Dynavax Technologies (DVAX) 10-Q 7 Nov 16 2016 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2016	Nov. 01, 2016
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q3
Trading Symbol	DVAX
Entity Registrant Name	DYNAVAX TECHNOLOGIES CORP
Entity Central Index Key	1,029,142
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		38,527,660

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Current assets:
Cash and cash equivalents	$ 23,021	$ 44,812
Marketable securities available-for-sale	86,530	151,313
Accounts and other receivables	2,290	1,394
Prepaid expenses and other current assets	5,673	2,427
Total current assets	117,514	199,946
Property and equipment, net	18,739	13,804
Goodwill	2,100	2,043
Restricted cash	615	609
Other assets	330	231
Total assets	139,298	216,633
Current liabilities:
Accounts payable	3,795	3,433
Accrued research and development	4,702	7,361
Accrued liabilities	21,988	15,337
Deferred revenues		2,654
Total current liabilities	30,485	28,785
Other long-term liabilities	541	769
Total liabilities	31,026	29,554
Commitments and contingencies (Note 4)
Stockholders’ equity:
Preferred stock: $0.001 par value; 5,000 shares authorized at September 30, 2016 and December 31, 2015; no shares issued and outstanding at September 30, 2016 and December 31, 2015, respectively
Common stock: $0.001 par value; 69,500 shares authorized at September 30, 2016 and December 31, 2015; 38,526 and 38,446 shares issued and outstanding at September 30, 2016 and December 31, 2015, respectively	39	38
Additional paid-in capital	901,075	889,698
Accumulated other comprehensive loss	(2,412)	(2,930)
Accumulated deficit	(790,430)	(699,727)
Total stockholders’ equity	108,272	187,079
Total liabilities and stockholders’ equity	$ 139,298	$ 216,633

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 30, 2016	Dec. 31, 2015
Statement Of Financial Position [Abstract]
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	69,500,000	69,500,000
Common stock, shares issued	38,526,000	38,446,000
Common stock, shares outstanding	38,526,254	38,446,000

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Revenues:
Collaboration revenue		$ 829	$ 2,578	$ 2,230
Grant revenue	$ 162	359	289	608
Service and license revenue			884	527
Total revenues	162	1,188	3,751	3,365
Operating expenses:
Research and development	23,234	24,105	66,051	66,011
General and administrative	11,766	5,524	29,086	15,481
Total operating expenses	35,000	29,629	95,137	81,492
Loss from operations	(34,838)	(28,441)	(91,386)	(78,127)
Other income (expense):
Interest income	170	33	615	78
Interest expense		(62)		(572)
Other (expense) income, net	(26)	17	68	360
Loss on extinguishment of debt		(1,671)		(1,671)
Net loss	$ (34,694)	$ (30,124)	$ (90,703)	$ (79,932)
Basic and diluted net loss per share	$ (0.90)	$ (0.82)	$ (2.36)	$ (2.43)
Weighted average shares used to compute basic and diluted net loss per share	38,512	36,532	38,493	32,880

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Comprehensive Loss (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Statement Of Income And Comprehensive Income [Abstract]
Net loss	$ (34,694)	$ (30,124)	$ (90,703)	$ (79,932)
Other comprehensive income (loss):
Unrealized (loss) gain on marketable securities available-for-sale	(61)	5	7	4
Cumulative foreign currency translation adjustments	208	162	511	(895)
Total other comprehensive income (loss)	147	167	518	(891)
Total comprehensive loss	$ (34,547)	$ (29,957)	$ (90,185)	$ (80,823)

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Operating activities
Net loss	$ (90,703)	$ (79,932)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	1,574	958
Accretion of discounts and amortization of premiums on marketable securities	155	476
Accretion of debt discount related to debt financing		(115)
Cash-settled portion of stock-based compensation expense	602	387
Stock compensation expense	10,030	6,502
Loss on extinguishment of debt		1,671
Changes in operating assets and liabilities:
Accounts and other receivables	(896)	(436)
Prepaid expenses and other current assets	804	1,569
Restricted cash and other assets	(99)	(211)
Accounts payable	704	273
Accrued liabilities and other long term liabilities	(286)	364
Deferred revenues	(2,654)	(2,219)
Net cash used in operating activities	(80,769)	(70,713)
Investing activities
Purchases of marketable securities	(122,027)	(127,918)
Proceeds from maturities of marketable securities	186,670	82,920
Purchases of property and equipment, net	(6,516)	(4,246)
Net cash provided by (used in) investing activities	58,127	(49,244)
Financing activities
Proceeds from issuance of common stock, net		183,899
Payment of debt		(10,990)
Proceeds from exercise of stock options and restricted stock awards	131	237
Proceeds from exercise of warrants		222
Proceeds from Employee Stock Purchase Plan	616	291
Net cash provided by financing activities	747	173,659
Effect of exchange rate changes on cash and cash equivalents	104	(182)
Net (decrease) increase in cash and cash equivalents	(21,791)	53,520
Cash and cash equivalents at beginning of period	44,812	49,511
Cash and cash equivalents at end of period	23,021	103,031
Supplemental disclosure of cash flow information
Cash paid during the period for interest		720
Accrual for litigation settlement and insurance recovery	4,050
Non-cash investing and financing activities:
Disposal of fully depreciated property and equipment	1,160	171
Net change in unrealized gain on marketable securities	$ 7	$ 4

Organization and Summary of Sig

Organization and Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2016
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Organization and Summary of Significant Accounting Policies	1. Organization and Summary of Significant Accounting Policies Dynavax Technologies Corporation (“we,” “our,” “us,” “Dynavax” or the “Company”), is a clinical-stage biopharmaceutical company that uses toll-like receptor (“TLR”) biology to discover and develop novel vaccines and therapeutics. Our development programs are focused on vaccines and cancer immunotherapy. We were incorporated in California in August 1996 under the name Double Helix Corporation, and we changed our name to Dynavax Technologies Corporation in September 1996. We reincorporated in Delaware in 2000. Basis of Presentation Our accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and pursuant to the instructions to Form 10-Q and Article 10 of Regulation S-X. In our opinion, these unaudited condensed consolidated financial statements include all adjustments, consisting of normal recurring adjustments, which we consider necessary to present fairly our financial position and the results of our operations and cash flows. As permitted under those rules, certain footnotes or other financial information that are normally required by GAAP have been condensed or omitted. Interim-period results are not necessarily indicative of results of operations or cash flows to be expected for a full-year period or any other interim-period. The condensed consolidated balance sheet at December 31, 2015, has been derived from audited financial statements at that date, but excludes disclosures required by GAAP for complete financial statements. The unaudited condensed consolidated financial statements and these notes should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2015, as filed with the Securities and Exchange Commission (the “SEC”). The unaudited condensed consolidated financial statements include the accounts of Dynavax and our wholly-owned subsidiaries, Dynavax GmbH and Dynavax International, B.V. Dynavax International, B.V. was dissolved in January 2015. All significant intercompany accounts and transactions among these entities have been eliminated from the condensed consolidated financial statements. We operate in one business segment: the discovery and development of biopharmaceutical products. Liquidity and Financial Condition We have incurred significant operating losses and negative cash flows from operations since our inception. As of September 30, 2016, we had cash, cash equivalents and marketable securities of $109.6 million. We expect to continue to spend substantial funds in connection with seeking regulatory approval and other costs relating to, preparation for the anticipated commercial launch of HEPLISAV-B TM , which could have an adverse impact on our ability to achieve our intended business objectives. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make informed estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Actual results could differ materially from these estimates. Summary of Significant Accounting Policies There have been no material changes in our significant accounting policies during the nine months ended September 30, 2016, as compared with those disclosed in our Annual Report on Form 10-K for the year ended December 31, 2015. Revenue Recognition Our revenues consist of amounts earned from collaborations, grants and fees from services and licenses. We enter into license and manufacturing agreements and collaborative research and development arrangements with pharmaceutical and biotechnology partners that may involve multiple deliverables. Our arrangements may include one or more of the following elements: upfront license payments, cost reimbursement for the performance of research and development activities, milestone payments, other contingent payments, contract manufacturing service fees, royalties and license fees. Each deliverable in the arrangement is evaluated to determine whether it meets the criteria to be accounted for as a separate unit of accounting or whether it should be combined with other deliverables. In order to account for the multiple-element arrangements, the Company identifies the deliverables included within the arrangement and evaluates which deliverables represent separate units of accounting. Analyzing the arrangement to identify deliverables requires the use of judgment, and each deliverable may be an obligation to deliver services, a right or license to use an asset, or another performance obligation. We recognize revenue when there is persuasive evidence that an arrangement exists, delivery has occurred or services have been rendered, the price is fixed or determinable and collectability is reasonably assured. Non-refundable upfront fees received for license and collaborative agreements entered into and other payments under collaboration agreements where we have continuing performance obligations related to the payments are deferred and recognized over our estimated performance period. Revenue is recognized on a ratable basis, unless we determine that another method is more appropriate, through the date at which our performance obligations are completed. Management makes its best estimate of the period over which we expect to fulfill our performance obligations, which may include clinical development activities. Given the uncertainties of research and development collaborations, significant judgment is required to determine the duration of the performance period. We recognize cost reimbursement revenue under collaborative agreements as the related research and development costs are incurred, as provided for under the terms of these agreements. Contingent consideration received for the achievement of a substantive milestone is recognized in its entirety in the period in which the milestone is achieved. A milestone is defined as an event having all of the following characteristics: (i) there is substantive uncertainty at the date the arrangement is entered into that the event will be achieved, (ii) the event can only be achieved based in whole or in part on either the entity’s performance or a specific outcome resulting from the entity’s performance and (iii) if achieved, the event would result in additional payments being due to the entity. Our license and collaboration agreements with our partners provide for payments to be paid to us upon the achievement of development milestones. Given the challenges inherent in developing biologic products, there is substantial uncertainty whether any such milestones will be achieved at the time we entered into these agreements. In addition, we evaluate whether the development milestones meet the criteria to be considered substantive. The conditions include: (i) the development work is contingent on either of the following: (a) the vendor’s performance to achieve the milestone or (b) the enhancement of the value of the deliverable item or items as a result of a specific outcome resulting from the vendor’s performance to achieve the milestone; (ii) it relates solely to past performance and (iii) it is reasonable relative to all the deliverable and payment terms within the arrangement. As a result of our analysis, we consider our development milestones to be substantive and, accordingly, we expect to recognize as revenue future payments received from such milestones as we achieve each milestone. Milestone payments that are contingent upon the achievement of substantive at-risk performance criteria are recognized in full upon achievement of those milestone events in accordance with the terms of the agreement and assuming all other revenue recognition criteria have been met. All revenue recognized to date under our collaborative agreements has been nonrefundable. Our license and collaboration agreements with certain partners also provide for contingent payments to be paid to us based solely upon the performance of our partner. For such contingent payments we expect to recognize the payments as revenue upon receipt, provided that revenue recognition criteria have been satisfied. Revenues from manufacturing services are recognized upon meeting the criteria for substantial performance and acceptance by the customer. Revenue from royalty payments is contingent on future sales activities by our licensees. Royalty revenue is recognized when all revenue recognition criteria have been satisfied. Revenue from government and private agency grants is recognized as the related research expenses are incurred and to the extent that funding is approved. Additionally, we recognize revenue based on the facilities and administrative cost rate reimbursable per the terms of the grant awards. Research and Development Expenses and Accruals Research and development expenses include personnel and facility-related expenses, outside contracted services including clinical trial costs, manufacturing and process development costs, research costs and other consulting services and non-cash stock-based compensation. Research and development costs are expensed as incurred. Amounts due under contracts with third parties may be either fixed fee or fee for service, and may include upfront payments, monthly payments and payments upon the completion of milestones or receipt of deliverables. Non-refundable advance payments under agreements are capitalized and expensed as the related goods are delivered or services are performed. We contract with third parties to perform various clinical trial activities in the on-going development of potential products. The financial terms of these agreements are subject to negotiation, vary from contract to contract and may result in uneven payment flows to our vendors. Payments under the contracts depend on factors such as the achievement of certain events, successful enrollment of patients, and completion of portions of the clinical trial or similar conditions. Our accrual for clinical trials is based on estimates of the services received and efforts expended pursuant to contracts with clinical trial centers and clinical research organizations. We may terminate these contracts upon written notice and we are generally only liable for actual effort expended by the organizations to the date of termination, although in certain instances we may be further responsible for termination fees and penalties. The Company estimates its research and development expenses and the related accrual as of each balance sheet date based on the facts and circumstances known to the Company at that time. There have been no material adjustments to the Company’s prior period accrued estimates for clinical trial activities through September 30, 2016. Recent Accounting Pronouncements Accounting Standards Update 2014-09 In May 2014, the Financial Accounting Standards Board (“FASB”) issued guidance codified in ASC 606, Revenue Recognition — Revenue from Contracts with Customers, which amends the guidance in former ASC 605, Revenue Recognition, which provides a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and will supersede most current revenue recognition guidance. This Accounting Standards Update (“ASU”) is based on the principle that revenue is recognized to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The ASU also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. In July 2015, the FASB deferred the effective date for annual reporting periods beginning after December 15, 2017 (including interim periods within those periods) , with early application permitted . The FASB issued supplemental adoption guidance and clarification to ASU 2014-09 in March 2016, April 2016 and May 2016 within ASU 2016-08 "Revenue From Contracts With Customers: Principal vs. Agent Considerations," ASU 2016-10 "Revenue From Contracts with Customers: Identifying Performance Obligations and Licensing," and ASU 2016-12 "Revenue from Contracts with Customers: Narrow-Scope Improvements and Practical Expedients," respectively. Accounting Standards Update 2014-15 In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements — Going Concern (Subtopic 205-40). The ASU requires an entity’s management to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the entity’s ability to continue as a going concern and if those conditions exist, to make the required disclosures. The standard is effective for annual periods ending after December 15, 2016, and interim periods thereafter. The Company believes that the adoption of ASU 2014-15 will not have a material impact on its financial position, results of operations, cash flows, or disclosures. Accounting Standards Update 2016-02 In February 2016, the FASB issued ASU No. 2016-02, Leases Accounting Standards Update 2016-09 In March 2016, the FASB issued ASU No. 2016-09, Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting (“ASU 2016-09”). The standard is intended to simplify several areas of accounting for share-based compensation arrangements, including the income tax impact, classification on the statement of cash flows and forfeitures. ASU 2016-09 is effective for public business entities for annual periods, including interim periods within those annual periods, beginning after December 15, 2016, with early application permitted. The Company believes that the adoption of ASU 2016-09 will not have a material impact on its financial position, results of operations, cash flows, or disclosures. Accounting Standards Update 2016-13 In June 2016, the FASB issued ASU No. 2016-13: Measurement of Credit Losses on Financial Instruments. ASU 2016-13 requires measurement and recognition of expected credit losses for financial assets held. The ASU is effective for annual periods beginning after December 15, 2019 and must be adopted using a modified retrospective approach, with certain exceptions. Early adoption is permitted beginning in the first quarter of 2019. The Company is currently evaluating the impact this guidance will have on its financial statements. Accounting Standards Update 2016-15 In August 2016, the FASB issued ASU 2016-15: Classification of Certain Cash Receipts and Cash Payments. ASU 2016-15 addresses how certain cash receipts and cash payments are presented and classified in the statement of cash flows under Topic 230, Statement of Cash flow, and other Topics. ASU 2016-15 is effective for annual reporting periods, and interim periods therein, beginning after December 15, 2017. The Company does not expect the adoption of this guidance to have a material impact on its consolidated financial statements.

Fair Value Measurements

Fair Value Measurements	9 Months Ended
	Sep. 30, 2016
Fair Value Disclosures [Abstract]
Fair Value Measurements	2. Fair Value Measurements The Company measures fair value 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. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. The accounting standard describes a fair value hierarchy based on three levels of inputs, of which the first two are considered observable and the last unobservable, that may be used to measure fair value which are the following: • Level 1—Observable inputs, such as quoted prices in active markets for identical assets or liabilities; • Level 2—Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and • Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities; therefore, requiring an entity to develop its own valuation techniques and assumptions. The carrying amounts of cash equivalents, accounts and other receivables, accounts payable and accrued liabilities are considered reasonable estimates of their respective fair value because of their short-term nature. Recurring Fair Value Measurements The following table represents the fair value hierarchy for our financial assets (cash equivalents and marketable securities) measured at fair value on a recurring basis as of September 30, 2016 and December 31, 2015 (in thousands): Level 1 Level 2 Level 3 Total September 30, 2016 Money market funds $ 19,637 $ - $ - $ 19,637 U.S. Treasuries - 6,527 - 6,527 U.S. Government agency securities - 48,870 - 48,870 Corporate debt securities - 32,133 - 32,133 Total $ 19,637 $ 87,530 $ - $ 107,167 Level 1 Level 2 Level 3 Total December 31, 2015 Money market funds $ 21,193 $ - $ - $ 21,193 U.S. Government agency securities - 17,622 - 17,622 Corporate debt securities - 152,749 152,749 Total $ 21,193 $ 170,371 $ - $ 191,564 Money market funds are highly liquid investments and are actively traded. The pricing information on these investment instruments is readily available and can be independently validated as of the measurement date. This approach results in the classification of these securities as Level 1 of the fair value hierarchy. U.S. Treasuries, U.S. Government agency securities and corporate debt securities are measured at fair value using Level 2 inputs. We review trading activity and pricing for these investments as of each measurement date. When sufficient quoted pricing for identical securities is not available, we use market pricing and other observable market inputs for similar securities obtained from various third party data providers. These inputs represent quoted prices for similar assets in active markets or these inputs have been derived from observable market data. This approach results in the classification of these securities as Level 2 of the fair value hierarchy. There were no transfers between Level 1 and Level 2 during the nine months ended September 30, 2016.

Cash, Cash Equivalents and Mark

Cash, Cash Equivalents and Marketable Securities	9 Months Ended
	Sep. 30, 2016
Cash Cash Equivalents And Short Term Investments [Abstract]
Cash, Cash Equivalents and Marketable Securities	3. Cash, cash equivalents and marketable securities The following is a summary of cash, cash equivalents and marketable securities available-for-sale as of September 30, 2016 and December 31, 2015 (in thousands): Amortized Cost Unrealized Gains Unrealized Losses Estimated Fair Value September 30, 2016 Cash and cash equivalents: Cash $ 2,384 $ - $ - $ 2,384 Money market funds 19,637 - - 19,637 Corporate debt securities 1,000 - - 1,000 Total cash and cash equivalents 23,021 - - 23,021 Marketable securities available-for-sale: U.S. Treasuries 6,522 4 - 6,526 U.S. Government agency securities 48,845 25 - 48,870 Corporate debt securities 31,144 5 (15 ) 31,134 Total marketable securities available-for-sale 86,511 34 (15 ) 86,530 Total cash, cash equivalents and marketable securities $ 109,532 $ 34 $ (15 ) $ 109,551 December 31, 2015 Cash and cash equivalents: Cash $ 4,561 $ - $ - $ 4,561 Money market funds 21,193 - - 21,193 Corporate debt securities 19,052 7 (1 ) 19,058 Total cash and cash equivalents 44,806 7 (1 ) 44,812 Marketable securities available-for-sale: U.S. Government agency securities 17,628 - (6 ) 17,622 Corporate debt securities 133,679 71 (59 ) 133,691 Total marketable securities available-for-sale 151,307 71 (65 ) 151,313 Total cash, cash equivalents and marketable securities $ 196,113 $ 78 $ (66 ) $ 196,125 The maturities of our marketable securities available-for-sale are as follows (in thousands): September 30, 2016 Amortized Cost Estimated Fair Value Mature in one year or less $ 86,511 $ 86,530 Mature after one year through two years - - $ 86,511 $ 86,530 We have classified our entire investment portfolio as available-for-sale and available for use in current operations and accordingly have classified all investments as short-term. Available-for-sale securities are carried at fair value, with unrealized gains and losses included in accumulated other comprehensive income (loss) in stockholders’ equity. Realized gains and losses and declines in value, if any, judged to be other than temporary on available-for-sale securities are included in interest income. The cost of securities sold is based on the specific identification method. Management assesses whether declines in the fair value of investment securities are other than temporary. In determining whether a decline is other than temporary, management considers the following factors: • Whether the investment has been in a continuous realized loss position for over 12 months; • the duration to maturity of our investments; • our intention and ability to hold the investments to maturity and if it is not more likely than not that we will be required to sell the investment before recovery of the amortized cost bases; • the credit rating, financial condition and near-term prospects of the issuer; and • the type of investments made. To date, there have been no declines in fair value that have been identified as other than temporary.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2016
Commitments And Contingencies Disclosure [Abstract]
Commitments and Contingencies	4. Commitments and Contingencies We lease our facilities in Berkeley, California (“Berkeley Lease”) and Düsseldorf, Germany (“Düsseldorf Lease”) under operating leases that expire in June 2018 and March 2023, respectively. The Berkeley Lease provides for periods of escalating rent. The total cash payments over the life of the lease are divided by the total number of months in the lease period and the average rent is charged to expense each month during the lease period. We entered into sublease agreements under the Düsseldorf Lease for a certain portion of the leased space. Total net rent expense related to our operating leases for three month periods ended September 30, 2016 and 2015, was $0.6 million and $0.5 million, respectively. Total net rent expense related to our operating leases for the nine month periods ended September 30, 2016 and 2015, was $1.6 million and $1.5 million, respectively. Deferred rent was $0.4 million and $0.5 million as of September 30, 2016 and December 31, 2015, respectively. Future minimum payments under the non-cancelable portion of our operating leases at September 30, 2016, excluding payments from sublease agreements, are as follows (in thousands): Years ending December 31, 2016 (remaining) $ 642 2017 2,589 2018 1,520 2019 667 2020 673 Thereafter 1,143 Total $ 7,234 In addition to the non-cancelable commitments included above, we have entered into contractual arrangements that obligate us to make payments to the contractual counterparties upon the occurrence of future events. In addition, in the normal course of operations, we have entered into license and other agreements and intend to continue to seek additional rights relating to compounds or technologies in connection with our discovery, manufacturing and development programs. Under the terms of the agreements, we may be required to pay future up-front fees, milestones and royalties on net sales of products originating from the licensed technologies, if any, or other payments contingent upon the occurrence of future events that cannot reasonably be estimated. We rely on and have entered into agreements with research institutions, contract research organizations, clinical investigators and sales and marketing organizations as well as clinical and commercial material manufacturers. From time to time, we may be involved in claims, suits, and proceedings arising from the ordinary course of our business, including actions with respect to intellectual property claims, commercial claims, and other matters. Such claims, suits, and proceedings are inherently uncertain and their results cannot be predicted with certainty. Regardless of the outcome, such legal proceedings can have an adverse impact on us because of legal costs, diversion of management resources, and other factors. In addition, it is possible that a resolution of one or more such proceedings could result in substantial damages, fines, penalties or orders requiring a change in our business practices, which could in the future materially and adversely affect our financial position, financial statements, results of operations, or cash flows in a particular period. On September 7, 2016, Dynavax entered into a Stipulation of Settlement to settle the case entitled In re Dynavax Technologies Securities Litigation Use of Estimates

Collaborative Research and Deve

Collaborative Research and Development Agreements	9 Months Ended
	Sep. 30, 2016
Research And Development [Abstract]
Collaborative Research and Development Agreements	5. Collaborative Research and Development Agreements AstraZeneca In September 2006, we entered into a research collaboration and license agreement with AstraZeneca AB (“AstraZeneca”) for the discovery and development of TLR9 agonist-based therapies for the treatment of asthma and chronic obstructive pulmonary disease. In October 2011, we amended our agreement with AstraZeneca to provide that we would conduct initial clinical development of AZD1419 and AstraZeneca agreed to fund all program expenses to cover the cost of development activities through Phase 2a. Under the terms of the amended agreement, we received an initial payment of $3.0 million in 2011 to begin the clinical development program. We and AstraZeneca agreed to advance AZD1419 towards a Phase 1 clinical trial, which resulted in a development funding payment of $6.0 million received in the fourth quarter of 2012. In January 2014, we amended our agreement with AstraZeneca for the clinical development of AZD1419 whereby responsibility for conducting clinical trials was transferred from Dynavax to AstraZeneca upon completion of the Phase 1 trial. In the first quarter of 2014, we received a $5.4 million payment that was due upon execution of this amended agreement. In December 2014, we amended our agreement with AstraZeneca whereby AstraZeneca would fully fund and Dynavax will conduct a Phase 2a safety and efficacy trial of AZD1419 in patients with asthma. In the fourth quarter of 2014, we received an $8.0 million payment upon execution of this amendment, to be applied towards research and development expenses incurred in conducting the Phase 2a study. In January 2016, we amended our agreement with AstraZeneca whereby AstraZeneca will conduct the Phase 2a safety and efficacy trial of AZD1419 in patients with asthma that originally was to be conducted by Dynavax. Under the terms of the January 2016 amendment, the $8.0 million payment received in December 2014, which was also deferred and was being recognized as research and development expenses were incurred, will be returned to AstraZeneca or applied to future milestone payments that may be earned by us under the agreement, net of amounts we recognized as development work that was performed. We therefore revised the estimated remaining period of performance of development from June 2018 to September 2016. The remaining balance as of December 31, 2015 related to deferred payments of $5.4 million, received in the first quarter of 2014, and $3.0 million, received in 2011, are nonrefundable and were being recognized starting in January 2016 over the estimated remaining period of performance of development work through September 2016. In December 2015, we reclassified $7.4 million of the $8.0 million payment from deferred revenue to a current liability. As of September 30, 2016, the current liability related to the payment was $7.4 million on the accompanying condensed consolidated balance sheets. In June 2016, all of Dynavax’s remaining contractual obligations under our agreement with AstraZeneca were completed. As no further performance obligations remain, the Company revised the estimated period of performance of development work from September 2016 to June 2016, and recognized remaining deferred revenue as of June 30, 2016. The revision of performance period led to the recognition of an additional $0.8 million in collaboration revenue during the second quarter. Under the terms of this agreement, as amended, we are eligible to receive up to $100 million in additional milestone payments, based on the achievement of certain development and regulatory objectives. Additionally, upon commercialization, we are eligible to receive tiered royalties ranging from the mid to high single-digits based on product sales of any products originating from the collaboration. We have the option to co-promote in the United States products arising from the collaboration, if any. AstraZeneca has the right to sublicense its rights upon our prior consent. The following table summarizes the revenues earned under our agreement with AstraZeneca, included as collaboration revenue in our condensed consolidated statements of operations (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2016 2015 2016 2015 Initial payment $ - $ 60 $ 521 $ 186 Subsequent payment - 223 1,953 697 Performance of research activities - 546 104 1,347 Total $ - $ 829 $ 2,578 $ 2,230 As of September 30, 2016 no deferred revenue from the initial payment, subsequent payment and development funding payments remained. Total deferred revenue from these payments as of $2.7 million. Absent early termination, the agreement will expire when all of AstraZeneca’s payment obligations expire. AstraZeneca has the right to terminate the agreement at any time upon prior written notice and either party may terminate the agreement early upon written notice if the other party commits an uncured material breach of the agreement. National Institutes of Health (“NIH”) and Other Funding We have been awarded various grants from the NIH and the NIH’s National Institute of Allergy and Infectious Disease (“NIAID”) in order to fund research. The awards are related to specific research objectives and we earn revenue as the related research expenses are incurred. We have earned revenue during the three and nine month periods ended September 30, 2016 and 2015 from the following awards: • August 2014, the NIH awarded us $0.2 million to fund research in developing a transgenic mouse model to study human TLR9 role in disease. • May 2012, the NIH awarded us $0.4 million to fund development of TLR8 inhibitors for treatment of rheumatoid arthritis. In February 2016, the NIH awarded us an additional $0.5 million to fund this study. • August 2010, the NIAID awarded us a grant to take a systems biology approach to study the differences between individuals who do or do not respond to vaccination against the hepatitis B virus. This study is one of several projects conducted under a grant to the Baylor Institute of Immunology Research in Dallas as part of the Human Immune Phenotyping Centers program. We have been awarded a total of $1.4 million under this grant. The following table summarizes the revenues recognized under the various arrangements with the NIH (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2016 2015 2016 2015 NIH contracts $ 162 $ 359 $ 289 $ 608 Total grant revenue $ 162 $ 359 $ 289 $ 608

Net Loss Per Share

Net Loss Per Share	9 Months Ended
	Sep. 30, 2016
Earnings Per Share [Abstract]
Net Loss Per Share	6. Net Loss Per Share Basic net loss per share is calculated by dividing the net loss by the weighted-average number of common shares outstanding during the period. Diluted net loss per share is computed by dividing the net loss by the weighted-average number of common shares outstanding during the period and giving effect to all potentially dilutive common shares using the treasury-stock method. For purposes of this calculation, common stock subject to repurchase by us, outstanding options and stock awards are considered to be potentially dilutive common shares and are only included in the calculation of diluted net loss per share when their effect is dilutive. Stock options and stock awards totaling approximately 4,680,000 and 2,990,000 shares of common stock as of September 30, 2016 and 2015, respectively, were excluded from the calculation of diluted net loss per share for the three and nine months ended September 30, 2016 and 2015, because the effect of their inclusion would have been anti-dilutive. For periods in which the Company has a net loss and no instruments are determined to be dilutive, such as the three and nine months ended September 30, 2016 and 2015, basic and diluted net loss per share are the same.

Common Stock

Common Stock	9 Months Ended
	Sep. 30, 2016
Preferred Stock Common Stock And Warrants [Abstract]
Common Stock	7. Common Stock Common Stock Outstanding As of September 30, 2016, there were 38,526,254 shares of our common stock outstanding. On November 12, 2015, we entered into an At Market Issuance Sales Agreement (the “2015 ATM Agreement”) with Cowen under which we could offer and sell our common stock from time to time up to aggregate sales proceeds of $90 million through Cowen as our sales agent. As of September 30, 2016, we have sold

Equity Plans and Stock-Based Co

Equity Plans and Stock-Based Compensation	9 Months Ended
	Sep. 30, 2016
Share Based Compensation [Abstract]
Equity Plans and Stock-Based Compensation	8. Equity Plans and Stock-Based Compensation Option activity under our stock-based compensation plans during the nine months ended September 30, 2016 was as follows (in thousands except per share amounts): Shares Underlying Outstanding Options (in thousands) Weighted-Average Exercise Price Per Share Weighted-Average Remaining Contractual Term (years) Aggregate Intrinsic Value (in thousands) Balance at December 31, 2015 2,891 $ 23.34 Options granted 1,351 19.95 Options exercised (16 ) 13.81 Options cancelled: Options forfeited (unvested) (36 ) 19.22 Options cancelled (vested) (54 ) 42.90 Balance at September 30, 2016 4,136 22.06 6.76 $ 182 Vested and expected to vest at September 30, 2016 4,098 22.10 6.74 $ 182 Exercisable at September 30, 2016 1,755 25.70 5.30 $ 182 Restricted stock unit activity under our stock-based compensation plans during the nine months ended September 30, 2016 was as follows (in thousands except per share amounts): Number of Shares (In thousands) Weighted-Average Grant-Date Fair Value Non-vested as of December 31, 2015 195 $ 17.52 Granted 387 $ 21.35 Vested (26 ) $ 15.59 Forfeited or expired (13 ) $ 20.33 Non-vested as of September 30, 2016 543 $ 20.28 The aggregate intrinsic value of the restricted stock units outstanding as of September 30, 2016, based on our stock price on that date, was $5.7 million. As of September 30, 2016, approximately 200,000 shares underlying stock options and restricted stock units awards with performance-based vesting criteria were outstanding. Vesting criteria for these performance-based awards have not been met as of September 30, 2016. Under our stock-based compensation plans, option awards generally vest over a three or four-year period contingent upon continuous service, and expire seven to ten years from the date of grant (or earlier upon termination of continuous service). The fair value-based measurement of each option is estimated on the date of grant using the Black-Scholes option valuation model. The fair value-based measurements and weighted-average assumptions used in the calculations of these measurements are as follows: Stock Options Stock Options Employee Stock Purchase Plan Three Months Ended Nine Months Ended Nine Months Ended September 30, September 30, September 30, 2016 2015 2016 2015 2016 2015 Weighted-average fair value $ 8.90 $ 17.63 $ 9.67 $ 13.23 $ 7.86 $ 9.18 Risk-free interest rate 1.1 % 1.7 % 1.4 % 1.7 % 0.6 % 0.4 % Expected life (in years) 4.5 5.8 4.9 5.9 1.2 1.2 Volatility 0.7 0.7 0.7 0.7 0.6 0.6 We recognized stock-based compensation expense of $3.7 million and $2.6 We recognized stock-based compensation expense of $10.0 million and $6.5 million for the nine months ended September 30, 2016 and 2015, respectively. The components of stock-based compensation expense were (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2016 2015 2016 2015 Research and development $ 1,639 $ 1,232 $ 4,490 $ 2,985 General and administrative 2,022 1,398 5,540 3,517 Total $ 3,661 $ 2,630 $ 10,030 $ 6,502 As of September 30, 2016, the total unrecognized compensation cost related to non-vested equity awards including all awards with time-based vesting amounted to $24.4 million, which is expected to be recognized over the remaining weighted-average vesting period of 2.4 years. Additionally, as of September 30, 2016, the total unrecognized compensation cost related to equity awards with performance-based vesting criteria not deemed probable of vesting amounted to $7.2 million. Employee Stock Purchase Plan The 2014 Employee Stock Purchase Plan, as amended, (the “Purchase Plan”) provides for the purchase of common stock by eligible employees and became effective on May 28, 2014.

Subsequent Events

Subsequent Events	9 Months Ended
	Sep. 30, 2016
Subsequent Events [Abstract]
Subsequent Events	9. Subsequent Events On October 26, 2016, Dynavax entered into a Note Purchase Agreement (the “Note Purchase Agreement”) with one or more funds of Deerfield Management Company, L.P. (collectively, the “Purchasers”) and one such fund, as collateral agent, pursuant to which the Company agreed to sell, and the Purchasers agreed to purchase, an aggregate of $100.0 million principal amount of the Company’s senior secured notes (the “Notes”) for an aggregate purchase price of $100.0 million. The closing of the sale and purchase of the Notes is expected to occur after the Company receives U.S. Food and Drug Administration (“FDA”)

Organization and Summary of S16

Organization and Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2016
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation Our accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and pursuant to the instructions to Form 10-Q and Article 10 of Regulation S-X. In our opinion, these unaudited condensed consolidated financial statements include all adjustments, consisting of normal recurring adjustments, which we consider necessary to present fairly our financial position and the results of our operations and cash flows. As permitted under those rules, certain footnotes or other financial information that are normally required by GAAP have been condensed or omitted. Interim-period results are not necessarily indicative of results of operations or cash flows to be expected for a full-year period or any other interim-period. The condensed consolidated balance sheet at December 31, 2015, has been derived from audited financial statements at that date, but excludes disclosures required by GAAP for complete financial statements. The unaudited condensed consolidated financial statements and these notes should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2015, as filed with the Securities and Exchange Commission (the “SEC”). The unaudited condensed consolidated financial statements include the accounts of Dynavax and our wholly-owned subsidiaries, Dynavax GmbH and Dynavax International, B.V. Dynavax International, B.V. was dissolved in January 2015. All significant intercompany accounts and transactions among these entities have been eliminated from the condensed consolidated financial statements. We operate in one business segment: the discovery and development of biopharmaceutical products.
Liquidity and Financial Condition	Liquidity and Financial Condition We have incurred significant operating losses and negative cash flows from operations since our inception. As of September 30, 2016, we had cash, cash equivalents and marketable securities of $109.6 million. We expect to continue to spend substantial funds in connection with seeking regulatory approval and other costs relating to, preparation for the anticipated commercial launch of HEPLISAV-B TM , which could have an adverse impact on our ability to achieve our intended business objectives.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make informed estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Actual results could differ materially from these estimates.
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies There have been no material changes in our significant accounting policies during the nine months ended September 30, 2016, as compared with those disclosed in our Annual Report on Form 10-K for the year ended December 31, 2015.
Revenue Recognition	Revenue Recognition Our revenues consist of amounts earned from collaborations, grants and fees from services and licenses. We enter into license and manufacturing agreements and collaborative research and development arrangements with pharmaceutical and biotechnology partners that may involve multiple deliverables. Our arrangements may include one or more of the following elements: upfront license payments, cost reimbursement for the performance of research and development activities, milestone payments, other contingent payments, contract manufacturing service fees, royalties and license fees. Each deliverable in the arrangement is evaluated to determine whether it meets the criteria to be accounted for as a separate unit of accounting or whether it should be combined with other deliverables. In order to account for the multiple-element arrangements, the Company identifies the deliverables included within the arrangement and evaluates which deliverables represent separate units of accounting. Analyzing the arrangement to identify deliverables requires the use of judgment, and each deliverable may be an obligation to deliver services, a right or license to use an asset, or another performance obligation. We recognize revenue when there is persuasive evidence that an arrangement exists, delivery has occurred or services have been rendered, the price is fixed or determinable and collectability is reasonably assured. Non-refundable upfront fees received for license and collaborative agreements entered into and other payments under collaboration agreements where we have continuing performance obligations related to the payments are deferred and recognized over our estimated performance period. Revenue is recognized on a ratable basis, unless we determine that another method is more appropriate, through the date at which our performance obligations are completed. Management makes its best estimate of the period over which we expect to fulfill our performance obligations, which may include clinical development activities. Given the uncertainties of research and development collaborations, significant judgment is required to determine the duration of the performance period. We recognize cost reimbursement revenue under collaborative agreements as the related research and development costs are incurred, as provided for under the terms of these agreements. Contingent consideration received for the achievement of a substantive milestone is recognized in its entirety in the period in which the milestone is achieved. A milestone is defined as an event having all of the following characteristics: (i) there is substantive uncertainty at the date the arrangement is entered into that the event will be achieved, (ii) the event can only be achieved based in whole or in part on either the entity’s performance or a specific outcome resulting from the entity’s performance and (iii) if achieved, the event would result in additional payments being due to the entity. Our license and collaboration agreements with our partners provide for payments to be paid to us upon the achievement of development milestones. Given the challenges inherent in developing biologic products, there is substantial uncertainty whether any such milestones will be achieved at the time we entered into these agreements. In addition, we evaluate whether the development milestones meet the criteria to be considered substantive. The conditions include: (i) the development work is contingent on either of the following: (a) the vendor’s performance to achieve the milestone or (b) the enhancement of the value of the deliverable item or items as a result of a specific outcome resulting from the vendor’s performance to achieve the milestone; (ii) it relates solely to past performance and (iii) it is reasonable relative to all the deliverable and payment terms within the arrangement. As a result of our analysis, we consider our development milestones to be substantive and, accordingly, we expect to recognize as revenue future payments received from such milestones as we achieve each milestone. Milestone payments that are contingent upon the achievement of substantive at-risk performance criteria are recognized in full upon achievement of those milestone events in accordance with the terms of the agreement and assuming all other revenue recognition criteria have been met. All revenue recognized to date under our collaborative agreements has been nonrefundable. Our license and collaboration agreements with certain partners also provide for contingent payments to be paid to us based solely upon the performance of our partner. For such contingent payments we expect to recognize the payments as revenue upon receipt, provided that revenue recognition criteria have been satisfied. Revenues from manufacturing services are recognized upon meeting the criteria for substantial performance and acceptance by the customer. Revenue from royalty payments is contingent on future sales activities by our licensees. Royalty revenue is recognized when all revenue recognition criteria have been satisfied. Revenue from government and private agency grants is recognized as the related research expenses are incurred and to the extent that funding is approved. Additionally, we recognize revenue based on the facilities and administrative cost rate reimbursable per the terms of the grant awards.
Research and Development Expenses and Accruals	Research and Development Expenses and Accruals Research and development expenses include personnel and facility-related expenses, outside contracted services including clinical trial costs, manufacturing and process development costs, research costs and other consulting services and non-cash stock-based compensation. Research and development costs are expensed as incurred. Amounts due under contracts with third parties may be either fixed fee or fee for service, and may include upfront payments, monthly payments and payments upon the completion of milestones or receipt of deliverables. Non-refundable advance payments under agreements are capitalized and expensed as the related goods are delivered or services are performed. We contract with third parties to perform various clinical trial activities in the on-going development of potential products. The financial terms of these agreements are subject to negotiation, vary from contract to contract and may result in uneven payment flows to our vendors. Payments under the contracts depend on factors such as the achievement of certain events, successful enrollment of patients, and completion of portions of the clinical trial or similar conditions. Our accrual for clinical trials is based on estimates of the services received and efforts expended pursuant to contracts with clinical trial centers and clinical research organizations. We may terminate these contracts upon written notice and we are generally only liable for actual effort expended by the organizations to the date of termination, although in certain instances we may be further responsible for termination fees and penalties. The Company estimates its research and development expenses and the related accrual as of each balance sheet date based on the facts and circumstances known to the Company at that time. There have been no material adjustments to the Company’s prior period accrued estimates for clinical trial activities through September 30, 2016.
Recent Accounting Pronouncements	Recent Accounting Pronouncements Accounting Standards Update 2014-09 In May 2014, the Financial Accounting Standards Board (“FASB”) issued guidance codified in ASC 606, Revenue Recognition — Revenue from Contracts with Customers, which amends the guidance in former ASC 605, Revenue Recognition, which provides a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and will supersede most current revenue recognition guidance. This Accounting Standards Update (“ASU”) is based on the principle that revenue is recognized to depict the transfer of goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The ASU also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. In July 2015, the FASB deferred the effective date for annual reporting periods beginning after December 15, 2017 (including interim periods within those periods) , with early application permitted . The FASB issued supplemental adoption guidance and clarification to ASU 2014-09 in March 2016, April 2016 and May 2016 within ASU 2016-08 "Revenue From Contracts With Customers: Principal vs. Agent Considerations," ASU 2016-10 "Revenue From Contracts with Customers: Identifying Performance Obligations and Licensing," and ASU 2016-12 "Revenue from Contracts with Customers: Narrow-Scope Improvements and Practical Expedients," respectively. Accounting Standards Update 2014-15 In August 2014, the FASB issued ASU No. 2014-15, Presentation of Financial Statements — Going Concern (Subtopic 205-40). The ASU requires an entity’s management to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the entity’s ability to continue as a going concern and if those conditions exist, to make the required disclosures. The standard is effective for annual periods ending after December 15, 2016, and interim periods thereafter. The Company believes that the adoption of ASU 2014-15 will not have a material impact on its financial position, results of operations, cash flows, or disclosures. Accounting Standards Update 2016-02 In February 2016, the FASB issued ASU No. 2016-02, Leases Accounting Standards Update 2016-09 In March 2016, the FASB issued ASU No. 2016-09, Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting (“ASU 2016-09”). The standard is intended to simplify several areas of accounting for share-based compensation arrangements, including the income tax impact, classification on the statement of cash flows and forfeitures. ASU 2016-09 is effective for public business entities for annual periods, including interim periods within those annual periods, beginning after December 15, 2016, with early application permitted. The Company believes that the adoption of ASU 2016-09 will not have a material impact on its financial position, results of operations, cash flows, or disclosures. Accounting Standards Update 2016-13 In June 2016, the FASB issued ASU No. 2016-13: Measurement of Credit Losses on Financial Instruments. ASU 2016-13 requires measurement and recognition of expected credit losses for financial assets held. The ASU is effective for annual periods beginning after December 15, 2019 and must be adopted using a modified retrospective approach, with certain exceptions. Early adoption is permitted beginning in the first quarter of 2019. The Company is currently evaluating the impact this guidance will have on its financial statements. Accounting Standards Update 2016-15 In August 2016, the FASB issued ASU 2016-15: Classification of Certain Cash Receipts and Cash Payments. ASU 2016-15 addresses how certain cash receipts and cash payments are presented and classified in the statement of cash flows under Topic 230, Statement of Cash flow, and other Topics. ASU 2016-15 is effective for annual reporting periods, and interim periods therein, beginning after December 15, 2017. The Company does not expect the adoption of this guidance to have a material impact on its consolidated financial statements.

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2016
Fair Value Disclosures [Abstract]
Fair Value Hierarchy for Financial Assets Measured at Fair Value on Recurring Basis	The following table represents the fair value hierarchy for our financial assets (cash equivalents and marketable securities) measured at fair value on a recurring basis as of September 30, 2016 and December 31, 2015 (in thousands): Level 1 Level 2 Level 3 Total September 30, 2016 Money market funds $ 19,637 $ - $ - $ 19,637 U.S. Treasuries - 6,527 - 6,527 U.S. Government agency securities - 48,870 - 48,870 Corporate debt securities - 32,133 - 32,133 Total $ 19,637 $ 87,530 $ - $ 107,167 Level 1 Level 2 Level 3 Total December 31, 2015 Money market funds $ 21,193 $ - $ - $ 21,193 U.S. Government agency securities - 17,622 - 17,622 Corporate debt securities - 152,749 152,749 Total $ 21,193 $ 170,371 $ - $ 191,564

Cash, Cash Equivalents and Ma18

Cash, Cash Equivalents and Marketable Securities (Tables)	9 Months Ended
	Sep. 30, 2016
Cash Cash Equivalents And Short Term Investments [Abstract]
Summary of Cash, Cash Equivalents and Marketable Securities Available-for-Sale	The following is a summary of cash, cash equivalents and marketable securities available-for-sale as of September 30, 2016 and December 31, 2015 (in thousands): Amortized Cost Unrealized Gains Unrealized Losses Estimated Fair Value September 30, 2016 Cash and cash equivalents: Cash $ 2,384 $ - $ - $ 2,384 Money market funds 19,637 - - 19,637 Corporate debt securities 1,000 - - 1,000 Total cash and cash equivalents 23,021 - - 23,021 Marketable securities available-for-sale: U.S. Treasuries 6,522 4 - 6,526 U.S. Government agency securities 48,845 25 - 48,870 Corporate debt securities 31,144 5 (15 ) 31,134 Total marketable securities available-for-sale 86,511 34 (15 ) 86,530 Total cash, cash equivalents and marketable securities $ 109,532 $ 34 $ (15 ) $ 109,551 December 31, 2015 Cash and cash equivalents: Cash $ 4,561 $ - $ - $ 4,561 Money market funds 21,193 - - 21,193 Corporate debt securities 19,052 7 (1 ) 19,058 Total cash and cash equivalents 44,806 7 (1 ) 44,812 Marketable securities available-for-sale: U.S. Government agency securities 17,628 - (6 ) 17,622 Corporate debt securities 133,679 71 (59 ) 133,691 Total marketable securities available-for-sale 151,307 71 (65 ) 151,313 Total cash, cash equivalents and marketable securities $ 196,113 $ 78 $ (66 ) $ 196,125
Maturities of Marketable Securities Available-for-Sale	The maturities of our marketable securities available-for-sale are as follows (in thousands): September 30, 2016 Amortized Cost Estimated Fair Value Mature in one year or less $ 86,511 $ 86,530 Mature after one year through two years - - $ 86,511 $ 86,530

Commitments and Contingencies (

Commitments and Contingencies (Tables)	9 Months Ended
	Sep. 30, 2016
Commitments And Contingencies Disclosure [Abstract]
Future Minimum Payments Under Non-Cancelable Portion of Operating Leases	Future minimum payments under the non-cancelable portion of our operating leases at September 30, 2016, excluding payments from sublease agreements, are as follows (in thousands): Years ending December 31, 2016 (remaining) $ 642 2017 2,589 2018 1,520 2019 667 2020 673 Thereafter 1,143 Total $ 7,234

Collaborative Research and De20

Collaborative Research and Development Agreements (Tables)	9 Months Ended
	Sep. 30, 2016
Astra Zeneca
Summary of Revenue Recognized under Various Agreements	The following table summarizes the revenues earned under our agreement with AstraZeneca, included as collaboration revenue in our condensed consolidated statements of operations (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2016 2015 2016 2015 Initial payment $ - $ 60 $ 521 $ 186 Subsequent payment - 223 1,953 697 Performance of research activities - 546 104 1,347 Total $ - $ 829 $ 2,578 $ 2,230
National Institutes of Health
Summary of Revenue Recognized under Various Agreements	The following table summarizes the revenues recognized under the various arrangements with the NIH (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2016 2015 2016 2015 NIH contracts $ 162 $ 359 $ 289 $ 608 Total grant revenue $ 162 $ 359 $ 289 $ 608

Equity Plans and Stock-Based 21

Equity Plans and Stock-Based Compensation (Tables)	9 Months Ended
	Sep. 30, 2016
Share Based Compensation [Abstract]
Option Activity under Stock-Based Compensation Plans	Option activity under our stock-based compensation plans during the nine months ended September 30, 2016 was as follows (in thousands except per share amounts): Shares Underlying Outstanding Options (in thousands) Weighted-Average Exercise Price Per Share Weighted-Average Remaining Contractual Term (years) Aggregate Intrinsic Value (in thousands) Balance at December 31, 2015 2,891 $ 23.34 Options granted 1,351 19.95 Options exercised (16 ) 13.81 Options cancelled: Options forfeited (unvested) (36 ) 19.22 Options cancelled (vested) (54 ) 42.90 Balance at September 30, 2016 4,136 22.06 6.76 $ 182 Vested and expected to vest at September 30, 2016 4,098 22.10 6.74 $ 182 Exercisable at September 30, 2016 1,755 25.70 5.30 $ 182
Summary of Restricted Stock Units Activity	Restricted stock unit activity under our stock-based compensation plans during the nine months ended September 30, 2016 was as follows (in thousands except per share amounts): Number of Shares (In thousands) Weighted-Average Grant-Date Fair Value Non-vested as of December 31, 2015 195 $ 17.52 Granted 387 $ 21.35 Vested (26 ) $ 15.59 Forfeited or expired (13 ) $ 20.33 Non-vested as of September 30, 2016 543 $ 20.28
Fair Value-Based Measurements and Weighted-Average Assumptions	The fair value-based measurements and weighted-average assumptions used in the calculations of these measurements are as follows: Stock Options Stock Options Employee Stock Purchase Plan Three Months Ended Nine Months Ended Nine Months Ended September 30, September 30, September 30, 2016 2015 2016 2015 2016 2015 Weighted-average fair value $ 8.90 $ 17.63 $ 9.67 $ 13.23 $ 7.86 $ 9.18 Risk-free interest rate 1.1 % 1.7 % 1.4 % 1.7 % 0.6 % 0.4 % Expected life (in years) 4.5 5.8 4.9 5.9 1.2 1.2 Volatility 0.7 0.7 0.7 0.7 0.6 0.6
Stock-Based Compensation Expense	The components of stock-based compensation expense were (in thousands): Three Months Ended Nine Months Ended September 30, September 30, 2016 2015 2016 2015 Research and development $ 1,639 $ 1,232 $ 4,490 $ 2,985 General and administrative 2,022 1,398 5,540 3,517 Total $ 3,661 $ 2,630 $ 10,030 $ 6,502

Organization and Summary of S22

Organization and Summary of Significant Accounting Policies - Additional Information (Detail) $ in Millions	9 Months Ended
	Sep. 30, 2016USD ($)Segment
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Number of operating segment | Segment	1
Cash, cash equivalents and marketable securities | $	$ 109.6

Fair Value Hierarchy for Financ

Fair Value Hierarchy for Financial Assets Measured at Fair Value on Recurring Basis (Detail) - Fair Value, Measurements, Recurring - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Assets	$ 107,167	$ 191,564
Fair Value, Inputs, Level 1
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Assets	19,637	21,193
Fair Value, Inputs, Level 2
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Assets	87,530	170,371
Money Market Funds
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Assets	19,637	21,193
Money Market Funds | Fair Value, Inputs, Level 1
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Assets	19,637	21,193
U.S. Treasuries
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Assets	6,527
U.S. Treasuries | Fair Value, Inputs, Level 2
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Assets	6,527
U.S. Government Agency Securities
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Assets	48,870	17,622
U.S. Government Agency Securities | Fair Value, Inputs, Level 2
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Assets	48,870	17,622
Corporate Debt Securities
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Assets	32,133	152,749
Corporate Debt Securities | Fair Value, Inputs, Level 2
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items]
Assets	$ 32,133	$ 152,749

Fair Value Measurements - Addit

Fair Value Measurements - Additional Information (Detail)	Sep. 30, 2016USD ($)
Fair Value Disclosures [Abstract]
Transfers between level 1 and level 2	$ 0

Summary of Cash, Cash Equivalen

Summary of Cash, Cash Equivalents and Marketable Securities Available-for-Sale (Detail) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Cash Cash Equivalents And Marketable Securities [Line Items]
Amortized Cost	$ 109,532	$ 196,113
Unrealized Gains	34	78
Unrealized Losses	(15)	(66)
Estimated Fair Value	109,551	196,125
Cash and Cash Equivalents
Cash Cash Equivalents And Marketable Securities [Line Items]
Amortized Cost	23,021	44,806
Unrealized Gains		7
Unrealized Losses		(1)
Estimated Fair Value	23,021	44,812
Marketable Securities Available-for-Sale
Cash Cash Equivalents And Marketable Securities [Line Items]
Amortized Cost	86,511	151,307
Unrealized Gains	34	71
Unrealized Losses	(15)	(65)
Estimated Fair Value	86,530	151,313
Cash | Cash and Cash Equivalents
Cash Cash Equivalents And Marketable Securities [Line Items]
Amortized Cost	2,384	4,561
Estimated Fair Value	2,384	4,561
Money Market Funds | Cash and Cash Equivalents
Cash Cash Equivalents And Marketable Securities [Line Items]
Amortized Cost	19,637	21,193
Estimated Fair Value	19,637	21,193
Corporate Debt Securities | Cash and Cash Equivalents
Cash Cash Equivalents And Marketable Securities [Line Items]
Amortized Cost	1,000	19,052
Unrealized Gains		7
Unrealized Losses		(1)
Estimated Fair Value	1,000	19,058
Corporate Debt Securities | Marketable Securities Available-for-Sale
Cash Cash Equivalents And Marketable Securities [Line Items]
Amortized Cost	31,144	133,679
Unrealized Gains	5	71
Unrealized Losses	(15)	(59)
Estimated Fair Value	31,134	133,691
U.S. Treasuries | Marketable Securities Available-for-Sale
Cash Cash Equivalents And Marketable Securities [Line Items]
Amortized Cost	6,522
Unrealized Gains	4
Estimated Fair Value	6,526
U.S. Government Agency Securities | Marketable Securities Available-for-Sale
Cash Cash Equivalents And Marketable Securities [Line Items]
Amortized Cost	48,845	17,628
Unrealized Gains	25
Unrealized Losses		(6)
Estimated Fair Value	$ 48,870	$ 17,622

Summary of Amortized Cost and E

Summary of Amortized Cost and Estimated Fair Value of Marketable Securities Available-for-Sale (Detail) $ in Thousands	Sep. 30, 2016USD ($)
Amortized Cost
Mature in one year or less	$ 86,511
Mature after one year through two years	0
Total amortized cost	86,511
Estimated Fair Value
Mature in one year or less	86,530
Mature after one year through two years	0
Total estimated fair value	$ 86,530

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Detail) - USD ($) $ in Millions	Sep. 07, 2016	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Loss Contingencies [Line Items]
Rent expense, net		$ 0.6	$ 0.5	$ 1.6	$ 1.5
Deferred rent		$ 0.4		$ 0.4		$ 0.5
Litigation settlement agreement date				September 7, 2016
Dynavax Technologies Securities Litigation
Loss Contingencies [Line Items]
Litigation amount payable	$ 4.1
Dynavax Technologies Securities Litigation | Accrued Liabilities
Loss Contingencies [Line Items]
Estimated loss accrual on litigation	4.1
Dynavax Technologies Securities Litigation | Prepaid Expenses and Other Current Assets
Loss Contingencies [Line Items]
Anticipated recovery on litigation	$ 4.1
Berkeley, California (the "Berkeley Lease")
Loss Contingencies [Line Items]
Operating leases expiration date				2018-06
Dusseldorf, Germany (the "Dusseldorf Lease")
Loss Contingencies [Line Items]
Operating leases expiration date				2023-03

Future Minimum Payments Under N

Future Minimum Payments Under Non-Cancelable Portion of Operating Leases (Detail) $ in Thousands	Sep. 30, 2016USD ($)
Commitments And Contingencies Disclosure [Abstract]
2016 (remaining)	$ 642
2,017	2,589
2,018	1,520
2,019	667
2,020	673
Thereafter	1,143
Total	$ 7,234

Collaborative Research and De29

Collaborative Research and Development Agreements - Additional Information (Detail) - USD ($)	1 Months Ended	3 Months Ended				9 Months Ended
	Oct. 31, 2011	Jun. 30, 2016	Dec. 31, 2014	Mar. 31, 2014	Dec. 31, 2012	Sep. 30, 2016	Feb. 29, 2016	Dec. 31, 2015	Aug. 31, 2014	May 31, 2012	Aug. 31, 2010
Deferred Revenue Arrangement [Line Items]
Accrued research and development liability						$ 4,702,000		$ 7,361,000
Accrued current liabilities						21,988,000		15,337,000
Maximum
Deferred Revenue Arrangement [Line Items]
Additional revenue recognized						100,000,000
Astra Zeneca
Deferred Revenue Arrangement [Line Items]
Collaboration Revenue	$ 3,000,000		$ 8,000,000	$ 5,400,000	$ 6,000,000
Accrued current liabilities						7,400,000
Additional collaboration revenue		$ 800,000
Deferred revenue						$ 0		$ 2,700,000
National Institutes of Health
Deferred Revenue Arrangement [Line Items]
Grants receivable									$ 200,000
National Institutes of Health | Rheumatoid Arthritis
Deferred Revenue Arrangement [Line Items]
Grants receivable							$ 500,000			$ 400,000
National Institute of Allergy and Infectious Diseases | Hepatitis B Virus
Deferred Revenue Arrangement [Line Items]
Grants receivable											$ 1,400,000

Summary of Revenue Recognized u

Summary of Revenue Recognized under Various Agreements (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Product Information [Line Items]
Total revenues	$ 162	$ 1,188	$ 3,751	$ 3,365
Grant revenue	162	359	289	608
Astra Zeneca
Product Information [Line Items]
Initial payment		60	521	186
Subsequent payment		223	1,953	697
Performance of research activities		546	104	1,347
Total revenues		829	2,578	2,230
National Institutes of Health
Product Information [Line Items]
Grant revenue	$ 162	$ 359	$ 289	$ 608

Net Loss Per Share - Additional

Net Loss Per Share - Additional Information (Detail) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Earnings Per Share [Abstract]
Stock options and stock awards excluding calculation of diluted net loss per share			4,680,000	2,990,000
Dilutive securities, effect on basic earnings per share	$ 0	$ 0	$ 0	$ 0

Common Stock - Additional Infor

Common Stock - Additional Information (Detail) - USD ($)	Nov. 12, 2015	Sep. 30, 2016	Dec. 31, 2015
Class Of Stock [Line Items]
Common stock, shares outstanding		38,526,254	38,446,000
Cowen
Class Of Stock [Line Items]
Issuance of common stock, (in shares)		0
Maximum | Cowen
Class Of Stock [Line Items]
Common stock sales agreement aggregate sales proceeds	$ 90,000,000

Option Activity under Stock-Bas

Option Activity under Stock-Based Compensation Plans (Detail) $ / shares in Units, shares in Thousands, $ in Thousands	9 Months Ended
	Sep. 30, 2016USD ($)$ / sharesshares
Shares Underlying Outstanding Options
Beginning balance | shares	2,891
Options granted | shares	1,351
Options exercised | shares	(16)
Ending balance | shares	4,136
Vested and expected to vest at September 30, 2016 | shares	4,098
Exercisable at September 30, 2016 | shares	1,755
Weighted-Average Price Per Share
Beginning balance | $ / shares	$ 23.34
Options granted | $ / shares	19.95
Options exercised | $ / shares	13.81
Ending balance | $ / shares	22.06
Vested and expected to vest at September 30, 2016 | $ / shares	22.10
Exercisable at September 30, 2016 | $ / shares	$ 25.70
Weighted-Average Remaining Contractual Term (years)
Balance at September 30, 2016	6 years 9 months 4 days
Vested and expected to vest at September 30, 2016	6 years 8 months 27 days
Exercisable at September 30, 2016	5 years 3 months 18 days
Aggregate Intrinsic Value
Balance at September 30, 2016 | $	$ 182
Vested and expected to vest at September 30, 2016 | $	182
Exercisable at September 30, 2016 | $	$ 182
Unvested
Shares Underlying Outstanding Options
Options cancelled | shares	(36)
Weighted-Average Price Per Share
Options cancelled | $ / shares	$ 19.22
Vested
Shares Underlying Outstanding Options
Options cancelled | shares	(54)
Weighted-Average Price Per Share
Options cancelled | $ / shares	$ 42.90

Summary of Restricted Stock Uni

Summary of Restricted Stock Units Activity (Detail) - Restricted Stock Units (RSUs) shares in Thousands	9 Months Ended
	Sep. 30, 2016$ / sharesshares
Number of Shares
Non-vested, Beginning Balance | shares	195
Granted | shares	387
Vested | shares	(26)
Forfeited or expired | shares	(13)
Non-vested, Ending Balance | shares	543
Weighted-Average Grant-Date Fair Value
Non-vested, Beginning Balance | $ / shares	$ 17.52
Granted | $ / shares	21.35
Vested | $ / shares	15.59
Forfeited or expired | $ / shares	20.33
Non-vested, Ending Balance | $ / shares	$ 20.28

Equity Plans and Stock-Based 35

Equity Plans and Stock-Based Compensation - Additional Information (Detail) - USD ($) $ in Thousands	May 28, 2014	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Stock-based compensation expense		$ 3,661	$ 2,630	$ 10,030	$ 6,502
Time Based Vesting Schedule
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Total unrecognized compensation cost related to non-vested equity awards		24,400		$ 24,400
Total unrecognized compensation cost, weighted-average vesting period				2 years 4 months 24 days
Performance Based Vesting Schedule
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Total unrecognized compensation cost related to non-vested equity awards		$ 7,200		$ 7,200
2014 Employee Stock Purchase Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares issued to employees				45,547
Shares remaining available for future purchases		182,474		182,474
2014 Employee Stock Purchase Plan | The commencement of the offer period (generally, the sixteenth day in February or August)
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Purchase price per share as percentage of fair market value of common stock	85.00%
2014 Employee Stock Purchase Plan | The exercise date, which is the last day of a purchase period (generally, the fifteenth day in February or August)
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Purchase price per share as percentage of fair market value of common stock	85.00%
Restricted Stock Units (RSUs)
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Aggregate intrinsic value		$ 5,700		$ 5,700
Performance based Vesting Condition
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Shares underlying stock options and restricted stock units awards with performance-based vesting criteria		200,000		200,000
Employee Stock Option | Minimum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options vesting period				3 years
Expiration period				7 years
Employee Stock Option | Maximum
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Options vesting period				4 years
Expiration period				10 years

Fair Value-Based Measurements a

Fair Value-Based Measurements and Weighted-Average Assumptions (Detail) - $ / shares	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Employee Stock Purchase Plan
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Weighted-average fair value			$ 7.86	$ 9.18
Risk-free interest rate			0.60%	0.40%
Expected life (in years)			1 year 2 months 12 days	1 year 2 months 12 days
Volatility			0.60%	0.60%
Stock Options
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Weighted-average fair value	$ 8.90	$ 17.63	$ 9.67	$ 13.23
Risk-free interest rate	1.10%	1.70%	1.40%	1.70%
Expected life (in years)	4 years 6 months	5 years 9 months 18 days	4 years 10 months 24 days	5 years 10 months 24 days
Volatility	0.70%	0.70%	0.70%	0.70%

Stock-Based Compensation Expens

Stock-Based Compensation Expense (Detail) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Deferred Compensation Arrangement With Individual Share Based Payments [Line Items]
Stock-based compensation expense	$ 3,661	$ 2,630	$ 10,030	$ 6,502
Research and Development
Deferred Compensation Arrangement With Individual Share Based Payments [Line Items]
Stock-based compensation expense	1,639	1,232	4,490	2,985
General and Administrative
Deferred Compensation Arrangement With Individual Share Based Payments [Line Items]
Stock-based compensation expense	$ 2,022	$ 1,398	$ 5,540	$ 3,517

Subsequent Events - Additional

Subsequent Events - Additional Information (Detail) - Subsequent Event - Note Purchase Agreement - Deerfield Management Company, L.P. - Senior Secured Notes $ in Millions	Oct. 26, 2016USD ($)
Subsequent Event [Line Items]
Aggregate purchase price	$ 100
Notes accrue interest rate per annum	10.375%
Notes maturity date description	The Notes will mature on the fifth anniversary of the Purchase Date, unless earlier prepaid or repurchased.
Notes maturity term	5 years