Ginkgo Bioworks Holdings Inc

21. Subsequent Events

On January 18, 2024, the Company, through certain of its affiliates, completed its acquisition of substantially all of Zymergen’s assets, and on February 5, 2024, Zymergen’s plan of liquidation was confirmed by the Bankruptcy Court. All of the Company’s interests in the Zymergen entities were extinguished and terminated as of February 23, 2024. Refer to Note 3 for additional details on the Company’s acquisition of Zymergen's assets.

On February 27, 2024 the Company entered into a land and building development and lease agreement whereby the landlord will secure the site and fund the construction and fit out of a biotechnology facility in the Qatar Free Zones. Once the fit out of the space is complete, Ginkgo will lease the space for an 18 year term and pay an annual fixed rent component comprised of 9.5% of the total facility development costs, which are estimated to be $25.0 million, and a variable rent component of 3.5% of any future annual net revenue generated at the facility. The agreement also contains a $5.0 million minimum commitment on capital expenditures due prior to the rent commencement date.