0001396814-23-000010 | 10-K | XBRL Viewer

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Cover - USD ($) $ in Billions	12 Months Ended
Cover - USD ($) $ in Billions	Dec. 31, 2022	Feb. 24, 2023	Jun. 30, 2022
Cover [Abstract]
Document Type	10-K
Document Annual Report	true
Document Period End Date	Dec. 31, 2022
Current Fiscal Year End Date	--12-31
Document Transition Report	false
Entity File Number	001-35060
Entity Registrant Name	PACIRA BIOSCIENCES, INC.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	51-0619477
Entity Address, Address Line One	5401 West Kennedy Boulevard, Suite 890
Entity Address, City or Town	Tampa,
Entity Address, State or Province	FL
Entity Address, Postal Zip Code	33609
City Area Code	(813)
Local Phone Number	553-6680
Title of 12(b) Security	Common Stock, par value $0.001 per share
Trading Symbol	PCRX
Security Exchange Name	NASDAQ
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
ICFR Auditor Attestation Flag	true
Entity Shell Company	false
Entity Public Float			$ 1.9
Entity Common Stock, Shares Outstanding		45,952,450
Documents Incorporated by Reference	DOCUMENTS INCORPORATED BY REFERENCE Part III of this Annual Report on Form 10-K incorporates certain information by reference from the registrant’s proxy statement for the 2023 annual meeting of stockholders to be filed with the Securities and Exchange Commission no later than 120 days after the end of the registrant’s fiscal year ended December 31, 2022.
Entity Central Index Key	0001396814
Amendment Flag	false
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	FY

Audit Information	12 Months Ended
Audit Information	Dec. 31, 2022
Audit Information [Abstract]
Auditor Name	KPMG LLP
Auditor Location	Short Hills, NJ
Auditor Firm ID	185

Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 104,139	$ 585,578
Short-term available-for-sale investments	184,512	70,831
Accounts receivable, net	98,397	96,318
Inventories, net	96,063	98,550
Prepaid expenses and other current assets	15,223	14,771
Total current assets	498,334	866,048
Noncurrent available-for-sale investments	37,209	0
Fixed assets, net	183,512	188,401
Right-of-use assets, net	70,877	76,410
Goodwill	163,243	145,175
Intangible assets, net	540,546	623,968
Deferred tax assets	160,309	153,364
Investments and other assets	27,170	21,987
Total assets	1,681,200	2,075,353
Current liabilities:
Accounts payable	15,220	10,543
Accrued expenses	89,785	127,555
Lease liabilities	9,121	7,891
Convertible senior notes, net	0	350,466
Current portion of long-term debt, net	33,648	24,234
Income taxes payable	0	429
Total current liabilities	147,774	521,118
Convertible senior notes, net	404,767	339,267
Long-term debt, net	251,056	335,263
Lease liabilities	64,802	71,727
Contingent consideration	28,122	57,598
Other liabilities	9,669	19,972
Total liabilities	906,190	1,344,945
Commitments and contingencies (Note 20)
Stockholders’ equity:
Preferred stock, par value $0.001; 5,000,000 shares authorized; none issued and outstanding at December 31, 2022 and 2021	0	0
Common stock, par value $0.001; 250,000,000 shares authorized; 45,927,790 and 44,734,308 shares issued and outstanding at December 31, 2022 and 2021, respectively	46	45
Additional paid-in capital	924,095	942,091
Accumulated deficit	(148,751)	(211,895)
Accumulated other comprehensive (loss) income	(380)	167
Total stockholders’ equity	775,010	730,408
Total liabilities and stockholders’ equity	$ 1,681,200	$ 2,075,353

Consolidated Balance Sheets (Parenthetical) - $ / shares	Dec. 31, 2022	Dec. 31, 2021
Statement of Financial Position [Abstract]
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized (in shares)	5,000,000	5,000,000
Preferred stock, shares issued (in shares)	0	0
Preferred stock, shares outstanding (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized (in shares)	250,000,000	250,000,000
Common stock, shares issued (in shares)	45,927,790	44,734,308
Common stock, shares outstanding (in shares)	45,927,790	44,734,308

Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Revenues:
Total revenues	$ 666,823	$ 541,533	$ 429,647
Operating expenses:
Cost of goods sold	199,295	140,255	117,328
Research and development	84,797	55,545	59,421
Selling, general and administrative	254,516	199,345	193,516
Amortization of acquired intangible assets	57,288	13,553	7,866
Acquisition-related charges (gains), impairment and other	10,903	42,911	5,166
Total operating expenses	606,799	451,609	383,297
Income from operations	60,024	89,924	46,350
Other (expense) income:
Interest income	4,542	896	4,629
Interest expense	(39,976)	(31,750)	(25,671)
Loss on early extinguishment of debt	0	0	(8,071)
Other, net	(11,288)	(2,666)	2,852
Total other expense, net	(46,722)	(33,520)	(26,261)
Income before income taxes	13,302	56,404	20,089
Income tax benefit (expense)	2,607	(14,424)	125,434
Net income	$ 15,909	$ 41,980	$ 145,523
Net income per share:
Basic net income per common share (in dollars per share)	$ 0.35	$ 0.95	$ 3.41
Diluted net income per common share (in dollars per share)	$ 0.34	$ 0.92	$ 3.33
Weighted average common shares outstanding:
Basic (in shares)	45,521	44,262	42,671
Diluted (in shares)	46,538	45,630	43,682
Net product sales
Revenues:
Total revenues	$ 664,150	$ 538,966	$ 426,614
Royalty revenue
Revenues:
Total revenues	2,673	2,442	3,033
Collaborative licensing and milestone revenue
Revenues:
Total revenues	$ 0	$ 125	$ 0

Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Statement of Comprehensive Income [Abstract]
Net income	$ 15,909	$ 41,980	$ 145,523
Other comprehensive (loss) income:
Net unrealized loss on investments, net of tax	(662)	(180)	(3)
Foreign currency translation adjustments	115	29	(1)
Total other comprehensive loss	(547)	(151)	(4)
Comprehensive income	$ 15,362	$ 41,829	$ 145,519

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

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+ Details

Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands	Total	Cumulative Effect, Period of Adoption, Adjustment	Convertible Senior Notes Due 2022	Convertible Senior Notes 2025	Common Stock	Additional Paid-In Capital	Additional Paid-In Capital Cumulative Effect, Period of Adoption, Adjustment	Additional Paid-In Capital Convertible Senior Notes Due 2022	Additional Paid-In Capital Convertible Senior Notes 2025	Accumulated Deficit	Accumulated Deficit Cumulative Effect, Period of Adoption, Adjustment	Accumulated Other Comprehensive (Loss) Income
Beginning balance (in shares) at Dec. 31, 2019					41,908,000
Beginning balance at Dec. 31, 2019	$ 354,944				$ 42	$ 753,978				$ (399,398)		$ 322
Increase (Decrease) in Stockholders' Equity
Exercise of stock options (in shares)	1,428,111				1,428,000
Exercise of stock options	$ 45,229				$ 2	45,227
Vested restricted stock units (in shares)					239,000
Common stock issued under employee stock (in shares)					62,000
Common stock issued under employee stock purchase plan	2,546					2,546
Stock-based compensation	39,920					39,920
Issuance of common stock upon conversion			$ (33,089)	$ 64,619				$ (33,089)	$ 64,619
Other comprehensive loss (Note 13)	(4)											(4)
Net income	145,523									145,523
Ending balance (in shares) at Dec. 31, 2020					43,637,000
Ending balance at Dec. 31, 2020	$ 619,688				$ 44	873,201				(253,875)		318
Increase (Decrease) in Stockholders' Equity
Exercise of stock options (in shares)	732,117				732,000
Exercise of stock options	$ 23,834				$ 1	23,833
Vested restricted stock units (in shares)					310,000
Common stock issued under employee stock (in shares)					55,000
Common stock issued under employee stock purchase plan	2,811					2,811
Stock-based compensation	42,246					42,246
Other comprehensive loss (Note 13)	(151)											(151)
Net income	41,980									41,980
Ending balance (in shares) at Dec. 31, 2021					44,734,000
Ending balance at Dec. 31, 2021	$ 730,408	$ (49,233)			$ 45	942,091	$ (96,468)			(211,895)	$ 47,235	167
Increase (Decrease) in Stockholders' Equity
Reclassification of the equity component of convertible senior notes to liabilities upon adoption of Accounting Standards Update 2020-06 (Note 3)	Accounting Standards Update 2020-06
Exercise of stock options (in shares)	689,464				690,000
Exercise of stock options	$ 24,387				$ 1	24,386
Vested restricted stock units (in shares)					331,000
Common stock issued under employee stock (in shares)					71,000
Common stock issued under employee stock purchase plan	2,954					2,954
Stock-based compensation	48,092					48,092
Issuance of common stock upon conversion (in shares)					102,000
Issuance of common stock upon conversion			$ 3,040					$ 3,040
Other comprehensive loss (Note 13)	(547)											(547)
Net income	15,909									15,909
Ending balance (in shares) at Dec. 31, 2022					45,928,000
Ending balance at Dec. 31, 2022	$ 775,010				$ 46	$ 924,095				$ (148,751)		$ (380)

Consolidated Statements of Stockholders' Equity (Parenthetical) $ in Thousands	12 Months Ended
	Dec. 31, 2020 USD ($)
Statement of Stockholders' Equity [Abstract]
Deferred tax associated with equity component of convertible debt	$ 20,450

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Operating activities:
Net income	$ 15,909	$ 41,980	$ 145,523
Adjustments to reconcile net income to net cash provided by operating activities:
Deferred taxes	(7,945)	10,872	(126,613)
Depreciation of fixed assets and amortization of intangible assets	91,501	28,548	19,908
Amortization of debt issuance costs	4,400	2,754	2,156
Amortization of debt discount	2,807	23,152	18,254
Loss (gain) on disposal of fixed assets	193	(10)	22
Loss on early extinguishment of debt	0	0	8,071
Stock-based compensation	48,092	42,246	39,920
Changes in contingent consideration	(29,476)	(989)	5,204
Impairment of indefinite-lived intangible asset	26,134	0	0
Impairment of investment	10,000	0	0
Loss (gain) on investment and other non-operating income, net	92	2,673	(1,618)
Changes in operating assets and liabilities:
Accounts receivable, net	(2,079)	(10,434)	(5,516)
Inventories, net	2,486	(4,467)	(6,353)
Prepaid expenses and other assets	(2,699)	1,142	(739)
Accounts payable	6,272	(10,262)	(3,312)
Accrued expenses and income taxes payable	(19,857)	5,451	(5,999)
Other liabilities	(556)	(104)	(2,467)
Payment of contingent consideration	0	(6,835)	(9,409)
Net cash provided by operating activities	145,274	125,717	77,032
Investing activities:
Acquisition of Flexion Therapeutics, Inc. (net of cash acquired)	0	(420,042)	0
Purchases of fixed assets	(30,076)	(45,866)	(37,801)
Purchases of available-for-sale investments	(387,685)	(611,488)	(546,516)
Sales of available-for-sale investments	237,576	1,068,736	307,870
Payment of contingent consideration	(32,000)	(4,000)	0
Sale of equity investment	0	9,057	0
Purchases of equity and debt investments	(13,000)	(17,187)	(1,160)
Net cash used in investing activities	(225,185)	(20,790)	(277,607)
Financing activities:
Proceeds from exercises of stock options	24,387	23,844	45,218
Proceeds from common stock issued under employee stock purchase plan	2,954	2,811	2,546
Proceeds from Term loan B facility maturing December 2026	0	363,750	0
Repayment of Term loan B facility maturing December 2026	(78,125)	0	0
Payment of debt issuance and financing costs	(1,175)	(4,546)	(12,487)
Payment of contingent consideration	0	(5,165)	(5,591)
Net cash (used) provided by financing activities	(401,528)	380,694	222,304
Net (decrease) increase in cash and cash equivalents	(481,439)	485,621	21,729
Cash and cash equivalents, beginning of year	585,578	99,957	78,228
Cash and cash equivalents, end of year	104,139	585,578	99,957
Supplemental cash flow information:
Cash paid for interest	33,295	6,996	7,205
Cash paid for income taxes, net of refunds	7,398	3,221	2,417
Non-cash investing and financing activities:
Issuance of common stock from conversion of 2022 convertible senior notes	3,040	0	0
Fixed assets included in accounts payable and accrued liabilities	5,888	6,828	9,288
Net additions to contingent consideration liabilities	0	45,241	0
Convertible Senior Notes Due 2025
Financing activities:
Proceeds from debt component of the 2025 convertible senior notes	0	0	314,708
Proceeds from equity component of the 2025 convertible senior notes	0	0	87,792
Convertible Senior Notes Due 2022
Financing activities:
Repayments of convertible senior notes	(156,960)	0	(176,793)
Retirement of equity component of the 2022 convertible senior notes	0	0	(33,089)
Convertible Senior Notes Due 2024
Financing activities:
Repayments of convertible senior notes	$ (192,609)	$ 0	$ 0

DESCRIPTION OF BUSINESS	12 Months Ended
DESCRIPTION OF BUSINESS	Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
DESCRIPTION OF BUSINESS	DESCRIPTION OF BUSINESS Pacira BioSciences, Inc. and its subsidiaries (collectively, the “Company” or “Pacira”) is the industry leader in its commitment to non-opioid pain management and providing a non-opioid option to as many patients as possible to redefine the role of opioids as rescue therapy only. The Company is also developing innovative interventions to address debilitating conditions involving the sympathetic nervous system, such as cardiac electrical storm, chronic pain and spasticity. The Company’s long-acting, local analgesic, EXPAREL® (bupivacaine liposome injectable suspension), was commercially launched in the United States, or U.S., in April 2012 and approved in select European countries and the United Kingdom, or U.K.,in November 2021. EXPAREL utilizes the Company’s proprietary multivesicular liposome, or pMVL, drug delivery technology that encapsulates drugs without altering their molecular structure, and releases them over a desired period of time. In November 2021, the Company acquired Flexion Therapeutics, Inc., or Flexion, and added ZILRETTA® (triamcinolone acetonide extended-release injectable suspension) to its product portfolio. ZILRETTA is the first and only extended-release, intra-articular (meaning in the joint) injection indicated for the management of osteoarthritis, or OA, knee pain. For more information, see Note 5, Flexion Acquisition. In April 2019, the Company added iovera°® to its commercial offering with the acquisition of MyoScience, Inc., or MyoScience. The iovera° system is a handheld cryoanalgesia device used to deliver a precise, controlled application of cold temperature to targeted nerves. Pacira is subject to risks common to companies in similar industries and stages, including, but not limited to, competition from larger companies, reliance on revenue from three products, reliance on a limited number of wholesalers, reliance on a limited number of manufacturing sites, new technological innovations, dependence on key personnel, reliance on third-party service providers and single source suppliers, protection of proprietary technology, compliance with government regulations and risks related to cybersecurity. Coronavirus (COVID-19) Pandemic and Global Economic Conditions Since early 2020, the Company’s revenues and supply chain have been impacted by COVID-19 pandemic-related challenges that included the significant postponement or suspension in the scheduling of elective surgical procedures due to public health guidance and government directives. While the degree of impact has diminished during the course of the pandemic due to the introduction of vaccines and therapeutics, as well as the lessening of elective surgery restrictions, certain pandemic-related operational and staffing challenges persist. It remains unclear how long it will take the elective surgery market to normalize or if restrictions on elective procedures will recur due to future COVID-19 variants or otherwise. Direct and indirect effects of the pandemic and global economic conditions have and may continue to negatively impact the Company’s business, financial condition and results of operations. Such impacts may include the effect of prolonged periods of inflation and rising interest rates on the Company’s customers and suppliers and longer lead-times or the inability to secure a sufficient supply of materials. The situation remains dynamic and subject to rapid and possibly material changes. Additional negative impacts may also arise that the Company is unable to foresee. The nature and extent of such impacts will depend on future developments, which are highly uncertain and cannot be predicted.

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

12 Months Ended

Dec. 31, 2022

Accounting Policies [Abstract]

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation and Principles of Consolidation

These consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America, or GAAP, and in accordance with the rules and regulations of the United States Securities and Exchange Commission, or SEC. The accounts of the Company’s wholly owned subsidiaries are included in these consolidated financial statements. All intercompany balances and transactions have been eliminated in consolidation. Certain reclassifications from previously issued financial statements have been made to conform to the current presentation.

Use of Estimates

The preparation of financial statements in conformity with GAAP requires the use of estimates and assumptions that affect the reported amounts of assets and liabilities, including disclosure of contingent assets and contingent liabilities, at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Estimates are used for, among other things, revenue recognition, purchase price allocation, stock-based compensation, inventory costs, impairments of equity investments, long-lived assets, goodwill and other intangible assets, liabilities and accruals, including contingent consideration, and the valuation of deferred tax assets. The Company’s critical accounting estimates are those that are both most important to the Company’s consolidated financial condition and results of operations and require the most difficult, subjective or complex judgments on the part of management in their application, often as a result of the need to make estimates about the effect of matters that are inherently uncertain. Because of the uncertainty of factors surrounding the

estimates or judgments used in the preparation of the consolidated financial statements, actual results could differ from these estimates.

Revenue From Contracts With Customers

The Company’s sources of revenue include (i) sales of EXPAREL in the U.S., European Union, or E.U. and U.K.; (ii) sales of ZILRETTA in the U.S.; (iii) sales of iovera° in the U.S., Canada and the E.U.; (iv) sales of, and royalties on, its bupivacaine liposome injectable suspension for veterinary use and (v) license fees and milestone payments. Royalty revenues are from the Company’s collaborative licensing agreements. See Note 4, Revenue, for further information on the Company’s accounting policies related to revenue from contracts with customers.

Collaborative Licensing and Milestone Revenue

The Company’s collaboration agreements generally involve a license to the Company’s products. In determining when to recognize the revenue under a collaboration agreement, the Company must assess whether the license is distinct, which depends upon whether the customer can benefit from the license and whether the license is separate from other performance obligations in the agreement. If the license is distinct, the Company must further assess whether the customer has a right to access or a right to use the license depending on whether the functionality of the license is expected to substantively change over time. If the license is not expected to substantively change, the revenue is recognized at the point in time when the license is provided. If the license is expected to substantively change, the revenue is recognized over the license period.

Revenue recognition from milestone payments is dependent upon the facts and circumstances surrounding the milestone payments. Milestone payments based on a non-sales metric such as a development-based milestone (e.g. obtaining regulatory approval) represent variable consideration and would be included in the transaction price subject to any constraints. If the milestone payments relate to future development, the timing of recognition depends upon historical experience and the significance a third-party has on the outcome. For milestone payments to be received upon the achievement of a sales threshold, the revenue from the milestone payments is recognized at the later of when the actual sales are incurred or the performance obligation to which the sales relate has been satisfied.

Royalty Revenue

Royalties are estimated and recognized as revenue when sales to the Company’s commercial partners occur, unless some constraint exists, as the royalties predominately relate to a supply agreement. Royalties are based on sales of the Company’s bupivacaine liposome injectable suspension product for veterinary use.

Concentration of Major Customers

The Company sells EXPAREL through a drop-ship program under which orders are processed through wholesalers (including AmerisourceBergen Health Corporation, Cardinal Health, Inc. and McKesson Drug Company), but shipments of the product are sent directly to individual accounts, such as hospitals, ambulatory surgery centers and individual physicians. The Company also sells EXPAREL directly to ambulatory surgery centers and physicians. The Company sells ZILRETTA primarily to specialty distributors and a specialty pharmacy, who then subsequently resell ZILRETTA to physicians, clinics and certain medical centers or hospitals. The Company also contracts directly with healthcare providers and intermediaries such as Group Purchasing Organizations, or GPOs. The Company sells its bupivacaine liposome injectable suspension for veterinary use to a third-party licensee in the U.S. and sells iovera° directly to end users.

The table below includes the percentage of revenues comprised by the Company’s three largest wholesalers in each period presented:


	Year Ended December 31,
	2022		2021		2020
Largest wholesaler	31	%	31	%	31	%
Second largest wholesaler	23	%	28	%	31	%
Third largest wholesaler	22	%	26	%	25	%
Total	76	%	85	%	87	%

The year ended December 31, 2022 included the first full-year of ZILRETTA net product sales. The Company began recognizing revenue from net product sales of ZILRETTA on November 19, 2021, the date of the Flexion Acquisition (as defined herein).

Revenue from outside the U.S. accounted for less than 1% of the Company’s total revenue for the years ended December 31, 2022 and 2021. The Company began selling EXPAREL in the E.U. and U.K. and iovera° in Canada in the fourth quarter of 2021. The Company had no revenue from outside the U.S. during the year ended December 31, 2020.

Research and Development Expenses

Research and development expenditures are expensed as incurred. These include both internal and external costs, of which a significant portion of development activities are outsourced to third parties, including contract research organizations. Clinical trial costs are accrued over the service periods specified in contracts and adjusted as necessary based on an ongoing review of the level of effort and actual costs incurred. Research and development costs are presented net of reimbursements from commercial partners.

Income Taxes

The Company uses the asset and liability method of accounting for income taxes. Deferred tax assets and liabilities are recognized for the estimated future tax consequences attributable to basis differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized.

The Company accrues interest and penalties, if any, on underpayment of income taxes, including those related to unrecognized tax benefits, as a component of income tax expense in its consolidated statements of operations.

Stock-Based Compensation

The Company’s stock-based compensation consists of grants of stock options and restricted stock units, or RSUs, to employees, consultants and non-employee directors, in addition to the opportunity for employees to participate in an employee stock purchase plan. The expense associated with these programs is recognized in the Company’s consolidated statements of operations based on their fair values as they are earned under the applicable vesting terms or the length of an offering period.

In calculating the estimated fair value of stock options and employee stock purchase plan share options granted, the Company uses the Black-Scholes option valuation model, or Black-Scholes model, which requires the consideration of the following variables for purposes of estimating fair value in addition to the closing price of the Company’s common stock on the date of grant:

•Expected term of the option

•Expected volatility

•Expected dividends

•Risk-free interest rate

The Company utilizes its historical volatility data to determine expected volatility over the expected option term. The Company uses an expected term based on its historical data from stock option activity. The risk-free interest rate is based on the implied yield on U.S. Department of the Treasury zero-coupon bonds for periods commensurate with the expected term of the options. The dividend yield on the Company’s common stock is estimated to be zero as the Company has not declared or paid any dividends since inception, nor does it have any intention to do so in the foreseeable future. Additionally, the Company’s ability to declare and pay a dividend in the future could be limited per the agreements governing its indebtedness. The Company records forfeitures of grants as they occur rather than estimating forfeitures during each reporting period.

Cash and Cash Equivalents

All highly liquid investments with maturities of 90 days or less when purchased are considered cash equivalents. Cash equivalents include corporate debt securities, asset-backed securities and money market funds. As of December 31, 2022, the carrying value of money market funds was $42.6 million. As of December 31, 2021, the carrying value of money market funds was $223.0 million, commercial paper was $19.0 million and asset-backed securities was $2.6 million. The carrying values approximate fair value as of December 31, 2022 and 2021.

Short-Term and Noncurrent Available-For-Sale Investments

Short-term available-for-sale investments consist of asset-backed securities collateralized by credit card receivables, investment grade commercial paper, corporate and government bonds, and other bonds issued in the U.S. (and denominated in the U.S. dollar) by foreign entities, all with maturities of greater than three months, but less than one year. Noncurrent available-for-sale investments consist of corporate and government agency bonds with maturities greater than one year. The Company evaluates the classification of its investments at the time of purchase and re-evaluates such determination at each balance sheet date, which includes an assessment of the intent to hold the available-for-sale securities. The Company’s investment policy sets minimum credit quality criteria and maximum maturity limits on its investments to provide for preservation of capital, liquidity and a reasonable rate of return. The Company classifies its investments as available-for-sale. Available-for-sale securities are recorded at fair value, based on current market valuations. Unrealized holding gains and losses on available-for-sale securities (except for credit losses) are excluded from net income (loss) and are reported as a separate component of accumulated other comprehensive (loss) income until realized. Realized gains and losses are included in interest income in the consolidated statements of operations and are derived using the specific identification method for determining the cost of the securities sold. The Company evaluates whether a credit loss exists, and in the event a credit loss does exist, the credit loss is recognized in the consolidated statements of operations based on the amount that the fair value is less than the amortized cost.

Inventories

Inventories consist of finished goods held for sale and distribution, raw materials and work in process. Inventories are stated at the lower of cost, which includes amounts related to material, labor and overhead, or net realizable value, and is determined using the first-in, first-out (“FIFO”) method. The Company periodically reviews its inventory to identify obsolete, slow-moving, or otherwise unsalable inventories, and establishes allowances for situations in which the cost of the inventory is not expected to be recovered.

Fixed Assets

Fixed assets are recorded at cost, net of accumulated depreciation and amortization. The Company reviews its property, plant and equipment assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable.

Depreciation of fixed assets is provided over their estimated useful lives on a straight-line basis. The Company periodically reviews these useful lives relative to physical factors, economic factors and industry trends. If there are changes in the planned use of property or equipment, the useful lives assigned to these assets may need to be shortened, resulting in the recognition of accelerated depreciation expense in future periods. Leasehold improvements are amortized on a straight-line basis over the shorter of their estimated useful lives or the related remaining lease terms. Useful lives by asset category are as follows:


Asset Category						Useful Life
Computer equipment and software						1 to 3 years
Office furniture and equipment						5 years
Manufacturing and laboratory equipment						5 to 10 years

Asset Retirement Obligations

The Company has contractual obligations stemming from certain of its lease agreements to return leased space to its original condition upon termination of such lease agreements. The Company records its asset retirement obligations, or ARO, along with a corresponding capital asset in an amount equal to the estimated fair value of the ARO, based on the present value of expected future cash flows. In subsequent periods, the Company records expense to accrete the ARO to its full value. Each ARO capital asset is depreciated over the depreciable term of the associated fixed asset.

Leases

The Company recognizes right-of-use, or ROU, assets and lease liabilities at the commencement of its lease agreements. The leases are evaluated at commencement to determine whether they should be classified as operating or financing leases. Lease costs associated with operating leases are recognized on a straight-line basis, while lease costs for financing leases are recognized over the lease term using the effective interest method. The Company does not have any financing leases. The amount of ROU assets and lease liabilities to be recognized is impacted by the type of lease payments, the lease term and the

incremental borrowing rate. Variable lease payments are not included at commencement and are recognized in the period in which they are incurred.

The Company has elected to net the amortization of its ROU assets and the reduction of the lease liability principal in other liabilities in the consolidated statement of cash flows.

The lease term is based on the contractual term and is adjusted for any renewal options or termination rights that are reasonably certain to be exercised. The incremental borrowing rate is based on the rate the Company estimates it would pay on a collateralized basis over a similar term in a similar economic environment.

Acquisitions

In a business combination, the acquisition method of accounting requires that the assets acquired and liabilities assumed be recorded as of the date of the acquisition at their respective fair values, with some exceptions. Assets acquired and liabilities assumed in a business combination that arise from contingencies are generally recognized at fair value. If fair value can be determined, the asset or liability is recognized; if fair value is not determinable, then no asset or liability is recognized. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an “exit price”) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date.

Acquired in-process research and development, or IPR&D, is recognized at fair value and initially characterized as an indefinite-lived intangible asset, irrespective of whether the acquired IPR&D has an alternative future use. If the acquired net assets do not constitute a business under the acquisition method of accounting, the transaction is accounted for as an asset acquisition and no goodwill is recognized. In an asset acquisition, the amount allocated to acquired IPR&D with no alternative future use is recorded as an expense at the acquisition date.

Any excess of the purchase price (consideration transferred) over the estimated fair values of net assets acquired is recorded as goodwill. Transaction costs and costs to restructure the acquired company are expensed as incurred. The operating results of the acquired business are reflected in the Company’s consolidated financial statements after the closing date of the acquisition.

Contingent Consideration

Subsequent to an acquisition, the Company measures contingent consideration arrangements at fair value at each reporting period, with changes in fair value recognized in the consolidated statements of operations as acquisition-related charges (gains). Changes in contingent consideration can result from changes in the assumed achievement and timing of estimated sales, costs of goods sold and regulatory approvals. In the absence of new information, changes in fair value reflect the passage of time towards achievement or expiration of the milestones, and are accreted to the period in which payments are expected to be made.

Goodwill

Goodwill represents the excess of the purchase price over the estimated fair value of the net assets acquired in a business combination and is not amortized, but is subject to impairment testing at least annually or when a triggering event occurs that could indicate a potential impairment exists.

Intangible Assets

Intangible assets with definite useful lives are amortized on a straight-line basis over their estimated useful lives and are recorded at cost, net of accumulated amortization. Indefinite-lived intangible assets are tested for impairment at least annually or when a triggering event occurs that could indicate a potential impairment exists. Impairment charges are recognized to the extent the carrying value exceeds its fair value.

Equity Investments

The Company holds investments in equity securities without a readily determinable fair value which are recognized at cost less any impairments, plus or minus any changes resulting from observable price changes in orderly transactions for a similar investment.

Impairments of Long-Lived Assets

Management reviews long-lived assets, including fixed assets and finite-lived intangible assets, for impairment whenever events or changes in circumstances indicate the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the future undiscounted net cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment to be recognized is measured as the amount by which the carrying amount of the assets exceeds the fair value of the assets.

Per Share Data

Basic net income (loss) per common share is computed by dividing net income (loss) available (attributable) to common stockholders by the weighted average number of shares of common stock outstanding during the period.

Diluted net income (loss) per common share is calculated by dividing net income (loss) available (attributable) to common stockholders as adjusted for the effect of dilutive securities, if any, by the weighted average number of shares of common stock and dilutive common stock outstanding during the period. Potential common shares include the shares of common stock issuable upon the exercise of outstanding stock options, the RSUs expected to vest, and the shares of common stock expected to be purchased under the Company’s employee stock purchase plan (using the treasury stock method), and the potential common shares issuable upon conversion of the convertible senior notes using the if-converted method. Under the if-converted method, adjustments are made to the diluted net income (loss) per common share calculation as if the Company had converted the convertible senior notes on the first day of each period presented. Adjustments to the numerator are made to add back the interest expense associated with the convertible senior notes on a post-tax basis.

Foreign Currencies

The balance sheet accounts of the Company’s foreign subsidiaries with functional currencies other than the U.S. Dollar are translated using the exchange rate at each respective balance sheet date. Revenues and expenses are translated using the average exchange rates for each calendar month during the year. Translation adjustments are recorded as a component of accumulated other comprehensive (loss) income in the consolidated financial statements. Gains or losses from foreign currency exchanges are recorded in other, net in the consolidated statements of operations.

Segment Reporting

The Company is managed and operated as a single business focused on the development, manufacture, marketing, distribution and sale of non-opioid pain management and regenerative health solutions. The Company is managed by a single management team, and, consistent with its organizational structure, the Chief Executive Officer—who is the Company’s chief operating decision maker—manages and allocates resources at a consolidated level. Accordingly, the Company views its business as one reportable operating segment to evaluate its performance, allocate resources, set operational targets and forecast its future financial results.

RECENT ACCOUNTING PRONOUNCEMENTS	12 Months Ended
RECENT ACCOUNTING PRONOUNCEMENTS	Dec. 31, 2022
Accounting Standards Update and Change in Accounting Principle [Abstract]
RECENT ACCOUNTING PRONOUNCEMENTS	RECENT ACCOUNTING PRONOUNCEMENTSRecently Adopted Accounting Pronouncements In August 2020, the Financial Accounting Standards Board, or FASB, issued Accounting Standards Update, or ASU, 2020-06, Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40), which limits the number of convertible debt instruments that require separate accounting to (i) those with embedded conversion features that are not clearly and closely related to the debt, that meet the definition of a derivative and that do not qualify for the scope exception from derivative accounting and (ii) convertible debt instruments issued with substantial premiums for which the premiums were recorded as paid-in capital. In addition, the new guidance requires diluted earnings per share calculations be prepared using the if-converted method instead of the treasury stock method. The Company elected to adopt the new guidance using a modified retrospective method of transition, which applied to transactions outstanding at January 1, 2022. As a result, effective January 1, 2022, the Company does not separately present in equity an embedded conversion feature for its convertible debt. Instead, the Company accounts for its convertible debt instruments wholly as debt. In addition, effective January 1, 2022, the Company does not record interest expense on the previously recorded discount on its convertible debt. The impact on the condensed consolidated balance sheet at January 1, 2022 increased net debt by approximately $64.9 million, reduced accumulated deficit by $47.2 million, reduced additional paid-in capital by $96.5 million and decreased deferred tax liabilities by $15.7 million.

- Definition

The entire disclosure for change in accounting principle. Includes, but is not limited to, nature, reason, and method of adopting amendment to accounting standards or other change in accounting principle.

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+ Details

REVENUE

12 Months Ended

Dec. 31, 2022

Revenue from Contract with Customer [Abstract]

REVENUE

The Company’s sources of revenue are detailed in Note 2, Summary of Significant Accounting Policies. The Company does not consider revenue from sources other than sales of EXPAREL and ZILRETTA to be material sources of its consolidated revenue. As such, the following disclosure is limited to revenue associated with net product sales of EXPAREL and ZILRETTA.

Net Product Sales

The Company sells EXPAREL through a drop-ship program under which orders are processed through wholesalers based on orders of the product placed by end-users, namely hospitals, ambulatory surgery centers and healthcare provider offices. EXPAREL is delivered directly to the end-user without the wholesaler ever taking physical possession of the product. The Company primarily sells ZILRETTA to specialty distributors and a specialty pharmacy, who then subsequently resell ZILRETTA to physicians, clinics and certain medical centers or hospitals. The Company also contracts directly with healthcare providers and intermediaries such as GPOs. Product revenue is recognized when control of the promised goods are transferred to the customers, in an amount that reflects the consideration the Company expects to be entitled to in exchange for transferring those goods. EXPAREL and ZILRETTA revenue is recorded at the time the product is delivered to the customer.

Revenues from sales of products are recorded net of returns allowances, prompt payment discounts, service fees, government rebates, volume rebates and chargebacks. These reserves are based on estimates of the amounts earned or to be claimed on the related sales. These amounts are treated as variable consideration, estimated and recognized as a reduction of the transaction price at the time of the sale, using the most likely amount method, except for returns, which is based on the expected value method. The Company includes these estimated amounts in the transaction price to the extent it is probable that a significant reversal of cumulative revenue recognized for such transaction will not occur, or when the uncertainty associated with the variable consideration is resolved.

Chargebacks for fees and discounts to qualified government healthcare providers represent the estimated obligations resulting from contractual commitments to sell products to qualified Department of Veteran Affairs hospitals and 340B entities at prices lower than the list prices charged to other customers. The 340B Drug Discount Program is a U.S. federal government program created in 1992 that requires participating drug manufacturers to provide outpatient drugs to eligible health care organizations and covered entities at reduced prices. Customers charge the Company for the difference between the product payment and the statutory selling price to the qualified entity. Reserves are established in the same period that the related revenue is recognized, resulting in a reduction of product revenue and trade receivables, net. Chargeback amounts are generally determined at the time of sale to the qualified government healthcare provider by customers, and the Company generally issues credits for such amounts within weeks of the customer’s notification to the Company of the sale. Reserves for chargebacks consist of credits that the Company expects to issue for units that the Company expects will be sold to qualified healthcare providers, and chargebacks that customers have claimed, but for which the Company has not yet issued a credit.

The calculation for some of these items requires management to make estimates based on sales data, historical return data, contracts, statutory requirements and other related information that may become known in the future. The adequacy of these provisions is reviewed on a quarterly basis.

The following table provides a summary of activity with respect to the Company’s sales related allowances and accruals related to EXPAREL for the years ended December 31, 2022, 2021 and 2020, as well as ZILRETTA for the years ended December 31, 2022 and 2021 (in thousands):


	Returns Allowances		Prompt Payment Discounts		Service Fees		Volume Rebates and Chargebacks		Government Rebates		Total
Balance at December 31, 2019	$	540	$	962	$	1,486	$	1,816	$	—	$	4,804
Provision	794		8,541		6,437		12,345		—		28,117
Payments/Adjustments	(311)		(8,496)		(6,755)		(12,561)		—		(28,123)
Balance at December 31, 2020	1,023		1,007		1,168		1,600		—		4,798
Provision	3,095		10,388		10,112		17,101		1,139		41,835
Payments/Adjustments	(757)		(10,217)		(7,644)		(15,207)		(378)		(34,203)
Balance at December 31, 2021	3,361		1,178		3,636		3,494		761		12,430
Provision	1,390		11,145		16,866		48,890		1,641		79,932
Payments/Adjustments	(3,060)		(11,136)		(17,309)		(46,932)		(1,616)		(80,053)
Balance at December 31, 2022	$	1,691	$	1,187	$	3,193	$	5,452	$	786	$	12,309

Collaborative Licensing and Milestone Revenue

The Company’s collaborative licensing and milestone revenue recognition policy is discussed in Note 2, Summary of Significant Accounting Policies

Accounts Receivable

The majority of accounts receivable arise from product sales and represent amounts due from wholesalers, hospitals, ambulatory surgery centers, specialty distributors, a specialty pharmacy and individual physicians. Payment terms generally range from zero to 97 days from the date of the transaction, and accordingly, there is no significant financing component.

Performance Obligations

A performance obligation is a promise in a contract to transfer a distinct good or service to the customer and is the unit of account in Accounting Standards Codification, or ASC, 606. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied.

At contract inception, the Company assesses the goods promised in its contracts with customers and identifies a performance obligation for each promise to transfer to the customer a good that is distinct. When identifying individual performance obligations, the Company considers all goods promised in the contract regardless of whether explicitly stated in the customer contract or implied by customary business practices. The Company’s contracts with customers require it to transfer an individual distinct product, which represents a single performance obligation. The Company’s performance obligation with respect to its product sales is satisfied at a point in time, which transfers control upon delivery of EXPAREL and ZILRETTA to its customers. The Company considers control to have transferred upon delivery because the customer has legal title to the asset, physical possession of the asset has been transferred, the customer has significant risks and rewards of ownership of the asset and the Company has a present right to payment at that time.

Disaggregated Revenue

The following table represents disaggregated net product sales in the periods presented as follows (in thousands):


	Year Ended December 31,
	2022		2021		2020
Net product sales:
EXPAREL	$	536,899	$	506,515	$	413,338
ZILRETTA	105,517		12,683		—
iovera°	15,258		16,162		8,817
Bupivacaine liposome injectable suspension	6,476		3,606		4,459
Total net product sales	$	664,150	$	538,966	$	426,614

The Company began recognizing revenue from net product sales of ZILRETTA on November 19, 2021, the date of the Flexion Acquisition (as defined herein).

- Definition

The entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 606
-URI https://asc.fasb.org/topic&trid=49130388

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
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-Name Accounting Standards Codification
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Reference 3: http://www.xbrl.org/2003/role/disclosureRef
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Reference 4: http://www.xbrl.org/2003/role/disclosureRef
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Reference 6: http://www.xbrl.org/2003/role/disclosureRef
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Reference 7: http://www.xbrl.org/2003/role/disclosureRef
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Reference 8: http://www.xbrl.org/2003/role/disclosureRef
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Reference 9: http://www.xbrl.org/2003/role/disclosureRef
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Reference 10: http://www.xbrl.org/2003/role/disclosureRef
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+ Details

FLEXION ACQUISITION

12 Months Ended

Dec. 31, 2022

Business Combination and Asset Acquisition [Abstract]

FLEXION ACQUISITION

Flexion Therapeutics, Inc.

On November 19, 2021, the Company acquired Flexion (the “Flexion Acquisition”), a biopharmaceutical company focused on the discovery, development and commercialization of novel, local therapies for the treatment of patients with musculoskeletal conditions, beginning with OA, the most common form of arthritis, pursuant to an Agreement and Plan of Merger (the “Flexion Merger Agreement”), dated as of October 11, 2021, by and among the Company, Oyster Acquisition Company Inc., a Delaware corporation and wholly owned subsidiary of the Company (“Purchaser”), and Flexion. Following the completion of a successful tender offer for the shares of Flexion’s common stock, and pursuant to the terms of the Flexion Merger Agreement and in accordance with Section 251(h) of the General Corporation Law of the State of Delaware, Purchaser merged with and into Flexion with Flexion surviving as a wholly owned subsidiary of the Company. The Company changed the name of Flexion to Pacira Therapeutics, Inc. after completing the merger.

The total consideration for the Flexion Acquisition was approximately $578.8 million consisting of: (i) $448.5 million of cash paid to former Flexion stockholders and to settle restricted stock units and in-the-money stock options; (ii) an $85.1 million cash payment of Flexion debt not assumed by the Company and (iii) $45.2 million of estimated contingent consideration at the time of the acquisition related to contingent value rights, or CVRs, that were issued to Flexion shareholders and certain equity award holders in conjunction with the Flexion Acquisition. The consideration is subject to adjustments based on the achievement of certain potential milestone payments. At the time of the acquisition, the Company estimated that up to an additional $380.2 million in the aggregate may be payable to holders of the CVRs if each of the applicable milestones are achieved by December 31, 2030, as follows:

(i) $1.00 per CVR the first time that net sales of ZILRETTA in any calendar year equal or exceed $250.0 million;

(ii) $2.00 per CVR, the first time that net sales of ZILRETTA in any calendar year equal or exceed $375.0 million;

(iii) $3.00 per CVR, the first time that net sales of ZILRETTA in any calendar year equal or exceed $500.0 million;

(iv) $1.00 per CVR upon approval by the U.S. Food and Drug Administration, or FDA, of a Biologics License Application (BLA) for PCRX-201, a clinical stage gene therapy product candidate; and

(v) $1.00 per CVR upon approval by the FDA of a new drug application, or NDA, for PCRX-301, an investigational product candidate. In September 2022, based on the results of a completed phase 1 study, the Company decided to discontinue further development of PCRX-301.

The total consideration for the Flexion Acquisition was $578.8 million, which consisted of the following (in thousands, except per share amounts):


Fair Value of Purchase Price Consideration	Amount
Fair value of purchase consideration paid at closing:
Cash consideration for all outstanding shares of Flexion’s common stock (50,392 shares of common stock acquired at $8.50 per share)	$	428,333
Cash consideration paid to settle RSUs and in-the-money stock options	20,153


Cash paid to settle Flexion debt	85,118
	533,604

Fair value of CVRs	45,241
Total purchase consideration	$	578,845

The Company accounted for the Flexion Acquisition using the acquisition method of accounting and, accordingly, has included the assets acquired, liabilities assumed and results of operations in its consolidated financial statements from the acquisition date of November 19, 2021.

The final allocation of the consideration transferred to the assets acquired and the liabilities assumed has been completed. The following tables set forth the allocation of the Flexion Acquisition purchase price to the estimated fair value of the net assets acquired at the acquisition date (in thousands):


	Amounts Recognized at the Acquisition Date (as previously reported) (a)		Measurement Period Adjustments (b)		Amounts Recognized at the Acquisition Date (as adjusted)
ASSETS ACQUIRED
Cash and cash equivalents	$	113,562	$	—	$	113,562
Short-term available-for-sale investments	11,153		—		11,153
Accounts receivable	32,838		—		32,838
Inventories	29,667		—		29,667
Prepaid expenses and other assets	4,852		—		4,852
Fixed assets	23,307		—		23,307
Deferred tax assets	58,015		(16,906)		41,109
Right-of-use assets	6,585		—		6,585
Identifiable intangible assets	480,000		—		480,000
IPR&D	61,000		—		61,000
Total assets	$	820,979	$	(16,906)	$	804,073
LIABILITIES ASSUMED
Accounts payable	$	9,794	$	—	$	9,794
Accrued expenses	22,746		1,162		23,908
Deferred revenue	10,000		—		10,000
Lease liabilities	6,585		—		6,585
Other liabilities	1,187		—		1,187
Long-term debt	201,450		—		201,450
Total liabilities	251,762		1,162		252,924
Total identifiable net assets acquired	569,217		(18,068)		551,149
Goodwill	9,628		18,068		27,696
Total consideration transferred	$	578,845	$	—	$	578,845

(a) As previously reported in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021.

(b) Represents the finalization of a tax study and pre-acquisition expenses that were paid by the Company in 2022, partially offset by the release of estimated reserves.

The acquired identifiable intangible assets and IPR&D assets were valued from a market participants’ perspective using a multi-period excess earnings methodology (income approach). The identifiable finite-lived intangible asset, ZILRETTA, is a developed technology for OA knee pain with a value of $480.0 million and a useful life of 9.7 years. A discount rate of 17.5% was used in calculating the fair value of this technology. The IPR&D asset relates to the use of ZILRETTA for the treatment of OA pain of the shoulder and was valued at $60.0 million. The projected cash flows for this asset were adjusted for the probability of successful development and commercialization, and were discounted at 18.0%.

The excess of the purchase price over the fair value of identifiable net assets acquired represents goodwill. This goodwill is primarily attributable to the value of combining ZILRETTA with iovera° and EXPAREL as a safe and effective non-opioid multimodal regimen for pain management, as well as the synergies of merging operations. The acquired goodwill and intangible assets are not deductible for tax purposes.

Refer to Note 9, Goodwill and Intangible Assets, and Note 18, Acquisition-related Charges (Gains), Impairment and Other, for further information related to the Flexion Acquisition.

Unaudited Pro Forma Summary of Operations

The following table shows the unaudited pro forma summary of operations for the years ended December 31, 2021 and 2020, as if the Flexion Acquisition had occurred on January 1, 2020. This pro forma information does not purport to represent what the Company’s actual results would have been if the acquisition had occurred as of January 1, 2020, and is not indicative of what such results would be expected for any future period (in thousands, except per share amounts):


	Year Ended December 31,
	2021		2020
Total revenues	$	630,942	$	515,199
Net loss	(67,264)		(19,711)
Pro forma basic and diluted net loss per share	$	(1.52)	$	(0.46)

The unaudited pro forma financial information was prepared using the acquisition method of accounting and was based on the historical financial information of the Company and Flexion. The summary pro forma financial information primarily reflects the following pro forma adjustments:

•Removal of the acquisition-related transaction fees and costs, including certain stock-based compensation and other compensation expenses related to the acquisition, from the years ended December 31, 2021 and 2020;

•Recognition of the income tax benefit resulting from decreasing Flexion’s existing valuation allowance on deferred tax assets for the year ended December 31, 2021;

•Removal of Flexion’s interest expense and associated deferred financing cost amortization related to the $85.1 million of debt not assumed;

•Adjustments to the Company’s interest income for the cash used to acquire Flexion;

•Additional cost of goods sold related to a step-up value in inventory;

•Additional amortization expense from the acquired developed technology intangible assets;

•Additional depreciation of Flexion’s fixed assets; and

•Additional lease expense on Flexion’s ROU assets.

In addition, all of the above adjustments were adjusted for the applicable tax impact.

INVENTORIES

12 Months Ended

Dec. 31, 2022

Inventory Disclosure [Abstract]

INVENTORIES

INVENTORIESThe components of inventories, net are as follows (in thousands):


	December 31,
	2022		2021
Raw materials	$	39,810	$	36,337
Work-in-process	28,853		35,182
Finished goods	27,400		27,031
Total	$	96,063	$	98,550

FIXED ASSETS

12 Months Ended

Dec. 31, 2022

Property, Plant and Equipment [Abstract]

FIXED ASSETS

Fixed assets, net, summarized by major category, consist of the following (in thousands):


	December 31,
	2022		2021
Machinery and equipment	$	118,684	$	117,264
Leasehold improvements	61,302		59,740
Computer equipment and software	15,360		13,197
Office furniture and equipment	2,420		2,883
Construction in progress (1)	103,226		80,557
Total	300,992		273,641
Less: accumulated depreciation	(117,480)		(85,240)
Fixed assets, net	$	183,512	$	188,401
(1) The increase of $22.7 million in construction in progress is related to progress in the expansion of the Company’s manufacturing facilities, including an EXPAREL capacity expansion project at the Company’s Science Center Campus in San Diego, California and a ZILRETTA capital project at Thermo Fisher Scientific Pharma Services’s site in Swindon, England.

For information on useful lives by asset category, refer to Note 2, Summary of Significant Accounting Policies.

Depreciation expense for the years ended December 31, 2022, 2021 and 2020 was $34.2 million, $15.0 million and $12.0 million, respectively. During the years ended December 31, 2022, 2021 and 2020, the Company capitalized interest of $4.1 million, $3.9 million and $2.4 million, respectively. In 2022, the Company accelerated $10.5 million of depreciation expense for certain machinery and equipment for which no future economic benefit was identified.

As of December 31, 2022 and 2021, total fixed assets, net, includes leasehold improvements and manufacturing process equipment located outside of the U.S. in the amount of $44.7 million and $65.4 million, respectively.

As of December 31, 2022 and 2021, the Company had AROs of $3.3 million and $2.4 million, respectively, included in accrued expenses and other liabilities on its consolidated balance sheet, for costs associated with returning leased space to its original condition upon the termination of certain of its lease agreements.

LEASES

12 Months Ended

Dec. 31, 2022

Leases [Abstract]

LEASES

The Company leases all of its facilities, including its EXPAREL and iovera° handpiece manufacturing facility at its Science Center Campus in San Diego, California. The Company also has an embedded lease with Thermo Fisher Scientific Pharma Services for the use of their manufacturing facility in Swindon, England. A portion of the associated monthly base fees has been allocated to the lease component based on a relative fair value basis.

The operating lease costs for the facilities include lease and non-lease components, such as common area maintenance and other common operating expenses, along with executory costs such as insurance and real estate taxes. Total operating lease costs are as follows (in thousands):


	Year Ended December 31,
Operating Lease Costs	2022		2021		2020
Fixed lease costs	$	13,949	$	11,976	$	10,055
Variable lease costs	1,988		1,722		2,096
Sublease income	(253)		—		—
Total	$	15,684	$	13,698	$	12,151

Supplemental cash flow information related to operating leases is as follows (in thousands):


	Year Ended December 31,
	2022		2021		2020
Cash paid for operating lease liabilities, net of lease incentives	$	14,357	$	12,709	$	14,347
Right-of-use assets recorded in exchange for lease obligations	$	3,324	$	8,692	$	42,191

The weighted average remaining lease terms and the weighted average discount rates are summarized as follows:


	December 31,
	2022	2021
Weighted average remaining lease term	6.83 years	7.77 years
Weighted average discount rate	7.05%	6.96%

As of December 31, 2022, maturities of the Company’s operating lease liabilities are as follows (in thousands):


Year	Aggregate Minimum Payments Due
2023	$	14,022
2024	13,928
2025	13,078
2026	12,814
2027	12,586
Thereafter	27,350
Total future lease payments	93,778
Less: imputed interest	(19,855)
Total operating lease liabilities	$	73,923

GOODWILL AND INTANGIBLE ASSETS

12 Months Ended

Dec. 31, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND INTANGIBLE ASSETS

Goodwill

The Company’s goodwill results from the acquisition of Pacira Pharmaceuticals, Inc. from SkyePharma Holding, Inc. (now a subsidiary of Vectura Group plc), or Skyepharma, in 2007 (the “Skyepharma Acquisition”), the MyoScience Acquisition in 2019 and the Flexion Acquisition in 2021. The change in the carrying value of the Company’s goodwill is summarized as follows (in thousands):


	Carrying Value
Balance at December 31, 2020	$	99,547
Goodwill arising from milestones achieved under the Skyepharma Acquisition	36,000
Goodwill arising from the Flexion Acquisition	9,628
Balance at December 31, 2021	145,175
Goodwill arising from measurement period adjustments associated with the Flexion Acquisition (Note 5)	18,068
Balance at December 31, 2022	$	163,243

The Skyepharma Acquisition was accounted for under Statement of Financial Accounting Standards 141, Accounting for Business Combinations, which was the effective GAAP standard at the date of acquisition. In connection with the Skyepharma Acquisition, the Company agreed to certain milestone payments for DepoBupivacaine products, including EXPAREL. In the fourth quarter of 2021, the Company met both of its two remaining milestones due to Skyepharma: $4.0 million upon the first commercial sale in the U.K., France, Germany, Italy or Spain, which was paid in the fourth quarter of 2021; and $32.0 million when annual net sales collected reached $500.0 million, which was paid in the first quarter of 2022. These milestone payments were treated as additions to the Skyepharma Acquisition and, therefore, recorded as goodwill.

Upon the Flexion Acquisition, the Company recorded goodwill totaling $9.6 million. Within one year from the Flexion Acquisition date, measurement period adjustments of $18.1 million were recorded to goodwill as the facts and circumstances existed prior to the acquisition date. The adjustments primarily represent the finalization of a tax study and pre-acquisition expenses. The acquired goodwill and intangible assets are not deductible for tax purposes.

Intangible Assets

Intangible assets, net, consists of the developed technology and IPR&D from the Flexion Acquisition and developed technology and customer relationships from the MyoScience Acquisition and are summarized as follows (dollar amounts in thousands):


December 31, 2022	Gross Carrying Value		Accumulated Amortization		Intangible Assets, Net		Weighted-Average Useful Lives
Developed technologies	$	590,000	$	(84,376)	$	505,624	10 years, 5 months
Customer relationships	90		(34)		56		10 years
Total finite-lived intangible assets, net	590,090		(84,410)		505,680
Acquired IPR&D	34,866		—		34,866
Total intangible assets, net	$	624,956	$	(84,410)	$	540,546

December 31, 2021	Gross Carrying Value		Accumulated Amortization		Intangible Assets, Net		Weighted-Average Useful Lives
Developed technology	$	590,000	$	(27,097)	$	562,903	10 years, 5 months
Customer relationships	90		(25)		65		10 years
Total finite-lived intangible assets, net	590,090		(27,122)		562,968
Acquired IPR&D	61,000		—		61,000
Total intangible assets, net	$	651,090	$	(27,122)	$	623,968

Amortization expense on intangible assets for the years ended December 31, 2022 and 2021 was $57.3 million and $13.6 million, respectively. The increase in expense in 2022 is the result of a full year of amortization associated with ZILRETTA for OA knee pain acquired as part of the Flexion Acquisition in November 2021.

Assuming no changes in the gross carrying amount of these intangible assets, the future estimated amortization expense on the finite-lived intangible assets will be $57.3 million from 2023 to 2030, $37.4 million in 2031, $7.9 million in 2032 and $2.2 million in 2033.The Company reviews its indefinite-lived intangible assets for impairment annually and whenever an event or change in circumstances arises that indicates the carrying amount of an indefinite-lived intangible asset is at risk of not being recoverable. During the year ended December 31, 2022, the annual impairment assessment for ZILRETTA acquired IPR&D for the treatment of OA pain of the shoulder was conducted through a recoverability test at December 31, 2022 by comparing the $60.0 million carrying value of the asset against the fair value through a discounted cash flow model of $33.9 million based on new facts and circumstances. The change in fair value was primarily driven by later timelines for the completion of clinical trials impacting revenue forecasts, among other factors. An impairment of $26.1 million was recognized within acquisition-related charges (gains), impairment and other in the consolidated statements of operations for the year ended December 31, 2022 based on the amount its previous carrying value exceeded its updated fair value.

ACCRUED EXPENSES

12 Months Ended

Dec. 31, 2022

Payables and Accruals [Abstract]

ACCRUED EXPENSES

Accrued expenses consist of the following (in thousands):


	December 31,
	2022		2021
Accrued selling, general and administrative expenses	$	11,927	$	12,063
Accrued research and development expenses	4,065		5,480
Other accrued operating expenses	14,959		14,912
Compensation and benefits (1)	26,198		45,491
Termination fee (2)	13,000		—

Accrued royalties (3)	3,400		35,298
Accrued interest	8,941		5,358
Product returns and wholesaler service fees	7,295		8,953
Total	$	89,785	$	127,555

(1) At December 31, 2021, compensation and benefits included $18.4 million of accrued severance associated with the Flexion Acquisition.

(2) See Note 20, Commitments and Contingencies, for more information.

(3) At December 31, 2021, accrued royalties included a $32.0 million milestone payment to Skyepharma that was met in the fourth quarter of 2021 for achieving annual net sales collected of $500.0 million on the Company’s DepoBupivacaine products, including EXPAREL. This milestone was paid in the first quarter of 2022. See Note 9, Goodwill and Intangible Assets, for more information.

DEBT

12 Months Ended

Dec. 31, 2022

Debt Disclosure [Abstract]

DEBT

The carrying value of the Company’s outstanding debt is summarized as follows (amounts in thousands):


	December 31,
	2022		2021
Term loan B facility maturing December 2026	$	284,704	$	359,497
0.750% Convertible senior notes due August 2025	396,126		330,627
3.375% Convertible senior notes due May 2024	8,641		201,249
2.375% Convertible senior notes due April 2022 (1)	—		157,857
Total	$	689,471	$	1,049,230

(1) The 2022 Notes (as defined below) matured on April 1, 2022.

Term Loan B Facility

In December 2021, the Company entered into a term loan credit agreement (the “Credit Agreement”) with JP Morgan Chase Bank, N.A., as administrative agent and the initial lender. The term loan issued under the Credit Agreement (the “Term Loan”) was issued at a 3% discount and allows for a single-advance term loan B facility in the principal amount of $375.0 million and is secured by substantially all of the Company’s and each subsidiary guarantor’s assets. Subject to certain conditions, the Company may, at any time, on one or more occasion, add one or more new classes of term facilities and/or increase the principal amount of the loans of any existing class by requesting one or more incremental term facilities. The net proceeds of the Term Loan were approximately $363.8 million after deducting an original issue discount of $11.2 million.

The total debt composition of the Term Loan is as follows (in thousands):


	December 31,
	2022		2021
Term Loan maturing December 2026	$	296,875	$	375,000
Deferred financing costs	(3,919)		(4,443)
Discount on debt	(8,252)		(11,060)
Total debt, net of debt discount and deferred financing costs	$	284,704	$	359,497

The Term Loan matures on December 7, 2026 and requires quarterly repayments of principal in the amount of $9.4 million commencing June 30, 2022, and increasing to $14.1 million commencing December 31, 2025, with a remaining balloon payment of approximately $137.5 million due at maturity. The Company is required to make mandatory prepayments of principal from (i) the Company’s excess cash flow (as defined in the Credit Agreement) existing in any fiscal year and if the Senior Secured Leverage Ratio (as defined in the Credit Agreement) for such fiscal year exceeds certain predetermined limits (ii) net proceeds (as defined in the Credit Agreement) of non-ordinary course assets sales and casualty events and (iii) debt issuance proceeds (other than permitted debt under the Credit Agreement). Prepayment penalties for the Term Loan were 2% in the first loan year plus an interest make-whole payment, 2% in the second loan year, 1% in the third loan year and nothing thereafter. Prepayment penalties generally do not apply to mandatory prepayment obligations under the Credit Agreement, such as prepayments due in connection with excess cash flow. During the year ended December 31, 2022, the Company made scheduled principal payments of $28.1 million in the aggregate. In addition, during the year ended December 31, 2022, the Company made an additional prepayment of $51.0 million, which included a $50.0 million reduction in principal and a $1.0 million prepayment penalty recorded as part of its deferred financing costs to be included in interest expense prospectively.

The Term Loan requires the Company to, among other things, maintain (i) a first lien net leverage ratio, determined as of the last day of any fiscal quarter, of no greater than 1.75 to 1.00 and (ii) liquidity, at any time, of at least $150.0 million. The Term Loan also contains customary affirmative and negative covenants, financial covenants, representations and warranties, events of default and other provisions. As of December 31, 2022, the Company was in compliance with all financial covenants under the Credit Agreement.

The Company may elect to borrow either term benchmark borrowings or alternate base rate borrowings. Term benchmark borrowings bear interest at a variable rate per annum equal to the Adjusted Term SOFR Rate (as defined in the Credit Agreement) (subject to a 75 basis points floor) plus an applicable margin of 700 basis points. Alternate base rate borrowings bear interest at a variable rate per annum determined using a base rate (subject to a 175 basis points floor) equal to the greatest of (i) the Prime Rate (as defined in the Credit Agreement) in effect on such day, (ii) the NYFRB Rate (as defined in the Credit Agreement) plus 50 basis points or (iii) the Adjusted Term SOFR Rate (as defined in the Credit Agreement) plus 100 basis points, subject to certain exceptions, plus an applicable margin of 600 basis points. As of December 31, 2022, borrowings under the Term Loan consisted entirely of term benchmark borrowings at a rate of 10.78%.

Convertible Senior Notes Due 2025

In July 2020, the Company completed a private placement of $402.5 million in aggregate principal amount of its 0.750% convertible senior notes due 2025, or 2025 Notes, and entered into an indenture with Computershare Corporate Trust, N.A. (formerly Wells Fargo Bank, N.A.), or 2025 Indenture, with respect to the 2025 Notes. The 2025 Notes accrue interest at a fixed rate of 0.750% per year, payable semiannually in arrears on February 1st and August 1st of each year, beginning on February 1, 2021. The 2025 Notes mature on August 1, 2025.

The total debt composition of the 2025 Notes is as follows (in thousands):


	December 31,
	2022		2021
0.750% convertible senior notes due August 2025	$	402,500	$	402,500
Deferred financing costs	(6,374)		(7,155)
Discount on debt	—		(64,718)
Total debt, net of debt discount and deferred financing costs	$	396,126	$	330,627

The net proceeds from the issuance of the 2025 Notes were approximately $390.0 million, after deducting commissions and the offering expenses paid by the Company. A portion of the net proceeds from the 2025 Notes was used by the Company to repurchase $185.0 million in aggregate principal amount of its then-outstanding 2.375% convertible senior notes due 2022 in privately-negotiated transactions for a total of $211.1 million of cash (including accrued interest). The Company’s transaction costs of approximately $12.5 million related to the issuance of the 2025 Notes are amortized to interest expense over the five-year term of the 2025 Notes.

Holders may convert the 2025 Notes at any time prior to the close of business on the business day immediately preceding February 3, 2025, only under the following circumstances: (i) during any calendar quarter (and only during such calendar quarter), if the last reported sale price of the Company’s common stock for at least 20 trading days (whether or not consecutive) during a period of 30 consecutive trading days ending on the last trading day of the immediately preceding calendar quarter is greater than or equal to 130% of the conversion price on each applicable trading day; (ii) during the five-business day period immediately after any five consecutive trading day period (the “measurement period”) in which the trading price (as defined in the 2025 Indenture) per $1,000 principal amount of notes for each trading day of the measurement period was less than 98% of the product of the last reported sale price of the Company’s common stock and the conversion rate on each such trading day; (iii) upon the occurrence of specified corporate events, including a merger or a sale of all or substantially all of the Company’s assets; or (iv) if the Company calls the 2025 Notes for redemption, until the close of business on the business day immediately preceding the redemption date. The conditions for conversion were not met during the calendar quarter ended December 31, 2022.

On or after February 3, 2025, until the close of business on the second scheduled trading day immediately preceding August 1, 2025, holders may convert their 2025 Notes at any time.

Upon conversion, holders will receive the principal amount of their 2025 Notes and any excess conversion value, calculated based on the per share volume-weighted average price for each of the 40 consecutive trading days during the observation period (as more fully described in the 2025 Indenture). For both the principal and excess conversion value, holders may receive cash, shares of the Company’s common stock or a combination of cash and shares of the Company’s common stock, at the Company’s option. The initial conversion rate for the 2025 Notes is 13.9324 shares of common stock per $1,000 principal amount, which is equivalent to an initial conversion price of $71.78 per share of the Company’s common stock. The conversion rate will be subject to adjustment in some events but will not be adjusted for any accrued and unpaid interest. The initial conversion price of the 2025 Notes represents a premium of approximately 32.5% to the closing sale price of $54.17 per share of the Company’s common stock on the Nasdaq Global Select Market on July 7, 2020, the date that the Company priced the private offering of the 2025 Notes.

As of December 31, 2022, the 2025 Notes had a market price of $908 per $1,000 principal amount. In the event of conversion, holders would forgo all future interest payments, any unpaid accrued interest and the possibility of further stock price appreciation. Upon the receipt of conversion requests, the settlement of the 2025 Notes will be paid pursuant to the terms of the 2025 Indenture. In the event that all of the 2025 Notes are converted, the Company would be required to repay the $402.5 million in principal value and any conversion premium in any combination of cash and shares of its common stock (at the Company’s option).

Prior to August 1, 2023, the Company may not redeem the 2025 Notes. On or after August 1, 2023 (but, in the case of a redemption of less than all of the outstanding 2025 Notes, no later than the 40th scheduled trading day immediately before the maturity date), the Company may redeem for cash all or part of the 2025 Notes if the last reported sale price (as defined in the 2025 Indenture) of the Company’s common stock has been at least 130% of the conversion price then in effect for (i) each of at least 20 trading days (whether or not consecutive) during any 30 consecutive trading days ending on, and including, the trading day immediately before the date the Company sends the related notice of redemption and (ii) the trading day immediately before the date the Company sends such notice. The redemption price will equal the sum of (i) 100% of the principal amount of the 2025 Notes being redeemed, plus (ii) accrued and unpaid interest, including additional interest, if any, to, but excluding, the

redemption date. In addition, calling the 2025 Notes for redemption will constitute a “make-whole fundamental change” (as defined in the 2025 Indenture) and will, in certain circumstances, increase the conversion rate applicable to the conversion of such notes if it is converted in connection with the redemption. No sinking fund is provided for the 2025 Notes.

If the Company undergoes a fundamental change, as defined in the 2025 Indenture, subject to certain conditions, holders of the 2025 Notes may require the Company to repurchase for cash all or part of their 2025 Notes at a repurchase price equal to 100% of the principal amount of the 2025 Notes to be repurchased, plus accrued and unpaid interest to, but excluding, the fundamental change repurchase date. In addition, if a make-whole fundamental change occurs prior to August 1, 2025, the Company will, in certain circumstances, increase the conversion rate for a holder who elects to convert its notes in connection with the make-whole fundamental change.

The 2025 Notes are the Company’s general unsecured obligations that rank senior in right of payment to all of its indebtedness that is expressly subordinated in right of payment to the 2025 Notes, and equal in right of payment to the Company’s unsecured indebtedness. The 2025 Notes are also effectively junior in right of payment to any of the Company’s secured indebtedness to the extent of the value of the assets securing such indebtedness, and are structurally subordinated to any debt or other liabilities (including trade payables) of the Company’s subsidiaries.

While the 2025 Notes are currently classified on the Company’s consolidated balance sheet at December 31, 2022 as long-term debt, the future convertibility and resulting balance sheet classification of this liability is monitored at each quarterly reporting date and is analyzed dependent upon market prices of the Company’s common stock during the prescribed measurement periods. In the event that the holders of the 2025 Notes have the election to convert the 2025 Notes at any time during the prescribed measurement period, the 2025 Notes would then be considered a current obligation and classified as such.

Prior to January 1, 2022, under the previous ASC 470-20, Debt with Conversion and Other Options, an entity used to separately account for the liability and equity components of convertible debt instruments that may be settled entirely or partially in cash upon conversion in a manner that reflects the issuer’s economic interest cost. The liability component of the instrument used to be valued in a manner that reflected the market interest rate for a similar nonconvertible instrument at the date of issuance. The initial carrying value of the liability component of $314.7 million was calculated using a 5.78% assumed borrowing rate. The equity component of $87.8 million, which represented the conversion option, was determined by deducting the fair value of the liability component from the par value of the 2025 Notes and was recorded in additional paid-in capital on the consolidated balance sheet at the issuance date. The equity component used to be treated as a discount on the liability component of the 2025 Notes, which was amortized over the five-year term of the 2025 Notes using the effective interest rate method.

Resulting from ASU 2020-06, ASC 470-20 was revised effective January 1, 2022 which eliminated the requirement to separately account for the embedded conversion features that are not clearly and closely related to the debt, that meet the definition of a derivative and that do not qualify for the scope exception from derivative accounting and convertible debt instruments issued with substantial premiums for which the premiums were recorded as paid in capital. Effective January 1, 2022, the 2025 Notes debt discount carrying value of $64.7 million was eliminated and there was a $1.7 million increase in deferred financing costs offset by additional paid-in capital, accumulated deficit and deferred tax assets. For additional information regarding the adoption of ASU 2020-06, see Note 3, Summary of Significant Accounting Policies.

The 2025 Notes do not contain any financial or operating covenants or any restrictions on the payment of dividends, the issuance of other indebtedness or the issuance or repurchase of securities by the Company. The 2025 Indenture contains customary events of default with respect to the 2025 Notes, including that upon certain events of default, 100% of the principal and accrued and unpaid interest on the 2025 Notes will automatically become due and payable.

Convertible Senior Notes Due 2024 Assumed from the Flexion Acquisition

Prior to the Flexion Acquisition, in May 2017, Flexion issued an aggregate of $201.3 million principal amount of 3.375% convertible senior notes due 2024 (the “Flexion 2024 Notes”), pursuant to the indenture, dated as of May 2, 2017 (the “Original Flexion Indenture”), between Flexion and Computershare Corporate Trust, N.A. (formerly Wells Fargo Bank, N.A.), as trustee (the “Flexion Trustee”), as supplemented by the First Supplemental Indenture, dated as of November 19, 2021, between Flexion and the Flexion Trustee (the “First Supplemental Flexion Indenture” and, together with the Original Flexion Indenture, the “Flexion Indenture”). The Flexion 2024 Notes have a maturity date of May 1, 2024, are unsecured, and accrue interest at a rate of 3.375% per annum, payable semi-annually on May 1 and November 1 of each year. Upon the Flexion Acquisition, the principal was assumed and recorded at fair value by the Company.

Upon conversion of the Flexion 2024 Notes, at the election of each holder thereof, each Flexion 2024 Note was convertible into cash, shares of Flexion’s common stock, or a combination thereof, at Flexion’s election, at a conversion rate of approximately 37.3413 shares of Flexion common stock per $1,000 principal amount of the Flexion 2024 Notes, which corresponded to an initial conversion price of approximately $26.78 per share of Flexion’s common stock. As a result of the Flexion Acquisition, and in connection with the Notice (as defined below), holders of the Flexion 2024 Notes became entitled to certain Flexion Acquisition-related conversion and repurchase rights, as discussed below. In addition, as a result of the Flexion Acquisition and as discussed in more detail below, any future conversion rights are subject to the occurrence of any future events giving rise to such conversion rights under the Flexion Indenture.

On December 6, 2021, as a result of the Flexion Acquisition and in accordance with the Flexion Indenture, Flexion provided a Fundamental Change Company Notice and Offer to Purchase (the “Notice”) to the holders of the Flexion 2024 Notes and offered to repurchase for cash all of the outstanding Flexion 2024 Notes, at a repurchase price in cash equal to 100% of the principal amount of the Flexion 2024 Notes being repurchased, plus accrued and unpaid interest thereon to, but excluding, January 7, 2022, subject to the terms and conditions set forth therein. The offer to purchase expired at 5:00 p.m., New York City time, on January 6, 2022, as scheduled.

Any holder that did not exercise its repurchase right in accordance with the terms of the Notice retained the conversion rights associated with such holder’s Flexion 2024 Notes under the Flexion Indenture. For conversion of Flexion 2024 Notes in connection with the Fundamental Change and the Make-Whole Fundamental Change (each as defined in the Flexion Indenture) resulting from the Flexion Acquisition, each $1,000 principal amount of the Flexion 2024 Notes was convertible into (i) $317.40 in cash and (ii) 37.3413 CVRs, based on the conversion rate of 37.3413, prior to 5:00 p.m., New York City time, on January 7, 2022. Alternatively, holders could retain their Flexion 2024 Notes and such Flexion 2024 Notes would remain outstanding subject to their existing terms, including with respect to a holder’s right to receive interest payments on the Flexion 2024 Notes and exercise any future conversion rights that may arise under the Flexion Indenture.

On January 7, 2022, following the expiration of the offer to purchase, the Company accepted the $192.6 million aggregate principal amount of Flexion 2024 Notes that were validly tendered (and not validly withdrawn). No Flexion 2024 Notes were converted in connection with the Notice. At December 31, 2022, the remaining principal outstanding was $8.6 million.

Convertible Senior Notes Due 2022

In March 2017, the Company completed a private placement of $345.0 million in aggregate principal amount of 2.375% convertible senior notes due 2022, or 2022 Notes, and entered into an indenture with respect to the 2022 Notes. The 2022 Notes accrued interest at a fixed rate of 2.375% per year, payable semiannually in arrears on April 1st and October 1st of each year. In July 2020, the Company used part of the net proceeds from the issuance of the 2025 Notes to repurchase $185.0 million aggregate principal amount of the 2022 Notes in privately negotiated transactions for an aggregate of $211.1 million in cash (including accrued interest). The partial repurchase of the 2022 Notes resulted in an $8.1 million loss on early extinguishment of debt during the year ended December 31, 2020.

The total debt composition of the 2022 Notes is as follows (in thousands):


	December 31,
	2022		2021
2.375% convertible senior notes due April 2022	$	—	$	160,000
Deferred financing costs	—		(223)
Discount on debt	—		(1,920)
Total debt, net of debt discount and deferred financing costs	$	—	$	157,857

On April 1, 2022, the 2022 Notes matured and the Company settled the remaining outstanding principal balance of $160.0 million and a conversion premium of $4.8 million through a cash payment of $156.9 million and the issuance of 101,521 shares of the Company’s common stock, which increased additional paid-in capital by $3.0 million.

Interest Expense

The following table sets forth the total interest expense recognized in the periods presented (dollar amounts in thousands):


	Year Ended December 31,
	2022			2021			2020
Contractual and other interest expense	$	36,880		$	9,759		$	7,650
Amortization of debt issuance costs	4,400			2,754			2,156
Amortization of debt discount	2,807			23,152			18,254
Capitalized interest and other (Note 7)	(4,111)			(3,915)			(2,389)
Total	$	39,976		$	31,750		$	25,671

Effective interest rate on total debt	5.47		%	6.66		%	7.15		%

Upon the adoption of ASU 2020-06 effective January 1, 2022, the Company eliminated the convertible debt discounts associated with the 2022 Notes and the 2025 Notes that were originally recorded as offsets to the embedded conversion features recognized in equity. Effective January 1, 2022, the Company does not record interest expense on previously recorded discounts on convertible debt attributable to the convertible feature. The deferred financing costs previously allocated to the conversion features have been re-allocated to the outstanding debt. For additional information regarding the adoption of ASU 2020-06, see Note 3, Summary of Significant Accounting Policies.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
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Reference 2: http://www.xbrl.org/2003/role/disclosureRef
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-Name Accounting Standards Codification
-Topic 470
-SubTopic 20
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-Paragraph 1B
-Subparagraph (h)
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Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
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Reference 4: http://www.xbrl.org/2003/role/disclosureRef
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Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
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-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(c))
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-Publisher FASB
-Name Accounting Standards Codification
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Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
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Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
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-URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495334-112611

Reference 10: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
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Reference 11: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
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-URI https://asc.fasb.org/extlink&oid=123466505&loc=SL123495323-112611

Reference 12: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
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-Section 50
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Reference 13: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
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+ Details

FINANCIAL INSTRUMENTS

12 Months Ended

Dec. 31, 2022

Fair Value Disclosures [Abstract]

FINANCIAL INSTRUMENTS

Fair Value Measurements

Fair value is defined as the price that would be received to sell an asset or be paid to transfer a liability in the principal or most advantageous market in an orderly transaction. To increase consistency and comparability in fair value measurements, the FASB established a three-level hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The three levels of fair value measurements are:

•Level 1: Quoted prices (unadjusted) in active markets that are accessible at the measurement date for assets or liabilities. The fair value hierarchy gives the highest priority to Level 1 inputs.

•Level 2: Observable prices that are based on inputs not quoted on active markets, but corroborated by market data.

•Level 3: Unobservable inputs that are used when little or no market data is available. The fair value hierarchy gives the lowest priority to Level 3 inputs.

The carrying value of financial instruments including cash and cash equivalents, accounts receivable and accounts payable approximate their respective fair values due to the short-term nature of these items. The fair value of the Company’s convertible senior notes are calculated utilizing market quotations from an over-the-counter trading market for these notes (Level 2). The fair value of the Company’s acquisition-related contingent consideration is reported at fair value on a recurring basis (Level 3). The carrying amounts of convertible notes receivable without readily determinable fair values have not been adjusted for either an impairment or upward or downward adjustments based on observable transactions, whereas an equity investment was fully impaired during the year ended December 31, 2022.

At December 31, 2022, the carrying values and fair values of the Company’s financial assets and liabilities were as follows (in thousands):


	Carrying Value		Fair Value Measurements Using
			Level 1		Level 2		Level 3
Financial Assets and Financial Liabilities Measured at Fair Value on a Recurring Basis:
Financial Asset:
Equity investments	$	15,877	$	—	$	—	$	15,877
Convertible notes receivable	$	5,315	$	—	$	—	$	5,315
Financial Liabilities:
Acquisition-related contingent consideration	$	28,122	$	—	$	—	$	28,122

Financial Liabilities Measured at Amortized Cost:
Term loan B facility due December 2026	$	284,704	$	—	$	292,422	$	—
0.750% convertible senior notes due 2025 (1)	$	396,126	$	—	$	365,269	$	—
3.375% convertible senior notes due 2024 (2)	$	8,641	$	—	$	8,641	$	—

(1) The closing price of the Company’s common stock as reported on the Nasdaq Global Select Market was $38.61 per share at December 31, 2022 compared to a conversion price of $71.78 per share. At December 31, 2022, as the conversion price was above the stock price, the requirements for conversion have not been met. The maximum conversion premium that could have been due on the 2025 Notes at December 31, 2022 is approximately 5.6 million shares of the Company’s common stock, which assumes no increase in the conversion rate for certain events.

(2) Relates to the Flexion 2024 Notes. For more information, See Note 11, Debt.

Certain assets and liabilities are measured at fair value on a non-recurring basis, including assets and liabilities acquired in a business combination and long-lived assets, which would be recognized at fair value if deemed impaired or if reclassified as assets held for sale. The fair value in these instances would be determined using Level 3 inputs.

Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis

Equity and Convertible Note Investments

The Company holds strategic investments in clinical and preclinical stage privately-held biotechnology companies in the form of equity and convertible note investments. The following investments have no readily determinable fair value and are recorded at cost minus impairment, if any, plus or minus observable price changes of identical or similar investments (in thousands):


	Equity Investments		Convertible Notes Receivable		Total
Balance at December 31, 2020	$	12,802	$	—	$	12,802
Purchases	12,967		4,220		17,187
Divestiture of investment	(11,642)		—		(11,642)
Foreign currency adjustments	—		(88)		(88)
Balance at December 31, 2021	14,127		4,132		18,259
Purchases	11,750		1,250		13,000
Impairment	(10,000)		—		(10,000)
Foreign currency adjustments	—		(67)		(67)
Balance at December 31, 2022	$	15,877	$	5,315	$	21,192

During the year ended December 31, 2022, an impairment of an equity investment of $10.0 million was recorded in other, net in the consolidated statements of operations.

During the year ended December 31, 2021, the Company sold an equity investment for net cash proceeds of $9.1 million and recognized a realized loss of $2.6 million, which was recorded in other, net in the consolidated statements of operations. The fair value of the divested equity investment was based on a Level 1 input.

In February 2023, the Company invested $4.0 million in a convertible note receivable.

Acquisition-Related Contingent Consideration

The Company has recognized contingent consideration related to the Flexion Acquisition and the MyoScience Acquisition in the amount of $28.1 million and $57.6 million as of December 31, 2022 and 2021, respectively. Refer to Note 5, Flexion Acquisition and Note 18, Acquisition-related Charges (Gains), Impairment and Other, for more information.

The Company’s contingent consideration obligations are recorded at their estimated fair values and are revalued each reporting period if and until the related contingencies are resolved. The Company has measured the fair value of its contingent consideration using a probability-weighted discounted cash flow approach that is based on unobservable inputs and a Monte Carlo simulation. These inputs include, as applicable, estimated probabilities and the timing of achieving specified commercial and regulatory milestones, estimated forecasts of revenue and costs and the discount rates used to calculate the present value of estimated future payments. Significant changes may increase or decrease the probabilities of achieving the related commercial and regulatory events, shorten or lengthen the time required to achieve such events, or increase or decrease estimated forecasts.

In November 2021, the Company completed the Flexion Acquisition, which provided for contingent consideration related to CVRs that were issued to Flexion shareholders and certain equity award holders which could aggregate up to a total of $372.3 million if certain regulatory and commercial milestones are met. The aggregate amount was previously $425.5 million prior to the Company’s September 2022 decision to formally discontinue further development of PCRX-301. The Company’s obligation to make milestone payments is limited to those milestones achieved through December 31, 2030, and are to be paid within 60 days of the end of the fiscal quarter of achievement. As part of the purchase price consideration related to the Flexion Acquisition, the Company recorded contingent consideration of $45.2 million, which represented the Company’s potential achievement of meeting the regulatory and commercial milestones. From the date of the Flexion Acquisition through December 31, 2021, the Company recorded an additional $1.2 million liability. For the year ended December 31, 2022, the Company recorded a gain of $18.3 million primarily due to adjustments to near-term forecasts for the earnout period of the Flexion contingent consideration, which were recorded as acquisition-related gains in the consolidated statements of operations. At December 31, 2022, the weighted average discount rate was 15.0%. The probability of payment for the achievement of the remaining regulatory milestone by the expiration date was reduced to 12.5% at December 31, 2022 from 15% at December 31, 2021. The reduction in the probability of payment is due to the likelihood of achievement prior to the expiration date being reduced to 50% from 100% due to revised timing in conducting clinical trial studies, whereas the probability of success in regulatory approval has improved to 25% from 15%. As of December 31, 2022 and 2021, the contingent consideration liability related to the Flexion Acquisition was recognized in the amount of $28.1 million and $46.4 million, respectively.

In April 2019, the Company completed the MyoScience Acquisition pursuant to the terms of an Agreement and Plan of Merger, which provided for contingent milestone payments of up to an aggregate of $100.0 million upon the achievement of certain regulatory and commercial milestones. The Company’s obligation to make milestone payments is limited to those milestones achieved through December 31, 2023, and are to be paid within 60 days of the end of the fiscal quarter of achievement. As of December 31, 2022, the maximum potential remaining milestone payments to be paid are $43.0 million. For the year ended December 31, 2022, the Company recognized a contingent consideration gain of $11.2 million due to the reduced probability of meeting the MyoScience contingent consideration milestones by December 31, 2023, the expiration date for achieving the remaining milestones.

For the years ended December 31, 2021 and 2020, the Company recognized an acquisition-related gain of $2.2 million and an acquisition-related charge of $5.2 million, respectively, as a result of revisions to the probabilities of regulatory milestones being met and future projections, which have been included in acquisition-related charges (gains) in the consolidated statements of operations. At December 31, 2022, the probability of success for the regulatory milestone that has not yet been met was reduced to zero. As of December 31, 2022 and 2021, the fair value associated with the contingent consideration liability related to the MyoScience Acquisition has been assessed as zero and $11.2 million, respectively.

The following table includes the key assumptions used in the valuation of the Company’s contingent consideration:

Assumption

Flexion Ranges Utilized as of
December 31, 2022

Discount rates

14.9% to 15.1%

Probability of payment for achievement of regulatory milestones

0% to 12.5%

Projected year of achieving or expiration of regulatory milestones

2030

The change in the Company’s contingent consideration recorded at fair value using Level 3 measurements is as follows (in thousands):


	Contingent Consideration Fair Value
Balance at December 31, 2020	$	28,346
Contingent consideration related to the Flexion Acquisition	45,241
Fair value adjustments and accretion	(989)
Payments made or offset against amounts due	(15,000)
Balance at December 31, 2021	57,598
Fair value adjustments and accretion	(29,476)
Balance at December 31, 2022	$	28,122

Available-for-Sale Investments

Short-term investments consist of asset-backed securities collateralized by credit card receivables, investment grade commercial paper and corporate, federal agency and government bonds with maturities greater than three months, but less than one year. Noncurrent investments consist of federal agency bonds with maturities greater than one year but less than three years. Net unrealized gains and losses (excluding credit losses, if any) from the Company’s short-term and noncurrent investments are reported in other comprehensive (loss) income. At December 31, 2022, all of the Company’s short-term and noncurrent investments are classified as available-for-sale investments and are determined to be Level 2 instruments, which are measured at fair value using standard industry models with observable inputs. The fair value of the commercial paper is measured based on a standard industry model that uses the three-month U.S. Treasury bill rate as an observable input. The fair value of the asset-backed securities and corporate bonds is principally measured or corroborated by trade data for identical issues in which related trading activity is not sufficiently frequent to be considered a Level 1 input or that of comparable securities. At the time of purchase, all short-term and noncurrent investments had an “A” or better rating by Standard & Poor’s.

The following summarizes the Company’s investments at December 31, 2022 and 2021 (in thousands):


December 31, 2022 Investments:	Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value (Level 2)
Current:
Asset-backed securities	$	6,836	$	—	$	(3)	$	6,833
Commercial paper	134,423		23		(386)		134,060

U.S. federal agency bonds	41,971		—		(337)		41,634
U.S. government bonds	2,003		—		(18)		1,985
Subtotal	185,233		23		(744)		184,512
Noncurrent:



U.S. federal agency bonds	22,783		2		(66)		22,719
U.S. government bonds	14,499		—		(9)		14,490
Subtotal	37,282		2		(75)		37,209
Total	$	222,515	$	25	$	(819)	$	221,721


December 31, 2021 Investments:	Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value (Level 2)
Current:
Asset-backed securities	$	3,182	$	—	$	—	$	3,182
Commercial paper	57,533		80		(2)		57,611
Corporate bonds	9,936		102		—		10,038







Total	$	70,651	$	182	$	(2)	$	70,831

At December 31, 2022, there were no investments available for sale that were materially less than their amortized cost.

The Company elects to recognize its interest receivable separate from its available-for-sale investments. At December 31, 2022 and 2021, the interest receivable recognized in prepaid expenses and other current assets was $0.8 million and $0.1 million, respectively.

Credit Risk

Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents, short-term and noncurrent available-for-sale investments and accounts receivable. The Company maintains its cash and cash equivalents with high-credit quality financial institutions. Such amounts may exceed federally-insured limits.

As of December 31, 2022, three wholesalers each accounted for over 10% of the Company’s accounts receivable at 34%, 19% and 18%. As of December 31, 2021, four wholesalers each accounted for over 10% of the Company’s accounts receivable at 30%, 20%, 17% and 11%. For additional information regarding the Company’s wholesalers, see Note 2, Summary of Significant Accounting Policies. EXPAREL and ZILRETTA revenues are primarily derived from major wholesalers and specialty distributors that generally have significant cash resources. The Company performs ongoing credit evaluations of its customers as warranted and generally does not require collateral. Allowances for credit losses on the Company’s accounts receivable are maintained based on historical payment patterns, current and estimated future economic conditions, aging of accounts receivable and its write-off history. As of December 31, 2022 and 2021, the Company did not deem any allowances for credit losses on its accounts receivable necessary.

STOCKHOLDERS' EQUITY

12 Months Ended

Dec. 31, 2022

Stockholders' Equity Note [Abstract]

STOCKHOLDERS' EQUITY

STOCKHOLDERS’ EQUITY

Common Stock

The Company is authorized to issue up to 250,000,000 shares of common stock, of which 45,927,790 and 44,734,308 were issued and outstanding at December 31, 2022 and 2021, respectively.

Preferred Stock

The Company is authorized to issue up to 5,000,000 shares of preferred stock. No preferred stock was issued or outstanding at either December 31, 2022 or 2021.

Accumulated Other Comprehensive (Loss) Income

The following table illustrates the changes in the balances of the Company’s accumulated other comprehensive (loss) income for the periods presented (in thousands):


	Net Unrealized Gains (Losses) From Available-For-Sale Investments		Unrealized Foreign Currency Translation		Accumulated Other Comprehensive (Loss) Income
Balance at December 31, 2019	$	322	$	—	$	322
Net unrealized loss on investments	(3)		—		(3)
Foreign currency translation adjustments	—		(1)		(1)

Balance at December 31, 2020	319		(1)		318
Net unrealized loss on investments, net of tax(1)	(180)		—		(180)
Foreign currency translation adjustments	—		29		29

Balance at December 31, 2021	139		28		167
Net unrealized loss on investments, net of tax(1)	(662)		—		(662)
Foreign currency translation adjustments	—		115		115

Balance at December 31, 2022	$	(523)	$	143	$	(380)

(1) Net of a $0.2 million and $0.1 million tax benefit for the years ended December 31, 2022 and 2021, respectively.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
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Reference 3: http://www.xbrl.org/2003/role/disclosureRef
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Reference 4: http://www.xbrl.org/2003/role/disclosureRef
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Reference 5: http://www.xbrl.org/2003/role/disclosureRef
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-Name Accounting Standards Codification
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-URI https://asc.fasb.org/extlink&oid=126973232&loc=SL123496171-112644

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
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-Section S99
-Paragraph 1
-Subparagraph (SX 210.3-04)
-URI https://asc.fasb.org/extlink&oid=120397183&loc=d3e187085-122770

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
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-URI https://asc.fasb.org/extlink&oid=126973232&loc=SL123496189-112644

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
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-URI https://asc.fasb.org/extlink&oid=126973232&loc=SL123496158-112644

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
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Reference 10: http://www.xbrl.org/2003/role/disclosureRef
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-Name Accounting Standards Codification
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Reference 11: http://www.xbrl.org/2003/role/disclosureRef
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Reference 12: http://www.xbrl.org/2003/role/disclosureRef
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Reference 13: http://www.xbrl.org/2003/role/disclosureRef
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Reference 14: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
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Reference 15: http://www.xbrl.org/2003/role/disclosureRef
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-Name Accounting Standards Codification
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Reference 16: http://www.xbrl.org/2003/role/disclosureRef
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-URI https://asc.fasb.org/extlink&oid=126731327&loc=SL126733271-114008

+ Details

STOCK PLANS

12 Months Ended

Dec. 31, 2022

Share-Based Payment Arrangement [Abstract]

STOCK PLANS

Stock Incentive Plans

The Company’s amended and restated 2011 stock incentive plan, or 2011 Plan, was originally adopted by its board of directors and approved by its stockholders in June 2011 and was amended in June 2014, June 2016, June 2019 and June 2021. The June 2021 amendment and approval by the Company’s stockholders increased the number of shares of common stock authorized for issuance as equity awards under the plan by 1,500,000 shares.

The 2011 Plan allows the granting of incentive stock options, non-statutory stock options, restricted stock awards and other stock-based awards. In April 2014, the Company’s board of directors also adopted the 2014 Inducement Plan.

The Company’s stock option grants have an exercise price equal to the closing price of the Company’s common stock on the date of grant, generally have a 10-year contractual term and vest in increments (typically over four years from the date of grant, although the Company may occasionally grant options with different vesting terms, including grants made to its non-employee directors). The Company also grants RSUs to employees and non-employee directors generally vesting in increments over four years from the date of grant, except for such grants made to non-employee directors. The Company uses authorized but unissued shares of its common stock to satisfy its obligations under these plans.

Employee Stock Purchase Plan

The Company’s Amended and Restated Employee Stock Purchase Plan, or ESPP, was originally adopted by its board of directors in April 2014, approved by the Company’s stockholders in June 2014 and amended and restated in June 2022. The June 2022 amendment and restatement increased the number of shares of common stock that may be sold under the plan by an additional 500,000 shares from the originally provided 500,000 shares. The purpose of the ESPP is to provide a vehicle for

eligible employees to purchase shares of the Company’s common stock at a discounted price and to help retain and motivate current employees as well as attract new talent. Under the ESPP, up to 1,000,000 shares of common stock may be sold. The ESPP expires in June 2032. The ESPP is intended to qualify as an “employee stock purchase plan” within the meaning of Section 423 of the Internal Revenue Code, or IRC. The maximum fair market value of stock which can be purchased by a participant in a calendar year is $25,000. Six-month offering periods begin on January 1 and July 1 of each year. During an offering period, eligible employees have the opportunity to elect to purchase shares of the Company’s common stock on the purchase dates of June 30 and December 31 (or the last trading day of an offering period). The per share purchase price is equal to 85% of the fair market value of the Company’s common stock on either the offering date or the purchase date, whichever is lesser. During the year ended December 31, 2022, 71,301 shares were purchased and issued through the ESPP.

The following tables contain information about the Company’s stock incentive plans at December 31, 2022:


Stock Incentive Plan	Awards Reserved For Issuance	Awards Issued	Awards Available For Grant
2011 Plan	14,431,701	13,858,585	573,116
2014 Inducement Plan	175,000	36,076	138,924
Total	14,606,701	13,894,661	712,040

Employee Stock Purchase Plan	Shares Reserved For Purchase	Shares Purchased	Shares Available For Purchase
ESPP	1,000,000	480,350	519,650

Stock-Based Compensation

Compensation expense for stock options and RSUs is based on the estimated grant date fair value of an award recognized over the requisite service period on a straight-line expense attribution method. Compensation expense for ESPP share options is based on the estimated grant date fair value of the ESPP shares and the grant date number of shares that can be purchased, which is recognized as expense on a straight-line expense attribution method over the length of an offering period.

The Company recognized stock-based compensation expense in its consolidated statements of operations for the years ended December 31, 2022, 2021 and 2020 as follows (in thousands):


	Year Ended December 31,
	2022		2021		2020
Cost of goods sold	$	5,967	$	5,891	$	5,589
Research and development	6,594		5,465		5,211
Selling, general and administrative	35,531		30,890		29,120
Total	$	48,092	$	42,246	$	39,920

Stock-based compensation from:
Stock options	$	26,800	$	25,980	$	26,749
RSUs	20,310		15,335		12,266
ESPP	982		931		905
Total	$	48,092	$	42,246	$	39,920

Related income tax benefit	$	10,219	$	8,989	$	8,578

The following table summarizes the Company’s stock option activity and related information for the period from December 31, 2019 to December 31, 2022:


	Number of Stock Options	Weighted Average Exercise Price (Per Share)		Weighted Average Remaining Contractual Term (Years)	Aggregate Intrinsic Value (in Thousands)
Outstanding at December 31, 2019	6,706,378	$	42.80	7.05	$	50,652
Granted	1,502,803	47.50
Exercised	(1,428,111)	31.67			$	34,227
Forfeited	(426,925)	42.08
Expired	(119,027)	71.71
Outstanding at December 31, 2020	6,235,118	45.98		6.97	$	102,955
Granted	890,277	60.27
Exercised	(732,117)	32.56			$	23,967
Forfeited	(278,233)	46.46
Expired	(64,505)	80.31
Outstanding at December 31, 2021	6,050,540	49.32		6.59	$	81,407
Granted	1,061,630	59.99
Exercised	(689,464)	35.37			$	23,983
Forfeited	(113,506)	54.97
Expired	(36,206)	79.90
Outstanding at December 31, 2022	6,272,994	$	52.38	6.28	$	2,011
Exercisable at December 31, 2022	4,224,921	$	50.51	5.17	$	1,997
Vested and expected to vest as of December 31, 2022	6,272,994	$	52.38	6.28	$	2,011

As of December 31, 2022, $45.4 million of total unrecognized compensation cost related to unvested stock options is expected to be recognized over a weighted average period of 2.6 years. The Company’s stock options have a maximum expiration date of ten years from the date of grant.

The weighted average fair value of stock options granted for the years ended December 31, 2022, 2021 and 2020 was $25.60, $26.74 and $22.40 per share, respectively. The fair values of stock options granted were estimated using the Black-Scholes model with the following weighted average assumptions:


	Year Ended December 31,
Black-Scholes Weighted Average Assumption	2022	2021	2020
Expected dividend yield	None	None	None
Risk-free interest rate	1.37% - 4.17%	0.43% - 1.21%	0.22% - 1.60%
Expected volatility	45.1%	49.1%	53.5%
Expected term of options	4.92 years	5.36 years	5.36 years

The following table summarizes the Company’s RSU activity and related information for the period from December 31, 2019 to December 31, 2022:


	Number of Restricted Stock Units	Weighted Average Grant Date Fair Value (Per Share)		Aggregate Intrinsic Value (in Thousands)
Unvested at December 31, 2019	631,141	$	41.87	$	28,591
Granted	665,476	48.70
Vested	(239,085)	41.91
Forfeited	(100,079)	44.43
Unvested at December 31, 2020	957,453	46.34		$	57,294
Granted	446,450	60.81
Vested	(309,779)	45.16
Forfeited	(138,847)	50.67
Unvested at December 31, 2021	955,277	52.85		$	57,479
Granted	621,149	60.11
Vested	(331,196)	50.25
Forfeited	(95,768)	56.00
Unvested and expected to vest as of December 31, 2022	1,149,462	$	57.26	$	44,381

As of December 31, 2022, $52.7 million of total unrecognized compensation cost related to unvested RSUs is expected to be recognized over a weighted average period of 2.9 years. The Company’s RSUs have a maximum vest date of four years from the date of grant. The fair values of RSUs awarded are equal to the closing price of the Company’s common stock on the date of grant.

The fair values of the ESPP share options granted were estimated using the Black-Scholes model with the following weighted average assumptions:


	Year Ended December 31,
Black-Scholes Weighted Average Assumption	2022	2021	2020
ESPP share option fair value	$15.26 - $15.86	$15.16 - $15.23	$11.02 - $17.54
Expected dividend yield	None	None	None
Risk-free interest rate	0.22% - 2.52%	0.50% - 0.90%	0.14% - 1.57%
Expected volatility	39.5%	37.0%	44.9%
Expected term of ESPP share options	6 months	6 months	6 months

NET INCOME PER SHARE

12 Months Ended

Dec. 31, 2022

Earnings Per Share [Abstract]

NET INCOME PER SHARE

Potential common shares are excluded from the diluted net income per share computation to the extent that they would be antidilutive. If the Company reported a net loss for the year, no potentially dilutive securities would be included in the computation of diluted net loss per share. As discussed in Note 11, Debt, the Company has the option to pay cash for the aggregate principal amount due upon the conversion of its 2025 Notes, and intends to do so.

ASU 2020-06 was adopted on January 1, 2022 and requires the Company to use the if-converted method to calculate the number of potentially dilutive shares for convertible debt. Under the if-converted method, adjustments are made to the diluted net income per common share calculation as if the Company had converted the convertible debt on the first day of each period presented. Adjustments to the numerator are made to add back the interest expense associated with the convertible debt on a post-tax basis. Adjustments to the denominator reflect the number of shares assumed to be convertible at the beginning of the period. For additional information regarding the adoption of ASU 2020-06, see Note 3, Recent Accounting Pronouncements. For the years ended December 31, 2021 and 2020, the Company used the treasury stock method to calculate dilutive shares on its convertible debt.

The following table sets forth the computation of basic and diluted net income per common share for the years ended December 31, 2022, 2021 and 2020 (in thousands, except per share amounts):


	Year Ended December 31,
	2022		2021		2020
Numerator:
Net income—basic	$	15,909	$	41,980	$	145,523





Denominator:
Weighted average common shares outstanding—basic	45,521		44,262		42,671
Computation of diluted securities:

Dilutive effect of stock options	787		1,030		783
Dilutive effect of RSUs	226		298		227
Dilutive effect of conversion premium on the 2022 Notes	—		38		—
Dilutive effect of ESPP purchase options	4		2		1
Weighted average common shares outstanding—diluted	46,538		45,630		43,682
Net income per share:
Basic net income per common share	$	0.35	$	0.95	$	3.41
Diluted net income per common share	$	0.34	$	0.92	$	3.33

The following table summarizes the outstanding stock options, RSUs, ESPP purchase options and convertible senior notes that were excluded from the diluted net income per common share calculation because the effects of including these potential shares were antidilutive in the periods presented (in thousands):


	Year Ended December 31,
	2022	2021	2020
Weighted average number of stock options	2,821	2,141	4,237
Convertible senior notes (1)	6,206	—	—
Weighted average number of RSUs	417	116	99
Weighted average ESPP purchase options	7	13	16
Total	9,451	2,270	4,352

(1) The convertible senior notes were antidilutive for the year ended December 31, 2022, in conjunction with a $5.1 million if-converted method adjustment to the numerator that adds back the interest expense associated with the convertible debt on a post-tax basis under ASU 2020-06.

INCOME TAXES

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

INCOME TAXES

Income (loss) before income taxes and the related tax (benefit) expense is as follows (in thousands):


	Year Ended December 31,
	2022		2021		2020
Income (loss) before income taxes:
Domestic	$	21,068	$	64,751	$	17,000
Foreign	(7,766)		(8,347)		3,089
Total income before income taxes	$	13,302	$	56,404	$	20,089

Current taxes:
Federal	$	—	$	—	$	(6)
State	5,309		3,533		1,185
Foreign	29		19		—
Total current taxes	$	5,338	$	3,552	$	1,179
Deferred taxes:
Federal	$	(2,781)	$	12,554	$	(99,164)
State	(5,164)		(1,682)		(27,449)

Total deferred taxes	$	(7,945)	$	10,872	$	(126,613)

Total income tax (benefit) expense	$	(2,607)	$	14,424	$	(125,434)

A reconciliation of income tax (benefit) expense at the U.S. federal statutory rate to the provision for income taxes is as follows (dollars in thousands):


	Year Ended December 31,
	2022				2021				2020
	Amount		Tax Rate		Amount		Tax Rate		Amount		Tax Rate
U.S. statutory rate applied to income before taxes	$	2,793	21.00	%	$	11,845	21.00	%	$	4,219	21.00	%
State taxes	(448)		(3.37)	%	2,154		3.82	%	632		3.15	%
Foreign taxes	248		1.86	%	(651)		(1.15)	%	639		3.18	%
Executive compensation	1,267		9.53	%	719		1.27	%	765		3.81	%
Change in valuation allowance	2,871		21.58	%	3,695		6.55	%	(130,150)		(647.87)	%
Stock-based compensation	(1,795)		(13.49)	%	(2,144)		(3.80)	%	(216)		(1.08)	%
Tax credits	(2,542)		(19.11)	%	(1,690)		(3.00)	%	(1,591)		(7.92)	%
Interest expense	(3,477)		(26.14)	%	—		—	%	—		—	%
Contingent consideration	(3,841)		(28.88)	%	247		0.44	%	—		—	%

Nondeductible expenses	1,164		8.75	%	1,929		3.42	%	149		0.74	%
Reserves	984		7.40	%	(738)		(1.31)	%	1,539		7.66	%
Convertible debt	—		—	%	—		—	%	(1,048)		(5.22)	%

Other	169		1.27	%	(942)		(1.67)	%	(372)		(1.84)	%
Income tax (benefit) expense and effective tax rate	$	(2,607)	(19.60)	%	$	14,424	25.57	%	$	(125,434)	(624.39)	%

Deferred taxes reflect the tax effects of the differences between the amounts recorded as assets and liabilities for financial reporting purposes and the comparable amounts recorded for income tax purposes. At each reporting date, the Company considers new evidence, both positive and negative, that could affect its view of the future realization of deferred tax assets. During the year ended December 31, 2020, the Company determined there was sufficient positive evidence to conclude that it was more-likely-than-not the domestic deferred taxes of $126.6 million were realizable and, therefore, the domestic valuation allowance was released. The Company maintains a full valuation allowance on its foreign net deferred tax balances as it is more-likely-than-not the tax benefits are not realizable.

Significant components of the Company’s deferred tax assets and liabilities at December 31, 2022 and 2021 are as follows (in thousands):


	December 31,
	2022		2021
Deferred tax assets:
Net operating loss carryforwards	$	151,495	$	174,203
Federal and state credits	23,098		35,414
Accruals and reserves	19,979		29,691
Stock based compensation	27,473		24,545
Deferred revenue	—		2,430
Inventory reserves	4,889		572
Other	11,036		2,441
Total deferred tax assets	237,970		269,296
Deferred tax liabilities:
Depreciation and amortization	(54,743)		(81,418)
Discount on convertible senior notes	13		(15,521)
Total deferred tax liabilities	(54,730)		(96,939)
Deferred tax assets, net of deferred tax liabilities	183,240		172,357
Less: valuation allowance	(22,931)		(18,993)
Net deferred tax assets	$	160,309	$	153,364

As of December 31, 2022, the Company’s federal net operating losses, or NOLs, and federal tax credit carryforwards totaled $571.8 million and $16.6 million, respectively. The Company also had state NOLs and state tax credit carryforwards of $518.0 million and $6.5 million, respectively, which are subject to change on an annual basis due to variations in the Company’s annual state apportionment factors. The federal and state NOLs will begin to expire in 2032 and 2028, respectively. The Company had non-U.S. tax NOLs of $6.5 million at December 31, 2022. The non-U.S. NOLs do not expire.

Since the Company had cumulative changes in ownership of more than 50% within a three-year period, under IRC sections 382 and 383, the Company’s ability to use certain NOLs, tax attributes and credit carryforwards to offset taxable income or tax will be limited. Such ownership changes were triggered by the initial acquisition of the Company’s stock in 2007 as well as cumulative ownership changes arising as a result of the completion of the Company’s initial public offering, other financing transactions and the Flexion Acquisition in 2021. As a result of these ownership changes, the Company estimates $516.2 million of federal NOLs are subject to annual limitations and are estimated to be available as follows: $32.6 million will come available in 2023, $32.5 million in 2024, $32.4 million in 2025, $28.3 million in 2026, and $6.9 million in 2027 and thereafter.

In accordance with ASC Topic 740, the Company establishes a valuation allowance for deferred tax assets that, in its judgment, are not more-likely-than-not realizable. These judgments are based on projections of future income—including tax-planning strategies—by individual tax jurisdictions. In each reporting period, the Company assesses the likelihood that its deferred tax assets will be realized and determines if adjustments to its valuation allowance are appropriate. The Company had a net increase in its valuation allowance of $3.9 million and $16.5 million for the years ended December 31, 2022 and 2021, respectively. The current year net increase in The Company’s valuation allowance includes $2.5 million against U.S. capital loss carryforwards, $0.9 million against Flexion Acquisition state attributes and $0.5 million against foreign net deferred tax assets. The Company continues to maintain a full valuation allowance against foreign net deferred tax assets since it is more-likely-than-not the tax benefit related to the foreign losses are not realizable.

In 2022, the Company recorded a $2.7 million net reduction to unrecognized tax benefits, or UTBs of which $3.7 million is a full reduction in Flexion acquired tax credits, offset by a $0.2 million increase related to prior year tax credit and $0.8 million related to tax credit positions taken during the year. The Company’s UTB liability at December 31, 2022 was $6.3 million. The change in the Company’s UTBs for the year ended December 31, 2022 is summarized as follows (in thousands):


	Unrecognized Tax Benefit
Balance as December 31, 2020	$	6,076



Reduction for prior year positions	(1,355)
Additions for current year positions	4,300
Balance at December 31, 2021	9,021



Reduction for prior year positions	(3,526)
Additions for current year positions	827

Balance at December 31, 2022	$	6,322

The UTBs as of December 31, 2022, 2021 and 2020 would, if subsequently recognized, favorably impact the effective income tax rate.

The Company regularly assesses the likelihood of additional tax assessments by jurisdiction and, if necessary, adjusts its reserve for UTBs based on new information or developments. Due to the Company’s tax credit carryforwards, the reserve was recorded as a reduction of the Company’s deferred tax assets, and any potential deficiency would not result in a tax liability. Therefore, no interest or penalties were recognized in income tax expense for the years ended December 31, 2022, 2021 and 2020.

The Company is currently subject to audit by the U.S. Internal Revenue Service, or IRS, for the years 2019 through 2022, and state tax jurisdictions for the years 2018 through 2022. However, the IRS or states may still examine and adjust an NOL arising from a closed year to the extent it is utilized in a year that remains subject to audit. The Company’s previously filed income tax returns are not presently under audit by the IRS or state tax authorities.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 21
-URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32857-109319

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SAB Topic 11.C)
-URI https://asc.fasb.org/extlink&oid=122134291&loc=d3e330215-122817

Reference 3: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 17
-Subparagraph (b)
-URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32809-109319

Reference 4: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SAB TOPIC 6.I.5.Q1)
-URI https://asc.fasb.org/extlink&oid=122134291&loc=d3e330036-122817

Reference 5: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 14
-URI https://asc.fasb.org/extlink&oid=121826272&loc=d3e32705-109319

Reference 6: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 270
-Section 50
-Paragraph 1
-URI https://asc.fasb.org/extlink&oid=6424409&loc=d3e44925-109338

Reference 7: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-URI https://asc.fasb.org/topic&trid=2144680

Reference 8: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 30
-Section 50
-Paragraph 2
-Subparagraph (a)
-URI https://asc.fasb.org/extlink&oid=6424122&loc=d3e41874-109331

Reference 9: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(h)(2))
-URI https://asc.fasb.org/extlink&oid=120395691&loc=d3e23780-122690

+ Details

EMPLOYEE BENEFIT PLANS	12 Months Ended
EMPLOYEE BENEFIT PLANS	Dec. 31, 2022
Retirement Benefits [Abstract]
EMPLOYEE BENEFIT PLANS	EMPLOYEE BENEFIT PLANS 401(k) Plan The Company’s 401(k) plan is a deferred salary arrangement under section 401(k) of the IRC. Under the 401(k) plan, participating U.S. employees may defer a portion of their pre-tax earnings which are eligible for a discretionary percentage match as defined in the 401(k) plan and determined by the Company’s board of directors (up to the maximum amount permitted by the IRC). The Company recognized $3.4 million, $2.8 million and $2.9 million of related compensation expense for its 401(k) discretionary match for the years ended December 31, 2022, 2021 and 2020, respectively. Deferred Compensation Plan In June 2020, the Company’s board of directors adopted the Company’s Deferred Compensation Plan, or DCP. The Company intends that the DCP constitute, and be construed and administered as, an unfunded plan of deferred compensation within the meaning of the Employee Retirement Income Security Act of 1974, as amended, and the IRC of 1986, as amended, under which eligible participants may elect to defer the receipt of current compensation. Eligible participants include select management and highly compensated employees of the Company, including the Company’s named executive officers. Pursuant to the DCP, subject to any minimum and maximum deferral requirements that the administrator of the DCP may establish, participants may elect to defer their base salary and annual incentive awards. In addition to elective deferrals, the DCP permits the Company to make matching and certain other discretionary contributions to the participants. The company contributes assets to a rabbi trust to accumulate funds to pay benefits under the DCP. Funds held in the rabbi trust must be used to pay benefits to DCP participants, except in the case of the Company’s bankruptcy or insolvency, in which case, they become subject to claims by the Company’s creditors. The Company recognized $0.3 million of related compensation expense for its DCP discretionary match for the year ended December 31, 2022 and $0.2 million for each of the years ended December 31, 2021 and 2020. The carrying value of assets held in the rabbi trust substantially equaled the DCP liability as of both December 31, 2022 and 2021, with balances of $4.3 million and $2.6 million, respectively. The rabbi trust asset is classified within other assets and the DCP liability is classified within other liabilities in the consolidated balance sheets. Cash Long-Term Incentive Plan In December 2020, the Company’s board of directors adopted a cash long-term incentive plan, or LTIP, commencing in 2021, focused on pre-determined, objective performance goals. The LTIP provides cash awards to participants based on the achievement of certain performance goals during each applicable performance period from January 1 through December 31 of each calendar year. Award amounts ranging from 0% to 225% of the target cash award can be earned based on achievement of two equally weighted financial metrics: net revenue and adjusted earnings before interest, taxes, depreciation and amortization (EBITDA), with a relative total shareholder return modifier based on the Company’s stock price performance relative to the companies comprising the S&P Pharmaceuticals Select Industry Index. The performance period for these metrics is one year, with an additional three years of time-vesting following the performance period. For the years ended December 31, 2022 and 2021, the Company recognized $1.0 million and $1.2 million of related compensation expense under the LTIP, respectively, all of which related to the 2021 performance period. Amounts earned for the 2021 performance year are payable to participants in January 2025 after the three-year vesting period concludes. No amounts were earned for the 2022 performance period. As of December 31, 2022 and 2021, there was $2.2 million and $1.2 million included in other liabilities in the consolidated balance sheets, respectively.

ACQUISITION-RELATED CHARGES (GAINS), IMPAIRMENT AND OTHER

12 Months Ended

Dec. 31, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Acquisition-related charges (gains), impairment and other for the years ended December 31, 2022, 2021 and 2020 are summarized below (in thousands):


	Year Ended December 31,
	2022		2021		2020
Severance-related expenses	$	4,494	$	26,371	$	—
Acquisition-related fees	1,032		10,963		—
Other acquisition expenses	5,719		3,566		150
Total acquisition-related charges	11,245		40,900		150
Flexion contingent consideration	(18,292)		1,174		—
MyoScience contingent consideration	(11,184)		(2,163)		5,204
Impairment of acquired IPR&D	26,134		—		—
Termination of license agreement	3,000		—		—
Nuance Biotech Co. Ltd. agreement dissolution costs	—		3,000		—
Discontinuation of DepoCyt(e)	—		—		(188)
Total acquisition-related charges (gains), impairment and other	$	10,903	$	42,911	$	5,166

Flexion Acquisition

The Company recognized acquisition-related and other costs of $11.2 million and $40.2 million during the years ended December 31, 2022 and 2021, respectively, primarily for severance, legal fees, third-party services and other one-time charges related to the Flexion Acquisition. See Note 5, Flexion Acquisition, for more information.

On November 19, 2021, as part of the purchase price consideration related to the Flexion Acquisition, the Company recorded a contingent consideration of $45.2 million, which represents the Company’s potential achievement of meeting regulatory and sales-based milestones. For the year ended December 31, 2022, the Company recognized a contingent consideration gain of $18.3 million due to a decrease to the fair value of its contingent consideration. From the date of the acquisition through December 31, 2021, the Company recorded a contingent consideration charge of $1.2 million. See Note 12, Financial Instruments, for information regarding the method and key assumptions used in the fair value measurements of the Company’s contingent consideration.

MyoScience Acquisition

The Company recognized contingent consideration gains of $11.2 million and $2.2 million for the years ended December 31, 2022 and 2021, respectively, and a contingent consideration charge of $5.2 million for the year ended December 31, 2020. See Note 12, Financial Instruments, for information regarding the method, key assumptions used in the fair value measurements of contingent consideration and more information regarding the changes in fair value.

The Company recognized acquisition-related and other charges of $0.7 million and $0.2 million during the years ended December 31, 2021 and 2020, respectively, related to one-time termination benefits and fees associated with the MyoScience Acquisition.

Impairment of Acquired IPR&D

For the year ended December 31, 2022, an impairment of $26.1 million for an acquired IPR&D intangible asset related to ZILRETTA for the treatment of OA pain of the shoulder was recognized based on the amount its previous carrying value of $60.0 million exceeded its fair value of $33.9 million. See Note 9, Goodwill and Intangible Assets, for more information.

Termination of License Agreement

The Company recognized expense of $3.0 million in the year ended December 31, 2022 related to the termination of a license agreement. See Note 20, Commitments and Contingencies, for more information.

Nuance Biotech Co. Ltd.

In June 2018, the Company entered an agreement with Nuance Biotech Co. Ltd., or Nuance, a China-based specialty pharmaceutical company, to advance the development and commercialization of EXPAREL in China. Under the terms of the agreement, the Company had granted Nuance the exclusive rights to develop and commercialize EXPAREL. In April 2021, the Company and Nuance agreed to a mutual termination of the agreement due to the lack of a viable regulatory pathway that adequately safeguards the Company’s intellectual property against the risk of a generic product, which included dissolution costs of $3.0 million during the year ended December 31, 2021.

DepoCyt(e) Discontinuation

In April 2018, the Company received formal notice of the termination of a Supply Agreement and a Distribution Agreement (and all related agreements as subsequently amended) from Mundipharma International Corporation Limited and Mundipharma Medical Company, respectively (collectively, “Mundipharma”). In November 2019, the Company reached a settlement with Mundipharma and made a $5.3 million payment related to the DepoCyt(e) discontinuation which had previously been accrued.

The Company recorded a gain of $0.2 million during the year ended December 31, 2020 related to the discontinuation of its DepoCyt(e) manufacturing activities in June 2017. The foregoing references to DepoCyt(e) mean DepoCyt® when discussed in the context of the U.S. and Canada and DepoCyte® when discussed in the context of the E.U.

COMMERCIAL PARTNERS AND OTHER AGREEMENTS	12 Months Ended
COMMERCIAL PARTNERS AND OTHER AGREEMENTS	Dec. 31, 2022
Organization, Consolidation and Presentation of Financial Statements [Abstract]
COMMERCIAL PARTNERS AND OTHER AGREEMENTS	COMMERCIAL PARTNERS AND OTHER AGREEMENTS Thermo Fisher Scientific Pharma Services In April 2014, the Company and Thermo Fisher entered into a Strategic Co-Production Agreement, a Technical Transfer and Service Agreement (the “EXPAREL Technical Transfer and Service Agreement”) and a Manufacturing and Supply Agreement to collaborate in the manufacture of EXPAREL. Under the terms of the EXPAREL Technical Transfer and Service Agreement, Thermo Fisher agreed to undertake certain technical transfer activities and construction services needed to prepare its Swindon, England facility for the manufacture of EXPAREL in two dedicated suites. The Company contracted to purchase EXPAREL from Thermo Fisher, beginning with FDA approval of the first suite, which occurred in May 2018. Commercial production began in February 2019. The Company is now utilizing a second, larger-scale dedicated manufacturing suite. Under these agreements, the Company makes monthly base fee payments to Thermo Fisher. Unless earlier terminated by giving notice of up to two years (other than termination by the Company in the event of a material breach by Thermo Fisher), this agreement will expire in May 2028. Prior to the Flexion Acquisition, in July 2015, Flexion and Thermo Fisher entered into a Manufacturing and Supply Agreement and a Technical Transfer and Service Agreement related to the manufacture of ZILRETTA at the same Thermo Fisher site in Swindon, England where the Company’s EXPAREL suites are located. Thermo Fisher agreed to undertake certain transfer activities and construction services needed to prepare its facility for the commercial manufacture of ZILRETTA in dedicated manufacturing suites. Flexion provided Thermo Fisher with certain equipment and materials necessary to manufacture ZILRETTA. The Company pays a monthly base fee to Thermo Fisher for the operation of the manufacturing suites and a per product fee for each vial of ZILRETTA based upon a forecast of commercial demand. The Company also reimburses Thermo Fisher for purchases of materials and equipment made on its behalf, certain nominal expenses and additional services. Unless earlier terminated (other than termination by the Company in the event that Thermo Fisher does not meet specified milestones or for a breach by Thermo Fisher), the Company will be obligated to pay for the costs incurred by Thermo Fisher associated with the removal of its manufacturing equipment and for Thermo Fisher’s termination costs up to a specified capped amount. Eurofarma Laboratories S.A. In June 2021, the Company entered into a distribution agreement with Eurofarma Laboratories S.A., or Eurofarma, for the development and commercialization of EXPAREL in Latin America. Under the terms of the agreement, Eurofarma obtained the exclusive right to market and distribute EXPAREL in 19 countries in Latin America, including Argentina, Brazil, Colombia and Mexico. In addition, Eurofarma is responsible for regulatory filings for EXPAREL in these countries. The Company received a $0.3 million upfront payment that is partially refundable upon certain circumstances and will receive royalties based on Eurofarma’s future commercialization of the product and is also eligible to receive milestone payments that are triggered by the achievement of certain regulatory and commercial events. The Company recognized $0.1 million of collaborative licensing and milestone revenue in its consolidated statements of operations during the year ended December 31, 2021. Verve Medical Products, Inc. In July 2021, the Company entered into a licensing agreement with Verve Medical Products, Inc. for the distribution of iovera° in Canada. The Company began selling iovera° in Canada in the fourth quarter of 2021. DePuy Synthes Sales, Inc. In January 2017, the Company announced a Co-Promotion Agreement with DePuy Synthes Sales, Inc., or DePuy Synthes, part of the Johnson & Johnson family of companies, to market and promote the use of EXPAREL for orthopedic procedures in the U.S. DePuy Synthes field representatives, specializing in joint reconstruction, spine, sports medicine, trauma and cranio-maxillofacial (CMF) procedures, collaborated with and supplemented the Company’s field teams by expanding the reach and frequency of EXPAREL education in the hospital surgical suite and ambulatory surgery center settings. In July 2020, the Company notified DePuy Synthes that the Co-Promotion Agreement would terminate on January 2, 2021. The Company recorded termination-related costs of $8.8 million which were recorded in selling, general and administrative expense during the year ended December 31, 2020. Aratana Therapeutics, Inc. In December 2012, the Company entered into a worldwide license, development and commercialization agreement with Aratana Therapeutics, Inc., a wholly owned subsidiary of Elanco Animal Health, Inc., or Aratana. Under the agreement, the Company granted Aratana an exclusive royalty-bearing license, including the limited right to grant sublicenses, for the development and commercialization of the Company’s bupivacaine liposome injectable suspension product for veterinary use. Under the agreement, Aratana developed and obtained FDA approval for the use of the product in veterinary surgery to manage postsurgical pain. The Company is eligible to receive from Aratana up to an aggregate of $40.0 million upon the achievement of commercial milestones. Aratana is required to pay the Company a tiered double-digit royalty on certain net sales made in the U.S. If the product is approved by foreign regulatory agencies for sale outside of the U.S., Aratana will be required to pay the Company a tiered double-digit royalty on such net sales. Royalty rates will be reduced by a certain percentage upon the entry of a generic competitor for animal health indications into certain jurisdictions or if Aratana must pay royalties to third parties under certain circumstances. Unless terminated earlier pursuant to its terms, the license agreement is effective until July 2033, after which Aratana has the option to extend the agreement for an additional five-year term, subject to certain requirements. Aratana began purchasing bupivacaine liposome injectable suspension product in 2016, which they market under the trade name NOCITA® (a registered trademark of Aratana) for veterinary use.

COMMITMENTS AND CONTINGENCIES	12 Months Ended
COMMITMENTS AND CONTINGENCIES	Dec. 31, 2022
Commitments and Contingencies Disclosure [Abstract]
COMMITMENTS AND CONTINGENCIES	COMMITMENTS AND CONTINGENCIES Legal Proceedings From time to time, the Company has been and may again become involved in legal proceedings arising in the ordinary course of its business, including those related to patents, product liability and government investigations. Except as described below, the Company is not presently a party to any legal proceedings that it believes to be material, and is not aware of any pending or threatened litigation against the Company which it believes could have a material adverse effect on its business, operating results, financial condition or cash flows. MyoScience Milestone Litigation In August 2020, the Company and its subsidiary, Pacira CryoTech, Inc. (“Pacira CryoTech”), filed a lawsuit in the Court of Chancery of the State of Delaware against Fortis Advisors LLC (“Fortis”), solely in its capacity as representative for the former securityholders of MyoScience, and certain other defendants, seeking declaratory judgment with respect to certain terms of the merger agreement for the MyoScience Acquisition (the “MyoScience Merger Agreement”), specifically related to the achievement of certain milestone payments under the MyoScience Merger Agreement. In addition, the Company and Pacira CryoTech sought general, special and compensatory damages against the other defendants related to breach of fiduciary duties in connection with the purported achievement of milestone payments under the MyoScience Merger Agreement, and breach of the MyoScience Merger Agreement and certain other agreements with the defendants. In October 2020, Fortis filed an answer and counterclaim against the Company and Pacira CryoTech seeking to recover certain milestone payments under the MyoScience Merger Agreement. The total remaining value of these milestones is $30.0 million, plus attorneys’ fees. The Company believes that the counterclaim from Fortis is without merit and intends to vigorously defend against all claims. The Company is unable to predict the outcome of this action at this time. eVenus Pharmaceutical Laboratories Litigations In October 2021, the Company received a Notice Letter advising that eVenus Pharmaceutical Laboratories, Inc., or eVenus, of Princeton, New Jersey, submitted to the FDA an Abbreviated New Drug Application (ANDA) with a Paragraph IV certification seeking authorization for the manufacturing and marketing of a generic version of EXPAREL (266 mg/20 mL) in the U.S. prior to the expiration of U.S. Patent No. 11,033,495 (the ’495 patent). In November 2021, the Company filed a patent infringement suit against eVenus and its parent company in the U.S. District Court for the District of New Jersey (21-cv-19829) asserting infringement of the ’495 patent. This triggered an automatic 30-month stay of final approval of the eVenus ANDA. On January 6, 2022, eVenus filed an Answer with counterclaims to the Complaint, alleging the ’495 patent is invalid and/or not infringed through the manufacture, sale, or offer for sale of the product described in product described in eVenus’s ANDA submission. In December 2021, the Company received a second Notice Letter advising that eVenus submitted to the FDA an amendment to its ANDA with a Paragraph IV Certification seeking authorization for the manufacturing and marketing of a generic version of EXPAREL (133 mg/10 mL) in the U.S. prior to the expiration of the ’495 patent. In the Notice Letter, eVenus also advised that it submitted a Paragraph IV Certification to the FDA seeking authorization for the manufacturing and marketing of a generic version of EXPAREL (266 mg/20 mL and 133 mg/10 mL) in the U.S. prior to the expiration of U.S. Patent No. 11,179,336 (the ’336 patent). eVenus further alleges in the Notice Letter that both the ’495 patent and the ’336 patent are invalid and/or not infringed. In February 2022, the Company filed a second patent infringement suit against eVenus and its parent company in the U.S. District Court for the District of New Jersey (22-cv-00718) asserting that the 133 mg/10 mL ANDA product will infringe the ’495 and ’336 patents and that the 266 mg/20 mL ANDA product will infringe the ’336 patent. This filing triggered a second automatic 30-month stay of final approval for the 133 mg/10 mL ANDA product. These litigations are in their early stages, and the Company is unable to predict their outcome at this time. Research Development Foundation Pursuant to an agreement with the Research Development Foundation, or RDF, the Company was required to pay RDF a low single-digit royalty on the collection of revenues from certain products, for as long as certain patents assigned to the Company under the agreement remain valid. RDF has the right to terminate the agreement for an uncured material breach by the Company, in connection with its bankruptcy or insolvency or if it directly or indirectly opposes or disputes the validity of the assigned patent rights. The Company’s ’495 patent issued on June 15, 2021. Thereafter, RDF asserted that the issuance of that patent extends the Company’s royalty obligations under the agreement until 2041. The Company believes that the royalty period under the agreement ended on December 24, 2021 with the expiration of its U.S. Patent No. 9,585,838. Because of the disagreement over the interpretation of the agreement, in December 2021, the Company filed a declaratory judgment lawsuit in the U.S. District Court for the District of Nevada (21-cv-02241). The lawsuit seeks a declaration from the court that the Company owes no royalties to RDF with respect to its EXPAREL product after December 24, 2021. During the pendency of the lawsuit, the Company will continue to pay royalties to RDF under protest, however, the Company is unable to predict the outcome of this action at this time. Purchase Obligations The Company has approximately $73.3 million of minimum, non-cancelable contractual commitments for contract manufacturing services and $5.2 million of minimum, non-cancelable contractual commitments for the purchase of certain raw materials as of December 31, 2022. Subsequent to December 31, 2022, the Company entered into an additional $2.8 million of minimum, non-cancelable contractual commitments for marketing sponsorships. Other Commitments and Contingencies Termination of License Agreement Prior to the Flexion Acquisition, in March 2020, Flexion entered into an exclusive license agreement with Hong Kong Tainuo Pharma Ltd., or HK Tainuo, and Jiangsu Tainuo Pharmaceutical Co. Ltd., a subsidiary of China Shijiazhuang Pharmaceutical Co, Ltd., for the development and commercialization of ZILRETTA in Greater China (consisting of mainland China, Hong Kong, Macau and Taiwan). Under the terms of the agreement, HK Tainuo paid Flexion an upfront payment of $10.0 million during the year ended December 31, 2020 which was recorded as deferred revenue as of December 31, 2021. The Company was also eligible to receive up to $32.5 million in aggregate development, regulatory and commercial sales milestone payments under the exclusive license agreement. HK Tainuo was responsible for the clinical development, product registration and commercialization of ZILRETTA in Greater China. The Company was solely responsible for the manufacture and supply of ZILRETTA to HK Tainuo for all clinical and commercial activities. The terms related to product manufacturing and supply, including pricing and minimum purchase requirements agreed to in the license agreement, were to be covered by a separate supply agreement which was never finalized. In July 2022, the Company submitted notice to HK Tainuo of its intent to pursue termination of the license agreement. As of December 31, 2022, $13.0 million was recorded within accrued expenses in the consolidated balance sheet. The $13.0 million related to the termination of the license agreement was subsequently paid in January 2023. Pediatric Trial Commitments The FDA, as a condition of EXPAREL approval, has required the Company to study EXPAREL in pediatric patients, as well as the administration of EXPAREL as a nerve block in the pediatric setting. The Company was granted a deferral for the required pediatric trials until after the indications were approved in adults. Similarly, in Europe, the Company agreed with the European Medicines Agency, or EMA, on a Pediatric Investigation Plan as a prerequisite for submitting a Marketing Authorization Application (MAA) in the E.U. Despite the U.K.’s withdrawal from the E.U., the agreed pediatric plan is applicable in the U.K. In December 2019, the Company announced positive results for its extended pharmacokinetic and safety study (“PLAY”) for local analgesia in children aged six to 17 undergoing cardiovascular or spine surgeries. Those positive results were the basis for the submission of a supplemental New Drug Application, or sNDA, in the U.S. and Type II variations in the E.U. and U.K. to expand the EXPAREL label to include use in patients six years of age and older for single-dose infiltration to produce postsurgical local analgesia. In March 2021, the Company announced that the FDA approved the submission of the sNDA in the U.S. The EMA and the Medicines and Healthcare Products Regulatory Agency, or MHRA, are still reviewing the Type II variations. The Company is working with the FDA, MAA and MHRA to finalize the regulatory pathway for its remaining pediatric commitments. Contingent Milestone Payments Refer to Note 5, Flexion Acquisition and Note 12, Financial Instruments, for information on potential contingent milestone payments related to the Flexion Acquisition and MyoScience Acquisition. PCRX-201 PCRX-201 was added to the Company’s portfolio as part of the Flexion Acquisition as discussed in Note 5, Flexion Acquisition. Prior to the Flexion Acquisition, in February 2017, Flexion entered into an agreement with GQ Bio Therapeutics GmbH (formerly named GeneQuine Biotherapeutics GmbH) to acquire the global rights to PCRX-201, a gene therapy product candidate. As part of the agreement, up to an aggregate of $56.0 million of payments could become due upon the achievement of certain development and regulatory milestones, including up to $4.5 million through initiation of a Phase 2 proof of concept clinical trial and, following successful proof of concept, up to an additional $51.5 million in development and global regulatory approval milestone payments.

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)

12 Months Ended

Dec. 31, 2022

Accounting Policies [Abstract]

Basis of Presentation and Principles of Consolidation

Use of Estimates

estimates or judgments used in the preparation of the consolidated financial statements, actual results could differ from these estimates.

Revenue From Contracts With Customers

Collaborative Licensing and Milestone Revenue

Royalty Revenue

Concentration of Major Customers

The table below includes the percentage of revenues comprised by the Company’s three largest wholesalers in each period presented:


	Year Ended December 31,
	2022		2021		2020
Largest wholesaler	31	%	31	%	31	%
Second largest wholesaler	23	%	28	%	31	%
Third largest wholesaler	22	%	26	%	25	%
Total	76	%	85	%	87	%

Research and Development Expenses

Income Taxes

Stock-Based Compensation

•Expected term of the option

•Expected volatility

•Expected dividends

•Risk-free interest rate

Cash and Cash Equivalents

Cash and Cash EquivalentsAll highly liquid investments with maturities of 90 days or less when purchased are considered cash equivalents. Cash equivalents include corporate debt securities, asset-backed securities and money market funds.

Short-Term and Noncurrent Available-For-Sale Investments

Inventories

Fixed Assets


Asset Category						Useful Life
Computer equipment and software						1 to 3 years
Office furniture and equipment						5 years
Manufacturing and laboratory equipment						5 to 10 years

Asset Retirement Obligations

Leases

incremental borrowing rate. Variable lease payments are not included at commencement and are recognized in the period in which they are incurred.

The Company has elected to net the amortization of its ROU assets and the reduction of the lease liability principal in other liabilities in the consolidated statement of cash flows.

Acquisitions

Contingent Consideration

Goodwill

Intangible Assets

Equity Investments

Impairments of Long-Lived Assets

Per Share Data

Foreign Currencies

Segment Reporting

Recently Adopted Accounting Pronouncements

Recently Adopted Accounting Pronouncements In August 2020, the Financial Accounting Standards Board, or FASB, issued Accounting Standards Update, or ASU, 2020-06, Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging—Contracts in Entity’s Own Equity (Subtopic 815-40), which limits the number of convertible debt instruments that require separate accounting to (i) those with embedded conversion features that are not clearly and closely related to the debt, that meet the definition of a derivative and that do not qualify for the scope exception from derivative accounting and (ii) convertible debt instruments issued with substantial premiums for which the premiums were recorded as paid-in capital. In addition, the new guidance requires diluted earnings per share calculations be prepared using the if-converted method instead of the treasury stock method. The Company elected to adopt the new guidance using a modified retrospective method of transition, which applied to transactions outstanding at January 1, 2022. As a result, effective January 1, 2022, the Company does not separately present in equity an embedded conversion feature for its convertible debt. Instead, the Company accounts for its convertible debt instruments wholly as debt. In addition, effective January 1, 2022, the Company does not record interest expense on the previously recorded discount on its convertible debt. The impact on the condensed consolidated balance sheet at January 1, 2022 increased net debt by approximately $64.9 million, reduced accumulated deficit by $47.2 million, reduced additional paid-in capital by $96.5 million and decreased deferred tax liabilities by $15.7 million.

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

12 Months Ended

Dec. 31, 2022

Accounting Policies [Abstract]

Schedule of Percentage of Revenue Comprised of the Three Largest Customers

The table below includes the percentage of revenues comprised by the Company’s three largest wholesalers in each period presented:


	Year Ended December 31,
	2022		2021		2020
Largest wholesaler	31	%	31	%	31	%
Second largest wholesaler	23	%	28	%	31	%
Third largest wholesaler	22	%	26	%	25	%
Total	76	%	85	%	87	%

Schedule of Useful Lives by Asset Category

Useful lives by asset category are as follows:


Asset Category						Useful Life
Computer equipment and software						1 to 3 years
Office furniture and equipment						5 years
Manufacturing and laboratory equipment						5 to 10 years

Fixed assets, net, summarized by major category, consist of the following (in thousands):


	December 31,
	2022		2021
Machinery and equipment	$	118,684	$	117,264
Leasehold improvements	61,302		59,740
Computer equipment and software	15,360		13,197
Office furniture and equipment	2,420		2,883
Construction in progress (1)	103,226		80,557
Total	300,992		273,641
Less: accumulated depreciation	(117,480)		(85,240)
Fixed assets, net	$	183,512	$	188,401
(1) The increase of $22.7 million in construction in progress is related to progress in the expansion of the Company’s manufacturing facilities, including an EXPAREL capacity expansion project at the Company’s Science Center Campus in San Diego, California and a ZILRETTA capital project at Thermo Fisher Scientific Pharma Services’s site in Swindon, England.

For information on useful lives by asset category, refer to Note 2, Summary of Significant Accounting Policies.

REVENUE (Tables)

12 Months Ended

Dec. 31, 2022

Revenue from Contract with Customer [Abstract]

Summary of Activity in Accrued Rebates and Chargebacks, Returns, Wholesaler Service Fees and Prompt Pay Discounts


	Returns Allowances		Prompt Payment Discounts		Service Fees		Volume Rebates and Chargebacks		Government Rebates		Total
Balance at December 31, 2019	$	540	$	962	$	1,486	$	1,816	$	—	$	4,804
Provision	794		8,541		6,437		12,345		—		28,117
Payments/Adjustments	(311)		(8,496)		(6,755)		(12,561)		—		(28,123)
Balance at December 31, 2020	1,023		1,007		1,168		1,600		—		4,798
Provision	3,095		10,388		10,112		17,101		1,139		41,835
Payments/Adjustments	(757)		(10,217)		(7,644)		(15,207)		(378)		(34,203)
Balance at December 31, 2021	3,361		1,178		3,636		3,494		761		12,430
Provision	1,390		11,145		16,866		48,890		1,641		79,932
Payments/Adjustments	(3,060)		(11,136)		(17,309)		(46,932)		(1,616)		(80,053)
Balance at December 31, 2022	$	1,691	$	1,187	$	3,193	$	5,452	$	786	$	12,309

Disaggregation of Revenue

The following table represents disaggregated net product sales in the periods presented as follows (in thousands):


	Year Ended December 31,
	2022		2021		2020
Net product sales:
EXPAREL	$	536,899	$	506,515	$	413,338
ZILRETTA	105,517		12,683		—
iovera°	15,258		16,162		8,817
Bupivacaine liposome injectable suspension	6,476		3,606		4,459
Total net product sales	$	664,150	$	538,966	$	426,614

FLEXION ACQUISITION (Tables)

12 Months Ended

Dec. 31, 2022

Business Combination and Asset Acquisition [Abstract]

Schedule of Contingent Consideration for Flexion Acquisition

The total consideration for the Flexion Acquisition was $578.8 million, which consisted of the following (in thousands, except per share amounts):


Fair Value of Purchase Price Consideration	Amount
Fair value of purchase consideration paid at closing:
Cash consideration for all outstanding shares of Flexion’s common stock (50,392 shares of common stock acquired at $8.50 per share)	$	428,333
Cash consideration paid to settle RSUs and in-the-money stock options	20,153


Cash paid to settle Flexion debt	85,118
	533,604

Fair value of CVRs	45,241
Total purchase consideration	$	578,845

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed

The following tables set forth the allocation of the Flexion Acquisition purchase price to the estimated fair value of the net assets acquired at the acquisition date (in thousands):


	Amounts Recognized at the Acquisition Date (as previously reported) (a)		Measurement Period Adjustments (b)		Amounts Recognized at the Acquisition Date (as adjusted)
ASSETS ACQUIRED
Cash and cash equivalents	$	113,562	$	—	$	113,562
Short-term available-for-sale investments	11,153		—		11,153
Accounts receivable	32,838		—		32,838
Inventories	29,667		—		29,667
Prepaid expenses and other assets	4,852		—		4,852
Fixed assets	23,307		—		23,307
Deferred tax assets	58,015		(16,906)		41,109
Right-of-use assets	6,585		—		6,585
Identifiable intangible assets	480,000		—		480,000
IPR&D	61,000		—		61,000
Total assets	$	820,979	$	(16,906)	$	804,073
LIABILITIES ASSUMED
Accounts payable	$	9,794	$	—	$	9,794
Accrued expenses	22,746		1,162		23,908
Deferred revenue	10,000		—		10,000
Lease liabilities	6,585		—		6,585
Other liabilities	1,187		—		1,187
Long-term debt	201,450		—		201,450
Total liabilities	251,762		1,162		252,924
Total identifiable net assets acquired	569,217		(18,068)		551,149
Goodwill	9,628		18,068		27,696
Total consideration transferred	$	578,845	$	—	$	578,845

(a) As previously reported in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021.

(b) Represents the finalization of a tax study and pre-acquisition expenses that were paid by the Company in 2022, partially offset by the release of estimated reserves.

Schedule of Pro Forma Information

This pro forma information does not purport to represent what the Company’s actual results would have been if the acquisition had occurred as of January 1, 2020, and is not indicative of what such results would be expected for any future period (in thousands, except per share amounts):


	Year Ended December 31,
	2021		2020
Total revenues	$	630,942	$	515,199
Net loss	(67,264)		(19,711)
Pro forma basic and diluted net loss per share	$	(1.52)	$	(0.46)

INVENTORIES (Tables)

12 Months Ended

Dec. 31, 2022

Inventory Disclosure [Abstract]

Schedule of Components of Inventories

The components of inventories, net are as follows (in thousands):


	December 31,
	2022		2021
Raw materials	$	39,810	$	36,337
Work-in-process	28,853		35,182
Finished goods	27,400		27,031
Total	$	96,063	$	98,550

FIXED ASSETS (Tables)

12 Months Ended

Dec. 31, 2022

Property, Plant and Equipment [Abstract]

Schedule of Useful Lives by Asset Category

Useful lives by asset category are as follows:


Asset Category						Useful Life
Computer equipment and software						1 to 3 years
Office furniture and equipment						5 years
Manufacturing and laboratory equipment						5 to 10 years

Fixed assets, net, summarized by major category, consist of the following (in thousands):


	December 31,
	2022		2021
Machinery and equipment	$	118,684	$	117,264
Leasehold improvements	61,302		59,740
Computer equipment and software	15,360		13,197
Office furniture and equipment	2,420		2,883
Construction in progress (1)	103,226		80,557
Total	300,992		273,641
Less: accumulated depreciation	(117,480)		(85,240)
Fixed assets, net	$	183,512	$	188,401
(1) The increase of $22.7 million in construction in progress is related to progress in the expansion of the Company’s manufacturing facilities, including an EXPAREL capacity expansion project at the Company’s Science Center Campus in San Diego, California and a ZILRETTA capital project at Thermo Fisher Scientific Pharma Services’s site in Swindon, England.

For information on useful lives by asset category, refer to Note 2, Summary of Significant Accounting Policies.

LEASES (Tables)

12 Months Ended

Dec. 31, 2022

Leases [Abstract]

Lease, Cost

Total operating lease costs are as follows (in thousands):


	Year Ended December 31,
Operating Lease Costs	2022		2021		2020
Fixed lease costs	$	13,949	$	11,976	$	10,055
Variable lease costs	1,988		1,722		2,096
Sublease income	(253)		—		—
Total	$	15,684	$	13,698	$	12,151

Supplemental cash flow information related to operating leases is as follows (in thousands):


	Year Ended December 31,
	2022		2021		2020
Cash paid for operating lease liabilities, net of lease incentives	$	14,357	$	12,709	$	14,347
Right-of-use assets recorded in exchange for lease obligations	$	3,324	$	8,692	$	42,191

The weighted average remaining lease terms and the weighted average discount rates are summarized as follows:


	December 31,
	2022	2021
Weighted average remaining lease term	6.83 years	7.77 years
Weighted average discount rate	7.05%	6.96%

Lessee, Operating Lease, Liability, Maturity

As of December 31, 2022, maturities of the Company’s operating lease liabilities are as follows (in thousands):


Year	Aggregate Minimum Payments Due
2023	$	14,022
2024	13,928
2025	13,078
2026	12,814
2027	12,586
Thereafter	27,350
Total future lease payments	93,778
Less: imputed interest	(19,855)
Total operating lease liabilities	$	73,923

GOODWILL AND INTANGIBLE ASSETS (Tables)

12 Months Ended

Dec. 31, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Summary of Change in Carrying Value of Goodwill

The change in the carrying value of the Company’s goodwill is summarized as follows (in thousands):


	Carrying Value
Balance at December 31, 2020	$	99,547
Goodwill arising from milestones achieved under the Skyepharma Acquisition	36,000
Goodwill arising from the Flexion Acquisition	9,628
Balance at December 31, 2021	145,175
Goodwill arising from measurement period adjustments associated with the Flexion Acquisition (Note 5)	18,068
Balance at December 31, 2022	$	163,243

Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination


December 31, 2022	Gross Carrying Value		Accumulated Amortization		Intangible Assets, Net		Weighted-Average Useful Lives
Developed technologies	$	590,000	$	(84,376)	$	505,624	10 years, 5 months
Customer relationships	90		(34)		56		10 years
Total finite-lived intangible assets, net	590,090		(84,410)		505,680
Acquired IPR&D	34,866		—		34,866
Total intangible assets, net	$	624,956	$	(84,410)	$	540,546

December 31, 2021	Gross Carrying Value		Accumulated Amortization		Intangible Assets, Net		Weighted-Average Useful Lives
Developed technology	$	590,000	$	(27,097)	$	562,903	10 years, 5 months
Customer relationships	90		(25)		65		10 years
Total finite-lived intangible assets, net	590,090		(27,122)		562,968
Acquired IPR&D	61,000		—		61,000
Total intangible assets, net	$	651,090	$	(27,122)	$	623,968

- Definition

Tabular disclosure of goodwill by reportable segment and in total which includes a rollforward schedule.

+ References

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+ Details

ACCRUED EXPENSES (Tables)

12 Months Ended

Dec. 31, 2022

Payables and Accruals [Abstract]

Schedule of Accrued Expenses

Accrued expenses consist of the following (in thousands):


	December 31,
	2022		2021
Accrued selling, general and administrative expenses	$	11,927	$	12,063
Accrued research and development expenses	4,065		5,480
Other accrued operating expenses	14,959		14,912
Compensation and benefits (1)	26,198		45,491
Termination fee (2)	13,000		—

Accrued royalties (3)	3,400		35,298
Accrued interest	8,941		5,358
Product returns and wholesaler service fees	7,295		8,953
Total	$	89,785	$	127,555

(1) At December 31, 2021, compensation and benefits included $18.4 million of accrued severance associated with the Flexion Acquisition.

(2) See Note 20, Commitments and Contingencies, for more information.

DEBT (Tables)

12 Months Ended

Dec. 31, 2022

Debt Disclosure [Abstract]

Schedule of Long-term Debt Instruments

The carrying value of the Company’s outstanding debt is summarized as follows (amounts in thousands):


	December 31,
	2022		2021
Term loan B facility maturing December 2026	$	284,704	$	359,497
0.750% Convertible senior notes due August 2025	396,126		330,627
3.375% Convertible senior notes due May 2024	8,641		201,249
2.375% Convertible senior notes due April 2022 (1)	—		157,857
Total	$	689,471	$	1,049,230

(1) The 2022 Notes (as defined below) matured on April 1, 2022.

Schedule of Composition of the Company's Debt and Financing Obligations

The total debt composition of the Term Loan is as follows (in thousands):


	December 31,
	2022		2021
Term Loan maturing December 2026	$	296,875	$	375,000
Deferred financing costs	(3,919)		(4,443)
Discount on debt	(8,252)		(11,060)
Total debt, net of debt discount and deferred financing costs	$	284,704	$	359,497

The total debt composition of the 2025 Notes is as follows (in thousands):


	December 31,
	2022		2021
0.750% convertible senior notes due August 2025	$	402,500	$	402,500
Deferred financing costs	(6,374)		(7,155)
Discount on debt	—		(64,718)
Total debt, net of debt discount and deferred financing costs	$	396,126	$	330,627

The total debt composition of the 2022 Notes is as follows (in thousands):


	December 31,
	2022		2021
2.375% convertible senior notes due April 2022	$	—	$	160,000
Deferred financing costs	—		(223)
Discount on debt	—		(1,920)
Total debt, net of debt discount and deferred financing costs	$	—	$	157,857

Schedule of Total Interest Expense Recognized Related to the Notes

The following table sets forth the total interest expense recognized in the periods presented (dollar amounts in thousands):


	Year Ended December 31,
	2022			2021			2020
Contractual and other interest expense	$	36,880		$	9,759		$	7,650
Amortization of debt issuance costs	4,400			2,754			2,156
Amortization of debt discount	2,807			23,152			18,254
Capitalized interest and other (Note 7)	(4,111)			(3,915)			(2,389)
Total	$	39,976		$	31,750		$	25,671

Effective interest rate on total debt	5.47		%	6.66		%	7.15		%

- Definition

Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.22)
-URI https://asc.fasb.org/extlink&oid=120391452&loc=d3e13212-122682

Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 3
-Subparagraph (SX 210.12-04(a))
-URI https://asc.fasb.org/extlink&oid=120395691&loc=d3e24072-122690

Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 1A
-URI https://asc.fasb.org/extlink&oid=124435984&loc=d3e28541-108399

Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 6
-URI https://asc.fasb.org/extlink&oid=126973232&loc=d3e21506-112644

Reference 5: http://www.xbrl.org/2003/role/exampleRef
-Publisher FASB
-Name Accounting Standards Codification
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-URI https://asc.fasb.org/extlink&oid=123466577&loc=SL123495735-112612

Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
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-URI https://asc.fasb.org/extlink&oid=124435984&loc=d3e28551-108399

Reference 7: http://www.xbrl.org/2003/role/exampleRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 470
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-Section 55
-Paragraph 69E
-URI https://asc.fasb.org/extlink&oid=123466577&loc=SL123495743-112612

Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
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-URI https://asc.fasb.org/extlink&oid=126973232&loc=d3e21521-112644

Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 8
-URI https://asc.fasb.org/extlink&oid=126973232&loc=d3e21538-112644

Reference 10: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 942
-SubTopic 470
-Section 50
-Paragraph 3
-URI https://asc.fasb.org/extlink&oid=123599511&loc=d3e64711-112823

Reference 11: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 55
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-URI https://asc.fasb.org/extlink&oid=114775985&loc=d3e28878-108400

Reference 12: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 3
-URI https://asc.fasb.org/extlink&oid=126973232&loc=d3e21475-112644

+ Details

FINANCIAL INSTRUMENTS (Tables)

12 Months Ended

Dec. 31, 2022

Fair Value Disclosures [Abstract]

Schedule of Carrying Amount and Fair Value of the Long-term Debt

At December 31, 2022, the carrying values and fair values of the Company’s financial assets and liabilities were as follows (in thousands):


	Carrying Value		Fair Value Measurements Using
			Level 1		Level 2		Level 3
Financial Assets and Financial Liabilities Measured at Fair Value on a Recurring Basis:
Financial Asset:
Equity investments	$	15,877	$	—	$	—	$	15,877
Convertible notes receivable	$	5,315	$	—	$	—	$	5,315
Financial Liabilities:
Acquisition-related contingent consideration	$	28,122	$	—	$	—	$	28,122

Financial Liabilities Measured at Amortized Cost:
Term loan B facility due December 2026	$	284,704	$	—	$	292,422	$	—
0.750% convertible senior notes due 2025 (1)	$	396,126	$	—	$	365,269	$	—
3.375% convertible senior notes due 2024 (2)	$	8,641	$	—	$	8,641	$	—

(2) Relates to the Flexion 2024 Notes. For more information, See Note 11, Debt.

Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation

The following investments have no readily determinable fair value and are recorded at cost minus impairment, if any, plus or minus observable price changes of identical or similar investments (in thousands):


	Equity Investments		Convertible Notes Receivable		Total
Balance at December 31, 2020	$	12,802	$	—	$	12,802
Purchases	12,967		4,220		17,187
Divestiture of investment	(11,642)		—		(11,642)
Foreign currency adjustments	—		(88)		(88)
Balance at December 31, 2021	14,127		4,132		18,259
Purchases	11,750		1,250		13,000
Impairment	(10,000)		—		(10,000)
Foreign currency adjustments	—		(67)		(67)
Balance at December 31, 2022	$	15,877	$	5,315	$	21,192

Fair Value Measurement Inputs and Valuation Techniques

The following table includes the key assumptions used in the valuation of the Company’s contingent consideration:

Assumption

Flexion Ranges Utilized as of
December 31, 2022

Discount rates

14.9% to 15.1%

Probability of payment for achievement of regulatory milestones

0% to 12.5%

Projected year of achieving or expiration of regulatory milestones

2030

Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation

The change in the Company’s contingent consideration recorded at fair value using Level 3 measurements is as follows (in thousands):


	Contingent Consideration Fair Value
Balance at December 31, 2020	$	28,346
Contingent consideration related to the Flexion Acquisition	45,241
Fair value adjustments and accretion	(989)
Payments made or offset against amounts due	(15,000)
Balance at December 31, 2021	57,598
Fair value adjustments and accretion	(29,476)
Balance at December 31, 2022	$	28,122

Schedule of Short-term Investments

The following summarizes the Company’s investments at December 31, 2022 and 2021 (in thousands):


December 31, 2022 Investments:	Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value (Level 2)
Current:
Asset-backed securities	$	6,836	$	—	$	(3)	$	6,833
Commercial paper	134,423		23		(386)		134,060

U.S. federal agency bonds	41,971		—		(337)		41,634
U.S. government bonds	2,003		—		(18)		1,985
Subtotal	185,233		23		(744)		184,512
Noncurrent:



U.S. federal agency bonds	22,783		2		(66)		22,719
U.S. government bonds	14,499		—		(9)		14,490
Subtotal	37,282		2		(75)		37,209
Total	$	222,515	$	25	$	(819)	$	221,721


December 31, 2021 Investments:	Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value (Level 2)
Current:
Asset-backed securities	$	3,182	$	—	$	—	$	3,182
Commercial paper	57,533		80		(2)		57,611
Corporate bonds	9,936		102		—		10,038







Total	$	70,651	$	182	$	(2)	$	70,831

STOCKHOLDERS' EQUITY (Tables)

12 Months Ended

Dec. 31, 2022

Stockholders' Equity Note [Abstract]

Schedule of Accumulated Other Comprehensive (Loss) Income

The following table illustrates the changes in the balances of the Company’s accumulated other comprehensive (loss) income for the periods presented (in thousands):


	Net Unrealized Gains (Losses) From Available-For-Sale Investments		Unrealized Foreign Currency Translation		Accumulated Other Comprehensive (Loss) Income
Balance at December 31, 2019	$	322	$	—	$	322
Net unrealized loss on investments	(3)		—		(3)
Foreign currency translation adjustments	—		(1)		(1)

Balance at December 31, 2020	319		(1)		318
Net unrealized loss on investments, net of tax(1)	(180)		—		(180)
Foreign currency translation adjustments	—		29		29

Balance at December 31, 2021	139		28		167
Net unrealized loss on investments, net of tax(1)	(662)		—		(662)
Foreign currency translation adjustments	—		115		115

Balance at December 31, 2022	$	(523)	$	143	$	(380)

(1) Net of a $0.2 million and $0.1 million tax benefit for the years ended December 31, 2022 and 2021, respectively.

STOCK PLANS (Tables)

12 Months Ended

Dec. 31, 2022

Share-Based Payment Arrangement [Abstract]

Schedule of Information About the Plans

The following tables contain information about the Company’s stock incentive plans at December 31, 2022:


Stock Incentive Plan	Awards Reserved For Issuance	Awards Issued	Awards Available For Grant
2011 Plan	14,431,701	13,858,585	573,116
2014 Inducement Plan	175,000	36,076	138,924
Total	14,606,701	13,894,661	712,040

Employee Stock Purchase Plan	Shares Reserved For Purchase	Shares Purchased	Shares Available For Purchase
ESPP	1,000,000	480,350	519,650

Schedule of Recognized Stock-based Compensation in Consolidated Statements of Operations

The Company recognized stock-based compensation expense in its consolidated statements of operations for the years ended December 31, 2022, 2021 and 2020 as follows (in thousands):


	Year Ended December 31,
	2022		2021		2020
Cost of goods sold	$	5,967	$	5,891	$	5,589
Research and development	6,594		5,465		5,211
Selling, general and administrative	35,531		30,890		29,120
Total	$	48,092	$	42,246	$	39,920

Stock-based compensation from:
Stock options	$	26,800	$	25,980	$	26,749
RSUs	20,310		15,335		12,266
ESPP	982		931		905
Total	$	48,092	$	42,246	$	39,920

Related income tax benefit	$	10,219	$	8,989	$	8,578

Schedule of the Company's Stock Option Activity and Related Information

The following table summarizes the Company’s stock option activity and related information for the period from December 31, 2019 to December 31, 2022:


	Number of Stock Options	Weighted Average Exercise Price (Per Share)		Weighted Average Remaining Contractual Term (Years)	Aggregate Intrinsic Value (in Thousands)
Outstanding at December 31, 2019	6,706,378	$	42.80	7.05	$	50,652
Granted	1,502,803	47.50
Exercised	(1,428,111)	31.67			$	34,227
Forfeited	(426,925)	42.08
Expired	(119,027)	71.71
Outstanding at December 31, 2020	6,235,118	45.98		6.97	$	102,955
Granted	890,277	60.27
Exercised	(732,117)	32.56			$	23,967
Forfeited	(278,233)	46.46
Expired	(64,505)	80.31
Outstanding at December 31, 2021	6,050,540	49.32		6.59	$	81,407
Granted	1,061,630	59.99
Exercised	(689,464)	35.37			$	23,983
Forfeited	(113,506)	54.97
Expired	(36,206)	79.90
Outstanding at December 31, 2022	6,272,994	$	52.38	6.28	$	2,011
Exercisable at December 31, 2022	4,224,921	$	50.51	5.17	$	1,997
Vested and expected to vest as of December 31, 2022	6,272,994	$	52.38	6.28	$	2,011

Schedule of Weighted Average Assumptions Used to Estimate the Fair Values of Each Option Grant Using the Black-Scholes Option Pricing Model

The fair values of stock options granted were estimated using the Black-Scholes model with the following weighted average assumptions:


	Year Ended December 31,
Black-Scholes Weighted Average Assumption	2022	2021	2020
Expected dividend yield	None	None	None
Risk-free interest rate	1.37% - 4.17%	0.43% - 1.21%	0.22% - 1.60%
Expected volatility	45.1%	49.1%	53.5%
Expected term of options	4.92 years	5.36 years	5.36 years

Schedule of Share-based Compensation, Restricted Stock Units Award Activity

The following table summarizes the Company’s RSU activity and related information for the period from December 31, 2019 to December 31, 2022:


	Number of Restricted Stock Units	Weighted Average Grant Date Fair Value (Per Share)		Aggregate Intrinsic Value (in Thousands)
Unvested at December 31, 2019	631,141	$	41.87	$	28,591
Granted	665,476	48.70
Vested	(239,085)	41.91
Forfeited	(100,079)	44.43
Unvested at December 31, 2020	957,453	46.34		$	57,294
Granted	446,450	60.81
Vested	(309,779)	45.16
Forfeited	(138,847)	50.67
Unvested at December 31, 2021	955,277	52.85		$	57,479
Granted	621,149	60.11
Vested	(331,196)	50.25
Forfeited	(95,768)	56.00
Unvested and expected to vest as of December 31, 2022	1,149,462	$	57.26	$	44,381

Schedule of Valuation Assumptions Used on ESPP Awards

The fair values of the ESPP share options granted were estimated using the Black-Scholes model with the following weighted average assumptions:


	Year Ended December 31,
Black-Scholes Weighted Average Assumption	2022	2021	2020
ESPP share option fair value	$15.26 - $15.86	$15.16 - $15.23	$11.02 - $17.54
Expected dividend yield	None	None	None
Risk-free interest rate	0.22% - 2.52%	0.50% - 0.90%	0.14% - 1.57%
Expected volatility	39.5%	37.0%	44.9%
Expected term of ESPP share options	6 months	6 months	6 months

NET INCOME PER SHARE (Tables)

12 Months Ended

Dec. 31, 2022

Earnings Per Share [Abstract]

Schedule of Computation of Basic and Diluted Income (Loss) per Share

The following table sets forth the computation of basic and diluted net income per common share for the years ended December 31, 2022, 2021 and 2020 (in thousands, except per share amounts):


	Year Ended December 31,
	2022		2021		2020
Numerator:
Net income—basic	$	15,909	$	41,980	$	145,523





Denominator:
Weighted average common shares outstanding—basic	45,521		44,262		42,671
Computation of diluted securities:

Dilutive effect of stock options	787		1,030		783
Dilutive effect of RSUs	226		298		227
Dilutive effect of conversion premium on the 2022 Notes	—		38		—
Dilutive effect of ESPP purchase options	4		2		1
Weighted average common shares outstanding—diluted	46,538		45,630		43,682
Net income per share:
Basic net income per common share	$	0.35	$	0.95	$	3.41
Diluted net income per common share	$	0.34	$	0.92	$	3.33

Schedule of Potential Dilutive Effect of the Securities Excluded from the Calculation of Diluted Net (Loss) Income Per Common Share


	Year Ended December 31,
	2022	2021	2020
Weighted average number of stock options	2,821	2,141	4,237
Convertible senior notes (1)	6,206	—	—
Weighted average number of RSUs	417	116	99
Weighted average ESPP purchase options	7	13	16
Total	9,451	2,270	4,352

INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

Schedule of Income (Loss) Before Income Taxes

Income (loss) before income taxes and the related tax (benefit) expense is as follows (in thousands):


	Year Ended December 31,
	2022		2021		2020
Income (loss) before income taxes:
Domestic	$	21,068	$	64,751	$	17,000
Foreign	(7,766)		(8,347)		3,089
Total income before income taxes	$	13,302	$	56,404	$	20,089

Current taxes:
Federal	$	—	$	—	$	(6)
State	5,309		3,533		1,185
Foreign	29		19		—
Total current taxes	$	5,338	$	3,552	$	1,179
Deferred taxes:
Federal	$	(2,781)	$	12,554	$	(99,164)
State	(5,164)		(1,682)		(27,449)

Total deferred taxes	$	(7,945)	$	10,872	$	(126,613)

Total income tax (benefit) expense	$	(2,607)	$	14,424	$	(125,434)

Schedule of Reconciliation of Income Taxes (Benefit) Expense at the U.S. Federal Statutory Rate to the Provision for Income Taxes

A reconciliation of income tax (benefit) expense at the U.S. federal statutory rate to the provision for income taxes is as follows (dollars in thousands):


	Year Ended December 31,
	2022				2021				2020
	Amount		Tax Rate		Amount		Tax Rate		Amount		Tax Rate
U.S. statutory rate applied to income before taxes	$	2,793	21.00	%	$	11,845	21.00	%	$	4,219	21.00	%
State taxes	(448)		(3.37)	%	2,154		3.82	%	632		3.15	%
Foreign taxes	248		1.86	%	(651)		(1.15)	%	639		3.18	%
Executive compensation	1,267		9.53	%	719		1.27	%	765		3.81	%
Change in valuation allowance	2,871		21.58	%	3,695		6.55	%	(130,150)		(647.87)	%
Stock-based compensation	(1,795)		(13.49)	%	(2,144)		(3.80)	%	(216)		(1.08)	%
Tax credits	(2,542)		(19.11)	%	(1,690)		(3.00)	%	(1,591)		(7.92)	%
Interest expense	(3,477)		(26.14)	%	—		—	%	—		—	%
Contingent consideration	(3,841)		(28.88)	%	247		0.44	%	—		—	%

Nondeductible expenses	1,164		8.75	%	1,929		3.42	%	149		0.74	%
Reserves	984		7.40	%	(738)		(1.31)	%	1,539		7.66	%
Convertible debt	—		—	%	—		—	%	(1,048)		(5.22)	%

Other	169		1.27	%	(942)		(1.67)	%	(372)		(1.84)	%
Income tax (benefit) expense and effective tax rate	$	(2,607)	(19.60)	%	$	14,424	25.57	%	$	(125,434)	(624.39)	%

Schedule of Significant Components of the Company's Deferred Tax Assets and Liabilities

Significant components of the Company’s deferred tax assets and liabilities at December 31, 2022 and 2021 are as follows (in thousands):


	December 31,
	2022		2021
Deferred tax assets:
Net operating loss carryforwards	$	151,495	$	174,203
Federal and state credits	23,098		35,414
Accruals and reserves	19,979		29,691
Stock based compensation	27,473		24,545
Deferred revenue	—		2,430
Inventory reserves	4,889		572
Other	11,036		2,441
Total deferred tax assets	237,970		269,296
Deferred tax liabilities:
Depreciation and amortization	(54,743)		(81,418)
Discount on convertible senior notes	13		(15,521)
Total deferred tax liabilities	(54,730)		(96,939)
Deferred tax assets, net of deferred tax liabilities	183,240		172,357
Less: valuation allowance	(22,931)		(18,993)
Net deferred tax assets	$	160,309	$	153,364

Schedule of Unrecognized Tax Benefits Rollforward

The change in the Company’s UTBs for the year ended December 31, 2022 is summarized as follows (in thousands):


	Unrecognized Tax Benefit
Balance as December 31, 2020	$	6,076



Reduction for prior year positions	(1,355)
Additions for current year positions	4,300
Balance at December 31, 2021	9,021



Reduction for prior year positions	(3,526)
Additions for current year positions	827

Balance at December 31, 2022	$	6,322

ACQUISITION-RELATED CHARGES (GAINS), IMPAIRMENT AND OTHER (Tables)

12 Months Ended

Dec. 31, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Schedule of Acquisition-related Restructuring, impairments

Acquisition-related charges (gains), impairment and other for the years ended December 31, 2022, 2021 and 2020 are summarized below (in thousands):


	Year Ended December 31,
	2022		2021		2020
Severance-related expenses	$	4,494	$	26,371	$	—
Acquisition-related fees	1,032		10,963		—
Other acquisition expenses	5,719		3,566		150
Total acquisition-related charges	11,245		40,900		150
Flexion contingent consideration	(18,292)		1,174		—
MyoScience contingent consideration	(11,184)		(2,163)		5,204
Impairment of acquired IPR&D	26,134		—		—
Termination of license agreement	3,000		—		—
Nuance Biotech Co. Ltd. agreement dissolution costs	—		3,000		—
Discontinuation of DepoCyt(e)	—		—		(188)
Total acquisition-related charges (gains), impairment and other	$	10,903	$	42,911	$	5,166

DESCRIPTION OF BUSINESS (Details)	12 Months Ended
DESCRIPTION OF BUSINESS (Details)	Dec. 31, 2022 product
Sales Revenue, Net \| Product Concentration Risk
Concentration Risk [Line Items]
Concentration of products (in products)	3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Concentration of Major Customers (Details) - Customer Concentration - customer	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Concentration Risk [Line Items]
Number of customers	3
Largest wholesaler \| Sales Revenue, Net
Concentration Risk [Line Items]
Percentage of revenue from customers to total revenue	31.00%	31.00%	31.00%
Second largest wholesaler \| Sales Revenue, Net
Concentration Risk [Line Items]
Percentage of revenue from customers to total revenue	23.00%	28.00%	31.00%
Third largest wholesaler \| Sales Revenue, Net
Concentration Risk [Line Items]
Percentage of revenue from customers to total revenue	22.00%	26.00%	25.00%
Three largest customers \| Sales Revenue, Net
Concentration Risk [Line Items]
Percentage of revenue from customers to total revenue	76.00%	85.00%	87.00%
Customers outside U.S. \| Sales Revenue, Net
Concentration Risk [Line Items]
Percentage of revenue from customers to total revenue	1.00%	1.00%	0.00%

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Narrative (Details) $ in Millions	12 Months Ended
	Dec. 31, 2022 USD ($) segment	Dec. 31, 2021 USD ($)
Accounting Policies [Abstract]
Carrying value of money market funds	$ 42.6	$ 223.0
Carrying value of commercial paper		19.0
Carrying value of asset-backed securities		$ 2.6
Number of reportable segments \| segment	1

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Fixed Assets (Details)	12 Months Ended
	Dec. 31, 2022
Computer equipment and software \| Minimum
Fixed Assets
Useful Life	1 year
Computer equipment and software \| Maximum
Fixed Assets
Useful Life	3 years
Office furniture and equipment
Fixed Assets
Useful Life	5 years
Manufacturing and laboratory equipment \| Minimum
Fixed Assets
Useful Life	5 years
Manufacturing and laboratory equipment \| Maximum
Fixed Assets
Useful Life	10 years

RECENT ACCOUNTING PRONOUNCEMENTS (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Stockholder's equity attributable to parent	$ 775,010	$ 730,408	$ 619,688	$ 354,944
Accumulated Deficit
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Stockholder's equity attributable to parent	(148,751)	(211,895)	(253,875)	(399,398)
Additional Paid-In Capital
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Stockholder's equity attributable to parent	$ 924,095	942,091	$ 873,201	$ 753,978
Cumulative Effect, Period of Adoption, Adjusted Balance
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Long-term debt outstanding		64,900
Decrease in deferred tax liabilities		(15,700)
Cumulative Effect, Period of Adoption, Adjusted Balance \| Accumulated Deficit
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Stockholder's equity attributable to parent		47,200
Cumulative Effect, Period of Adoption, Adjusted Balance \| Additional Paid-In Capital
Revenue, Initial Application Period Cumulative Effect Transition [Line Items]
Stockholder's equity attributable to parent		$ (96,500)

- Definition

Amount, excluding unamortized premium (discount) and debt issuance cost, of long-term debt. Excludes lease obligation.

+ References + Details

- Definition

Total of all stockholders' equity (deficit) items, net of receivables from officers, directors, owners, and affiliates of the entity which are attributable to the parent. The amount of the economic entity's stockholders' equity attributable to the parent excludes the amount of stockholders' equity which is allocable to that ownership interest in subsidiary equity which is not attributable to the parent (noncontrolling interest, minority interest). This excludes temporary equity and is sometimes called permanent equity.

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
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+ Details

REVENUE - Sales and Valuation Accruals (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward]
Beginning of Period	$ 12,430	$ 4,798	$ 4,804
Provision	79,932	41,835	28,117
Payments/Adjustments	(80,053)	(34,203)	(28,123)
End of Period	12,309	12,430	4,798
Returns Allowances
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward]
Beginning of Period	3,361	1,023	540
Provision	1,390	3,095	794
Payments/Adjustments	(3,060)	(757)	(311)
End of Period	1,691	3,361	1,023
Prompt Payment Discounts
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward]
Beginning of Period	1,178	1,007	962
Provision	11,145	10,388	8,541
Payments/Adjustments	(11,136)	(10,217)	(8,496)
End of Period	1,187	1,178	1,007
Service Fees
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward]
Beginning of Period	3,636	1,168	1,486
Provision	16,866	10,112	6,437
Payments/Adjustments	(17,309)	(7,644)	(6,755)
End of Period	3,193	3,636	1,168
Volume Rebates and Chargebacks
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward]
Beginning of Period	3,494	1,600	1,816
Provision	48,890	17,101	12,345
Payments/Adjustments	(46,932)	(15,207)	(12,561)
End of Period	5,452	3,494	1,600
Government Rebates
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward]
Beginning of Period	761	0	0
Provision	1,641	1,139	0
Payments/Adjustments	(1,616)	(378)	0
End of Period	$ 786	$ 761	$ 0

REVENUE - Narrative (Details)	12 Months Ended
REVENUE - Narrative (Details)	Dec. 31, 2022
Minimum
Disaggregation of Revenue [Line Items]
Accounts receivable, payment terms	0 days
Maximum
Disaggregation of Revenue [Line Items]
Accounts receivable, payment terms	97 days

REVENUE - Disaggregation (Details) - USD ($) $ in Thousands	12 Months Ended
REVENUE - Disaggregation (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Disaggregation of Revenue [Line Items]
Total revenues	$ 666,823	$ 541,533	$ 429,647
EXPAREL
Disaggregation of Revenue [Line Items]
Total revenues	536,899	506,515	413,338
ZILRETTA
Disaggregation of Revenue [Line Items]
Total revenues	105,517	12,683	0
iovera°
Disaggregation of Revenue [Line Items]
Total revenues	15,258	16,162	8,817
Bupivacaine liposome injectable suspension
Disaggregation of Revenue [Line Items]
Total revenues	6,476	3,606	4,459
Net product sales
Disaggregation of Revenue [Line Items]
Total revenues	$ 664,150	$ 538,966	$ 426,614

- Definition

Amount, excluding tax collected from customer, of revenue from satisfaction of performance obligation by transferring promised good or service to customer. Tax collected from customer is tax assessed by governmental authority that is both imposed on and concurrent with specific revenue-producing transaction, including, but not limited to, sales, use, value added and excise.

+ References

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+ Details

FLEXION ACQUISITION - Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands		13 Months Ended	109 Months Ended
	Nov. 19, 2021	Dec. 31, 2022	Dec. 31, 2030
Flexion
Business Acquisition [Line Items]
Consideration transferred	$ 578,845
Cash paid to acquire business	533,604
Retirement of term loan	85,100
Contingent value right	45,241
Additional amount payable to holders of the CVRs	380,200
Flexion \| Developed technologies
Business Acquisition [Line Items]
Finite-lived intangible assets acquired	$ 480,000
Useful life	9 years 8 months 12 days
Flexion \| Developed technologies \| Measurement Input, Discount Rate \| Valuation, Income Approach
Business Acquisition [Line Items]
Discount rate, measurement input	17.50%
Flexion \| Acquired IPR&D
Business Acquisition [Line Items]
Finite-lived intangible assets acquired	$ 60,000
Flexion \| Acquired IPR&D \| Measurement Input, Discount Rate \| Valuation Technique, Discounted Cash Flow
Business Acquisition [Line Items]
Projected future cash flows discounted, rate	18.00%
Flexion \| RSUs, In-The-Money Stock Options, and Common Stock
Business Acquisition [Line Items]
Cash paid to acquire business		$ 448,500
Achievement of ZILRETTA Sales of $250 Million
Business Acquisition [Line Items]
Contingent value right (in dollars per share)	$ 1.00
Achievement of ZILRETTA Sales of $250 Million \| Forecast
Business Acquisition [Line Items]
Annual product sales threshold			$ 250,000
Achievement of ZILRETTA Sales of $375 Million
Business Acquisition [Line Items]
Contingent value right (in dollars per share)	2.00
Achievement of ZILRETTA Sales of $375 Million \| Forecast
Business Acquisition [Line Items]
Annual product sales threshold			375,000
Achievement of ZILRETTA Sales of $500 Million
Business Acquisition [Line Items]
Contingent value right (in dollars per share)	3.00
Achievement of ZILRETTA Sales of $500 Million \| Forecast
Business Acquisition [Line Items]
Annual product sales threshold			$ 500,000
Achievement of FDA Approval of FX-201
Business Acquisition [Line Items]
Contingent value right (in dollars per share)	1.00
Achievement of FDA Approval of FX-301
Business Acquisition [Line Items]
Contingent value right (in dollars per share)	$ 1.00

FLEXION ACQUISITION - Contingent Consideration Flexion Acquisition (Details) - Flexion - USD ($) $ / shares in Units, $ in Thousands		12 Months Ended
	Nov. 19, 2021	Dec. 31, 2022
Business Acquisition [Line Items]
Cash paid to acquire business	$ 533,604
Cash paid to settle Flexion debt	85,100
Fair value of CVRs	45,241
Total purchase consideration	578,845
Debt
Business Acquisition [Line Items]
Cash paid to settle Flexion debt	85,118
Common Stock
Business Acquisition [Line Items]
Equity interest issued or issuable, number of shares (in shares)		50,392,000
Business acquisition, share price		$ 8.50
Cash paid to acquire business	428,333
RSUs
Business Acquisition [Line Items]
Cash paid to acquire business	$ 20,153

FLEXION ACQUISITION - Schedule of Assets and Liabilities Acquired (Details) - USD ($) $ in Thousands	13 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Nov. 19, 2021	Dec. 31, 2020
ASSETS ACQUIRED
Deferred tax assets	$ (16,906)
Total assets	(16,906)
LIABILITIES ASSUMED
Accrued expenses	1,162
Total liabilities	1,162
Total identifiable net assets acquired	(18,068)
Goodwill	163,243	$ 145,175		$ 99,547
Goodwill	18,068
Total consideration transferred	0
Flexion
ASSETS ACQUIRED
Cash and cash equivalents	113,562		$ 113,562
Short-term available-for-sale investments	11,153		11,153
Accounts receivable	32,838		32,838
Inventories	29,667		29,667
Prepaid expenses and other assets	4,852		4,852
Fixed assets	23,307		23,307
Deferred tax assets	41,109		58,015
Right-of-use assets	6,585		6,585
Identifiable intangible assets	480,000		480,000
IPR&D	61,000		61,000
Total assets	804,073		820,979
LIABILITIES ASSUMED
Accounts payable	9,794		9,794
Accrued expenses	23,908		22,746
Deferred revenue	10,000		10,000
Lease liabilities	6,585		6,585
Other liabilities	1,187		1,187
Long-term debt	201,450		201,450
Total liabilities	252,924		251,762
Total identifiable net assets acquired	551,149		569,217
Goodwill	27,696		9,628
Goodwill	18,100
Total consideration transferred	$ 578,845		$ 578,845

FLEXION ACQUISITION - Schedule of Pro Forma Information (Details) - Flexion - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Business Acquisition [Line Items]
Total revenues	$ 630,942	$ 515,199
Net loss	$ (67,264)	$ (19,711)
Pro forma basic net loss per share (in dollars per share)	$ (1.52)	$ (0.46)
Pro forma diluted net loss per share (in dollars per share)	$ (1.52)	$ (0.46)

INVENTORIES - Components of Inventory (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Inventory Disclosure [Abstract]
Raw materials	$ 39,810	$ 36,337
Work-in-process	28,853	35,182
Finished goods	27,400	27,031
Total	$ 96,063	$ 98,550

FIXED ASSETS - Summary of Major Categories (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
FIXED ASSETS
Property, plant, and equipment, gross	$ 300,992	$ 273,641
Less: accumulated depreciation	(117,480)	(85,240)
Fixed assets, net	183,512	188,401
Machinery and equipment
FIXED ASSETS
Property, plant, and equipment, gross	118,684	117,264
Leasehold improvements
FIXED ASSETS
Property, plant, and equipment, gross	61,302	59,740
Computer equipment and software
FIXED ASSETS
Property, plant, and equipment, gross	15,360	13,197
Office furniture and equipment
FIXED ASSETS
Property, plant, and equipment, gross	2,420	2,883
Construction in progress
FIXED ASSETS
Property, plant, and equipment, gross	103,226	$ 80,557
Construction in progress \| Science Center Campus and Thermo Fisher
FIXED ASSETS
Property, plant, and equipment, gross	$ 22,700

FIXED ASSETS - Narrative (Details) - USD ($) $ in Thousands	12 Months Ended
FIXED ASSETS - Narrative (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
FIXED ASSETS
Depreciation expense	$ 34,200	$ 15,000	$ 12,000
Capitalized interest	4,100	3,900	$ 2,400
Fixed assets, net	183,512	188,401
Asset retirement obligation	3,300	2,400
Machinery and equipment
FIXED ASSETS
Depreciation expense	10,500
Non-US \| Leasehold improvements
FIXED ASSETS
Fixed assets, net	$ 44,700	$ 65,400

LEASES - Summary of Operating Lease Cost and Other Operating Lease Information (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Operating Lease Costs
Fixed lease costs	$ 13,949	$ 11,976	$ 10,055
Variable lease costs	1,988	1,722	2,096
Sublease income	(253)	0	0
Total	15,684	13,698	12,151
Cash paid for operating lease liabilities, net of lease incentives	14,357	12,709	14,347
Right-of-use assets recorded in exchange for lease obligations	$ 3,324	$ 8,692	$ 42,191
Weighted average remaining lease term	6 years 9 months 29 days	7 years 9 months 7 days
Weighted average discount rate (as a percent)	7.05%	6.96%

LEASES - Schedule of Maturities of Operating Lease Liabilities (Details) $ in Thousands	Dec. 31, 2022 USD ($)
Leases [Abstract]
2023	$ 14,022
2024	13,928
2025	13,078
2026	12,814
2027	12,586
Thereafter	27,350
Total future lease payments	93,778
Less: imputed interest	(19,855)
Total operating lease liabilities	$ 73,923

GOODWILL AND INTANGIBLE ASSETS - Goodwill (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Goodwill [Roll Forward]
Beginning balance	$ 145,175	$ 99,547
Ending balance	163,243	145,175
SkyePharma Holding, Inc.
Goodwill [Roll Forward]
Goodwill arising from acquisition		36,000
Flexion
Goodwill [Roll Forward]
Goodwill arising from acquisition	18,068	$ 9,628
Ending balance	$ 27,696

- Definition

Amount after accumulated impairment loss of an asset representing future economic benefits arising from other assets acquired in a business combination that are not individually identified and separately recognized.

+ References + Details

GOODWILL AND INTANGIBLE ASSETS - Narrative (Details) - USD ($) $ in Thousands	12 Months Ended			13 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2022	Mar. 31, 2022	Nov. 19, 2021
Goodwill
Goodwill	$ 163,243	$ 145,175	$ 99,547	$ 163,243
Goodwill				18,068
Amortization of acquired intangible assets	57,288	13,553	7,866
Amortization expense, first period	57,300			57,300
Amortization expense, second period	37,400			37,400
Amortization expense, third period	7,900			7,900
Amortization expense, fourth period	2,200			2,200
Carrying value of impairment of intangible assets	60,000
Fair value of impairment of intangible assets	33,900
Impairment of indefinite-lived intangible asset	26,134	0	$ 0
Flexion
Goodwill
Goodwill	$ 27,696			27,696		$ 9,628
Goodwill				$ 18,100
Upon First Commercial Sale in a Major EU country (United Kingdom, France, Germany, Italy and Spain)
Goodwill
Milestone payments for EXPAREL agreed in connection with acquisition		4,000
When Annual Net Sales Collected Reach $500.0 Million
Goodwill
Milestone payments for EXPAREL agreed in connection with acquisition		$ 32,000			$ 32,000
Annual net sales threshold					$ 500,000

GOODWILL AND INTANGIBLE ASSETS - Intangible Assets (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value	$ 590,090	$ 590,090
Accumulated Amortization	(84,410)	(27,122)
Intangible Assets, Net	505,680	562,968
Gross Carrying Value	624,956	651,090
Intangible assets, net	540,546	623,968
Developed technologies
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value	590,000	590,000
Accumulated Amortization	(84,376)	(27,097)
Intangible Assets, Net	$ 505,624	$ 562,903
Weighted-Average Useful Lives	10 years 5 months	10 years 5 months
Customer relationships
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value	$ 90	$ 90
Accumulated Amortization	(34)	(25)
Intangible Assets, Net	$ 56	$ 65
Weighted-Average Useful Lives	10 years	10 years
Acquired IPR&D
Acquired Finite-Lived Intangible Assets [Line Items]
Gross Carrying Value	$ 34,866	$ 61,000
Intangible Assets, Net	$ 34,866	$ 61,000

ACCRUED EXPENSES (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Mar. 31, 2022	Dec. 31, 2021
Accrued Expenses [Line Items]
Accrued selling, general and administrative expenses	$ 11,927		$ 12,063
Accrued research and development expenses	4,065		5,480
Other accrued operating expenses	14,959		14,912
Compensation and benefits	26,198		45,491
Termination fee payable	13,000		0
Accrued royalties	3,400		35,298
Accrued interest	8,941		5,358
Product returns and wholesaler service fees	7,295		8,953
Total	$ 89,785		127,555
Accrued severance			18,400
When Annual Net Sales Collected Reach $500.0 Million
Accrued Expenses [Line Items]
Milestone payments for EXPAREL agreed in connection with acquisition		$ 32,000	$ 32,000
Annual net sales threshold		$ 500,000

DEBT - Carrying Value of Debt (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Jul. 31, 2020	Mar. 13, 2017
0.750% Convertible Senior Notes Due 2025
Debt Instrument [Line Items]
Stated interest rate (as a percent)	0.75%
3.375% Convertible Senior Notes Due 2024
Debt Instrument [Line Items]
Stated interest rate (as a percent)	3.375%
Term Loan \| Term loan B facility due December 2026
Debt Instrument [Line Items]
Long-term debt outstanding	$ 284,704	$ 359,497
Unsecured Debt
Debt Instrument [Line Items]
Long-term debt outstanding	$ 689,471	1,049,230
Unsecured Debt \| 0.750% Convertible Senior Notes Due 2025
Debt Instrument [Line Items]
Stated interest rate (as a percent)	0.75%		0.75%
Long-term debt outstanding	$ 396,126	330,627
Unsecured Debt \| 3.375% Convertible Senior Notes Due 2024
Debt Instrument [Line Items]
Long-term debt outstanding	$ 8,641	201,249
Unsecured Debt \| 2.375% Convertible Senior Notes Due 2022
Debt Instrument [Line Items]
Stated interest rate (as a percent)	2.375%		2.375%	2.375%
Long-term debt outstanding	$ 0	$ 157,857

- Definition

Amount, excluding unamortized premium (discount) and debt issuance cost, of long-term debt. Excludes lease obligation.

+ References + Details

DEBT - Narrative (Details) $ / shares in Units, $ in Thousands								1 Months Ended		3 Months Ended	12 Months Ended
	Dec. 31, 2025 USD ($)	Jun. 30, 2022 USD ($)	Apr. 01, 2022 USD ($) shares	Jan. 01, 2022 USD ($)	Jul. 10, 2020 USD ($)	May 02, 2017 $ / shares	Mar. 13, 2017 USD ($)	Jan. 06, 2022	Jul. 31, 2020 USD ($) $ / shares	Dec. 31, 2022 USD ($) trading_day $ / shares	Dec. 31, 2022 USD ($) $ / shares shares	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Dec. 07, 2026 USD ($)	Jan. 07, 2022 USD ($)	Dec. 06, 2021 $ / shares shares	Dec. 01, 2021 USD ($)	May 31, 2017 USD ($)
DEBT AND FINANCING OBLIGATIONS
Proceeds from debt											$ 0	$ 363,750	$ 0
Settlement period - convertible debt conversion request											40 days
Initial conversion price of notes into common stock (in dollars per share) \| $ / shares										$ 71.78	$ 71.78
Closing sale price (in dollars per share) \| $ / shares										$ 38.61	$ 38.61
Loss on early extinguishment of debt											$ 0	0	8,071
Amortization of debt discount (premium)											$ 2,807	23,152	$ 18,254
Cumulative Effect, Period of Adoption, Adjusted Balance
DEBT AND FINANCING OBLIGATIONS
Long-term debt outstanding												64,900
Common Stock
DEBT AND FINANCING OBLIGATIONS
Decrease in additional paid in capital			$ 3,000
Issuance of common stock upon conversion (in shares) \| shares			101,521								102,000
Term loan B facility due December 2026
DEBT AND FINANCING OBLIGATIONS
Leverage ratio										1.75	1.75
Leverage ratio maximum amount										$ 150,000	$ 150,000
Weighted average interest rate, at point in time										10.78%	10.78%
Term loan B facility due December 2026 \| Adjusted Term SOFR Rate
DEBT AND FINANCING OBLIGATIONS
Basis spread two on variable rate											7.00%
Basis spread one on variable rate											1.00%
Term loan B facility due December 2026 \| Adjusted Term SOFR Rate \| Minimum
DEBT AND FINANCING OBLIGATIONS
Variable rate											0.75%
Term loan B facility due December 2026 \| Alternative Base Rate
DEBT AND FINANCING OBLIGATIONS
Basis spread on variable rate											6.00%
Term loan B facility due December 2026 \| Alternative Base Rate \| Minimum
DEBT AND FINANCING OBLIGATIONS
Variable rate											1.75%
Term loan B facility due December 2026 \| NYFRB Rate \| Minimum
DEBT AND FINANCING OBLIGATIONS
Basis spread on variable rate											0.50%
0.750% Convertible Senior Notes Due 2025
DEBT AND FINANCING OBLIGATIONS
Stated interest rate (as a percent)										0.75%	0.75%
Threshold trading days \| trading_day										5
Threshold consecutive trading days \| trading_day										5
Percentage of last sale price of common stock										98.00%
Initial conversion price of notes into common stock (in dollars per share) \| $ / shares									$ 71.78
Convertible debt, premium on common stock									32.50%
Closing sale price (in dollars per share) \| $ / shares									$ 54.17
Debt instrument, percentage of principal amount for computation of redemption price										100.00%
0.750% Convertible Senior Notes Due 2025 \| Debt Conversion Terms Business Day Immediately Preceding February 3, 2020
DEBT AND FINANCING OBLIGATIONS
Threshold trading days \| trading_day										20
Threshold consecutive trading days \| trading_day										30
Threshold percentage stock price trigger										130.00%
0.750% Convertible Senior Notes Due 2025 \| Debt Redemption Terms on or after August 1, 2023
DEBT AND FINANCING OBLIGATIONS
Threshold trading days \| trading_day										20
Threshold consecutive trading days \| trading_day										30
Threshold percentage stock price trigger										130.00%
Debt instrument, percentage of principal amount for computation of redemption price										100.00%
Convertible Senior Notes Due 2024
DEBT AND FINANCING OBLIGATIONS
Debt instrument, percentage of principal amount for computation of redemption price								100.00%
Convertible Senior Notes Due 2024 \| Flexion
DEBT AND FINANCING OBLIGATIONS
Initial conversion rate of common stock per $1,000 of principal amount of notes						0.0373413
Initial conversion price of notes into common stock (in dollars per share) \| $ / shares						$ 26.78										$ 317.40
CVRs issued per principal amount \| shares																37.3413
3.375% Convertible Senior Notes Due 2024
DEBT AND FINANCING OBLIGATIONS
Stated interest rate (as a percent)										3.375%	3.375%
Term Loan \| Term loan B facility due December 2026
DEBT AND FINANCING OBLIGATIONS
Discount rate																	3.00%
Debt instrument, face amount																	$ 375,000
Proceeds from debt												363,800
Discount										$ 8,252	$ 8,252	11,060					$ 11,200
Quarterly payment		$ 9,400									$ 28,100
Prepayment penalty, year 1										2.00%	2.00%
Prepayment penalty, year 2										2.00%	2.00%
Prepayment penalty, percent, year 3 and thereafter										1.00%	1.00%
Repayments of debt											$ 51,000
Debt instrument, decrease											50,000
Reduction in prepayment penalty											1,000
Convertible senior notes, gross										$ 296,875	296,875	375,000
Long-term debt outstanding										284,704	284,704	359,497
Term Loan \| Term loan B facility due December 2026 \| Forecast
DEBT AND FINANCING OBLIGATIONS
Quarterly payment	$ 14,100
Balloon payment														$ 137,500
Unsecured Debt
DEBT AND FINANCING OBLIGATIONS
Long-term debt outstanding										689,471	689,471	1,049,230
Unsecured Debt \| 0.750% Convertible Senior Notes Due 2025
DEBT AND FINANCING OBLIGATIONS
Debt instrument, face amount									$ 402,500
Discount										$ 0	$ 0	64,718
Stated interest rate (as a percent)									0.75%	0.75%	0.75%
Debt issued in private placement									$ 390,000		$ 402,500
Convertible senior notes, gross										$ 402,500	402,500	402,500
Long-term debt outstanding										396,126	396,126	330,627
Unsecured Debt \| 2.375% Convertible Senior Notes Due 2022
DEBT AND FINANCING OBLIGATIONS
Discount										$ 0	$ 0	1,920
Repayments of debt			$ 156,900		$ 211,100
Stated interest rate (as a percent)							2.375%		2.375%	2.375%	2.375%
Debt issued in private placement							$ 345,000
Debt instrument, repurchased face amount					185,000				$ 185,000
Convertible senior notes, gross										$ 0	$ 0	160,000
Long-term debt outstanding										$ 0	$ 0	157,857
Loss on early extinguishment of debt					$ 8,100
Extinguishment of debt, amount			160,000
Amortization of debt discount (premium)			$ (4,800)
Unsecured Debt \| Convertible Senior Notes Due 2024
DEBT AND FINANCING OBLIGATIONS
Stated interest rate (as a percent)										3.375%	3.375%
Aggregate principal retired															$ 192,600
Unsecured Debt \| Convertible Senior Notes Due 2024 \| Flexion
DEBT AND FINANCING OBLIGATIONS
Debt instrument, face amount																		$ 201,300
Stated interest rate (as a percent)																		3.375%
Unsecured Debt \| 3.375% Convertible Senior Notes Due 2024
DEBT AND FINANCING OBLIGATIONS
Long-term debt outstanding										$ 8,641	$ 8,641	$ 201,249
Convertible Debt \| 0.750% Convertible Senior Notes Due 2025
DEBT AND FINANCING OBLIGATIONS
Discount										87,800	87,800
Total transaction costs											$ 12,500
Amortization period of equity component of convertible debt											5 years
Convertible debt, carrying amount of liability component										$ 314,700	$ 314,700
Assumed borrowing rate											5.78%
Convertible Debt \| 0.750% Convertible Senior Notes Due 2025 \| Cumulative Effect, Period of Adoption, Adjusted Balance
DEBT AND FINANCING OBLIGATIONS
Discount				$ 64,700
Decrease in additional paid in capital				$ 1,700

DEBT - Schedule of Debt (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 01, 2021	Jul. 31, 2020	Mar. 13, 2017
0.750% Convertible Senior Notes Due 2025
Debt Instrument [Line Items]
Stated interest rate (as a percent)	0.75%
Term Loan \| Term loan B facility due December 2026
Debt Instrument [Line Items]
Convertible senior notes, gross	$ 296,875	$ 375,000
Deferred financing costs	(3,919)	(4,443)
Discount on debt	(8,252)	(11,060)	$ (11,200)
Total debt, net of debt discount and deferred financing costs	284,704	359,497
Unsecured Debt
Debt Instrument [Line Items]
Total debt, net of debt discount and deferred financing costs	$ 689,471	1,049,230
Unsecured Debt \| 0.750% Convertible Senior Notes Due 2025
Debt Instrument [Line Items]
Stated interest rate (as a percent)	0.75%			0.75%
Convertible senior notes, gross	$ 402,500	402,500
Deferred financing costs	(6,374)	(7,155)
Discount on debt	0	(64,718)
Total debt, net of debt discount and deferred financing costs	$ 396,126	330,627
Unsecured Debt \| 2.375% Convertible Senior Notes Due 2022
Debt Instrument [Line Items]
Stated interest rate (as a percent)	2.375%			2.375%	2.375%
Convertible senior notes, gross	$ 0	160,000
Deferred financing costs	0	(223)
Discount on debt	0	(1,920)
Total debt, net of debt discount and deferred financing costs	$ 0	$ 157,857

DEBT - Schedule of Interest Expense (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Debt Disclosure [Abstract]
Contractual and other interest expense	$ 36,880	$ 9,759	$ 7,650
Amortization of debt issuance costs	4,400	2,754	2,156
Amortization of debt discount	2,807	23,152	18,254
Capitalized interest and other (Note 7)	(4,111)	(3,915)	(2,389)
Total	$ 39,976	$ 31,750	$ 25,671
Effective interest rate on total debt	5.47%	6.66%	7.15%

FINANCIAL INSTRUMENTS - Fair Value of Liabilities Measured on a Recurring Basis (Details) - USD ($) $ / shares in Units, $ in Thousands, shares in Millions	12 Months Ended
	Dec. 31, 2022	Jul. 31, 2020
Financial Liabilities:
Closing sale price (in dollars per share)	$ 38.61
Initial conversion price of notes into common stock (in dollars per share)	$ 71.78
Convertible Senior Notes Due 2025
Financial Liabilities:
Stated interest rate (as a percent)	0.75%
Closing sale price (in dollars per share)		$ 54.17
Initial conversion price of notes into common stock (in dollars per share)		$ 71.78
Convertible Senior Notes Due 2025 \| Maximum
Financial Liabilities:
Debt instrument, convertible, conversion premium (in shares)	5.6
Convertible Senior Notes Due 2025 \| Unsecured Debt
Financial Liabilities:
Stated interest rate (as a percent)	0.75%	0.75%
Convertible Senior Notes Due 2024 \| Unsecured Debt
Financial Liabilities:
Stated interest rate (as a percent)	3.375%
Carrying Value
Financial Asset:
Equity investments	$ 15,877
Convertible notes receivable	5,315
Financial Liabilities:
Acquisition-related contingent consideration	28,122
Carrying Value \| Term loan B facility due December 2026 \| Term Loan
Financial Liabilities:
Convertible senior notes	284,704
Carrying Value \| Convertible Senior Notes Due 2025 \| Unsecured Debt
Financial Liabilities:
Convertible senior notes	396,126
Carrying Value \| Convertible Senior Notes Due 2024 \| Unsecured Debt
Financial Liabilities:
Convertible senior notes	8,641
Estimate of Fair Value Measurement \| Level 1
Financial Asset:
Equity investments	0
Convertible notes receivable	0
Financial Liabilities:
Acquisition-related contingent consideration	0
Estimate of Fair Value Measurement \| Level 1 \| Term loan B facility due December 2026 \| Term Loan
Financial Liabilities:
Convertible senior notes	0
Estimate of Fair Value Measurement \| Level 1 \| Convertible Senior Notes Due 2025 \| Unsecured Debt
Financial Liabilities:
Convertible senior notes	0
Estimate of Fair Value Measurement \| Level 1 \| Convertible Senior Notes Due 2024 \| Unsecured Debt
Financial Liabilities:
Convertible senior notes	0
Estimate of Fair Value Measurement \| Level 2
Financial Asset:
Equity investments	0
Convertible notes receivable	0
Financial Liabilities:
Acquisition-related contingent consideration	0
Estimate of Fair Value Measurement \| Level 2 \| Term loan B facility due December 2026 \| Term Loan
Financial Liabilities:
Convertible senior notes	292,422
Estimate of Fair Value Measurement \| Level 2 \| Convertible Senior Notes Due 2025 \| Unsecured Debt
Financial Liabilities:
Convertible senior notes	365,269
Estimate of Fair Value Measurement \| Level 2 \| Convertible Senior Notes Due 2024 \| Unsecured Debt
Financial Liabilities:
Convertible senior notes	8,641
Estimate of Fair Value Measurement \| Level 3
Financial Asset:
Equity investments	15,877
Convertible notes receivable	5,315
Financial Liabilities:
Acquisition-related contingent consideration	28,122
Estimate of Fair Value Measurement \| Level 3 \| Term loan B facility due December 2026 \| Term Loan
Financial Liabilities:
Convertible senior notes	0
Estimate of Fair Value Measurement \| Level 3 \| Convertible Senior Notes Due 2025 \| Unsecured Debt
Financial Liabilities:
Convertible senior notes	0
Estimate of Fair Value Measurement \| Level 3 \| Convertible Senior Notes Due 2024 \| Unsecured Debt
Financial Liabilities:
Convertible senior notes	$ 0

FINANCIAL INSTRUMENTS - Schedule of Investments Without Readily Determinable Fair Value (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance	$ 18,259	$ 12,802
Purchases	13,000	17,187
Divestiture of investment		(11,642)
Impairment of equity investment	(10,000)
Foreign currency adjustments	(67)	(88)
Ending balance	21,192	18,259
Equity Investments
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance	14,127	12,802
Purchases	11,750	12,967
Divestiture of investment		(11,642)
Impairment of equity investment	(10,000)
Foreign currency adjustments	0	0
Ending balance	15,877	14,127
Convertible Notes Receivable
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance	4,132	0
Purchases	1,250	4,220
Divestiture of investment		0
Impairment of equity investment	0
Foreign currency adjustments	(67)	(88)
Ending balance	$ 5,315	$ 4,132

FINANCIAL INSTRUMENTS - Narrative (Details)		1 Months Ended			2 Months Ended	12 Months Ended
FINANCIAL INSTRUMENTS - Narrative (Details)	Nov. 19, 2021 USD ($)	Feb. 28, 2023 USD ($)	Nov. 30, 2021 USD ($)	Apr. 30, 2019 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2022 USD ($) customer	Dec. 31, 2021 USD ($) customer	Dec. 31, 2020 USD ($)	Aug. 31, 2022 USD ($)
Financial Assets and Financial Liabilities Measured at Fair Value on a Recurring Basis:
Impairment of equity investment						$ (10,000,000)
Changes in contingent consideration						(29,476,000)	$ (989,000)	$ 5,204,000
Interest receivable					$ 100,000	$ 800,000	$ 100,000
Number of major customers \| customer						3	4
Amount of allowance for doubtful accounts					0	$ 0	$ 0
Subsequent Event
Financial Assets and Financial Liabilities Measured at Fair Value on a Recurring Basis:
Payments to acquire notes receivable		$ 4,000,000
Accounts Receivable \| Major customer one \| Concentration Risk by Major Customer
Financial Assets and Financial Liabilities Measured at Fair Value on a Recurring Basis:
Concentration risk (as a percent)						34.00%	30.00%
Accounts Receivable \| Major customer two \| Concentration Risk by Major Customer
Financial Assets and Financial Liabilities Measured at Fair Value on a Recurring Basis:
Concentration risk (as a percent)						19.00%	20.00%
Accounts Receivable \| Major customer three \| Concentration Risk by Major Customer
Financial Assets and Financial Liabilities Measured at Fair Value on a Recurring Basis:
Concentration risk (as a percent)							17.00%
Accounts Receivable \| Major customer four \| Concentration Risk by Major Customer
Financial Assets and Financial Liabilities Measured at Fair Value on a Recurring Basis:
Concentration risk (as a percent)						18.00%	11.00%
Flexion and Myoscience Acquisition
Financial Assets and Financial Liabilities Measured at Fair Value on a Recurring Basis:
Acquisition-related contingent consideration					57,600,000	$ 28,100,000	$ 57,600,000
Flexion Acquisition
Financial Assets and Financial Liabilities Measured at Fair Value on a Recurring Basis:
Acquisition-related contingent consideration			$ 372,300,000		46,400,000	28,100,000	46,400,000		$ 425,500,000
Contingent consideration, payment terms			60 days
Changes in contingent consideration	$ 45,200,000		$ 45,200,000		$ 1,200,000	$ 18,300,000	$ 1,200,000
Flexion Acquisition \| Level 3 \| Weighted Average \| Contingent Consideration \| Measurement Input, Discount Rate
Financial Assets and Financial Liabilities Measured at Fair Value on a Recurring Basis:
Contingent consideration, liability, measurement input (as a percent)						0.150
Flexion Acquisition \| Level 3 \| Weighted Average \| Contingent Consideration \| Measurement Input, Probability Of Success Of Regulatory Milestones
Financial Assets and Financial Liabilities Measured at Fair Value on a Recurring Basis:
Contingent consideration, liability, measurement input (as a percent)					0.15	0.125	0.15
Flexion Acquisition \| Level 3 \| Weighted Average \| Contingent Consideration \| Measurement Input, Probability Of Payment Due To Likelihood Of Achievement
Financial Assets and Financial Liabilities Measured at Fair Value on a Recurring Basis:
Contingent consideration, liability, measurement input (as a percent)					1	0.50	1
Flexion Acquisition \| Level 3 \| Weighted Average \| Contingent Consideration \| Measurement Input, Probability Of Success In Regulatory Approval
Financial Assets and Financial Liabilities Measured at Fair Value on a Recurring Basis:
Contingent consideration, liability, measurement input (as a percent)					0.15	0.25	0.15
Myoscience Acquisition
Financial Assets and Financial Liabilities Measured at Fair Value on a Recurring Basis:
Acquisition-related contingent consideration					$ 11,200,000	$ 0	$ 11,200,000
Contingent consideration, payment terms				60 days
Changes in contingent consideration						11,200,000	2,200,000	$ 5,200,000
Maximum total payments for contingent consideration possible				$ 100,000,000
Contingent consideration						$ 43,000,000
Myoscience Acquisition \| Level 3 \| Contingent Consideration \| Measurement Input, Expected Milestone Payment
Financial Assets and Financial Liabilities Measured at Fair Value on a Recurring Basis:
Contingent consideration, liability, measurement input (as a percent)						0
TELA Bio
Financial Assets and Financial Liabilities Measured at Fair Value on a Recurring Basis:
Sale of equity investment							9,100,000
Equity securities, realized loss							$ 2,600,000

FINANCIAL INSTRUMENTS - Schedule of Fair Value Inputs and Valuation (Details) - Contingent Consideration	Dec. 31, 2022
Myoscience Acquisition \| Level 3 \| Probability of payment for achievement of regulatory milestones
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Contingent consideration, liability, measurement input (as a percent)	0
Minimum \| Flexion Acquisition \| Discount rates
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Contingent consideration, liability, measurement input (as a percent)	0.149
Minimum \| Flexion Acquisition \| Probability of payment for achievement of regulatory milestones
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Contingent consideration, liability, measurement input (as a percent)	0
Maximum \| Flexion Acquisition \| Discount rates
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Contingent consideration, liability, measurement input (as a percent)	0.151
Maximum \| Flexion Acquisition \| Probability of payment for achievement of regulatory milestones
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Contingent consideration, liability, measurement input (as a percent)	0.125

FINANCIAL INSTRUMENTS - Contingent Consideration Rollforward (Details) - Contingent Consideration - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward]
Beginning balance	$ 57,598	$ 28,346
Contingent consideration related to the Flexion Acquisition		45,241
Fair value adjustments and accretion	(29,476)	(989)
Payments made or offset against amounts due		(15,000)
Ending balance	$ 28,122	$ 57,598

FINANCIAL INSTRUMENTS - Schedule of Investments at Amortized Cost and Fair Value (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Fair Value Measurements
Cost	$ 222,515
Gross Unrealized Gains	25
Gross Unrealized Losses	(819)
Fair Value (Level 2)	221,721
Current:
Fair Value Measurements
Cost	185,233	$ 70,651
Gross Unrealized Gains	23	182
Gross Unrealized Losses	(744)	(2)
Fair Value (Level 2)	184,512	70,831
Noncurrent:
Fair Value Measurements
Cost	37,282
Gross Unrealized Gains	2
Gross Unrealized Losses	(75)
Fair Value (Level 2)	37,209
Asset-backed securities \| Current:
Fair Value Measurements
Cost	6,836	3,182
Gross Unrealized Gains	0	0
Gross Unrealized Losses	(3)	0
Fair Value (Level 2)	6,833	3,182
Commercial paper \| Current:
Fair Value Measurements
Cost	134,423	57,533
Gross Unrealized Gains	23	80
Gross Unrealized Losses	(386)	(2)
Fair Value (Level 2)	134,060	57,611
Corporate bonds \| Current:
Fair Value Measurements
Cost		9,936
Gross Unrealized Gains		102
Gross Unrealized Losses		0
Fair Value (Level 2)		$ 10,038
U.S. federal agency bonds \| Current:
Fair Value Measurements
Cost	41,971
Gross Unrealized Gains	0
Gross Unrealized Losses	(337)
Fair Value (Level 2)	41,634
U.S. federal agency bonds \| Noncurrent:
Fair Value Measurements
Cost	22,783
Gross Unrealized Gains	2
Gross Unrealized Losses	(66)
Fair Value (Level 2)	22,719
U.S. Government bonds \| Current:
Fair Value Measurements
Cost	2,003
Gross Unrealized Gains	0
Gross Unrealized Losses	(18)
Fair Value (Level 2)	1,985
U.S. Government bonds \| Noncurrent:
Fair Value Measurements
Cost	14,499
Gross Unrealized Gains	0
Gross Unrealized Losses	(9)
Fair Value (Level 2)	$ 14,490

STOCKHOLDERS' EQUITY - Narrative (Details) - shares	Dec. 31, 2022	Dec. 31, 2021
Stockholders' Equity Note [Abstract]
Common stock, shares authorized (in shares)	250,000,000	250,000,000
Common stock, shares issued (in shares)	45,927,790	44,734,308
Common stock, shares outstanding (in shares)	45,927,790	44,734,308
Preferred stock, shares authorized (in shares)	5,000,000	5,000,000
Preferred stock, shares outstanding (in shares)	0	0
Preferred stock, shares issued (in shares)	0	0

STOCKHOLDERS' EQUITY - AOCI (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	$ 730,408	$ 619,688	$ 354,944
Net unrealized loss on investments, net of tax	(662)	(180)	(3)
Ending balance	775,010	730,408	619,688
Unrealized (loss) gain on investments, tax benefit	200	100
Net Unrealized Gains (Losses) From Available-For-Sale Investments
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	139	319	322
Net unrealized loss on investments, net of tax	(662)	(180)	(3)
Ending balance	(523)	139	319
Unrealized Foreign Currency Translation
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	28	(1)	0
Foreign currency translation adjustments	115	29	(1)
Ending balance	143	28	(1)
Accumulated Other Comprehensive (Loss) Income
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning balance	167	318	322
Net unrealized loss on investments, net of tax	(662)	(180)	(3)
Foreign currency translation adjustments	115	29	(1)
Ending balance	$ (380)	$ 167	$ 318

- Definition

+ References

+ Details

STOCK PLANS - Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended		12 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Stock Incentive Plans
Stock incentive plan, increased number of shares authorized for issuance (in shares)		1,500,000
Award vesting period			3 years
ESPP increase to shares allowed to be sold	500,000
Employee stock purchase plan (ESPP), maximum shares available for sale (in shares)			1,000,000
Maximum fair market value of ESPP shares available for purchase			$ 25
Offering period			6 months
ESPP fair value (as a percent)			85.00%
ESPP shares purchased and issued during period (in shares)			71,301
Stock options
Stock Incentive Plans
Expiration period			10 years
Award vesting period			4 years
Expected recognition of non-vested stock options, not yet recognized			$ 45,400
Period for recognition of non-vested awards not yet recognized			2 years 7 months 6 days
ESPP share option fair value (in dollars per share)			$ 25.60	$ 26.74	$ 22.40
RSUs
Stock Incentive Plans
Award vesting period			4 years
Period for recognition of non-vested awards not yet recognized			2 years 10 months 24 days
Expected recognition of non-vested RSUs, not yet recognized			$ 52,700

STOCK PLANS - Stock Incentive Plans (Details)	12 Months Ended
STOCK PLANS - Stock Incentive Plans (Details)	Dec. 31, 2022 shares
Stock Incentive Plans
Stock incentive plan, awards reserved for issuance (in shares)	14,606,701
Stock incentive plan, awards issued (in shares)	13,894,661
Stock incentive plan, awards available for grant (in shares)	712,040
2011 Plan
Stock Incentive Plans
Stock incentive plan, awards reserved for issuance (in shares)	14,431,701
Stock incentive plan, awards issued (in shares)	13,858,585
Stock incentive plan, awards available for grant (in shares)	573,116
2014 Inducement Plan
Stock Incentive Plans
Stock incentive plan, awards reserved for issuance (in shares)	175,000
Stock incentive plan, awards issued (in shares)	36,076
Stock incentive plan, awards available for grant (in shares)	138,924
ESPP
Stock Incentive Plans
ESPP, shares reserved for purchase (in shares)	1,000,000
ESPP, shares purchased (in shares)	480,350
ESPP, shares available for purchase (in shares)	519,650

STOCK PLANS - Compensation Expense (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Share-Based Compensation
Stock-based compensation expense	$ 48,092	$ 42,246	$ 39,920
Related income tax benefit	10,219	8,989	8,578
Stock options
Share-Based Compensation
Stock-based compensation expense	26,800	25,980	26,749
RSUs
Share-Based Compensation
Stock-based compensation expense	20,310	15,335	12,266
ESPP
Share-Based Compensation
Stock-based compensation expense	982	931	905
Cost of goods sold
Share-Based Compensation
Stock-based compensation expense	5,967	5,891	5,589
Research and development
Share-Based Compensation
Stock-based compensation expense	6,594	5,465	5,211
Selling, general and administrative
Share-Based Compensation
Stock-based compensation expense	$ 35,531	$ 30,890	$ 29,120

STOCK PLANS - Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Number of Stock Options
Balance at the beginning of the period (in shares)	6,050,540	6,235,118	6,706,378
Granted (in shares)	1,061,630	890,277	1,502,803
Exercised (in shares)	(689,464)	(732,117)	(1,428,111)
Forfeited (in shares)	(113,506)	(278,233)	(426,925)
Expired (in shares)	(36,206)	(64,505)	(119,027)
Balance at the end of the period (in shares)	6,272,994	6,050,540	6,235,118	6,706,378
Exercisable at the end of the period (in shares)	4,224,921
Vested and expected to vest at the end of the period (in shares)	6,272,994
Weighted Average Exercise Price (Per Share)
Balance at the beginning of the period (in dollars per share)	$ 49.32	$ 45.98	$ 42.80
Granted (in dollars per share)	59.99	60.27	47.50
Exercised (in dollars per share)	35.37	32.56	31.67
Forfeited (in dollars per share)	54.97	46.46	42.08
Expired (in dollars per share)	79.90	80.31	71.71
Balance at the end of the period (in dollars per share)	52.38	$ 49.32	$ 45.98	$ 42.80
Exercisable at the end of the period (in dollars per share)	50.51
Vested and expected to vest at the end of the period (in dollars per share)	$ 52.38
Weighted Average Remaining Contractual Term (Years)
Term at the end of the period	6 years 3 months 10 days	6 years 7 months 2 days	6 years 11 months 19 days	7 years 18 days
Term exercisable at the end of the period	5 years 2 months 1 day
Term vested and expected to vest at the end of the period	6 years 3 months 10 days
Aggregate Intrinsic Value (in Thousands)
Balance at the beginning of the period	$ 81,407	$ 102,955	$ 50,652
Exercised	23,983	23,967	34,227
Balance at the end of the period	2,011	$ 81,407	$ 102,955	$ 50,652
Exercisable at the end of the period	1,997
Vested and expected to vest at the end of the period	$ 2,011

STOCK PLANS - Valuation Assumptions (Details) - $ / shares	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Stock options
Weighted Average Assumptions Used to Estimate the Fair Values of Each Option Grant
ESPP share option fair value (in dollars per share)	$ 25.60	$ 26.74	$ 22.40
Expected dividend yield	0.00%	0.00%	0.00%
Risk-free interest rate, minimum (as a percent)	1.37%	0.43%	0.22%
Risk-free interest rate, maximum (as a percent)	4.17%	1.21%	1.60%
Expected volatility (as a percent)	45.10%	49.10%	53.50%
Expected term of options	4 years 11 months 1 day	5 years 4 months 9 days	5 years 4 months 9 days
ESPP
Weighted Average Assumptions Used to Estimate the Fair Values of Each Option Grant
Expected dividend yield	0.00%	0.00%	0.00%
Risk-free interest rate, minimum (as a percent)	0.22%	0.50%	0.14%
Risk-free interest rate, maximum (as a percent)	2.52%	0.90%	1.57%
Expected volatility (as a percent)	39.50%	37.00%	44.90%
Expected term of options	6 months	6 months	6 months
ESPP \| Minimum
Weighted Average Assumptions Used to Estimate the Fair Values of Each Option Grant
ESPP share option fair value (in dollars per share)	$ 15.26	$ 15.16	$ 11.02
ESPP \| Maximum
Weighted Average Assumptions Used to Estimate the Fair Values of Each Option Grant
ESPP share option fair value (in dollars per share)	$ 15.86	$ 15.23	$ 17.54

STOCK PLANS - RSU Activity (Details) - RSUs - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Number of Restricted Stock Units
Unvested balance at the beginning of the period (in shares)	955,277	957,453	631,141
Granted (in shares)	621,149	446,450	665,476
Vested (in shares)	(331,196)	(309,779)	(239,085)
Forfeited (in shares)	(95,768)	(138,847)	(100,079)
Unvested balance at the end of the period (in shares)	1,149,462	955,277	957,453
Weighted Average Grant Date Fair Value (Per Share)
Unvested balance at the beginning of the period (in dollars per shares)	$ 52.85	$ 46.34	$ 41.87
Granted (in dollars per share)	60.11	60.81	48.70
Vested (in dollars per share)	50.25	45.16	41.91
Forfeited (in dollars per share)	56.00	50.67	44.43
Unvested balance at the end of the period (in dollars per shares)	$ 57.26	$ 52.85	$ 46.34
Aggregate Intrinsic Value (in Thousands)
Unvested balance at the end of the period	$ 44,381	$ 57,479	$ 57,294	$ 28,591

NET INCOME PER SHARE - Calculation (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Numerator:
Net income—basic	$ 15,909	$ 41,980	$ 145,523
Denominator:
Weighted average common shares outstanding - basic (in shares)	45,521	44,262	42,671
Computation of diluted securities:
Weighted average number of shares outstanding - diluted (in shares)	46,538	45,630	43,682
Net income per share:
Basic net income per common share (in dollars per share)	$ 0.35	$ 0.95	$ 3.41
Diluted net income per common share (in dollars per share)	$ 0.34	$ 0.92	$ 3.33
Stock options
Computation of diluted securities:
Dilutive effect of share based compensation arrangements (in shares)	787	1,030	783
RSUs
Computation of diluted securities:
Dilutive effect of share based compensation arrangements (in shares)	226	298	227
Conversion Premium on 2022 Notes
Computation of diluted securities:
Dilutive effect of convertible debt securities (in shares)	0	38	0
ESPP
Computation of diluted securities:
Dilutive effect of share based compensation arrangements (in shares)	4	2	1

NET INCOME PER SHARE - Antidilutive Securities (Details) - shares shares in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
EARNINGS PER SHARE
Total	9,451	2,270	4,352
Stock options
EARNINGS PER SHARE
Total	2,821	2,141	4,237
Convertible senior notes
EARNINGS PER SHARE
Total	6,206	0	0
Convertible senior notes \| Accounting Standards Update 2020-06
EARNINGS PER SHARE
Total	5,100
RSUs
EARNINGS PER SHARE
Total	417	116	99
ESPP
EARNINGS PER SHARE
Total	7	13	16

INCOME TAXES - Current and Deferred Income Taxes (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Income (loss) before income taxes:
Domestic	$ 21,068	$ 64,751	$ 17,000
Foreign	(7,766)	(8,347)	3,089
Total income before income taxes	13,302	56,404	20,089
Current taxes:
Federal	0	0	(6)
State	5,309	3,533	1,185
Foreign	29	19	0
Total current taxes	5,338	3,552	1,179
Deferred taxes:
Federal	(2,781)	12,554	(99,164)
State	(5,164)	(1,682)	(27,449)
Total deferred taxes	(7,945)	10,872	(126,613)
Total income tax (benefit) expense	$ (2,607)	$ 14,424	$ (125,434)

INCOME TAXES - Reconciliation of Effective Tax Rate (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Amount
U.S. statutory rate applied to income before taxes	$ 2,793	$ 11,845	$ 4,219
State taxes	(448)	2,154	632
Foreign taxes	248	(651)	639
Executive compensation	1,267	719	765
Change in valuation allowance	2,871	3,695	(130,150)
Stock-based compensation	(1,795)	(2,144)	(216)
Tax credits	(2,542)	(1,690)	(1,591)
Interest expense	(3,477)	0	0
Contingent consideration	(3,841)	247	0
Nondeductible expenses	1,164	1,929	149
Reserves	984	(738)	1,539
Convertible debt	0	0	(1,048)
Other	169	(942)	(372)
Total income tax (benefit) expense	$ (2,607)	$ 14,424	$ (125,434)
Tax Rate
U.S. federal statutory rate (as a percent)	21.00%	21.00%	21.00%
State taxes (as a percent)	(3.37%)	3.82%	3.15%
Foreign taxes (as a percent)	1.86%	(1.15%)	3.18%
Executive compensation (as a percent)	9.53%	1.27%	3.81%
Change in valuation allowance (as a percent)	21.58%	6.55%	(647.87%)
Stock-based compensation	(13.49%)	(3.80%)	(1.08%)
Tax credits (as a percent)	(19.11%)	(3.00%)	(7.92%)
Interest expense (as a percent)	(26.14%)	0.00%	0.00%
Contingent consideration (as a percent)	(28.88%)	0.44%	0.00%
Nondeductible expenses (as a percent)	8.75%	3.42%	0.74%
Reserves (as a percent)	7.40%	(1.31%)	7.66%
Convertible debt (as a percent)	0.00%	0.00%	(5.22%)
Other (as a percent)	1.27%	(1.67%)	(1.84%)
Effective tax rate (as a percent)	(19.60%)	25.57%	(624.39%)

INCOME TAXES - Narrative (Details) - USD ($) $ in Thousands	12 Months Ended
INCOME TAXES - Narrative (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2028	Dec. 31, 2027	Dec. 31, 2025	Dec. 31, 2024	Dec. 31, 2023
Income Tax Provision [Line Items]
Reduction of valuation allowance for deferred tax assets	$ 3,900	$ 16,500	$ (126,600)
Minimum cumulative percentage of change in ownership as condition to offset taxable income (as a percent)	50.00%
Decrease in unrecognized tax benefits	$ 2,700
Additions for current year positions	827	4,300
Additions for prior year positions	200
Unrecognized tax benefits	6,322	$ 9,021	$ 6,076
Foreign Net Deferred Tax Asset
Income Tax Provision [Line Items]
Reduction of valuation allowance for deferred tax assets	500
Flexion
Income Tax Provision [Line Items]
Reduction of valuation allowance for deferred tax assets	2,500
Additions for current year positions	3,700
Capital Loss Carryforward
Income Tax Provision [Line Items]
Reduction of valuation allowance for deferred tax assets	900
Federal
Income Tax Provision [Line Items]
Net operating losses	571,800
Net operating loss, subject to limitation	516,200
Federal \| Forecast
Income Tax Provision [Line Items]
Expected additional NOLs, year one								$ 32,600
Expected additional NOLs, year two							$ 32,500
Expected additional NOLs, year three						$ 32,400
Expected additional NOLs, year four						$ 28,300
Expected additional NOLs, year five					$ 6,900
Expected additional NOLs, year after five				$ 6,900
Federal \| Research Tax Credit Carryforward
Income Tax Provision [Line Items]
Tax credit carryforward, amount	16,600
State
Income Tax Provision [Line Items]
Net operating losses	518,000
State \| Research Tax Credit Carryforward
Income Tax Provision [Line Items]
Tax credit carryforward, amount	6,500
Non-US
Income Tax Provision [Line Items]
Net operating losses	$ 6,500

INCOME TAXES - Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Deferred tax assets:
Net operating loss carryforwards	$ 151,495	$ 174,203
Federal and state credits	23,098	35,414
Accruals and reserves	19,979	29,691
Stock based compensation	27,473	24,545
Deferred revenue	0	2,430
Inventory reserves	4,889	572
Other	11,036	2,441
Total deferred tax assets	237,970	269,296
Deferred tax liabilities:
Depreciation and amortization	(54,743)	(81,418)
Discount on convertible senior notes	13	(15,521)
Total deferred tax liabilities	(54,730)	(96,939)
Deferred tax assets, net of deferred tax liabilities	183,240	172,357
Less: valuation allowance	(22,931)	(18,993)
Net deferred tax assets	$ 160,309	$ 153,364

INCOME TAXES - Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]
Unrecognized tax benefits at beginning of the period	$ 9,021	$ 6,076
Reduction for prior year positions	(3,526)	(1,355)
Additions for current year positions	827	4,300
Unrecognized tax benefits at end of the period	$ 6,322	$ 9,021

EMPLOYEE BENEFIT PLANS (Details) - USD ($) $ in Millions	12 Months Ended
EMPLOYEE BENEFIT PLANS (Details) - USD ($) $ in Millions	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Defined Benefit Plan Disclosure [Line Items]
Compensation expense recognized	$ 3.4	$ 2.8	$ 2.9
Employer discretionary contribution expense	$ 0.3	0.2	$ 0.2
Performance period	1 year
Award vesting period	3 years
Compensation expense	$ 1.0	1.2
Cash-based arrangements, liability	2.2	1.2
Rabbi Trust
Defined Benefit Plan Disclosure [Line Items]
Employer discretionary contribution expense	$ 4.3	$ 2.6
Minimum
Defined Benefit Plan Disclosure [Line Items]
Performance award (as a percent)	0.00%
Maximum
Defined Benefit Plan Disclosure [Line Items]
Performance award (as a percent)	225.00%

ACQUISITION-RELATED CHARGES (GAINS), IMPAIRMENT AND OTHER - Impairment and Other (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Restructuring Reserve [Roll Forward]
Severance-related expenses	$ 4,494	$ 26,371	$ 0
Total acquisition-related charges	11,245	40,900	150
Changes in contingent consideration	(29,476)	(989)	5,204
Total acquisition-related charges (gains), impairment and other	10,903	42,911	5,166
Acquired IPR&D
Restructuring Reserve [Roll Forward]
Impairment of acquired IPR&D	26,134	0	0
Nuance Biotech Co. Ltd.
Restructuring Reserve [Roll Forward]
Gain (loss) on contract termination	0	(3,000)	0
DepoCyte
Restructuring Reserve [Roll Forward]
Gain (loss) on contract termination	0	0	188
Flexion
Restructuring Reserve [Roll Forward]
Changes in contingent consideration	(18,292)	1,174	0
Myoscience Acquisition
Restructuring Reserve [Roll Forward]
Acquisition related fees		700	200
Changes in contingent consideration	11,200	2,200	5,200
Impairment of acquired IPR&D	(11,184)	(2,163)	5,204
Acquisition-related fees
Restructuring Reserve [Roll Forward]
Acquisition related fees	1,032	10,963	0
Other acquisition expenses
Restructuring Reserve [Roll Forward]
Acquisition related fees	5,719	3,566	150
Termination of license agreement
Restructuring Reserve [Roll Forward]
Gain (loss) on contract termination	$ 3,000	$ 0	$ 0

ACQUISITION-RELATED CHARGES (GAINS), IMPAIRMENT AND OTHER - Flexion (Details) - USD ($) $ in Thousands		1 Months Ended	2 Months Ended	12 Months Ended
	Nov. 19, 2021	Nov. 30, 2021	Dec. 31, 2021	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Business Acquisition [Line Items]
Changes in contingent consideration				$ (29,476)	$ (989)	$ 5,204
Flexion Acquisition
Business Acquisition [Line Items]
Changes in contingent consideration	$ 45,200	$ 45,200	$ 1,200	18,300	1,200
Flexion Acquisition \| Legal Fees
Business Acquisition [Line Items]
Acquisition related fees				$ 11,200	$ 40,200

ACQUISITION-RELATED CHARGES (GAINS), IMPAIRMENT AND OTHER - MyoScience (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Business Acquisition [Line Items]
Changes in contingent consideration	$ (29,476)	$ (989)	$ 5,204
Myoscience Acquisition
Business Acquisition [Line Items]
Changes in contingent consideration	$ 11,200	2,200	5,200
Acquisition related fees		$ 700	$ 200

ACQUISITION-RELATED CHARGES (GAINS), IMPAIRMENT AND OTHER - Impairment of Acquired IPR&D (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Business Acquisition [Line Items]
Carrying value of impairment of intangible assets	$ 60,000
Fair value of impairment of intangible assets	33,900
Acquired IPR&D
Business Acquisition [Line Items]
Impairment of acquired IPR&D	$ 26,134	$ 0	$ 0

ACQUISITION-RELATED CHARGES (GAINS), IMPAIRMENT AND OTHER - Termination of License Agreement (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Termination of license agreement
Restructuring Cost and Reserve [Line Items]
Gain (loss) on contract termination	$ (3,000)	$ 0	$ 0

ACQUISITION-RELATED CHARGES (GAINS), IMPAIRMENT AND OTHER - Nuance (Details) $ in Millions	12 Months Ended
	Dec. 31, 2021 USD ($)
Nuance Biotech Co. Ltd.
Business Acquisition [Line Items]
Litigation settlement, expense	$ 3.0

ACQUISITION-RELATED CHARGES (GAINS), IMPAIRMENT AND OTHER - DepoCyte Discontinuation (Details) - DepoCyte - USD ($) $ in Millions	1 Months Ended	12 Months Ended
	Nov. 30, 2019	Dec. 31, 2020
Business Acquisition [Line Items]
Payments for settlement	$ 5.3
Non-recurring charge related to discontinuation		$ 0.2

COMMERCIAL PARTNERS AND OTHER AGREEMENTS (Details) - USD ($) $ in Millions	1 Months Ended	12 Months Ended
	Jun. 30, 2021	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2012
DePuy Synthes Sales Inc \| Co-Promotion Agreement
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
Payment of early termination fees				$ 8.8
Eurofarma Labatories S.A.
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
Collaborative arrangement, upfront payment	$ 0.3
Eurofarma Labatories S.A. \| Achievement of Development and Commercial Milestones
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
Collaborative licensing and milestone revenue			$ 0.1
Aratana Therapeutics Inc
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
Collaborative arrangement, option to extend, term		5 years
Aratana Therapeutics Inc \| Achievement of Development and Commercial Milestones
Collaborative Arrangements and Non-collaborative Arrangement Transactions [Line Items]
Collaborative arrangement, milestone payments to be received					$ 40.0

COMMITMENTS AND CONTINGENCIES (Details) - USD ($) $ in Millions	1 Months Ended		12 Months Ended
	Oct. 31, 2020	Feb. 28, 2017	Dec. 31, 2020	Jan. 31, 2023	Jan. 01, 2023	Dec. 31, 2022
Hong Kong Pharma Tainuo Ltd.
Long-term Purchase Commitment [Line Items]
Collaborative arrangement, upfront payment			$ 10.0
Achievement of Development and Commercial Milestones \| Hong Kong Pharma Tainuo Ltd.
Long-term Purchase Commitment [Line Items]
Collaborative arrangement, milestone payments to be received						$ 32.5
Collaborative arrangement, part of acquisition recognized						13.0
Achievement of Development and Commercial Milestones \| Hong Kong Pharma Tainuo Ltd. \| Subsequent Event
Long-term Purchase Commitment [Line Items]
Collaborative arrangement, part of acquisition recognized				$ 13.0
Service
Long-term Purchase Commitment [Line Items]
Purchase obligation						73.3
Raw Materials
Long-term Purchase Commitment [Line Items]
Purchase obligation						$ 5.2
Marketing Sponsorships \| Subsequent Event
Long-term Purchase Commitment [Line Items]
Purchase obligation					$ 2.8
Fortis
Long-term Purchase Commitment [Line Items]
Loss contingency, damages sought	$ 30.0
GeneQuine \| Flexion \| Achievement of Development and Regulatory Milestones
Long-term Purchase Commitment [Line Items]
Collaborative arrangement, milestone payments to be received		$ 56.0
Initiation of restructuring milestone cost		4.5
Development and global regulatory approval milestone payments		$ 51.5