0001558370-23-019203 | 10-Q | XBRL Viewer | Structure Therapeutics INC

Shareholders' Equity (Tables)

9 Months Ended

Sep. 30, 2023

A summary of share option activity is set forth below (in thousands except per share amounts and years):



		OUTSTANDING AWARDS
	NUMBER				WEIGHTED-
	OF	NUMBER OF			AVERAGE
	SHARES	SHARES	WEIGHTED-		REMAINING
	AVAILABLE	UNDERLYING	AVERAGE		CONTRACTUAL	AGGREGATE
	FOR	OUTSTANDING	EXERCISE		TERM	INTRINSIC
	GRANT	OPTIONS	PRICE		(IN YEARS)	VALUE
As of December 31, 2022	977	7,612	$	1.62	8.57	$	13,283
Additional shares authorized	12,000	—		—
Granted	(5,102)	5,102		6.11
Exercised	—	(430)		1.60
Forfeited	390	(390)		4.39
As of September 30, 2023	8,265	11,894		3.45	8.47		158,863
Exercisable at September 30, 2023		4,160		1.35	7.55		64,290
Vested and expected to vest at September 30, 2023		11,894		3.45	8.47		158,863

Summary of restricted shares activity

Activity with respect to restricted shares was as follows (in thousands, except per share amounts):



	NUMBER OF SHARES
	UNDERLYING	WEIGHTED-
	OUTSTANDING	AVERAGE
	RESTRICTED	GRANT DATE FAIR
	SHARES	VALUE
Unvested, December 31, 2022	327	$	0.33
Vested	(327)		0.33
Unvested, September 30, 2023	—		—

Schedule of recognized share-based compensation

The Company recognized share-based compensation as follows (in thousands):



	THREE MONTHS ENDED				NINE MONTHS ENDED
	SEPTEMBER 30,				SEPTEMBER 30,
	2023		2022		2023		2022
Research and development	$	762	$	201	$	2,938	$	692
General and administrative		1,096		427		3,155		1,199
Total share-based compensation	$	1,858	$	628	$	6,093	$	1,891

Shareholders' Equity

9 Months Ended

Sep. 30, 2023

Shareholders' Equity

Shareholders' Equity

7. Shareholders’ Equity

As of September 30, 2023, the Company’s Memorandum and Articles of Association, as amended, authorizes the Company to issue 500,000,000 ordinary shares and 100,000,000 undesignated shares, of which 9,812,438 shares have been designated as non-voting ordinary shares and 90,187,562 remain undesignated shares, all with a par value of $0.0001 per share. The undesignated shares may be designated by the Company’s board of directors in accordance with the Company’s Articles of Association.

In May 2023 and September 2023, the Company’s board of directors designated 7,410,518 and 2,401,920 non-voting ordinary shares, respectively, in accordance with the Articles of Association. The non-voting ordinary shares rank on parity with the ordinary shares as to distributions of assets upon liquidation, dissolution or winding up of the Company, whether voluntary or involuntary. The non-voting ordinary shares are entitled on an equal basis to any dividends declared on the ordinary shares on an as-converted to

ordinary share basis. Each non-voting ordinary shareholder has the right to convert each non-voting ordinary share into one ordinary share, subject to appropriate adjustment in the event of any dividend, split, reverse split, combination or other similar recapitalization with respect to the ordinary shares, at such holder’s election by providing written notice to the Company, provided that such non-voting ordinary shares may only be converted into ordinary shares during such time or times as immediately prior to or as a result of such conversion would not result in the holder thereof beneficially owning, when aggregated with affiliates with whom such holder is required to aggregate beneficial ownership for purposes of Section 13(d) of the Exchange Act, in excess of the 9.99% of the ordinary shares (the “Beneficial Ownership Limitation”). Any non-voting ordinary shareholder may increase the Beneficial Ownership Limitation with respect to such holder, not to exceed 19.99% of the ordinary shares, upon 61 days’ prior written notice to the Company and may decrease the Beneficial Ownership Limitation at any time upon providing written notice of such election to the Company; provided, however, that no holder may make such an election to change the percentage with respect to such holder unless all holders managed by the same investment advisor as such electing holder make the same election.

In May 2023, the Company entered into an Exchange Agreement with Biotechnology Value Fund, L.P., Biotechnology Value Fund II, L.P., and Biotechnology Value Trading Fund OS, L.P. (collectively referred to as “BVF”), who in the aggregate hold more than 5% of the Company’s issued share capital, pursuant to which BVF delivered to the Company, a total of 7,410,518 ordinary shares of the Company, in exchange for the Company’s delivery of 7,410,518 newly designated non-voting ordinary shares, par value $0.0001 per share. The exchange did not result in any change in the aggregate number of outstanding shares of the Company as the exchange was implemented on a one-for-one basis.

On September 29, 2023, the Company entered into a share purchase agreement to issue certain shares to Purchasers, including 2,401,920 newly designated non-voting ordinary shares at a purchase price of $12.49 per share (or the equivalent of $37.47 per ADS) in the Private Placement which closed on October 3, 2023.

Ordinary shareholders, including non-voting ordinary shareholders, are entitled to dividends if and when declared by the Company’s board of directors subject to the prior rights of any preferred shareholders. As of September 30, 2023 and December 31, 2022, no dividends on ordinary shares had been declared by the board of directors.

Options

A summary of share option activity is set forth below (in thousands except per share amounts and years):



		OUTSTANDING AWARDS
	NUMBER				WEIGHTED-
	OF	NUMBER OF			AVERAGE
	SHARES	SHARES	WEIGHTED-		REMAINING
	AVAILABLE	UNDERLYING	AVERAGE		CONTRACTUAL	AGGREGATE
	FOR	OUTSTANDING	EXERCISE		TERM	INTRINSIC
	GRANT	OPTIONS	PRICE		(IN YEARS)	VALUE
As of December 31, 2022	977	7,612	$	1.62	8.57	$	13,283
Additional shares authorized	12,000	—		—
Granted	(5,102)	5,102		6.11
Exercised	—	(430)		1.60
Forfeited	390	(390)		4.39
As of September 30, 2023	8,265	11,894		3.45	8.47		158,863
Exercisable at September 30, 2023		4,160		1.35	7.55		64,290
Vested and expected to vest at September 30, 2023		11,894		3.45	8.47		158,863

The total fair value of options that vested during the three months ended September 30, 2023 and 2022 was $1.7 million and $0.4 million, respectively. The total fair value of options that vested during the nine months ended September 30, 2023 and 2022 was $3.5 million and $1.1 million, respectively.

Restricted Shares

Activity with respect to restricted shares was as follows (in thousands, except per share amounts):



	NUMBER OF SHARES
	UNDERLYING	WEIGHTED-
	OUTSTANDING	AVERAGE
	RESTRICTED	GRANT DATE FAIR
	SHARES	VALUE
Unvested, December 31, 2022	327	$	0.33
Vested	(327)		0.33
Unvested, September 30, 2023	—		—

The fair value of restricted shares vested during the three months ended September 30, 2023 and 2022 was $0 and $0.1 million, respectively. The fair value of restricted shares vested during the nine months ended September 30, 2023 and 2022 was $0.1 million and $0.3 million, respectively.

Share-Based Compensation Associated with Awards to Employees and Non-Employees

The Company recognized share-based compensation as follows (in thousands):



	THREE MONTHS ENDED				NINE MONTHS ENDED
	SEPTEMBER 30,				SEPTEMBER 30,
	2023		2022		2023		2022
Research and development	$	762	$	201	$	2,938	$	692
General and administrative		1,096		427		3,155		1,199
Total share-based compensation	$	1,858	$	628	$	6,093	$	1,891

As of September 30, 2023, the total unrecognized share-based compensation expense related to unvested share options was $28.3 million, which is expected to be recognized over the remaining weighted-average vesting period of 3.2 years.

China Employees’ Options

The Company has granted share options to employees based in China. The exercise of share options granted to such employees was conditioned on a liquidity event, such as an IPO or change in control, which was not considered probable until consummated. The liquidity event condition was satisfied upon the closing of the IPO, and the Company recognized cumulative share-based compensation expense for share options granted to employees based in China. For the three and nine months ended September 30, 2023, the Company recognized $0.2 million and $1.9 million in share-based compensation expense related to share options granted to employees based in China, respectively.

Performance Options

In February 2023, the Company’s board of directors approved the grant of performance share options for 1,200,000 ordinary shares, which were granted under the 2023 Equity Incentive Plan. Each share option will vest over four years, subject to the achievement of certain clinical milestones as determined by the Company’s compensation committee in the first year following the grant, and subject to the employees’ continuous service through each vesting date. The achievement of performance milestones was not probable as of September 30, 2023. As such, no share-based compensation expense has been recognized for performance share options during the nine months ended September 30, 2023.

Ordinary Share Warrants

In connection with entering into a Loan and Security Agreement (the “SVB Agreement”) with Silicon Valley Bank (“SVB”), the Company issued SVB a warrant to purchase shares of its ordinary shares at an exercise price of $0.48 per share (“SVB Warrant”). The SVB Warrant was immediately exercisable for 112,279 ordinary shares of the Company and could have been exercisable for an additional number of ordinary shares equal to 44,567 ordinary shares upon draw of Tranche A under the SVB Agreement and 22,283 ordinary shares upon draw of Tranche B under the SVB Agreement. The warrant for Tranche A shares and Tranche B shares expired on July 31, 2021 and July 31, 2022, respectively, as the Company elected to allow the Tranche A and Tranche B financings to expire unused on July 31, 2021 and July 31, 2022, respectively. In February 2023, SVB fully exercised the SVB Warrant for 106,060 ordinary shares through a cashless exercise.

Shareholders' Equity - Schedule of recognized share-based compensation (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Share-based compensation expense	$ 1,858	$ 628	$ 6,093	$ 1,891
Research and development
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Share-based compensation expense	762	201	2,938	692
General and administrative
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Share-based compensation expense	$ 1,096	$ 427	$ 3,155	$ 1,199

- Definition

Line items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 35
-Paragraph 1D
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480483/718-10-35-1D

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 35
-Paragraph 3
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480483/718-10-35-3

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (a)(1)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (a)(2)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (a)(3)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (c)(1)(i)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (c)(1)(ii)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (c)(1)(iii)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (c)(1)(iv)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (c)(1)(iv)(01)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (c)(1)(iv)(02)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (c)(1)(iv)(03)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (c)(1)(iv)(04)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 14: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (c)(2)(i)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 15: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (c)(2)(ii)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 16: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (c)(2)(iii)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 17: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (c)(2)(iii)(01)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 18: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (c)(2)(iii)(02)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 19: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (c)(2)(iii)(03)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 20: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (d)(1)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 21: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (d)(2)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 22: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (e)(1)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 23: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (e)(2)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 24: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (f)(2)(i)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 25: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (f)(2)(ii)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 26: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (f)(2)(iii)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 27: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (f)(2)(iv)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

Reference 28: http://www.xbrl.org/2003/role/disclosureRef
-Topic 718
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (f)(2)(v)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480429/718-10-50-2

+ Details

Redeemable Convertible Preferred Shares

9 Months Ended

Sep. 30, 2023

Redeemable Convertible Preferred Shares

Redeemable Convertible Preferred Shares

6. Redeemable Convertible Preferred Shares

Under the Company’s Memorandum and Articles of Association, as amended, prior to the IPO, the Company’s redeemable convertible preferred shares were issuable in series.

As of December 31, 2022, redeemable convertible preferred shares consisted of the following (in thousands, except share and per share amounts):



	DECEMBER 31, 2022
				SHARES ISSUED
	SHARES	ORIGINAL		AND	CARRYING		LIQUIDATION
SERIES	AUTHORIZED	ISSUE PRICE		OUTSTANDING	VALUE		VALUE
A	19,200,000	$	1.6667	19,200,000	$	32,001	$	32,001
A+	12,799,681		2.0313	12,799,681		26,000		26,000
B	32,857,004		4.0483	32,857,004		133,015		133,015
B-1	2,161,402		3.2386	2,161,402		8,959		7,000
	67,018,087			67,018,087	$	199,975	$	198,016

Dividends on redeemable convertible preferred shares are noncumulative and none were declared through conversion. Upon closing of the Company’s IPO, all outstanding redeemable convertible preferred shares automatically converted into 67,018,087 ordinary shares on a one-for-one basis.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Cash flows from operating activities
Net loss	$ (65,117)	$ (39,446)
Adjustments to reconcile net loss to net cash used in operating activities:
Share-based compensation	6,093	1,891
Depreciation	223	205
Accretion of asset retirement obligation	4
Non-cash lease expense	444	271
Accretion of net investment discounts	(3,651)	(427)
Changes in operating assets and liabilities:
Prepaid expenses and other current assets	(2,287)	(73)
Other non-current assets	22
Accounts payable	(2,258)	2,277
Accrued expenses and other current liabilities	9,012	1,485
Operating lease liabilities	(244)	(277)
Net cash used in operating activities	(57,759)	(34,094)
Cash flows from investing activities
Purchases of short-term investments	(180,768)	(114,265)
Maturities of short-term investments	94,181	41,900
Purchases of property and equipment	(1,011)	(84)
Net cash used in investing activities	(87,598)	(72,449)
Cash flows from financing activities
Proceeds from issuance of common stock in initial public offering, net of underwriting discount and commissions	172,296
Payments of deferred offering costs	(3,077)	(2,197)
Proceeds from issuance of Series B redeemable convertible preferred shares, net of issuance costs		31,500
Repurchases of restricted shares		(6)
Proceeds from exercise of share options	683	33
Net cash provided by financing activities	169,902	29,330
Net change in cash and cash equivalents	24,545	(77,213)
Cash and cash equivalents, Beginning of the period	26,091	105,305
Cash and cash equivalents, End of the period	50,636	28,092
Supplemental disclosures of noncash investing and financing activities
Conversion of redeemable convertible preferred shares into ordinary shares upon initial public offering	199,975
Exchange of ordinary shares to non-voting ordinary shares	1
Purchases of property and equipment in accounts payable and accrued expenses and other current liabilities	312
Operating lease right-of-use assets obtained in exchange for new lease liabilities	3,835
Recognition of asset retirement obligation	277
Deferred offering costs included in accounts payable and accrued expenses and other current liabilities	$ 312	36
Accretion of redeemable convertible preferred shares to their redemption value		$ 1,515

Summary of Significant Accounting Policies (Policies)	9 Months Ended
Summary of Significant Accounting Policies (Policies)	Sep. 30, 2023
Summary of Significant Accounting Policies
Basis of Presentation	Basis of Presentation The condensed consolidated financial statements and related disclosures have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”). The condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. The functional and reporting currency of the Company and its subsidiaries is the U.S. dollar. The aggregate foreign currency transaction loss included in determining net loss was not material for the periods presented.
Unaudited Interim Financial Information	Unaudited Interim Financial Information The condensed consolidated balance sheet as of December 31, 2022 was derived from the Company’s audited financial statements, but does not include all disclosures required by GAAP. The accompanying unaudited condensed consolidated financial statements as of September 30, 2023 and for the three and nine months ended September 30, 2023 and 2022, have been prepared by the Company, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”), for interim financial statements. Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Accordingly, these financial statements should be read in conjunction with the audited financial statements as of and for the year ended December 31, 2022 and notes thereto, included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022 filed with the SEC on March 30, 2023. In the opinion of management, all adjustments, consisting only of normal recurring adjustments necessary for a fair statement of the Company’s condensed consolidated financial position as of September 30, 2023 and condensed consolidated results of operations for the three and nine months ended September 30, 2023 and 2022 and condensed consolidated cash flows for the nine months ended September 30, 2023 and 2022 have been made. The results of operations for the three and nine months ended September 30, 2023 are not necessarily indicative of the results of operations that may be expected for the year ending December 31, 2023.
Use of Estimates	Use of Estimates The preparation of condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements as well as the reported amounts of expenses during the reporting periods. Such estimates include lease liability, accruals for research and development activities, ordinary share valuation and related share-based compensation and certain other accrued liabilities. Actual results could differ from those estimates.
Concentration of Credit Risk	Concentration of Credit Risk The Company is exposed to credit risk from its deposits of cash, cash equivalents and short-term investments in excess of the amount of insurance provided on such deposits. The Company invests its cash, cash equivalents and short-term investments in money market funds, corporate debt securities, U.S. government bonds and U.S. government agency bonds. The Company limits its credit risk associated with cash, cash equivalents and short-term investments by investing in investment-grade securities and using banks and institutions it believes are creditworthy. The Company has not experienced any losses on its deposits of cash, cash equivalents and short-term investments to date. The Company has no off-balance sheet concentrations of credit risk, such as foreign currency exchange contracts, option contracts or other hedging arrangements.
Risks and Uncertainties	Risks and Uncertainties The Company is subject to risks and uncertainties common to early-stage companies in the biotechnology industry, including, but not limited to, development by competitors of new technological innovations, protection of proprietary technology, dependence on key personnel, compliance with government regulations and the need to obtain additional financing to fund operations. Product candidates currently under development will require significant additional research and development efforts, including extensive preclinical studies, clinical trials and regulatory approval prior to commercialization. These efforts require significant amounts of additional resources, adequate personnel, infrastructure and extensive compliance and reporting. The Company’s product candidates are still in development and, to date, none of the Company’s product candidates have been approved for sale and, therefore, the Company has not generated any revenue from any of its products. There can be no assurance that the Company’s research and development will be successfully completed, that adequate protection for the Company’s intellectual property will be obtained or maintained, that any products developed will obtain necessary government regulatory approval or that any approved products will be commercially viable. Even if the Company’s product development efforts are successful, it is uncertain when, if ever, the Company will generate any revenue from any of its products. The Company operates in an environment of rapid change in technology and substantial competition from other pharmaceutical and biotechnology companies. The Company relies and expects to continue to rely on a small number of vendors to manufacture supplies and materials for its use in the clinical trial programs. These programs could be adversely affected by a significant interruption in these manufacturing services.
Credit Losses	Credit Losses For short-term investments in an unrealized loss position, the Company periodically assesses its portfolio for impairment. The assessment first considers the intent or requirement to sell the available-for-sale debt securities. If either of these criteria are met, the amortized cost basis will be written down to fair value through earnings. If not met, the Company evaluates whether the decline resulted from credit losses or other factors by considering the extent to which fair value is less than amortized cost, any changes to the rating of the short-term investments by a rating agency, and any adverse conditions specifically related to the short-term investments, among other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the short-term investments is compared to the amortized cost basis of the short-term investments. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss exists and an allowance for credit losses is recorded, with a corresponding adjustment to interest and other income (expense), net, limited by the amount that the fair value is less than the amortized cost basis. The Company has elected to exclude accrued interest from both the fair value and the amortized cost basis of the available-for-sale debt securities for the purposes of identifying and measuring an impairment. The Company writes off accrued interest as a reduction of interest income when an issuer has defaulted on interest payments due on a security. Any impairment that has not been recorded through an allowance for credit losses is recognized in other comprehensive loss.
Fair Value of Financial Instruments	Fair Value of Financial Instruments The Company establishes the fair value of its assets and liabilities using the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date and established a fair value hierarchy based on the inputs used to measure fair value. The carrying value of cash and cash equivalents, accounts payable and accrued liabilities approximate fair value due to their relatively short maturities. The Company determines the fair value of financial and non-financial assets and liabilities using the fair value hierarchy which establishes three levels of inputs that may be used to measure fair value (see Note 4. Fair Value Measurements).
Deferred Offering Costs	Deferred Offering Costs The Company capitalizes, within other non-current assets, certain legal, accounting and other third-party fees that are directly related to the Company’s in-process equity financings, including its IPO and recent Private Placement, until such financings are consummated. After consummation of the equity financing, these costs are recorded as a reduction of the proceeds received as a result of the offering. Should a planned equity financing be abandoned, terminated or significantly delayed, the deferred offering costs will be immediately written off to general and administrative expenses. Upon closing the IPO, all deferred offering costs were charged against the proceeds from the IPO and recorded in shareholders equity (deficit) as a reduction of additional paid-in capital. As of September 30, 2023, the Company recorded $0.3 million of deferred offering costs related to the Private Placement on the condensed consolidated balance sheet under other non-current assets.
Net Loss Per Share Attributable to Ordinary Shareholders	Net Loss Per Share Attributable to Ordinary Shareholders Basic net loss per ordinary share is calculated by dividing the net loss attributable to ordinary shareholders by the weighted-average number of ordinary shares, including non-voting ordinary shares, outstanding during the period, without consideration of potentially dilutive securities. Net loss attributable to ordinary shareholders is computed as net loss less accretion of redeemable convertible preferred shares. Diluted net loss per share is computed by dividing the net loss attributable to ordinary shareholders by the weighted-average number of ordinary shares, including non-voting ordinary shares, and potentially dilutive securities outstanding for the period. For purposes of the diluted net loss per share calculation, the redeemable convertible preferred shares, ordinary share warrants, unvested restricted ordinary shares subject to repurchase and share options are considered to be potentially dilutive securities. Basic and diluted net loss per share attributable to ordinary shareholders is presented in conformity with the two-class method required for participating securities as the redeemable convertible preferred shares are considered a participating security because they participate in dividends with ordinary shares. The holders of redeemable convertible preferred shares do not have a contractual obligation to share in the Company’s losses. As such, the net loss was attributed entirely to ordinary shareholders, including non-voting ordinary shares. Because the Company has reported a net loss for all periods presented, diluted net loss per ordinary share is the same as basic net loss per ordinary share for those periods.
Recent Accounting Pronouncements	Recent Accounting Pronouncements Recently Adopted Accounting Pronouncements In June 2016, the Financial Accounting Standards Board (“FASB”) issued Account Standards Update (“ASU”) No. 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which requires the measurement and recognition of expected credit losses for financial assets held at amortized cost. This ASU replaces the existing incurred loss impairment model with an expected loss model. It also eliminates the concept of other-than-temporary impairment and requires credit losses related to available-for-sale debt securities to be recorded through an allowance for credit losses rather than as a reduction in the amortized cost basis of the securities. These changes will result in earlier recognition of credit losses. The amendments in this Update are effective for the Company for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. The Company adopted ASU 2016-13 as of January 1, 2023 and the adoption did not have a material impact on the Company’s unaudited interim condensed consolidated financial statements and related disclosures.

Commitments and Contingencies (Details) $ in Millions	1 Months Ended	3 Months Ended		9 Months Ended
Commitments and Contingencies (Details) $ in Millions	Jun. 30, 2023 USD ($) ft² Y	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)	Sep. 30, 2023 USD ($)	Sep. 30, 2022 USD ($)
Lessee, Lease, Description [Line Items]
Operating lease cost		$ 0.6	$ 0.2	$ 1.2	$ 0.8
Short term lease costs		$ 0.4	0.2	$ 0.8	0.6
Weighted average remaining lease term		3 years 6 months		3 years 6 months
Weighted average discount rate		7.60%		7.60%
Cash paid				$ 0.2	0.3
Area of office lease \| ft²	8,400
Annual base rent	$ 0.3
Area of subleased property \| ft²	11,800
Sub lease annual base rent	$ 0.5
Sub lease, percentage of increase to annual base rent	3.00%
Other non-current liabilities
Lessee, Lease, Description [Line Items]
Asset retirement obligation		$ 0.3	$ 0.0	$ 0.3	$ 0.0
Fair Value \| Asset retirement obligations
Lessee, Lease, Description [Line Items]
Lease arrangement, measurement input	0.4
Settlement term \| Asset retirement obligations
Lessee, Lease, Description [Line Items]
Lease arrangement, measurement input \| Y	3.4
Discount rate \| Asset retirement obligations
Lessee, Lease, Description [Line Items]
Lease arrangement, measurement input	6.8
Office Space Lease
Lessee, Lease, Description [Line Items]
Area of office space (in sq ft) \| ft²	22,500
Annual base rent	$ 0.7

Fair Value Measurements

9 Months Ended

Sep. 30, 2023

Fair Value Measurements

Fair Value Measurements

4. Fair Value Measurements

The Company determines the fair value of financial and non-financial assets and liabilities using the fair value hierarchy which establishes three levels of inputs that may be used to measure fair value, as follows:

Level 1—Observable inputs, such as quoted prices in active markets for identical assets or liabilities;

Level 2—Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and

Level 3—Unobservable inputs which reflect management’s best estimate of what market participants would use in pricing the asset or liability at the measurement date. Consideration is given to the risk inherent in the valuation technique and the risk inherent in the inputs to the model.

In determining fair value, the Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible as well as considers counterparty credit risk in its assessment of fair value.

Assets and liabilities measured at fair value are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires management to make judgments and consider factors specific to the asset or liability.

The following tables present information about the Company’s financial assets measured at fair value on a recurring basis and indicates the level of the fair value hierarchy utilized to determine such fair values (in thousands):



	SEPTEMBER 30,								DECEMBER 31,
	2023								2022
	LEVEL 1		LEVEL 2		LEVEL 3		TOTAL		LEVEL 1		LEVEL 2		LEVEL 3		TOTAL
Money market funds	$	44,029	$	—	$	—	$	44,029	$	18,994	$	—	$	—	$	18,994
Cash equivalents		44,029		—		—		44,029		18,994		—		—		18,994

U.S. government bonds		36,119		—		—		36,119		11,763		—		—		11,763
U.S. government agency bonds		—		30,057		—		30,057		—		1,794		—		1,794
Corporate debt securities		—		88,612		—		88,612		—		51,193		—		51,193
Short-term investments		36,119		118,669		—		154,788		11,763		52,987		—		64,750
Total fair value of financial assets	$	80,148	$	118,669	$	—	$	198,817	$	30,757	$	52,987	$	—	$	83,744



	SEPTEMBER 30,								DECEMBER 31,
	2023								2022
		AMORTIZED	GROSS UNREALIZED				FAIR			AMORTIZED	GROSS UNREALIZED				FAIR
	COST		LOSSES		GAINS		VALUE		COST		LOSSES		GAINS		VALUE
Money market funds	$	44,029	$	—	$	—	$	44,029	$	18,994	$	—	$	—	$	18,994
Cash equivalents		44,029		—		—		44,029		18,994		—		—		18,994

U.S. government bonds		36,257		(138)		—		36,119		11,820		(57)		—		11,763
U.S. government agency bonds		30,114		(59)		2		30,057		1,801		(7)		—		1,794
Corporate debt securities		88,727		(117)		2		88,612		51,239		(49)		3		51,193
Short-term investments		155,098		(314)		4		154,788		64,860		(113)		3		64,750
Total fair value of financial assets	$	199,127	$	(314)	$	4	$	198,817	$	83,854	$	(113)	$	3	$	83,744

As of September 30, 2023 and December 31, 2022, the Company did not have any liabilities measured at fair value on a recurring basis. There were no transfers in and out of Level 3 during the three and nine months ended September 30, 2023 and 2022.

The unrealized losses for marketable securities related to changes in interest rates and the Company has the intent and ability to hold the underlying securities until the estimated date of recovery of its amortized cost. No allowance for credit losses was recorded at either September 30, 2023 or December 31, 2022, and no impairment losses were recognized for the three and nine months ended September 30, 2023 and 2022.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

CONDENSED CONSOLIDATED STATEMENTS OF REDEEMABLE CONVERTIBLE PREFERRED SHARES AND SHAREHOLDERS' EQUITY (DEFICIT) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Jun. 30, 2022
CONDENSED CONSOLIDATED STATEMENTS OF REDEEMABLE CONVERTIBLE PREFERRED SHARES AND SHAREHOLDERS' EQUITY (DEFICIT)
Issuance of ordinary shares, issuance costs and underwriting discount	$ 18,586
Issuance of Series B redeemable convertible preferred shares, issuance costs		$ 1,515

Organization and Nature of the Business (Details)				1 Months Ended		9 Months Ended
Organization and Nature of the Business (Details)	Sep. 29, 2023 item shares	Sep. 28, 2023 USD ($) $ / shares	Feb. 07, 2023 USD ($) item $ / shares shares	Sep. 30, 2023 USD ($) $ / shares shares	May 31, 2023 shares	Sep. 30, 2023 USD ($) $ / shares shares	Dec. 31, 2022 USD ($) $ / shares
Organization and Nature of the Business
Number of ordinary shares for each non voting share converted \| item	1
Net proceeds \| $						$ 172,296,000
Accumulated deficit \| $				$ (182,069,000)		(182,069,000)	$ (116,952,000)
Cash, cash equivalents and short-term investments \| $				$ 205,400,000		$ 205,400,000
Non-Voting Ordinary Shares
Organization and Nature of the Business
Shares issued				2,401,920	7,410,518	9,812,438
Shares, par value \| $ / shares				$ 0.0001		$ 0.0001	$ 0.0001
IPO
Organization and Nature of the Business
Number of ADR's for each ordinary share \| item			3
Net proceeds \| $			$ 166,700,000
IPO \| Common shares
Organization and Nature of the Business
Shares issued			67,018,087
Shares authorized			500,000,000
Shares, par value \| $ / shares			$ 0.0001
IPO \| Designated shares
Organization and Nature of the Business
Shares authorized			100,000,000
Shares, par value \| $ / shares			$ 0.0001
Private Placement
Organization and Nature of the Business
Purchase Price \| $ / shares		$ 12.49
Gross proceeds \| $		$ 300,000,000.0
Private Placement \| Common shares
Organization and Nature of the Business
Aggregate shares agreed to sell	21,617,295
Private Placement \| Non-Voting Ordinary Shares
Organization and Nature of the Business
Aggregate shares agreed to sell	2,401,920
Private Placement \| American Depositary Shares (ADSs)
Organization and Nature of the Business
Purchase Price \| $ / shares		$ 37.47

Organization and Nature of the Business

9 Months Ended

Sep. 30, 2023

Organization and Nature of the Business

Organization and Nature of the Business

1. Organization and Nature of the Business

Structure Therapeutics Inc. (the “Company”) is a clinical stage global biopharmaceutical company aiming to develop and deliver novel oral therapeutics to treat a wide range of chronic diseases with unmet medical needs. The Company was incorporated in February 2019 in the Cayman Islands, with operating subsidiaries in the United States and China. In June 2022, the Company changed its name from ShouTi Inc. to Structure Therapeutics Inc.

Initial Public Offering

In February 2023, the Company closed its initial public offering (“IPO”) of American Depositary Shares (“ADSs”). Each ADS represents three ordinary shares. The net proceeds from the IPO were approximately $166.7 million after deducting underwriting discounts and commissions and estimated offering costs.

Upon the closing of the IPO, all outstanding shares of the Company’s redeemable convertible preferred shares converted into 67,018,087 ordinary shares. In connection with the completion of its IPO, the Company’s memorandum of association was amended and restated to provide for 500,000,000 authorized ordinary shares with a par value of $0.0001 per share and 100,000,000 authorized undesignated shares with a par value of $0.0001 per share, of such class or classes as may be designated by the Company’s board of directors in accordance with the Company’s articles of association.

Private Placement

On September 29, 2023, the Company entered into a share purchase agreement with certain institutional investors (the “Purchasers”), pursuant to which the Company agreed to sell and issue to the Purchasers an aggregate of 21,617,295 ordinary shares and 2,401,920 newly designated non-voting ordinary shares at a purchase price of $12.49 per Share (or the equivalent of $37.47 per ADS), the closing price of its ADS on the Nasdaq Global Market on September 28, 2023 (the “Private Placement”). Each holder of non-voting ordinary shares has the right to convert each non-voting ordinary share held by such holder into one ordinary share, subject to certain beneficial ownership limitations. The Private Placement closed on October 3, 2023, and the Company received $300.0 million in gross proceeds before deducting placement agent fees and other private placement expenses.

Liquidity and Capital Resources

The Company has incurred significant net operating losses and negative cash flows from operations since inception and had an accumulated deficit of $182.1 million as of September 30, 2023. Historically, the Company has financed its operations primarily through the private placement of equity securities. In February 2023, the Company completed its IPO for net proceeds of approximately $166.7 million, after deducting underwriting discounts and estimated offering costs. As of September 30, 2023, the Company had cash, cash equivalents and short-term investments of $205.4 million.

The Company’s condensed consolidated financial statements have been prepared on the basis of the Company continuing as a going concern for the next 12 months. Based on its current business plan, the Company believes that its current cash, cash equivalents and short-term investments will be sufficient to fund its projected operations for at least 12 months from the date of the issuance of these condensed consolidated financial statements.

Impact of Geopolitical and Macroeconomic Factors

There may be significant uncertainty resulting from the impact of other geopolitical and macroeconomic factors, including global pandemics, inflation, supply chain issues, rising interest rates, future bank failures, increased geopolitical tensions between the U.S. and China and the impact of the Russia/Ukraine conflict and the Israel-Hamas war.

Shareholders' Equity - Summary of restricted shares activity (Details) - Restricted Stock shares in Thousands	9 Months Ended
	Sep. 30, 2023 $ / shares shares
NUMBER OF SHARES UNDERLYING OUTSTANDING RESTRICTED SHARES
Unvested, Beginning balance (in shares) \| shares	327
Vested (in shares) \| shares	(327)
WEIGHTED-AVERAGE GRANT DATE FAIR VALUE
Unvested, Beginning balance (in dollars per share) \| $ / shares	$ 0.33
Vested (in dollars per share) \| $ / shares	$ 0.33

Net Loss Per Share - Outstanding Shares of Potentially Dilutive Securities (Details) - shares shares in Thousands	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	11,894	75,032
Options to purchase ordinary shares
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total	11,894	7,329
Redeemable convertible preferred shares
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total		67,018
Ordinary share warrants
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total		112
Unvested restricted ordinary share awards
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Total		573

Related Party Transactions

9 Months Ended

Sep. 30, 2023

Related Party Transactions

Related Party Transactions

9. Related Party Transactions

Ramy Farid, the President and Chief Executive Officer of Schrödinger, Inc. is a member of the Company’s board of directors. During the three and nine months ended September 30, 2023 and 2022, the Company had existing collaboration agreements to use the results provided by Schrödinger’s software platform for its research purposes. During the three months ended September 30, 2023 and 2022, the Company paid $0 and less than $0.1 million to Schrödinger, respectively. During the nine months ended September 30, 2023 and 2022, the Company paid $0 and $0.2 million to Schrödinger, respectively, and had no payable balance to Schrödinger as of September 30, 2023 and December 31, 2022.

Lhotse Collaboration Agreement with Schrödinger

In October 2020, Lhotse Bio, Inc., the Company’s wholly-owned subsidiary (“Lhotse”), entered into a Collaboration Agreement (the “Lhotse-Schrödinger Agreement”) with Schrödinger to discover and develop novel, orally bioavailable, small molecule inhibitors of LPA1R. Under the Lhotse-Schrödinger Agreement, Schrödinger is obligated to provide computational modeling and design support, including by using its technology platform to perform virtual screens, and Lhotse is obligated to provide day-to-day chemistry and biology support. Pursuant to the Lhotse-Schrödinger Agreement, a joint steering committee comprised of representatives from both parties oversees the research performed under the agreement. During the term of the Lhotse-Schrödinger Agreement and for a specified period thereafter while Lhotse is engaged in active development of any compound having activity against LPA1R that is discovered or developed under the Lhotse-Schrödinger Agreement, Schrödinger is obligated to work exclusively with Lhotse on the design, research, development and commercialization of compounds that inhibit LPA1R. Lhotse will solely own the research results, work product, inventions and other intellectual property generated under the Lhotse-Schrödinger Agreement that are directed to LPA1R.

Under the Lhotse-Schrödinger Agreement, Lhotse is obligated to pay Schrödinger a quarterly active program payment in the low six digits for each successive three-month period during which Schrödinger continues to perform research work as agreed by the parties, and as of September 30, 2023, the Company has paid to Schrödinger an aggregate of $0.8 million. If Lhotse develops and commercializes a product containing a compound (a “Lhotse Collaboration Compound”), that is discovered or developed under the Lhotse-Schrödinger Agreement (a “Lhotse Collaboration Product”), Lhotse is obligated to pay Schrödinger development and regulatory milestone payments of up to an aggregate of $17.0 million, regardless of the number of Lhotse Collaboration Products that reach such milestones. Lhotse will also be obligated to pay Schrödinger tiered royalties on a Lhotse Collaboration Product-by-Lhotse Collaboration Product basis equal to low single digit percentages on aggregate worldwide net sales of Lhotse Collaboration Products, subject to specified reductions and offsets. Lhotse’s obligation to pay royalties to Schrödinger will expire on a Lhotse Collaboration Product-by-Lhotse Collaboration Product and country-by-country basis on the later of (i) the expiration of the last-to-expire Lhotse patent claim covering the composition of matter of the Lhotse Collaboration Compound contained in such Lhotse Collaboration Product in such country, (ii) the expiration of regulatory, pediatric, orphan drug, or data exclusivity with respect to such Lhotse Collaboration Product in such country, and (iii) ten years after the first commercial sale of such Lhotse Collaboration Product in such country (the “Lhotse Royalty Term”).

Unless terminated earlier, the Lhotse-Schrödinger Agreement will continue for three years, subject to extension by mutual written agreement of the parties. Either party may terminate the Lhotse-Schrödinger Agreement for the other party’s uncured material breach, subject to certain notice and cure periods, or for the other party’s bankruptcy or insolvency. Lhotse’s obligation to make milestone and royalty payments (subject to the Lhotse Royalty Term) to Schrödinger continues after the expiration or termination of the Lhotse-Schrödinger Agreement. As of September 30, 2023, no milestone or royalty payments have been paid or accrued.

Aconcagua Collaboration Agreement with Schrödinger

In November 2023, Aconcagua Bio, Inc., the Company’s wholly-owned subsidiary (“Aconcagua”), entered into a collaboration agreement (the “Aconcagua-Schrödinger Agreement”) with Schrödinger to discover and develop novel, small molecule modulators of a specific target. Under the Aconcagua-Schrödinger Agreement, Schrödinger is obligated to provide computational modeling and design support, including by using its technology platform to perform virtual screens, and Aconcagua is obligated to provide day-to-day chemistry and biology support. Pursuant to the Aconcagua-Schrödinger Agreement, a joint steering committee comprised of representatives from both parties oversees the research performed under the agreement.

During the term of the Aconcagua-Schrödinger Agreement or if longer, for a specified number of years after the effective date of the Aconcagua-Schrödinger Agreement, Schrödinger is obligated, subject to certain exceptions, to work exclusively with Aconcagua on the design, research, development and commercialization of compounds that inhibit the target. Aconcagua will solely own the research results, work product, inventions and other intellectual property generated under the Aconcagua-Schrödinger Agreement other than improvements to Schrödinger’s background intellectual property.

During the term of the Aconcagua-Schrödinger Agreement, Aconcagua is obligated to pay Schrödinger a monthly active program payment in the low six digits, which payment includes fees payable for certain Schrödinger software employed in the Collaboration. If Aconcagua develops and commercializes a product containing a compound (“ Aconcagua Collaboration Compound”) that is discovered or developed under the Aconcagua-Schrödinger Agreement or a derivative thereof (“Aconcagua Collaboration Product”), Aconcagua is obligated to pay Schrödinger development, regulatory and commercialization milestone payments of up to an aggregate of $89.0 million for the first Aconcagua Collaboration Product to achieve a particular milestone event, regardless of the number of Aconcagua Collaboration Products that reach such milestones. Aconcagua will also be obligated to pay Schrödinger tiered royalties in the low single digit range on aggregate worldwide net sales of all Aconcagua Collaboration Products, subject to specified reductions and offsets. Aconcagua’s obligation to pay royalties to Schrödinger will expire on a Aconcagua Collaboration Product-by- Aconcagua Collaboration Product and country-by-country basis on the later of (i) the expiration of the last-to-expire Aconcagua owned patent claim covering the composition of matter of the Aconcagua Collaboration Compound contained in such Aconcagua Collaboration Product in such country and (ii) ten years after the first commercial sale of such Aconcagua Collaboration Product in such country (“Aconcagua Royalty Term”).

Unless terminated earlier, the Aconcagua-Schrödinger Agreement will continue for three years, subject to extension by mutual written agreement of the parties. Either party may terminate the Aconcagua-Schrödinger Agreement for convenience after a specified period or for the other party’s uncured material breach. Aconcagua’s obligation to make milestone and royalty payments (subject to the Aconcagua Royalty Term) to Schrödinger continues after the expiration or termination of the Aconcagua-Schrödinger Agreement, unless the Aconcagua-Schrödinger Agreement is terminated under specified circumstances. As of September 30, 2023, no milestone or royalty payments have been paid or accrued.

Purchase of non-voting ordinary shares by BVF

On September 29, 2023, the Company entered into a share purchase agreement to issue certain shares to Purchasers, including 2,401,920 newly designated non-voting ordinary shares at a purchase price of $12.49 per share (or the equivalent of $37.47 per ADS) to BVF, a more than 5% shareholder of the Company, for aggregate gross proceeds of approximately $30 million, in the Private Placement which closed on October 3, 2023.

- Definition

The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480990/946-20-50-2

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 5
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480990/946-20-50-5

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 20
-Name Accounting Standards Codification
-Section 50
-Paragraph 6
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147480990/946-20-50-6

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 235
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (c)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481062/946-235-50-2

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 235
-Name Accounting Standards Codification
-Section 50
-Paragraph 2
-Subparagraph (e)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147481062/946-235-50-2

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Topic 850
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (d)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147483326/850-10-50-1

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 220
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.6-07(2)(g)(3))
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147483575/946-220-S99-1

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 220
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.6-07(2)(c))
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147483575/946-220-S99-1

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Topic 946
-SubTopic 220
-Name Accounting Standards Codification
-Section S99
-Paragraph 1
-Subparagraph (SX 210.6-07(2)(e))
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147483575/946-220-S99-1

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Topic 850
-Name Accounting Standards Codification
-Publisher FASB
-URI https://asc.fasb.org//850/tableOfContent

Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Topic 850
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 6
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147483326/850-10-50-6

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Topic 850
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (a)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147483326/850-10-50-1

Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Topic 850
-SubTopic 10
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-Subparagraph (b)
-Publisher FASB
-URI https://asc.fasb.org//1943274/2147483326/850-10-50-1

+ Details

Fair Value Measurements - Level of the fair value hierarchy (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Fair Value Measurements
Total fair value of financial assets	$ 198,817	$ 83,744
Money market funds
Fair Value Measurements
Total fair value of financial assets	44,029	18,994
Cash equivalents
Fair Value Measurements
Total fair value of financial assets	44,029	18,994
U.S. government bonds
Fair Value Measurements
Total fair value of financial assets	36,119	11,763
U.S. government agency bonds
Fair Value Measurements
Total fair value of financial assets	30,057	1,794
Corporate debt securities
Fair Value Measurements
Total fair value of financial assets	88,612	51,193
Short-term investments
Fair Value Measurements
Total fair value of financial assets	154,788	64,750
Level 1
Fair Value Measurements
Total fair value of financial assets	80,148	30,757
Level 2
Fair Value Measurements
Total fair value of financial assets	118,669	52,987
Recurring \| Money market funds
Fair Value Measurements
Total fair value of financial assets	44,029	18,994
Recurring \| Cash equivalents
Fair Value Measurements
Total fair value of financial assets	44,029	18,994
Recurring \| U.S. government bonds
Fair Value Measurements
Total fair value of financial assets	36,119	11,763
Recurring \| U.S. government agency bonds
Fair Value Measurements
Total fair value of financial assets	30,057	1,794
Recurring \| Corporate debt securities
Fair Value Measurements
Total fair value of financial assets	88,612	51,193
Recurring \| Short-term investments
Fair Value Measurements
Total fair value of financial assets	154,788	64,750
Recurring \| Level 1 \| Money market funds
Fair Value Measurements
Total fair value of financial assets	44,029	18,994
Recurring \| Level 1 \| Cash equivalents
Fair Value Measurements
Total fair value of financial assets	44,029	18,994
Recurring \| Level 1 \| U.S. government bonds
Fair Value Measurements
Total fair value of financial assets	36,119	11,763
Recurring \| Level 1 \| Short-term investments
Fair Value Measurements
Total fair value of financial assets	36,119	11,763
Recurring \| Level 2 \| U.S. government agency bonds
Fair Value Measurements
Total fair value of financial assets	30,057	1,794
Recurring \| Level 2 \| Corporate debt securities
Fair Value Measurements
Total fair value of financial assets	88,612	51,193
Recurring \| Level 2 \| Short-term investments
Fair Value Measurements
Total fair value of financial assets	$ 118,669	$ 52,987

CONDENSED CONSOLIDATED STATEMENTS OF REDEEMABLE CONVERTIBLE PREFERRED SHARES AND SHAREHOLDERS' EQUITY (DEFICIT) - USD ($) $ in Thousands	Series A redeemable convertible preferred shares	Series A+ redeemable convertible preferred shares	Series B redeemable convertible preferred stock	Series B1 redeemable convertible preferred stock	Ordinary shares Common shares	Non-voting ordinary shares Common shares	Non-voting ordinary shares	Additional Paid-In Capital	Accumulated Other Comprehensive Loss	Accumulated Deficit	Total
Beginning balance at Dec. 31, 2021	$ 32,001	$ 26,000	$ 100,000	$ 8,959
Beginning balance (in shares) at Dec. 31, 2021	19,200,000	12,800,000	24,702,000	2,161,000
Ending balance at Mar. 31, 2022	$ 32,001	$ 26,000	$ 100,000	$ 8,959
Ending balance (in shares) at Mar. 31, 2022	19,200,000	12,800,000	24,702,000	2,161,000
Beginning balance at Dec. 31, 2021					$ 1					$ (64,736)	$ (64,735)
Beginning balance (in shares) at Dec. 31, 2021					10,894,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Share-based compensation expense								$ 620			620
Unrealized gain (loss) on investments, net									$ (35)		(35)
Net loss										(13,081)	(13,081)
Ending balance at Mar. 31, 2022					$ 1			620	(35)	(77,817)	(77,231)
Ending balance (in shares) at Mar. 31, 2022					10,894,000
Beginning balance at Dec. 31, 2021	$ 32,001	$ 26,000	$ 100,000	$ 8,959
Beginning balance (in shares) at Dec. 31, 2021	19,200,000	12,800,000	24,702,000	2,161,000
Ending balance at Sep. 30, 2022	$ 32,001	$ 26,000	$ 133,015	$ 8,959
Ending balance (in shares) at Sep. 30, 2022	19,200,000	12,800,000	32,857,000	2,161,000
Beginning balance at Dec. 31, 2021					$ 1					(64,736)	(64,735)
Beginning balance (in shares) at Dec. 31, 2021					10,894,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Unrealized gain (loss) on investments, net											(135)
Net loss											(39,446)
Ending balance at Sep. 30, 2022					$ 1			1,298	(135)	(105,077)	(103,913)
Ending balance (in shares) at Sep. 30, 2022					10,527,000
Beginning balance at Mar. 31, 2022	$ 32,001	$ 26,000	$ 100,000	$ 8,959
Beginning balance (in shares) at Mar. 31, 2022	19,200,000	12,800,000	24,702,000	2,161,000
Increase (Decrease) in Temporary Equity [Roll Forward]
Issuance of Series B redeemable convertible preferred shares, net of issuance costs			$ 31,500
Accretion of Series B redeemable convertible preferred shares to their redemption value			1,515
Ending balance at Jun. 30, 2022	$ 32,001	$ 26,000	$ 133,015	$ 8,959
Ending balance (in shares) at Jun. 30, 2022	19,200,000	12,800,000	32,857,000	2,161,000
Beginning balance at Mar. 31, 2022					$ 1			620	(35)	(77,817)	(77,231)
Beginning balance (in shares) at Mar. 31, 2022					10,894,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Accretion of redeemable convertible preferred shares to their redemption value								(620)		(895)	(1,515)
Repurchase of restricted stock awards								(6)			(6)
Repurchase of restricted stock awards (in shares)					(450,000)
Issuance of ordinary shares upon exercise of vested share options								4			4
Issuance of ordinary shares upon exercise of vested share options (in shares)					8,000
Share-based compensation expense								643			643
Unrealized gain (loss) on investments, net									(50)		(50)
Net loss										(13,948)	(13,948)
Ending balance at Jun. 30, 2022					$ 1			641	(85)	(92,660)	(92,103)
Ending balance (in shares) at Jun. 30, 2022					10,452,000
Increase (Decrease) in Temporary Equity [Roll Forward]
Issuance of Series B redeemable convertible preferred shares, net of issuance costs (in shares)			8,155,000
Ending balance at Sep. 30, 2022	$ 32,001	$ 26,000	$ 133,015	$ 8,959
Ending balance (in shares) at Sep. 30, 2022	19,200,000	12,800,000	32,857,000	2,161,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of ordinary shares upon exercise of vested share options								29			29
Issuance of ordinary shares upon exercise of vested share options (in shares)					75,000
Share-based compensation expense								628			628
Unrealized gain (loss) on investments, net									(50)		(50)
Net loss										(12,417)	(12,417)
Ending balance at Sep. 30, 2022					$ 1			1,298	(135)	(105,077)	$ (103,913)
Ending balance (in shares) at Sep. 30, 2022					10,527,000
Beginning balance at Dec. 31, 2022	$ 32,001	$ 26,000	$ 133,015	$ 8,959
Beginning balance (in shares) at Dec. 31, 2022	19,200,000	12,799,681	32,857,004	2,161,402							67,018,087
Increase (Decrease) in Temporary Equity [Roll Forward]
Conversion of redeemable convertible preferred shares into ordinary shares upon initial public offering (in Shares)	(19,200,000)	(12,800,000)	(32,857,000)	(2,161,000)
Conversion of redeemable convertible preferred shares into ordinary shares upon initial public offering	$ (32,001)	$ (26,000)	$ (133,015)	$ (8,959)
Beginning balance at Dec. 31, 2022					$ 1			1,921	(110)	(116,952)	$ (115,140)
Beginning balance (in shares) at Dec. 31, 2022					10,527,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Conversion of redeemable convertible preferred shares into ordinary shares upon initial public offering					$ 7			199,968			199,975
Conversion of redeemable convertible preferred shares into ordinary shares upon initial public offering (in Shares)					67,018,000
Issuance of ordinary shares upon initial public offering, net of issuance costs and underwriting discount					$ 3			166,667			166,670
Issuance of ordinary shares upon initial public offering, net of issuance costs and underwriting discount (in shares)					37,053,000
Net exercise of ordinary share warrants (in Shares)					106,000
Issuance of ordinary shares upon exercise of vested share options								31			31
Issuance of ordinary shares upon exercise of vested share options (in shares)					26,000
Share-based compensation expense								2,533			2,533
Unrealized gain (loss) on investments, net									257		257
Net loss										(17,975)	(17,975)
Ending balance at Mar. 31, 2023					$ 11			371,120	147	(134,927)	$ 236,351
Ending balance (in shares) at Mar. 31, 2023					114,730,000
Beginning balance at Dec. 31, 2022	$ 32,001	$ 26,000	$ 133,015	$ 8,959
Beginning balance (in shares) at Dec. 31, 2022	19,200,000	12,799,681	32,857,004	2,161,402							67,018,087
Ending balance (in shares) at Sep. 30, 2023	0	0	0	0
Beginning balance at Dec. 31, 2022					$ 1			1,921	(110)	(116,952)	$ (115,140)
Beginning balance (in shares) at Dec. 31, 2022					10,527,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of ordinary shares upon initial public offering, net of issuance costs and underwriting discount (in shares)							9,812,438
Issuance of ordinary shares upon exercise of vested share options (in shares)											430,000
Unrealized gain (loss) on investments, net											$ (200)
Net loss											(65,117)
Ending balance at Sep. 30, 2023					$ 10	$ 1		375,332	(310)	(182,069)	192,964
Ending balance (in shares) at Sep. 30, 2023					107,723,000	7,411,000
Beginning balance at Mar. 31, 2023					$ 11			371,120	147	(134,927)	236,351
Beginning balance (in shares) at Mar. 31, 2023					114,730,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Exchange of ordinary shares to non-voting ordinary shares					$ (1)	$ 1
Exchange of ordinary shares to non-voting ordinary shares (in shares)					(7,411,000)	7,411,000
Issuance of ordinary shares upon exercise of vested share options								179			179
Issuance of ordinary shares upon exercise of vested share options (in shares)					68,000
Share-based compensation expense								1,702			1,702
Unrealized gain (loss) on investments, net									(537)		(537)
Net loss										(23,280)	(23,280)
Ending balance at Jun. 30, 2023					$ 10	$ 1		373,001	(390)	(158,207)	214,415
Ending balance (in shares) at Jun. 30, 2023					107,387,000	7,411,000
Ending balance (in shares) at Sep. 30, 2023	0	0	0	0
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of ordinary shares upon exercise of vested share options								473			473
Issuance of ordinary shares upon exercise of vested share options (in shares)					336,000
Share-based compensation expense								1,858			1,858
Unrealized gain (loss) on investments, net									80		80
Net loss										(23,862)	(23,862)
Ending balance at Sep. 30, 2023					$ 10	$ 1		$ 375,332	$ (310)	$ (182,069)	$ 192,964
Ending balance (in shares) at Sep. 30, 2023					107,723,000	7,411,000

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Current assets:
Cash and cash equivalents	$ 50,636	$ 26,091
Short-term investments	154,788	64,750
Prepaid expenses and other current assets	4,535	2,248
Total current assets	209,959	93,089
Property and equipment, net	2,408	1,031
Operating right-of-use assets	3,653	262
Other non-current assets	350	3,463
Total assets	216,370	97,845
Current liabilities:
Accounts payable	3,319	6,009
Accrued expenses and other current liabilities	15,955	6,741
Operating lease liabilities, current portion	817	260
Total current liabilities	20,091	13,010
Operating lease liabilities, net of current portion	3,034
Other non-current liabilities	281
Total liabilities	23,406	13,010
Commitments and contingencies (Note 5)
Redeemable convertible preferred shares		199,975
Shareholders' equity (deficit):
Undesignated shares - $0.0001 par value; 100,000 and 0 shares authorized as of September 30, 2023 and December 31, 2022, respectively
Additional paid-in capital	375,332	1,921
Accumulated other comprehensive loss	(310)	(110)
Accumulated deficit	(182,069)	(116,952)
Total shareholders' equity (deficit)	192,964	(115,140)
Total liabilities, redeemable convertible preferred shares and shareholders' equity (deficit)	216,370	97,845
Series A redeemable convertible preferred shares
Current liabilities:
Redeemable convertible preferred shares		32,001
Series A+ redeemable convertible preferred shares
Current liabilities:
Redeemable convertible preferred shares		26,000
Series B redeemable convertible preferred stock
Current liabilities:
Redeemable convertible preferred shares		133,015
Series B1 redeemable convertible preferred stock
Current liabilities:
Redeemable convertible preferred shares		8,959
Non-voting ordinary shares
Shareholders' equity (deficit):
Ordinary shares	1
Ordinary shares
Shareholders' equity (deficit):
Ordinary shares	$ 10	$ 1

Redeemable Convertible Preferred Shares (Details)	Feb. 07, 2023 shares
Redeemable Convertible Preferred Shares
Shares converted	67,018,087
Conversion ratio	1

Summary of Significant Accounting Policies

9 Months Ended

Sep. 30, 2023

Summary of Significant Accounting Policies

Summary of Significant Accounting Policies

2. Summary of Significant Accounting Policies

Basis of Presentation

The condensed consolidated financial statements and related disclosures have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”). The condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. The functional and reporting currency of the Company and its subsidiaries is the U.S. dollar. The aggregate foreign currency transaction loss included in determining net loss was not material for the periods presented.

Unaudited Interim Financial Information

The condensed consolidated balance sheet as of December 31, 2022 was derived from the Company’s audited financial statements, but does not include all disclosures required by GAAP. The accompanying unaudited condensed consolidated financial statements as of September 30, 2023 and for the three and nine months ended September 30, 2023 and 2022, have been prepared by the Company, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”), for interim financial statements. Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. Accordingly, these financial statements should be read in conjunction with the audited financial statements as of and for the year ended December 31, 2022 and notes thereto, included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022 filed with the SEC on March 30, 2023. In the opinion of management, all adjustments, consisting only of normal recurring adjustments necessary for a fair statement of the Company’s condensed consolidated financial position as of September 30, 2023 and condensed consolidated results of operations for the three and nine months ended September 30, 2023 and 2022 and condensed consolidated cash flows for the nine months ended September 30, 2023 and 2022 have been made. The results of operations for the three and nine months ended September 30, 2023 are not necessarily indicative of the results of operations that may be expected for the year ending December 31, 2023.

Use of Estimates

The preparation of condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements as well as the reported amounts of expenses during the reporting periods. Such estimates include lease liability, accruals for research and development activities, ordinary share valuation and related share-based compensation and certain other accrued liabilities. Actual results could differ from those estimates.

Concentration of Credit Risk

The Company is exposed to credit risk from its deposits of cash, cash equivalents and short-term investments in excess of the amount of insurance provided on such deposits. The Company invests its cash, cash equivalents and short-term investments in money market funds, corporate debt securities, U.S. government

bonds and U.S. government agency bonds. The Company limits its credit risk associated with cash, cash equivalents and short-term investments by investing in investment-grade securities and using banks and institutions it believes are creditworthy. The Company has not experienced any losses on its deposits of cash, cash equivalents and short-term investments to date. The Company has no off-balance sheet concentrations of credit risk, such as foreign currency exchange contracts, option contracts or other hedging arrangements.

Risks and Uncertainties

The Company is subject to risks and uncertainties common to early-stage companies in the biotechnology industry, including, but not limited to, development by competitors of new technological innovations, protection of proprietary technology, dependence on key personnel, compliance with government regulations and the need to obtain additional financing to fund operations. Product candidates currently under development will require significant additional research and development efforts, including extensive preclinical studies, clinical trials and regulatory approval prior to commercialization. These efforts require significant amounts of additional resources, adequate personnel, infrastructure and extensive compliance and reporting.

The Company’s product candidates are still in development and, to date, none of the Company’s product candidates have been approved for sale and, therefore, the Company has not generated any revenue from any of its products.

There can be no assurance that the Company’s research and development will be successfully completed, that adequate protection for the Company’s intellectual property will be obtained or maintained, that any products developed will obtain necessary government regulatory approval or that any approved products will be commercially viable. Even if the Company’s product development efforts are successful, it is uncertain when, if ever, the Company will generate any revenue from any of its products. The Company operates in an environment of rapid change in technology and substantial competition from other pharmaceutical and biotechnology companies.

The Company relies and expects to continue to rely on a small number of vendors to manufacture supplies and materials for its use in the clinical trial programs. These programs could be adversely affected by a significant interruption in these manufacturing services.

Credit Losses

For short-term investments in an unrealized loss position, the Company periodically assesses its portfolio for impairment. The assessment first considers the intent or requirement to sell the available-for-sale debt securities. If either of these criteria are met, the amortized cost basis will be written down to fair value through earnings.

If not met, the Company evaluates whether the decline resulted from credit losses or other factors by considering the extent to which fair value is less than amortized cost, any changes to the rating of the short-term investments by a rating agency, and any adverse conditions specifically related to the short-term investments, among other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the short-term investments is compared to the amortized cost basis of the short-term investments. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss exists and an allowance for credit losses is recorded, with a corresponding adjustment to interest and other income (expense), net, limited by the amount that the fair value is less than the amortized cost basis. The Company has elected to exclude accrued interest from both the fair value and the amortized cost basis of the available-for-sale debt securities for the purposes of identifying and measuring an impairment. The Company writes off accrued interest as a reduction of interest income when an issuer has

defaulted on interest payments due on a security. Any impairment that has not been recorded through an allowance for credit losses is recognized in other comprehensive loss.

Fair Value of Financial Instruments

The Company establishes the fair value of its assets and liabilities using the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date and established a fair value hierarchy based on the inputs used to measure fair value.

The carrying value of cash and cash equivalents, accounts payable and accrued liabilities approximate fair value due to their relatively short maturities. The Company determines the fair value of financial and non-financial assets and liabilities using the fair value hierarchy which establishes three levels of inputs that may be used to measure fair value (see Note 4. Fair Value Measurements).

Deferred Offering Costs

The Company capitalizes, within other non-current assets, certain legal, accounting and other third-party fees that are directly related to the Company’s in-process equity financings, including its IPO and recent Private Placement, until such financings are consummated. After consummation of the equity financing, these costs are recorded as a reduction of the proceeds received as a result of the offering. Should a planned equity financing be abandoned, terminated or significantly delayed, the deferred offering costs will be immediately written off to general and administrative expenses. Upon closing the IPO, all deferred offering costs were charged against the proceeds from the IPO and recorded in shareholders equity (deficit) as a reduction of additional paid-in capital. As of September 30, 2023, the Company recorded $0.3 million of deferred offering costs related to the Private Placement on the condensed consolidated balance sheet under other non-current assets.

Net Loss Per Share Attributable to Ordinary Shareholders

Basic net loss per ordinary share is calculated by dividing the net loss attributable to ordinary shareholders by the weighted-average number of ordinary shares, including non-voting ordinary shares, outstanding during the period, without consideration of potentially dilutive securities. Net loss attributable to ordinary shareholders is computed as net loss less accretion of redeemable convertible preferred shares. Diluted net loss per share is computed by dividing the net loss attributable to ordinary shareholders by the weighted-average number of ordinary shares, including non-voting ordinary shares, and potentially dilutive securities outstanding for the period. For purposes of the diluted net loss per share calculation, the redeemable convertible preferred shares, ordinary share warrants, unvested restricted ordinary shares subject to repurchase and share options are considered to be potentially dilutive securities. Basic and diluted net loss per share attributable to ordinary shareholders is presented in conformity with the two-class method required for participating securities as the redeemable convertible preferred shares are considered a participating security because they participate in dividends with ordinary shares. The holders of redeemable convertible preferred shares do not have a contractual obligation to share in the Company’s losses. As such, the net loss was attributed entirely to ordinary shareholders, including non-voting ordinary shares. Because the Company has reported a net loss for all periods presented, diluted net loss per ordinary share is the same as basic net loss per ordinary share for those periods.

Recent Accounting Pronouncements

Recently Adopted Accounting Pronouncements

In June 2016, the Financial Accounting Standards Board (“FASB”) issued Account Standards Update (“ASU”) No. 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which requires the measurement and recognition of expected credit losses for financial assets held at amortized cost. This ASU replaces the existing incurred loss impairment model with an expected loss model. It also eliminates the concept of other-than-temporary impairment and requires credit losses related to available-for-sale debt securities to be recorded through an allowance for credit losses rather than as a reduction in the amortized cost basis of the securities. These changes will result in earlier recognition of credit losses. The amendments in this Update are effective for the Company for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. The Company adopted ASU 2016-13 as of January 1, 2023 and the adoption did not have a material impact on the Company’s unaudited interim condensed consolidated financial statements and related disclosures.

Commitments and Contingencies

9 Months Ended

Sep. 30, 2023

Commitments and Contingencies.

Commitments and Contingencies

5. Commitments and Contingencies

Operating Leases

The maturities of operating lease liabilities as of September 30, 2023, were as follows (in thousands):



	SEPTEMBER 30,
	2023
2023 (remaining three months)	$	93
2024		1,326
2025		1,341
2026		1,287
2027		359
Total undiscounted lease payments		4,406
Less: imputed interest		555
Total operating lease liability		3,851
Less: current portion		817
Operating lease liability, net of current portion	$	3,034

Operating lease cost was $0.6 million and $0.2 million for the three months ended September 30, 2023 and 2022, respectively, including $0.4 million and $0.2 million short-term lease costs for the three months ended September 30, 2023 and 2022, respectively. Operating lease cost was $1.2 million and $0.8 million for the nine months ended September 30, 2023 and 2022, respectively, including $0.8 million and $0.6 million

short-term lease costs for the nine months ended September 30, 2023 and 2022, respectively. As of September 30, 2023, the weighted average remaining lease term was 3.5 years, and the weighted average discount rate used to measure the lease liabilities for such operating leases upon recognition was 7.6%. During the nine months ended September 30, 2023 and 2022, cash paid for amounts included in operating lease liabilities of $0.2 million and $0.3 million, respectively, was included in cash flows from operating activities on the condensed consolidated statements of cash flows.

In June 2023, Shanghai ShouTi Biotechnology Co., Ltd. (“Shanghai ShouTi”), the Company’s wholly-owned subsidiary, entered into a lease agreement for approximately 22,500 square feet of office space in Shanghai, China, for its research and development operations office, which commenced in July 2023 and will expire on December 31, 2026. The annual base rent is approximately $0.7 million based on the exchange rate upon entering into this lease agreement, and Shanghai ShouTi is also responsible for the payment of additional costs and fees related to its use of the premises.

According to the lease agreement, the Company is obligated to restore the premises and all fixtures, fittings and equipment in the premises to its original condition. The Company’s asset retirement obligations are primarily associated with leasehold improvements which the Company is contractually obligated to remove at the end of a lease to comply with the lease agreement. The Company recognized an asset retirement obligation at the inception of a lease at its estimated fair value based on the expected timing of payment of the related costs. In the determination of fair value for an asset retirement obligation, the Company uses various assumptions and judgments, including such factors as the existence of a legal obligation, estimated amounts and timing of settlements, discount and inflation rates. The key estimates as of the inception date were the fair value of the asset retirement obligation of $0.4 million, timing of the settlement of 3.4 years and the discount rate of 6.8%. The associated estimated asset retirement costs are capitalized as part of the carrying amount of the leasehold improvements and depreciated over its useful life. As of September 30, 2023 and December 31, 2022, the Company had asset retirement obligations of $0.3 million and $0, respectively, which are recorded in other non-current liabilities on the condensed consolidated balance sheets.

In June 2023, Structure Therapeutics USA Inc. (“Structure USA”), the Company’s wholly-owned subsidiary, entered into a sublease agreement for approximately 11,800 square feet of office space located in South San Francisco, California for its corporate headquarters. The lease commenced in July 2023 and will expire on August 31, 2027. The annual base rent will initially be approximately $0.5 million and will increase annually by 3%, and Structure USA will also be responsible for the payment of additional costs and fees related to its use of the premises.

In June 2023, Shanghai ShouTi entered into another lease agreement for approximately 8,400 square feet of laboratory space located in Shanghai, China for its research and development activities. The commencement date is expected to be February 1, 2024 and will expire on January 31, 2027. The annual base rent will be approximately $0.3 million based on the exchange rate upon entering into this lease agreement, and Shanghai ShouTi is also responsible for the payment of additional costs and fees related to its use of the premises. As of September 30, 2023, Shanghai ShouTi has not taken possession of the premises.

Indemnification Agreements

In the ordinary course of business, the Company enters into agreements that may include indemnification provisions. Pursuant to such agreements, the Company may indemnify, hold harmless and defend an indemnified party for losses suffered or incurred by the indemnified party. Some of the provisions will limit losses to those arising from third-party actions. In some cases, the indemnification will continue after the termination of the agreement. The maximum potential number of future payments the Company could be required to make under these provisions is not determinable. The Company has never incurred material costs

to defend lawsuits or settle claims related to these indemnification provisions. The Company has also entered into indemnification agreements with its directors and officers that require the Company, among other things, to indemnify them against certain liabilities that may arise by reason of their status or service as directors or officers to the fullest extent permitted by the applicable law and the amended and restated memorandum and articles of association of the Company. The Company currently has directors’ and officers’ liability insurance. As of September 30, 2023 and December 31, 2022, the Company did not have any material indemnification claims that were probable or reasonably possible and consequently had not recorded related liabilities.

Legal Proceedings

The Company is subject to claims and assessments from time to time in the ordinary course of business but is not aware of any such matters, individually or in the aggregate, that will have a material adverse effect on the Company’s financial position, results of operations or cash flows.

Fair Value Measurements (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
Fair Value Measurements (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Fair Value Measurements
Transfers in and out of Level 3	$ 0	$ 0	$ 0	$ 0
Allowance for credit losses	0		0		$ 0
Impairment losses	$ 0	$ 0	$ 0	$ 0

Composition of Certain Consolidated Financial Statement Line Items (Tables)

9 Months Ended

Sep. 30, 2023

Composition of Certain Consolidated Financial Statement Line Items

Schedule of property and equipment

Property and equipment, net consists of the following (in thousands):



	SEPTEMBER 30,		DECEMBER 31,
	2023		2022
Laboratory equipment	$	1,267	$	1,098
Furniture and fixtures		115		115
Computer equipment and software		158		58
Leasehold improvements		1,440		109
	$	2,980	$	1,380
Less: Accumulated depreciation		(572)		(349)
Property and equipment, net	$	2,408	$	1,031

Schedule of accrued expenses and other current liabilities

Accrued expenses and other current liabilities consisted of the following (in thousands):



	SEPTEMBER 30,		DECEMBER 31,
	2023		2022
Accrued compensation	$	3,386	$	3,544
Accrued research and development expenses		2,564		1,818
Accrued clinical expenses		4,585		438
Accrued professional services		3,401		313
Income tax and VAT payable		580		174
Accrued other liabilities		1,439		454
Total accrued expenses and other current liabilities	$	15,955	$	6,741

Commitments and Contingencies - Maturities of operating lease liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Commitments and Contingencies.
2023 (remaining three months)	$ 93
2024	1,326
2025	1,341
2026	1,287
2027	359
Total undiscounted lease payments	4,406
Less: imputed interest	555
Total operating lease liability	3,851
Less: current portion	817	$ 260
Operating lease liability, net of current portion	$ 3,034

Composition of Certain Consolidated Financial Statement Line Items - Accrued expenses and other current liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Composition of Certain Consolidated Financial Statement Line Items
Accrued compensation	$ 3,386	$ 3,544
Accrued research and development expenses	2,564	1,818
Accrued clinical expenses	4,585	438
Accrued professional services	3,401	313
Income tax and VAT payable	580	174
Accrued other liabilities	1,439	454
Total accrued expenses and other current liabilities	$ 15,955	$ 6,741

Redeemable Convertible Preferred Shares - Schedule of redeemable convertible preferred shares (Details) - USD ($) $ / shares in Units, $ in Thousands	Sep. 30, 2023	Dec. 31, 2022	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Dec. 31, 2021
Temporary Equity [Line Items]
Shares Authorized		67,018,087
Shares Issued		67,018,087
Shares Outstanding		67,018,087
Carrying Value		$ 199,975
Liquidation Value		$ 198,016
Series A redeemable convertible preferred shares
Temporary Equity [Line Items]
Shares Authorized	0	19,200,000
Original Issue Price		$ 1.6667
Shares Issued	0	19,200,000
Shares Outstanding	0	19,200,000	19,200,000	19,200,000	19,200,000	19,200,000
Carrying Value		$ 32,001
Liquidation Value	$ 0	$ 32,001
Series A+ redeemable convertible preferred shares
Temporary Equity [Line Items]
Shares Authorized	0	12,799,681
Original Issue Price		$ 2.0313
Shares Issued	0	12,799,681
Shares Outstanding	0	12,799,681	12,800,000	12,800,000	12,800,000	12,800,000
Carrying Value		$ 26,000
Liquidation Value	$ 0	$ 26,000
Series B redeemable convertible preferred stock
Temporary Equity [Line Items]
Shares Authorized	0	32,857,004
Original Issue Price		$ 4.0483
Shares Issued	0	32,857,004
Shares Outstanding	0	32,857,004	32,857,000	32,857,000	24,702,000	24,702,000
Carrying Value		$ 133,015
Liquidation Value	$ 0	$ 133,015
Series B1 redeemable convertible preferred stock
Temporary Equity [Line Items]
Shares Authorized	0	2,161,402
Original Issue Price		$ 3.2386
Shares Issued	0	2,161,402
Shares Outstanding	0	2,161,402	2,161,000	2,161,000	2,161,000	2,161,000
Carrying Value		$ 8,959
Liquidation Value	$ 0	$ 7,000

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Temporary equity, shares authorized		67,018,087
Temporary equity, shares issued		67,018,087
Temporary equity, shares outstanding		67,018,087
Temporary equity, liquidation preference		$ 198,016
Undesignated shares, par value	$ 0.0001	$ 0.0001
Undesignated shares, shares authorized	100,000,000	0
Series A redeemable convertible preferred shares
Temporary equity, par value	$ 0.0001	$ 0.0001
Temporary equity, shares authorized	0	19,200,000
Temporary equity, shares issued	0	19,200,000
Temporary equity, shares outstanding	0	19,200,000
Temporary equity, liquidation preference	$ 0	$ 32,001
Series A+ redeemable convertible preferred shares
Temporary equity, par value	$ 0.0001	$ 0.0001
Temporary equity, shares authorized	0	12,799,681
Temporary equity, shares issued	0	12,799,681
Temporary equity, shares outstanding	0	12,799,681
Temporary equity, liquidation preference	$ 0	$ 26,000
Series B redeemable convertible preferred stock
Temporary equity, par value	$ 0.0001	$ 0.0001
Temporary equity, shares authorized	0	32,857,004
Temporary equity, shares issued	0	32,857,004
Temporary equity, shares outstanding	0	32,857,004
Temporary equity, liquidation preference	$ 0	$ 133,015
Series B1 redeemable convertible preferred stock
Temporary equity, par value	$ 0.0001	$ 0.0001
Temporary equity, shares authorized	0	2,161,402
Temporary equity, shares issued	0	2,161,402
Temporary equity, shares outstanding	0	2,161,402
Temporary equity, liquidation preference	$ 0	$ 7,000
Non-voting ordinary shares
Ordinary shares, par value	$ 0.0001	$ 0.0001
Ordinary shares, shares issued	7,411,000	0
Ordinary shares, shares outstanding	7,411,000	0
Ordinary shares
Ordinary shares, par value	$ 0.0001	$ 0.0001
Ordinary shares, shares authorized	500,000,000	432,982,000
Ordinary shares, shares issued	107,723,000	10,527,000
Ordinary shares, shares outstanding	107,723,000	10,527,000

Summary of Significant Accounting Policies (Details) $ in Millions	Sep. 30, 2023 USD ($)
Summary of Significant Accounting Policies
Deferred offering costs	$ 0.3

Shareholders' Equity - Summary of share option activity (Details) $ / shares in Units, shares in Thousands, $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2023 USD ($) $ / shares shares	Dec. 31, 2022 USD ($) $ / shares shares
NUMBER OF SHARES AVAILABLE FOR GRANT
Beginning balance (in shares)	977
Additional shares authorized	12,000
Granted	(5,102)
Forfeited	390
Ending balance (in shares)	8,265	977
NUMBER OF SHARES UNDERLYING OUTSTANDING OPTIONS
Beginning balance (in shares)	7,612
Granted	5,102
Exercised	(430)
Forfeited	(390)
Ending balance (in shares)	11,894	7,612
Exercisable	4,160
Vested and expected to vest	11,894
WEIGHTED-AVERAGE EXERCISE PRICE
Beginning balance (in dollars per share) \| $ / shares	$ 1.62
Exercise price per share \| $ / shares	6.11
Exercised (in dollars per share) \| $ / shares	1.60
Forfeited (in dollars per share) \| $ / shares	4.39
Ending balance (in dollars per share) \| $ / shares	3.45	$ 1.62
Exercisable (in dollars per share) \| $ / shares	1.35
Vested and expected to vest (in dollars per share) \| $ / shares	$ 3.45
WEIGHTED- AVERAGE REMAINING CONTRACTUAL TERM and AGGREGATE INTRINSIC VALUE
Outstanding	8 years 5 months 19 days	8 years 6 months 25 days
Exercisable	7 years 6 months 18 days
Vested and expected to vest	8 years 5 months 19 days
Outstanding \| $	$ 158,863	$ 13,283
Exercisable \| $	64,290
Vested and expected to vest \| $	$ 158,863

Redeemable Convertible Preferred Shares (Tables)

9 Months Ended

Sep. 30, 2023

Redeemable Convertible Preferred Shares

Schedule of redeemable convertible preferred shares

As of December 31, 2022, redeemable convertible preferred shares consisted of the following (in thousands, except share and per share amounts):



	DECEMBER 31, 2022
				SHARES ISSUED
	SHARES	ORIGINAL		AND	CARRYING		LIQUIDATION
SERIES	AUTHORIZED	ISSUE PRICE		OUTSTANDING	VALUE		VALUE
A	19,200,000	$	1.6667	19,200,000	$	32,001	$	32,001
A+	12,799,681		2.0313	12,799,681		26,000		26,000
B	32,857,004		4.0483	32,857,004		133,015		133,015
B-1	2,161,402		3.2386	2,161,402		8,959		7,000
	67,018,087			67,018,087	$	199,975	$	198,016

Composition of Certain Consolidated Financial Statement Line Items - Property and equipment (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Summary of Significant Accounting Policies
Property and equipment, gross	$ 2,980	$ 1,380
Less: Accumulated depreciation	(572)	(349)
Property and equipment, net	2,408	1,031
Laboratory equipment
Summary of Significant Accounting Policies
Property and equipment, gross	1,267	1,098
Furniture and fixtures
Summary of Significant Accounting Policies
Property and equipment, gross	115	115
Computer equipment and software
Summary of Significant Accounting Policies
Property and equipment, gross	158	58
Leasehold improvements
Summary of Significant Accounting Policies
Property and equipment, gross	$ 1,440	$ 109

Net Loss Per Share

9 Months Ended

Sep. 30, 2023

Net Loss Per Share

Net Loss Per Share

8. Net Loss Per Share

The following table sets forth the computation of basic and diluted net loss per share attributable to ordinary shareholders, which excludes unvested restricted shares and shares which are legally outstanding, but subject to repurchase by the Company (in thousands, except per share amounts):



	THREE MONTHS ENDED				NINE MONTHS ENDED
	SEPTEMBER 30,				SEPTEMBER 30,
	2023		2022		2023		2022
Numerator:
Net loss attributable to ordinary shareholders	$	(23,862)	$	(12,417)	$	(65,117)	$	(39,446)
Accretion of redeemable convertible preferred shares to their redemption value		—		—		—		(1,515)
Net loss attributable to ordinary shareholders	$	(23,862)	$	(12,417)	$	(65,117)	$	(40,961)
Denominator:
Weighted-average ordinary shares outstanding		114,948		10,510		100,700		10,918
Less: weighted-average unvested restricted ordinary shares subject to repurchase		—		(730)		(87)		(1,490)
Weighted-average ordinary shares used in computing net loss per share attributable to ordinary shareholders, basic and diluted		114,948		9,780		100,613		9,428
Net loss per share attributable to ordinary shareholders, basic and diluted	$	(0.21)	$	(1.27)	$	(0.65)	$	(4.34)

The following outstanding shares of potentially dilutive securities were excluded from the computation of diluted net loss per share attributable to ordinary shareholders for the periods presented because including them would have been antidilutive (in thousands):



	AS OF
	SEPTEMBER 30,
	2023	2022
Options to purchase ordinary shares	11,894	7,329
Redeemable convertible preferred shares	—	67,018
Ordinary share warrants	—	112
Unvested restricted ordinary share awards	—	573
Total	11,894	75,032

Commitments and Contingencies (Tables)

9 Months Ended

Sep. 30, 2023

Commitments and Contingencies.

Schedule of maturities of operating lease liabilities

The maturities of operating lease liabilities as of September 30, 2023, were as follows (in thousands):



	SEPTEMBER 30,
	2023
2023 (remaining three months)	$	93
2024		1,326
2025		1,341
2026		1,287
2027		359
Total undiscounted lease payments		4,406
Less: imputed interest		555
Total operating lease liability		3,851
Less: current portion		817
Operating lease liability, net of current portion	$	3,034

Composition of Certain Consolidated Financial Statement Line Items

9 Months Ended

Sep. 30, 2023

Composition of Certain Consolidated Financial Statement Line Items

Composition of Certain Consolidated Financial Statement Line Items

3. Composition of Certain Consolidated Financial Statement Line Items

Property and equipment, net consists of the following (in thousands):



	SEPTEMBER 30,		DECEMBER 31,
	2023		2022
Laboratory equipment	$	1,267	$	1,098
Furniture and fixtures		115		115
Computer equipment and software		158		58
Leasehold improvements		1,440		109
	$	2,980	$	1,380
Less: Accumulated depreciation		(572)		(349)
Property and equipment, net	$	2,408	$	1,031

As of September 30, 2023 and December 31, 2022, non-current assets consisted primarily of deferred offering costs.

Accrued expenses and other current liabilities consisted of the following (in thousands):



	SEPTEMBER 30,		DECEMBER 31,
	2023		2022
Accrued compensation	$	3,386	$	3,544
Accrued research and development expenses		2,564		1,818
Accrued clinical expenses		4,585		438
Accrued professional services		3,401		313
Income tax and VAT payable		580		174
Accrued other liabilities		1,439		454
Total accrued expenses and other current liabilities	$	15,955	$	6,741

Shareholders' Equity (Details)		1 Months Ended			3 Months Ended		9 Months Ended		12 Months Ended
Shareholders' Equity (Details)	Sep. 29, 2023 $ / shares shares	Sep. 30, 2023 USD ($) $ / shares shares	May 31, 2023 $ / shares shares	Feb. 28, 2023 shares	Sep. 30, 2023 USD ($) $ / shares shares	Sep. 30, 2022 USD ($)	Sep. 30, 2023 USD ($) $ / shares shares	Sep. 30, 2022 USD ($)	Dec. 31, 2022 USD ($) $ / shares shares
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Share-based compensation expense \| $					$ 1,858,000	$ 628,000	$ 6,093,000	$ 1,891,000
Number of securities called by each warrant or right			1
Undesignated shares, shares authorized		100,000,000			100,000,000		100,000,000		0
Beneficial ownership limitation period			61 days
Undesignated shares, par value \| $ / shares		$ 0.0001			$ 0.0001		$ 0.0001		$ 0.0001
Dividends on ordinary shares \| $							$ 0		$ 0
Total fair value of options vested \| $					$ 1,700,000	400,000	3,500,000	1,100,000
Total unrecognized compensation expense related to unvested shares options \| $		$ 28,300,000			$ 28,300,000		$ 28,300,000
Remaining weighted-average vesting period							3 years 2 months 12 days
Investors
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Ordinary shares, par value \| $ / shares			$ 0.0001
Equity Ownership, Excluding Consolidated Entity and Equity Method Investee, Percentage.			5.00%
Number Of Ordinary Shares Exchanged			7,410,518
Exchange of ordinary shares to non-voting ordinary shares (in shares)			7,410,518
Exchange ratio			1
Undesignated shares
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Shares issued							90,187,562
Ordinary shares
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Ordinary shares, shares authorized		500,000,000			500,000,000		500,000,000		432,982,000
Ordinary shares, par value \| $ / shares		$ 0.0001			$ 0.0001		$ 0.0001		$ 0.0001
Beneficial ownership limitation percentage			9.99%
Non-voting ordinary shares
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Ordinary shares, par value \| $ / shares		$ 0.0001			0.0001		$ 0.0001		$ 0.0001
Shares issued		2,401,920	7,410,518				9,812,438
Beneficial ownership limitation percentage			19.99%
Non-voting ordinary shares \| Investors
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Public offering price per ADS \| $ / shares	$ 12.49
Number of shares agreed to issue under share purchase agreement	2,401,920
American Depositary Shares (ADSs) \| Investors
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Public offering price per ADS \| $ / shares	$ 37.47
SVB Agreement
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Exercise price \| $ / shares		$ 0.48			$ 0.48		$ 0.48
Number of shares		112,279			112,279		112,279
Cashless Exercise of Warrants				106,060
SVB Agreement \| Tranche A
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of shares		44,567			44,567		44,567
SVB Agreement \| Tranche B
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of shares		22,283			22,283		22,283
Restricted Stock
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Fair value of restricted shares vested \| $					$ 0	$ 100,000	$ 100,000	$ 300,000
Stock Options \| Employee \| CHINA
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Share-based compensation expense \| $					$ 200,000		1,900,000
2023 Equity Incentive Plan \| Performance Options
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Share-based compensation expense \| $							$ 0
Number of shares reserved for issuance				1,200,000
Vesting period				4 years

Document and Entity Information - shares	9 Months Ended
Document and Entity Information - shares	Sep. 30, 2023	Oct. 31, 2023
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2023
Document Transition Report	false
Entity File Number	001-41608
Entity Registrant Name	Structure Therapeutics Inc.
Entity Incorporation, State or Country Code	E9
Entity Tax Identification Number	98-1480821
Entity Address, Address Line One	601 Gateway Blvd.
Entity Address, Adress Line Two	Suite 900
Entity Address, City or Town	South San Francisco
Entity Address State Or Province	CA
Entity Address, Postal Zip Code	94080
City Area Code	628
Local Phone Number	229-9277
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		139,159,315
Entity Central Index Key	0001888886
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q3
Amendment Flag	false
American Depositary Shares (ADSs)
Document Information [Line Items]
Title of 12(b) Security	American Depositary Shares (ADSs), each representing three ordinary shares, par value $0.0001 per ordinary share
Trading Symbol	GPCR
Security Exchange Name	NASDAQ
Common shares
Document Information [Line Items]
Title of 12(b) Security	Ordinary shares, par value $0.0001 per share
No Trading Symbol Flag	true
Security Exchange Name	NASDAQ

Fair Value Measurements - Financial assets measured at fair value (Details) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2023	Dec. 31, 2022
Fair Value Measurements
Amortized Cost	$ 199,127	$ 83,854
Gross Unrealized Losses	(314)	(113)
Gross Unrealized Gains	4	3
Total fair value of financial assets	198,817	83,744
Money market funds
Fair Value Measurements
Amortized Cost	44,029	18,994
Total fair value of financial assets	44,029	18,994
Cash equivalents
Fair Value Measurements
Amortized Cost	44,029	18,994
Total fair value of financial assets	44,029	18,994
U.S. government bonds
Fair Value Measurements
Amortized Cost	36,257	11,820
Gross Unrealized Losses	(138)	(57)
Total fair value of financial assets	36,119	11,763
U.S. government agency bonds
Fair Value Measurements
Amortized Cost	30,114	1,801
Gross Unrealized Losses	(59)	(7)
Gross Unrealized Gains	2
Total fair value of financial assets	30,057	1,794
Corporate debt securities
Fair Value Measurements
Amortized Cost	88,727	51,239
Gross Unrealized Losses	(117)	(49)
Gross Unrealized Gains	2	3
Total fair value of financial assets	88,612	51,193
Short-term investments
Fair Value Measurements
Amortized Cost	155,098	64,860
Gross Unrealized Losses	(314)	(113)
Gross Unrealized Gains	4	3
Total fair value of financial assets	$ 154,788	$ 64,750

Net Loss Per Share - Computation of Basic and Diluted Net Loss Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2023	Sep. 30, 2022
Numerator:
Net loss attributable to ordinary shareholders	$ (23,862)	$ (23,280)	$ (17,975)	$ (12,417)	$ (13,948)	$ (13,081)	$ (65,117)	$ (39,446)
Less: Accretion of redeemable convertible preferred shares to their redemption value								(1,515)
Net loss attributable to ordinary shareholders	$ (23,862)			$ (12,417)			$ (65,117)	$ (40,961)
Denominator:
Weighted-average ordinary shares outstanding	114,948			10,510			100,700	10,918
Less: weighted-average unvested restricted ordinary shares subject to repurchase				(730)			(87)	(1,490)
Weighted-average ordinary shares used in computing net loss per share attributable to ordinary shareholders, basic	114,948			9,780			100,613	9,428
Weighted-average ordinary shares used in computing net loss per share attributable to ordinary shareholders, diluted	114,948			9,780			100,613	9,428
Net loss per share attributable to ordinary shareholders, basic	$ (0.21)			$ (1.27)			$ (0.65)	$ (4.34)
Net loss per share attributable to ordinary shareholders, diluted	$ (0.21)			$ (1.27)			$ (0.65)	$ (4.34)

Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2023

Fair Value Measurements

Schedule of financial assets measured at fair value on a recurring basis



	SEPTEMBER 30,								DECEMBER 31,
	2023								2022
	LEVEL 1		LEVEL 2		LEVEL 3		TOTAL		LEVEL 1		LEVEL 2		LEVEL 3		TOTAL
Money market funds	$	44,029	$	—	$	—	$	44,029	$	18,994	$	—	$	—	$	18,994
Cash equivalents		44,029		—		—		44,029		18,994		—		—		18,994

U.S. government bonds		36,119		—		—		36,119		11,763		—		—		11,763
U.S. government agency bonds		—		30,057		—		30,057		—		1,794		—		1,794
Corporate debt securities		—		88,612		—		88,612		—		51,193		—		51,193
Short-term investments		36,119		118,669		—		154,788		11,763		52,987		—		64,750
Total fair value of financial assets	$	80,148	$	118,669	$	—	$	198,817	$	30,757	$	52,987	$	—	$	83,744



	SEPTEMBER 30,								DECEMBER 31,
	2023								2022
		AMORTIZED	GROSS UNREALIZED				FAIR			AMORTIZED	GROSS UNREALIZED				FAIR
	COST		LOSSES		GAINS		VALUE		COST		LOSSES		GAINS		VALUE
Money market funds	$	44,029	$	—	$	—	$	44,029	$	18,994	$	—	$	—	$	18,994
Cash equivalents		44,029		—		—		44,029		18,994		—		—		18,994

U.S. government bonds		36,257		(138)		—		36,119		11,820		(57)		—		11,763
U.S. government agency bonds		30,114		(59)		2		30,057		1,801		(7)		—		1,794
Corporate debt securities		88,727		(117)		2		88,612		51,239		(49)		3		51,193
Short-term investments		155,098		(314)		4		154,788		64,860		(113)		3		64,750
Total fair value of financial assets	$	199,127	$	(314)	$	4	$	198,817	$	83,854	$	(113)	$	3	$	83,744

Net Loss Per Share (Tables)

9 Months Ended

Sep. 30, 2023

Net Loss Per Share

Summary of computation of basic and diluted net loss per share attributable to ordinary shareholders



	THREE MONTHS ENDED				NINE MONTHS ENDED
	SEPTEMBER 30,				SEPTEMBER 30,
	2023		2022		2023		2022
Numerator:
Net loss attributable to ordinary shareholders	$	(23,862)	$	(12,417)	$	(65,117)	$	(39,446)
Accretion of redeemable convertible preferred shares to their redemption value		—		—		—		(1,515)
Net loss attributable to ordinary shareholders	$	(23,862)	$	(12,417)	$	(65,117)	$	(40,961)
Denominator:
Weighted-average ordinary shares outstanding		114,948		10,510		100,700		10,918
Less: weighted-average unvested restricted ordinary shares subject to repurchase		—		(730)		(87)		(1,490)
Weighted-average ordinary shares used in computing net loss per share attributable to ordinary shareholders, basic and diluted		114,948		9,780		100,613		9,428
Net loss per share attributable to ordinary shareholders, basic and diluted	$	(0.21)	$	(1.27)	$	(0.65)	$	(4.34)

Summary of outstanding shares of potentially dilutive securities were excluded from the computation of diluted net loss per share



	AS OF
	SEPTEMBER 30,
	2023	2022
Options to purchase ordinary shares	11,894	7,329
Redeemable convertible preferred shares	—	67,018
Ordinary share warrants	—	112
Unvested restricted ordinary share awards	—	573
Total	11,894	75,032

Related Party Transactions (Details) - USD ($) $ / shares in Units, $ in Thousands		1 Months Ended		3 Months Ended		9 Months Ended
	Sep. 29, 2023	Nov. 30, 2023	Oct. 31, 2020	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022
Related Party Transaction [Line Items]
Other Liability, Related Party, Type [Extensible Enumeration]				us-gaap:RelatedPartyMember		us-gaap:RelatedPartyMember		us-gaap:RelatedPartyMember
Other Liability, Related Party, Name [Extensible Enumeration]				Schrodinger, Inc.		Schrodinger, Inc.		Schrodinger, Inc.
Investors
Related Party Transaction [Line Items]
Percentage of issued share capital	5.00%
Non-voting ordinary shares \| Investors
Related Party Transaction [Line Items]
Number of shares agreed to issue under share purchase agreement	2,401,920
Public offering price per ADS	$ 12.49
Gross proceeds	$ 30,000
American Depositary Shares (ADSs) \| Investors
Related Party Transaction [Line Items]
Public offering price per ADS	$ 37.47
Software platform use for research purposes \| Schrodinger, Inc.
Related Party Transaction [Line Items]
Payments made				$ 0		$ 0	$ 200
Accounts payable				0		0		$ 0
Software platform use for research purposes \| Lhotse Collaboration Agreement \| Schrodinger, Inc.
Related Party Transaction [Line Items]
Aggregate payment made				800		800
Collaboration agreement term			10 years
Collaboration agreement extension term			3 years
Payments payable				0		0
Software platform use for research purposes \| Aconcagua Collaboration Agreement \| Schrodinger, Inc.
Related Party Transaction [Line Items]
Payments payable				$ 0		$ 0
Software platform use for research purposes \| Aconcagua Collaboration Agreement \| Schrodinger, Inc. \| Subsequent Event
Related Party Transaction [Line Items]
Collaboration agreement term		10 years
Collaboration agreement extension term		3 years
Payments payable		$ 89,000
Software platform use for research purposes \| Maximum \| Schrodinger, Inc.
Related Party Transaction [Line Items]
Payments made					$ 100
Software platform use for research purposes \| Maximum \| Lhotse Collaboration Agreement \| Schrodinger, Inc.
Related Party Transaction [Line Items]
Aggregate payment			$ 17,000

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Operating expenses:
Research and development	$ 17,515	$ 9,160	$ 50,061	$ 27,833
General and administrative	8,630	3,533	21,720	11,772
Total operating expenses	26,145	12,693	71,781	39,605
Loss from operations	(26,145)	(12,693)	(71,781)	(39,605)
Interest and other income (expense), net	2,688	349	7,212	356
Loss before provision for income taxes	(23,457)	(12,344)	(64,569)	(39,249)
Provision for income taxes	405	73	548	197
Net loss	(23,862)	(12,417)	(65,117)	(39,446)
Less: Accretion of redeemable convertible preferred shares to their redemption value				(1,515)
Net loss attributable to ordinary shareholders	$ (23,862)	$ (12,417)	$ (65,117)	$ (40,961)
Net loss per share attributable to ordinary shareholders, basic	$ (0.21)	$ (1.27)	$ (0.65)	$ (4.34)
Net loss per share attributable to ordinary shareholders, diluted	$ (0.21)	$ (1.27)	$ (0.65)	$ (4.34)
Weighted-average ordinary shares used in computing net loss per share attributable to ordinary shareholders, basic	114,948	9,780	100,613	9,428
Weighted-average ordinary shares used in computing net loss per share attributable to ordinary shareholders, diluted	114,948	9,780	100,613	9,428
Other comprehensive loss:
Unrealized gain (loss) on investments, net	$ 80	$ (50)	$ (200)	$ (135)
Total other comprehensive loss	80	(50)	(200)	(135)
Comprehensive loss	$ (23,782)	$ (12,467)	$ (65,317)	$ (39,581)