Market Issuance Sales Agreement \| Ordinary Shares [Member]
Events After the Reporting Period
Ordinary shares par value \| kr / shares			kr 1				kr 1
At-The-Market Issuance Sales Agreement \| Share Issuances
Events After the Reporting Period
Gross proceeds from sale of ordinary shares												$ 4,200,000
Proceeds from issuance of shares and exercise warrants, less underwriter discounts														$ 300,000
At-The-Market Issuance Sales Agreement \| Share Issuances \| American Depositary Shares [Member]
Events After the Reporting Period
Ordinary shares purchase price \| $ / shares												$ 1.90
Ordinary shares sold (in shares) \| shares												2,298,594	2,298,594	356,742
Number of ordinary shares per ADS													1
Ordinary shares par value \| kr / shares																					kr 1
At-The-Market Issuance Sales Agreement \| Share Issuances \| Ordinary Shares [Member]
Events After the Reporting Period
Ordinary shares par value \| kr / shares													kr 1

Borrowings - EIB Loan (Details) $ in Thousands, € in Millions			1 Months Ended	3 Months Ended		9 Months Ended		12 Months Ended
	Feb. 17, 2022 EUR (€)	Feb. 17, 2022 USD ($)	Aug. 31, 2020 EUR (€) tranche	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Aug. 31, 2020 USD ($) tranche
Borrowings
Interest rate								6.00%
Interest expenses								$ 34	$ 5	$ 29
EIB Loan Agreement
Borrowings
Principal amount			€ 20.0								$ 20,000
Number of tranches \| tranche			3								3
Effective interest rate, monthly	0.78%	0.78%
Interest expenses				$ 200	$ 100	$ 500	$ 300	$ 600	$ 0
Term from disbursement dates			6 years
EIB Loan Agreement \| Fixed interest rate
Borrowings
Interest rate	3.00%	3.00%
EIB Loan Agreement \| Payment-in-kind interest rate
Borrowings
Interest rate	4.00%	4.00%
Tranche One
Borrowings
Principal amount			€ 7.0								$ 7,000
Proceeds from the draw of loan agreement	€ 7.0	$ 7,800
Loan repayment period	6 years	6 years
Tranche Two
Borrowings
Principal amount			6.0								6,000
Tranche Three
Borrowings
Principal amount			€ 7.0								$ 7,000

Share-Based Payments

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Financial Instruments and Risk Management

Share-Based Payments

Note 7. Share-Based Payments

Warrant Program and Amendments

The Company’s Articles of Association allow for the granting of equity compensation, in the form of equity settled warrants, to employees, consultants and Scientific Advisory Board members who provide services similar to employees, members of executive management, and the board of directors. The warrants granted in 2018 or prior vested upon the closing of our initial public offering in February 2021 (“IPO”). The warrants granted in 2020 vest either gradually over 36 months or vest immediately. Vested warrants granted in 2020 are exercisable in certain exercise windows beginning in the second half of the year of 2021. Warrants granted up until 2019 expire on December 31, 2036. Warrants granted in 2022, 2021, and 2020 expire on December 31, 2031. As of September 30, 2023 and 2022, the number of warrants as a percentage of outstanding ordinary shares was 9.2% and 10.6%, respectively.

The following schedule specifies the granted warrants:



		Weighted Average
	Number of	Exercise
	warrants	Price/Share
Warrants granted as at December 31, 2022	2,743,093	USD 1.50 ⁽¹⁾
Warrants exercised ⁽⁴⁾	(351,515)	USD 0.14
Warrants granted	260,000	USD 1.33
Warrants forfeited	(82,381)	USD 2.72
Warrants cancelled	—	—
Warrants granted as at September 30, 2023 ⁽³⁾	2,569,197	USD 1.47 ⁽²⁾
Warrants exercisable as at September 30, 2023	1,894,591	USD 1.11 ⁽²⁾


		Weighted Average
	Number of	Exercise
	warrants	Price/Share
Warrants granted as at December 31, 2021	2,732,618	DKK 7.53 ⁽¹⁾
Warrants exercised ⁽⁴⁾	(345,548)	USD 0.13
Warrants granted	161,000	USD 2.72
Warrants forfeited	(16,623)	USD 5.37
Warrants cancelled	—	—
Warrants granted as at September 30, 2022	2,531,447	USD 1.32 ⁽²⁾
Warrants exercisable as at September 30, 2022	1,962,252	USD 0.57

(1) December 31, 2022 and 2021 USD and DKK end-rates used.

(2) September 30, 2023 USD-end rate used.

(3) Number of warrants exclude EIB Warrants referred to in Note 6.

(4) The weighted average share price at the date of exercise was $1.40 and $2.31 for the nine months ended September 30, 2023 and 2022, respectively.

During the nine months ended September 30, 2023, the Company's Board of Directors granted 100,000 onboarding warrants to a member of executive management and 150,000 warrants to an external consultant. On March 15, 2023, the Company's board of directors granted 10,000 warrants to an employee of the Company. In connection with the grant of the warrants, the Company amended its Articles of Association to provide for the grant thereof. The warrants were issued on the terms and conditions set out in the Company's Articles of Association and vest with 1/36 per month over 36 months beginning January 1 and October 1, 2023 except for the warrants granted to external consultants which vest quarterly with 1/4 in the period until September 2024.

During the nine months ended September 30, 2022, the Company granted 161,000 warrants. All granted warrants will vest 1/36 per month over 36 months.

Employees will be entitled to receive a number of warrants based on the individual employee’s grade and performance for 2023. The warrants will be granted in February 2024 at the share price equal to the fair market value thereof on the date of grant and vests 1/36 per month over 36 months beginning March 1, 2024. For the three and nine months ended September 30, 2023, a service cost of $0.1 million and $0.4 million has been recognized respectively, based on the estimated fair value of the warrants granted in prior periods and warrants expected to be granted. For the three and nine months ended September 30, 2022, a service cost of $0.2 million and $0.7 million has been recognized respectively, based on the estimated fair value of the warrants granted in prior periods and warrants expected to be granted.

Subsequent to the Company’s IPO, determining the initial fair value and subsequent accounting for equity awards require significant judgment regarding expected life and volatility of an equity award; however, as a public listed company there is objective evidence of the fair value of an ordinary share on the date an equity award is granted. On the other hand, due to the fact that as of 2021, warrants will be granted at the share price on the date of grant, fair value comprises a time value which is significantly affected by the expected life and expected volatility. The expected life of a warrant is based on the assumption that the holder will not exercise until after the equity award is fully vested. Actual exercise patterns may differ from the assumption used herein. The expected volatility is based on peer group data and reflects the assumption that the historical volatility over a period similar to the life of the warrant is indicative of future trends, which may not necessarily be the actual outcome. The peer group consists of listed companies that management believes are similar to the Company in respect to industry and stage of development. Even with objective evidence of the fair value of an ordinary share, small changes in any other individual assumption or in combination with other assumptions could have resulted in significantly different valuations.

The following assumptions have been applied for the warrants issued during the nine months ended September 30, 2023 and 2022, respectively:


	September 30,			September 30,
	2023			2022
Expected term (in years)		5.0 – 7.0			6.5
Risk-free interest rate		4.60 – 4.61	%		3.97 – 4.06	%
Expected volatility		85	%		85	%
Share price	$	0.60 – 1.78		$	1.71 – 3.03

Note 8. Share-Based Payments

Warrant Program and Amendments

The Company’s Articles of Association allow for the granting of equity compensation, in the form of equity settled warrants, to employees, consultants and Scientific Advisory Board members who provide services similar to employees, members of executive management, and the board of directors. The warrants granted in 2018 or prior vested upon the closing of our initial public offering in February 2021 (“IPO”). The warrants granted in 2020 vest either gradually over 36 months or vest immediately. Vested warrants granted in 2020 are exercisable in certain exercise windows beginning in the second half of the year of 2021. Warrants granted up until 2019 expire on December 31, 2036. Warrants granted in 2022, 2021 and 2020 expire on December 31, 2031. For the years ended December 31, 2022, 2021 and 2020, the number of warrants outstanding as a percentage of outstanding ordinary shares was 11.4%, 11.8% and 13.8%, respectively.

During 2022, the Company granted 491,612 warrants, of which 35,000 were granted to its Chief AI and Culture Officer (“CAICO”), 25,000 were granted to its Chief Scientific Officer (“CSO”), 16,667 were granted to its Chief Financial Officer (“CFO”), 25,000 were granted to its Chief Medical Officer (“CMO”), 20,833 were granted to its Chief Operating Officer (“COO”), 3,125 were granted to its Chief Business Officer (“CBO”) and 3,125 were granted to its Chief Executive Officer (“CEO”). All granted warrants will vest over 36 months.

In connection with the appointment of a new Chief Executive Officer (“CEO”) in September 2022, the new Chief Financial Officer (“CFO”) in May 2022 and the new Chief Operating Officer (“COO”) in March 2022 they were all granted warrants, the CEO was granted 50,000 warrants to purchase, the CFO 45,000 warrants to Purchase and the COO 25,000 warrants to purchase of the Company’s ordinary shares with DKK 1 nominal value. The granted warrants have an exercise price equal to the fair market value of the Company’s ordinary shares represented by ADSs on the date of grant thereof and they vest over a period of 36 months.

In the second quarter of 2021, the Company granted 62,147 warrants to its Chief Medical Officer (“CMO”) which vest over 36 months.

In 2019, the Company granted 150,660 warrants to its Chief Financial Officer (“CFO”) which were exercisable upon an exit event. In December 2020, the terms of the warrants issued to the Company’s CFO were amended to no longer comprise exercisability

upon an exit event. Consequently, these warrants did not vest upon the IPO in February 2021 and will vest in accordance with the vesting schedule for warrants granted in 2020.

On January 4, 2021, the Company effected its Stock Split which also resulted in a reduction of the nominal value of the Company’s ordinary shares from DKK 2 to DKK 1. In accordance with the anti-dilution provisions of the warrant agreements, the number of warrants was increased by a ratio of 36 to 1 and the exercise price was decreased from DKK 2 to 1 DKK. Accordingly, information related to the Company’s warrants, have been retroactively adjusted to reflect the stock split and the bonus shares for all periods presented.

The following schedule specifies the granted warrants:


					Weighted
			Weighted		Average
			Average		Remaining
	Number of		Exercise		Contractual
	warrants		Price/Share		Life (years)
Warrants granted as at December 31, 2019	1,932,156		DKK1		17
Warrants granted	363,168		DKK1
Warrants forfeited	(45,216)		DKK1
Warrants cancelled	(22,032)		DKK1
Warrants granted as at December 31, 2020	2,228,076		DKK1		15
Warrants granted during 2021⁽¹⁾	63,802		DKK1
Warrants granted December 2021	523,599		USD 5.38
Warrants exercised	(62,284)	⁽²⁾	DKK1
Warrants forfeited	(10,178)		DKK1
Warrants cancelled	(10,397)		DKK1
Warrants granted as at December 31, 2021	2,732,618		DKK 7.53		13
Warrants granted	491,612		USD 2.24
Warrants exercised	(388,181)	⁽²⁾	USD 2.42
Warrants forfeited	(92,956)		USD 1.28
Warrants cancelled	—		—
Warrants granted as at December 31, 2022 ⁽³⁾	2,743,093		USD 1.50	⁽⁴⁾	11
Warrants exercisable as at December 31, 2020	—
Warrants exercisable as at December 31, 2021	2,072,122
Warrants exercisable as at December 31, 2022 ⁽³⁾	1,988,106

(1)	Of which 62,147 warrants were legally granted in June 2021 and the remaining 1,655 warrants were legally granted in December 2020.

(2)	The weighted average share price at the date of exercise were USD 2.42 and USD 5.59 for the years ended December 31, 2022 and 2021, respectively.

(3)	Number of warrants exclude EIB Warrants referred to in Note 19.

(4)	December 31, 2022 USD-end rate used.

During 2019 employees, external consultants, executive management and board members became contractually entitled to warrants that was rectified on December 17, 2020:

●

In January 2019, 45,216 warrants were granted to a member of executive management. They vest from December 2020 – December 2022. Fair value at grant date amounted to $0.3 million.

●

In February 2019, 7,956 warrants were granted to an employee. They vest from December 2020 – December 2022. Fair value at grant date amounted to $0.1 million.

●

In September 2019, 54,000 warrants were granted to an employee. The warrants vested immediately. Fair value at grant date amount to $0.5 million.

●

In October 2019, 150,660 warrants were granted to a member of executive management. The warrants vest annually over 3 years. Fair value at grant date amounted to $1.3 million.

●

In December 2020, an aggregate of 126,972 warrants attributable to 2019 entitlements were granted to employees, members of our board of directors and consultants who provide similar services as employees. 63,612 warrants vested immediately and 63,360 warrants vest monthly over three years from January 2020 – December 2022. Fair value at grant date amounted to $1.2 million.

●

In December 2020, an aggregate of 236,196 warrants attributable to 2020 entitlements were granted to employees, members of our board of directors and consultants who provide similar services as employees. Of the warrants granted, 120,888 warrants vested immediately and 115,308 warrants vest monthly over three years from January 2020 – December 2022. Fair value at grant date amounted to $2.3 million.

●

In June 2021, 62,147 were granted to a member of Executive Management. Fair value at grant date amounted to $0.4 million.

●

During 2021, an aggregate of 523,599 warrants attributable to 2021 entitlements were granted to employees, members of our board of directors and executive management. Of the warrants 22,916 were granted to our board of directors vested immediately. The warrants granted to employees and executive management vest over 36 months. Fair value at grant date amounted to $1.5 million.

●

For the year ended December 31, 2019 the Company had 22,032 outstanding warrants to SDU employees and recognized an immaterial amount of expense for these warrants as research and development expenses in the statement of comprehensive loss. In September 2020, the Company terminated its existing agreement with SDU for business reasons. Under the terms of the SDU agreement, the Company did not incur a termination penalty and has no further obligations under this agreement.

●

A member of the executive board terminated his employment contract as of April 30, 2020 and forfeited his right to 45,216 unvested warrants.

●

A member of the executive board terminated his employment contract as of October, 2021 but no granted warrants remained unvested as of that date.

●

During 2022, an aggregate of 491,612 warrants attributable to 2022 entitlements were granted to employees, members of our board of directors and executive management. Of the warrants 2,500 were granted to our employees vested immediately. The warrants granted to employees and executive management vest over 36 months. Fair value at grant date amounted to $0.8 million.

●

During 2022 the former Chief Executive Officer of the Company forfeited his right to 45,327 unvested warrants.

In December 2022 employees received a number of warrants based on the individual employee’s grade and performance in 2022. The warrants were granted at the share price equal to the fair market value thereof on the date of grant and will vest 1/36 per month over 36 months beginning January 1, 2023. For the years ended December 31, 2022, 2021 and 2020, a service cost of $1.0 million, $1.4 million and $3.4 million has been recognized, respectively, based on the estimated fair value of the warrants granted in prior periods and warrants expected to be granted.

Share-based compensation expenses included in the statements of comprehensive loss:


	Years Ended
	December 31,
	2022		2021		2020

	(USD in thousands)
Research and development expenses	$	760	$	1,051	$	1,496
General and administrative expenses		182		328		1,912
Total	$	942	$	1,379	$	3,408

In 2020 an amount of $0.1 million related to warrants issued as compensation for arranging investors to subscribe for shares has been recognized in equity as a share-based compensation expense related to the capital increase.

Determination of Fair Value of Warrants

The warrants issued under the share-based payment arrangement until December 2021 are exercisable for nominal consideration compared to the fair value of the shares resulting in virtually no time value. The Company values these warrants based on the intrinsic value of the shares measured as the difference between the fair value of the Company’s Ordinary shares and the warrant exercise price. Due to the highly specialized nature of services provided by consultants who provide services similar to those provided by employees of the Company, transactions with those consultants are measured at fair value of the equity instruments granted.

Under the share-based payment arrangement, there is no protection against capital increases at a discount and dividend distribution. However, dividends are not likely to be distributed and there is generally no reason to raise new capital at below the current share price. On this basis, the Company has assessed that it is generally appropriate to assume that no such transactions will take place during the holding period. When issuing warrants in 2018, convertible bonds with a potential dilutive effect were outstanding, and fair value was adjusted to reflect this potential dilution.

The stock split and bonus share issuance executed on January 4, 2021 resulted in a dilution of the warrant holders due to the increase of the exercise price compared to the pre stock split and bonus share issue. For warrants granted on December 17, 2020, the fair value was adjusted to reflect this dilution. For other grants, no such adjustment has been made.

The fair values of the warrants are measured with reference to the share price of the underlying share. Up until December 2020, this share value was determined using the value established in different financing transactions with unrelated parties. In each of these transactions, the relative ownership of the Company was changed, and a share value was established using these fund-raising transactions. The fair values of warrants are estimated using a linear interpolation in USD of the share value on grant date based on the value established on capital event dates before and after the grant date.

For warrants granted in December 2020, the Probability-Weighted Expected Return Method (“PWERM”) was applied, based on the weighted value of the share in a stay private scenario and an IPO scenario. 40% weight was put to the stay private scenario applying a share price equal to the share price of USD 8.89 at the November 2020 capital increase and 60% weight was put to the IPO scenario applying the mid-price of the indicative IPO price range of USD 11.00 available on the balance sheet. A 10% lack of marketability discount (DLOM) was applied to the IPO price.

Warrants granted prior to December 2020 are exercisable only upon an exit event or upon the Board of Director’s decisions, which is a post vesting restriction. Since the warrants granted prior to 2020 do not expire until December 31, 2036, Management considers it highly unlikely that the warrants will not become exercisable and no downward adjustment to reflect the risk of the warrant not becoming exercisable is made to the fair value of the warrants.

During 2020, the Company revised the estimated date of an IPO exit event to occur in February 2021. As of December 31, 2019, the estimated IPO exit event was December 2021. As a result of this change in estimate, the Company recognized an acceleration of expense of $0.8 million for the year ended December 31, 2020.

evidence of the fair value of an ordinary share on the date an equity award is granted. On the other hand, due to the fact that as of 2021, warrants will be granted at the share price on the date of grant, fair value comprises a time value which is significantly affected by the expected life and expected volatility. The expected life of a warrant is based on the assumption that the holder will not exercise until after the equity award is fully vested. Actual exercise patterns may differ from the assumption used herein. The expected volatility is based on peer group data and reflects the assumption that the historical volatility over a period similar to the life of the warrant is indicative of future trends, which may not necessarily be the actual outcome. The peer group consists of listed companies that management believes are similar to the Company in respect to industry and stage of development. Even with objective evidence of the fair value of an ordinary share, small changes in any other individual assumption or in combination with other assumptions could have resulted in significantly different valuations.

The following assumptions have been applied for the warrants issued during the year ended December 31, 2022:


Expected term (in years)		6.5
Risk-free interest rate		3.66	%
Expected volatility		85	%
Share price	$	2.10

Amendments to Warrants

As discussed above, the terms of the warrant granted to the company’s CFO were amended to no longer comprise an accelerated vesting upon an exit clause. This is considered a non-beneficial change, and consequently the accelerated vesting upon an exit event clause is deemed to continue to exist.

For warrants to which the employees became entitled in 2019 but were not granted until December 2020, the Company recognized stock-based compensation expenses during the year ended December 31, 2019 and the interim period ended September 30, 2020, based on the terms expected to apply for these awards. Management expected the terms to be similar to the terms applicable to warrants granted up until 2018, including the accelerated vesting upon an exit clause. However, these warrants were granted subjected to a vesting schedule up to three years and did not allow for immediate vesting upon an exit event. Because the warrants were not granted until December 2020, the Company recognized the difference in expenses as a change in accounting estimate and not a modification of existing awards. As a result of this change in the accounting estimate, the share-based payment expense for 2020 was reduced by $0.4 million.

The following schedule specifies the outstanding warrants as at December 31, 2022:


	Per
	warrant		Average	Remaining
	grant	Number of	exercise price	term to
	date fair value	warrants	per warrant	maturity
Outstanding program	(DKK)	outstanding	(DKK)	(years)
Grant (December 2016)	20.91	437,114	1	14
Grant (September 2017)	28.71	617,184	1	14
Grant (December 2017)	28.71	122,040	1	14
Grant (during 2018)	37.05	170,496	1	14
Grant (February 2019)	42.57	7,956	1	14
Grant (September 2019)	56.35	54,000	1	14
Grant (October 2019)	56.97	150,660	1	14
Grant (December 2020)	56.75	193,064	1	8
Grant (April 2021)	45.31	1,655	1	9
Grant (June 2021)	40.86	62,147	1	9
Grant (December 2021)	19.22	435,165	USD 5.38	9
Grant (March 2022)	13.46	35,000	USD 2.96	9
Grant (June 2022)	8.85	10,000	USD 1.83	9
Grant (June 2022)	8.85	10,000	USD 1.83	9
Grant (June 2022)	8.85	45,000	USD 1.83	9
Grant (September 2022)	10.46	11,000	USD 2.42	9
Grant (December 2022)	10.95	50,000	USD 2.23	9
Grant (December 2022)	10.95	330,612	USD 2.23	9
Granted at December 31, 2022		2,743,093		9
Warrants exercisable at December 31, 2022		1,988,106

The following schedule specifies the outstanding warrants as at December 31, 2021:


	Per
	warrant		Average	Remaining
	grant	Number of	exercise price	term to
	date fair value	warrants	per warrant	maturity
Outstanding program	(DKK)	outstanding	(DKK)	(years)
Grant (December 2016)	20.91	701,356	1	15
Grant (September 2017)	28.71	617,184	1	15
Grant (December 2017)	28.71	122,040	1	15
Grant (during 2018)	37.05	174,564	1	15
Grant (February 2019)	42.57	7,956	1	15
Grant (September 2019)	56.35	54,000	1	15
Grant (October 2019)	56.97	150,660	1	15
Grant (December 2020)	56.75	317,457	1	9
Grant (April 2021)	45.31	1,655	1	10
Grant (June 2021)	40.86	62,147	1	10
Grant (December 2021)	19.22	523,599	USD 5.38	10
Granted at December 31, 2021		2,732,618
Warrants exercisable at December 31, 2021		2,732,618

The following schedule specifies the outstanding warrants as at December 31, 2020:


	Per
	warrant		Average	Remaining
	grant	Number of	exercise price	term to
	date fair value	warrants	per warrant	maturity
Outstanding program	(DKK)	outstanding	(DKK)	(years)
Grant (December 2016)	20.91	712,332	1	16
Grant (April 2017)	24.05	13,896	1	16
Grant (September 2017)	28.71	617,184	1	16
Grant (December 2017)	28.71	127,044	1	16
Grant (during 2018)	37.05	181,836	1	16
Grant (February 2019)	42.57	7,956	1	16
Grant (September 2019)	56.35	54,000	1	16
Grant (October 2019)	56.97	150,660	1	16
Grant (December 2020)	56.75	363,168	1	11
Granted at December 31, 2020		2,228,076	1	15
Warrants exercisable at December 31, 2020		—

The Board of Directors and Executive Management holding of share awards for the years ended December 31, 2020, 2021 and 2022 is shown below:


		Warrants held when				Warrants held when				Warrants held when
		becoming or leaving				becoming or leaving				becoming or leaving
	January 1,	as a member			December 31,	as a member			December 31,	as a member				December 31,
	2020	of management	Granted	Forfeited	2020	of management	Granted	Exercised	2021	of management	Granted	Exercised	Forfeited	2022
Thomas William Wylonis (former) ⁽¹⁾	342,612	(369,252)	26,640	—	—	369,252	—	—	369,252	—	—	(184,626)	—	184,626
Steven Projan	24,436	—	18,612	—	42,048	—	4,583	—	46,631	—	5,000	—	—	51,631
Roberto Prego	19,800	—	14,364	—	34,164	—	4,583	—	38,747	—	5,000	—	—	43,747
Jo Ann Suzich (former) ⁽⁷⁾	—	—	10,260	—	10,260	—	—	—	10,260	—	—	—	—	10,260
Marianne Søgaard ⁽²⁾	—	65,952	28,368	—	94,320	—	9,167	—	103,487	—	10,000	—	—	113,487
Helen Boudreau (former) ⁽³⁾	—	—	5,436	—	5,436	—	—	(5,436)	—	—	—	—	—	—
Kim Bjørnstrup (former) ⁽⁴⁾	—	5,868	5,868	—	5,868	—	—	—	5,868	—	—	—	—	5,868
Lars Holtug	—	—	—	—	—	—	4,583	—	4,583	—	5,000	—	—	9,583
Niels Iversen Møller	—	—	—	—	—	—	—	—	—	—	3,750	—	—	3,750
Board of Directors in Total	385,848	(309,168)	109,548	—	561,348	—	22,916	(5,436)	578,828	—	28,750	(184,626)	—	422,952
Lars Aage Staal Wegner	844,416	—	7,668	—	852,084	—	64,167	—	916,251	—	—	(62,736)	(45,327)	808,188
Birgitte Rønø	—	—	—	—	—	29,376	45,000	—	74,376	—	25,000	—	—	99,376
Thomas Bogenrieder (former) ⁽⁵⁾	49,572	(4,356)	—	(45,216)	4,356	—	—	—	4,356	—	—	—	—	4,356
Erik Heegaard	—	—	—	—	—	—	97,564	—	97,564	—	25,000	—	—	122,564
Glenn S. Vraniak (former) ⁽⁶⁾	150,660	—	—	—	150,660	—	—	—	150,660	—	—	(112,995)	—	37,665
Andreas Holm Mattsson	—	—	—	—	—	—	—	—	—	—	35,000	—	—	35,000
Bo Karmark	—	—	—	—	—	—	—	—	—	45,000	16,667	—	—	61,667
Jesper Nyegaard Nissen	—	—	—	—	—	—	—	—	—	25,000	20,833	—	—	45,883
Niels Iversen Møller ⁽⁸⁾	—	—	—	—	—	—	—	—	—	—	3,125	—	—	3,125
Per Norlén	—	—	—	—	—	—	—	—	—	50,000	3,125	—	—	53,125
Executive Management in total	1,044,648	(4,356)	—	(45,216)	1,007,100	29,376	206,731	—	1,243,207	120,000	128,750	(175,731)	(45,327)	1,270,899

(1)Former board member until June 30, 2020, 252 warrants were granted for services provided after retirement from the Board of Director position.

(2)As of November 25, 2020, 26,964 warrants were granted for services provided before taking on the Board of Directors position.

(3)Former board member from June 30, 2020 to May 25, 2021.

(4)Former board member from June 30, 2020 to November 4, 2020.

(5)Part of Executive Management until March 31, 2020.

(6)Mr. Vraniak resigned as the Chief Financial Officer of the Company effective November 1, 2021.

(7)Board member until May 25, 2021.

(8)Became a Board member in 2022.

Financial Instruments and Risk Management

12 Months Ended

Dec. 31, 2022

Financial Instruments and Risk Management

Note 5. Financial Instruments and Risk Management

Financial risk management and risk management framework

In terms of financial risks, the Company has exposure to liquidity risk and market risk comprising foreign exchange risk. This note presents information about the Company’s exposure to each of the above risks together with the Company’s objectives, policies and processes for measuring and managing risks. The Company’s Board of Directors monitors each of these risks on a regular basis and implements policies as and when they are required. Details of the current risk management policies are provided below.

Liquidity risk

The exposure to liquidity risk primarily relates to the risk of failure to meet the Company’s obligations when they become due, which could happen if current assets are not enough to cover the amount of short-term liabilities. The Company has considered whether conditions and events exist that, when considered in aggregate, raise significant doubt about the Company’s ability to continue as a going concern for at least a year from the date of the financial statements. The Company has a history of incurring operating losses and negative cash flows from operations. The Company anticipates incurring additional losses until such time, if ever, it can complete its research and development (“R&D”) activities and obtain an out-licensing partnership for its product candidates and generate revenues from such product candidates.

The Company monitors its funding situation closely to ensure that it has access to sufficient liquidity to meet its forecasted cash requirements. Analyses are run to reflect different scenarios including, but not limited to, cash runway, human capital resources and pipeline priorities to identify liquidity risk. This enables Management and the Board of Directors to prepare for new financing transaction and/ or adjust the cost base accordingly. In March 2023 the Company adjusted the organization and optimized the strategy around EVX-01 to focus the operation and save costs. As of the date of these consolidated financial statements the Company, with its current strategic plans, anticipates that the current cash position and the cash requirements per the 2023 Annual Budget will provide sufficient cash until the beginning of December 2023. Substantial additional financing will be needed by the Company to fund its operations and to continue development of its product candidates.

The Company plans to finance cash needs through equity offerings, or other capital sources, including potential collaborations or licenses and adjust spending on new and ongoing development and corporate activities, as needed.

The accompanying consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty. Accordingly, the consolidated financial statements have been prepared on a basis that assumes the Company will continue as a going concern and which contemplates the realization of assets and discharge of its liabilities and commitments in the normal course of business. The matters that raise significant doubt about the Company’s ability to continue as a going concern also raise substantial doubt as contemplated by the Public Accounting Oversight Board (PCAOB) standards.

As of December 31, 2022 and December 31, 2021, our available liquidity, comprised of cash and cash equivalents, was $13.2 million and $32.2 million, respectively and our total equity was $8.3 million and $32.4 million, respectively.

On February 5, 2021, the Company completed our initial public offering through which we issued and sold 3,000,000 ADSs, each of which represents one ordinary share, at a price to the public of $10.00 per ADS. We received aggregate net proceeds of $25.3 million from the initial public offering, after deducting the underwriting discounts and commissions and offering expenses payable by us. Upon the completion of the initial public offering, our registered, issued, and outstanding share capital was nominal DKK 19,198,668 divided into 19,198,668 ordinary shares of DKK 1 each.

On November 9, 2021, we completed a follow-on public offering through which we issued and sold 3,942,856 ADSs, each of which represents one ordinary share, at a price to the public of $7.00 per ADS. The shares issued were inclusive of the 514,285 ADSs issued to the underwriters pursuant to the full exercise of their option to purchase additional shares on November 5, 2021. We received aggregate net proceeds of $24.9 million from the follow-on public offering, which includes the funds received for the additional shares issued to the underwriters, after deducting the underwriting discounts and commissions and offering expenses payable by us. Upon the completion of the follow-on public offering, the Company’s registered, issued, and outstanding share capital was nominal DKK 23,141,524.

On June 7, 2022 the Company entered into a Purchase Agreement (the “Purchase Agreement”) with an unrelated third party, Lincoln Park Capital Fund, LLC (“Lincoln Park”), to sell up to $40.0 million of its ordinary shares represented by American Depository Shares (“ADSs”) over a 36 month period. the Company is not obligated to sell any ordinary shares represented by ADSs pursuant to the Purchase Agreement and will control the timing and amount of any such sales, but in no event will Lincoln Park be required to purchase more than $1.5 million in ordinary shares represented by ADSs in any single regular purchase. Upon execution and delivery of the Purchase Agreement, the Company issued 428,572 ordinary shares represented by ADSs as consideration for a commitment fee of $1.2 million for Lincoln Park’s commitment to purchase its ordinary shares represented by ADSs under the Purchase Agreement. Upon completion of the Purchase Agreement, the Company’s registered, issued, and outstanding share capital was nominal DKK 23,686,452.

On October 3, 2022 the Company entered into an At-The-Market Issuance Sales Agreement with JonesTrading Institutional Services LLC (“JonesTrading”) to sell up to $14.4 million of its ordinary shares represented by ADSs. The Company agreed to pay JonesTrading commission equal to 3% of the gross proceeds of the sales price of all ADSs sold through them as sales agent under the Sales Agreement. The offering of the Company’s ADSs pursuant to the Sales Agreement will terminate on the earliest of (1) the sale of all of the ordinary shares subject to the Sales Agreement, or (2) termination of the Sales Agreement by the Company or JonesTrading. The Company and JonesTrading may terminate the sales agreement at any time upon ten days prior notice. JonesTrading may terminate the Sales Agreement at any time in certain circumstances, including the occurrence of a material adverse change that, in their judgment, may make it impracticable or inadvisable to market or sell the Company’s ADSs or a suspension or limitation of trading the Company’s ADSs on The NASDAQ Capital Market. During the period between October 13, 2022 and October 20, 2022, the Company sold 114,402 ordinary shares represented by ADSs, at a volume weighted average price of $2.76 per ADS. The ADSs were sold in an at-the-market offering pursuant to the terms and subject to the conditions contained in a Capital Demand Sales Agreement between the Company and JonesTrading Institutional Services LLC, dated October 3, 2022. After deducting fees and expenses, total proceeds to the Company from the sales of the ADSs were approximately $0.3 million. In connection with such sales, the Company registered aggregate share capital increases of nominal DKK 114,402 with the Danish Business Authority. Upon completion of the Sales Agreement and related capital increases during the period between October 13, 2022 and October 20, 2022, the Company’s registered, issued, and outstanding share capital was nominal DKK 24,092,330.

On December 29, 2022 the Company sold 4,450 ordinary shares represented by ADSs, DKK 1 nominal value with each ordinary share represented by one ADSs, at a VWAP of $2.24 per ADS. The ordinary shares represented by ADSs were sold pursuant to the Sales Agreement with JonesTrading dated October 3, 2022. Gross proceeds from the sale of ordinary shares represented by ADSs were approximately $9,968. In connection with the sale, the Company registered aggregate share capital increase of nominal DKK 4,450 with the Danish Business Authority. Upon completion of the sale, the Company’s registered, issued, and outstanding share capital was nominal DKK 24,139,413.

At year end, due to warrant exercise, the outstanding share capital was nominal DKK 24,139,413.

As of the date of these consolidated financial statements the Company, with its current strategic plans, anticipates that the current cash position and the cash requirements per the 2023 Annual Budget will provide a positive cash runway until beginning of December 2023.

The Company’s approach to managing liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to their reputation.

The following are the contractual undiscounted outflows associated with the Company’s financial liabilities in the current and prior year:


	December 31, 2022
	(USD in thousands)
	Carrying		Contractual
	amount		cash flows		<1 year		1 – 5 years		>5 years		Total
Borrowings	$	8,000	$	11,859	$	360	$	1,531	$	9,968	$	11,859
Lease payables		2,255		2,255		147		788		1,320		2,255
Trade payables		2,085		2,085		2,085		—		—		2,085
Provisions		144		144		—		—		144		144
Other payables		312		312		312		—		—		312
Total	$	12,796	$	16,655	$	2,904	$	2,319	$	11,432	$	16,655


	December 31, 2021
	(USD in thousands)
	Carrying		Contractual
	amount		cash flows		<1 year		1 – 5 years		>5 years		Total
Borrowings	$	1,170	$	1,458	$	192	$	769	$	497	$	1,458
Lease payables		2,520		3,698		326		1,223		2,149		3,698
Trade payables		2,848		2,848		2,848		—		—		2,848
Provisions		153		153		—		—		153		153
Other payables		46		46		46		—		—		46
Total	$	6,737	$	8,203	$	3,412	$	1,992	$	2,799	$	8,203

The financial liabilities include estimated or contractual interest rate payments.

Market risk

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. The type of market risk that impacts the Company is currency risk. The Company does not currently have any loans or holdings that have variable interest rate. Accordingly, the Company is not exposed to material interest rate risk.

Foreign currency risk

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in foreign exchange rates. The primary exposure derives from the Company’s operating expenses paid in foreign currencies, mainly USD and

Australian dollars. This exposure is known as transaction exposure. Any reasonable or likely movements in foreign exchange rates would not have a material impact on the Company’s operating results. The Company’s policy for managing foreign currency risks is to convert cash received from financing activities to currencies consistent with the Company’s expected cash outflows.

Credit risk

Credit risk is the risk that a counterparty will not meet its obligations under a financial instrument, leading to a financial loss for the Company. The Company’s exposure to credit risk is limited to deposits with banks with high credit ratings. Accordingly, the Company does not have material credit risk and no provision for credit risk is recognized.

Capital management

The Company’s objectives when managing capital are to safeguard the Company’s ability to continue as a going concern in order to provide returns for shareholders and benefits for other stakeholders and to maintain an optimal capital structure to reduce the cost of capital.

The Company raises capital from the issue of equity, grants or convertible loan notes. On a regular basis, management receives financial and operational performance reports that enable management to assess the adequacy of resources on hand and the Company’s liquidity position to determine future financing needs. For further information on financing needs refer to Note 2.

Fair values

Financial instruments measured at fair value in the statements of financial position are grouped into three levels of fair value hierarchy. This grouping is determined based on the lowest level of significant inputs used in fair value measurement, as follows:

Level I – quoted prices in active markets for identical assets or liabilities.

Level II – inputs other than quoted prices included within Level I that are observable for the instrument, either directly (i.e. as prices) or indirectly (i.e. derived from prices).

Level III – inputs for instrument that are not based on observable market data (unobservable inputs).

The Company issued warrants in connection with the EIB Loan Agreement. The EIB Warrants liability is measured in full upon issuance. The liability is measured initially at its fair value and is subsequently remeasured at the redemption amount. The liability is classified in level 1 of the fair value hierarchy. Due to the fact that the exercise price is insignificant compared to the share price, there is virtually no time value. Refer to Note 18 for further information regarding the EIB Warrants.

There were no financial assets and liabilities measured at fair value on a recurring basis by level within the fair value hierarchy as of December 31, 2021.

Summary of Significant Accounting Policies - Leasehold improvements and Loan from lessor (Details)	12 Months Ended
	Dec. 31, 2022
Summary of Significant Accounting Policies
Repayment loan, term	8 years
Loan, interest rate	6.00%
Correlation between construction costs and payments to lessor	100.00%

Operating Activities (Tables)

12 Months Ended

Dec. 31, 2022

Operating Activities

Schedule of research and development expense components


	Years Ended December 31,
	2022		2021		2020

	(USD in thousands)
Employee salary and benefit expenses, excluding share-based compensation	$	7,396	$	6,794	$	3,337
Share-based compensation expenses		760		1,051		1,496
Depreciation		512		273		92
External expenses		8,388		11,465		5,977
Total research and development expenses	$	17,056	$	19,583	$	10,902

Schedule of general and administrative expense components


	Years Ended December 31,
	2022		2021		2020

	(USD in thousands)
Employee salary and benefit expenses, excluding share-based compensation	$	1,983	$	1,824	$	1,098
Share-based compensation expenses		182		328		1,912
Professional and other fees		5,901		4,028		2,644
Depreciation		142		71		12
Total general and administrative expenses	$	8,208	$	6,251	$	5,666

Warrant Liability

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Schedule of other payables

Warrant Liability

Note 6. Warrant Liability

The Company received the proceeds from the draw of the first tranche of the EIB Loan on February 17, 2022. In connection therewith, EIB received 351,036 EIB Warrants, at an exercise price of DKK 1 per warrant, which vested immediately, pursuant to the terms of a separate warrant agreement, the EIB Warrant Agreement. The EIB Warrants are exercisable at any time after issuance either net in cash or through payment of the exercise price and receipt of shares. Therefore, the warrant liability is recognized in full upon issuance. The liability is measured initially at its fair value and is subsequently remeasured at the present value of the redemption amount. The liability is classified in level 1 of the fair value hierarchy. Due to the fact that the exercise price is insignificant compared to the share price, there is virtually no time value. Consequently, the present value of the redemption amount is equal to the current share price.

As the warrant liability is a non-cash financing cost the amount related to the initial recognition of the warrant liability during the nine months ended September 30, 2023 and 2022 is not included within the unaudited condensed consolidated interim statements of cash flows.

The following table sets forth the changes to the warrant liability (in thousands):


	Warrant Liability
	(USD in thousands)
Carrying amount at January 1, 2023	$	573
Remeasurement of warrant liability		(323)
Foreign currency translation		2
Carrying amount at September 30, 2023	$	252


	Warrant Liability
	(USD in thousands)
Carrying amount at January 1, 2022	$	—
Initial recognition of warrant liability		1,007
Remeasurement of warrant liability		—
Foreign currency translation		(126)
Carrying amount at September 30, 2022	$	881

Note 19. Warrant Liability

The Company received the proceeds from the draw of the first tranche of the EIB Loan on February 17, 2022. In connection therewith, EIB received 351,036 EIB Warrants, at an exercise price of DKK 1 per warrant, which vested immediately, pursuant to the terms of a separate warrant agreement, the EIB Warrant Agreement.The EIB Warrants are exercisable at any time after issuance either net in cash or through payment of the exercise price and receipt of shares. Therefore, the warrant liability is recognized in full upon issuance. The liability is measured initially at its fair value and is subsequently remeasured at the redemption amount. The liability is classified in level 1 of the fair value hierarchy. Due to the fact that the exercise price is insignificant compared to the share price, there is virtually no time value. Consequently, the present value of the redemption amount is equal to the current share price.

As the warrant liability is a non-cash financing cost the amount related to the initial recognition of the warrant liability is not included within the consolidated statements of cash flows.

The following table sets forth the changes to the warrant liability:


	Warrant Liability
	(USD in thousands)
Carrying amount at January 1, 2022	$	—
Initial recognition of warrant liability		1,007
Remeasurement of warrant liability		(395)
Foreign currency translation		(39)
Carrying amount at December 31, 2022	$	573

Prepayments and other receivables (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Prepayments and other receivables
VAT receivables	$ 287	$ 387
Prepayments	2,494	638
Other receivables	10	113
Total prepayments and other receivables	$ 2,791	$ 1,138

Other Payables (Tables)

12 Months Ended

Dec. 31, 2022

Other Payables


	December 31,
	2022		2021

	(USD in thousands)
Employee cost liabilities		353		989
Other liabilities		312		46
Total other payables	$	665	$	1,035

General Company Information

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

General Company Information

General Company Information

Note 1. General Company Information

Evaxion Biotech A/S is a pioneering TechBio company based upon its AI platform: AI-Immunology™. Evaxion’s proprietary and scalable AI prediction models harness the power of artificial intelligence to decode the human immune system and develop novel vaccines for cancer, bacterial diseases, and viral infections. Based upon AI-Immunology™, Evaxion has developed a clinical stage oncology pipeline of novel personalized vaccines and a preclinical infectious disease pipeline in bacterial and viral diseases with high unmet medical needs.

Evaxion is a public limited liability company incorporated and domiciled in Denmark with its registered office located at Dr. Neergaards Vej 5f, DK-2970 Hørsholm, Denmark.

The unaudited condensed consolidated interim financial statements of Evaxion Biotech A/S and its subsidiaries (collectively, the “Group”) for the three and nine months ended September 30, 2023 and 2022, were approved, and authorized for issuance, by the Audit Committee of the board of directors on November 13, 2023.

Note 1. General Company Information

Evaxion Biotech A/S (the “Company” or “Evaxion”) is a clinical-stage biotech company developing AI-powered immunotherapies. Evaxion uses its proprietary and scalable artificial intelligence, or AI, technology to decode the human immune system to identify and develop immunotherapies for patients in the global market. Unless the context otherwise requires, references to the “Company,” “Evaxion,” “we,” “us,” and “our”, refer to Evaxion Biotech A/S and its subsidiaries.

Evaxion is a public limited liability company incorporated and domiciled in Denmark with its registered office located at Dr. Neergaards Vej 5f, DK-2970 Hørsholm, Denmark.

On February 5, 2021, the Company completed an initial public offering (“IPO”), which resulted in the listing of American Depository Shares (“ADS”) representing the company’s ordinary shares, under the symbol “EVAX” in the United States on the NASDAQ Capital Market. Through the IPO, the Company sold 3,000,000 ADSs, each of which represents one ordinary share, at a price to the public of $10.00 per ADS. The Company received net proceeds of $25.3 million from the IPO, after deducting the underwriting discounts and commissions and offering expenses. Upon the completion of the IPO, authorized share capital consists of 3,000,000 shares of ordinary shares, par value DKK 1 per share.

On November 9, 2021, the Company completed a follow-on public offering through which we issued and sold 3,942,856 ADSs, each of which represents one ordinary share, at a price to the public of $7.00 per ADS. The shares issued were inclusive of the 514,285 ADSs issued to the underwriters pursuant to the full exercise of their option to purchase additional shares on November 5, 2021. The Company received aggregate net proceeds of $24.9 million from the follow-on public offering, which includes the funds received for the additional shares issued to the underwriters, after deducting the underwriting discounts and commissions and estimated offering expenses payable by us. Upon the completion of the follow-on public offering, the Company’s registered, issued, and outstanding share capital was nominal DKK 23,141,524.

In June 2022, we entered into a purchase agreement, or the LPC Purchase Agreement, with Lincoln Park Capital Fund, LLC, or Lincoln Park. In connection with the LPC Purchase Agreement, we issued 428,572 ADSs representing ordinary shares to Lincoln Park as consideration for a commitment fee of $1.2 million for Lincoln Park’s agreement to purchase ordinary shares. After issue of shares following the At the Market program with JonesTrading Institutional Services LLC we entered into in October 2022 and due to warrant exercise, the outstanding share capital amounted to nominal DKK 24,139,413 at year end.

The consolidated financial statements of Evaxion Biotech A/S and its subsidiaries (collectively, the “Group”) for the year ended December 31, 2022, were approved, and authorized for issuance, by the Audit Committee of the board of directors on April 27, 2023.

Emerging Growth Company Status

Evaxion is an emerging growth company, as defined in the Jumpstart Our Business Startups Act of 2012 (the “JOBS Act”). The consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”).

The Company has elected to take advantage of specified reduced reporting and regulatory requirements in contrast to those otherwise applicable generally to public companies. This provision includes the exemption from the auditor attestation requirement in the assessment of the Company’s internal control over financial reporting pursuant to Section 404 the Sarbanes-Oxley Act of 2002, or the Sarbanes-Oxley Act.

Evaxion will remain an emerging growth company until the earliest of (i) the last day of the first fiscal year (a) following the fifth anniversary of the completion of the global offering, (b) in which its annual gross revenue totals at least $1.235 billion or (c) when the Company is deemed to be a large accelerated filer, which means the market value of the Company’s ordinary shares that is held by non-affiliates exceeds $700.0 million as of the prior June 30th and (ii) the date on which the Company has issued more than $1.0 billion in non-convertible debt securities during the prior three-year period.

Impact from COVID-19

The Company continues to closely monitor the potential impact of COVID-19 on the 2022 financial results and cash flows and beyond.

The Company has worked closely with laboratories and investigators to ensure safe continuation and working requirements of its ongoing research activities and human clinical trials. The Company has resumed business travel and has remained active and effective in the process of raising capital with institutional investors by conducting key meetings in person and on a virtual basis when appropriate. As of December 31, 2022, the Company has not experienced a materially negative impact from COVID-19 on the audited consolidated financial statements.

Russia’s Invasion of Ukraine

On February 24, 2022, Russia invaded Ukraine creating a global conflict. The resulting conflict and retaliatory measures by the global community have created global security concerns, including the possibility of expanded regional or global conflict, which have had, and are likely to continue to have, short-term and more likely longer-term adverse impacts on Ukraine and Europe and around the globe. Potential ramifications include disruption of the supply chain including research activities and complications with the conduct of ongoing and future clinical trials of our product candidates, including patient enrollment. The Company relies on global networks of contract research organizations and clinical trial sites to enroll patients. Delays in research activities or in the conduct of our clinical trials could increase associated costs and, depending upon the duration of any delays, require us to find alternative suppliers at additional expense. In addition, the conflict between Russia and the Ukraine has had significant ramifications on global financial markets, which may adversely impact our ability to raise capital on favorable terms or at all. As of December 31, 2022, the Company has not directly experienced a materially negative impact from Russia’s invasion of Ukraine on the consolidated financial statements.

Summary of Significant Accounting Policies - EBI loan (Details) $ in Thousands, € in Millions				1 Months Ended
	Feb. 17, 2022 EUR (€) shares	Feb. 17, 2022 USD ($) shares	Feb. 17, 2022 kr / shares shares	Aug. 31, 2020 EUR (€) tranche	Sep. 30, 2023 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Aug. 31, 2020 USD ($) tranche
Summary of Significant Accounting Policies
Borrowings \| $					$ 8,139	$ 8,000	$ 1,170
EIB Loan Agreement
Summary of Significant Accounting Policies
Principal amount				€ 20.0				$ 20,000
Number of tranches \| tranche				3				3
Term from disbursement dates				6 years
Debt instrument term	6 years	6 years
Issuable cash settled warrants	1,003,032	1,003,032	1,003,032
Exercise price per warrant \| kr / shares			kr 1
Number of warrants issued	351,036	351,036
Tranche One
Summary of Significant Accounting Policies
Principal amount				€ 7.0				$ 7,000
Proceeds from borrowings	€ 7.0	$ 7,800
Tranche Two
Summary of Significant Accounting Policies
Principal amount				6.0				6,000
Tranche Three
Summary of Significant Accounting Policies
Principal amount				€ 7.0				$ 7,000

Financial Instruments and Risk Management - Contractual undiscounted outflows (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Disclosure of maturity analysis for non-derivative financial liabilities [line items]
Carrying amount	$ 12,796	$ 6,737
Contractual cash flow	16,655	8,203
Less than one year
Disclosure of maturity analysis for non-derivative financial liabilities [line items]
Contractual cash flow	2,904	3,412
1-5 years
Disclosure of maturity analysis for non-derivative financial liabilities [line items]
Contractual cash flow	2,319	1,992
Greater than 5 years
Disclosure of maturity analysis for non-derivative financial liabilities [line items]
Contractual cash flow	11,432	2,799
Lease liabilities
Disclosure of maturity analysis for non-derivative financial liabilities [line items]
Carrying amount	2,255	2,520
Contractual cash flow	2,255	3,698
Lease liabilities \| Less than one year
Disclosure of maturity analysis for non-derivative financial liabilities [line items]
Contractual cash flow	147	326
Lease liabilities \| 1-5 years
Disclosure of maturity analysis for non-derivative financial liabilities [line items]
Contractual cash flow	788	1,223
Lease liabilities \| Greater than 5 years
Disclosure of maturity analysis for non-derivative financial liabilities [line items]
Contractual cash flow	1,320	2,149
Trade payables
Disclosure of maturity analysis for non-derivative financial liabilities [line items]
Carrying amount	2,085	2,848
Contractual cash flow	2,085	2,848
Trade payables \| Less than one year
Disclosure of maturity analysis for non-derivative financial liabilities [line items]
Contractual cash flow	2,085	2,848
Provision
Disclosure of maturity analysis for non-derivative financial liabilities [line items]
Carrying amount	144	153
Contractual cash flow	144	153
Provision \| Greater than 5 years
Disclosure of maturity analysis for non-derivative financial liabilities [line items]
Contractual cash flow	144	153
Other payables
Disclosure of maturity analysis for non-derivative financial liabilities [line items]
Carrying amount	312	46
Contractual cash flow	312	46
Other payables \| Less than one year
Disclosure of maturity analysis for non-derivative financial liabilities [line items]
Contractual cash flow	312	46
Borrowings,
Disclosure of maturity analysis for non-derivative financial liabilities [line items]
Carrying amount	8,000	1,170
Contractual cash flow	11,859	1,458
Borrowings, \| Less than one year
Disclosure of maturity analysis for non-derivative financial liabilities [line items]
Contractual cash flow	360	192
Borrowings, \| 1-5 years
Disclosure of maturity analysis for non-derivative financial liabilities [line items]
Contractual cash flow	1,531	769
Borrowings, \| Greater than 5 years
Disclosure of maturity analysis for non-derivative financial liabilities [line items]
Contractual cash flow	$ 9,968	$ 497

Other Payables (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022	Dec. 31, 2021
Other Payables
Employee cost liabilities		$ 353	$ 989
Other liabilities		312	46
Total other payables	$ 1,367	$ 665	$ 1,035

Intangible Assets (Tables)

12 Months Ended

Dec. 31, 2022

Intangible Assets

Schedule of intangible assets


	Intangible
	Assets		Total

	(USD in thousands)
Cost at December 31, 2021	$	93	$	93
Additions during the year		—		—
Exchange rate adjustments		(6)		(6)
Cost at December 31, 2022		87		87
Amortization at December 31, 2021		—		—
Impairment for the year		(87)		(87)
Exchange rate adjustments		—		—
Amortization at December 31, 2022		(87)		(87)
Carrying amount at December 31, 2022	$	—	$	—


	Intangible
	Assets		Total

	(USD in thousands)
Cost at December 31, 2020	$	100	$	100
Additions during the year		—		—
Exchange rate adjustments		(7)		(7)
Cost at December 31, 2021		93		93
Amortization at December 31, 2020		—		—
Amortization for the year		—		—
Exchange rate adjustments		—		—
Amortization at December 31, 2021		—		—
Carrying amount at December 31, 2021	$	93	$	93

Share-Based Payments

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Schedule of cash and cash equivalents

Share-Based Payments

Note 7. Share-Based Payments

Warrant Program and Amendments

The following schedule specifies the granted warrants:



		Weighted Average
	Number of	Exercise
	warrants	Price/Share
Warrants granted as at December 31, 2022	2,743,093	USD 1.50 ⁽¹⁾
Warrants exercised ⁽⁴⁾	(351,515)	USD 0.14
Warrants granted	260,000	USD 1.33
Warrants forfeited	(82,381)	USD 2.72
Warrants cancelled	—	—
Warrants granted as at September 30, 2023 ⁽³⁾	2,569,197	USD 1.47 ⁽²⁾
Warrants exercisable as at September 30, 2023	1,894,591	USD 1.11 ⁽²⁾


		Weighted Average
	Number of	Exercise
	warrants	Price/Share
Warrants granted as at December 31, 2021	2,732,618	DKK 7.53 ⁽¹⁾
Warrants exercised ⁽⁴⁾	(345,548)	USD 0.13
Warrants granted	161,000	USD 2.72
Warrants forfeited	(16,623)	USD 5.37
Warrants cancelled	—	—
Warrants granted as at September 30, 2022	2,531,447	USD 1.32 ⁽²⁾
Warrants exercisable as at September 30, 2022	1,962,252	USD 0.57

(1) December 31, 2022 and 2021 USD and DKK end-rates used.

(2) September 30, 2023 USD-end rate used.

(3) Number of warrants exclude EIB Warrants referred to in Note 6.

(4) The weighted average share price at the date of exercise was $1.40 and $2.31 for the nine months ended September 30, 2023 and 2022, respectively.

During the nine months ended September 30, 2022, the Company granted 161,000 warrants. All granted warrants will vest 1/36 per month over 36 months.

The following assumptions have been applied for the warrants issued during the nine months ended September 30, 2023 and 2022, respectively:


	September 30,			September 30,
	2023			2022
Expected term (in years)		5.0 – 7.0			6.5
Risk-free interest rate		4.60 – 4.61	%		3.97 – 4.06	%
Expected volatility		85	%		85	%
Share price	$	0.60 – 1.78		$	1.71 – 3.03

Note 8. Share-Based Payments

Warrant Program and Amendments

The Company’s Articles of Association allow for the granting of equity compensation, in the form of equity settled warrants, to employees, consultants and Scientific Advisory Board members who provide services similar to employees, members of executive management, and the board of directors. The warrants granted in 2018 or prior vested upon the closing of our initial public offering in February 2021 (“IPO”). The warrants granted in 2020 vest either gradually over 36 months or vest immediately. Vested warrants granted in 2020 are exercisable in certain exercise windows beginning in the second half of the year of 2021. Warrants granted up until 2019 expire on December 31, 2036. Warrants granted in 2022, 2021 and 2020 expire on December 31, 2031. For the years ended December 31, 2022, 2021 and 2020, the number of warrants outstanding as a percentage of outstanding ordinary shares was 11.4%, 11.8% and 13.8%, respectively.

In the second quarter of 2021, the Company granted 62,147 warrants to its Chief Medical Officer (“CMO”) which vest over 36 months.

upon an exit event. Consequently, these warrants did not vest upon the IPO in February 2021 and will vest in accordance with the vesting schedule for warrants granted in 2020.

The following schedule specifies the granted warrants:


					Weighted
			Weighted		Average
			Average		Remaining
	Number of		Exercise		Contractual
	warrants		Price/Share		Life (years)
Warrants granted as at December 31, 2019	1,932,156		DKK1		17
Warrants granted	363,168		DKK1
Warrants forfeited	(45,216)		DKK1
Warrants cancelled	(22,032)		DKK1
Warrants granted as at December 31, 2020	2,228,076		DKK1		15
Warrants granted during 2021⁽¹⁾	63,802		DKK1
Warrants granted December 2021	523,599		USD 5.38
Warrants exercised	(62,284)	⁽²⁾	DKK1
Warrants forfeited	(10,178)		DKK1
Warrants cancelled	(10,397)		DKK1
Warrants granted as at December 31, 2021	2,732,618		DKK 7.53		13
Warrants granted	491,612		USD 2.24
Warrants exercised	(388,181)	⁽²⁾	USD 2.42
Warrants forfeited	(92,956)		USD 1.28
Warrants cancelled	—		—
Warrants granted as at December 31, 2022 ⁽³⁾	2,743,093		USD 1.50	⁽⁴⁾	11
Warrants exercisable as at December 31, 2020	—
Warrants exercisable as at December 31, 2021	2,072,122
Warrants exercisable as at December 31, 2022 ⁽³⁾	1,988,106

(1)	Of which 62,147 warrants were legally granted in June 2021 and the remaining 1,655 warrants were legally granted in December 2020.

(2)	The weighted average share price at the date of exercise were USD 2.42 and USD 5.59 for the years ended December 31, 2022 and 2021, respectively.

(3)	Number of warrants exclude EIB Warrants referred to in Note 19.

(4)	December 31, 2022 USD-end rate used.

During 2019 employees, external consultants, executive management and board members became contractually entitled to warrants that was rectified on December 17, 2020:

●

In January 2019, 45,216 warrants were granted to a member of executive management. They vest from December 2020 – December 2022. Fair value at grant date amounted to $0.3 million.

●

In February 2019, 7,956 warrants were granted to an employee. They vest from December 2020 – December 2022. Fair value at grant date amounted to $0.1 million.

●

In September 2019, 54,000 warrants were granted to an employee. The warrants vested immediately. Fair value at grant date amount to $0.5 million.

●

In October 2019, 150,660 warrants were granted to a member of executive management. The warrants vest annually over 3 years. Fair value at grant date amounted to $1.3 million.

●

In June 2021, 62,147 were granted to a member of Executive Management. Fair value at grant date amounted to $0.4 million.

●

A member of the executive board terminated his employment contract as of April 30, 2020 and forfeited his right to 45,216 unvested warrants.

●

A member of the executive board terminated his employment contract as of October, 2021 but no granted warrants remained unvested as of that date.

●

During 2022 the former Chief Executive Officer of the Company forfeited his right to 45,327 unvested warrants.

Share-based compensation expenses included in the statements of comprehensive loss:


	Years Ended
	December 31,
	2022		2021		2020

	(USD in thousands)
Research and development expenses	$	760	$	1,051	$	1,496
General and administrative expenses		182		328		1,912
Total	$	942	$	1,379	$	3,408

Determination of Fair Value of Warrants

The following assumptions have been applied for the warrants issued during the year ended December 31, 2022:


Expected term (in years)		6.5
Risk-free interest rate		3.66	%
Expected volatility		85	%
Share price	$	2.10

Amendments to Warrants

The following schedule specifies the outstanding warrants as at December 31, 2022:


	Per
	warrant		Average	Remaining
	grant	Number of	exercise price	term to
	date fair value	warrants	per warrant	maturity
Outstanding program	(DKK)	outstanding	(DKK)	(years)
Grant (December 2016)	20.91	437,114	1	14
Grant (September 2017)	28.71	617,184	1	14
Grant (December 2017)	28.71	122,040	1	14
Grant (during 2018)	37.05	170,496	1	14
Grant (February 2019)	42.57	7,956	1	14
Grant (September 2019)	56.35	54,000	1	14
Grant (October 2019)	56.97	150,660	1	14
Grant (December 2020)	56.75	193,064	1	8
Grant (April 2021)	45.31	1,655	1	9
Grant (June 2021)	40.86	62,147	1	9
Grant (December 2021)	19.22	435,165	USD 5.38	9
Grant (March 2022)	13.46	35,000	USD 2.96	9
Grant (June 2022)	8.85	10,000	USD 1.83	9
Grant (June 2022)	8.85	10,000	USD 1.83	9
Grant (June 2022)	8.85	45,000	USD 1.83	9
Grant (September 2022)	10.46	11,000	USD 2.42	9
Grant (December 2022)	10.95	50,000	USD 2.23	9
Grant (December 2022)	10.95	330,612	USD 2.23	9
Granted at December 31, 2022		2,743,093		9
Warrants exercisable at December 31, 2022		1,988,106

The following schedule specifies the outstanding warrants as at December 31, 2021:


	Per
	warrant		Average	Remaining
	grant	Number of	exercise price	term to
	date fair value	warrants	per warrant	maturity
Outstanding program	(DKK)	outstanding	(DKK)	(years)
Grant (December 2016)	20.91	701,356	1	15
Grant (September 2017)	28.71	617,184	1	15
Grant (December 2017)	28.71	122,040	1	15
Grant (during 2018)	37.05	174,564	1	15
Grant (February 2019)	42.57	7,956	1	15
Grant (September 2019)	56.35	54,000	1	15
Grant (October 2019)	56.97	150,660	1	15
Grant (December 2020)	56.75	317,457	1	9
Grant (April 2021)	45.31	1,655	1	10
Grant (June 2021)	40.86	62,147	1	10
Grant (December 2021)	19.22	523,599	USD 5.38	10
Granted at December 31, 2021		2,732,618
Warrants exercisable at December 31, 2021		2,732,618

The following schedule specifies the outstanding warrants as at December 31, 2020:


	Per
	warrant		Average	Remaining
	grant	Number of	exercise price	term to
	date fair value	warrants	per warrant	maturity
Outstanding program	(DKK)	outstanding	(DKK)	(years)
Grant (December 2016)	20.91	712,332	1	16
Grant (April 2017)	24.05	13,896	1	16
Grant (September 2017)	28.71	617,184	1	16
Grant (December 2017)	28.71	127,044	1	16
Grant (during 2018)	37.05	181,836	1	16
Grant (February 2019)	42.57	7,956	1	16
Grant (September 2019)	56.35	54,000	1	16
Grant (October 2019)	56.97	150,660	1	16
Grant (December 2020)	56.75	363,168	1	11
Granted at December 31, 2020		2,228,076	1	15
Warrants exercisable at December 31, 2020		—

The Board of Directors and Executive Management holding of share awards for the years ended December 31, 2020, 2021 and 2022 is shown below:


		Warrants held when				Warrants held when				Warrants held when
		becoming or leaving				becoming or leaving				becoming or leaving
	January 1,	as a member			December 31,	as a member			December 31,	as a member				December 31,
	2020	of management	Granted	Forfeited	2020	of management	Granted	Exercised	2021	of management	Granted	Exercised	Forfeited	2022
Thomas William Wylonis (former) ⁽¹⁾	342,612	(369,252)	26,640	—	—	369,252	—	—	369,252	—	—	(184,626)	—	184,626
Steven Projan	24,436	—	18,612	—	42,048	—	4,583	—	46,631	—	5,000	—	—	51,631
Roberto Prego	19,800	—	14,364	—	34,164	—	4,583	—	38,747	—	5,000	—	—	43,747
Jo Ann Suzich (former) ⁽⁷⁾	—	—	10,260	—	10,260	—	—	—	10,260	—	—	—	—	10,260
Marianne Søgaard ⁽²⁾	—	65,952	28,368	—	94,320	—	9,167	—	103,487	—	10,000	—	—	113,487
Helen Boudreau (former) ⁽³⁾	—	—	5,436	—	5,436	—	—	(5,436)	—	—	—	—	—	—
Kim Bjørnstrup (former) ⁽⁴⁾	—	5,868	5,868	—	5,868	—	—	—	5,868	—	—	—	—	5,868
Lars Holtug	—	—	—	—	—	—	4,583	—	4,583	—	5,000	—	—	9,583
Niels Iversen Møller	—	—	—	—	—	—	—	—	—	—	3,750	—	—	3,750
Board of Directors in Total	385,848	(309,168)	109,548	—	561,348	—	22,916	(5,436)	578,828	—	28,750	(184,626)	—	422,952
Lars Aage Staal Wegner	844,416	—	7,668	—	852,084	—	64,167	—	916,251	—	—	(62,736)	(45,327)	808,188
Birgitte Rønø	—	—	—	—	—	29,376	45,000	—	74,376	—	25,000	—	—	99,376
Thomas Bogenrieder (former) ⁽⁵⁾	49,572	(4,356)	—	(45,216)	4,356	—	—	—	4,356	—	—	—	—	4,356
Erik Heegaard	—	—	—	—	—	—	97,564	—	97,564	—	25,000	—	—	122,564
Glenn S. Vraniak (former) ⁽⁶⁾	150,660	—	—	—	150,660	—	—	—	150,660	—	—	(112,995)	—	37,665
Andreas Holm Mattsson	—	—	—	—	—	—	—	—	—	—	35,000	—	—	35,000
Bo Karmark	—	—	—	—	—	—	—	—	—	45,000	16,667	—	—	61,667
Jesper Nyegaard Nissen	—	—	—	—	—	—	—	—	—	25,000	20,833	—	—	45,883
Niels Iversen Møller ⁽⁸⁾	—	—	—	—	—	—	—	—	—	—	3,125	—	—	3,125
Per Norlén	—	—	—	—	—	—	—	—	—	50,000	3,125	—	—	53,125
Executive Management in total	1,044,648	(4,356)	—	(45,216)	1,007,100	29,376	206,731	—	1,243,207	120,000	128,750	(175,731)	(45,327)	1,270,899

(1)Former board member until June 30, 2020, 252 warrants were granted for services provided after retirement from the Board of Director position.

(2)As of November 25, 2020, 26,964 warrants were granted for services provided before taking on the Board of Directors position.

(3)Former board member from June 30, 2020 to May 25, 2021.

(4)Former board member from June 30, 2020 to November 4, 2020.

(5)Part of Executive Management until March 31, 2020.

(6)Mr. Vraniak resigned as the Chief Financial Officer of the Company effective November 1, 2021.

(7)Board member until May 25, 2021.

(8)Became a Board member in 2022.

Employees and Employee-Related Costs - Number of employees (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Employees and Employee-Related Costs
Average number of full-time employees	60	53	33
Number of employees at end of period:
Number of employees, including consultants, by country at end of period:	63	61	35
Denmark and United States
Number of employees at end of period:
Number of employees, including consultants, by country at end of period:	63	61	35

Share-Based Payments - Assumptions of Warrants (Details) - $ / shares	9 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Share-Based Payments
Expected term (in years)	6 years 6 months
Expected volatility	85.00%
Minimum
Share-Based Payments
Expected term (in years)	5 years
Risk-free interest rate	4.60%	3.97%
Share price	$ 0.60	$ 1.71
Maximum
Share-Based Payments
Expected term (in years)	7 years
Risk-free interest rate	4.61%	4.06%
Share price	$ 1.78	$ 3.03
Warrants
Share-Based Payments
Expected term (in years)			6 years 6 months
Risk-free interest rate			3.66%
Expected volatility			85.00%
Share price			$ 2.10

Cash and Cash Equivalents (Tables)

12 Months Ended

Dec. 31, 2022

Cash and Cash Equivalents


	December 31,
	2022		2021

	(USD in thousands)
Cash and cash equivalents	$	13,184	$	32,166
Total cash and cash equivalents	$	13,184	$	32,166

Schedule of changes in net working capital


	December 31,
	2022		2021		2020

	(USD in thousands)
Changes in receivables and tax receivables	$	(1,486)	$	1,863	$	(2,501)
Changes in trade payables		(599)		(647)		1,798
Changes in other payables		(792)		21		918
Changes in net working capital	$	(2,877)	$	1,237	$	215

Schedule of adjustments for non-cash items


	Year Ended
	December 31,
	2022		2021		2020

	(USD in thousands)
Income taxes	$	(772)	$	(178)	$	(1,557)
Tax credit schemes accounted for as grants		(226)		(12)		(510)
Depreciation		571		344		105
Impairment		87		—		—
Interest income		(13)		—		—
Interest expense		798		159		30
Share-based compensation expenses		942		1,379		3,408
Acquisition of property, plant and equipment		—		(90)		—
Gain in change from fair value of warrant liability		(395)		—		—
Other adjustments: Other adjustments, primarily exchange rate adjustments		(1,315)		(1,061)		107
Total adjustments for non-cash items	$	(323)	$	541	$	1,583

Schedule of reconciliation of liabilities from financing activities


	December 31,				Accumulated		Transaction				Exchange rate		December 31,
(USD in thousands)	2021		Cash flows		interest		Costs		Additions		adjustment		2022
Lease liabilities	$	2,520	$	(305)	$	176	$	—	$	15	$	(151)	$	2,255
Borrowings		1,170		7,730		524		(1,117)		84		(391)		8,000
Provisions		153		—		—		—		—		(9)		144
Total liabilities from financing activities	$	3,843	$	7,425	$	700	$	(1,117)	$	99	$	(551)	$	10,399


	December 31,				Accumulated		Transaction				Exchange rate		December 31,
(USD in thousands)	2020		Cash flows		interest		Costs		Additions		adjustment		2021
Lease liabilities	$	20	$	(226)	$	123	$	—	$	2,731	$	(128)	$	2,520
Borrowings		—		—		31		—		1,269		(130)		1,170
Provisions		—		—		—		—		161		(8)		153
Total liabilities from financing activities	$	20	$	(226)	$	154	$	—	$	4,161	$	(266)	$	3,843

Summary of Significant Accounting Policies - Estimated useful lives of assets (Details)	12 Months Ended
	Dec. 31, 2022
Leasehold Improvements [Member]
Disclosure of detailed information about property, plant and equipment [line items]
Useful lives	11 years
Other Property Plant And Equipment [Member] \| Minimum [Member]
Disclosure of detailed information about property, plant and equipment [line items]
Useful lives	5 years
Other Property Plant And Equipment [Member] \| Maximum [Member]
Disclosure of detailed information about property, plant and equipment [line items]
Useful lives	10 years

Related Party Transactions (Tables)

12 Months Ended

Dec. 31, 2022

Related Party Transactions

Schedule of transactions with related parties


	December 31,
	2022		2021		2020

	(USD in thousands)
The Company’s transactions with other related parties:
Balances with related parties at year-end (asset):
Prepaid rent and deposit for a leased property from a related party	$	—	$	—	$	7

Capital Structure and Financial Matters - Lincoln Park Purchase Agreement (Details) - ADS $ / shares in Units, $ in Millions				9 Months Ended
	Jul. 31, 2023 kr / shares	Oct. 20, 2022 $ / shares	Jun. 07, 2022 USD ($) $ / shares shares	Sep. 30, 2023 $ / shares shares	Dec. 31, 2022 shares	Jul. 07, 2022 USD ($) shares	Jun. 07, 2022 kr / shares
Capital Structure and Financial Matters
Nominal value per share \| kr / shares	kr 1
Number of ordinary shares per ADS	1			1
Ordinary shares purchase price \| $ / shares		$ 2.76		$ 1.79
Period of agreement (in months)	36 months
Lincoln Park Purchase Agreement
Capital Structure and Financial Matters
Maximum aggregate value of shares to sell \| $			$ 40.0
Nominal value per share \| kr / shares							kr 1
Number of ordinary shares per ADS			1			1
Number of shares issued as commitment fee			428,572
Ordinary shares purchase price \| $ / shares			$ 2.80
Value of shares issued as commitment fee \| $			$ 1.2
Shares to sell in a single transaction			70,000
Period of agreement (in months)			36 months
Market price above which purchase agreement depends on (in $ per share) \| $ / shares			$ 0.50
Maximum value of shares to sell in a single value of shares to sell in a single transaction \| $			$ 1.5
Maximum beneficial ownership (as a percent)			9.99%
Number of shares registered for resale						4,649,250
Amount of proceeds to be received \| $						$ 40.0
Number of shares issued and sold				428,572	428,572
Lincoln Park Purchase Agreement \| Minimum
Capital Structure and Financial Matters
Shares to sell in a single transaction			50,000
Lincoln Park Purchase Agreement \| Maximum
Capital Structure and Financial Matters
Shares to sell in a single transaction			70,000

Significant Accounting Judgements, Estimates, and Assumptions

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Significant Accounting Judgements, Estimates, and Assumptions

Significant Accounting Judgements, Estimates, and Assumptions

Note 4. Significant Accounting Judgements, Estimates, and Assumptions

In the application of its accounting policies, the Company is required to make judgments, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The unaudited condensed consolidated interim financial statements do not include all the information and disclosures required in the annual consolidated financial statements, and should be read in conjunction with the Company’s annual report on Form 20-F.

Significant accounting estimates made in the process of applying our accounting policies and that have the most significant effect on the amounts recognized in our unaudited condensed consolidated interim financial statements relate to share-based compensation. See Note 7 below for additional information regarding share-based compensation.

We have as mentioned in note 2 evaluated the cash position and future funding requirements and have concluded that there is a significant doubt about the Company’s ability to continue as a going concern. Besides this there have been no other changes to the application of critical accounting judgments, or estimation uncertainties regarding accounting estimates.

Note 4. Significant Accounting Judgements, Estimates, and Assumptions

The preparation of the consolidated financial statements in conformity with IFRS as issued by the IASB requires management to make judgements, estimates and assumptions that affect the application of policies and amounts reported in the financial statements and accompanying notes. The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances, the results of which form the basis of making the judgements about the carrying value of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimate is revised if the revision affects only that period or in the period of the revision and future periods if the revision affects both current and future periods.

The critical accounting policies which involve significant estimates, assumptions or judgements, the actual outcome of which could have a material impact on the Company’s results and financial position outlined below, are as follows:

Share-based compensation

Management determines costs for share-based payments using market-based valuation techniques. The fair value of the share awards is determined at the date of grant using generally accepted valuation techniques or valuation based on the Company’s fundraising events. Assumptions are made and judgments are used in applying valuation techniques. Prior to the Company’s IPO completed in February 2021, these assumptions and judgments include estimating the fair value for the underlying Ordinary share on the warrant grant date, as well as the likelihood of liquidity events such as IPOs. Such judgments and assumptions are inherently uncertain. Changes in these assumptions affect the fair value estimates as well as the term applied to the expense recognition.

Subsequent to the Company’s IPO completed in February 2021, determining the initial fair value and subsequent accounting for equity awards require significant judgment regarding expected life and volatility of an equity award; however, as a public listed company there is objective evidence of the fair value of an ordinary share on the date an equity award is granted. Refer to Note 8 for further detail surrounding share-based compensation.

European Investment Bank Loan and warrant liability

In February 2022, the first tranche related to the Company’s loan agreement with the European Investment Bank (EIB) was drawn down. As part of the loan arrangement warrants were granted to EIB.

The liability is initially recognized at fair value, net of transaction costs incurred (this includes the amount attributable to the warrants (see below). The loan is subsequently measured at amortized cost using the effective interest method. The effective interest rate is determined based on the outstanding amount and the fixed interest payments during the period outstanding and the accumulated payment-in-kind interest payment to be paid upon repayment. The warrants are considered a liability as they can be settled in cash and form part of the overall return to EIB on the financing arrangement and are thus accounted for in accordance with the Financial instruments standards IAS 32 and IFRS 9. The liability is measured initially at its fair value. The cost upon initial recognition is accounted for as transaction costs as it is directly linked to the draw down on each individual tranche of the EIB loan. The warrant liability is subsequently remeasured at the redemption amount. Significant judgment is made in respect of valuation of the warrants.

Leasehold Improvements and Loan from Lessor

A significant judgment was made in respect of determining whether customization of leased premises forms part of the lease or is a leasehold improvement funded by the lessor. See the section “Leasehold improvements and Loan from lessor” in Note 3.

There have been no other changes to the application of critical accounting judgments, or estimation uncertainties regarding accounting estimates. Refer to Note 2 “Liquidity and Going Concern” and Note 3 for a summary of significant accounting policies for further discussion.

Warrant Liability (Tables)

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Schedule of changes to the warrant liability

The following table sets forth the changes to the warrant liability (in thousands):


	Warrant Liability
	(USD in thousands)
Carrying amount at January 1, 2023	$	573
Remeasurement of warrant liability		(323)
Foreign currency translation		2
Carrying amount at September 30, 2023	$	252


	Warrant Liability
	(USD in thousands)
Carrying amount at January 1, 2022	$	—
Initial recognition of warrant liability		1,007
Remeasurement of warrant liability		—
Foreign currency translation		(126)
Carrying amount at September 30, 2022	$	881


	Warrant Liability
	(USD in thousands)
Carrying amount at January 1, 2022	$	—
Initial recognition of warrant liability		1,007
Remeasurement of warrant liability		(395)
Foreign currency translation		(39)
Carrying amount at December 31, 2022	$	573

Share-Based Payments - Fair value of warrants (Details) - Warrants - USD ($) $ / shares in Units, $ in Millions	1 Months Ended	12 Months Ended
	Dec. 31, 2020	Dec. 31, 2022	Dec. 31, 2021
Share-Based Payments
Percentage of weightage for private scenario	40.00%
Share price for private scenario (USD per share)		$ 8.89
Percentage of weightage for IPO scenario	60.00%
Share price for IPO scenario (USD per share)		$ 11.00
Lack of marketability discount	10.00%
Acceleration of expense			$ 0.8

Capital Structure and Financial Matters - Changes in Share Capital (Details) kr in Thousands, $ in Thousands																													1 Months Ended					3 Months Ended		6 Months Ended		12 Months Ended
	Sep. 27, 2023 DKK (kr) shares	Sep. 26, 2023 DKK (kr) shares	Sep. 22, 2023 DKK (kr) shares	Sep. 13, 2023 DKK (kr) shares	Jul. 18, 2023 DKK (kr) shares	Jun. 30, 2023 DKK (kr) shares	Jun. 05, 2023 DKK (kr) shares	Jun. 01, 2023 DKK (kr) shares	May 24, 2023 DKK (kr) shares	May 17, 2023 DKK (kr) shares	Mar. 03, 2023 DKK (kr) shares	Feb. 13, 2023 DKK (kr) shares	Feb. 09, 2023 DKK (kr) shares	Feb. 07, 2023 DKK (kr) shares	Jan. 24, 2023 DKK (kr) shares	Jan. 20, 2023 DKK (kr) shares	Jan. 05, 2023 DKK (kr) shares	Jan. 04, 2023 DKK (kr) shares	Dec. 29, 2022 DKK (kr) shares	Dec. 05, 2022 DKK (kr) shares	Oct. 20, 2022 DKK (kr) shares	Oct. 17, 2022 DKK (kr) shares	Oct. 03, 2022 DKK (kr) shares	Jun. 07, 2022 DKK (kr) shares	Nov. 09, 2021 DKK (kr) shares	Feb. 09, 2021 DKK (kr) shares	Oct. 15, 2020 DKK (kr) shares	Sep. 17, 2020 DKK (kr) shares	Sep. 30, 2022 DKK (kr) shares	Aug. 31, 2022 DKK (kr) shares	Jun. 30, 2022 DKK (kr) shares	Apr. 30, 2022 DKK (kr) shares	Nov. 30, 2021 DKK (kr) shares	Sep. 30, 2023 USD ($) shares	Sep. 30, 2022 USD ($)	Jun. 30, 2023 USD ($)	Jun. 30, 2022 USD ($)	Dec. 31, 2022 USD ($) shares	Dec. 31, 2021 USD ($) shares	Dec. 31, 2020 USD ($) shares	Sep. 30, 2023 DKK (kr) shares	Dec. 31, 2022 DKK (kr) shares	Dec. 31, 2021 DKK (kr) shares	Feb. 05, 2021 shares	Dec. 31, 2020 DKK (kr) shares	Dec. 31, 2019 USD ($) shares	Dec. 31, 2019 DKK (kr) shares
Share Capital
Share capital \| $																																		$ (2,734)	$ 13,548	$ 2,535	$ (20,150)	$ 8,303	$ 32,437	$ 7,038						$ 9,362
Issuance of shares for cash \| $																																		154	20	5,973	28	428	57,609	9,020
Share Capital
Share Capital
Share capital																																		4,415	3,864	4,390	3,844	3,886	3,755	2,648	kr 27,814	kr 24,139	kr 23,204		kr 16,198	$ 2,481	kr 15,184
Issuance of shares for cash																			kr 4		kr 65	kr 26	kr 23	kr 429	kr 3,943	kr 3,000	kr 269	kr 745					kr 63	$ 25	$ 20	$ 504	$ 28	$ 70	$ 1,107	$ 167
Capital increase \| kr	kr 46	kr 52	kr 54		kr 11		kr 862				kr 16	kr 43	kr 1,004	kr 96	kr 151	kr 259	kr 94	kr 634
Exercised warrants \| kr				kr 11		kr 5		kr 150	kr 51	kr 135										kr 43									kr 11			kr 54
Share Capital \| Share Warrants Exercise, Tranche One [Member]
Share Capital
Exercised warrants \| kr																														kr 92	kr 92
Share Capital \| Share Warrants Exercise, Tranche Two [Member]
Share Capital
Exercised warrants \| kr																														kr 41	38
Share Capital \| Share Warrants Exercise, Tranche Three[Member]
Share Capital
Exercised warrants \| kr																															kr 17
Ordinary Shares
Number of Ordinary Shares
Share capital																																		27,814,140				24,139,413	23,203,808	16,198,668	27,814,140	24,139,413	23,203,808	19,198,668	16,198,668	15,184,152	15,184,152
Increase In Shares Through Issuance Of Shares																									3,942,856	3,000,000	269,136	745,380					62,284
Capital increase (in shares)	45,807	51,750	54,099		11,348		861,614				16,280	42,808	1,003,802	96,271	151,335	259,407	94,278	634,413	4,450		64,601	26,396	23,405	428,572
Exercise warrants (in shares)				10,836		4,824		150,000	51,125	134,730										42,633									10,836			54,072
Ordinary Shares \| Share Warrants Exercise, Tranche One [Member]
Number of Ordinary Shares
Exercise warrants (in shares)																														92,313	92,313
Ordinary Shares \| Share Warrants Exercise, Tranche Two [Member]
Number of Ordinary Shares
Exercise warrants (in shares)																														41,085	37,665
Ordinary Shares \| Share Warrants Exercise, Tranche Three[Member]
Number of Ordinary Shares
Exercise warrants (in shares)																															17,264

Share-Based Payments - Warrants (Details)		1 Months Ended							3 Months Ended	9 Months Ended		12 Months Ended
Share-Based Payments - Warrants (Details)	Jan. 04, 2021 kr / shares	Sep. 30, 2022 EquityInstruments	May 31, 2022 EquityInstruments	Mar. 31, 2022 EquityInstruments	Dec. 31, 2021 EquityInstruments kr / shares	Oct. 31, 2021 EquityInstruments	Jun. 30, 2021 EquityInstruments Options	Dec. 31, 2020 EquityInstruments	Jun. 30, 2021 EquityInstruments	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022 kr / shares	Dec. 31, 2022 EquityInstruments kr / shares	Dec. 31, 2022 kr / shares	Dec. 31, 2022 kr / shares $ / shares	Dec. 31, 2022 shares kr / shares	Dec. 31, 2021 EquityInstruments kr / shares	Dec. 31, 2021 EquityInstruments kr / shares $ / shares	Dec. 31, 2020 EquityInstruments kr / shares	Dec. 31, 2019 EquityInstruments	Aug. 31, 2022 kr / shares	Feb. 05, 2021 kr / shares	Aug. 10, 2020 kr / shares
Share-Based Payments
Warrants as a percentage of outstanding shares										9.20%	10.60%
Executive management
Share-Based Payments
Warrants granted													491,612
Warrants
Share-Based Payments
Warrants Vesting period										36 months		36 months							36 months
Warrants as a percentage of outstanding shares														11.40%			11.80%	11.80%	13.80%
Warrants granted, price per share \| (per share)															$ 2.24		kr 1	$ 5.38	kr 1
Warrants granted										260,000	161,000
Warrants granted					523,599		62,147	1,655					491,612			491,612	63,802	63,802	363,168
Shares that vest monthly (as a percent)										2.78	2.78
Warrants \| CFO
Share-Based Payments
Warrants Vesting period			36 months
Warrants granted			45,000
Warrants granted													16,667							150,660
Warrants \| COO
Share-Based Payments
Warrants Vesting period				36 months
Warrants granted				25,000
Warrants granted													20,833
Warrants \| Executive management
Share-Based Payments
Warrants granted										100,000
Warrants granted						0	62,147										523,599	523,599
Warrants \| CIO
Share-Based Payments
Warrants granted													35,000
Warrants \| CSO
Share-Based Payments
Warrants granted													25,000
Warrants \| CMO
Share-Based Payments
Warrants Vesting period									36 months
Warrants granted									62,147				25,000
Warrants \| CBO
Share-Based Payments
Warrants granted													3,125
Warrants \| CEO
Share-Based Payments
Warrants Vesting period		36 months
Warrants granted		50,000
Warrants granted													3,125
Ordinary Shares
Share-Based Payments
Nominal value per share prior to stock split \| kr / shares	kr 2
Nominal value per share \| kr / shares	kr 1				kr 1							kr 1	kr 1	kr 1	$ 1	kr 1	kr 1	$ 1			kr 1	kr 1	kr 1
Ordinary Shares \| Warrants
Share-Based Payments
Increase in number of warrants, ratio	36
Warrants granted exercise price, prior to stock split \| kr / shares	kr 2
Warrants granted, price per share \| kr / shares	kr 1

Liquidity and Going Concern Assessment (Details)									1 Months Ended		9 Months Ended		12 Months Ended
Liquidity and Going Concern Assessment (Details)	Dec. 21, 2023 USD ($) $ / shares shares	Jul. 31, 2023 USD ($)	Dec. 29, 2022 USD ($) shares	Oct. 20, 2022 shares	Oct. 20, 2022 USD ($) shares	Oct. 13, 2022 kr / shares shares	Oct. 03, 2022 USD ($)	Jun. 07, 2022 USD ($) $ / shares shares	Oct. 31, 2020 USD ($) shares	Sep. 30, 2020 USD ($) shares	Sep. 30, 2023 USD ($) shares	Sep. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Dec. 21, 2023 kr / shares	Dec. 21, 2023 $ / shares	Jul. 31, 2023 kr / shares	Dec. 31, 2022 kr / shares	Dec. 29, 2022 kr / shares	Aug. 31, 2022 kr / shares	Jul. 07, 2022	Jun. 07, 2022 kr / shares	Dec. 31, 2021 kr / shares	Feb. 05, 2021 kr / shares	Jan. 04, 2021 kr / shares	Aug. 10, 2020 kr / shares
Liquidity and Going Concern Assessments
Income from collaboration											$ 14,000,000
Proceeds from issuance of shares and exercise warrants, less underwriter discounts											$ 6,127,000	$ 48,000	$ 428,000	$ 53,854,000	$ 9,019,000
ADS
Liquidity and Going Concern Assessments
Ordinary shares sold (in shares) \| shares				114,402		114,402					3,323,212
Number of ordinary shares per ADS		1									1
Ordinary shares par value \| kr / shares																		kr 1
Period of agreement (in months)		36 months
Value of remaining number of shares under the agreements		$ 700,000									$ 7,800,000
Commitment fee payable		1,100,000
Total proceeds from sale of ordinary shares							$ 300,000				6,000,000.0
Purchase Agreement To Sell Convertible Notes, Value		$ 20,000,000.0
ADS \| Entered into financing agreement
Liquidity and Going Concern Assessments
Number of ordinary shares per ADS		1
Ordinary shares par value \| kr / shares																		kr 1
Gross proceeds from exercise of warrants	$ 5,300,000
Maximum aggregate value of shares to sell		$ 20,000,000.0
Value of remaining number of shares under the agreements		$ 700,000
Agreement term		36 months
Commitment fee payable		$ 1,100,000
Ordinary Shares
Liquidity and Going Concern Assessments
Ordinary shares sold (in shares) \| shares									269,136	745,380
Ordinary shares par value \| kr / shares																			kr 1		kr 1			kr 1	kr 1	kr 1	kr 1
Total proceeds from sale of ordinary shares									$ 2,400,000	$ 6,600,000
Lincoln Park Purchase Agreement
Liquidity and Going Concern Assessments
Agreement term								36 months
Lincoln Park Purchase Agreement \| ADS
Liquidity and Going Concern Assessments
Number of ordinary shares per ADS								1														1
Ordinary shares par value \| kr / shares																							kr 1
Maximum aggregate value of shares to sell								$ 40,000,000.0
Period of agreement (in months)								36 months
Purchase Agreement To Sell Shares, Maximum Shares In Single Transaction								$ 1,500,000
Value of shares issued as commitment fee								$ 1,200,000
Market price above which purchase agreement depends on (in $ per share) \| $ / shares								$ 0.50
Number of shares issued as commitment fee \| shares								428,572
At-The-Market Issuance Sales Agreement
Liquidity and Going Concern Assessments
Ordinary shares sold (in shares) \| shares			4,450
Percentage of commission to be paid							3.00%
Total proceeds from sale of ordinary shares			$ 9,968
At-The-Market Issuance Sales Agreement \| ADS
Liquidity and Going Concern Assessments
Ordinary shares sold (in shares) \| shares			4,450		114,403
Number of ordinary shares per ADS				1	1															1
Maximum aggregate value of shares to sell							$ 14,400,000
Percentage of commission to be paid							3.00%
Threshold period of prior notice to terminate agreement							10 days
Value of remaining number of shares under the agreements							$ 7,800,000
Maximum aggregate value of shares to sell							$ 14,400,000
Total proceeds from sale of ordinary shares					$ 300,000
At-The-Market Issuance Sales Agreement \| Ordinary Shares
Liquidity and Going Concern Assessments
Ordinary shares par value \| kr / shares						kr 1														kr 1
Private placement \| Warrant
Liquidity and Going Concern Assessments
Ordinary shares sold (in shares) \| shares	9,726,898
Ordinary shares par value \| $ / shares																	$ 0.544
Gross proceeds from exercise of warrants											6,900,000
Debt instrument term	3 years
Exercise price per warrant \| $ / shares	$ 0.707
Private placement \| Ordinary Shares
Liquidity and Going Concern Assessments
Ordinary shares sold (in shares) \| shares	9,726,898
Ordinary shares par value \| kr / shares																kr 1
Total proceeds from sale of ordinary shares	$ 5,300,000										$ 5,300,000

Share-Based Payments - Compensation expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Share-Based Compensation
Share-based compensation expenses	$ 100	$ 200	$ 400	$ 700	$ 942	$ 1,379	$ 3,408
Warrants
Share-Based Compensation
Share-based compensation expenses					1,000	1,400	3,400
Compensation for arranging investors to subscribe for shares							100
Research and development expenses
Share-Based Compensation
Share-based compensation expenses					760	1,051	1,496
General and administrative expense
Share-Based Compensation
Share-based compensation expenses					$ 182	$ 328	$ 1,912

UNAUDITED CONDENSED CONSOLIDATED INTERIM STATEMENTS OF FINANCIAL POSITION $ in Thousands	Sep. 30, 2023 USD ($)	Jun. 30, 2023 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2022 DKK (kr)	Sep. 30, 2022 USD ($)	Jun. 30, 2022 USD ($)	Dec. 31, 2021 USD ($)	Nov. 09, 2021 DKK (kr)	Feb. 28, 2021 DKK (kr)	Dec. 31, 2020 USD ($)	Dec. 31, 2019 USD ($)
Non-current assets
Property and equipment, net	$ 4,312		$ 4,675				$ 5,174
Government grants receivable	22		209
Tax receivables, non-current	594
Leasehold deposits, non-current	160		156				191
Total non-current assets	5,089		5,040				5,458
Current assets
Prepayments and other receivables	3,350		2,791				1,138
Unpaid capital contributions	117
Government grants receivable, current			221				563
Tax receivables, current	781		789				838
Cash and cash equivalents	2,605		13,184		$ 17,853		32,166			$ 5,834	$ 9,559
Total current assets	6,853		16,985				34,705
TOTAL ASSETS	11,942		22,025				40,163
EQUITY AND LIABILITIES
Share capital	4,415		3,886	kr 24,139,413			3,755	kr 23,141,524	kr 19,198,668
Other reserves	82,614		77,076				79,114
Accumulated deficit	(89,763)		(72,659)				(50,432)
Total equity	(2,734)	$ 2,535	8,303		$ 13,548	$ (20,150)	32,437			$ 7,038	$ 9,362
Non-current liabilities
Lease liabilities, non-current	1,856		1,952				2,206
Borrowings, non-current	7,989		7,864				1,044
Provisions	143		144				153
Total non-current liabilities	9,988		9,960				3,403
Current liabilities
Lease liabilities, current	311		303				314
Warrant liability	252		573
Borrowings, current	150		136				126
Trade payables	2,608		2,085				2,848
Other payables	1,367		665				1,035
Total current liabilities	4,688		3,762				4,323
Total liabilities	14,676		13,722				7,726
TOTAL EQUITY AND LIABILITIES	$ 11,942		$ 22,025				$ 40,163

Borrowings - Summary (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022	Dec. 31, 2021
Borrowings.
Loan from lessor	$ 1,016	$ 1,068	$ 1,170
EIB Loan	7,123	6,932
Total Borrowings	8,139	8,000	1,170
Less: Borrowings, current portion	(150)	(136)	(126)
Total Borrowings, net of current portion	$ 7,989	$ 7,864	$ 1,044

Events After the Reporting Period

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Events After the Reporting Period

Events After the Reporting Period

Note 10. Events After the Reporting Period

Note 25. Events After the Reporting Period

Vaccine Discovery Collaboration Agreement

Share Issuances After the Reporting Period

UNAUDITED CONDENSED CONSOLIDATED INTERIM STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Operating activities:
Net loss for the period	$ (17,602)	$ (16,297)	$ (23,169)	$ (24,532)	$ (15,018)
Adjustments for non-cash items	880	(1,247)	(323)	541	1,583
Interest received	128		13
Interest paid	(50)	(156)	(172)	(25)	(30)
Income taxes paid/received, net	804		754	846	812
Cash flow from operating activities before changes in working capital	(15,840)	(17,700)	(22,897)	(23,170)	(12,653)
Cash flow from changes in working capital:
Changes in net working capital	156	(2,243)	(2,877)	1,237	215
Net cash used in operating activities	(15,684)	(19,943)	(25,774)	(21,933)	(12,438)
Investing activities:
Purchase of property and equipment	(88)	(353)	(292)	(1,300)	(149)
Receipt (payment) of non-current financial assets - leasehold deposits	(6)	28	24	30	(209)
Investment in intangible assets				(60)	(35)
Net cash (used in)/provided by investing activities	(94)	(324)	(268)	(1,330)	(393)
Financing activities:
Proceeds from issuance of shares and exercise warrants, less underwriter discounts	6,127	48	428	53,854	9,019
Transaction costs related to issuance of shares	(180)	(355)		(3,760)	(128)
Proceeds from borrowings	65	7,933	7,849
Repayment of borrowings	(334)	(88)	(119)	(63)
Leasing installments	(245)	(231)	(305)	(226)	(74)
Net cash provided by/ (used in) financing activities	5,433	7,307	7,853	49,805	8,817
Net increase/(decrease) in cash and cash equivalents	(10,345)	(12,960)	(18,189)	26,542	(4,014)
Cash and cash equivalents at January 1	13,184	32,166	32,166	5,834	9,559
Exchange rate adjustments on cash and cash equivalents	(234)	(1,353)	(793)	(210)	288
Cash and cash equivalents at December 31	2,605	$ 17,853	13,184	32,166	5,834
Non-cash investing and financing activities
Acquisition of property and equipment through loan from lessor	$ 65		$ 84
Capitalized intangible assets included in trade payables					$ 60
Acquisition of property and equipment included in trade payables				$ 90

Financial Income and Expenses (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Financial income:
Interest income, bank					$ 13
Change in fair value of warrant liability					395
Foreign exchange gains					2,423	$ 2,039	$ 216
Total financial income	$ 72	$ 703	$ 404	$ 2,761	2,831	2,039	216
Financial expenses:
Interest expenses					(34)	(5)	(29)
Interest expenses, lease liabilities					(176)	(123)
Interest expenses, loan from lessor					(588)	(31)
Foreign exchange losses					(710)	(756)	(194)
Total financial expenses	$ (182)	$ (535)	$ (786)	$ (918)	(1,508)	(915)	(223)
Net financial items					$ 1,323	$ 1,124	$ (7)

Property and Equipment, Net (Tables)

12 Months Ended

Dec. 31, 2022

Property and Equipment, Net

Schedule of property and equipment


			Other		Leasehold
	Property		Equipment		Improvements		Total

	(USD in thousands)
Cost at December 31, 2021	$	2,756	$	1,225	$	1,567	$	5,548
Additions during the year		—		220		156		376
Disposals during the year		—		—		—		—
Exchange rate adjustments		(163)		(77)		(91)		(331)
Cost at December 31, 2022		2,593		1,368		1,632		5,593
Depreciation at December 31, 2021	$	(155)	$	(161)	$	(58)	$	(374)
Depreciation for the year		(234)		(196)		(141)		(571)
Depreciation revaluation during the year		15		—		—		15
Exchange rate adjustments		5		5		2		12
Depreciation at December 31, 2022		(369)		(352)		(197)		(918)
Carrying amount at December 31, 2022	$	2,224	$	1,016	$	1,435	$	4,675
Carrying amount of right-of-use assets at December 31, 2022	$	2,224	$	—	$	—	$	2,224


			Other		Leasehold
	Property		Equipment		Improvements		Total

	(USD in thousands)
Cost at December 31, 2020	$	257	$	263	$	—	$	520
Additions during the year		2,891		1,025		1,634		5,550
Disposals during the year		(244)		—		—		(244)
Exchange rate adjustments		(148)		(63)		(67)		(278)
Cost at December 31, 2021		2,756		1,225		1,567		5,548
Depreciation at December 31, 2020	$	(237)	$	(62)	$	—	$	(299)
Depreciation for the year		(179)		(105)		(59)		(343)
Depreciation reversed on disposals during the year		244		—		—		244
Exchange rate adjustments		17		6		1		24
Depreciation at December 31, 2021		(155)		(161)		(58)		(374)
Carrying amount at December 31, 2021	$	2,601	$	1,064	$	1,509	$	5,174
Carrying amount of right-of-use assets at December 31, 2021	$	2,601	$	—	$	—	$	2,601

Depreciation included in the statement of comprehensive loss:


	Years Ended
	December 31,
	2022		2021		2020

	(USD in thousands)
Research and development expenses	$	446	$	270	$	90
General and administrative expenses		125		73		15
Total depreciation included in the statement of comprehensive loss	$	571	$	343	$	105
Total accumulated depreciation of right-of-use assets at December 31,	$	369	$	155	$	236

Prepayments and other receivables

12 Months Ended

Dec. 31, 2022

Prepayments and other receivables

Prepayments and other receivables

Note 14. Prepayments and other receivables


	December 31,
	2022		2021

	(USD in thousands)
VAT receivables	$	287	$	387
Prepayments		2,494		638
Other receivables		10		113
Total prepayments and other receivables	$	2,791	$	1,138

The increase in prepayments derives from upfront payments made in relation to planned clinical trials.

Property and Equipment, Net

12 Months Ended

Dec. 31, 2022

Property and Equipment, Net

Property and Equipment, Net

Note 13. Property and Equipment, Net


			Other		Leasehold
	Property		Equipment		Improvements		Total

	(USD in thousands)
Cost at December 31, 2021	$	2,756	$	1,225	$	1,567	$	5,548
Additions during the year		—		220		156		376
Disposals during the year		—		—		—		—
Exchange rate adjustments		(163)		(77)		(91)		(331)
Cost at December 31, 2022		2,593		1,368		1,632		5,593
Depreciation at December 31, 2021	$	(155)	$	(161)	$	(58)	$	(374)
Depreciation for the year		(234)		(196)		(141)		(571)
Depreciation revaluation during the year		15		—		—		15
Exchange rate adjustments		5		5		2		12
Depreciation at December 31, 2022		(369)		(352)		(197)		(918)
Carrying amount at December 31, 2022	$	2,224	$	1,016	$	1,435	$	4,675
Carrying amount of right-of-use assets at December 31, 2022	$	2,224	$	—	$	—	$	2,224


			Other		Leasehold
	Property		Equipment		Improvements		Total

	(USD in thousands)
Cost at December 31, 2020	$	257	$	263	$	—	$	520
Additions during the year		2,891		1,025		1,634		5,550
Disposals during the year		(244)		—		—		(244)
Exchange rate adjustments		(148)		(63)		(67)		(278)
Cost at December 31, 2021		2,756		1,225		1,567		5,548
Depreciation at December 31, 2020	$	(237)	$	(62)	$	—	$	(299)
Depreciation for the year		(179)		(105)		(59)		(343)
Depreciation reversed on disposals during the year		244		—		—		244
Exchange rate adjustments		17		6		1		24
Depreciation at December 31, 2021		(155)		(161)		(58)		(374)
Carrying amount at December 31, 2021	$	2,601	$	1,064	$	1,509	$	5,174
Carrying amount of right-of-use assets at December 31, 2021	$	2,601	$	—	$	—	$	2,601

Depreciation included in the statement of comprehensive loss:


	Years Ended
	December 31,
	2022		2021		2020

	(USD in thousands)
Research and development expenses	$	446	$	270	$	90
General and administrative expenses		125		73		15
Total depreciation included in the statement of comprehensive loss	$	571	$	343	$	105
Total accumulated depreciation of right-of-use assets at December 31,	$	369	$	155	$	236

Capital Structure and Financial Matters - Capital transactions (Details)									1 Months Ended				9 Months Ended		12 Months Ended
	Oct. 20, 2022 DKK (kr) shares	Oct. 20, 2022 DKK (kr) $ / shares	Oct. 13, 2022 shares	Oct. 03, 2022 USD ($)	Nov. 09, 2021 USD ($) $ / shares shares	Nov. 05, 2021 shares	Feb. 05, 2021 USD ($) $ / shares shares	Aug. 10, 2020 kr / shares shares	Nov. 30, 2021 USD ($) $ / shares shares	Feb. 28, 2021 USD ($) $ / shares shares	Oct. 31, 2020 USD ($) $ / shares shares	Sep. 30, 2020 USD ($) $ / shares shares	Sep. 30, 2023 USD ($) $ / shares shares	Sep. 30, 2022 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Jul. 31, 2023 kr / shares	Jun. 30, 2023 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2022 DKK (kr) kr / shares	Oct. 31, 2022 DKK (kr)	Aug. 31, 2022 kr / shares	Jun. 30, 2022 USD ($)	Dec. 31, 2021 kr / shares	Nov. 30, 2021 DKK (kr)	Nov. 19, 2021	Nov. 09, 2021 DKK (kr)	Feb. 28, 2021 DKK (kr)	Feb. 05, 2021 DKK (kr) kr / shares	Jan. 04, 2021 kr / shares	Dec. 31, 2019 USD ($)
Disclosure of classes of share capital [line items]
Payments for share issue costs \| $													$ 180,000	$ 355,000	$ 3,760,000	$ 128,000
Registered, issued, and outstanding share capital													4,415,000		3,755,000				$ 3,886,000	kr 24,139,413							kr 23,141,524	kr 19,198,668
Share capital \| $													$ (2,734,000)	$ 13,548,000	$ 32,437,000	$ 7,038,000		$ 2,535,000	$ 8,303,000				$ (20,150,000)								$ 9,362,000
Follow-on public offering
Disclosure of classes of share capital [line items]
Number of ordinary shares per ADS																									1
Ordinary Shares [Member]
Disclosure of classes of share capital [line items]
Ordinary shares sold (in shares)											269,136	745,380
Weighted average share price \| $ / shares											$ 8.89	$ 8.89
Proceeds from issue of shares \| $											$ 2,400,000	$ 6,600,000
Increase in authorized number of shares								745,380
Additional increase in authorized number of shares								1,800,000
Nominal value per share \| kr / shares								kr 1												kr 1		kr 1		kr 1					kr 1	kr 1
Additional number of ordinary share warrants allowed to issue								1,298,196
Payments for share issue costs \| $											$ 144,022
Registered, issued, and outstanding share capital \| kr	kr 24,092,330	kr 24,092,330																			kr 24,139,413						kr 23,141,524		kr 19,198,668
Ordinary Shares [Member] \| IPO
Disclosure of classes of share capital [line items]
Nominal value per share \| kr / shares																													kr 1
American Depositary Shares [Member]
Disclosure of classes of share capital [line items]
Ordinary shares sold (in shares)	114,402		114,402										3,323,212
Weighted average share price \| $ / shares		kr 2.76											$ 1.79
Proceeds from issue of shares \| $				$ 300,000									$ 6,000,000.0
Nominal value per share \| kr / shares																	kr 1
Number of ordinary shares per ADS													1				1
American Depositary Shares [Member] \| IPO
Disclosure of classes of share capital [line items]
Ordinary shares sold (in shares)							3,000,000			3,000,000
Weighted average share price \| $ / shares							$ 10.00			$ 10.00
Proceeds from issue of shares \| $							$ 25,300,000			$ 25,300,000
Number of ordinary shares per ADS																												1	1
American Depositary Shares [Member] \| Follow-on public offering
Disclosure of classes of share capital [line items]
Ordinary shares sold (in shares)					3,942,856				3,942,856
Weighted average share price \| $ / shares					$ 7.00				$ 7.00
Proceeds from issue of shares \| $					$ 24,900,000				$ 24,900,000
Number of ordinary shares per ADS																										1	1
Registered, issued, and outstanding share capital \| kr																									kr 23,141,524
American Depositary Shares [Member] \| Underwriters option to purchase shares
Disclosure of classes of share capital [line items]
Ordinary shares sold (in shares)					514,285	514,285

Warrant Liability

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Warrant Liability

Note 6. Warrant Liability

The following table sets forth the changes to the warrant liability (in thousands):


	Warrant Liability
	(USD in thousands)
Carrying amount at January 1, 2023	$	573
Remeasurement of warrant liability		(323)
Foreign currency translation		2
Carrying amount at September 30, 2023	$	252


	Warrant Liability
	(USD in thousands)
Carrying amount at January 1, 2022	$	—
Initial recognition of warrant liability		1,007
Remeasurement of warrant liability		—
Foreign currency translation		(126)
Carrying amount at September 30, 2022	$	881

Note 19. Warrant Liability

The Company received the proceeds from the draw of the first tranche of the EIB Loan on February 17, 2022. In connection therewith, EIB received 351,036 EIB Warrants, at an exercise price of DKK 1 per warrant, which vested immediately, pursuant to the terms of a separate warrant agreement, the EIB Warrant Agreement.The EIB Warrants are exercisable at any time after issuance either net in cash or through payment of the exercise price and receipt of shares. Therefore, the warrant liability is recognized in full upon issuance. The liability is measured initially at its fair value and is subsequently remeasured at the redemption amount. The liability is classified in level 1 of the fair value hierarchy. Due to the fact that the exercise price is insignificant compared to the share price, there is virtually no time value. Consequently, the present value of the redemption amount is equal to the current share price.

As the warrant liability is a non-cash financing cost the amount related to the initial recognition of the warrant liability is not included within the consolidated statements of cash flows.

The following table sets forth the changes to the warrant liability:


	Warrant Liability
	(USD in thousands)
Carrying amount at January 1, 2022	$	—
Initial recognition of warrant liability		1,007
Remeasurement of warrant liability		(395)
Foreign currency translation		(39)
Carrying amount at December 31, 2022	$	573

Borrowings - Loan from Lessor (Details) $ in Thousands	1 Months Ended	3 Months Ended		9 Months Ended		12 Months Ended
Borrowings - Loan from Lessor (Details) $ in Thousands	Oct. 31, 2020 USD ($) m²	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)
Borrowings
Borrowings		$ 8,139		$ 8,139		$ 8,000	$ 1,170
Interest rate						6.00%
Interest expense related to loan						$ 588	31
Hrsholm, Denmark
Borrowings
Lease space \| m²	1,356
DTU Financing
Borrowings
Borrowings	$ 1,300
Interest rate	6.00%
Payment period	8 years
Interest expense related to loan				100	$ 100	200	$ 0
Borrowing addition		$ 0	$ 0	$ 100	$ 0	$ 100
DTU Financing \| Fixed interest rate
Borrowings
Interest rate	6.00%
Office space \| Hrsholm, Denmark
Borrowings
Lease space \| m²	839
Laboratory space \| Hrsholm, Denmark
Borrowings
Lease space \| m²	518

Provisions

12 Months Ended

Dec. 31, 2022

Provisions

Provisions

Note 23. Provisions

The Company is required to restore the lease premises of its office and laboratory space in Hørsholm, Denmark to its original condition at the end of the lease term. A provision is recognized for the present value using a discount rate based on the Company’s risk adjusted incremental borrowing rate of the estimated expenditure required to remove any leasehold improvements. These costs have been capitalized as part of the cost of leasehold improvements and are amortized over the lease term.

Changes in the provision balance during the year ended December 31, 2022 are as follows:


	Provisions
	(USD in
	thousands)
Carrying amount at January 1, 2022	$	153
Provisions recognized		—
Additions		—
Utilization of provision		—
Change in the provision		—
Currency adjustment		(9)
Carrying amount at December 31, 2022	$	144

Changes in the provision balance during the year ended December 31, 2021 are as follows:


	Provisions
	(USD in
	thousands)
Carrying amount at January 1, 2021	$	—
Provisions recognized		161
Additions		—
Utilization of provision		—
Change in the provision		—
Currency adjustment		(8)
Carrying amount at December 31, 2021	$	153

Warrant Liability (Details) $ in Thousands		9 Months Ended		12 Months Ended
Warrant Liability (Details) $ in Thousands	Feb. 17, 2022 kr / shares shares	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)
Reconciliation of changes in fair value measurement, liabilities
Liabilities at beginning of period		$ 13,722	$ 7,726	$ 7,726
Liabilities at end of period		14,676		13,722
EIB Loan Agreement
Warrant Liability
Number of warrants issued \| shares	351,036
Exercise price per warrant \| kr / shares	kr 1
EIB Warrants \| EIB Loan Agreement
Warrant Liability
Number of warrants issued \| shares	351,036
Warrant liability
Reconciliation of changes in fair value measurement, liabilities
Liabilities at beginning of period		573	0	0
Initial recognition of warrant liability			1,007	1,007
Remeasurement of warrant liability		(323)		(395)
Foreign currency translation		2	(126)	(39)
Liabilities at end of period		$ 252	$ 881	$ 573

Summary of Significant Accounting Policies

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Summary of significant accounting policies

Note 3. Summary of Significant Accounting Policies

Basis of Preparation

The implementation of the amendments did not give rise to changes to reported financial figures.

Implemented standards

●

Amendment to IAS 1 Presentation of Financial Statements: Disclosure of Accounting Policies (January 1, 2023)

●

Amendment to IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors: Definition of Accounting Estimates (January 1, 2023)

●

Amendment to IAS 12 Accounting Policies, Deferred tax related to Assets and Liabilities arising from a Single Transaction (January 1, 2023)

Standards issued but not yet effective

There were a number of standards and interpretations which were issued but were not yet effective at September 30, 2023 and have not been adopted for these financial statements, including:

●

Amendments to IAS 1 Presentation of Financial Statements: Classification of Liabilities as Current or Non-current (January 1, 2024)

●

Amendments to IFRS 16 Accounting Policies, Lease Liability in a Sales and Leaseback (January 1, 2024)

Note 3. Summary of Significant Accounting Policies

Basis of Preparation

The financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”).

The preparation of financial statements in conformity with IFRS requires the use of certain critical accounting estimates and requires management to exercise its judgment in the process of applying the Company’s accounting policies. The areas involving a higher degree of judgment or complexity, or areas where assumptions and estimates are significant to the consolidated financial statements are disclosed in Note 4.

Reclassifications of prior period presentation

Basis of Consolidation

All intra-Group assets and liabilities, equity, income, expenses, and cash flows relating to transactions between members of the Group are eliminated in full in consolidation.

Retrospective effect of share split and bonus share issuance

Currency translation of transactions and balances

Translation of foreign operations

Research and development expenses

from the timing of the expense recognition of these costs, in which case, they are reflected in the financial statements as either prepaid- or accrued expenses.

Contract Research Organizations expenses and related prepayments and accruals

Intellectual property

Income from government grants

General and administrative expenses

Share-based payments

Accounting for joint operations – Southern Denmark University

Accounting for joint operations - MSD International GmbH and MSD International Business GmbH

Finance Income

Finance income consists primarily of foreign currency gains, and a gain from changes in fair value of liability-classified warrants.

Finance Expense

Finance expenses consists primarily of foreign currency losses, interest expense and related loan costs on the EIB Loan Agreement (as defined herein), and interest expense on leasing liabilities.

Income tax

Deferred taxes

Tax receivables

EIB Loan

EIB Warrants

Leases

Leasehold improvements and Loan from lessor

The Company has assessed whether this is a lease component, or a leasehold improvement funded by the lessor. We have considered the following factors:

1.Which party designed the customization

2.Which party had the right to direct changes to the work

3.Who is taking on the economic risk of the cost price of the work

Right-of-use assets

The Company’s right-of-use assets are presented within property and equipment, net.

Lease liabilities

At the commencement date of the lease, the Company recognizes lease liabilities measured at the present value of the following payments, when applicable:

●

fixed payments (including in-substance fixed payments), less any lease incentives receivable;

●

variable lease payments (linked to an index or interest rate);

●

expected payments under residual value guarantees;

●

the exercise price of purchase options, where exercise is reasonably certain;

●

lease payments in optional renewal periods, where exercise of extension options is reasonably certain;

●

and penalty payments for the termination of a lease, if the lease term reflects the exercise of the respective termination option.

Intangible assets

Property and equipment

Assets		Useful life
Properties		Shorter of lease term and useful life of the asset
Leasehold improvements		11 years
Other equipment		5 – 10 years

Impairment of non-financial assets

Provisions

Financial instruments

(i) Non-derivative financial assets

The Company holds the following categories of non-derivative financial assets:

Receivables

Prepayments include expenditures related to future financial periods and are measured at amortized cost.

Cash and cash equivalents

(ii) Non-derivative financial liabilities

Non-derivative financial liabilities comprise other payables which are measured initially at fair value and subsequently at amortized cost.

Trade Payables

Trade payables and accruals relate to the Group’s purchase of products and services from various vendors in the normal course of business.

Other Payables

Segment Information

Shareholders’ Equity

The share capital comprises the nominal amount of the company’s ordinary shares, each at a nominal value of DKK 1.

Loss Per Share

Standards issued but not yet effective

There were a number of standards and interpretations which were issued but were not yet effective at December 31, 2022 and have not been adopted for these financial statements, including:

●

Amendments to IAS 1 Presentation of Financial Statements: Classification of Liabilities as Current or Non-current (January 1, 2024)

●

Amendment to IAS 1 Presentation of Financial Statements: Disclosure of Accounting Policies (January 1, 2023)

●

Amendment to IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors: Definition of Accounting Estimates (January 1, 2023)

●

Amendment to IAS 12 Accounting Policies, Deferred tax related to Assets and Liabilities arising from a Single Transaction (January 1, 2023)

●

Amendments to IFRS 16 Accounting Policies, Lease Liability in a Sales and Leaseback (January 1, 2024)

Financial Instruments and Risk Management (Tables)

12 Months Ended

Dec. 31, 2022

Financial Instruments and Risk Management

Schedule of contractual outflows of financial liabilities


	December 31, 2022
	(USD in thousands)
	Carrying		Contractual
	amount		cash flows		<1 year		1 – 5 years		>5 years		Total
Borrowings	$	8,000	$	11,859	$	360	$	1,531	$	9,968	$	11,859
Lease payables		2,255		2,255		147		788		1,320		2,255
Trade payables		2,085		2,085		2,085		—		—		2,085
Provisions		144		144		—		—		144		144
Other payables		312		312		312		—		—		312
Total	$	12,796	$	16,655	$	2,904	$	2,319	$	11,432	$	16,655


	December 31, 2021
	(USD in thousands)
	Carrying		Contractual
	amount		cash flows		<1 year		1 – 5 years		>5 years		Total
Borrowings	$	1,170	$	1,458	$	192	$	769	$	497	$	1,458
Lease payables		2,520		3,698		326		1,223		2,149		3,698
Trade payables		2,848		2,848		2,848		—		—		2,848
Provisions		153		153		—		—		153		153
Other payables		46		46		46		—		—		46
Total	$	6,737	$	8,203	$	3,412	$	1,992	$	2,799	$	8,203

Commitments And Contingencies

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Commitments And Contingencies.

Disclosure of commitments and contingent liabilities [text block]

Note 9. Commitments and Contingencies

Legal Proceedings

On April 28, 2022, we received formal notice that on April 21, 2022, SSI, had initiated a legal proceeding against us in The Danish Maritime and Commercial High Court (Sø og Handelsretten), claiming sole ownership of a patent application (PCT/EP2020/050058 and subsequently national filings, EP3906045), we had filed related to a method for treating malignant neoplasm by administering a composition comprising a high dose of neopeptides, a solvent and SSI’s liposomal adjuvant, CAF®09b, for which we have an exclusive, royalty bearing sub-licensable license to use from SSI, or the Invention.

The patent application for the Invention relates solely to the use of the adjuvant CAF®09b in conjunction with a high dose of neopeptides in our EVX-01 product candidate. SSI’s claim to the patent application does not relate to any other aspect of our patent portfolio covering EVX-01 or the PIONEER platform technology. The patent application stems from work we performed under a collaboration agreement we entered into with SSI, DTU, Center for Cancer Immune Therapy (Herlev Hospital) and the Center for Genomic Medicine (Rigshospitalet). The patent application names us and certain of our employees as the sole invertors of the Invention.

In its filing, SSI’s primary claim is that the Invention disclosed in the patent application was not made by us and our employees, but rather, that SSI and members of its staff made the Invention and, therefore, SSI and certain of its staff members should be listed as the sole inventors of the Invention. Subsidiary claims is that SSI should have co-ownership with us of the patent application and the Invention.

It is our position that we and our employees are the sole inventors of the Invention. We believe that we have strong defenses against SSI’s claim and that SSI’s claim is without merit. We intend to vigorously defend the action. In any event, even if SSI’s claim were to be upheld by the court, while no assurance can be given, we do not expect that the claim would have a material impact on our rights to use the Invention in the development and commercialization of EVX-01, as we believe that such rights are covered by our current license agreement with SSI and SSI would be excluded from enforcing its rights in the Invention to prevent us from developing and commercializing our EVX-01 product candidate.

After several rounds of written statements to the courts the court proceedings has been paused since May 2023 on the basis that non-court mediated negotiations are ongoing between us and SSI to resolve the situation without further court proceedings. We expect these negotiations to be completed during the first quarter of 2024. It is the opinion of the executive management team that the legal proceedings will not have material impact on the company’s future financial results. Further, the expectation is a settlement will be reached with a good outcome for the company. Our legal counsel has confirmed that they support our evaluation that the ongoing legal proceedings will not have a material impact on our future financial results or business operations. As of the date of this filing, we cannot reasonably estimate any range of potential future charges, and therefore, we have not recorded any accrual for liabilities associated with these legal proceedings.

Note 22. Commitments and Contingencies

Legal Proceedings

On April 28, 2022, the Company received formal notice that on April 21, 2022, Statens Serum Institut (“SSI”), had initiated a legal proceeding against the Company in The Danish Maritime and Commercial High Court (Sø og Handelsretten), claiming sole ownership of a patent application (PCT/EP2020/050058 and subsequently national filings, EP3906045), the Company filed related to a method for treating malignant neoplasm by administering a composition comprising a high dose of neopeptides, a solvent and SSI’s liposomal adjuvant, CAF®09b, for which the Company has a non-exclusive, royalty-bearing sub-licensable license to use from SSI (the “Invention”).

The patent application for the Invention relates solely to the use of the adjuvant CAF®09b in conjunction with a high dose of neopeptides in the Company’s EVX-01 product candidate. SSI’s claim to the patent application does not relate to any other aspect of the Company’s patent portfolio covering EVX-01 or the PIONEER platform technology. The patent application stems from work the Company performed under a collaboration agreement the Company entered into with SSI, DTU, Center for Cancer Immune Therapy (Herlev Hospital) and the Center for Genomic Medicine (Rigshospitalet). The patent application names the Company and certain of the Company’s employees as the sole invertors of the Invention.

In its filing, SSI’s primary claim is that the Invention disclosed in the patent application was not made by the Company and its employees, but rather, that SSI and members of its staff made the Invention and, therefore, SSI and certain of its staff members should be listed as the sole inventors of the Invention. In the alternative, SSI claims that it should have co-ownership with the Company of the patent application and the Invention.

It is the Company’s position that the Company and its employees are the sole inventors of the Invention. The Company believes that it has strong defenses against SSI’s claim and that SSI’s claim is without merit. The Company intends to vigorously defend the action. In any event, even if SSI’s claim were to be upheld by the court, while no assurance can be given, the Company does not expect that it would have a material impact on its rights to use the Invention in the development and commercialization of EVX-01, as the Company believes that such rights are covered by its current license agreement with SSI and SSI would be excluded from enforcing its rights in the Invention to prevent the Company from developing and commercializing its EVX-01 product candidate. As of December 31, 2022 the opinion of the Company’s legal counsel is that the ongoing legal proceedings will not have a material impact on the Company’s future financial results.

As of December 31, 2022 the Company and SSI have begun to make written statements to the courts, and this process has been ongoing through the date of issuance of this Form 20-F; whereafter the court will announce official dates for court meetings to take place. The Company and SSI are presently in communication on the Board and Executive Management levels to the resolve the legal dispute through an out of court settlement.

Contractual obligations

The contractual obligations are similar individually and, in the aggregate, not material to the future financial position, operating profit or cash flow.

At December 31, 2022, the Company had the following contractual commitments which fall due as follows:


	December 31, 2022
	(USD in thousands)
	Contractual
	cash flows	<1 year		1 – 2 years		2 – 5 years		>5 years		Total

	(USD in thousands)
Purchase obligations	—	$	598	$	56	$	904	$	—	$	1,558
Total	—	$	598	$	56	$	904	$	—	$	1,558

The majority of the purchase obligations of $0.8 million relate to CRO’s as of December 31, 2022.

At December 31, 2021, the Company had the following contractual commitments which fall due as follows:


	December 31, 2021
	(USD in thousands)
	Contractual
	cash flows	<1 year		1 – 2 years		2 – 5 years		>5 years		Total

	(USD in thousands)
Purchase obligations	—	$	72	$	72	$	—	$	—	$	72
Total	—	$	72	$	72	$	—	$	—	$	72

The Company has purchase obligations of $72 thousand due to CRO’s and a nominal amount due system provider as of December 31, 2021.

Financial Instruments and Risk Management - Purchase Agreement (Details) $ in Thousands	Jul. 31, 2023	Sep. 30, 2023 USD ($)	Jun. 30, 2023 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2022 DKK (kr)	Dec. 29, 2022 DKK (kr)	Sep. 30, 2022 USD ($)	Jun. 30, 2022 USD ($)	Jun. 07, 2022 DKK (kr)	Dec. 31, 2021 USD ($)	Nov. 09, 2021 DKK (kr)	Feb. 28, 2021 DKK (kr)	Dec. 31, 2020 USD ($)	Dec. 31, 2019 USD ($)
Disclosure of detailed information about financial instruments [line items]
Share capital		$ 4,415		$ 3,886	kr 24,139,413					$ 3,755	kr 23,141,524	kr 19,198,668
Equity \| $		$ (2,734)	$ 2,535	$ 8,303			$ 13,548	$ (20,150)		$ 32,437			$ 7,038	$ 9,362
Registered share capital (in DKK)						kr 24,139,413
American Depositary Shares [Member]
Disclosure of detailed information about financial instruments [line items]
Period of agreement (in months)	36 months
American Depositary Shares [Member] \| Purchase Agreement
Disclosure of detailed information about financial instruments [line items]
Share capital									kr 23,686,452

The amount of residual interest in the assets of the entity after deducting all its liabilities.

Employees and Employee-Related Costs

Employees and Employee-Related Costs (Tables)

12 Months Ended

Dec. 31, 2022

Schedule of number of employees


	Years Ended December 31,
	2022	2021	2020
Average number of full-time employees	60	53	33
Number of employees at end of period:
Denmark and United States	63	61	35
Total employees, at end of period	63	61	35

Schedule of employee costs


	Years Ended December 31,
	2022		2021		2020

	(USD in thousands)
Wages and salaries	$	8,182	$	7,558	$	4,222
Cash bonus		789		668		—
Share-based compensation expenses		942		1,379		3,408
Other social security expenses		19		28		17
Other staff expenses		389		364		196
Total	$	10,321	$	9,997	$	7,843


	Years Ended December 31,
	2022		2021		2020

	(USD in thousands)
Total Employee costs classified as:
Research and development expenses	$	8,156	$	7,845	$	4,833
General and administrative expenses		2,165		2,152		3,010
Total	$	10,321	$	9,997	$	7,843


	Years Ended December 31,
	2022		2021		2020

	(USD in thousands)
Non-management employee benefit expenses classified as:
Research and development expenses	$	6,639	$	6,414	$	4,009
General and administrative expenses		983		836		611
Total	$	7,622	$	7,250	$	4,620

Schedule of remuneration to the Board of Directors and Executive Management


	Years Ended December 31,
	2022		2021		2020

	(USD in thousands)
Remuneration to the Executive Management:
Wages and salaries	$	1,970	$	1,833	$	1,298
Share-based compensation expenses		321		514		1,566
Total		2,291		2,347		2,864
Remuneration to the Board of Directors:
Wages and salaries		379		313		—
Share-based compensation expenses		29		87		359
Total		408		400		359
Remuneration to the Board of Directors and Executive Management classified as:
Research and development expenses		1,517		1,431		824
General and administrative expenses		1,182		1,316		2,399
Total	$	2,699	$	2,747	$	3,223

Events After the Reporting Period - Vaccine Discovery Collaboration Agreement (Details)	Jan. 01, 2023
Vaccine Discovery Collaboration Agreement [Member]
Disclosure of non-adjusting events after reporting period [line items]
Research and intellectual property licensing costs divided between the parties	50.00%

Financial Instruments and Risk Management - IPO (Details) kr / shares in Units, $ / shares in Units, $ in Thousands					1 Months Ended		9 Months Ended
	Oct. 20, 2022 DKK (kr) shares	Oct. 20, 2022 DKK (kr) $ / shares	Oct. 13, 2022 shares	Oct. 03, 2022 USD ($)	Oct. 31, 2020 USD ($) $ / shares shares	Sep. 30, 2020 USD ($) $ / shares shares	Sep. 30, 2023 USD ($) $ / shares shares	Jul. 31, 2023 kr / shares	Jun. 30, 2023 USD ($)	Dec. 31, 2022 USD ($) shares	Dec. 31, 2022 DKK (kr) kr / shares shares	Dec. 29, 2022 DKK (kr)	Oct. 31, 2022 DKK (kr)	Sep. 30, 2022 USD ($)	Aug. 31, 2022 kr / shares	Jun. 30, 2022 USD ($)	Dec. 31, 2021 USD ($) shares	Dec. 31, 2021 kr / shares	Nov. 09, 2021 DKK (kr)	Feb. 28, 2021 DKK (kr)	Feb. 05, 2021 DKK (kr) kr / shares shares	Jan. 04, 2021 kr / shares	Dec. 31, 2020 USD ($) shares	Aug. 10, 2020 kr / shares	Dec. 31, 2019 USD ($) shares
Disclosure of non-adjusting events after reporting period [line items]
Registered share capital (in DKK) \| kr												kr 24,139,413
Share capital							$ 4,415			$ 3,886	kr 24,139,413						$ 3,755		kr 23,141,524	kr 19,198,668
Outstanding share capital (in DKK) \| $							$ (2,734)		$ 2,535	$ 8,303				$ 13,548		$ (20,150)	$ 32,437						$ 7,038		$ 9,362
American Depositary Shares [Member]
Disclosure of non-adjusting events after reporting period [line items]
Number of shares issued and sold	114,402		114,402				3,323,212
Price per share issued as commitment fee \| $ / shares		$ 2.76					$ 1.79
Total proceeds from sale of ordinary shares \| $				$ 300			$ 6,000
Nominal value per share \| kr / shares								kr 1
Ordinary Shares [Member]
Disclosure of non-adjusting events after reporting period [line items]
Number of shares issued and sold					269,136	745,380
Price per share issued as commitment fee \| $ / shares					$ 8.89	$ 8.89
Total proceeds from sale of ordinary shares \| $					$ 2,400	$ 6,600
Share capital \| kr	kr 24,092,330	$ 24,092,330											kr 24,139,413						kr 23,141,524		kr 19,198,668
Shares registered (in shares)																					19,198,668
Number of shares issued (in shares)							27,814,140			24,139,413	24,139,413						23,203,808				19,198,668		16,198,668		15,184,152
Shares outstanding (in shares)																					19,198,668
Nominal value per share \| kr / shares											kr 1				kr 1			kr 1			kr 1	kr 1		kr 1

Capital Structure and Financial Matters

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Capital Structure and Financial Matters

Note 8. Capital Structure and Financial Matters

Share Capital – Ordinary Shares

The following are changes in the Company’s share capital for the period ended September 30, 2023:


	Number of	Share Capital
	Ordinary Shares	(DKK in thousands)
Share capital, December 31, 2022	24,139,413	24,139
Capital increase at January 4, 2023 (JonesTrading sales agreement)	634,413	634
Capital increase at January 5, 2023 (JonesTrading sales agreement)	94,278	94
Capital increase at January 20, 2023 (JonesTrading sales agreement)	259,407	259
Capital increase at January 24, 2023 (JonesTrading sales agreement)	151,335	151
Capital increase at February 7, 2023 (JonesTrading sales agreement)	96,271	96
Capital increase at February 9, 2023 (JonesTrading sales agreement)	1,003,802	1,004
Capital increase at February 13, 2023 (JonesTrading sales agreement)	42,808	43
Capital increase at March 3, 2023 (JonesTrading sales agreement)	16,280	16
Exercised warrants, May 17, 2023	134,730	135
Exercised warrants, May 24, 2023	51,125	51
Exercised warrants, June 1, 2023	150,000	150
Capital increase at June 5, 2023 (JonesTrading sales agreement)	861,614	862
Exercised warrants, June 30, 2023	4,824	5
Capital increase at July 18, 2023 (JonesTrading sales agreement)	11,348	11
Exercised warrants, September 13, 2023	10,836	11
Capital increase at September 22, 2023 (JonesTrading sales agreement)	54,099	54
Capital increase at September 26, 2023 (JonesTrading sales agreement)	51,750	52
Capital increase at September 27, 2023 (JonesTrading sales agreement)	45,807	46
Share capital, September 30, 2023	27,814,140	27,814

Lincoln Park Purchase Agreement

On June 7, 2022, the Company entered into the Purchase Agreement, with Lincoln Park, pursuant to which the Company may elect to sell up to $40.0 million in the Company’s ordinary shares, DKK 1 nominal value, represented by ADSs, with each ADS representing one (1) ordinary share of the Company, subject to certain limitations and conditions set forth in the Purchase Agreement. In addition, upon execution of the Purchase Agreement, the Company paid a commitment fee in the form of 428,572 ordinary shares at a price of $2.80 per share, for a total commitment fee of $1.2 million (the “Commitment Fee”). Under the Purchase Agreement, the Company may from time to time, at its discretion, direct Lincoln Park to purchase on any single business day, or a regular purchase, up to 50,000 ordinary shares represented by ADSs which may be increased to 70,000 ordinary shares represented by ADSs under certain circumstances set forth in the Purchase Agreement over the 36 month term of the Purchase Agreement. The purchase price of the ordinary shares represented by ADSs will be based upon the prevailing market price of the ADSs at the time of the purchase without any fixed discount. If the adjusted market price of the ADSs decreases to below $0.50 the Company cannot sell ordinary shares under the purchase agreement with Lincoln Park. In addition, the Company may direct Lincoln Park to purchase additional amounts as accelerated purchases and additional accelerated purchases under certain circumstances. The Company is not obligated to sell any ordinary shares represented by ADSs pursuant to the Purchase Agreement and will control the timing and amount of any such sales, but in no event will Lincoln Park be required to purchase more than $1.5 million in ordinary shares represented by ADSs in any single regular purchase. The Company cannot sell ordinary shares under this agreement if beneficial ownership by Lincoln Park and its affiliates exceeds 9.99% of the Company's issued and outstanding ADSs.

On July 7, 2022, the Company filed a “selling shareholder” registration statement with the U.S. Securities and Exchange Commission (“SEC”) related to the Purchase Agreement with Lincoln Park as the selling shareholder, through which the Company registered 4,649,250 ordinary shares represented by ADSs for resale to the public by Lincoln Park. Each ADS represents one ordinary share. The Company will not receive any proceeds from the resale of ADSs by Lincoln Park, however, assuming that the Company sells the full amount of its ordinary shares represented by ADSs to Lincoln Park, under the Purchase Agreement the Company may receive up to $40.0 million in aggregate proceeds.

As of September 30, 2023, the Company had issued 428,572 ordinary shares represented by ADSs to Lincoln Park. Such shares were issued to Lincoln Park as payment of the Commitment Fee in consideration for Lincoln Park’s commitment to purchase our

ordinary shares represented by ADSs under the Purchase Agreement. No shares have been sold under sold under the Purchase Agreement.

JonesTrading Sales Agreement

On October 3, 2022 the Company entered into an At-The-Market Issuance Sales Agreement with JonesTrading Institutional Services LLC (“JonesTrading”) under which the Company could sell up to an aggregate of $14.4 million of its ordinary shares represented by ADSs. The Company agreed to pay JonesTrading commission equal to 3% of the gross proceeds of the sales price of all ADSs sold through them as sales agent under the Sales Agreement. The offering of the Company’s ADSs pursuant to the Sales Agreement will terminate on the earliest of (1) the sale of all of the ordinary shares subject to the Sales Agreement, or (2) termination of the Sales Agreement by the Company or JonesTrading. The Company and JonesTrading may terminate the sales agreement at any time upon ten days prior notice. JonesTrading may terminate the Sales Agreement at any time in certain circumstances, including the occurrence of a material adverse change that, in their judgment, may make it impracticable or inadvisable to market or sell the Company’s ADSs or a suspension or limitation of trading the Company’s ADSs on The NASDAQ Capital Market.

During the period between January 1, 2023 and September 30, 2023 the Company sold 3,323,212 ordinary shares represented by ADSs, DKK 1 nominal value with each ordinary share represented by one ADSs, at a VWAP of $1.79 per ADS. The ordinary shares represented by ADSs were sold pursuant to the Sales Agreement with JonesTrading dated October 3, 2022. Gross proceeds from the sale of ordinary shares represented by ADSs were approximately $6.0 million. In connection with the sale, the Company registered aggregate share capital increase of nominal DKK 3,323,212. The value of the remaining number of shares under the agreement with JonesTrading amounts to approximately $7.8 million.

Financing Agreement Global Growth Holding

On July 31, 2023 the Company entered into a financing agreement with Global Growth Holding Limited (“GGH”), for the issuance of convertible notes into the Company’s ordinary shares represented by ADSs, DKK 1 nominal value, with each ordinary share represented by one ADSs. Pursuant to the agreement, the Company may elect to sell to GGH up to $20.0 million in such notes on any business day over the 36 month term of the agreement. The Company has the right, but not the obligation to direct GGH to purchase traches of up to $0.7 million, subject to certain limitations and conditions set forth in the agreement. In connection with the agreement, the Company is obligated to pay GGH a commitment fee totaling $1.1 million. At any time, GGH may, in its sole discretion, convert the notes into ordinary shares at specified conversion prices upon submission of a request for conversion by GGH to the Company. The financing agreement between the Company and GGH is subject to approval by the SEC through the date of issuance of this report.

Note 20. Capital Structure and Financial Matters

Share Capital – Ordinary Shares

Capital transactions

In September 2020, the Company issued 745,380 shares of ordinary shares to existing investors in the Company. The purchase price was $8.89 per share for aggregate proceeds of $6.6 million. The Company incurred immaterial issuance costs. The proceeds were received by the Company on September 17, 2020. On August 10, 2020, the Company’s articles of association were amended in connection with the execution of this transaction. The revised articles increased the authorized number of shares the Company can issue by: (i) the 745,380 shares issued in this transaction, as well as (ii) an additional 1,800,000 shares of Common ordinary share at a nominal price of DKK 1, to be issued any time prior to June 1, 2025. The amended articles also allow the Company to issue an additional 1,298,196 of compensatory ordinary share warrants to employees and consultants any time prior to June 1, 2025.

In October 2020, the Company successfully completed part 2 of its “bridging round” of capital with outside investors in the amount of $2.4 million with a purchase price of $8.89 per share from the issuance of 269,136 of the Company’s ordinary shares and received the proceeds in November 2020. Transaction costs directly attributable to the third quarter of 2020 “bridging round” of capital with outside investors have a total amount of $144,022.

In February 2021, the Company completed its IPO through which the Company issued and sold 3,000,000 American Depositary Shares, or ADSs, each of which represents one ordinary share, at a price to the public of $10.00 per ADS. The Company received aggregate net proceeds of $25.3 million from the IPO, after deducting the underwriting discounts and commissions and offering expenses. Upon the completion of the IPO, our registered, issued, and outstanding share capital was nominal DKK 19,198,668.

In November 2021, the Company completed a follow-on public offering through which the Company issued and sold 3,942,856 ADSs, each of which represents one ordinary share, at a price to the public of $7.00 per ADS. The shares issued were inclusive of the 514,285 ADSs issued to the underwriters pursuant to the full exercise of their option to purchase additional shares on November 5, 2021. The Company received aggregate net proceeds of $24.9 million from the follow-on public offering, which includes the funds received for the additional shares issued to the underwriters, after deducting the underwriting discounts and commissions and estimated offering expenses payable by us. Upon the completion of the follow-on public offering, the Company’s registered, issued, and outstanding share capital was nominal DKK 23,141,524.

Lincoln Park Purchase Agreement

On June 7, 2022, the Company entered into the Purchase Agreement, with Lincoln Park, pursuant to which the Company may elect to sell up to $40.0 million in the Company’s ordinary shares, DKK 1 nominal value, represented by ADSs, with each ADS representing one (1) ordinary share of the Company, subject to certain limitations and conditions set forth in the Purchase Agreement. In addition, upon execution of the Purchase Agreement, the Company paid a commitment fee in the form of 428,572 ordinary shares at a price of $2.80 per share, for a total commitment fee of $1.2 million (the “Commitment Fee”). Under the Purchase Agreement, the Company may from time to time, at its discretion, direct Lincoln Park to purchase on any single business day, or a regular purchase, up to 50,000 ordinary shares represented by ADSs which may be increased to 70,000 ordinary shares represented by ADSs under certain circumstances set forth in the Purchase Agreement over the 36 month term of the Purchase Agreement. The purchase price of the ordinary shares represented by ADSs will be based upon the prevailing market price of the ADSs at the time of the purchase without any fixed discount. In addition, the Company may direct Lincoln Park to purchase additional amounts as accelerated purchases and additional accelerated purchases under certain circumstances. The Company is not obligated to sell any ordinary shares represented by ADSs pursuant to the Purchase Agreement and will control the timing and amount of any such sales, but in no event will Lincoln Park be required to purchase more than $1.5 million in ordinary shares represented by ADSs in any single regular purchase.

sells the full amount of its ordinary shares represented by ADSs to Lincoln Park, under the Purchase Agreement the Company may receive up to $40.0 million in aggregate proceeds.

As of December 31, 2022, the Company had issued and sold 428,572 ordinary shares represented by ADSs to Lincoln Park. Such shares were issued to Lincoln Park as payment of the Commitment Fee in consideration for Lincoln Park’s’ commitment to purchase our ordinary shares represented by ADSs under the Purchase Agreement. As of such date, the Company had not issued or sold any additional ordinary shares represented by ADSs to Lincoln Park under the Purchase Agreement.

JonesTrading Sales Agreement

During the period between October 13, 2022 and October 20, 2022 the Company sold 114,403 ADSs representing the Company’s ordinary shares, DKK 1 nominal value, with each ADS representing one ordinary share, at a volume weighted average price (VWAP) of $2.76 per ADS. The ADSs were sold pursuant to the Sales Agreement with JonesTrading dated October 3, 2022. After deducting fees and expenses, total proceeds to the Company from the sales of the ADSs were approximately $0.3 million. In connection with such sales, the Company registered aggregate share capital increases of nominal DKK 114,403 with the Danish Business Authority.

At year end, due to warrant exercise, the outstanding share capital was nominal DKK 24,139,413.

The following are changes in the Company’s share capital for the years ended December 31, 2020, 2021 and 2022:


	Number of	Share Capital
	Ordinary Shares	(DKK in thousands)
Share capital, December 31, 2019	15,184,152	15,184
Capital increase at September 17, 2020 (issuance of shares for cash)	745,380	745
Capital increase at October 15, 2020 (issuance of shares for cash)	269,136	269
Share capital, December 31, 2020	16,198,668	16,198
Capital increase at February 9, 2021 (for initial public offering)	3,000,000	3,000
Capital increase at November 9, 2021 (for follow-on offering)	3,942,856	3,943
Capital increase November 2021 (exercised warrants)	62,284	63
Share capital, December 31, 2021	23,203,808	23,204
Capital increase April 2022 (exercised warrants)	54,072	54
Capital increase June 2022 (exercised warrants)	92,313	92
Capital increase June 2022 (exercised warrants)	37,665	38
Capital increase at June 7, 2022 (LPC purchase agreement)	428,572	429
Capital increase June 2022 (exercised warrants)	17,264	17
Capital increase August 2022 (exercised warrants)	92,313	92
Capital increase August 2022 (exercised warrants)	41,085	41
Capital increase September 2022 (exercised warrants)	10,836	11
Capital increase at October 13, 2022 (JonesTrading sales agreement)	23,405	23
Capital increase at October 17, 2022 (JonesTrading sales agreement)	26,396	26
Capital increase at October 20, 2022 (JonesTrading sales agreement)	64,601	65
Capital increase at December 5, 2022 (exercised warrants)	42,633	43
Capital increase at December 29, 2022 (JonesTrading sales agreement)	4,450	4
Share capital, December 31, 2022	24,139,413	24,139

The Company’s share capital consists of the following ordinary shares:


	December 31,
	2022		2021

	(USD in thousands)
Authorized, issued and fully paid
24,139,413 (2021: 23,203,808) ordinary shares of DKK 1 each (2021: ordinary shares of DKK 1 each)	$	3,886	$	3,755
Total share capital	$	3,886	$	3,755

The Company’s ordinary shares shall confer on the holders thereof the right to receive notice of, attend and vote at general meetings of the Company.

Executive Management’s and Board of Director’s holding of shares

At December 31, the board of directors and executive management held the following shareholdings in the Company:


Number of ordinary shares owned	2022	2021	2020
Per Norlén	—	—	—
Bo Karmark	2,000	—	—
Jesper Nyegaard Nissen	—	—	—
Birgitte Rønø	—	—	—
Erik Deichmann Heegaard	—	—	—
Andreas Holm Mattsson	4,071,961	4,163,832	4,163,832
Niels Iversen Møller	—	4,292,604	4,292,604
Lars Aage Staal Wegner (former)	82,124	182,124	182,124
Executive Management in total	4,156,085	8,638,560	8,638,560


Number of ordinary shares owned	2022	2021	2020
Niels Iversen Møller	4,196,840	—	—
Roberto Prego	310,248	310,248	310,248
Thomas William Wylonis (former)	—	—	485,676
Lars Holtug	—	—	—
Marianne Søgaard	41,652	41,652	41,652
Steven Projan	27,288	27,288	27,288
Board of Directors in total	4,576,028	379,188	864,864

Financial Income and Expenses (Tables)

12 Months Ended

Dec. 31, 2022

Financial Income and Expenses

Schedule of financial income and expenses


	Years Ended
	December 31,
	2022		2021		2020

	(USD in thousands)
Financial income:
Interest income, bank	$	13	$	—	$	—
Change in fair value of warrant liability		395		—		—
Foreign exchange gains		2,423		2,039		216
Total financial income		2,831		2,039		216
Financial expenses:
Interest expenses		(34)		(5)		(29)
Interest expenses, lease liabilities		(176)		(123)		—
Interest expenses, loan from lessor		(588)		(31)		—
Foreign exchange losses		(710)		(756)		(194)
Total financial expenses		(1,508)		(915)		(223)
Net financial items	$	1,323	$	1,124	$	(7)

Liquidity and Going Concern Assessment

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Liquidity and Going Concern Assessment

Liquidity and Going Concern Assessment

Note 2. Liquidity and Going Concern Assessment

The gross proceeds to the Company from the Private Placement are expected to be $5.3 million, and up to an additional $6.9 million of gross proceeds upon cash exercise of the Warrants before deducting offering expenses payable by the Company.

This is an important step in Evaxion’s long-term funding strategy and will fund operations to the end of March 2024. Cash burn in Q1, 2024 is significantly higher than for the remaining quarters of 2024. The ambition for 2024 is on a full year basis to generate income from collaboration or license agreements equal to 14 million USD to balance expected cash burn in 2024 excluding financing activities.

The Company expects to incur additional losses until such income from business deals, including potential collaborations or licenses is obtained. The losses are planned to be financed through equity offerings, or other capital sources and adjust spending on new and ongoing development and corporate activities, as needed.

Based on the current cash position and the forecasted cash requirements, it will require additional financing to fund operations by end of March 2024.

Due to uncertainty of related to the result of future funding activities, the continuing operating losses, expected cash flows, the Company concluded that there is significant doubt about its ability to continue as a going concern through one year from September 30, 2023. The accompanying consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty. Accordingly, the consolidated financial statements have been prepared on a basis that assumes the Company will continue as a going concern and which contemplates the realization of assets and discharge of its liabilities and commitments in the normal course of business.

The matters that raise significant doubt about the Company’s ability to continue as a going concern also raise substantial doubt as contemplated by the Public Company Accounting Oversight Board (PCAOB) standards.

candidates or grant licenses on terms that may not be favorable and/or may reduce the value of our ordinary shares. Failure to raise capital or enter into such other arrangements when needed could have a negative impact on the Company’s financial condition and its ability to pursue its business plans and strategies. If the Company is unable to raise additional capital when needed, it could be forced to delay, limit, reduce or terminate its product candidate development or grant rights to develop and market its product candidates.

On June 7, 2022 the Company entered into a Purchase Agreement (the “Purchase Agreement”) with an unrelated third party, Lincoln Park Capital Fund, LLC (“Lincoln Park”), to sell up to $40.0 million of its ordinary shares represented by American Depository Shares (“ADSs”) over a 36 month period. The Company is not obligated to sell any ordinary shares represented by ADSs pursuant to the Purchase Agreement and will control the timing and amount of any such sales, but in no event will Lincoln Park be required to purchase more than $1.5 million in ordinary shares represented by ADSs in any single regular purchase. The purchase agreement is dependent on a market price of the ADSs being above $0.50. Upon execution and delivery of the Purchase Agreement, the Company issued 428,572 ordinary shares represented by ADSs as consideration for a commitment fee of $1.2 million for Lincoln Park’s commitment to purchase its ordinary shares represented by ADSs under the Purchase Agreement. As of June 30, 2023, the Company had not issued and sold any additional ordinary shares represented by ADSs to Lincoln Park under the Purchase Agreement. See Note 8 for detailed information on the purchase agreement.

Note 2. Liquidity and Going Concern Assessment

The Company has considered whether conditions and events exist that, when considered in aggregate, raise significant doubt about the Company’s ability to continue as a going concern for at least a year from the date of the financial statements. The Company has a history of incurring operating losses and negative cash flows from operations. The Company anticipates incurring additional losses until such time, if ever, it can complete its research and development (“R&D”) activities and obtain an out-licensing partnership for its product candidates and generate revenues from such product candidates.

The Company monitors its funding situation closely to ensure that it has access to sufficient liquidity to meet its forecasted cash requirements. Analyses are run to reflect different scenarios including, but not limited to, cash runway, human capital resources and pipeline priorities to identify liquidity risk. This enables Management and the Board of Directors to prepare for new financing transaction and/ or adjust the cost base accordingly. In March 2023 the Company adjusted the organization and reprioritized development programs to focus the operations and to save costs. The Company, with its current strategic plans, anticipates that with the current cash position and the forecast cash requirements per the 2023 updated Annual Budget, it will require additional financing to fund its operations and to continue development of its product candidates by December 2023.

Due to the continuing operating losses, expected negative cash flows and the need for additional funding to finance future operations, the Company concluded that there is significant doubt about its ability to continue as a going concern through one year from the balance sheet date. The accompanying consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty. Accordingly, the consolidated financial statements have been prepared on a basis that assumes the Company will continue as a going concern and which contemplates the realization of assets and discharge of its liabilities and commitments in the normal course of business.

The Company may be unable to raise additional funds or enter into such other arrangements when needed on favorable terms or at all. To the extent that the Company raises additional capital through the sale of equity or convertible debt securities, the ownership interest of current shareholders could be diluted, and the terms of these securities may include liquidation or other preferences that adversely affect the rights of the current shareholders. Debt financing and equity financing, if available, may involve agreements that include covenants limiting or restricting its ability to take specific actions, such as incurring additional debt, making capital expenditures or declaring dividends. If the Company raises funds through collaborations, licenses and other similar arrangements with third parties, it may have to relinquish valuable rights to its technologies, future revenue streams, research programs or product candidates or grant licenses on terms that may not be favorable and/or may reduce the value of our ordinary shares. Failure to raise capital or enter into such other arrangements when needed could have a negative impact on the Company’s financial condition and its ability to pursue its business plans and strategies. If the Company is unable to raise additional capital when needed, it could be forced to delay, limit, reduce or terminate its product candidate development or grant rights to develop and market its product candidates.

On June 7, 2022 the Company entered into a Purchase Agreement (the “Purchase Agreement”) with an unrelated third party, Lincoln Park Capital Fund, LLC (“Lincoln Park”), to sell up to $40.0 million of its ordinary shares represented by American Depository Shares (“ADSs”) over a 36 month period. the Company is not obligated to sell any ordinary shares represented by ADSs pursuant to the Purchase Agreement and will control the timing and amount of any such sales, but in no event will Lincoln Park be required to purchase more than $1.5 million in ordinary shares represented by ADSs in any single regular purchase. Upon execution and delivery of the Purchase Agreement, the Company issued 428,572 ordinary shares represented by ADSs as consideration for a commitment fee of $1.2 million for Lincoln Park’s commitment to purchase its ordinary shares represented by ADSs under the Purchase Agreement. As of December 31, 2022, the Company had not issued and sold any additional ordinary shares represented by ADSs to Lincoln Park under the Purchase Agreement.

Summary of Significant Accounting Policies - Retrospective effect of share split and bonus share issuance (Details)	Jan. 04, 2021
Summary of Significant Accounting Policies
Stock split on bonus issue of shares	2
Bonus share issuance	17

Capital Structure and Financial Matters - JonesTrading Sales Agreement (Details)									1 Months Ended		9 Months Ended
	Dec. 29, 2022 USD ($) $ / shares shares	Dec. 29, 2022 DKK (kr) kr / shares shares	Oct. 20, 2022 shares	Oct. 20, 2022 USD ($) $ / shares shares	Oct. 20, 2022 DKK (kr) shares	Oct. 13, 2022 kr / shares shares	Oct. 03, 2022 USD ($)	Oct. 03, 2022 DKK (kr)	Oct. 31, 2020 USD ($) $ / shares shares	Sep. 30, 2020 USD ($) $ / shares shares	Sep. 30, 2023 USD ($) $ / shares shares	Sep. 30, 2023 DKK (kr) shares	Jul. 31, 2023 kr / shares	Dec. 31, 2022 DKK (kr) kr / shares	Aug. 31, 2022 kr / shares	Dec. 31, 2021 kr / shares	Feb. 05, 2021 kr / shares	Jan. 04, 2021 kr / shares	Aug. 10, 2020 kr / shares
Capital Structure and Financial Matters
Registered share capital (in DKK) \| kr		kr 24,139,413
ADS
Capital Structure and Financial Matters
Ordinary shares sold (in shares) \| shares			114,402			114,402					3,323,212	3,323,212
Par value per share \| kr / shares													kr 1
Number of ordinary shares per ADS											1	1	1
Ordinary shares purchase price \| $ / shares				$ 2.76							$ 1.79
Proceeds from issue of shares \| $							$ 300,000				$ 6,000,000.0
Increase in share capital \| kr								kr 114,402				kr 3,323,212
Ordinary Shares
Capital Structure and Financial Matters
Ordinary shares sold (in shares) \| shares									269,136	745,380
Par value per share \| kr / shares														kr 1	kr 1	kr 1	kr 1	kr 1	kr 1
Ordinary shares purchase price \| $ / shares									$ 8.89	$ 8.89
Proceeds from issue of shares \| $									$ 2,400,000	$ 6,600,000
Outstanding share capital due to exercise of warrants \| kr														kr 24,139,413
At-The-Market Issuance Sales Agreement
Capital Structure and Financial Matters
Percentage of commission to be paid							3.00%
Ordinary shares sold (in shares) \| shares	4,450	4,450
Proceeds from issue of shares \| $	$ 9,968
Increase in share capital \| kr		kr 4,450
At-The-Market Issuance Sales Agreement \| ADS
Capital Structure and Financial Matters
Maximum aggregate value of shares to sell \| $							$ 14,400,000
Percentage of commission to be paid							3.00%
Threshold period of prior notice to terminate agreement							10 days	10 days
Ordinary shares sold (in shares) \| shares	4,450	4,450		114,403	114,403
Number of ordinary shares per ADS		1	1	1	1
Ordinary shares purchase price \| $ / shares	$ 2.24			$ 2.76
Proceeds from issue of shares \| $				$ 300,000
Increase in share capital \| kr					kr 114,403
At-The-Market Issuance Sales Agreement \| Ordinary Shares
Capital Structure and Financial Matters
Par value per share \| kr / shares		kr 1				kr 1

Leases

12 Months Ended

Dec. 31, 2022

Leases

Leases

Note 17. Leases

Leases

As a result of the lease accounting of IFRS 16, the Company has capitalized the only right-of-use asset being the domicile lease. Upon implementation on January 1, 2018, the Company has recognized a liability to make lease payments (i.e. the lease liabilities) of $0.2 million and an asset representing the right to use the underlying asset during the lease term (i.e. the right-to-use asset) of $0.2 million. The liability was measured at the present value of the remaining lease payments, discounted using the lessee’s incremental borrowing rate as of the standard adoption date of January 1, 2018. The Company applied an incremental borrowing rate of 3.8%. For the years ended December 31, 2020, 2021 and 2022, the expense related to variable lease payments not included in the lease liabilities was immaterial and was recognized in operating expense.

In October 2020, the Company entered into a lease for approximately 1,356 square meters, which is allocated on 839 square meters of office space, and 518 square meters of laboratory space in Hørsholm, Denmark. The commencement date for the lease of the 839 square meters of office space was February 1, 2021 and the lease continues for a term of 10 years from that date. The commencement date for the additional laboratory space was August 13, 2021 and the lease continues for a term of 10 years with a subsequent 12-month cancellation notice period. The lease agreement contains an early termination provision which would trigger a termination fee of $2.7 million. As of December 31, 2022 the monthly payment is approximately $26,000 which consists of

approximately $11,000 for the office space and approximately $15,000 for the laboratory space. Throughout the term, the lease is subject to annual increases ranging from two to four percent on the annual lease payment amount.

The Company had one operating lease in Copenhagen, Denmark as of December 31, 2022.

We also occupied an office space in New York, New York, United States. The terms of the lease agreement included a 13 month occupancy period from January 2, 2020 through January 31, 2021. A termination notice was provided in November 2020 and the lease and occupancy terminated on January 31, 2021.

For the years ended December 31, 2022, 2021 and 2020, the expense related to variable lease payments not included in the lease liabilities was immaterial and was recognized in operating expense.

Set out below are the carrying amounts of the Company’s right-of-use assets and lease liabilities and the movements during the period:


	Right-of-Use Asset		Lease Liabilities

	(USD in thousands)
At December 31, 2021	$	2,601	$	2,520
Additions		—		15
Depreciation		(214)		—
Interest Expense		—		176
Payments		—		(305)
Translation		(163)		(151)
At December 31, 2022	$	2,224	$	2,255


	Right-of-Use Asset		Lease Liabilities

	(USD in thousands)
At December 31, 2020	$	20	$	20
Additions		2,891		2,731
Depreciation		(179)		—
Interest Expense		—		123
Payments		—		(226)
Translation		(131)		(128)
At December 31, 2021	$	2,601	$	2,520

The total cash outflow for leases was $0.3 million in 2022, $0.2 million in 2021, and $0.2 million in 2020.

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Operating activities:
Net loss for the period	$ (17,602)	$ (16,297)	$ (23,169)	$ (24,532)	$ (15,018)
Adjustments for non-cash items	880	(1,247)	(323)	541	1,583
Interest received	128		13
Interest paid	(50)	(156)	(172)	(25)	(30)
Income taxes received	804		754	846	812
Cash flow from operating activities before changes in working capital	(15,840)	(17,700)	(22,897)	(23,170)	(12,653)
Cash flow from changes in working capital:
Changes in net working capital	156	(2,243)	(2,877)	1,237	215
Net cash used in operating activities	(15,684)	(19,943)	(25,774)	(21,933)	(12,438)
Investing activities:
Investment in intangible assets				(60)	(35)
Purchase of property and equipment	(88)	(353)	(292)	(1,300)	(149)
Payment of non-current financial assets - leasehold deposits	(6)	28	24	30	(209)
Net cash (used in)/provided by investing activities	(94)	(324)	(268)	(1,330)	(393)
Financing activities:
Proceeds from issuance of shares and exercise warrants, less underwriter discounts	6,127	48	428	53,854	9,019
Transaction costs related to issuance of shares	(180)	(355)		(3,760)	(128)
Proceeds from borrowings	65	7,933	7,849
Repayment of borrowings	(334)	(88)	(119)	(63)
Leasing installments	(245)	(231)	(305)	(226)	(74)
Net cash provided by/ (used in) financing activities	5,433	7,307	7,853	49,805	8,817
Net increase/(decrease) in cash and cash equivalents	(10,345)	(12,960)	(18,189)	26,542	(4,014)
Cash and cash equivalents at January 1	13,184	32,166	32,166	5,834	9,559
Exchange rate adjustments on cash and cash equivalents	(234)	(1,353)	(793)	(210)	288
Cash and cash equivalents at December 31	2,605	$ 17,853	13,184	32,166	5,834
Non-cash investing and financing activities
Acquisition of property and equipment through loan from lessor	$ 65		$ 84
Capitalized intangible assets included in trade payables					$ 60
Acquisition of property and equipment included in trade payables				$ 90

Cash and Cash Equivalents (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022	Sep. 30, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Cash and Cash Equivalents
Cash and cash equivalents		$ 13,184		$ 32,166
Total cash and cash equivalents	$ 2,605	$ 13,184	$ 17,853	$ 32,166	$ 5,834	$ 9,559

Financial Instruments and Risk Management - Liquidity risk (Details)													1 Months Ended				9 Months Ended
	Dec. 29, 2022 USD ($) $ / shares shares	Dec. 29, 2022 DKK (kr) kr / shares shares	Oct. 20, 2022 DKK (kr) shares	Oct. 20, 2022 USD ($) $ / shares shares	Oct. 20, 2022 DKK (kr) shares	Oct. 13, 2022 kr / shares shares	Oct. 03, 2022 USD ($)	Oct. 03, 2022 DKK (kr)	Jun. 07, 2022 kr / shares $ / shares	Nov. 09, 2021 USD ($) $ / shares shares	Nov. 05, 2021 shares	Feb. 05, 2021 USD ($) $ / shares shares	Nov. 30, 2021 USD ($) $ / shares shares	Feb. 28, 2021 USD ($) $ / shares shares	Oct. 31, 2020 USD ($) $ / shares shares	Sep. 30, 2020 USD ($) $ / shares shares	Sep. 30, 2023 USD ($) $ / shares shares	Sep. 30, 2023 DKK (kr) shares	Jul. 31, 2023 kr / shares	Jun. 30, 2023 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2022 DKK (kr) kr / shares	Oct. 31, 2022 DKK (kr)	Sep. 30, 2022 USD ($)	Aug. 31, 2022 kr / shares	Jul. 07, 2022	Jun. 30, 2022 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2021 kr / shares	Nov. 30, 2021 DKK (kr)	Nov. 19, 2021	Nov. 09, 2021 DKK (kr)	Feb. 28, 2021 DKK (kr)	Feb. 05, 2021 DKK (kr) kr / shares	Jan. 04, 2021 kr / shares	Dec. 31, 2020 USD ($)	Aug. 10, 2020 kr / shares	Dec. 31, 2019 USD ($)
Disclosure of detailed information about financial instruments [line items]
Cash and cash equivalents																	$ 2,605,000				$ 13,184,000			$ 17,853,000				$ 32,166,000								$ 5,834,000		$ 9,559,000
Equity																	(2,734,000)			$ 2,535,000	8,303,000			13,548,000			$ (20,150,000)	32,437,000								7,038,000		9,362,000
Registered share capital (in DKK) \| kr		kr 24,139,413
Share capital																	4,415,000				3,886,000	kr 24,139,413						3,755,000				kr 23,141,524	kr 19,198,668
Outstanding share capital (in DKK)																	$ (2,734,000)			$ 2,535,000	$ 8,303,000			$ 13,548,000			$ (20,150,000)	$ 32,437,000								$ 7,038,000		$ 9,362,000
American Depositary Shares [Member]
Disclosure of detailed information about financial instruments [line items]
Number of shares issued and sold \| shares			114,402			114,402											3,323,212	3,323,212
Number of ordinary shares per ADS																	1		1
Price per share issued as commitment fee \| $ / shares				$ 2.76													$ 1.79
Total proceeds from sale of ordinary shares							$ 300,000										$ 6,000,000.0
Increase in share capital \| kr								kr 114,402										kr 3,323,212
Par value per share \| kr / shares																			kr 1
Ordinary Shares
Disclosure of detailed information about financial instruments [line items]
Number of shares issued and sold \| shares															269,136	745,380
Price per share issued as commitment fee \| $ / shares															$ 8.89	$ 8.89
Total proceeds from sale of ordinary shares															$ 2,400,000	$ 6,600,000
Share capital \| kr			kr 24,092,330		kr 24,092,330																		kr 24,139,413									kr 23,141,524		kr 19,198,668
Par value per share \| kr / shares																						kr 1			kr 1				kr 1					kr 1	kr 1		kr 1
IPO \| American Depositary Shares [Member]
Disclosure of detailed information about financial instruments [line items]
Number of shares issued and sold \| shares												3,000,000		3,000,000
Number of ordinary shares per ADS																																	1	1
Price per share issued as commitment fee \| $ / shares												$ 10.00		$ 10.00
Total proceeds from sale of ordinary shares												$ 25,300,000		$ 25,300,000
IPO \| Ordinary Shares
Disclosure of detailed information about financial instruments [line items]
Par value per share \| kr / shares																																		kr 1
Follow-on public offering
Disclosure of detailed information about financial instruments [line items]
Number of ordinary shares per ADS																														1
Follow-on public offering \| American Depositary Shares [Member]
Disclosure of detailed information about financial instruments [line items]
Number of shares issued and sold \| shares										3,942,856			3,942,856
Number of ordinary shares per ADS																															1	1
Price per share issued as commitment fee \| $ / shares										$ 7.00			$ 7.00
Total proceeds from sale of ordinary shares										$ 24,900,000			$ 24,900,000
Share capital \| kr																														kr 23,141,524
Underwriters option to purchase shares \| American Depositary Shares [Member]
Disclosure of detailed information about financial instruments [line items]
Number of shares issued and sold \| shares										514,285	514,285
Lincoln Park Purchase Agreement [Member] \| American Depositary Shares [Member]
Disclosure of detailed information about financial instruments [line items]
Number of ordinary shares per ADS									1																	1
Price per share issued as commitment fee \| $ / shares									$ 2.80
Par value per share \| kr / shares									$ 1
At The Market Issuance Sales Agreement [Member]
Disclosure of detailed information about financial instruments [line items]
Percentage of commission to be paid							3.00%
Number of shares issued and sold \| shares	4,450	4,450
Total proceeds from sale of ordinary shares	$ 9,968
Increase in share capital \| kr		kr 4,450
At The Market Issuance Sales Agreement [Member] \| American Depositary Shares [Member]
Disclosure of detailed information about financial instruments [line items]
Aggregate value of shares to sell							$ 14,400,000
Percentage of commission to be paid							3.00%
Threshold period of prior notice to terminate agreement							10 days	10 days
Number of shares issued and sold \| shares	4,450	4,450		114,403	114,403
Number of ordinary shares per ADS		1	1		1
Price per share issued as commitment fee \| $ / shares	$ 2.24			$ 2.76
Total proceeds from sale of ordinary shares				$ 300,000
Increase in share capital \| kr					kr 114,403
At The Market Issuance Sales Agreement [Member] \| Ordinary Shares
Disclosure of detailed information about financial instruments [line items]
Par value per share \| kr / shares		kr 1				kr 1

Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2022

UNAUDITED CONDENSED CONSOLIDATED INTERIM STATEMENTS OF FINANCIAL POSITION

Summary of estimated useful lives of assets

Assets		Useful life
Properties		Shorter of lease term and useful life of the asset
Leasehold improvements		11 years
Other equipment		5 – 10 years

Share-Based Payments (Tables)

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Schedule of granted warrants



		Weighted Average
	Number of	Exercise
	warrants	Price/Share
Warrants granted as at December 31, 2022	2,743,093	USD 1.50 ⁽¹⁾
Warrants exercised ⁽⁴⁾	(351,515)	USD 0.14
Warrants granted	260,000	USD 1.33
Warrants forfeited	(82,381)	USD 2.72
Warrants cancelled	—	—
Warrants granted as at September 30, 2023 ⁽³⁾	2,569,197	USD 1.47 ⁽²⁾
Warrants exercisable as at September 30, 2023	1,894,591	USD 1.11 ⁽²⁾


		Weighted Average
	Number of	Exercise
	warrants	Price/Share
Warrants granted as at December 31, 2021	2,732,618	DKK 7.53 ⁽¹⁾
Warrants exercised ⁽⁴⁾	(345,548)	USD 0.13
Warrants granted	161,000	USD 2.72
Warrants forfeited	(16,623)	USD 5.37
Warrants cancelled	—	—
Warrants granted as at September 30, 2022	2,531,447	USD 1.32 ⁽²⁾
Warrants exercisable as at September 30, 2022	1,962,252	USD 0.57

(1) December 31, 2022 and 2021 USD and DKK end-rates used.

(2) September 30, 2023 USD-end rate used.

(3) Number of warrants exclude EIB Warrants referred to in Note 6.

(4) The weighted average share price at the date of exercise was $1.40 and $2.31 for the nine months ended September 30, 2023 and 2022, respectively.


					Weighted
			Weighted		Average
			Average		Remaining
	Number of		Exercise		Contractual
	warrants		Price/Share		Life (years)
Warrants granted as at December 31, 2019	1,932,156		DKK1		17
Warrants granted	363,168		DKK1
Warrants forfeited	(45,216)		DKK1
Warrants cancelled	(22,032)		DKK1
Warrants granted as at December 31, 2020	2,228,076		DKK1		15
Warrants granted during 2021⁽¹⁾	63,802		DKK1
Warrants granted December 2021	523,599		USD 5.38
Warrants exercised	(62,284)	⁽²⁾	DKK1
Warrants forfeited	(10,178)		DKK1
Warrants cancelled	(10,397)		DKK1
Warrants granted as at December 31, 2021	2,732,618		DKK 7.53		13
Warrants granted	491,612		USD 2.24
Warrants exercised	(388,181)	⁽²⁾	USD 2.42
Warrants forfeited	(92,956)		USD 1.28
Warrants cancelled	—		—
Warrants granted as at December 31, 2022 ⁽³⁾	2,743,093		USD 1.50	⁽⁴⁾	11
Warrants exercisable as at December 31, 2020	—
Warrants exercisable as at December 31, 2021	2,072,122
Warrants exercisable as at December 31, 2022 ⁽³⁾	1,988,106

(1)	Of which 62,147 warrants were legally granted in June 2021 and the remaining 1,655 warrants were legally granted in December 2020.

(2)	The weighted average share price at the date of exercise were USD 2.42 and USD 5.59 for the years ended December 31, 2022 and 2021, respectively.

(3)	Number of warrants exclude EIB Warrants referred to in Note 19.

(4)	December 31, 2022 USD-end rate used.

Schedule of assumptions have been applied for the warrants issued


	September 30,			September 30,
	2023			2022
Expected term (in years)		5.0 – 7.0			6.5
Risk-free interest rate		4.60 – 4.61	%		3.97 – 4.06	%
Expected volatility		85	%		85	%
Share price	$	0.60 – 1.78		$	1.71 – 3.03

The following assumptions have been applied for the warrants issued during the year ended December 31, 2022:


Expected term (in years)		6.5
Risk-free interest rate		3.66	%
Expected volatility		85	%
Share price	$	2.10

Schedule of share based compensation included in statements of comprehensive loss


	Years Ended
	December 31,
	2022		2021		2020

	(USD in thousands)
Research and development expenses	$	760	$	1,051	$	1,496
General and administrative expenses		182		328		1,912
Total	$	942	$	1,379	$	3,408

Schedule of outstanding warrants by grant date

The following schedule specifies the outstanding warrants as at December 31, 2022:


	Per
	warrant		Average	Remaining
	grant	Number of	exercise price	term to
	date fair value	warrants	per warrant	maturity
Outstanding program	(DKK)	outstanding	(DKK)	(years)
Grant (December 2016)	20.91	437,114	1	14
Grant (September 2017)	28.71	617,184	1	14
Grant (December 2017)	28.71	122,040	1	14
Grant (during 2018)	37.05	170,496	1	14
Grant (February 2019)	42.57	7,956	1	14
Grant (September 2019)	56.35	54,000	1	14
Grant (October 2019)	56.97	150,660	1	14
Grant (December 2020)	56.75	193,064	1	8
Grant (April 2021)	45.31	1,655	1	9
Grant (June 2021)	40.86	62,147	1	9
Grant (December 2021)	19.22	435,165	USD 5.38	9
Grant (March 2022)	13.46	35,000	USD 2.96	9
Grant (June 2022)	8.85	10,000	USD 1.83	9
Grant (June 2022)	8.85	10,000	USD 1.83	9
Grant (June 2022)	8.85	45,000	USD 1.83	9
Grant (September 2022)	10.46	11,000	USD 2.42	9
Grant (December 2022)	10.95	50,000	USD 2.23	9
Grant (December 2022)	10.95	330,612	USD 2.23	9
Granted at December 31, 2022		2,743,093		9
Warrants exercisable at December 31, 2022		1,988,106

The following schedule specifies the outstanding warrants as at December 31, 2021:


	Per
	warrant		Average	Remaining
	grant	Number of	exercise price	term to
	date fair value	warrants	per warrant	maturity
Outstanding program	(DKK)	outstanding	(DKK)	(years)
Grant (December 2016)	20.91	701,356	1	15
Grant (September 2017)	28.71	617,184	1	15
Grant (December 2017)	28.71	122,040	1	15
Grant (during 2018)	37.05	174,564	1	15
Grant (February 2019)	42.57	7,956	1	15
Grant (September 2019)	56.35	54,000	1	15
Grant (October 2019)	56.97	150,660	1	15
Grant (December 2020)	56.75	317,457	1	9
Grant (April 2021)	45.31	1,655	1	10
Grant (June 2021)	40.86	62,147	1	10
Grant (December 2021)	19.22	523,599	USD 5.38	10
Granted at December 31, 2021		2,732,618
Warrants exercisable at December 31, 2021		2,732,618

The following schedule specifies the outstanding warrants as at December 31, 2020:


	Per
	warrant		Average	Remaining
	grant	Number of	exercise price	term to
	date fair value	warrants	per warrant	maturity
Outstanding program	(DKK)	outstanding	(DKK)	(years)
Grant (December 2016)	20.91	712,332	1	16
Grant (April 2017)	24.05	13,896	1	16
Grant (September 2017)	28.71	617,184	1	16
Grant (December 2017)	28.71	127,044	1	16
Grant (during 2018)	37.05	181,836	1	16
Grant (February 2019)	42.57	7,956	1	16
Grant (September 2019)	56.35	54,000	1	16
Grant (October 2019)	56.97	150,660	1	16
Grant (December 2020)	56.75	363,168	1	11
Granted at December 31, 2020		2,228,076	1	15
Warrants exercisable at December 31, 2020		—

Schedule of share based awards to Board of Directors and Executive Management

The Board of Directors and Executive Management holding of share awards for the years ended December 31, 2020, 2021 and 2022 is shown below:


		Warrants held when				Warrants held when				Warrants held when
		becoming or leaving				becoming or leaving				becoming or leaving
	January 1,	as a member			December 31,	as a member			December 31,	as a member				December 31,
	2020	of management	Granted	Forfeited	2020	of management	Granted	Exercised	2021	of management	Granted	Exercised	Forfeited	2022
Thomas William Wylonis (former) ⁽¹⁾	342,612	(369,252)	26,640	—	—	369,252	—	—	369,252	—	—	(184,626)	—	184,626
Steven Projan	24,436	—	18,612	—	42,048	—	4,583	—	46,631	—	5,000	—	—	51,631
Roberto Prego	19,800	—	14,364	—	34,164	—	4,583	—	38,747	—	5,000	—	—	43,747
Jo Ann Suzich (former) ⁽⁷⁾	—	—	10,260	—	10,260	—	—	—	10,260	—	—	—	—	10,260
Marianne Søgaard ⁽²⁾	—	65,952	28,368	—	94,320	—	9,167	—	103,487	—	10,000	—	—	113,487
Helen Boudreau (former) ⁽³⁾	—	—	5,436	—	5,436	—	—	(5,436)	—	—	—	—	—	—
Kim Bjørnstrup (former) ⁽⁴⁾	—	5,868	5,868	—	5,868	—	—	—	5,868	—	—	—	—	5,868
Lars Holtug	—	—	—	—	—	—	4,583	—	4,583	—	5,000	—	—	9,583
Niels Iversen Møller	—	—	—	—	—	—	—	—	—	—	3,750	—	—	3,750
Board of Directors in Total	385,848	(309,168)	109,548	—	561,348	—	22,916	(5,436)	578,828	—	28,750	(184,626)	—	422,952
Lars Aage Staal Wegner	844,416	—	7,668	—	852,084	—	64,167	—	916,251	—	—	(62,736)	(45,327)	808,188
Birgitte Rønø	—	—	—	—	—	29,376	45,000	—	74,376	—	25,000	—	—	99,376
Thomas Bogenrieder (former) ⁽⁵⁾	49,572	(4,356)	—	(45,216)	4,356	—	—	—	4,356	—	—	—	—	4,356
Erik Heegaard	—	—	—	—	—	—	97,564	—	97,564	—	25,000	—	—	122,564
Glenn S. Vraniak (former) ⁽⁶⁾	150,660	—	—	—	150,660	—	—	—	150,660	—	—	(112,995)	—	37,665
Andreas Holm Mattsson	—	—	—	—	—	—	—	—	—	—	35,000	—	—	35,000
Bo Karmark	—	—	—	—	—	—	—	—	—	45,000	16,667	—	—	61,667
Jesper Nyegaard Nissen	—	—	—	—	—	—	—	—	—	25,000	20,833	—	—	45,883
Niels Iversen Møller ⁽⁸⁾	—	—	—	—	—	—	—	—	—	—	3,125	—	—	3,125
Per Norlén	—	—	—	—	—	—	—	—	—	50,000	3,125	—	—	53,125
Executive Management in total	1,044,648	(4,356)	—	(45,216)	1,007,100	29,376	206,731	—	1,243,207	120,000	128,750	(175,731)	(45,327)	1,270,899

(1)Former board member until June 30, 2020, 252 warrants were granted for services provided after retirement from the Board of Director position.

(2)As of November 25, 2020, 26,964 warrants were granted for services provided before taking on the Board of Directors position.

(3)Former board member from June 30, 2020 to May 25, 2021.

(4)Former board member from June 30, 2020 to November 4, 2020.

(5)Part of Executive Management until March 31, 2020.

(6)Mr. Vraniak resigned as the Chief Financial Officer of the Company effective November 1, 2021.

(7)Board member until May 25, 2021.

(8)Became a Board member in 2022.

Document and Entity Information	9 Months Ended
Document and Entity Information	Sep. 30, 2023
Document and Entity Information
Document Type	F-1
Entity Registrant Name	Evaxion Biotech A/S
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Central Index Key	0001828253
Amendment Flag	false

Borrowings

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Borrowings

Note 5. Borrowings

Loan from Lessor

remaining balance is due immediately. The finance liability is recorded at amortized cost, which approximates fair value at the time of issuance. For the three months ended September 30, 2023 and 2022, interest expense related to the loan from lessor was nominal. For the nine months ended September 30, 2023 and 2022, interest expense related to the loan from lessor was $0.1 million and $0.1 million, respectively. During the three months ended September 30, 2023 and 2022 the Company had additions for borrowings related to the loan from lessor of $nil and $nil, respectively. During the nine months ended September 30, 2023 and 2022 the Company had additions for borrowings related to the loan from lessor of $0.1 million and $nil, respectively.

As a result of the structure of the DTU financing this amount is not included as Purchase of property, plant and equipment within the unaudited condensed consolidated interim statements of cash flows as it is netted against the loan balance.

EIB Loan

In August 2020, the Company executed the EIB Loan, for a principal amount of €20.0 million, divided into three tranches of tranche 1 in the amount of €7.0 million, tranche 2 in the amount of €6.0 million and tranche 3 in the amount of €7.0 million. Under the EIB Loan Agreement, the tranche balances are due six years from their respective disbursement dates.

During the year ended December 31, 2021, the Company initiated the draw of the first tranche of the EIB Loan Agreement. The Company received the proceeds from the draw of the first tranche of €7.0 million (approximately $7.8 million) on February 17, 2022. The Company will repay the first tranche of the EIB Loan at a fixed interest rate of 3% per annum and a payment-in-kind interest rate of 4% per annum. The loan is amortized to maturity using an effective monthly interest rate of 0.78%. For the three months ended September 30, 2023 and 2022, interest expense related to the EIB Loan was $0.2 million and $0.1 million, respectively. For the nine months ended September 30, 2023 and 2022, interest expense related to the EIB Loan was $0.5 million and $0.3 million, respectively. The loan is repayable in full six years after drawing down. Under the current business plans the Company cannot draw the remaining two tranches of the EIB loan.

Borrowings are summarized as follows (in thousands):


	September 30,		December 31,
	2023		2022
Loan from lessor	$	1,016	$	1,068
EIB Loan		7,123		6,932
Total Borrowings		8,139		8,000
Less: Borrowings, current portion		(150)		(136)
Total Borrowings, net of current portion	$	7,989	$	7,864

Note 18. Borrowings

Loan from Lessor

In October 2020, the Company entered into a lease for approximately 1,356 square meters, which is allocated on 839 square meters of office space, and 518 square meters of laboratory space in Hørsholm, Denmark. In addition to the ordinary lease payments, the Company obtained financing from DTU Science Park A/S (“DTU”) for rebuilding the laboratory facility and engineering building to match the Company’s needs. The Company will repay the $1.3 million financing at a fixed interest rate of 6% over 8 years. If the lease is terminated due to default by the Company before the outstanding balance, including interest accrued, has been repaid, the remaining balance is due immediately. The finance liability is recorded at amortized cost, which approximates fair value at the time of issuance. As of December 31, 2022, the Company is still in discussions with DTU on the actual costs incurred. For the years ended December 31, 2022 and 2021 interest expense related to the loan from lessor was $0.2 million and $nil, respectively. During the year ended December 31, 2022 the Company had additions for borrowings related to the loan from lessor of $0.1 million.

As a result of the structure of the DTU financing this amount is not included as Purchase of property, plant and equipment within the consolidated statements of cash flows. The leasehold improvements recognized will be subject for adjustment when the actual costs incurred are made available from DTU.

EIB Loan

During the year ended December 31, 2021, the Company initiated the draw of the first tranche of the EIB Loan Agreement. The Company received the proceeds from the draw of the first tranche of €7.0 million (approximately $7.8 million) on February 17, 2022. The Company will repay the first tranche of the EIB Loan at a fixed interest rate of 3% per annum and a payment-in-kind interest rate of 4% per annum. The loan is amortized to maturity using an effective monthly interest rate of 0.78%.For the years ended December 31, 2022 and 2021 interest expense related to the EIB Loan was $0.6 million and $nil, respectively. The loan is repayable in full six years after drawing down. Under the present business plans the Company cannot draw the remaining two tranches of the loan.

Borrowings are summarized as follows (in thousands):


	December 31,
		2022		2021
Loan from lessor	$	1,068	$	1,170
EIB Loan		6,932		—
Total Borrowings		8,000		1,170
Less: Borrowings, current portion		(136)		(126)
Total Borrowings, net of current portion	$	7,864	$	1,044

Warrant Liability (Details) $ in Thousands		9 Months Ended		12 Months Ended
Warrant Liability (Details) $ in Thousands	Feb. 17, 2022 kr / shares shares	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)
Reconciliation of changes in fair value measurement, liabilities
Liabilities at beginning of period		$ 13,722	$ 7,726	$ 7,726
Liabilities at end of period		14,676		13,722
EIB Loan Agreement
Warrant Liability
Number of warrants issued \| shares	351,036
Exercise price per warrant \| kr / shares	kr 1
EIB Warrants \| EIB Loan Agreement
Warrant Liability
Number of warrants issued \| shares	351,036
Warrant liability
Reconciliation of changes in fair value measurement, liabilities
Liabilities at beginning of period		573	0	0
Initial recognition of warrant liability			1,007	1,007
Remeasurement of warrant liability		(323)		(395)
Foreign currency translation		2	(126)	(39)
Liabilities at end of period		$ 252	$ 881	$ 573

Employees and Employee-Related Costs - Board of Directors and Executive Management (Details) $ in Thousands	1 Months Ended		12 Months Ended
	Oct. 31, 2019 employee	Jan. 31, 2019 employee	Dec. 31, 2022 USD ($) employee	Dec. 31, 2021 USD ($) employee	Dec. 31, 2020 USD ($) employee
Employees and Employee-Related Costs
Number of members of executive management \| employee	5	4	6	5
Executive management which resigned \| employee				1	1
Board of Directors and Executive Management
Employees and Employee-Related Costs
Total			$ 2,699	$ 2,747	$ 3,223
Board of Directors and Executive Management \| Research and development expenses
Employees and Employee-Related Costs
Members of executive management			1,517	1,431	824
Board of Directors and Executive Management \| General and administrative expense
Employees and Employee-Related Costs
Members of executive management			1,182	1,316	2,399
Executive management
Employees and Employee-Related Costs
Wages and salaries			$ 1,970	$ 1,833	$ 1,298
Share-based compensation expenses			321	514	1,566
Total			2,291	2,347	2,864
Board of Directors
Employees and Employee-Related Costs
Wages and salaries			379	313
Share-based compensation expenses			29	87	359
Total			$ 408	$ 400	$ 359

UNAUDITED CONDENSED CONSOLIDATED INTERIM STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Jun. 30, 2023	Jun. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Operating expenses:
Research and development	$ 2,830	$ 4,068			$ 9,618	$ 12,983	$ 17,056	$ 19,583	$ 10,902
General and administrative	2,932	2,015			8,215	5,756	8,208	6,251	5,666
Total operating expenses	5,762	6,083			17,833	18,739	25,264	25,834	16,568
Operating loss	(5,762)	(6,083)			(17,833)	(18,739)	(25,264)	(25,834)	(16,568)
Finance income	72	703			404	2,761	2,831	2,039	216
Finance expenses	(182)	(535)			(786)	(918)	(1,508)	(915)	(223)
Net loss before tax	(5,872)	(5,915)			(18,215)	(16,896)	(23,941)	(24,710)	(16,575)
Income tax benefit	194	175			613	599	772	178	1,557
Net loss for the year	(5,678)	(5,740)	$ (11,924)	$ (10,559)	(17,602)	(16,297)	(23,169)	(24,532)	(15,018)
Net loss attributable to shareholders of Evaxion Biotech A/S	(5,678)	(5,740)			(17,602)	(16,297)	(23,169)	(24,532)	(15,018)
Other comprehensive income that may be reclassified to profit or loss in subsequent periods:
Exchange differences on translation of foreign operations	7	12			(46)	19	(25)	(83)	(18)
Tax on other comprehensive income/(expense)								(5)
Exchange rate adjustments of investments in subsidiaries							(3)	93
Other comprehensive income that will not be reclassified to profit or loss in subsequent periods:
Exchange differences on currency translation to presentation currency	84	(1,063)			171	(3,278)	(2,324)	(1,547)	412
Other comprehensive income/(loss) for the year, net of tax	91	(1,051)			125	(3,259)	(2,352)	(1,542)	394
Total comprehensive loss	(5,587)	(6,791)			(17,477)	(19,556)	(25,521)	(26,074)	(14,624)
Total comprehensive loss attributable to shareholders of Evaxion Biotech A/S	$ (5,587)	$ (6,791)			$ (17,477)	$ (19,556)	$ (25,521)	$ (26,074)	$ (14,624)
Loss per share - basic (in USD per share)	$ (0.21)	$ (0.24)			$ (0.66)	$ (0.69)	$ (0.98)	$ (1.26)	$ (0.97)
Loss per share - diluted (in USD per share)	$ (0.21)	$ (0.24)			$ (0.66)	$ (0.69)	$ (0.98)	$ (1.26)	$ (0.97)

Cash and Cash Equivalents - Adjustments for non-cash items (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Adjustments to reconcile profit (loss) [abstract]
Income taxes	$ (772)	$ (178)	$ (1,557)
Tax credit schemes accounted for as grants	(226)	(12)	(510)
Depreciation	571	344	105
Impairment	87
Interest income	(13)
Interest expense	798	159	30
Share-based compensation expenses	942	1,379	3,408
Acquisition of property, plant and equipment		(90)
Change in fair value of convertible debt instruments	(395)
Gain in change from fair value of warrant liability	(395)
Other adjustments: Other adjustments, primarily exchange rate adjustments	(1,315)	(1,061)	107
Total adjustments for non-cash items	$ (323)	$ 541	$ 1,583

Share-Based Payments (Tables)

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Schedule of granted warrants



		Weighted Average
	Number of	Exercise
	warrants	Price/Share
Warrants granted as at December 31, 2022	2,743,093	USD 1.50 ⁽¹⁾
Warrants exercised ⁽⁴⁾	(351,515)	USD 0.14
Warrants granted	260,000	USD 1.33
Warrants forfeited	(82,381)	USD 2.72
Warrants cancelled	—	—
Warrants granted as at September 30, 2023 ⁽³⁾	2,569,197	USD 1.47 ⁽²⁾
Warrants exercisable as at September 30, 2023	1,894,591	USD 1.11 ⁽²⁾


		Weighted Average
	Number of	Exercise
	warrants	Price/Share
Warrants granted as at December 31, 2021	2,732,618	DKK 7.53 ⁽¹⁾
Warrants exercised ⁽⁴⁾	(345,548)	USD 0.13
Warrants granted	161,000	USD 2.72
Warrants forfeited	(16,623)	USD 5.37
Warrants cancelled	—	—
Warrants granted as at September 30, 2022	2,531,447	USD 1.32 ⁽²⁾
Warrants exercisable as at September 30, 2022	1,962,252	USD 0.57

(1) December 31, 2022 and 2021 USD and DKK end-rates used.

(2) September 30, 2023 USD-end rate used.

(3) Number of warrants exclude EIB Warrants referred to in Note 6.

(4) The weighted average share price at the date of exercise was $1.40 and $2.31 for the nine months ended September 30, 2023 and 2022, respectively.


					Weighted
			Weighted		Average
			Average		Remaining
	Number of		Exercise		Contractual
	warrants		Price/Share		Life (years)
Warrants granted as at December 31, 2019	1,932,156		DKK1		17
Warrants granted	363,168		DKK1
Warrants forfeited	(45,216)		DKK1
Warrants cancelled	(22,032)		DKK1
Warrants granted as at December 31, 2020	2,228,076		DKK1		15
Warrants granted during 2021⁽¹⁾	63,802		DKK1
Warrants granted December 2021	523,599		USD 5.38
Warrants exercised	(62,284)	⁽²⁾	DKK1
Warrants forfeited	(10,178)		DKK1
Warrants cancelled	(10,397)		DKK1
Warrants granted as at December 31, 2021	2,732,618		DKK 7.53		13
Warrants granted	491,612		USD 2.24
Warrants exercised	(388,181)	⁽²⁾	USD 2.42
Warrants forfeited	(92,956)		USD 1.28
Warrants cancelled	—		—
Warrants granted as at December 31, 2022 ⁽³⁾	2,743,093		USD 1.50	⁽⁴⁾	11
Warrants exercisable as at December 31, 2020	—
Warrants exercisable as at December 31, 2021	2,072,122
Warrants exercisable as at December 31, 2022 ⁽³⁾	1,988,106

(1)	Of which 62,147 warrants were legally granted in June 2021 and the remaining 1,655 warrants were legally granted in December 2020.

(2)	The weighted average share price at the date of exercise were USD 2.42 and USD 5.59 for the years ended December 31, 2022 and 2021, respectively.

(3)	Number of warrants exclude EIB Warrants referred to in Note 19.

(4)	December 31, 2022 USD-end rate used.

Schedule of assumptions have been applied for the warrants issued


	September 30,			September 30,
	2023			2022
Expected term (in years)		5.0 – 7.0			6.5
Risk-free interest rate		4.60 – 4.61	%		3.97 – 4.06	%
Expected volatility		85	%		85	%
Share price	$	0.60 – 1.78		$	1.71 – 3.03

The following assumptions have been applied for the warrants issued during the year ended December 31, 2022:


Expected term (in years)		6.5
Risk-free interest rate		3.66	%
Expected volatility		85	%
Share price	$	2.10

Schedule of share based compensation included in statements of comprehensive loss


	Years Ended
	December 31,
	2022		2021		2020

	(USD in thousands)
Research and development expenses	$	760	$	1,051	$	1,496
General and administrative expenses		182		328		1,912
Total	$	942	$	1,379	$	3,408

Schedule of outstanding warrants by grant date

The following schedule specifies the outstanding warrants as at December 31, 2022:


	Per
	warrant		Average	Remaining
	grant	Number of	exercise price	term to
	date fair value	warrants	per warrant	maturity
Outstanding program	(DKK)	outstanding	(DKK)	(years)
Grant (December 2016)	20.91	437,114	1	14
Grant (September 2017)	28.71	617,184	1	14
Grant (December 2017)	28.71	122,040	1	14
Grant (during 2018)	37.05	170,496	1	14
Grant (February 2019)	42.57	7,956	1	14
Grant (September 2019)	56.35	54,000	1	14
Grant (October 2019)	56.97	150,660	1	14
Grant (December 2020)	56.75	193,064	1	8
Grant (April 2021)	45.31	1,655	1	9
Grant (June 2021)	40.86	62,147	1	9
Grant (December 2021)	19.22	435,165	USD 5.38	9
Grant (March 2022)	13.46	35,000	USD 2.96	9
Grant (June 2022)	8.85	10,000	USD 1.83	9
Grant (June 2022)	8.85	10,000	USD 1.83	9
Grant (June 2022)	8.85	45,000	USD 1.83	9
Grant (September 2022)	10.46	11,000	USD 2.42	9
Grant (December 2022)	10.95	50,000	USD 2.23	9
Grant (December 2022)	10.95	330,612	USD 2.23	9
Granted at December 31, 2022		2,743,093		9
Warrants exercisable at December 31, 2022		1,988,106

The following schedule specifies the outstanding warrants as at December 31, 2021:


	Per
	warrant		Average	Remaining
	grant	Number of	exercise price	term to
	date fair value	warrants	per warrant	maturity
Outstanding program	(DKK)	outstanding	(DKK)	(years)
Grant (December 2016)	20.91	701,356	1	15
Grant (September 2017)	28.71	617,184	1	15
Grant (December 2017)	28.71	122,040	1	15
Grant (during 2018)	37.05	174,564	1	15
Grant (February 2019)	42.57	7,956	1	15
Grant (September 2019)	56.35	54,000	1	15
Grant (October 2019)	56.97	150,660	1	15
Grant (December 2020)	56.75	317,457	1	9
Grant (April 2021)	45.31	1,655	1	10
Grant (June 2021)	40.86	62,147	1	10
Grant (December 2021)	19.22	523,599	USD 5.38	10
Granted at December 31, 2021		2,732,618
Warrants exercisable at December 31, 2021		2,732,618

The following schedule specifies the outstanding warrants as at December 31, 2020:


	Per
	warrant		Average	Remaining
	grant	Number of	exercise price	term to
	date fair value	warrants	per warrant	maturity
Outstanding program	(DKK)	outstanding	(DKK)	(years)
Grant (December 2016)	20.91	712,332	1	16
Grant (April 2017)	24.05	13,896	1	16
Grant (September 2017)	28.71	617,184	1	16
Grant (December 2017)	28.71	127,044	1	16
Grant (during 2018)	37.05	181,836	1	16
Grant (February 2019)	42.57	7,956	1	16
Grant (September 2019)	56.35	54,000	1	16
Grant (October 2019)	56.97	150,660	1	16
Grant (December 2020)	56.75	363,168	1	11
Granted at December 31, 2020		2,228,076	1	15
Warrants exercisable at December 31, 2020		—

Schedule of share based awards to Board of Directors and Executive Management

The Board of Directors and Executive Management holding of share awards for the years ended December 31, 2020, 2021 and 2022 is shown below:


		Warrants held when				Warrants held when				Warrants held when
		becoming or leaving				becoming or leaving				becoming or leaving
	January 1,	as a member			December 31,	as a member			December 31,	as a member				December 31,
	2020	of management	Granted	Forfeited	2020	of management	Granted	Exercised	2021	of management	Granted	Exercised	Forfeited	2022
Thomas William Wylonis (former) ⁽¹⁾	342,612	(369,252)	26,640	—	—	369,252	—	—	369,252	—	—	(184,626)	—	184,626
Steven Projan	24,436	—	18,612	—	42,048	—	4,583	—	46,631	—	5,000	—	—	51,631
Roberto Prego	19,800	—	14,364	—	34,164	—	4,583	—	38,747	—	5,000	—	—	43,747
Jo Ann Suzich (former) ⁽⁷⁾	—	—	10,260	—	10,260	—	—	—	10,260	—	—	—	—	10,260
Marianne Søgaard ⁽²⁾	—	65,952	28,368	—	94,320	—	9,167	—	103,487	—	10,000	—	—	113,487
Helen Boudreau (former) ⁽³⁾	—	—	5,436	—	5,436	—	—	(5,436)	—	—	—	—	—	—
Kim Bjørnstrup (former) ⁽⁴⁾	—	5,868	5,868	—	5,868	—	—	—	5,868	—	—	—	—	5,868
Lars Holtug	—	—	—	—	—	—	4,583	—	4,583	—	5,000	—	—	9,583
Niels Iversen Møller	—	—	—	—	—	—	—	—	—	—	3,750	—	—	3,750
Board of Directors in Total	385,848	(309,168)	109,548	—	561,348	—	22,916	(5,436)	578,828	—	28,750	(184,626)	—	422,952
Lars Aage Staal Wegner	844,416	—	7,668	—	852,084	—	64,167	—	916,251	—	—	(62,736)	(45,327)	808,188
Birgitte Rønø	—	—	—	—	—	29,376	45,000	—	74,376	—	25,000	—	—	99,376
Thomas Bogenrieder (former) ⁽⁵⁾	49,572	(4,356)	—	(45,216)	4,356	—	—	—	4,356	—	—	—	—	4,356
Erik Heegaard	—	—	—	—	—	—	97,564	—	97,564	—	25,000	—	—	122,564
Glenn S. Vraniak (former) ⁽⁶⁾	150,660	—	—	—	150,660	—	—	—	150,660	—	—	(112,995)	—	37,665
Andreas Holm Mattsson	—	—	—	—	—	—	—	—	—	—	35,000	—	—	35,000
Bo Karmark	—	—	—	—	—	—	—	—	—	45,000	16,667	—	—	61,667
Jesper Nyegaard Nissen	—	—	—	—	—	—	—	—	—	25,000	20,833	—	—	45,883
Niels Iversen Møller ⁽⁸⁾	—	—	—	—	—	—	—	—	—	—	3,125	—	—	3,125
Per Norlén	—	—	—	—	—	—	—	—	—	50,000	3,125	—	—	53,125
Executive Management in total	1,044,648	(4,356)	—	(45,216)	1,007,100	29,376	206,731	—	1,243,207	120,000	128,750	(175,731)	(45,327)	1,270,899

(1)Former board member until June 30, 2020, 252 warrants were granted for services provided after retirement from the Board of Director position.

(2)As of November 25, 2020, 26,964 warrants were granted for services provided before taking on the Board of Directors position.

(3)Former board member from June 30, 2020 to May 25, 2021.

(4)Former board member from June 30, 2020 to November 4, 2020.

(5)Part of Executive Management until March 31, 2020.

(6)Mr. Vraniak resigned as the Chief Financial Officer of the Company effective November 1, 2021.

(7)Board member until May 25, 2021.

(8)Became a Board member in 2022.

Fees to auditors (Tables)

12 Months Ended

Dec. 31, 2022

Fees to auditors

Schedule of fees to independent registered public accounting firm


	December 31,
	2022		2021

	(USD in thousands)
Audit fees	$	172	$	177
Audit related fees		50		108
Other fees		156		328
Total fees	$	378	$	613

Provisions (Details) - USD ($) $ in Thousands	12 Months Ended
Provisions (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Provisions
Carrying amount of Begging balance	$ 153
Provisions recognized		$ 161
Currency adjustment	(9)	(8)
Carrying amount of ending balance	$ 144	$ 153

Intangible Assets - (Details) - USD ($) $ in Thousands	12 Months Ended
Intangible Assets - (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Intangible Assets
Balance beginning of year	$ 93
Impairment for the year	(87)
Balance end of year		$ 93
Cost
Intangible Assets
Balance beginning of year	93	100
Exchange rate adjustments	(6)	(7)
Balance end of year	87	93
Accumulated Depreciation
Intangible Assets
Balance beginning of year	0
Impairment for the year	(87)
Balance end of year	$ (87)	$ 0

Leases (Details)	1 Months Ended	12 Months Ended
Leases (Details)	Oct. 31, 2020 USD ($) m²	Dec. 31, 2022 USD ($) lease	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Jan. 01, 2018 USD ($)
Disclosure of quantitative information about right-of-use assets [line items]
Lease liabilities		$ 2,255,000	$ 2,520,000	$ 20,000
Right-to-use asset		$ 2,224,000	$ 2,601,000	$ 20,000
Repayment loan, term		8 years
Copenhagen, Denmark
Disclosure of quantitative information about right-of-use assets [line items]
Number of leases \| lease		1
Hrsholm, Denmark [Member]
Disclosure of quantitative information about right-of-use assets [line items]
Lease space \| m²	1,356
Lease term	10 years
Lease termination fee	$ 2,700,000
Lease monthly payment	$ 26,000
Hrsholm, Denmark [Member] \| Office Space [Member]
Disclosure of quantitative information about right-of-use assets [line items]
Lease space \| m²	839
Lease monthly payment	$ 11,000
Hrsholm, Denmark [Member] \| Laboratory Space [Member]
Disclosure of quantitative information about right-of-use assets [line items]
Lease space \| m²	518
Lease monthly payment	$ 15,000
Hrsholm, Denmark [Member] \| Minimum [Member]
Disclosure of quantitative information about right-of-use assets [line items]
Percentage of increase in annual lease payment	2.00%
Hrsholm, Denmark [Member] \| Maximum [Member]
Disclosure of quantitative information about right-of-use assets [line items]
Percentage of increase in annual lease payment	4.00%
New York, United States
Disclosure of quantitative information about right-of-use assets [line items]
Lease term	13 months
IFRS 16
Disclosure of quantitative information about right-of-use assets [line items]
Lease liabilities					$ 200,000
Right-to-use asset					$ 200,000
Incremental borrowing rate					3.80%

Share-Based Payments - Key Management Holdings (Details)			1 Months Ended				12 Months Ended
	Nov. 25, 2020	Apr. 30, 2020 EquityInstruments	Dec. 31, 2021 EquityInstruments	Jun. 30, 2021 Options	Dec. 31, 2020 EquityInstruments	Jun. 30, 2020	Dec. 31, 2022 EquityInstruments	Dec. 31, 2022 shares	Dec. 31, 2021 EquityInstruments	Dec. 31, 2021 Options	Dec. 31, 2021 shares	Dec. 31, 2020 EquityInstruments	Dec. 31, 2020 shares
Warrants [Member]
Share-Based Payments
Warrants granted at beginning of period							2,732,618		2,228,076	2,228,076		1,932,156
Warrants granted			523,599	62,147	1,655		491,612	491,612	63,802			363,168
Warrants exercised							(388,181)		(62,284)
Forfeited		(45,216)					(92,956)		(10,178)			(45,216)
Warrants granted at end of period			2,732,618		2,228,076		2,743,093		2,732,618	2,732,618		2,228,076
Board of Directors [Member]
Share-Based Payments
Warrants granted	26,964					252
Board of Directors [Member] \| Warrants [Member]
Share-Based Payments
Warrants granted at beginning of period							578,828		561,348			385,848
Warrants granted							28,750		22,916			109,548
Warrants held when becoming a member of management \| shares													(309,168)
Warrants exercised							(184,626)		(5,436)
Warrants granted at end of period			578,828		561,348		422,952		578,828			561,348
Thomas William Wylonis \| Warrants [Member]
Share-Based Payments
Warrants granted at beginning of period							369,252					342,612
Warrants granted												26,640
Warrants held when becoming a member of management \| shares											369,252		(369,252)
Warrants exercised							(184,626)
Warrants granted at end of period			369,252				184,626		369,252
Steven Projan \| Warrants [Member]
Share-Based Payments
Warrants granted at beginning of period							46,631		42,048			24,436
Warrants granted							5,000		4,583			18,612
Warrants granted at end of period			46,631		42,048		51,631		46,631			42,048
Roberto Prego \| Warrants [Member]
Share-Based Payments
Warrants granted at beginning of period							38,747		34,164			19,800
Warrants granted							5,000		4,583			14,364
Warrants granted at end of period			38,747		34,164		43,747		38,747			34,164
Jo Ann Suzich (former) \| Warrants [Member]
Share-Based Payments
Warrants granted at beginning of period							10,260		10,260
Warrants granted												10,260
Warrants granted at end of period			10,260		10,260		10,260		10,260			10,260
Marianne Sgaard \| Warrants [Member]
Share-Based Payments
Warrants granted at beginning of period							103,487		94,320
Warrants granted							10,000		9,167			28,368
Warrants held when becoming a member of management \| shares													65,952
Warrants granted at end of period			103,487		94,320		113,487		103,487			94,320
Helen Boudreau \| Warrants [Member]
Share-Based Payments
Warrants granted at beginning of period									5,436
Warrants granted												5,436
Warrants exercised									(5,436)
Warrants granted at end of period					5,436							5,436
Kim Bjrnstrup (former \| Warrants [Member]
Share-Based Payments
Warrants granted at beginning of period							5,868		5,868
Warrants granted												5,868
Warrants held when becoming a member of management \| shares													5,868
Warrants granted at end of period			5,868		5,868		5,868		5,868			5,868
Lars Holtug \| Warrants [Member]
Share-Based Payments
Warrants granted at beginning of period							4,583
Warrants granted							5,000		4,583
Warrants granted at end of period			4,583				9,583		4,583
Niels Iversen Moller, Member of the Board of Directors [Member] \| Warrants [Member]
Share-Based Payments
Warrants granted							3,750
Warrants granted at end of period							3,750
Executive Management [Member] \| Warrants [Member]
Share-Based Payments
Warrants granted at beginning of period							1,243,207		1,007,100			1,044,648
Warrants granted							128,750		206,731
Warrants held when becoming a member of management \| shares								120,000			29,376		(4,356)
Warrants exercised							(175,731)
Forfeited							(45,327)					(45,216)
Warrants granted at end of period			1,243,207		1,007,100		1,270,899		1,243,207			1,007,100
Lars Aage Staal Wegner \| Warrants [Member]
Share-Based Payments
Warrants granted at beginning of period							916,251		852,084			844,416
Warrants granted									64,167			7,668
Warrants exercised							(62,736)
Forfeited							(45,327)
Warrants granted at end of period			916,251		852,084		808,188		916,251			852,084
Birgitte Rn \| Warrants [Member]
Share-Based Payments
Warrants granted at beginning of period							74,376
Warrants granted							25,000		45,000
Warrants held when becoming a member of management \| shares											29,376
Warrants granted at end of period			74,376				99,376		74,376
Thomas Bogenrieder \| Warrants [Member]
Share-Based Payments
Warrants granted at beginning of period							4,356		4,356			49,572
Warrants held when becoming a member of management \| shares													(4,356)
Forfeited												(45,216)
Warrants granted at end of period			4,356		4,356		4,356		4,356			4,356
Erik Heegaard \| Warrants [Member]
Share-Based Payments
Warrants granted at beginning of period							97,564
Warrants granted							25,000		97,564
Warrants granted at end of period			97,564				122,564		97,564
Glenn S. Vraniak \| Warrants [Member]
Share-Based Payments
Warrants granted at beginning of period							150,660		150,660			150,660
Warrants exercised							(112,995)
Warrants granted at end of period			150,660		150,660		37,665		150,660			150,660
Andreas Holm Mattsson \| Warrants [Member]
Share-Based Payments
Warrants granted							35,000
Warrants granted at end of period							35,000
Bo Karmark [Member] \| Warrants [Member]
Share-Based Payments
Warrants granted							16,667
Warrants held when becoming a member of management \| shares								45,000
Warrants granted at end of period							61,667
Jesper Nyegaard Nissen [Member] \| Warrants [Member]
Share-Based Payments
Warrants granted							20,833
Warrants held when becoming a member of management \| shares								25,000
Warrants granted at end of period							45,883
Niels Iversen Mller [Member] \| Warrants [Member]
Share-Based Payments
Warrants granted							3,125
Warrants granted at end of period							3,125
Per Norlen [Member] \| Warrants [Member]
Share-Based Payments
Warrants granted							3,125
Warrants held when becoming a member of management \| shares								50,000
Warrants granted at end of period							53,125

Borrowings - Loan from Lessor (Details) $ in Thousands	1 Months Ended	3 Months Ended		9 Months Ended		12 Months Ended
Borrowings - Loan from Lessor (Details) $ in Thousands	Oct. 31, 2020 USD ($) m²	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)
Borrowings
Lease area (in square meters)	1,356
Borrowings \| $		$ 8,139		$ 8,139		$ 8,000	$ 1,170
Interest rate						6.00%
Interest expense related to loan \| $						$ 588	31
Hrsholm, Denmark
Borrowings
Lease space	1,356
DTU Financing
Borrowings
Borrowings \| $	$ 1,300
Interest rate	6.00%
Payment period	8 years
Interest expense related to loan \| $				100	$ 100	200	$ 0
Borrowing addition \| $		$ 0	$ 0	$ 100	$ 0	$ 100
DTU Financing \| Fixed interest rate
Borrowings
Interest rate	6.00%
Office space
Borrowings
Lease area (in square meters)	839
Office space \| Hrsholm, Denmark
Borrowings
Lease space	839
Laboratory space
Borrowings
Lease area (in square meters)	518
Laboratory space \| Hrsholm, Denmark
Borrowings
Lease space	518

Capital Structure and Financial Matters - JonesTrading Sales Agreement (Details)										9 Months Ended
	Jul. 31, 2023 USD ($)	Dec. 29, 2022 USD ($) $ / shares shares	Dec. 29, 2022 DKK (kr) shares	Oct. 20, 2022 shares	Oct. 20, 2022 USD ($) $ / shares shares	Oct. 20, 2022 DKK (kr) shares	Oct. 13, 2022 shares	Oct. 03, 2022 USD ($)	Oct. 03, 2022 DKK (kr)	Sep. 30, 2023 USD ($) $ / shares shares	Sep. 30, 2023 DKK (kr) shares	Jul. 31, 2023 kr / shares
ADS
Capital Structure and Financial Matters
Ordinary shares sold (in shares) \| shares				114,402			114,402			3,323,212	3,323,212
Number of ordinary shares per ADS	1									1
Ordinary shares purchase price \| $ / shares					$ 2.76					$ 1.79
Gross proceeds from sale of ordinary shares								$ 300,000		$ 6,000,000.0
Increase in share capital \| kr									kr 114,402		kr 3,323,212
Value of remaining number of shares under the agreements	$ 700,000									$ 7,800,000
Period of agreement (in months)	36 months
Purchase Agreement To Sell Convertible Notes, Value	$ 20,000,000.0
Par value per share \| kr / shares												kr 1
Commitment Fee Payable	$ 1,100,000
At-The-Market Issuance Sales Agreement
Capital Structure and Financial Matters
Percentage of commission to be paid								3.00%
Ordinary shares sold (in shares) \| shares		4,450	4,450
Gross proceeds from sale of ordinary shares		$ 9,968
Increase in share capital \| kr			kr 4,450
At-The-Market Issuance Sales Agreement \| ADS
Capital Structure and Financial Matters
Maximum aggregate value of shares to sell								$ 14,400,000
Percentage of commission to be paid								3.00%
Threshold period of prior notice to terminate agreement								10 days	10 days
Ordinary shares sold (in shares) \| shares		4,450	4,450		114,403	114,403
Number of ordinary shares per ADS		1	1	1	1	1
Ordinary shares purchase price \| $ / shares		$ 2.24			$ 2.76
Gross proceeds from sale of ordinary shares					$ 300,000
Increase in share capital \| kr						kr 114,403
Value of remaining number of shares under the agreements								$ 7,800,000

Capital Structure and Financial Matters - Share Capital (Details) kr / shares in Units, kr in Thousands, $ in Thousands	Sep. 30, 2023 USD ($) shares	Sep. 30, 2023 DKK (kr) shares	Jun. 30, 2023 USD ($)	Dec. 31, 2022 USD ($) shares	Dec. 31, 2022 DKK (kr) kr / shares shares	Sep. 30, 2022 USD ($)	Aug. 31, 2022 kr / shares	Jun. 30, 2022 USD ($)	Dec. 31, 2021 USD ($) shares	Dec. 31, 2021 DKK (kr) kr / shares shares	Feb. 05, 2021 kr / shares shares	Jan. 04, 2021 kr / shares	Dec. 31, 2020 USD ($) shares	Dec. 31, 2020 DKK (kr) shares	Aug. 10, 2020 kr / shares	Dec. 31, 2019 USD ($) shares	Dec. 31, 2019 DKK (kr) shares
Disclosure of classes of share capital [line items]
Share capital \| $	$ (2,734)		$ 2,535	$ 8,303		$ 13,548		$ (20,150)	$ 32,437				$ 7,038			$ 9,362
Issued Capital [Member]
Disclosure of classes of share capital [line items]
Share capital	$ 4,415	kr 27,814	$ 4,390	$ 3,886	kr 24,139	$ 3,864		$ 3,844	$ 3,755	kr 23,204			$ 2,648	kr 16,198		$ 2,481	kr 15,184
Ordinary Shares [Member]
Disclosure of classes of share capital [line items]
Share capital \| shares	27,814,140	27,814,140		24,139,413	24,139,413				23,203,808	23,203,808	19,198,668		16,198,668	16,198,668		15,184,152	15,184,152
Nominal value per share \| kr / shares					kr 1		kr 1			kr 1	kr 1	kr 1			kr 1

The amount of residual interest in the assets of the entity after deducting all its liabilities.

Schedule of carrying amounts of right-of-use assets and lease liabilities and the movements

Property and Equipment, Net (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Property and Equipment, Net
Balance beginning of year	$ 5,174
Balance end of year	4,675	$ 5,174
Property
Property and Equipment, Net
Balance beginning of year	2,601
Balance end of year	2,224	2,601
Right-of-use assets
Property and Equipment, Net
Balance beginning of year	2,601
Balance end of year	2,224	2,601
Other equipment
Property and Equipment, Net
Balance beginning of year	1,064
Balance end of year	1,016	1,064
Leasehold improvements
Property and Equipment, Net
Balance beginning of year	1,509
Balance end of year	1,435	1,509
Cost
Property and Equipment, Net
Balance beginning of year	5,548	520
Additions during the year	376	5,550
Disposals during the year		(244)
Exchange rate adjustments	(331)	(278)
Balance end of year	5,593	5,548
Cost \| Property
Property and Equipment, Net
Balance beginning of year	2,756	257
Additions during the year		2,891
Disposals during the year		(244)
Exchange rate adjustments	(163)	(148)
Balance end of year	2,593	2,756
Cost \| Other equipment
Property and Equipment, Net
Balance beginning of year	1,225	263
Additions during the year	220	1,025
Exchange rate adjustments	(77)	(63)
Balance end of year	1,368	1,225
Cost \| Leasehold improvements
Property and Equipment, Net
Balance beginning of year	1,567
Additions during the year	156	1,634
Exchange rate adjustments	(91)	(67)
Balance end of year	1,632	1,567
Accumulated Depreciation
Property and Equipment, Net
Balance beginning of year	(374)	(299)
Depreciation for the year	(571)	(343)
Depreciation reversed on disposals	15	244
Exchange rate adjustments	12	24
Balance end of year	(918)	(374)
Accumulated Depreciation \| Property
Property and Equipment, Net
Balance beginning of year	(155)	(237)
Depreciation for the year	(234)	(179)
Depreciation reversed on disposals	15	244
Exchange rate adjustments	5	17
Balance end of year	(369)	(155)
Accumulated Depreciation \| Other equipment
Property and Equipment, Net
Balance beginning of year	(161)	(62)
Depreciation for the year	(196)	(105)
Exchange rate adjustments	5	6
Balance end of year	(352)	(161)
Accumulated Depreciation \| Leasehold improvements
Property and Equipment, Net
Balance beginning of year	(58)
Depreciation for the year	(141)	(59)
Exchange rate adjustments	2	1
Balance end of year	$ (197)	$ (58)

Fees to auditors (Details) - USD ($) $ in Thousands	12 Months Ended
Fees to auditors (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Fees to auditors
Audit fees	$ 172	$ 177
Audit related fees	50	108
Other fees	156	328
Total fees	$ 378	$ 613

Leases - Movements in Right-of-use Assets and Lease Liabilities (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Leases
Cash outflow for leases	$ 300	$ 200	$ 200
Right-of-Use Asset
Balance beginning of year	2,601	20
Additions		2,891
Depreciation	(214)	(179)
Translation	(163)	(131)
Balance end of year	2,224	2,601	20
Lease liabilities
Balance beginning of year	2,520	20
Additions	15	2,731
Interest expense	176	123
Payments	(305)	(226)
Translation	(151)	(128)
Balance end of year	$ 2,255	$ 2,520	$ 20

Leases (Tables)

12 Months Ended

Dec. 31, 2022

Leases


	Right-of-Use Asset		Lease Liabilities

	(USD in thousands)
At December 31, 2021	$	2,601	$	2,520
Additions		—		15
Depreciation		(214)		—
Interest Expense		—		176
Payments		—		(305)
Translation		(163)		(151)
At December 31, 2022	$	2,224	$	2,255


	Right-of-Use Asset		Lease Liabilities

	(USD in thousands)
At December 31, 2020	$	20	$	20
Additions		2,891		2,731
Depreciation		(179)		—
Interest Expense		—		123
Payments		—		(226)
Translation		(131)		(128)
At December 31, 2021	$	2,601	$	2,520

Share-Based Payments - Outstanding warrants (Details)	12 Months Ended
Share-Based Payments - Outstanding warrants (Details)	Dec. 31, 2022 EquityInstruments kr / shares	Dec. 31, 2022 EquityInstruments $ / shares	Dec. 31, 2021 EquityInstruments kr / shares	Dec. 31, 2021 EquityInstruments $ / shares	Dec. 31, 2020 EquityInstruments kr / shares	Dec. 31, 2019 EquityInstruments	Dec. 31, 2022 shares	Dec. 31, 2021 Options	Dec. 31, 2020 Options
Share-Based Payments
Remaining term to maturity	11 years	11 years
Grant March 2022
Share-Based Payments
Average exercise price per warrant \| $ / shares		$ 2.96
Grant June 2022, First [Member]
Share-Based Payments
Average exercise price per warrant \| $ / shares		1.83
Grant June 2022, Second [Member]
Share-Based Payments
Average exercise price per warrant \| $ / shares		1.83
Grant June 2022, Third [Member]
Share-Based Payments
Average exercise price per warrant \| $ / shares		1.83
Grant September 2022 [Member]
Share-Based Payments
Average exercise price per warrant \| $ / shares		2.42
Grant December 2022, First [Member]
Share-Based Payments
Average exercise price per warrant \| $ / shares		2.23
Grant December 2022, Second [Member]
Share-Based Payments
Average exercise price per warrant \| $ / shares		$ 2.23
Warrants
Share-Based Payments
Number of warrants outstanding	2,743,093	2,743,093	2,732,618	2,732,618	2,228,076	1,932,156		2,732,618	2,228,076
Average exercise price per warrant \| (per share)		$ 2.24	kr 1	$ 5.38	kr 1
Remaining term to maturity			13 years	13 years	15 years	17 years
Warrants exercisable	1,988,106	1,988,106	2,072,122	2,072,122			1,988,106	2,732,618
Warrants \| Grant December 2016
Share-Based Payments
Per warrant average grant date fair value	kr 20.91		kr 20.91		kr 20.91
Number of warrants outstanding							437,114	701,356	712,332
Average exercise price per warrant	kr 1		kr 1		kr 1
Remaining term to maturity	14 years	14 years	15 years	15 years	16 years
Warrants \| Grant April 2017
Share-Based Payments
Per warrant average grant date fair value					kr 24.05
Number of warrants outstanding \| Options									13,896
Average exercise price per warrant					kr 1
Remaining term to maturity					16 years
Warrants \| Grant September 2017
Share-Based Payments
Per warrant average grant date fair value	kr 28.71		kr 28.71		kr 28.71
Number of warrants outstanding							617,184	617,184	617,184
Average exercise price per warrant	kr 1		kr 1		kr 1
Remaining term to maturity	14 years	14 years	15 years	15 years	16 years
Warrants \| Grant December 2017
Share-Based Payments
Per warrant average grant date fair value	kr 28.71		kr 28.71		kr 28.71
Number of warrants outstanding							122,040	122,040	127,044
Average exercise price per warrant	kr 1		kr 1		kr 1
Remaining term to maturity	14 years	14 years	15 years	15 years	16 years
Warrants \| Granted during 2018
Share-Based Payments
Per warrant average grant date fair value	kr 37.05		kr 37.05		kr 37.05
Number of warrants outstanding							170,496	174,564	181,836
Average exercise price per warrant	kr 1		kr 1		kr 1
Remaining term to maturity	14 years	14 years	15 years	15 years	16 years
Warrants \| Grant February 2019
Share-Based Payments
Per warrant average grant date fair value	kr 42.57		kr 42.57		kr 42.57
Number of warrants outstanding							7,956	7,956	7,956
Average exercise price per warrant	kr 1		kr 1		kr 1
Remaining term to maturity	14 years	14 years	15 years	15 years	16 years
Warrants \| Grant September 2019
Share-Based Payments
Per warrant average grant date fair value	kr 56.35		kr 56.35		kr 56.35
Number of warrants outstanding							54,000	54,000	54,000
Average exercise price per warrant	kr 1		kr 1		kr 1
Remaining term to maturity	14 years	14 years	15 years	15 years	16 years
Warrants \| Grant October 2019
Share-Based Payments
Per warrant average grant date fair value	kr 56.97		kr 56.97		kr 56.97
Number of warrants outstanding							150,660	150,660	150,660
Average exercise price per warrant	kr 1		kr 1		kr 1
Remaining term to maturity	14 years	14 years	15 years	15 years	16 years
Warrants \| Grant December 2020
Share-Based Payments
Per warrant average grant date fair value	kr 56.75		kr 56.75		kr 56.75
Number of warrants outstanding							193,064	317,457	363,168
Average exercise price per warrant	kr 1		kr 1		kr 1
Remaining term to maturity	8 years	8 years	9 years	9 years	11 years
Warrants \| Grant April 2021
Share-Based Payments
Per warrant average grant date fair value	kr 45.31		kr 45.31
Number of warrants outstanding							1,655	1,655
Average exercise price per warrant	kr 1		kr 1
Remaining term to maturity	9 years	9 years	10 years	10 years
Warrants \| Grant June 2021
Share-Based Payments
Per warrant average grant date fair value	kr 40.86		kr 40.86
Number of warrants outstanding							62,147	62,147
Average exercise price per warrant	kr 1		kr 1
Remaining term to maturity	9 years	9 years	10 years	10 years
Warrants \| Grant December 2021
Share-Based Payments
Per warrant average grant date fair value	kr 19.22		kr 19.22
Number of warrants outstanding							435,165	523,599
Average exercise price per warrant \| $ / shares		$ 5.38		$ 5.38
Remaining term to maturity	9 years	9 years	10 years	10 years
Warrants \| Grant March 2022
Share-Based Payments
Per warrant average grant date fair value	kr 13.46
Number of warrants outstanding \| shares							35,000
Remaining term to maturity	9 years	9 years
Warrants \| Grant June 2022, First [Member]
Share-Based Payments
Per warrant average grant date fair value	kr 8.85
Number of warrants outstanding \| shares							10,000
Remaining term to maturity	9 years	9 years
Warrants \| Grant June 2022, Second [Member]
Share-Based Payments
Per warrant average grant date fair value	kr 8.85
Number of warrants outstanding \| shares							10,000
Remaining term to maturity	9 years	9 years
Warrants \| Grant June 2022, Third [Member]
Share-Based Payments
Per warrant average grant date fair value	kr 8.85
Number of warrants outstanding \| shares							45,000
Remaining term to maturity	9 years	9 years
Warrants \| Grant September 2022 [Member]
Share-Based Payments
Per warrant average grant date fair value	kr 10.46
Number of warrants outstanding \| shares							11,000
Remaining term to maturity	9 years	9 years
Warrants \| Grant December 2022
Share-Based Payments
Per warrant average grant date fair value	kr 10.95
Number of warrants outstanding \| shares							50,000
Remaining term to maturity	9 years	9 years
Warrants \| Grant December 2022, First [Member]
Share-Based Payments
Per warrant average grant date fair value	kr 10.95
Number of warrants outstanding \| shares							330,612
Remaining term to maturity	9 years	9 years
Warrants \| Grant December 2022, Second [Member]
Share-Based Payments
Number of warrants outstanding \| shares							2,743,093
Remaining term to maturity	9 years	9 years

Liquidity and Going Concern Assessment

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Liquidity and Going Concern Assessment

Liquidity and Going Concern Assessment

Note 2. Liquidity and Going Concern Assessment

Based on the current cash position and the forecasted cash requirements, it will require additional financing to fund operations by end of March 2024.

On June 7, 2022 the Company entered into a Purchase Agreement (the “Purchase Agreement”) with an unrelated third party, Lincoln Park Capital Fund, LLC (“Lincoln Park”), to sell up to $40.0 million of its ordinary shares represented by American Depository Shares (“ADSs”) over a 36 month period. The Company is not obligated to sell any ordinary shares represented by ADSs pursuant to the Purchase Agreement and will control the timing and amount of any such sales, but in no event will Lincoln Park be required to purchase more than $1.5 million in ordinary shares represented by ADSs in any single regular purchase. The purchase agreement is dependent on a market price of the ADSs being above $0.50. Upon execution and delivery of the Purchase Agreement, the Company issued 428,572 ordinary shares represented by ADSs as consideration for a commitment fee of $1.2 million for Lincoln Park’s commitment to purchase its ordinary shares represented by ADSs under the Purchase Agreement. As of June 30, 2023, the Company had not issued and sold any additional ordinary shares represented by ADSs to Lincoln Park under the Purchase Agreement. See Note 8 for detailed information on the purchase agreement.

Note 2. Liquidity and Going Concern Assessment

The Company monitors its funding situation closely to ensure that it has access to sufficient liquidity to meet its forecasted cash requirements. Analyses are run to reflect different scenarios including, but not limited to, cash runway, human capital resources and pipeline priorities to identify liquidity risk. This enables Management and the Board of Directors to prepare for new financing transaction and/ or adjust the cost base accordingly. In March 2023 the Company adjusted the organization and reprioritized development programs to focus the operations and to save costs. The Company, with its current strategic plans, anticipates that with the current cash position and the forecast cash requirements per the 2023 updated Annual Budget, it will require additional financing to fund its operations and to continue development of its product candidates by December 2023.

On June 7, 2022 the Company entered into a Purchase Agreement (the “Purchase Agreement”) with an unrelated third party, Lincoln Park Capital Fund, LLC (“Lincoln Park”), to sell up to $40.0 million of its ordinary shares represented by American Depository Shares (“ADSs”) over a 36 month period. the Company is not obligated to sell any ordinary shares represented by ADSs pursuant to the Purchase Agreement and will control the timing and amount of any such sales, but in no event will Lincoln Park be required to purchase more than $1.5 million in ordinary shares represented by ADSs in any single regular purchase. Upon execution and delivery of the Purchase Agreement, the Company issued 428,572 ordinary shares represented by ADSs as consideration for a commitment fee of $1.2 million for Lincoln Park’s commitment to purchase its ordinary shares represented by ADSs under the Purchase Agreement. As of December 31, 2022, the Company had not issued and sold any additional ordinary shares represented by ADSs to Lincoln Park under the Purchase Agreement.

Commitments and Contingencies (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Contractual obligations
Contractual commitments	$ 1,558	$ 72
Less than one year
Contractual obligations
Contractual commitments	598	72
1-2 years
Contractual obligations
Contractual commitments	56	72
2-5 years
Contractual obligations
Contractual commitments	904
Purchase obligations
Contractual obligations
Contractual commitments	1,558	72
Purchase obligations \| Less than one year
Contractual obligations
Contractual commitments	598	72
Purchase obligations \| 1-2 years
Contractual obligations
Contractual commitments	56	72
Purchase obligations \| 2-5 years
Contractual obligations
Contractual commitments	904
Purchase obligations \| CRO's
Contractual obligations
Contractual commitments	$ 800	$ 72,000

Capital Structure and Financial Matters (Tables)

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Schedule of changes in the share capital


	Number of	Share Capital
	Ordinary Shares	(DKK in thousands)
Share capital, December 31, 2022	24,139,413	24,139
Capital increase at January 4, 2023 (JonesTrading sales agreement)	634,413	634
Capital increase at January 5, 2023 (JonesTrading sales agreement)	94,278	94
Capital increase at January 20, 2023 (JonesTrading sales agreement)	259,407	259
Capital increase at January 24, 2023 (JonesTrading sales agreement)	151,335	151
Capital increase at February 7, 2023 (JonesTrading sales agreement)	96,271	96
Capital increase at February 9, 2023 (JonesTrading sales agreement)	1,003,802	1,004
Capital increase at February 13, 2023 (JonesTrading sales agreement)	42,808	43
Capital increase at March 3, 2023 (JonesTrading sales agreement)	16,280	16
Exercised warrants, May 17, 2023	134,730	135
Exercised warrants, May 24, 2023	51,125	51
Exercised warrants, June 1, 2023	150,000	150
Capital increase at June 5, 2023 (JonesTrading sales agreement)	861,614	862
Exercised warrants, June 30, 2023	4,824	5
Capital increase at July 18, 2023 (JonesTrading sales agreement)	11,348	11
Exercised warrants, September 13, 2023	10,836	11
Capital increase at September 22, 2023 (JonesTrading sales agreement)	54,099	54
Capital increase at September 26, 2023 (JonesTrading sales agreement)	51,750	52
Capital increase at September 27, 2023 (JonesTrading sales agreement)	45,807	46
Share capital, September 30, 2023	27,814,140	27,814


	Number of	Share Capital
	Ordinary Shares	(DKK in thousands)
Share capital, December 31, 2019	15,184,152	15,184
Capital increase at September 17, 2020 (issuance of shares for cash)	745,380	745
Capital increase at October 15, 2020 (issuance of shares for cash)	269,136	269
Share capital, December 31, 2020	16,198,668	16,198
Capital increase at February 9, 2021 (for initial public offering)	3,000,000	3,000
Capital increase at November 9, 2021 (for follow-on offering)	3,942,856	3,943
Capital increase November 2021 (exercised warrants)	62,284	63
Share capital, December 31, 2021	23,203,808	23,204
Capital increase April 2022 (exercised warrants)	54,072	54
Capital increase June 2022 (exercised warrants)	92,313	92
Capital increase June 2022 (exercised warrants)	37,665	38
Capital increase at June 7, 2022 (LPC purchase agreement)	428,572	429
Capital increase June 2022 (exercised warrants)	17,264	17
Capital increase August 2022 (exercised warrants)	92,313	92
Capital increase August 2022 (exercised warrants)	41,085	41
Capital increase September 2022 (exercised warrants)	10,836	11
Capital increase at October 13, 2022 (JonesTrading sales agreement)	23,405	23
Capital increase at October 17, 2022 (JonesTrading sales agreement)	26,396	26
Capital increase at October 20, 2022 (JonesTrading sales agreement)	64,601	65
Capital increase at December 5, 2022 (exercised warrants)	42,633	43
Capital increase at December 29, 2022 (JonesTrading sales agreement)	4,450	4
Share capital, December 31, 2022	24,139,413	24,139


	December 31,
	2022		2021

	(USD in thousands)
Authorized, issued and fully paid
24,139,413 (2021: 23,203,808) ordinary shares of DKK 1 each (2021: ordinary shares of DKK 1 each)	$	3,886	$	3,755
Total share capital	$	3,886	$	3,755

Schedule of Executive Management's and Board of Director's holding of shares


Number of ordinary shares owned	2022	2021	2020
Per Norlén	—	—	—
Bo Karmark	2,000	—	—
Jesper Nyegaard Nissen	—	—	—
Birgitte Rønø	—	—	—
Erik Deichmann Heegaard	—	—	—
Andreas Holm Mattsson	4,071,961	4,163,832	4,163,832
Niels Iversen Møller	—	4,292,604	4,292,604
Lars Aage Staal Wegner (former)	82,124	182,124	182,124
Executive Management in total	4,156,085	8,638,560	8,638,560


Number of ordinary shares owned	2022	2021	2020
Niels Iversen Møller	4,196,840	—	—
Roberto Prego	310,248	310,248	310,248
Thomas William Wylonis (former)	—	—	485,676
Lars Holtug	—	—	—
Marianne Søgaard	41,652	41,652	41,652
Steven Projan	27,288	27,288	27,288
Board of Directors in total	4,576,028	379,188	864,864

Borrowings

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

General Company Information

Borrowings

Note 5. Borrowings

Loan from Lessor

EIB Loan

Borrowings are summarized as follows (in thousands):


	September 30,		December 31,
	2023		2022
Loan from lessor	$	1,016	$	1,068
EIB Loan		7,123		6,932
Total Borrowings		8,139		8,000
Less: Borrowings, current portion		(150)		(136)
Total Borrowings, net of current portion	$	7,989	$	7,864

Note 18. Borrowings

Loan from Lessor

In October 2020, the Company entered into a lease for approximately 1,356 square meters, which is allocated on 839 square meters of office space, and 518 square meters of laboratory space in Hørsholm, Denmark. In addition to the ordinary lease payments, the Company obtained financing from DTU Science Park A/S (“DTU”) for rebuilding the laboratory facility and engineering building to match the Company’s needs. The Company will repay the $1.3 million financing at a fixed interest rate of 6% over 8 years. If the lease is terminated due to default by the Company before the outstanding balance, including interest accrued, has been repaid, the remaining balance is due immediately. The finance liability is recorded at amortized cost, which approximates fair value at the time of issuance. As of December 31, 2022, the Company is still in discussions with DTU on the actual costs incurred. For the years ended December 31, 2022 and 2021 interest expense related to the loan from lessor was $0.2 million and $nil, respectively. During the year ended December 31, 2022 the Company had additions for borrowings related to the loan from lessor of $0.1 million.

EIB Loan

During the year ended December 31, 2021, the Company initiated the draw of the first tranche of the EIB Loan Agreement. The Company received the proceeds from the draw of the first tranche of €7.0 million (approximately $7.8 million) on February 17, 2022. The Company will repay the first tranche of the EIB Loan at a fixed interest rate of 3% per annum and a payment-in-kind interest rate of 4% per annum. The loan is amortized to maturity using an effective monthly interest rate of 0.78%.For the years ended December 31, 2022 and 2021 interest expense related to the EIB Loan was $0.6 million and $nil, respectively. The loan is repayable in full six years after drawing down. Under the present business plans the Company cannot draw the remaining two tranches of the loan.

Borrowings are summarized as follows (in thousands):


	December 31,
		2022		2021
Loan from lessor	$	1,068	$	1,170
EIB Loan		6,932		—
Total Borrowings		8,000		1,170
Less: Borrowings, current portion		(136)		(126)
Total Borrowings, net of current portion	$	7,864	$	1,044

Income Taxes - Reconciliation of effective tax rate (Details)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Reconciliation of effective tax rate to Danish statutory tax rate
Statutory corporate income tax rate in Denmark	22.00%	22.00%	22.00%
Non-deductible income / (expenses)	(1.00%)		(1.00%)
Non-taxable income / (expenses)			1.00%
Additional tax deduction R&D expenses	4.00%	6.00%	3.00%
Tax credit research and development expenditures	(5.00%)	(4.00%)	9.00%
Change in deferred tax asset not capitalized	(16.00%)	(23.00%)	(25.00%)
Total effective tax rate	4.00%	1.00%	9.00%

Events After the Reporting Period - Share Issuances (Details)										1 Months Ended		2 Months Ended		3 Months Ended	9 Months Ended			12 Months Ended
	Dec. 21, 2023 USD ($) $ / shares shares	Dec. 29, 2022 USD ($) $ / shares shares	Dec. 29, 2022 DKK (kr) kr / shares shares	Oct. 20, 2022 shares	Oct. 20, 2022 USD ($) $ / shares shares	Oct. 20, 2022 DKK (kr) shares	Oct. 13, 2022 kr / shares shares	Oct. 03, 2022 USD ($)	Oct. 03, 2022 DKK (kr)	Oct. 31, 2020 USD ($) $ / shares shares	Sep. 30, 2020 USD ($) $ / shares shares	Mar. 03, 2023 USD ($) $ / shares shares	Mar. 03, 2023 DKK (kr) kr / shares shares	Jan. 12, 2024 USD ($) shares	Sep. 30, 2023 USD ($) $ / shares shares	Sep. 30, 2023 DKK (kr) shares	Sep. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Dec. 21, 2023 kr / shares	Dec. 21, 2023 $ / shares	Jul. 31, 2023 kr / shares	Dec. 31, 2022 kr / shares	Aug. 31, 2022 kr / shares	Dec. 31, 2021 kr / shares	Feb. 05, 2021 kr / shares	Jan. 04, 2021 kr / shares	Aug. 10, 2020 kr / shares
Events After the Reporting Period
Proceeds from issuance of shares and exercise warrants, less underwriter discounts															$ 6,127,000		$ 48,000	$ 428,000	$ 53,854,000	$ 9,019,000
American Depositary Shares [Member]
Events After the Reporting Period
Ordinary shares purchase price \| $ / shares					$ 2.76										$ 1.79
Total proceeds from sale of ordinary shares								$ 300,000							$ 6,000,000.0
Ordinary shares sold (in shares) \| shares				114,402			114,402								3,323,212	3,323,212
Increase in share capital \| kr									kr 114,402							kr 3,323,212
Number of ordinary shares per ADS															1	1							1
Ordinary shares par value \| kr / shares																							kr 1
Ordinary Shares [Member]
Events After the Reporting Period
Ordinary shares purchase price \| $ / shares										$ 8.89	$ 8.89
Total proceeds from sale of ordinary shares										$ 2,400,000	$ 6,600,000
Ordinary shares sold (in shares) \| shares										269,136	745,380
Ordinary shares par value \| kr / shares																								kr 1	kr 1	kr 1	kr 1	kr 1	kr 1
Share Issuances
Events After the Reporting Period
Increase in share capital \| kr													kr 2,298,594
Entered into financing agreement \| Private Placement
Events After the Reporting Period
Total proceeds from sale of ordinary shares	$ 5,300,000
Ordinary shares sold (in shares) \| shares	9,726,898
Gross proceeds from exercise of warrants	$ 6,900,000
Entered into financing agreement \| American Depositary Shares [Member]
Events After the Reporting Period
Number of ordinary shares per ADS																							1
Ordinary shares par value \| kr / shares																							kr 1
Gross proceeds from exercise of warrants	$ 5,300,000
Entered into financing agreement \| American Depositary Shares [Member] \| Private Placement
Events After the Reporting Period
Ordinary shares sold (in shares) \| shares	9,726,898
Number of ordinary shares per ADS																					1	1
Ordinary shares par value \| $ / shares																						$ 0.544
Ifrs Debt Instrument, Term	3 years
Exercise Price Per Warrant \| $ / shares	$ 0.707
At-The-Market Issuance Sales Agreement
Events After the Reporting Period
Total proceeds from sale of ordinary shares		$ 9,968
Ordinary shares sold (in shares) \| shares		4,450	4,450
Increase in share capital \| kr			kr 4,450
At-The-Market Issuance Sales Agreement \| American Depositary Shares [Member]
Events After the Reporting Period
Ordinary shares purchase price \| $ / shares		$ 2.24			$ 2.76
Total proceeds from sale of ordinary shares					$ 300,000
Ordinary shares sold (in shares) \| shares		4,450	4,450		114,403	114,403
Increase in share capital \| kr						kr 114,403
Number of ordinary shares per ADS			1	1	1	1
At-The-Market Issuance Sales Agreement \| Ordinary Shares [Member]
Events After the Reporting Period
Ordinary shares par value \| kr / shares			kr 1				kr 1
At-The-Market Issuance Sales Agreement \| Share Issuances
Events After the Reporting Period
Total proceeds from sale of ordinary shares												$ 4,200,000
Proceeds from issuance of shares and exercise warrants, less underwriter discounts														$ 300,000
At-The-Market Issuance Sales Agreement \| Share Issuances \| American Depositary Shares [Member]
Events After the Reporting Period
Ordinary shares purchase price \| $ / shares												$ 1.90
Ordinary shares sold (in shares) \| shares												2,298,594	2,298,594	356,742
Number of ordinary shares per ADS													1
Ordinary shares par value \| kr / shares																					kr 1
At-The-Market Issuance Sales Agreement \| Share Issuances \| Ordinary Shares [Member]
Events After the Reporting Period
Ordinary shares par value \| kr / shares													kr 1

General Company Information

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

General Company Information

Note 1. General Company Information

Evaxion is a public limited liability company incorporated and domiciled in Denmark with its registered office located at Dr. Neergaards Vej 5f, DK-2970 Hørsholm, Denmark.

Note 1. General Company Information

Evaxion is a public limited liability company incorporated and domiciled in Denmark with its registered office located at Dr. Neergaards Vej 5f, DK-2970 Hørsholm, Denmark.

Emerging Growth Company Status

Impact from COVID-19

The Company continues to closely monitor the potential impact of COVID-19 on the 2022 financial results and cash flows and beyond.

Russia’s Invasion of Ukraine

Income Taxes - Deferred tax (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Income Taxes
Deferred tax position			$ 262
Cost \| Warrants
Income Taxes
Deferred tax position	$ 739	$ 2,118	4,289
Cost \| Loss carry forward
Income Taxes
Deferred tax position	13,581	9,530	3,759
Cost \| Research and development expenditures
Income Taxes
Deferred tax position			262
Cost \| Other items
Income Taxes
Deferred tax position	(214)	(98)	(6)
Valuation allowance
Income Taxes
Deferred tax position	$ (14,106)	$ (11,550)	$ (8,042)

Basic and Diluted Loss Per Share (Tables)

12 Months Ended

Dec. 31, 2022

Basic and Diluted Loss Per Share

Schedule of basic and diluted loss per share


	Years Ended December 31,
	2022		2021		2020

	(USD in thousands, except share amounts and per share amounts)
Loss per share before and after dilution
Net loss attributable to shareholders of Evaxion Biotech A/S	$	(23,169)	$	(24,532)	$	(15,018)
Weighted-average number of ordinary shares outstanding		23,638,685		19,493,143		15,434,758
Loss per share before and after dilution	$	(0.98)	$	(1.26)	$	(0.97)

Schedule of potential shares are anti-dilutive and excluded from the weighted average number of shares

Capital Structure and Financial Matters - Lincoln Park Purchase Agreement (Details) $ / shares in Units, $ in Millions			9 Months Ended
	Oct. 20, 2022 $ / shares	Jun. 07, 2022 USD ($) $ / shares shares	Sep. 30, 2023 $ / shares shares	Jul. 31, 2023 kr / shares	Dec. 31, 2022 shares	Jul. 07, 2022 USD ($) shares	Jun. 07, 2022 kr / shares
ADS
Capital Structure and Financial Matters
Par value per share \| kr / shares				kr 1
Number of ordinary shares per ADS			1	1
Weighted average share price \| $ / shares	$ 2.76		$ 1.79
Lincoln Park Purchase Agreement
Capital Structure and Financial Matters
Agreement Term		36 months
Lincoln Park Purchase Agreement \| ADS
Capital Structure and Financial Matters
Maximum aggregate value of shares to sell \| $		$ 40.0
Par value per share \| kr / shares							kr 1
Number of ordinary shares per ADS		1				1
Number of shares issued as commitment fee		428,572
Weighted average share price \| $ / shares		$ 2.80
Value of shares issued as commitment fee \| $		$ 1.2
Purchase Agreement To Sell Shares, Shares In Single Transaction		50,000
Purchase Agreement To Sell Shares, Maximum Shares In Single Transaction \| $		$ 1.5
Purchase Agreement To Sell Shares, Maximum Shares In Single Transaction		70,000
Purchase Agreement To Sell Shares, Maximum Value In Single Transaction \| $		$ 1.5
Number of shares registered for resale						4,649,250
Amount of proceeds to be received \| $						$ 40.0
Number of shares issued and sold			428,572		428,572
Lincoln Park Purchase Agreement \| Minimum \| ADS
Capital Structure and Financial Matters
Purchase Agreement To Sell Shares, Maximum Shares In Single Transaction		50,000
Lincoln Park Purchase Agreement \| Maximum \| ADS
Capital Structure and Financial Matters
Purchase Agreement To Sell Shares, Maximum Shares In Single Transaction		70,000

Commitments and Contingencies (Tables)

12 Months Ended

Dec. 31, 2022

Commitments and Contingencies

Schedule of contractual commitments


	December 31, 2022
	(USD in thousands)
	Contractual
	cash flows	<1 year		1 – 2 years		2 – 5 years		>5 years		Total

	(USD in thousands)
Purchase obligations	—	$	598	$	56	$	904	$	—	$	1,558
Total	—	$	598	$	56	$	904	$	—	$	1,558


	December 31, 2021
	(USD in thousands)
	Contractual
	cash flows	<1 year		1 – 2 years		2 – 5 years		>5 years		Total

	(USD in thousands)
Purchase obligations	—	$	72	$	72	$	—	$	—	$	72
Total	—	$	72	$	72	$	—	$	—	$	72

Basic and Diluted Loss Per Share

12 Months Ended

Dec. 31, 2022

Basic and Diluted Loss Per Share

Basic and Diluted Loss Per Share

Note 11. Basic and Diluted Loss Per Share

Basic loss per share is calculated by dividing the net loss attributable for the year to shareholders of Evaxion Biotech A/S by the weighted average number of ordinary shares outstanding during the year. As net losses from continuing operations were recorded in the years 2022, 2021 and 2020, the dilutive potential shares are anti-dilutive for the earnings per share calculation.


	Years Ended December 31,
	2022		2021		2020

	(USD in thousands, except share amounts and per share amounts)
Loss per share before and after dilution
Net loss attributable to shareholders of Evaxion Biotech A/S	$	(23,169)	$	(24,532)	$	(15,018)
Weighted-average number of ordinary shares outstanding		23,638,685		19,493,143		15,434,758
Loss per share before and after dilution	$	(0.98)	$	(1.26)	$	(0.97)

The following potential shares are anti-dilutive and are therefore excluded from the weighted average number of shares for the purpose of diluted loss per share:

Capital Structure and Financial Matters - Management and Board of Director holding of shares (Details) - shares	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Executive management
Disclosure of classes of share capital [line items]
Number of shares issued (in shares)	4,156,085	8,638,560	8,638,560
Bo Karmark
Disclosure of classes of share capital [line items]
Number of shares issued (in shares)	2,000
Andreas Holm Mattsson
Disclosure of classes of share capital [line items]
Number of shares issued (in shares)	4,071,961	4,163,832	4,163,832
Niels Iversen Mller
Disclosure of classes of share capital [line items]
Number of shares issued (in shares)		4,292,604	4,292,604
Lars Aage Staal Wegner
Disclosure of classes of share capital [line items]
Number of shares issued (in shares)	82,124	182,124	182,124
Board of Directors
Disclosure of classes of share capital [line items]
Number of shares issued (in shares)	4,576,028	379,188	864,864
Niels Iversen Mller
Disclosure of classes of share capital [line items]
Number of shares issued (in shares)	4,196,840
Roberto Prego
Disclosure of classes of share capital [line items]
Number of shares issued (in shares)	310,248	310,248	310,248
Thomas William Wylonis
Disclosure of classes of share capital [line items]
Number of shares issued (in shares)			485,676
Marianne Sgaard
Disclosure of classes of share capital [line items]
Number of shares issued (in shares)	41,652	41,652	41,652
Steven Projan
Disclosure of classes of share capital [line items]
Number of shares issued (in shares)	27,288	27,288	27,288

Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2022

UNAUDITED CONDENSED CONSOLIDATED INTERIM STATEMENTS OF FINANCIAL POSITION

Summary of estimated useful lives of assets

Assets		Useful life
Properties		Shorter of lease term and useful life of the asset
Leasehold improvements		11 years
Other equipment		5 – 10 years

Significant Accounting Judgements, Estimates, and Assumptions

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Significant Accounting Judgements, Estimates, and Assumptions

Significant Accounting Judgements, Estimates, and Assumptions

Note 4. Significant Accounting Judgements, Estimates, and Assumptions

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimate is revised if the revision affects only that period or in the period of the revision and future periods if the revision affects both current and future periods.

Share-based compensation

European Investment Bank Loan and warrant liability

In February 2022, the first tranche related to the Company’s loan agreement with the European Investment Bank (EIB) was drawn down. As part of the loan arrangement warrants were granted to EIB.

Leasehold Improvements and Loan from Lessor

Provisions (Tables)

12 Months Ended

Dec. 31, 2022

Provisions

Schedule of change in provisions.


	Provisions
	(USD in
	thousands)
Carrying amount at January 1, 2022	$	153
Provisions recognized		—
Additions		—
Utilization of provision		—
Change in the provision		—
Currency adjustment		(9)
Carrying amount at December 31, 2022	$	144


	Provisions
	(USD in
	thousands)
Carrying amount at January 1, 2021	$	—
Provisions recognized		161
Additions		—
Utilization of provision		—
Change in the provision		—
Currency adjustment		(8)
Carrying amount at December 31, 2021	$	153

Cash and Cash Equivalents - Changes in Net Working Capital (Details) - USD ($) $ in Thousands	9 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Cash flows from (used in) operating activities [abstract]
Changes in receivables and tax receivables			$ (1,486)	$ 1,863	$ (2,501)
Changes in trade payables			(599)	(647)	1,798
Changes in other payables			(792)	21	918
Changes in net working capital	$ 156	$ (2,243)	$ (2,877)	$ 1,237	$ 215

Borrowings (Tables)

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Commitments and Contingencies

Schedule of borrowings

Borrowings are summarized as follows (in thousands):


	September 30,		December 31,
	2023		2022
Loan from lessor	$	1,016	$	1,068
EIB Loan		7,123		6,932
Total Borrowings		8,139		8,000
Less: Borrowings, current portion		(150)		(136)
Total Borrowings, net of current portion	$	7,989	$	7,864


	December 31,
		2022		2021
Loan from lessor	$	1,068	$	1,170
EIB Loan		6,932		—
Total Borrowings		8,000		1,170
Less: Borrowings, current portion		(136)		(126)
Total Borrowings, net of current portion	$	7,864	$	1,044

Property, Plant and Equipment - Depreciation (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Property and Equipment, Net
Depreciation, right-of-use assets	$ 214	$ 179
Accumulated Depreciation
Property and Equipment, Net
Depreciation	571	343
Operating Expense
Property and Equipment, Net
Depreciation	571	343	$ 105
Depreciation, right-of-use assets	369	155	236
Research and development expenses
Property and Equipment, Net
Depreciation	446	270	90
General and administrative expense
Property and Equipment, Net
Depreciation	$ 125	$ 73	$ 15

Commitments and Contingencies

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Commitments and Contingencies

Note 9. Commitments and Contingencies

Legal Proceedings

Note 22. Commitments and Contingencies

Legal Proceedings

Contractual obligations

The contractual obligations are similar individually and, in the aggregate, not material to the future financial position, operating profit or cash flow.

At December 31, 2022, the Company had the following contractual commitments which fall due as follows:


	December 31, 2022
	(USD in thousands)
	Contractual
	cash flows	<1 year		1 – 2 years		2 – 5 years		>5 years		Total

	(USD in thousands)
Purchase obligations	—	$	598	$	56	$	904	$	—	$	1,558
Total	—	$	598	$	56	$	904	$	—	$	1,558

The majority of the purchase obligations of $0.8 million relate to CRO’s as of December 31, 2022.

At December 31, 2021, the Company had the following contractual commitments which fall due as follows:


	December 31, 2021
	(USD in thousands)
	Contractual
	cash flows	<1 year		1 – 2 years		2 – 5 years		>5 years		Total

	(USD in thousands)
Purchase obligations	—	$	72	$	72	$	—	$	—	$	72
Total	—	$	72	$	72	$	—	$	—	$	72

The Company has purchase obligations of $72 thousand due to CRO’s and a nominal amount due system provider as of December 31, 2021.

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2022

Income Taxes

Schedule of tax expense


	Years Ended
	December 31,
	2022		2021		2020

	(USD in thousands)
Income tax expense/(benefit)	$	(772)	$	(178)	$	(1,557)
Total income taxes for the year	$	(772)	$	(178)	$	(1,557)

Schedule of reconciliation of effective tax rate


	Years Ended December 31,
	2022		2021		2020
Statutory corporate income tax rate in Denmark	22	%	22	%	22	%
Difference in corporate income tax rate in subsidiaries	—	%	—	%	—	%
Non-deductible income / (expenses)	(1)	%	—	%	(1)	%
Non-taxable income / (expenses)	—	%	—	%	1	%
Additional tax deduction R&D expenses	4	%	6	%	3	%
Tax credit research and development expenditures	(5)	%	(4)	%	9	%
Change in deferred tax asset not capitalized	(16)	%	(23)	%	(25)	%
Total effective tax rate	4	%	1	%	9	%

Schedule of deferred tax in the statements of financial position


	Years Ended
	December 31,
	2022		2021		2020

	(USD in thousands)
Deferred Tax Positions:
Warrants	$	739	$	2,118	$	4,289
Loss carry forward		13,581		9,530		3,759
Research and development expenditures		—		—		262
Other items		(214)		(98)		(6)
Deferred tax assets not recognized		(14,106)		(11,550)		(8,042)
Total Deferred Tax	$	—	$	—	$	262

Capital Structure and Financial Matters

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Capital Structure and Financial Matters

Note 8. Capital Structure and Financial Matters

Share Capital – Ordinary Shares

The following are changes in the Company’s share capital for the period ended September 30, 2023:


	Number of	Share Capital
	Ordinary Shares	(DKK in thousands)
Share capital, December 31, 2022	24,139,413	24,139
Capital increase at January 4, 2023 (JonesTrading sales agreement)	634,413	634
Capital increase at January 5, 2023 (JonesTrading sales agreement)	94,278	94
Capital increase at January 20, 2023 (JonesTrading sales agreement)	259,407	259
Capital increase at January 24, 2023 (JonesTrading sales agreement)	151,335	151
Capital increase at February 7, 2023 (JonesTrading sales agreement)	96,271	96
Capital increase at February 9, 2023 (JonesTrading sales agreement)	1,003,802	1,004
Capital increase at February 13, 2023 (JonesTrading sales agreement)	42,808	43
Capital increase at March 3, 2023 (JonesTrading sales agreement)	16,280	16
Exercised warrants, May 17, 2023	134,730	135
Exercised warrants, May 24, 2023	51,125	51
Exercised warrants, June 1, 2023	150,000	150
Capital increase at June 5, 2023 (JonesTrading sales agreement)	861,614	862
Exercised warrants, June 30, 2023	4,824	5
Capital increase at July 18, 2023 (JonesTrading sales agreement)	11,348	11
Exercised warrants, September 13, 2023	10,836	11
Capital increase at September 22, 2023 (JonesTrading sales agreement)	54,099	54
Capital increase at September 26, 2023 (JonesTrading sales agreement)	51,750	52
Capital increase at September 27, 2023 (JonesTrading sales agreement)	45,807	46
Share capital, September 30, 2023	27,814,140	27,814

Lincoln Park Purchase Agreement

ordinary shares represented by ADSs under the Purchase Agreement. No shares have been sold under sold under the Purchase Agreement.

JonesTrading Sales Agreement

Financing Agreement Global Growth Holding

Note 20. Capital Structure and Financial Matters

Share Capital – Ordinary Shares

Capital transactions

Lincoln Park Purchase Agreement

On June 7, 2022, the Company entered into the Purchase Agreement, with Lincoln Park, pursuant to which the Company may elect to sell up to $40.0 million in the Company’s ordinary shares, DKK 1 nominal value, represented by ADSs, with each ADS representing one (1) ordinary share of the Company, subject to certain limitations and conditions set forth in the Purchase Agreement. In addition, upon execution of the Purchase Agreement, the Company paid a commitment fee in the form of 428,572 ordinary shares at a price of $2.80 per share, for a total commitment fee of $1.2 million (the “Commitment Fee”). Under the Purchase Agreement, the Company may from time to time, at its discretion, direct Lincoln Park to purchase on any single business day, or a regular purchase, up to 50,000 ordinary shares represented by ADSs which may be increased to 70,000 ordinary shares represented by ADSs under certain circumstances set forth in the Purchase Agreement over the 36 month term of the Purchase Agreement. The purchase price of the ordinary shares represented by ADSs will be based upon the prevailing market price of the ADSs at the time of the purchase without any fixed discount. In addition, the Company may direct Lincoln Park to purchase additional amounts as accelerated purchases and additional accelerated purchases under certain circumstances. The Company is not obligated to sell any ordinary shares represented by ADSs pursuant to the Purchase Agreement and will control the timing and amount of any such sales, but in no event will Lincoln Park be required to purchase more than $1.5 million in ordinary shares represented by ADSs in any single regular purchase.

sells the full amount of its ordinary shares represented by ADSs to Lincoln Park, under the Purchase Agreement the Company may receive up to $40.0 million in aggregate proceeds.

JonesTrading Sales Agreement

At year end, due to warrant exercise, the outstanding share capital was nominal DKK 24,139,413.

The following are changes in the Company’s share capital for the years ended December 31, 2020, 2021 and 2022:


	Number of	Share Capital
	Ordinary Shares	(DKK in thousands)
Share capital, December 31, 2019	15,184,152	15,184
Capital increase at September 17, 2020 (issuance of shares for cash)	745,380	745
Capital increase at October 15, 2020 (issuance of shares for cash)	269,136	269
Share capital, December 31, 2020	16,198,668	16,198
Capital increase at February 9, 2021 (for initial public offering)	3,000,000	3,000
Capital increase at November 9, 2021 (for follow-on offering)	3,942,856	3,943
Capital increase November 2021 (exercised warrants)	62,284	63
Share capital, December 31, 2021	23,203,808	23,204
Capital increase April 2022 (exercised warrants)	54,072	54
Capital increase June 2022 (exercised warrants)	92,313	92
Capital increase June 2022 (exercised warrants)	37,665	38
Capital increase at June 7, 2022 (LPC purchase agreement)	428,572	429
Capital increase June 2022 (exercised warrants)	17,264	17
Capital increase August 2022 (exercised warrants)	92,313	92
Capital increase August 2022 (exercised warrants)	41,085	41
Capital increase September 2022 (exercised warrants)	10,836	11
Capital increase at October 13, 2022 (JonesTrading sales agreement)	23,405	23
Capital increase at October 17, 2022 (JonesTrading sales agreement)	26,396	26
Capital increase at October 20, 2022 (JonesTrading sales agreement)	64,601	65
Capital increase at December 5, 2022 (exercised warrants)	42,633	43
Capital increase at December 29, 2022 (JonesTrading sales agreement)	4,450	4
Share capital, December 31, 2022	24,139,413	24,139

The Company’s share capital consists of the following ordinary shares:


	December 31,
	2022		2021

	(USD in thousands)
Authorized, issued and fully paid
24,139,413 (2021: 23,203,808) ordinary shares of DKK 1 each (2021: ordinary shares of DKK 1 each)	$	3,886	$	3,755
Total share capital	$	3,886	$	3,755

The Company’s ordinary shares shall confer on the holders thereof the right to receive notice of, attend and vote at general meetings of the Company.

Executive Management’s and Board of Director’s holding of shares

At December 31, the board of directors and executive management held the following shareholdings in the Company:


Number of ordinary shares owned	2022	2021	2020
Per Norlén	—	—	—
Bo Karmark	2,000	—	—
Jesper Nyegaard Nissen	—	—	—
Birgitte Rønø	—	—	—
Erik Deichmann Heegaard	—	—	—
Andreas Holm Mattsson	4,071,961	4,163,832	4,163,832
Niels Iversen Møller	—	4,292,604	4,292,604
Lars Aage Staal Wegner (former)	82,124	182,124	182,124
Executive Management in total	4,156,085	8,638,560	8,638,560


Number of ordinary shares owned	2022	2021	2020
Niels Iversen Møller	4,196,840	—	—
Roberto Prego	310,248	310,248	310,248
Thomas William Wylonis (former)	—	—	485,676
Lars Holtug	—	—	—
Marianne Søgaard	41,652	41,652	41,652
Steven Projan	27,288	27,288	27,288
Board of Directors in total	4,576,028	379,188	864,864

Borrowings - EIB Loan (Details) $ in Thousands, € in Millions			1 Months Ended	3 Months Ended		9 Months Ended		12 Months Ended
	Feb. 17, 2022 EUR (€)	Feb. 17, 2022 USD ($)	Aug. 31, 2020 EUR (€) tranche	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Aug. 31, 2020 USD ($) tranche
Borrowings
Interest rate								6.00%
Interest expenses								$ 34	$ 5	$ 29
EIB Loan Agreement
Borrowings
Principal amount			€ 20.0								$ 20,000
Effective interest rate, monthly	0.78%	0.78%
Number of tranches \| tranche			3								3
Term from disbursement dates			6 years
Interest expenses				$ 200	$ 100	$ 500	$ 300	$ 600	$ 0
EIB Loan Agreement \| Fixed interest rate
Borrowings
Interest rate	3.00%	3.00%
EIB Loan Agreement \| Payment-in-kind interest rate
Borrowings
Interest rate	4.00%	4.00%
Tranche One
Borrowings
Principal amount			€ 7.0								$ 7,000
Proceeds from the draw of loan agreement	€ 7.0	$ 7,800
Loan repayment period	6 years	6 years
Tranche Two
Borrowings
Principal amount			6.0								6,000
Tranche Three
Borrowings
Principal amount			€ 7.0								$ 7,000

Summary of Significant Accounting Policies - Impairment of non-financial assets (Details)	12 Months Ended
	Dec. 31, 2022 USD ($)
Summary of Significant Accounting Policies
Impairment loss	$ 0

Warrant Liability (Tables)

9 Months Ended

12 Months Ended

Sep. 30, 2023

Dec. 31, 2022

Schedule of changes to the warrant liability

The following table sets forth the changes to the warrant liability (in thousands):


	Warrant Liability
	(USD in thousands)
Carrying amount at January 1, 2023	$	573
Remeasurement of warrant liability		(323)
Foreign currency translation		2
Carrying amount at September 30, 2023	$	252


	Warrant Liability
	(USD in thousands)
Carrying amount at January 1, 2022	$	—
Initial recognition of warrant liability		1,007
Remeasurement of warrant liability		—
Foreign currency translation		(126)
Carrying amount at September 30, 2022	$	881


	Warrant Liability
	(USD in thousands)
Carrying amount at January 1, 2022	$	—
Initial recognition of warrant liability		1,007
Remeasurement of warrant liability		(395)
Foreign currency translation		(39)
Carrying amount at December 31, 2022	$	573

Share-Based Payments - Amendments to Warrants (Details) - Warrants $ in Millions	12 Months Ended
	Dec. 31, 2020 USD ($)
Share-Based Payments
Vesting period	3 years
Reduction in share based compensation expense due to change in accounting estimate	$ 0.4

Summary of Significant Accounting Policies - Loss Per Share (Details)	Jan. 04, 2021
Summary of Significant Accounting Policies
Stock split on bonus issue of shares	2
Bonus share issuance	17

Other Payables

12 Months Ended

Dec. 31, 2022

Other Payables

Other Payables

Note 15. Other Payables


	December 31,
	2022		2021

	(USD in thousands)
Employee cost liabilities		353		989
Other liabilities		312		46
Total other payables	$	665	$	1,035

Related Party Transactions

12 Months Ended

Dec. 31, 2022

Related Party Transactions

Related Party Transactions

Note 21. Related Party Transactions


	December 31,
	2022		2021		2020

	(USD in thousands)
The Company’s transactions with other related parties:
Balances with related parties at year-end (asset):
Prepaid rent and deposit for a leased property from a related party	$	—	$	—	$	7

The Company’s related parties are comprised of significant shareholders of the Company, the executive management group, the board of directors and the close members of the family of these persons.

The Company has not granted any loans, guarantees, or other commitments to or on behalf of any of the members in the board of directors or executive management. Other than the remuneration and other transactions relating to the board of directors or executive management and capital increases on the same terms as other investors, no other significant transactions have taken place with the board of directors or executive management for the years ended December 31, 2022, 2021 and 2020.

Basic and Diluted Loss Per Share - Anti-dilutive shares (Details) - shares	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Warrants [member]
Disclosure of instruments with potential future dilutive effect not included in calculation of diluted earnings per share [line items]
Number of potential ordinary shares that are antidilutive in period presented	2,743,093	2,732,618	2,228,076

Operating Activities

12 Months Ended

Dec. 31, 2022

Operating Activities

Operating Activities

Note 6. Operating Activities

Research and Development Expenses


	Years Ended December 31,
	2022		2021		2020

	(USD in thousands)
Employee salary and benefit expenses, excluding share-based compensation	$	7,396	$	6,794	$	3,337
Share-based compensation expenses		760		1,051		1,496
Depreciation		512		273		92
External expenses		8,388		11,465		5,977
Total research and development expenses	$	17,056	$	19,583	$	10,902

During the years ended December 31, 2022, 2021 and 2020, the Company recognized $0.5 million, $0.3 million and $0.8 million, respectively, related to government grants as a reduction of research and development expenses.

General and Administrative Expenses


	Years Ended December 31,
	2022		2021		2020

	(USD in thousands)
Employee salary and benefit expenses, excluding share-based compensation	$	1,983	$	1,824	$	1,098
Share-based compensation expenses		182		328		1,912
Professional and other fees		5,901		4,028		2,644
Depreciation		142		71		12
Total general and administrative expenses	$	8,208	$	6,251	$	5,666

Summary of Significant Accounting Policies - Segment (Details)	12 Months Ended
	Dec. 31, 2022 segment
Summary of Significant Accounting Policies
Number of operating business segments	1

General Company Information (Details) kr / shares in Units, $ / shares in Units, $ in Thousands									1 Months Ended				9 Months Ended
	Oct. 20, 2022 DKK (kr) shares	Oct. 20, 2022 DKK (kr) $ / shares	Oct. 13, 2022 shares	Oct. 03, 2022 USD ($)	Jun. 07, 2022 USD ($) $ / shares shares	Nov. 09, 2021 USD ($) $ / shares shares	Nov. 05, 2021 shares	Feb. 05, 2021 USD ($) $ / shares shares	Nov. 30, 2021 USD ($) $ / shares shares	Feb. 28, 2021 USD ($) $ / shares shares	Oct. 31, 2020 USD ($) $ / shares shares	Sep. 30, 2020 USD ($) $ / shares shares	Sep. 30, 2023 USD ($) $ / shares shares	Jul. 31, 2023 kr / shares	Dec. 31, 2022 USD ($)	Dec. 31, 2022 DKK (kr) kr / shares	Oct. 31, 2022 DKK (kr)	Aug. 31, 2022 kr / shares	Jul. 07, 2022	Jun. 07, 2022 kr / shares	Dec. 31, 2021 USD ($)	Dec. 31, 2021 kr / shares	Nov. 30, 2021 DKK (kr)	Nov. 19, 2021	Nov. 09, 2021 DKK (kr)	Feb. 28, 2021 DKK (kr)	Feb. 05, 2021 DKK (kr) kr / shares shares	Jan. 04, 2021 kr / shares	Aug. 10, 2020 kr / shares
General Company Information
Share capital													$ 4,415		$ 3,886	kr 24,139,413					$ 3,755				kr 23,141,524	kr 19,198,668
American Depositary Shares [Member]
General Company Information
Number of shares issued and sold	114,402		114,402										3,323,212
Number of ordinary shares per ADS													1	1
Ordinary shares purchase price \| $ / shares		$ 2.76											$ 1.79
Ordinary shares par value \| kr / shares														kr 1
Total proceeds from sale of ordinary shares \| $				$ 300									$ 6,000
Ordinary Shares [Member]
General Company Information
Number of shares issued and sold											269,136	745,380
Ordinary shares purchase price \| $ / shares											$ 8.89	$ 8.89
Ordinary shares authorized on capital																											19,198,668
Ordinary shares par value \| kr / shares																kr 1		kr 1				kr 1					kr 1	kr 1	kr 1
Total proceeds from sale of ordinary shares \| $											$ 2,400	$ 6,600
Share capital \| kr	kr 24,092,330	$ 24,092,330															kr 24,139,413								kr 23,141,524		kr 19,198,668
IPO \| American Depositary Shares [Member]
General Company Information
Number of shares issued and sold								3,000,000		3,000,000
Number of ordinary shares per ADS																										1	1
Ordinary shares purchase price \| $ / shares								$ 10.00		$ 10.00
Aggregate proceeds from IPO \| $								$ 25,300
Total proceeds from sale of ordinary shares \| $								$ 25,300		$ 25,300
IPO \| Ordinary Shares [Member]
General Company Information
Ordinary shares authorized on capital																											3,000,000
Ordinary shares par value \| kr / shares																											kr 1
Follow-on public offering
General Company Information
Number of ordinary shares per ADS																							1
Follow-on public offering \| American Depositary Shares [Member]
General Company Information
Number of shares issued and sold						3,942,856			3,942,856
Number of ordinary shares per ADS																								1	1
Ordinary shares purchase price \| $ / shares						$ 7.00			$ 7.00
Total proceeds from sale of ordinary shares \| $						$ 24,900			$ 24,900
Share capital \| kr																							kr 23,141,524
Underwriters option to purchase shares \| American Depositary Shares [Member]
General Company Information
Number of shares issued and sold						514,285	514,285
Lincoln Park Purchase Agreement [Member] \| American Depositary Shares [Member]
General Company Information
Number of ordinary shares per ADS					1														1
Ordinary shares purchase price \| $ / shares					$ 2.80
Ordinary shares par value \| kr / shares																				kr 1
Number of shares issued as commitment fee					428,572
Value of shares issued as commitment fee \| $					$ 1,200

Related Party Transactions (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Convertible debt instruments
Disclosure of transactions between related parties [line items]
Prepaid rent and deposit for a leased property from a related party	$ 0	$ 0	$ 7

UNAUDITED CONDENSED CONSOLIDATED INTERIM STATEMENTS OF CHANGES IN EQUITY kr in Thousands, $ in Thousands	Share capital USD ($)	Share capital DKK (kr)	Share premium USD ($)	Foreign currency translation reserve USD ($)	Accumulated deficit USD ($)	USD ($)
Balance at the beginning at Dec. 31, 2019	$ 2,481	kr 15,184	$ 22,862	$ (169)	$ (15,812)	$ 9,362
Net loss for the period					(15,018)	(15,018)
Other comprehensive income				395		395
Share-based compensation					3,551	3,551
Issuance of shares for cash	167		8,853			9,020
Transaction costs			(272)			(272)
Balance at the end at Dec. 31, 2020	2,648	16,198	31,443	226	(27,279)	7,038
Net loss for the period					(24,532)	(24,532)
Other comprehensive income				(1,537)		(1,537)
Share-based compensation					1,379	1,379
Issuance of shares for cash	1,107		56,502			57,609
Transaction costs			(7,515)			(7,515)
Balance at the end at Dec. 31, 2021	3,755	23,204	80,430	(1,316)	(50,432)	32,437
Net loss for the period					(10,559)	(10,559)
Other comprehensive income				(2,205)		(2,205)
Share-based compensation					665	665
Issuance of shares for cash	28					28
Transaction Costs Paid In Shares	(61)		61			0
Transaction costs			(216)			(216)
Balance at the end at Jun. 30, 2022	3,844		80,153	(3,521)	(60,326)	(20,150)
Balance at the beginning at Dec. 31, 2021	3,755	23,204	80,430	(1,316)	(50,432)	32,437
Net loss for the period						(16,297)
Balance at the end at Sep. 30, 2022	3,864		80,023	(4,579)	(65,760)	13,548
Balance at the beginning at Dec. 31, 2021	3,755	23,204	80,430	(1,316)	(50,432)	32,437
Net loss for the period					(23,169)	(23,169)
Other comprehensive income				(2,335)		(2,335)
Share-based compensation					942	942
Issuance of shares for cash	70		358			428
Transaction costs	61		(61)
Balance at the end at Dec. 31, 2022	3,886	24,139	80,727	(3,651)	(72,659)	8,303
Balance at the beginning at Jun. 30, 2022	3,844		80,153	(3,521)	(60,326)	(20,150)
Net loss for the period					(5,740)	(5,740)
Other comprehensive income				(1,058)		(1,058)
Share-based compensation					306	306
Issuance of shares for cash	20					20
Transaction costs			(130)			(130)
Balance at the end at Sep. 30, 2022	3,864		80,023	(4,579)	(65,760)	13,548
Balance at the beginning at Dec. 31, 2022	3,886	24,139	80,727	(3,651)	(72,659)	8,303
Net loss for the period					(11,924)	(11,924)
Other comprehensive income				34		34
Share-based compensation					326	326
Issuance of shares for cash	504		5,469			5,973
Transaction costs			(176)			(176)
Balance at the end at Jun. 30, 2023	4,390		86,020	(3,618)	(84,257)	2,535
Balance at the beginning at Dec. 31, 2022	3,886	24,139	80,727	(3,651)	(72,659)	8,303
Net loss for the period						(17,602)
Balance at the end at Sep. 30, 2023	4,415	27,814	86,145	(3,531)	(89,763)	(2,734)
Balance at the beginning at Jun. 30, 2023	4,390		86,020	(3,618)	(84,257)	2,535
Net loss for the period					(5,678)	(5,678)
Other comprehensive income				87		87
Share-based compensation					172	172
Issuance of shares for cash	25		129			154
Transaction costs			(4)			(4)
Balance at the end at Sep. 30, 2023	$ 4,415	kr 27,814	$ 86,145	$ (3,531)	$ (89,763)	$ (2,734)

The amount of residual interest in the assets of the entity after deducting all its liabilities.