14. Other non-current assets

14. Other non-current assets

On 15 July 2016, we invested €2.75 million in a French biopharmaceutical company developing new therapeutics for severe orphan and common neurological diseases, listed on Euronext. Galapagos has no restrictions on the sale of this equity investment and the asset is not pledged under any Galapagos’ liabilities. This investment is classified as available-for-sale equity investment which qualifies for level 1 fair value measurement based upon the closing price of suchsecurities on Euronext at each reporting date.

Fair value changes on available-for-sale financial assets are recognized directly in equity, through the statement of changes in equity.

As of 31 December 2017, other non-current assets mainly consisted of available-for-sale equity investment described above re-measured at fair value of €1.8 million as follows.

(thousands of €)

Fair value of available-for-sale financial assets

Cost at 1st January 2017

2,750

Disposals of the year

(377)

Cost at 31 December 2017

2,373

Fair value adjustment at 1st January 2017

(399)

Reclassification of fair value adjustment to income statement following disposal

55

Fair value adjustment of the year

(275)

Fair value adjustment at 31 December 2017

(619)

Net book value at 31 December 2017

1,754

Part of this equity investment was sold in 2017 for €0.4 million. As of 31 December 2017, we had accumulated fair value losses amounting to €0.6 million, based on unadjusted quoted market price, in which €0.1 million was reclassified to profit and loss subsequent to the shares disposed and €0.3 million was additionally recognized in other comprehensive income for the year ended 31 December 2017, in our statement of financial position on the other reserves line within equity (see note 20.)