Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2016 | Apr. 29, 2016 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2016 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q1 | |
Entity Registrant Name | MACROGENICS INC | |
Entity Central Index Key | 1,125,345 | |
Current Fiscal Year End Date | --12-31 | |
Entity Well-known Seasoned Issuer | Yes | |
Entity Current Reporting Status | No | |
Entity Voluntary Filers | No | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 34,545,592 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Current assets: | ||
Cash and cash equivalents | $ 151,952 | $ 196,172 |
Marketable securities | 152,496 | 142,877 |
Accounts receivable | 2,512 | 1,224 |
Prepaid expenses | 1,703 | 1,806 |
Other current assets | 603 | 305 |
Total current assets | 309,266 | 342,384 |
Property and equipment, net | 14,347 | 14,841 |
Other assets | 2,044 | 2,044 |
Total assets | 325,657 | 359,269 |
Current liabilities: | ||
Accounts payable | 1,118 | 2,967 |
Accrued expenses | 9,687 | 11,708 |
Deferred revenue | 4,919 | 5,866 |
Lease exit liability | 2,083 | 2,020 |
Other liabilities | 0 | 727 |
Total current liabilities | 17,807 | 23,288 |
Deferred revenue, net of current portion | 11,685 | 12,631 |
Lease exit liability, net of current portion | 2,142 | 2,693 |
Deferred rent liability | 7,041 | 7,320 |
Other Liabilities, Noncurrent | 727 | 0 |
Total liabilities | 39,402 | 45,932 |
Stockholders' equity: | ||
Common stock, $0.01 par value - 125,000,000 shares authorized, 34,536,621 and 34,345,754 shares outstanding at March 31, 2016 and December 31, 2015, respectively | 345 | 343 |
Additional paid-in capital | 550,407 | 547,185 |
Accumulated deficit | (264,549) | (234,186) |
Accumulated other comprehensive loss | 52 | (5) |
Total stockholders' equity | 286,255 | 313,337 |
Total liabilities and stockholders' equity | $ 325,657 | $ 359,269 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Mar. 31, 2016 | Dec. 31, 2015 |
Stockholders' equity: | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 125,000,000 | 125,000,000 |
Common stock, shares outstanding (in shares) | 34,536,621 | 34,345,754 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Revenues: | ||
Revenue from collaborative research | $ 1,893 | $ 71,165 |
Revenue from government agreements | 953 | 114 |
Total revenues | 2,846 | 71,279 |
Costs and expenses: | ||
Research and development | 27,346 | 21,464 |
General and administrative | 6,133 | 4,683 |
Total costs and expenses | 33,479 | 26,147 |
Income (loss) from operations | (30,633) | 45,132 |
Other income (expense) | 270 | (3) |
Net income (loss) | (30,363) | 45,129 |
Other comprehensive income (loss): | ||
Unrealized gain (loss) on investments | 57 | 0 |
Comprehensive income (loss) | $ (30,306) | $ 45,129 |
Basic net income (loss) per common share (in dollars per share) | $ (0.88) | $ 1.53 |
Diluted net income (loss) per common share (in dollars per share) | $ (0.88) | $ 1.42 |
Basic weighted average number of common shares (in shares) | 34,503,845 | 29,415,768 |
Diluted weighted average number of common shares (in shares) | 34,503,845 | 31,684,174 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Cash flows from operating activities | ||
Net income (loss) | $ (30,363) | $ 45,129 |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | ||
Depreciation expense | 1,771 | 546 |
Share-based compensation | 3,001 | 1,631 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (1,287) | 1,216 |
Prepaid expenses | 103 | 594 |
Other assets | (298) | 0 |
Accounts payable | (388) | (225) |
Accrued expenses | (1,788) | (929) |
Lease exit liability | (488) | (396) |
Deferred revenue | (1,893) | (3,949) |
Deferred rent | (280) | (24) |
Net cash provided by (used in) operating activities | (31,910) | 43,593 |
Cash flows from investing activities | ||
Purchases of marketable securities | (83,116) | 0 |
Proceeds from sale and maturities of marketable securities | 73,413 | 0 |
Purchases of property and equipment | (2,831) | (997) |
Net cash used in investing activities | (12,534) | (997) |
Cash flows from financing activities | ||
Proceeds from issuance of common stock, net of offering costs | 0 | 62,692 |
Proceeds from stock option exercises | 224 | 255 |
Net cash provided by financing activities | 224 | 62,947 |
Net change in cash and cash equivalents | (44,220) | 105,543 |
Cash and cash equivalents at beginning of period | 196,172 | 157,591 |
Cash and cash equivalents at end of period | $ 151,952 | $ 263,134 |
Basis of Presentation and Recen
Basis of Presentation and Recently Issued Accounting Standards | 3 Months Ended |
Mar. 31, 2016 | |
Basis of Presentation and Recently Issued Accounting Standards | |
Basis of Presentation and Recently Issued Accounting Standards | 1. Basis of Presentation and Recently Issued Accounting Standards Basis of Presentation The accompanying unaudited interim consolidated financial statements of MacroGenics, Inc. (the Company) have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial information. The financial statements include all adjustments (consisting only of normal recurring adjustments) that the management of the Company believes are necessary for a fair presentation of the periods presented. These interim financial results are not necessarily indicative of results expected for the full fiscal year or for any subsequent interim period. The accompanying unaudited interim consolidated financial statements include the accounts of MacroGenics, Inc. and its wholly owned subsidiary, MacroGenics UK Limited. All intercompany accounts and transactions have been eliminated in consolidation. These consolidated financial statements and related notes should be read in conjunction with the financial statements and notes thereto included in the Company's 2015 Annual Report on Form 10-K filed with the Securities and Exchange Commission (SEC) on February 29, 2016. There have been no material changes to the significant accounting policies previously disclosed in the Company's 2015 Annual Report on Form 10-K other than the adoption of ASU No. 2015-17, Income Taxes, Balance Sheet Classification of Deferred Taxes, Recently Issued Accounting Standards In November 2015, the Financial Accounting Standards Board (FASB) issued ASU No. 2015-17, Income Taxes, Balance Sheet Classification of Deferred Taxes (ASU 2015-17). ASU 2015-17 requires entities to present deferred tax assets and deferred tax liabilities as noncurrent on a classified balance sheet. ASU 2015-17 is effective for annual and interim reporting periods after December 15, 2016 and companies are permitted to apply ASU 2015-17 either prospectively or retrospectively. Early adoption of ASU 2015-17 is permitted. The Company adopted ASU 2015-17 on a prospective basis in the first quarter of 2016, resulting in the reclassification of $0.7 million of current deferred tax liabilities to noncurrent on the accompanying consolidated balance sheet. The prior reporting period was not retrospectively adjusted. The adoption of this guidance had no impact on the Company's results of operations or cash flows. In May 2014, FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (ASU 2014-09) as modified by ASU No. 2015-14, Revenue from Contracts with Customers: Deferral of the Effective Date (ASU 2014-14). ASU 2014-09 will eliminate transaction- and industry-specific revenue recognition guidance under current GAAP and replace it with a principle-based approach for determining revenue recognition. ASU 2014-09 will require that companies recognize revenue based on the value of transferred goods or services as they occur in the contract. The ASU also will require 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. ASU 2014-09 is effective for annual reporting periods beginning after December 15, 2017 and interim periods therein. Early adoption at the original effective date, for interim and annual reporting periods beginning after December 15, 2016, will be permitted. The new standard may be adopted either retrospectively or on a modified retrospective basis whereby the new standard would be applied to new contracts and existing contracts with remaining performance obligations as of the effective date, with a cumulative catch-up adjustment recorded to beginning retained earnings at the effective date for existing contracts with remaining performance obligations. Management is currently assessing which adoption method will be selected and what effect the adoption of ASU 2014-09 will have on the Company's consolidated financial statements and accompanying notes. In February 2016, FASB issued ASU No. 2016-02, Leases (ASU 2016-02) that provides principles for the recognition, measurement, presentation and disclosure of leases for both lessees and lessors. ASU 2016-02 requires a lessee to recognize assets and liabilities on the balance sheet for operating leases and changes many key definitions, including the definition of a lease. ASU 2016-02 includes a short-term lease exception for leases with a term of 12 months or less, in which a lessee can make an accounting policy election not to recognize lease assets and lease liabilities. Lessees will continue to differentiate between finance leases (previously referred to as capital leases) and operating leases, using classification criteria that are substantially similar to the previous guidance. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018 and interim periods within those fiscal years, with earlier application permitted. The Company is currently evaluating the effect of the standard on its consolidated financial statements and related disclosures. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 3 Months Ended |
Mar. 31, 2016 | |
Fair Value of Financial Instruments [Abstract] | |
Fair Value of Financial Instruments | 2. Fair Value of Financial Instruments The Company's financial instruments consist of cash and cash equivalents, marketable securities, accounts receivable, accounts payable and accrued expenses. The carrying amount of accounts receivable, accounts payable and accrued expenses are generally considered to be representative of their respective fair values because of their short-term nature. The Company accounts for recurring and non-recurring fair value measurements in accordance with FASB Accounting Standards Codification (ASC) 820, Fair Value Measurements and Disclosures (ASC 820). ASC 820 defines fair value, establishes a fair value hierarchy for assets and liabilities measured at fair value, and requires expanded disclosures about fair value measurements. The ASC 820 hierarchy ranks the quality of reliability of inputs, or assumptions, used in the determination of fair value and requires assets and liabilities carried at fair value to be classified and disclosed in one of the following three categories: • Level 1 – Fair value is determined by using unadjusted quoted prices that are available in active markets for identical assets and liabilities. • Level 2 – Fair value is determined by using inputs other than Level 1 quoted prices that are directly or indirectly observable. Inputs can include quoted prices for similar assets and liabilities in active markets or quoted prices for identical assets and liabilities in inactive markets. Related inputs can also include those used in valuation or other pricing models, such as interest rates and yield curves that can be corroborated by observable market data. • Level 3 – Fair value is determined by inputs that are unobservable and not corroborated by market data. Use of these inputs involves significant and subjective judgments to be made by a reporting entity – e.g., determining an appropriate adjustment to a discount factor for illiquidity associated with a given security. The Company evaluates financial assets and liabilities subject to fair value measurements on a recurring basis to determine the appropriate level at which to classify them each reporting period. This determination requires the Company to make subjective judgments as to the significance of inputs used in determining fair value and where such inputs lie within the ASC 820 hierarchy. Financial assets measured at fair value on a recurring basis were as follows (in thousands): Fair Value Measurements at March 31, 2016 Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Total Level 1 Level 2 Level 3 Assets: Money market funds $ 64,820 $ 64,820 $ – $ – U.S. Treasury securities 9,311 – 9,311 – Government-sponsored enterprises 33,670 – 33,670 – Corporate debt securities 139,008 – 139,008 – Total assets measured at fair value (a) $ 246,809 $ 64,820 $ 181,989 $ – (a) Total assets measured at fair value at March 31, 2016 includes approximately $94.3 million reported in cash and cash equivalents on the balance sheet. Fair Value Measurements at December 31, 2015 Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Total Level 1 Level 2 Level 3 Assets: Money market funds $ 62,353 $ 62,353 $ – $ – U.S. Treasury securities 9,349 – 9,349 – Government-sponsored enterprises 41,202 – 41,202 – Corporate debt securities 137,928 – 137,928 – Total assets measured at fair value (a) $ 250,832 $ 62,353 $ 188,479 $ – (a) Total assets measured at fair value at December 31, 2015 includes approximately $108.0 million reported in cash and cash equivalents on the balance sheet. The fair value of Level 2 securities is determined from market pricing and other observable market inputs for similar securities obtained from various third-party data providers. These inputs either represent quoted prices for similar assets in active markets or have been derived from observable market data. |
Investments
Investments | 3 Months Ended |
Mar. 31, 2016 | |
Investments [Abstract] | |
Investments | 3. Investments Available-for-sale investments as of March 31, 2016 and December 31, 2015 were as follows (in thousands): March 31, 2016 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value U.S. Treasury securities $ 9,307 $ 4 $ - $ 9,311 Government-sponsored enterprises 28,662 10 - 28,672 Corporate debt securities 114,475 47 (9 ) 114,513 Total $ 152,444 $ 61 $ (9 ) $ 152,496 December 31, 2015 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value U.S. Treasury securities $ 9,354 $ 1 $ (6 ) $ 9,349 Government-sponsored enterprises 22,055 1 (9 ) 22,047 Corporate debt securities 111,473 42 (34 ) 111,481 Total $ 142,882 $ 44 $ (49 ) $ 142,877 All of the Company's available-for-sale investments held at March 31, 2016 and December 31, 2015 had maturity dates of less than one year, and all available-for-sale investments in an unrealized loss position as of March 31, 2016 and December 31, 2015 were in a loss position for less than twelve months. There were no unrealized losses at March 31, 2016 or December 31, 2015 that the Company determined to be other-than-temporary. |
Lease Exit Liability
Lease Exit Liability | 3 Months Ended |
Mar. 31, 2016 | |
Lease Exit Liability [Abstract] | |
Lease Exit Liability | 4. Lease Exit Liability On July 16, 2008, the Company acquired Raven Biotechnologies, Inc. (Raven), a private South San Francisco-based company focused on the development of monoclonal antibody therapeutics for treating cancer. Raven was considered a development-stage enterprise as defined in ASC 915, Development Stage Entities. The Company undertook restructuring activities related to the acquisition of Raven. In connection with these restructuring activities, as part of the cost of acquisition, the Company established a restructuring liability attributed to an existing operating lease. The terms of the operating lease extend into 2018. Changes in the lease exit liability are as follows (in thousands): Accrual balance at December 31, 2015 $ 4,713 Principal payments (488 ) Accrual balance at March 31, 2016 $ 4,225 The purchase agreement provides for a specified total of certain contingent milestones that are based on the achievement of certain product sales derived from the acquired Raven technology. Also, a onetime payment of $5.0 million will be made to the Raven stockholders upon the initiation of patient dosing in the first Phase 2 clinical trial of any product derived from the Raven "Cancer Stem Cell Program." No payment shall be made if the Phase 2 trial start date has not occurred on or before July 15, 2018. Other consideration may include a percentage of revenue (excluding consideration for research and development and equity) received by MacroGenics for license of a product derived from the Raven "Cancer Stem Cell Program" and a onetime payment ranging from $8.0 million to $12.0 million dependent upon a specified level of sales of products derived from the Raven "Cancer Stem Cell Program." The contingent consideration will be accounted for as additional purchase price and recorded as incremental in-process research and development expense when it is deemed probable that the contingencies will be attained. No additional amounts were recorded during the three months ended March 31, 2016 and 2015. |
Collaboration and Other Agreeme
Collaboration and Other Agreements | 3 Months Ended |
Mar. 31, 2016 | |
Collaboration and License Agreements [Abstract] | |
Collaboration and License Agreements | 5. Collaboration and OtherAgreements Janssen Biotech, Inc. In December 2014, the Company entered into a collaboration and license agreement with Janssen Biotech, Inc. (Janssen) for the development and commercialization of MGD011 (also known as JNJ-64052781), a product candidate that incorporates the Company's proprietary Dual Affinity Re-Targeting (DART) technology to simultaneously target CD19 and CD3 for the potential treatment of B-cell hematological malignancies. The Company contemporaneously entered into an agreement with Johnson & Johnson Innovation - JJDC, Inc. (JJDC) under which JJDC agreed to purchase 1,923,077 new shares of the Company's common stock for proceeds of $75.0 million. Upon closing the transaction in January 2015, the Company received a $50.0 million upfront payment from Janssen as well as the $75.0 million investment in the Company's common stock. Under the collaboration and license agreement, the Company granted an exclusive license to Janssen to develop and commercialize MGD011. Following the Company's submission of the Investigational New Drug (IND) application for MGD011, Janssen became fully responsible for the development and commercialization of MGD011. Assuming successful development and commercialization, the agreement entitled the Company to receive up to $205.0 million in clinical milestone payments, $220.0 million in regulatory milestone payments and $150.0 million in sales milestone payments. The Company determined that each potential future clinical and regulatory milestone is substantive. Although the sales milestones are not considered substantive, they will be recognized upon achievement of the milestone (assuming all other revenue recognition criteria have been met) because there are no undelivered elements that would preclude revenue recognition at that time. The Company may elect to fund a portion of late-stage clinical development in exchange for a profit share with Janssen in the U.S. and Canada. If commercialized, the Company would be eligible to receive low double-digit royalties on any global net sales and has the option to co-promote the molecule with Janssen in the United States. The Company evaluated the collaboration and license agreement with Janssen and determined that it is a revenue arrangement with multiple deliverables, or performance obligations. The Company's substantive performance obligations under the collaboration and license agreement include the delivery of an exclusive license and research and development services during the pre-clinical research period (through the filing of the IND for MGD011). The Company evaluated the collaboration and license agreement with Janssen and determined that the license and pre-clinical research and development activities represented one unit of accounting, and thus the total arrangement consideration was allocated using the relative selling price method to the deliverables. After identifying the deliverables included within the arrangement, the Company determined its best estimate of selling price for each of the deliverables. The best estimate of selling price for the exclusive license was determined using a discounted cash flow model that includes Level 3 fair value measurements. The best estimate of selling price for the research and development services was determined using third party evidence of other similar research and development arrangements, which are Level 2 fair value measurements. The Company evaluated the stock purchase agreement and the collaboration and license agreement as one arrangement and determined that the stock purchase price of $39.00 per share exceeded the fair value of the common stock by $12.3 million. This excess was recognized in the same manner as the upfront payment. Of the total arrangement consideration of $125.0 million, the Company allocated $62.7 million to equity (representing the fair value of common stock purchased), $62.3 million to the license and pre-clinical research and development activities, and a de minimis amount to the ongoing research and development activities. The Company submitted the IND and therefore met its performance obligation during the year ended December 31, 2015. In July 2015, Janssen dosed the first patient in an open-label Phase 1 study of MGD011 which triggered a $10.0 million milestone to the Company. During the three months ended March 31, 2015, the Company recognized revenues of approximately $62.3 million under the agreement. Takeda Pharmaceutical Company Limited In May 2014, the Company entered into a license and option agreement with Takeda Pharmaceutical Company Limited (Takeda) for the development and commercialization of MGD010, a product candidate that incorporates the Company's proprietary DART technology to simultaneously engage CD32B and CD79B, which are two B-cell surface proteins. MGD010 is being developed for the treatment of autoimmune disorders. Upon execution of the agreement, Takeda made a non-refundable payment of $15.0 million to the Company. Takeda has an option to obtain an exclusive worldwide license for MGD010 following the completion of a pre-defined Phase 1a study. The Company will lead all product development activities until that time. If Takeda exercises its option, it will assume responsibility for future development and pay the Company a license fee of $15.0 million. Assuming successful development and commercialization of MGD010, the Company is eligible to receive up to $93.0 million in clinical and regulatory milestone payments and $375.5 million in sales milestone payments. If commercialized, the Company would receive low double-digit to high-teen royalties on any global net sales and has the option to co-promote MGD010 with Takeda in the United States. Finally, the Company may elect to fund a portion of Phase 3 clinical development in exchange for a North American profit share. The Company evaluated the license and option agreement with Takeda and has determined that it is a revenue arrangement with multiple deliverables, or performance obligations. The Company's substantive performance obligations under the license and option agreement include exclusivity, research and development services through the Phase 1a study and delivery of a future license for an initial research compound. The Company concluded that the MGD010 option is substantive and that the license fee payable upon exercise of the option is not a deliverable at the inception of the arrangement as there is considerable uncertainty that the option would be exercised. The Company determined that each potential future clinical and regulatory milestone is substantive. Although sales milestones are not considered substantive, they are still recognized upon achievement of the milestone (assuming all other revenue recognition criteria have been met) because there are no undelivered elements that would preclude revenue recognition at that time. The Company determined that these performance obligations represent a single unit of accounting, because the exclusivity clause does not have stand-alone value to Takeda without the Company's technical expertise and development through the pre-defined Phase 1a study. After identifying the deliverables included within the arrangement, the Company determined its best estimate of selling price. The Company allocated $10.0 million to the exclusivity clause to its technology and the research and development services and $5.0 million to the exclusive license for the initial research compound. The Company's determination of best estimate of selling price for the research and development services relied upon other similar transactions. The Company relied upon the income approach (e.g., discounted future cash flows) to determine the value of the license of the to-be-delivered compound along with other similar license transactions with differing indications but similar stage of development. The portion of the up-front fee allocated to the MGD010 option was being recognized over an initial 24-month period, which represented the expected period of development through the completion of a pre-defined Phase 1a study. During the first quarter of 2016, the Company determined that the development period will be extended by eight months, and prospectively adjusted the MGD010 option fee recognition period. The portion of the up-front fee allocated to the license for the initial research compound was deferred until the research collaboration and license option agreement was executed and the license delivered in September 2014. The Company recognized revenue of approximately $0.9 million and $4.3 million under the MGD010 agreement during the three months ended March 31, 2016 and 2015, respectively. Revenue recognized during the three months ended March 31, 2015 included a $3.0 million milestone payment received upon initiation of a Phase 1a trial of MGD010. At March 31, 2016 In September 2014, the Company and Takeda executed a research collaboration and license option agreement, which formalized the license for the initial research compound contemplated in the May 2014 arrangement. Under the terms of the agreement, Takeda may identify up to three additional compounds, which will be subject to separate research and development plans. The Company determined that it could recognize the entire license fee allocated to this agreement as (1) the executed contract constituted persuasive evidence of an arrangement, (2) the delivery of the license occurred and the Company had no current or future performance obligations, (3) the total consideration for the license was fixed and known at the time of its execution and there were not any extended payment terms or rights of return, and (4) the cash was received. The Company is also entitled to receive reimbursements for research and development services provided to Takeda with respect to the initial research compound under a separate research plan. The Company recognized revenue of approximately $0.3 million under this agreement during the three months ended March 31, 2015. Takeda terminated its option to license the first program under this research collaboration agreement in 2015 and retains an option for three others. Les Laboratoires Servier In September 2012, the Company entered into a right-to-develop collaboration agreement with Les Laboratoires Servier and Institut de Recherches Servier (collectively, Servier) and granted it options to obtain three separate exclusive licenses to develop and commercialize DART molecules, consisting of those designated by the Company as MGD006 (also known as S80880) and MGD007, as well as a third DART molecule, in all countries other than the United States, Canada, Mexico, Japan, South Korea and India. Upon execution of the agreement, Servier made a nonrefundable payment of $20.0 million to the Company. In addition, the Company will be eligible to receive up to $65.0 million in license fees, $98.0 million in clinical milestone payments, including $5.0 million upon IND acceptance for each of MGD006, MGD007 and a third DART molecule, $300.0 million in regulatory milestone payments and $630.0 million in sales milestone payments if Servier exercises all of the options and successfully develops, obtains regulatory approval for, and commercializes a product under each license. In addition to these milestones, the Company and Servier will share Phase 2 and Phase 3 development costs. The Company has determined that each potential future clinical and regulatory milestone is substantive. Although sales milestones are not considered substantive, they are still recognized upon achievement of the milestone (assuming all other revenue recognition criteria have been met) because there are no undelivered elements that would preclude revenue recognition at that time. Under this agreement, Servier would be obligated to pay the Company from low double-digit to mid-teen royalties on net product sales in its territories. The Company evaluated the research collaboration agreement with Servier and determined that it is a revenue arrangement with multiple deliverables, or performance obligations. The Company concluded that each option is substantive and that the license fees for each option are not deliverables at the inception of the arrangement and were not issued with a substantial discount. The Company's substantive performance obligations under this research collaboration include an exclusivity clause to its technology, technical, scientific and intellectual property support to the research plan and participation on an executive committee and a research and development committee. The Company determined that the performance obligations with respect to the pre-clinical development represent a single unit of accounting, since the license does not have stand-alone value to Servier without the Company's technical expertise and committee participation. As such, the initial upfront license payment was deferred and initially recognized ratably over a 29-month period, which represented the expected development period. During 2014, the Company and Servier further refined the research plan related to the three DART molecules and as such, the development period was extended. Based on this revised development period, the Company prospectively adjusted its period of recognition of the upfront payment to a 75-month period. During 2014, Servier exercised its exclusive option to develop and commercialize MGD006. As a result of the exercise, the Company received a $15.0 million payment from Servier for its license to develop and commercialize MGD006 in its territories. Upon exercise of the option, the Company evaluated its performance obligations with respect to the license for MGD006. The Company's substantive performance obligations under this research collaboration include an exclusive license to its technology, technical, scientific and intellectual property support to the research plan and participation on an executive committee and a research and development committee. The Company determined that the performance obligations with respect to the clinical development represent a single unit of accounting, since the license does not have stand-alone value to Servier without the Company's technical expertise and committee participation. As such, the $15.0 million license fee was deferred and is being recognized ratably over a period of 82 months, which represents the expected development period for MGD006. In accordance with the agreement, the Company and Servier will share costs incurred to develop MGD006. Reimbursement of research and development expenses received in connection with this collaborative cost-sharing agreement is recorded as a reduction to research and development expense. During the three months ended March 31, 2016 and 2015, the Company recorded approximately $0.5 million and $0.3 million as an offset to research and development costs under this collaboration arrangement, respectively. The Company recognized revenue of $0.8 million during each of the three-month periods ended March 31, 2016 and 2015 under this agreement. At March 31, 2016, $13.5 million of revenue was deferred under this agreement, $3.3 million of which was current and $10.2 million of which was non-current. At December 31, 2015, $14.4 million of revenue was deferred under this agreement, $3.3 million of which was current and $11.1 million of which was non-current. Green Cross Corporation In June 2010, the Company entered into a collaboration agreement with Green Cross Corporation (Green Cross) for the development of the Company's anti-HER2 antibody margetuximab. This arrangement grants Green Cross an exclusive license to conduct specified Phase 1 and Phase 2 clinical trials and commercialize margetuximab in South Korea. In March 2014, the Company and Green Cross entered into an amendment to the original agreement, causing the terms of the original agreement to be materially modified. Upon execution of the amendment, the Company became eligible to receive reimbursement for costs incurred for Phase 2 and Phase 3 clinical trials up to $5.5 million as well as clinical development and commercial milestone payments of up to $2.5 million. The Company determined that each potential clinical development and commercial milestone is substantive. The Company is also entitled to receive royalties on net sales of margetuximab in South Korea. The Company and Green Cross have formed a joint steering committee to coordinate and oversee activities on which the companies collaborate under the agreement. The Company evaluated the collaboration agreement with Green Cross and determined that it is a revenue arrangement with multiple deliverables or performance obligations. As a result of the material modification to the arrangement in March 2014, the Company reassessed the entire arrangement in accordance with the guidance provided by ASC 605-25, Multiple Element Arrangements (Revenue Recognition) . The initial $1.0 million upfront payment received by the Company upon execution of the original agreement is non-refundable; as such, there is no right of return for the license. Therefore, the upfront license fee and participation on the joint steering committee were treated as a combined unit of accounting and will be recognized over the term of the agreement through June 2020. Further, due to the fact the research and development services are not deemed to have stand-alone value, revenue for those services will be recognized over the entire term of the agreement (through June 2020). As a result of reassessing the arrangement in accordance with ASC 605-25, the Company was required to record an adjustment on the date of the material modification to reflect the revenue that would have resulted had the entity applied the requirements of ASC 605-25 from the inception of the agreement. As a result, the Company recorded an additional $1.3 million of revenue during 2014. The Company recognized revenues of approximately $0.1 million during each of the three-month periods ended March 31, 2016 and 2015 under this agreement. At March 31, 2016, $1.9 million of revenue was deferred under this agreement, $0.4 million of which was current and $1.5 million of which was non-current. At December 31, 2015, $2.0 million of revenue was deferred under this agreement, $0.4 million of which was current and $1.6 million of which was non-current. NIAID Contract The Company entered into a contract with the National Institute of Allergy and Infectious Diseases (NIAID), effective as of September 15, 2015, to perform product development and to advance up to two DART molecules, including MGD014. Under this contract, the Company will develop these product candidates for Phase 1/2 clinical trials as therapeutic agents, in combination with latency reversing treatments, to deplete cells infected with human immunodeficiency virus (HIV) infection. This contract includes a base period of $7.5 million to support development of MGD014 through IND application submission with the FDA, as well as up to $17.0 million in additional development funding via NIAID options. Should NIAID fully exercise such options, the Company could receive total payments of up to $24.5 million. The total potential period of performance under the award is from September 15, 2015 through September 14, 2022. The Company recognized $0.9 million in revenue under this contract during the three months ended March 31, 2016. |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Mar. 31, 2016 | |
Stock-Based Compensation [Abstract] | |
Stock-Based Compensation | 6. Stock-Based Compensation Under the provisions of the Company's 2013 Stock Incentive Plan (2013 Plan), the number of shares of common stock reserved for issuance will automatically increase on January 1 of each year from January 1, 2014 through and including January 1, 2023, by the lesser of (a) 1,960,168 4.0% The following stock-based compensation amounts were recognized for the periods indicated (in thousands): Three Months Ended March 31, 2016 2015 Research and development $ 1,396 $ 810 General and administrative 1,605 821 Total stock-based compensation expense $ 3,001 $ 1,631 Employee Stock Options The fair value of each option award is estimated on the date of grant using the Black-Scholes option-pricing model using the assumptions in the following table: Three Months Ended March 31, 2016 2015 Expected dividend yield 0% 0% Expected volatility 64 % 74 % Risk-free interest rate 1.5% - 2.1% 1.6% - 2.0% Expected term 6.25 years 6.25 years The following table summarizes stock option and restricted stock unit (RSU) activity during the three months ended March 31, 2016: Shares Weighted- Weighted-Average Aggregate Outstanding, December 31, 2015 4,146,064 $ 16.90 7.4 Granted 110,125 14.42 Exercised (190,867 ) 1.18 Forfeited or expired (46,598 ) 29.07 Outstanding, March 31, 2016 4,018,724 17.44 7.4 $ 27,049 As of March 31, 2016: Exercisable 1,984,117 9.50 5.9 22,670 Vested and expected to vest 3,782,077 17.06 7.3 26,382 The weighted-average grant-date fair value of options granted for the three months ended March 31, 2016 was $12.82. The total intrinsic value of options exercised during the three months ended March 31, 2016 was approximately $4.3 million, and the total cash received for options exercised was approximately $0.2 million. The total fair value of shares vested in the three months ended March 31, 2016 was approximately $2.0 million. As of March 31, 2016, the total unrecognized compensation expense related to non-vested stock options, net of related forfeiture estimates, was approximately $28.1 million, which the Company expects to recognize over a weighted-average period of approximately three years. |
Net Income (Loss) Per Share
Net Income (Loss) Per Share | 3 Months Ended |
Mar. 31, 2016 | |
Net Income (Loss) Per Share [Abstract] | |
Net Income (Loss) Per Share | 7. Net Income (Loss) Per Share Basic income (loss) per common share is determined by dividing income (loss) attributable to common stockholders by the weighted-average number of common shares outstanding during the period, without consideration of common stock equivalents. Diluted income (loss) per share is computed by dividing the income (loss) attributable to common stockholders by the weighted-average number of common stock equivalents outstanding for the period. The treasury stock method is used to determine the dilutive effect of the Company's stock option grants. 1,415,558 and 2,719,339 stock options (common stock equivalents) were excluded from the calculation of diluted income (loss) per share for the three months ended March 31, 2016 and 2015, respectively, because their inclusion would have been anti-dilutive. Basic and diluted income (loss) per common share is computed as follows (in thousands except share and per share data): Three Months Ended March 31, 2016 2015 Numerator: Net income (loss) used for calculation of basic and diluted EPS $ (30,363 ) $ 45,129 Denominator: Weighted average shares outstanding, basic 34,503,845 29,415,768 Effect of dilutive securities: Stock options and restricted stock units - 2,268,406 Weighted average shares outstanding, diluted 34,503,845 31,684,174 Net income (loss) per share, basic $ (0.88 ) $ 1.53 Net income (loss) per share, diluted $ (0.88 ) $ 1.42 |
Basis of Presentation and Rec13
Basis of Presentation and Recently Issued Accounting Standards (Policies) | 3 Months Ended |
Mar. 31, 2016 | |
Basis of Presentation and Recently Issued Accounting Standards | |
Basis of Presentation | 1. Basis of Presentation and Recently Issued Accounting Standards Basis of Presentation The accompanying unaudited interim consolidated financial statements of MacroGenics, Inc. (the Company) have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial information. The financial statements include all adjustments (consisting only of normal recurring adjustments) that the management of the Company believes are necessary for a fair presentation of the periods presented. These interim financial results are not necessarily indicative of results expected for the full fiscal year or for any subsequent interim period. The accompanying unaudited interim consolidated financial statements include the accounts of MacroGenics, Inc. and its wholly owned subsidiary, MacroGenics UK Limited. All intercompany accounts and transactions have been eliminated in consolidation. These consolidated financial statements and related notes should be read in conjunction with the financial statements and notes thereto included in the Company's 2015 Annual Report on Form 10-K filed with the Securities and Exchange Commission (SEC) on February 29, 2016. There have been no material changes to the significant accounting policies previously disclosed in the Company's 2015 Annual Report on Form 10-K other than the adoption of ASU No. 2015-17, Income Taxes, Balance Sheet Classification of Deferred Taxes, |
Fair Value of Financial Instr14
Fair Value of Financial Instruments (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Fair Value of Financial Instruments [Abstract] | |
Financial Assets Measured at Fair Value on a Recurring Basis | Financial assets measured at fair value on a recurring basis were as follows (in thousands): Fair Value Measurements at March 31, 2016 Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Total Level 1 Level 2 Level 3 Assets: Money market funds $ 64,820 $ 64,820 $ – $ – U.S. Treasury securities 9,311 – 9,311 – Government-sponsored enterprises 33,670 – 33,670 – Corporate debt securities 139,008 – 139,008 – Total assets measured at fair value (a) $ 246,809 $ 64,820 $ 181,989 $ – (a) Total assets measured at fair value at March 31, 2016 includes approximately $94.3 million reported in cash and cash equivalents on the balance sheet. Fair Value Measurements at December 31, 2015 Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs Total Level 1 Level 2 Level 3 Assets: Money market funds $ 62,353 $ 62,353 $ – $ – U.S. Treasury securities 9,349 – 9,349 – Government-sponsored enterprises 41,202 – 41,202 – Corporate debt securities 137,928 – 137,928 – Total assets measured at fair value (a) $ 250,832 $ 62,353 $ 188,479 $ – (a) Total assets measured at fair value at December 31, 2015 includes approximately $108.0 million reported in cash and cash equivalents on the balance sheet. |
Investments (Tables)
Investments (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Investments [Abstract] | |
Available-for-sale Securities | Available-for-sale investments as of March 31, 2016 and December 31, 2015 were as follows (in thousands): March 31, 2016 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value U.S. Treasury securities $ 9,307 $ 4 $ - $ 9,311 Government-sponsored enterprises 28,662 10 - 28,672 Corporate debt securities 114,475 47 (9 ) 114,513 Total $ 152,444 $ 61 $ (9 ) $ 152,496 December 31, 2015 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value U.S. Treasury securities $ 9,354 $ 1 $ (6 ) $ 9,349 Government-sponsored enterprises 22,055 1 (9 ) 22,047 Corporate debt securities 111,473 42 (34 ) 111,481 Total $ 142,882 $ 44 $ (49 ) $ 142,877 |
Lease Exit Liability (Tables)
Lease Exit Liability (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Lease Exit Liability [Abstract] | |
Changes in Lease Exit Liability | Changes in the lease exit liability are as follows (in thousands): Accrual balance at December 31, 2015 $ 4,713 Principal payments (488 ) Accrual balance at March 31, 2016 $ 4,225 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Stock-Based Compensation [Abstract] | |
Stock-Based Compensation Expense | The following stock-based compensation amounts were recognized for the periods indicated (in thousands): Three Months Ended March 31, 2016 2015 Research and development $ 1,396 $ 810 General and administrative 1,605 821 Total stock-based compensation expense $ 3,001 $ 1,631 |
Valuation Assumptions Using the Black-Scholes Option-Pricing Model | The fair value of each option award is estimated on the date of grant using the Black-Scholes option-pricing model using the assumptions in the following table: Three Months Ended March 31, 2016 2015 Expected dividend yield 0% 0% Expected volatility 64 % 74 % Risk-free interest rate 1.5% - 2.1% 1.6% - 2.0% Expected term 6.25 years 6.25 years |
Stock Option Activity | The following table summarizes stock option and restricted stock unit (RSU) activity during the three months ended March 31, 2016: Shares Weighted- Weighted-Average Aggregate Outstanding, December 31, 2015 4,146,064 $ 16.90 7.4 Granted 110,125 14.42 Exercised (190,867 ) 1.18 Forfeited or expired (46,598 ) 29.07 Outstanding, March 31, 2016 4,018,724 17.44 7.4 $ 27,049 As of March 31, 2016: Exercisable 1,984,117 9.50 5.9 22,670 Vested and expected to vest 3,782,077 17.06 7.3 26,382 |
Net Income (Loss) Per Share (Ta
Net Income (Loss) Per Share (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Net Income (Loss) Per Share [Abstract] | |
Computation of Basic and Diluted Income (Loss) Per Common Share | Basic and diluted income (loss) per common share is computed as follows (in thousands except share and per share data): Three Months Ended March 31, 2016 2015 Numerator: Net income (loss) used for calculation of basic and diluted EPS $ (30,363 ) $ 45,129 Denominator: Weighted average shares outstanding, basic 34,503,845 29,415,768 Effect of dilutive securities: Stock options and restricted stock units - 2,268,406 Weighted average shares outstanding, diluted 34,503,845 31,684,174 Net income (loss) per share, basic $ (0.88 ) $ 1.53 Net income (loss) per share, diluted $ (0.88 ) $ 1.42 |
Fair Value of Financial Instr19
Fair Value of Financial Instruments (Details) - Fair Value Measured on a Recurring Basis [Member] - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Assets: | ||
Cash and cash equivalents | $ 94,300 | $ 108,000 |
Total Assets | 246,809 | 250,832 |
Money Market Funds [Member] | ||
Assets: | ||
Cash and cash equivalents | 64,820 | 62,353 |
U.S. Treasury Securities [Member] | ||
Assets: | ||
Available-for-sale securities | 9,311 | 9,349 |
Government-sponsored Enterprises [Member] | ||
Assets: | ||
Available-for-sale securities | 33,670 | 41,202 |
Corporate Debt Securities [Member] | ||
Assets: | ||
Available-for-sale securities | 139,008 | 137,928 |
Quoted Prices in Active Markets for Identical Assets Level 1 [Member] | ||
Assets: | ||
Total Assets | 64,820 | 62,353 |
Quoted Prices in Active Markets for Identical Assets Level 1 [Member] | Money Market Funds [Member] | ||
Assets: | ||
Cash and cash equivalents | 64,820 | 62,353 |
Quoted Prices in Active Markets for Identical Assets Level 1 [Member] | U.S. Treasury Securities [Member] | ||
Assets: | ||
Available-for-sale securities | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets Level 1 [Member] | Government-sponsored Enterprises [Member] | ||
Assets: | ||
Available-for-sale securities | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets Level 1 [Member] | Corporate Debt Securities [Member] | ||
Assets: | ||
Available-for-sale securities | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets Level 2 [Member] | ||
Assets: | ||
Total Assets | 181,989 | 188,479 |
Quoted Prices in Active Markets for Identical Assets Level 2 [Member] | Money Market Funds [Member] | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets Level 2 [Member] | U.S. Treasury Securities [Member] | ||
Assets: | ||
Available-for-sale securities | 9,311 | 9,349 |
Quoted Prices in Active Markets for Identical Assets Level 2 [Member] | Government-sponsored Enterprises [Member] | ||
Assets: | ||
Available-for-sale securities | 33,670 | 41,202 |
Quoted Prices in Active Markets for Identical Assets Level 2 [Member] | Corporate Debt Securities [Member] | ||
Assets: | ||
Available-for-sale securities | 139,008 | 137,928 |
Quoted Prices in Active Markets for Identical Assets Level 3 [Member] | ||
Assets: | ||
Total Assets | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets Level 3 [Member] | Money Market Funds [Member] | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets Level 3 [Member] | U.S. Treasury Securities [Member] | ||
Assets: | ||
Available-for-sale securities | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets Level 3 [Member] | Government-sponsored Enterprises [Member] | ||
Assets: | ||
Available-for-sale securities | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets Level 3 [Member] | Corporate Debt Securities [Member] | ||
Assets: | ||
Available-for-sale securities | $ 0 | $ 0 |
Investments (Details)
Investments (Details) - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | $ 152,444 | $ 142,882 |
Gross unrealized gains | 61 | 44 |
Gross unrealized losses | (9) | (49) |
Fair value | 152,496 | 142,877 |
Government-sponsored Enterprises [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 28,662 | 22,055 |
Gross unrealized gains | 10 | 1 |
Gross unrealized losses | 0 | (9) |
Fair value | 28,672 | 22,047 |
Corporate Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 114,475 | 111,473 |
Gross unrealized gains | 47 | 42 |
Gross unrealized losses | (9) | (34) |
Fair value | 114,513 | 111,481 |
U.S. Treasury Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 9,307 | 9,354 |
Gross unrealized gains | 4 | 1 |
Gross unrealized losses | 0 | (6) |
Fair value | $ 9,311 | $ 9,349 |
Lease Exit Liability (Details)
Lease Exit Liability (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Jul. 16, 2008 | |
Restructuring Cost and Reserve [Line Items] | |||
Lease expiration year | 2,018 | ||
Restructuring Costs [Abstract] | |||
Potential future payment under purchase agreement | $ 5,000 | ||
Incremental in-process research and development expense | $ 0 | $ 0 | |
Minimum [Member] | |||
Restructuring Costs [Abstract] | |||
Potential payment under license of product | 8,000 | ||
Maximum [Member] | |||
Restructuring Costs [Abstract] | |||
Potential payment under license of product | $ 12,000 | ||
Contract Termination [Member] | |||
Restructuring Costs [Abstract] | |||
Accrual beginning balance | 4,713 | ||
Principal payments | (488) | ||
Accrual ending balance | $ 4,225 |
Collaboration and Other Agree22
Collaboration and Other Agreements, Janssen Biotech, Inc. (Details) - Janssen Biotech, Inc. [Member] - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||
Jan. 31, 2015 | Mar. 31, 2016 | Mar. 31, 2015 | Dec. 31, 2015 | Jul. 31, 2015 | |
Collaboration and Other Agreements [Line Items] | |||||
Collaboration or other agreement date | December 2,014 | ||||
Sale of common stock (in shares) | 1,923,077 | ||||
Proceeds of stock sale | $ 75 | ||||
Sale of common stock (in dollars per share) | $ 39 | ||||
Premium received on stock purchase | $ 12.3 | ||||
Total consideration | 125 | ||||
Amount allocated to equity | 62.7 | ||||
Amount allocated to license and R&D | $ 62.3 | ||||
Clinical milestone earned during period | $ 10 | ||||
Recognized revenue under agreement | $ 62.3 | ||||
Non-refundable upfront payment | $ 50 | ||||
Maximum [Member] | |||||
Collaboration and Other Agreements [Line Items] | |||||
Potential clinical milestone payments | $ 205 | ||||
Potential regulatory milestone payments under agreement | 220 | ||||
Potential sales milestone payments under agreement | $ 150 |
Collaboration and Other Agree23
Collaboration and Other Agreements, Takeda (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | ||
May. 31, 2014 | Mar. 31, 2016 | Mar. 31, 2015 | Dec. 31, 2015 | |
Collaboration And Other Agreements [Line Items] | ||||
Deferred revenue included in current liabilities | $ 4,919 | $ 5,866 | ||
Deferred revenue included in long-term liabilities | $ 11,685 | 12,631 | ||
Takeda Pharmaceutical Company Limited [Member] | ||||
Collaboration And Other Agreements [Line Items] | ||||
Non-refundable upfront payment | $ 15,000 | |||
Takeda Pharmaceutical Company Limited [Member] | Research Collaboration And License Option Agreement [Member] | ||||
Collaboration And Other Agreements [Line Items] | ||||
Collaboration or other agreement date | September 2,014 | |||
Amount allocated to agreement | 5,000 | |||
Recognized revenue under agreement | $ 300 | |||
Takeda Pharmaceutical Company Limited [Member] | Takeda MGD010 Agreement [Member] | ||||
Collaboration And Other Agreements [Line Items] | ||||
Collaboration or other agreement date | May 2,014 | |||
License option fee | $ 15,000 | |||
Amount allocated to agreement | $ 10,000 | |||
Expected period of development | 24 months | |||
Recognized revenue under agreement | $ 900 | 4,300 | ||
Milestone received | $ 3,000 | |||
Deferred revenue | 1,100 | 2,100 | ||
Deferred revenue included in current liabilities | 1,100 | $ 2,100 | ||
Takeda Pharmaceutical Company Limited [Member] | Takeda MGD010 Agreement [Member] | Maximum [Member] | ||||
Collaboration And Other Agreements [Line Items] | ||||
Potential clinical and regulatory milestone payments | 93,000 | |||
Potential sales milestone payments under agreement | $ 375,500 |
Collaboration and Other Agree24
Collaboration and Other Agreements, Servier (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | |||
Sep. 30, 2012 | Mar. 31, 2016 | Mar. 31, 2015 | Dec. 31, 2015 | Dec. 31, 2014 | |
Collaboration And Other Agreements [Line Items] | |||||
Deferred revenue included in current liabilities | $ 4,919 | $ 5,866 | |||
Deferred revenue included in long-term liabilities | $ 11,685 | 12,631 | |||
Servier [Member] | Servier DART [Member] | |||||
Collaboration And Other Agreements [Line Items] | |||||
Collaboration or other agreement date | September 2,012 | ||||
Non-refundable upfront payment | $ 20,000 | ||||
Original period of development | 29 months | ||||
Expected period of development | 75 months | ||||
Option exercise fee | $ 15,000 | ||||
Option exercise fee recognition period | 82 months | ||||
Offset to research and development costs under collaboration arrangement | $ 500 | $ 300 | |||
Recognized revenue under agreement | 800 | $ 800 | |||
Deferred revenue | 13,500 | 14,400 | |||
Deferred revenue included in current liabilities | 3,300 | 3,300 | |||
Deferred revenue included in long-term liabilities | 10,200 | $ 11,100 | |||
Servier [Member] | Servier DART [Member] | Maximum [Member] | |||||
Collaboration And Other Agreements [Line Items] | |||||
Potential license fee | 65,000 | ||||
Potential clinical milestone payments | 98,000 | ||||
Potential regulatory milestone payments under agreement | 300,000 | ||||
Potential sales milestone payments under agreement | 630,000 | ||||
Additional Potential Milestone Payments Receivable Upon New Drug Application Acceptance | $ 5,000 |
Collaboration and Other Agree25
Collaboration and Other Agreements, Green Cross (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||
Jun. 30, 2010 | Mar. 31, 2016 | Mar. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2015 | |
Collaboration And Other Agreements [Line Items] | |||||
Deferred revenue included in current liabilities | $ 4,919 | $ 5,866 | |||
Deferred revenue included in long-term liabilities | $ 11,685 | 12,631 | |||
Green Cross [Member] | |||||
Collaboration And Other Agreements [Line Items] | |||||
Collaboration or other agreement date | June 2,010 | ||||
Non-refundable upfront payment | $ 1,000 | ||||
Term of the agreement | June 2,020 | ||||
Adjustment to revenue from contract material modification | $ 1,300 | ||||
Recognized revenue under agreement | $ 100 | $ 100 | |||
Deferred revenue | 1,900 | 2,000 | |||
Deferred revenue included in current liabilities | 400 | 400 | |||
Deferred revenue included in long-term liabilities | 1,500 | $ 1,600 | |||
Green Cross [Member] | Maximum [Member] | |||||
Collaboration And Other Agreements [Line Items] | |||||
Aggregate potential future cost reimbursement | 5,500 | ||||
Clinical and commercial milestone payments | $ 2,500 |
Collaboration and Other Agree26
Collaboration and Other Agreements, NIAID Contract (Details) - NIAID [Member] $ in Millions | 3 Months Ended |
Mar. 31, 2016USD ($)Molecule | |
Collaboration And Other Agreements [Line Items] | |
Collaboration or other agreement date | September 15, 2015 |
Commercialization of molecules | Molecule | 2 |
Base period value | $ 7.5 |
Agreement end date | September 14, 2022 |
Recognized revenue under agreement | $ 0.9 |
Maximum [Member] | |
Collaboration And Other Agreements [Line Items] | |
Additional development funding options | 17 |
Total potential value | $ 24.5 |
Stock-Based Compensation, Stock
Stock-Based Compensation, Stock-Based Compensation Expense (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 4,018,724 | 4,146,064 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price | $ 17.44 | $ 16.90 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation expense | $ 3,001 | $ 1,631 | |
2013 Stock Incentive Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation, number of shares authorized (in shares) | 5,375,064 | ||
Potential annual increase in shares reserved for future issuance | 1,960,168 | ||
Potential annual increase in shares reserved for future issuance as percentage of outstanding share | 4.00% | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 2,544,391 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price | $ 26.51 | ||
Research and Development [Member] | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation expense | $ 1,396 | 810 | |
General and Administrative [Member] | |||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | |||
Stock-based compensation expense | $ 1,605 | $ 821 |
Stock-Based Compensation, Optio
Stock-Based Compensation, Option Pricing Assumptions (Details) | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected dividend yield | 0.00% | 0.00% |
Expected volatility | 64.00% | 74.00% |
Expected term | 6 years 3 months | 6 years 3 months |
Minimum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Risk-free interest rate | 1.50% | 1.60% |
Maximum [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Risk-free interest rate | 2.10% | 2.00% |
Stock-Based Compensation, Sto29
Stock-Based Compensation, Stock Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | Dec. 31, 2015 | |
Stock-Based Compensation [Abstract] | |||
Shares, Outstanding, Beginning Balance (in shares) | 4,146,064 | ||
Shares, Granted (in shares) | 110,125 | ||
Shares, Exercised (in shares) | (190,867) | ||
Shares, Forfeited or expired (in shares) | (46,598) | ||
Shares, Outstanding, Ending Balance (in shares) | 4,018,724 | 4,146,064 | |
Shares, Exercisable (in shares) | 1,984,117 | ||
Shares, Vested and expected to vest (in shares) | 3,782,077 | ||
Weighted- Average Exercise Price, Outstanding, Beginning Balance (in dollars per share) | $ 16.90 | ||
Weighted- Average Exercise Price, Granted (in dollars per share) | 14.42 | ||
Weighted- Average Exercise Price, Exercised (in dollars per share) | 1.18 | ||
Weighted- Average Exercise Price, Forfeited or expired (in dollars per share) | 29.07 | ||
Weighted- Average Exercise Price, Outstanding, Ending Balance (in dollars per share) | 17.44 | $ 16.90 | |
Weighted- Average Exercise Price, Exercisable (in dollars per share) | 9.50 | ||
Weighted- Average Exercise Price, Vested and expected to vest (in dollars per share) | $ 17.06 | ||
Weighted- Average Remaining Contractual Term, Outstanding | 7 years 4 months 24 days | 7 years 4 months 24 days | |
Weighted- Average Remaining Contractual Term, Exercisable | 5 years 10 months 24 days | ||
Weighted- Average Remaining Contractual Term, Vested and expected to vest | 7 years 3 months 18 days | ||
Aggregate Intrinsic Value, Outstanding, Ending Balance | $ 27,049 | ||
Aggregate Intrinsic Value, Exercisable | 22,670 | ||
Aggregate Intrinsic Value, Vested and expected to vest | $ 26,382 | ||
Weighted-average grant-date fair value of options granted (in dollars per share) | $ 12.82 | ||
Intrinsic value of options exercised | $ 4,300 | ||
Cash received for options exercised | 224 | $ 255 | |
Fair value of shares vested | 2,000 | ||
Unrecognized compensation expense related to non-vested stock-options, net of related forfeiture estimates | $ 28,100 | ||
Unrecognized compensation expense recognition period | 3 years |
Net Income (Loss) Per Share (De
Net Income (Loss) Per Share (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Net Income (Loss) Per Share [Abstract] | ||
Net income (loss) used for calculation of basic and diluted EPS | $ (30,363,000) | $ 45,129,000 |
Basic weighted average number of common shares (in shares) | 34,503,845 | 29,415,768 |
Net income (loss) per share, basic | $ (0.88) | $ 1.53 |
Basic weighted average common shares outstanding (in shares) | 34,503,845 | 29,415,768 |
Stock options and restricted stock units (in shares) | 0 | 2,268,406 |
Weighted average shares outstanding, diluted | 34,503,845 | 31,684,174 |
Diluted income (loss) per common share (in dollars per share) | $ (0.88) | $ 1.42 |
Stock options excluded from diluted EPS (in shares) | 1,415,558 | 2,719,339 |