Galectin Therapeutics (GALT) 10-Q 9 Aug 16 2016 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2016	Aug. 05, 2016
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q2
Trading Symbol	GALT
Entity Registrant Name	GALECTIN THERAPEUTICS INC
Entity Central Index Key	1,133,416
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		29,280,653

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Current assets:
Cash and cash equivalents	$ 18,003	$ 25,846
Prepaid expenses and other current assets	239	554
Total current assets	18,242	26,400
Intangible assets, net	5	8
Total assets	18,247	26,408
Current liabilities:
Accounts payable	932	448
Accrued expenses	2,636	845
Accrued dividends payable	68	67
Total current liabilities	3,636	1,360
Total liabilities	3,636	1,360
Commitments and contingencies (Note 8)
Stockholders' equity:
Undesignated stock, $0.01 par value; 20,000,000 shares authorized, 8,001,000 designated at June 30, 2016 and December 31, 2015	0	0
Series A 12% convertible preferred stock; 5,000,000 shares authorized, 1,377,500 issued and outstanding at June 30, 2016 and December 31, 2015, liquidation value $1,377,500 at June 30, 2016	557	557
Common stock, $0.001 par value; 50,000,000 shares authorized at June 30, 2016 and December 31, 2015, 29,280,653 and 28,825,033 issued and outstanding at June 30, 2016 and December 31, 2015, respectively	29	28
Additional paid-in capital	159,788	157,504
Retained deficit	(152,887)	(140,049)
Total stockholders' equity	7,487	18,040
Total liabilities, redeemable convertible preferred stock and stockholders' equity	18,247	26,408
Series B-1 12% redeemable convertible preferred stock
Current liabilities:
Convertible preferred stock, value	1,756	1,748
Series B-2 12% redeemable convertible preferred stock
Current liabilities:
Convertible preferred stock, value	3,645	3,537
Series C super dividend convertible preferred stock
Current liabilities:
Convertible preferred stock, value	$ 1,723	$ 1,723

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($)	Jun. 30, 2016	Dec. 31, 2015
Undesignated stock, par value	$ 0.01	$ 0.01
Undesignated stock, shares authorized	20,000,000	20,000,000
Undesignated stock, shares designated	8,001,000	8,001,000
Series A 12% convertible preferred stock, shares authorized	5,000,000	5,000,000
Series A 12% convertible preferred stock, issued	1,377,500	1,377,500
Series A 12% convertible preferred stock, outstanding	1,377,500	1,377,500
Series A 12% convertible preferred stock, liquidation value	$ 1,377,500
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	50,000,000	50,000,000
Common stock, issued	29,280,653	28,825,033
Common stock, outstanding	29,280,653	28,825,033
Series B-1 12% redeemable convertible preferred stock
Convertible preferred stock, shares authorized	900,000	900,000
Convertible preferred stock, shares issued	900,000	900,000
Convertible preferred stock, shares outstanding	900,000	900,000
Convertible preferred stock, redemption value	$ 1,800,000
Convertible preferred stock, liquidation value	$ 1,800,000
Series B-2 12% redeemable convertible preferred stock
Convertible preferred stock, shares authorized	2,100,000	2,100,000
Convertible preferred stock, shares issued	2,100,000	2,100,000
Convertible preferred stock, shares outstanding	2,100,000	2,100,000
Convertible preferred stock, redemption value	$ 4,200,000
Convertible preferred stock, liquidation value	$ 4,200,000
Series C super dividend convertible preferred stock
Convertible preferred stock, shares authorized	1,000	1,000
Convertible preferred stock, shares issued	176	176
Convertible preferred stock, shares outstanding	176	176
Convertible preferred stock, redemption value	$ 6,434,000
Convertible preferred stock, liquidation value	$ 1,760,000

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Operating expenses:
Research and development	$ 4,226	$ 2,600	$ 8,603	$ 5,736
General and administrative	1,305	2,057	3,742	3,761
Total operating expenses	5,531	4,657	12,345	9,497
Total operating loss	(5,531)	(4,657)	(12,345)	(9,497)
Other income (expense):
Interest income	12	14	26	28
Total other income (expense)	12	14	26	28
Net loss	(5,519)	(4,643)	(12,319)	(9,469)
Preferred stock dividends	(250)	(230)	(403)	(421)
Preferred stock accretion	(58)	(58)	(115)	(115)
Net loss applicable to common stockholders	$ (5,827)	$ (4,931)	$ (12,837)	$ (10,005)
Net loss per common share - basic and diluted	$ (0.20)	$ (0.21)	$ (0.44)	$ (0.43)
Weighted average common shares outstanding - basic and diluted	29,023	23,731	29,001	23,398

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (12,319)	$ (9,469)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	3	4
Stock-based compensation expense	1,625	1,734
Changes in operating assets and liabilities:
Prepaid expenses and other assets	315	228
Accounts payable and accrued expenses	2,276	205
Net cash used in operating activities	(8,100)	(7,298)
CASH FLOWS FROM INVESTING ACTIVITIES:
Net cash used in investing activities	0	0
CASH FLOWS FROM FINANCING ACTIVITIES:
Net proceeds from issuance of common stock and warrants	257	4,532
Net cash provided by financing activities	257	4,532
NET DECREASE IN CASH AND CASH EQUIVALENTS	(7,843)	(2,766)
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD	25,846	29,128
CASH AND CASH EQUIVALENTS, END OF PERIOD	18,003	26,362
NONCASH FINANCING ACTIVITIES:
Payment of preferred stock dividends in common stock	$ 403	$ 421

Basis of Presentation

Basis of Presentation	6 Months Ended
	Jun. 30, 2016
Basis of Presentation	1. Basis of Presentation Galectin Therapeutics Inc. (the “Company”) is a clinical stage biopharmaceutical company that is applying its leadership in galectin science and drug development to create new therapies for fibrotic disease and cancer. These candidates are based on the Company’s targeting of galectin proteins which are key mediators of biologic and pathologic function. These compounds also may have application for drugs to treat other diseases and chronic health conditions. The unaudited condensed consolidated financial statements as reported in this Quarterly Report on Form 10-Q reflect all adjustments which are, in the opinion of management, necessary to present fairly the financial position of the Company as of June 30, 2016 and the results of its operations for the three and six months ended June 30, 2016 and 2015 and its cash flows for the six months ended June 30, 2016 and 2015. All adjustments made to the interim financial statements include all those of a normal and recurring nature. The Company considers events or transactions that occur after the balance sheet date but before the financial statements are issued to provide additional evidence relative to certain estimates or to identify matters that require additional disclosure. Subsequent events have been evaluated through the date these financial statements are available to be issued. The results for interim periods are not necessarily indicative of results which may be expected for any other interim period or for the full year. The unaudited condensed consolidated financial statements of the Company should be read in conjunction with its Annual Report on Form 10-K for the year ended December 31, 2015. The Company has operated at a loss since its inception and has had no significant revenues. The Company anticipates that losses will continue for the foreseeable future. At June 30, 2016, the Company had $18.0 million of unrestricted cash and cash equivalents available to fund future operations. The Company believes that with the cash on hand at June 30, 2016, there is sufficient cash to fund currently planned operations through June 30, 2017. The Company’s ability to fund operations after its current cash resources are exhausted depends on its ability to obtain additional financing or achieve profitable operations, as to which no assurances can be given. Accordingly, based on the forecasts and estimates underlying the Company’s current operating plan, the financial statements do not currently include any adjustments that might be necessary if the Company is unable to continue as a going concern. The Company was founded in July 2000, was incorporated in the State of Nevada in January 2001 under the name “Pro-Pharmaceuticals, Inc.,” and changed its name to “Galectin Therapeutics Inc.” on May 26, 2011.

Accrued Expenses

Accrued Expenses	6 Months Ended
	Jun. 30, 2016
Accrued Expenses	2. Accrued Expenses Accrued expenses consist of the following: June 30, December 31, (in thousands) Legal and accounting fees $ 191 $ 123 Accrued compensation 493 626 Accrued research and development costs and other 1,952 96 Total $ 2,636 $ 845

Stock-Based Compensation

Stock-Based Compensation	6 Months Ended
	Jun. 30, 2016
Stock-Based Compensation	3. Stock-Based Compensation Following is the stock-based compensation expense related to common stock options, common stock, restricted common stock and common stock warrants: Three Months Ended Six Months Ended 2016 2015 2016 2015 Research and development $ 179 $ 226 $ 433 $ 543 General and administrative 223 574 1,192 1,191 Total stock-based compensation expense $ 402 $ 800 $ 1,625 $ 1,734 The following table summarizes the stock option activity in the Company’s equity incentive plans, including non-plan grants to Company executives, from December 31, 2015 through June 30, 2016: Shares Weighted Average Outstanding, December 31, 2015 3,342,325 $ 5.70 Granted 277,500 1.37 Exercised — — Options forfeited/cancelled (120,187 ) 3.41 Outstanding, June 30, 2016 3,499,638 $ 5.43 As of June 30, 2016, there was $1,235,000 of unrecognized compensation related to 588,929 unvested options, which is expected to be recognized over a weighted–average period of approximately 1.9 years. The weighted-average grant date fair value for options granted during the three months ended June 30, 2016 and 2015 was $1.05 and $2.78, respectively. The Company granted 277,500 stock options during the three months ended June 30, 2016, of which 69,375 options vested upon grant with the remaining 208,125 options vesting over 3 years. Approximately $73,000 of non-cash, stock-based compensation expense was recorded during the three months ended March 31, 2016 related to the options granted during that quarter that were vested upon the grant date. The fair value of all other options granted is determined using the Black-Scholes option-pricing model. The following weighted average assumptions were used: Six Six 2016 2015 Risk-free interest rate 1.7 % 1.64 % Expected life of the options 6.0 years 6.0 years Expected volatility of the underlying stock 94 % 104 % Expected dividend rate 0 % 0 % The following table summarizes the restricted stock grant activity in the Company’s equity incentive plans from December 31, 2015 through June 30, 2016: Shares Outstanding, December 31, 2015 754,605 Granted — Exercised — Options forfeited/cancelled — Outstanding, June 30, 2016 754,605 On March 12, 2015, the Company granted 81,352 shares of restricted stock to non-employee directors as a component of their compensation. A total of 77,784 shares were issued to seven directors representing non-cash compensation cost of $280,000 which will be recognized on a straight-line basis from the grant date through December 15, 2016, when the restricted shares will vest in full. A total of 3,568 shares were issued to two directors, who were not nominated for reelection, representing non-cash compensation cost of $12,845 that will be recognized on a straight-line basis from the grant date through December 15, 2016, when the restricted shares will vest in full.

Common Stock Warrants

Common Stock Warrants	6 Months Ended
	Jun. 30, 2016
Common Stock Warrants	4. Common Stock Warrants The following table summarizes the common stock warrant activity from December 31, 2015 through June 30, 2016: Shares Weighted Average Outstanding, December 31, 2015 8,908,586 $ 3.18 Granted — — Exercised — — Forfeited/cancelled — — Outstanding, June 30, 2016 8,908,586 $ 3.18

Fair Value of Financial Instrum

Fair Value of Financial Instruments	6 Months Ended
	Jun. 30, 2016
Fair Value of Financial Instruments	5. Fair Value of Financial Instruments The Company has certain financial assets and liabilities recorded at fair value. Fair values determined by Level 1 inputs utilize observable data such as quoted prices in active markets. Fair values determined by Level 2 inputs utilize data points other than quoted prices in active markets that are observable either directly or indirectly. Fair values determined by Level 3 inputs utilize unobservable data points in which there is little or no market data, which require the reporting entity to develop its own assumptions. The carrying amounts reflected in the consolidated balance sheets for cash equivalents, accounts payable and accrued expenses approximate their carrying value due to their short-term nature. There were no level 2 or level 3 assets or liabilities at June 30, 2016 or December 31, 2015.

Loss Per Share

Loss Per Share	6 Months Ended
	Jun. 30, 2016
Loss Per Share	6. Loss Per Share Basic net loss per common share is computed by dividing the net loss available to common stockholders by the weighted average number of common shares outstanding during the period. Diluted net loss per common share is computed by dividing the net loss available to common stockholders by the weighted average number of common shares and other potential common shares then outstanding. Potential common shares consist of common shares issuable upon the assumed exercise of in-the-money stock options and warrants and potential common shares related to the conversion of the preferred stock. The computation of diluted net loss per share does not assume the issuance of common shares that have an anti-dilutive effect on net loss per share. Dilutive shares which could exist pursuant to the exercise of outstanding stock instruments and which were not included in the calculation because their affect would have been anti-dilutive are as follows: June 30, 2016 June 30, 2015 Warrants to purchase shares of common stock 8,908,586 5,370,995 Options to purchase shares of common stock 3,499,638 3,192,325 Shares of common stock issuable upon conversion of preferred stock 2,522,936 2,527,103 Unvested shares of restricted common stock 337,935 337,935 15,269,095 11,428,358

Common Stock

Common Stock	6 Months Ended
	Jun. 30, 2016
Common Stock	7. Common Stock 2014 At Market Issuance of Common Stock On March 30, 2014, the Company entered into an At Market Issuance Sales Agreement (the “2014 At Market Agreement”) with a sales agent under which the Company may issue and sell shares of its common stock having an aggregate offering price of up to $30.0 million from time to time through the sales agent. Sales of the Company’s common stock through the sales agent, if any, will be made by any method that is deemed an “at the market” offering as defined by the U.S. Securities and Exchange Commission. The Company will pay to the sales agent a commission rate equal to 3.0% of the gross proceeds from the sale of any shares of common stock sold through the sales agent under the 2014 At Market Agreement. In the three months ended June 30, 2016, the Company issued 176,950 share of common stock for net proceeds of approximately $257,000 under the 2014 At Market Agreement. In three months ended March 31, 2015, the Company issued 1,279,416 shares of common stock for net proceeds of approximately $4,532,000 under the 2014 At Market Agreement.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2016
Commitments and Contingencies	8. Commitments and Contingencies Shareholder Class Actions and Derivative Lawsuits Between July 30, 2014, and August 6, 2014, three putative class action complaints were filed in the United States District Court for the District of Nevada (the “Nevada District Court”) against the Company and certain of its officers and directors on behalf of all persons who purchased or otherwise acquired the Company’s stock between January 6, 2014 and July 28, 2014. The complaints allege that the defendants made false or misleading statements in certain press releases and other public statements in violation of the federal securities laws and seek class certification, unspecified monetary damages, costs, and attorneys’ fees. The Company disputes the allegations in the complaints and intends to vigorously defend against the claims. On August 22, 2014, the Nevada District Court entered an order consolidating the three cases, relieving the defendants of any obligation to respond to the complaints then on file, and providing that defendants may respond to a consolidated amended complaint to be filed by a lead plaintiff(s) to be appointed pursuant to the Private Securities Litigation Reform Act of 1995. On January 5, 2015, the Nevada District Court granted Defendants’ motion to transfer the consolidated putative securities class action to the United States District Court for the Northern District of Georgia. On March 24, 2015, the Court appointed a lead plaintiff (“Plaintiff’). Plaintiff filed his Consolidated Class Action Complaint (the “Complaint”) on May 8, 2015. The Complaint asserts claims on behalf of a putative class of all persons who purchased or otherwise acquired the Company’s common stock between October 25, 2013 and July 28, 2014. The Complaint alleges that the Company and certain of its officers and directors (the “Class Action Individual Defendants”) violated Section 10(b) of the Securities Exchange Act of 1934 (the “Exchange Act”) and SEC Rule 10b-5 through allegedly false or misleading statements in certain SEC filings, press releases and other public statements. The Complaint further alleges that the Class Action Individual Defendants and one of the Company’s shareholders face liability for the alleged Section 10(b) and Rule 10b-5 violations pursuant to Section 20(a) of the Exchange Act. The Complaint seeks class certification, unspecified monetary damages, costs, and attorneys’ fees. The Company disputes the allegations and filed a motion to dismiss the Complaint on June 26, 2015. On December 30, 2015, the Court dismissed the putative class action with prejudice and entered a final judgment in favor of the defendants. Plaintiff filed a notice of appeal seeking review of the dismissal order and final judgment. The appeal is fully briefed and is currently pending before the United States Court of Appeals for the Eleventh Circuit. On August 1 and 25, 2014, persons claiming to be Galectin shareholders filed putative shareholder derivative complaints in the Nevada District Court, seeking recovery on behalf of the Company against certain of the Company’s directors and officers. On September 10, 2014, the Nevada District Court entered an order consolidating the two cases, relieving the defendants of any obligation to respond to the initial complaints, and providing that defendants may respond to a consolidated complaint to be filed by the plaintiffs. On January 5, 2015, the Nevada District Court granted Defendants’ motion to transfer the consolidated putative derivative litigation to the United States District Court for the Northern District of Georgia (hereinafter referred to as the “Georgia Federal Derivative Action.”) The plaintiffs filed a consolidated complaint on February 27, 2015. On April 6, 2015, the Company and defendants filed motions to dismiss the consolidated complaint. Rather than respond to those motions, the plaintiffs sought and obtained leave to file an amended complaint. Plaintiffs filed their amended complaint (the “Complaint”) on May 26, 2015. The Complaint alleges that certain of the Company’s directors and officers (the “Derivative Action Individual Defendants”) breached their fiduciary duties to the Company’s shareholders by causing or permitting the Company to make allegedly false and misleading public statements concerning the Company’s financial and business prospects. The Complaint also alleges that the Derivative Action Individual Defendants violated the federal securities laws by allegedly making false or misleading statements of material fact in the Company’s proxy filings, committed waste of corporate assets, were unjustly enriched, and that certain defendants breached their fiduciary duties through allegedly improper sales of Galectin stock. In addition, the Complaint alleges that the Derivative Action Individual Defendants and one of the Company’s shareholders aided and abetted the alleged breaches of fiduciary duties. The Complaint seeks unspecified monetary damages on behalf of the Company, corporate governance reforms, disgorgement of profits, benefits and compensation by the defendants, costs, and attorneys ‘and experts’ fees. The Company and defendants filed motions to dismiss the Complaint on July 8, 2015. On December 30, 2015, the United States District Court for the Northern District of Georgia dismissed the Georgia Federal Derivative Action with prejudice and entered a final judgment in favor of the defendants. Plaintiffs filed a notice of appeal seeking review of the dismissal order and final judgment. On July 7, 2016, the United States Court of Appeals for the Eleventh Circuit dismissed the appeal as the Plaintiffs failed to timely file their appeal brief. On August 29, 2014, another alleged Galectin shareholder filed a putative shareholder derivative complaint in state court in Las Vegas, Nevada, seeking recovery on behalf of the Company against the same Galectin directors and officers who are named as defendants in the derivative litigation pending in the Georgia Federal Derivative Action. The plaintiff in the Nevada action subsequently filed first and second amended complaints. The second amended complaint alleges claims for breach of fiduciary duties, unjust enrichment, and waste of corporate assets, based on allegations that are substantially similar to those asserted in the Georgia Federal Derivative Action (except that the Nevada action does not allege violations of the federal securities laws and does not assert any claim against the Galectin shareholder named as a defendant in the Georgia Federal Derivative Action), and seeks unspecified monetary damages on behalf of the Company, corporate governance reforms, disgorgement of profits, benefits and compensation by the defendants, costs, and attorneys’ and experts’ fees. The Company and defendants filed motions to dismiss the second amended complaint on April 22, 2015. On April 29, 2015, the plaintiffs in the Georgia Federal Derivative Action (the “Intervenor Plaintiffs”) filed a motion to intervene in the Nevada action which, among other things, raised questions regarding the Nevada plaintiff’s standing. Thereafter, the Nevada plaintiff filed a motion to join additional plaintiffs. At a hearing held on June 11, 2015, the Nevada court: (i) granted the Intervenor Plaintiffs’ motion to intervene; (ii) directed the Intervenor Plaintiffs to file a complaint in intervention; (iii) directed the Nevada plaintiff to file a motion for leave to file a further amended complaint to add additional plaintiffs; (iv) stated that the defendants’ motions to dismiss the second amended complaint were denied “at this point;” (v) ordered the Nevada action stayed until December 11 , 2015; and (vi) directed the parties to submit a status report on December 11, 2015, updating the court on the progress and status of the Georgia Federal Derivative Action. On July 9, 2015, pursuant to the Nevada State Court’s instruction, the Intervenor Plaintiffs filed a complaint-in-intervention in Nevada State Court, asserting similar claims to the ones they alleged in the Georgia Federal Derivative Action described above. On December 11, 2015, further to the Nevada State Court’s instruction, the parties submitted status reports detailing the status of the Georgia Federal Derivative Action. On January 5, 2016, the Nevada State Court held a status conference during which the dismissal of the Georgia Federal Derivative Action was discussed. Subsequent to that conference, on January 19, 2016, the defendants filed a motion to dismiss the Nevada State Court litigation based on the dismissal of the similar Georgia Federal Derivative Action, among other grounds. Defendants’ motion to dismiss was fully briefed to the Nevada court in February 2016. At a hearing on March 3, 2016, the Nevada State Court granted dismissal of the Nevada State Court litigation pending entry of a final order of dismissal. The Nevada State Court issued its order of dismissal on April 1, 2016. Defendants thereafter filed a motion requesting that the Nevada State Court correct certain language in the dismissal order. In an order dated June 10, 2016, the Nevada State Court denied Defendants’ motion seeking correction of certain language in the dismissal order. On June 21, 2016, Notice of Entry of the Nevada State Court’s order dismissing the Nevada State Court litigation was docketed. The Nevada plaintiff and Intervenor Plaintiffs have filed notices of appeal seeking review of the Nevada State Court’s dismissal order. Estimating an amount or range of possible losses resulting from litigation proceedings is inherently difficult and requires an extensive degree of judgment, particularly where the matters involve indeterminate claims for monetary damages, are in the early stages of the proceedings, and are subject to appeal. In addition, because most legal proceedings are resolved over extended periods of time, potential losses are subject to change due to, among other things, new developments, changes in legal strategy, the outcome of intermediate procedural and substantive rulings and other parties’ settlement posture and their evaluation of the strength or weakness of their case against us. For these reasons, we are currently unable to predict the ultimate timing or outcome of, or reasonably estimate the possible losses or a range of possible losses resulting from, the matters described above. Based on information currently available, the Company does not believe that any reasonably possible losses arising from currently pending legal matters will be material to the Company’s results of operations or financial condition. However, in light of the inherent uncertainties involved in such matters, an adverse outcome in one or more of these matters could materially and adversely affect the Company’s financial condition, results of operations or cash flows in any particular reporting period. Other Legal Proceedings The Company records accruals for such contingencies to the extent that the Company concludes that their occurrence is probable and the related damages are estimable. There are no other pending legal proceedings except as noted above.

Galectin Sciences LLC

Galectin Sciences LLC	6 Months Ended
	Jun. 30, 2016
Galectin Sciences LLC	9. Galectin Sciences LLC In January 2014, we created Galectin Sciences, LLC (the “LLC” or “Investee”), a collaborative joint venture co-owned by SBH Sciences, Inc. (“SBH”), to research and develop small organic molecule inhibitors of galectin-3 for oral administration. The LLC was initially capitalized with a $400,000 cash investment to fund future research and development activities, which was provided by the Company, and specific in-process research and development (“IPR&D”) contributed by SBH. The estimated fair value of the IPR&D contributed by SBH, on the date of contribution, was $400,000. Initially, the Company and SBH had a 50% equity ownership interest in the LLC, with neither party having control over the LLC. Accordingly, from inception through the fourth quarter of 2014, the Company accounted for its investment in the LLC using the equity method of accounting. Under the equity method of accounting, the Company’s investment was initially recorded at cost with subsequent adjustments to the carrying value to recognize additional investments in or distributions from the Investee, as well as the Company’s share of the Investee’s earnings, losses and/or changes in capital. The estimated fair value of the IPR&D contributed to the LLC was immediately expensed upon contribution as there was no alternative future use available at the point of contribution. The operating agreement provides that if either party does not desire to contribute its equal share of funding required after the initial capitalization, then the other party, providing all of the funding, will have its ownership share increased in proportion to the total amount contributed from inception. In the fourth quarter of 2014, after the LLC had expended the $400,000 in cash, SBH decided not to contribute its share of the funding required. As a result, the Company contributed the $73,000 needed for the fourth quarter of 2014 expenses of the LLC. As a result, the Company’s ownership percentage in the LLC was 54.2% at December 31, 2014. The Company contributed $687,000 for the LLC expenses in 2015 adjusting the Company’s ownership percentage to 74.7% at December 31, 2015. The Company also contributed $441,000 for the LLC expenses in the six months ended June 30, 2016 which adjusted the Company’s ownership percentage to 80.2% at June 30, 2016. The Company accounts for the interest in the LLC as a consolidated, less than wholly owned subsidiary. Because the LLC’s equity is immaterial, the value of the non-controlling interest is also deemed to be immaterial.

Recent Account Pronouncements

Recent Account Pronouncements	6 Months Ended
	Jun. 30, 2016
Recent Account Pronouncements	10. Recent Account Pronouncements In March 2016, the FASB issued ASU No. 2016-09, Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting. The new standard requires recognition of the income tax effects of vested or settled awards in the income statement and involves several other aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities and classification on the statement of cash flows. The new standard will be effective for us on January 1, 2017. This standard is not expected to have a material impact on our financial position, results of operations or statements of cash flows upon adoption.

Accrued Expenses (Tables)

Accrued Expenses (Tables)	6 Months Ended
	Jun. 30, 2016
Accrued Expenses	Accrued expenses consist of the following: June 30, December 31, (in thousands) Legal and accounting fees $ 191 $ 123 Accrued compensation 493 626 Accrued research and development costs and other 1,952 96 Total $ 2,636 $ 845

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2016
Stock-Based Compensation Expense Related to Common Stock Options, Common Stock, Restricted Common Stock and Common Stock Warrants	Following is the stock-based compensation expense related to common stock options, common stock, restricted common stock and common stock warrants: Three Months Ended Six Months Ended 2016 2015 2016 2015 Research and development $ 179 $ 226 $ 433 $ 543 General and administrative 223 574 1,192 1,191 Total stock-based compensation expense $ 402 $ 800 $ 1,625 $ 1,734
Summary of Stock Option Activity	The following table summarizes the stock option activity in the Company’s equity incentive plans, including non-plan grants to Company executives, from December 31, 2015 through June 30, 2016: Shares Weighted Average Outstanding, December 31, 2015 3,342,325 $ 5.70 Granted 277,500 1.37 Exercised — — Options forfeited/cancelled (120,187 ) 3.41 Outstanding, June 30, 2016 3,499,638 $ 5.43
Weighted Average Assumptions Used to Determine Fair Value of Options Granted	The fair value of all other options granted is determined using the Black-Scholes option-pricing model. The following weighted average assumptions were used: Six Six 2016 2015 Risk-free interest rate 1.7 % 1.64 % Expected life of the options 6.0 years 6.0 years Expected volatility of the underlying stock 94 % 104 % Expected dividend rate 0 % 0 %
Summary of Restricted Stock Grant Activity	The following table summarizes the restricted stock grant activity in the Company’s equity incentive plans from December 31, 2015 through June 30, 2016: Shares Outstanding, December 31, 2015 754,605 Granted — Exercised — Options forfeited/cancelled — Outstanding, June 30, 2016 754,605

Common Stock Warrants (Tables)

Common Stock Warrants (Tables)	6 Months Ended
	Jun. 30, 2016
Common Stock Warrant Activity	The following table summarizes the common stock warrant activity from December 31, 2015 through June 30, 2016: Shares Weighted Average Outstanding, December 31, 2015 8,908,586 $ 3.18 Granted — — Exercised — — Forfeited/cancelled — — Outstanding, June 30, 2016 8,908,586 $ 3.18

Loss Per Share (Tables)

Loss Per Share (Tables)	6 Months Ended
	Jun. 30, 2016
Dilutive Shares Which Could Exist Pursuant to Exercise of Outstanding Stock Instruments and Which were not Included in Calculation	Dilutive shares which could exist pursuant to the exercise of outstanding stock instruments and which were not included in the calculation because their affect would have been anti-dilutive are as follows: June 30, 2016 June 30, 2015 Warrants to purchase shares of common stock 8,908,586 5,370,995 Options to purchase shares of common stock 3,499,638 3,192,325 Shares of common stock issuable upon conversion of preferred stock 2,522,936 2,527,103 Unvested shares of restricted common stock 337,935 337,935 15,269,095 11,428,358

Basis of Presentation - Additio

Basis of Presentation - Additional Information (Detail) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015	Jun. 30, 2015	Dec. 31, 2014
Basis of Presentation [Line Items]
Unrestricted cash and cash equivalents	$ 18,003	$ 25,846	$ 26,362	$ 29,128

Accrued Expenses (Detail)

Accrued Expenses (Detail) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2016	Dec. 31, 2015
Schedule of Accrued Liabilities [Line Items]
Legal and accounting fees	$ 191	$ 123
Accrued compensation	493	626
Accrued research and development costs and other	1,952	96
Total	$ 2,636	$ 845

Stock-Based Compensation Expens

Stock-Based Compensation Expense Related to Common Stock Options, Restricted Common Stock and Common Stock Warrants (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	$ 402	$ 800	$ 1,625	$ 1,734
Research and development
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	179	226	433	543
General and administrative
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Stock-based compensation expense	$ 223	$ 574	$ 1,192	$ 1,191

Summary of Stock Option Activit

Summary of Stock Option Activity (Detail) - $ / shares	3 Months Ended	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2016
Shares
Beginning Balance		3,342,325
Granted	277,500	277,500
Exercised		0
Options forfeited/cancelled		(120,187)
Ending Balance	3,499,638	3,499,638
Weighted Average Exercise Price
Beginning Balance		$ 5.70
Granted		1.37
Exercised		0
Options forfeited/cancelled		3.41
Ending Balance	$ 5.43	$ 5.43

Stock-Based Compensation - Addi

Stock-Based Compensation - Additional Information (Detail)	Mar. 12, 2015USD ($)Directorshares	Jun. 30, 2016USD ($)$ / sharesshares	Mar. 31, 2016USD ($)	Jun. 30, 2015USD ($)$ / shares	Jun. 30, 2016USD ($)shares	Jun. 30, 2015USD ($)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost | $		$ 1,235,000			$ 1,235,000
Unvested option		588,929			588,929
Unrecognized compensation cost, recognition period					1 year 10 months 24 days
Weighted-average grant-date fair values of options granted | $ / shares		$ 1.05		$ 2.78
Number of options granted		277,500			277,500
Number of options vested		69,375
Stock-based compensation expense | $		$ 402,000		$ 800,000	$ 1,625,000	$ 1,734,000
Options vesting over 3 years
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unvested option		208,125			208,125
Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock awards granted	81,352				0
Restricted Stock | Non Employees Seven Board Of Directors
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock awards granted	77,784
Number of non-employee directors | Director	7
Non-cash stock-based compensation expense to be recognized | $	$ 280,000
Share based compensation, cliff vest in full date	Dec. 15, 2016
Restricted Stock | Non Employees Two Board Of Directors
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Restricted stock awards granted	3,568
Number of non-employee directors | Director	2
Non-cash stock-based compensation expense to be recognized | $	$ 12,845
Share based compensation, cliff vest in full date	Dec. 15, 2016
Stock Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Options vesting period		3 years
Stock-based compensation expense | $			$ 73,000

Weighted Average Assumptions Us

Weighted Average Assumptions Used to Determine Fair Value of Options Granted (Detail)	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Risk-free interest rate	1.70%	1.64%
Expected life of the options	6 years	6 years
Expected volatility of the underlying stock	94.00%	104.00%
Expected dividend rate	0.00%	0.00%

Summary of Restricted Stock Gra

Summary of Restricted Stock Grant Activity (Detail) - Restricted Stock - shares	Mar. 12, 2015	Jun. 30, 2016
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Beginning Balance		754,605
Granted	81,352	0
Exercised		0
Options forfeited/cancelled		0
Ending Balance		754,605

Common Stock Warrant Activity (

Common Stock Warrant Activity (Detail) - Warrant	6 Months Ended
	Jun. 30, 2016$ / sharesshares
Shares
Beginning Balance | shares	8,908,586
Granted | shares	0
Exercised | shares	0
Forfeited/cancelled | shares	0
Ending Balance | shares	8,908,586
Weighted Average Exercise Price
Outstanding, December 31, 2015 | $ / shares	$ 3.18
Granted | $ / shares	0
Exercised | $ / shares	0
Forfeited/cancelled | $ / shares	0
Outstanding, June 30, 2016 | $ / shares	$ 3.18

Dilutive Shares Which Could Exi

Dilutive Shares Which Could Exist Pursuant to Exercise of Outstanding Stock Instruments and Which were not Included in Calculation (Detail) - shares	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Dilutive shares not included in calculation	15,269,095	11,428,358
Warrant
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Dilutive shares not included in calculation	8,908,586	5,370,995
Stock Options
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Dilutive shares not included in calculation	3,499,638	3,192,325
Contingently Issuable Shares
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Dilutive shares not included in calculation	2,522,936	2,527,103
Restricted Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Dilutive shares not included in calculation	337,935	337,935

Common Stock - Additional Infor

Common Stock - Additional Information (Detail) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Mar. 31, 2015	Jun. 30, 2016	Jun. 30, 2015	Mar. 30, 2014
Class of Stock [Line Items]
Net proceeds from issuance of common stock			$ 257,000	$ 4,532,000
2014 At Market Agreement
Class of Stock [Line Items]
Aggregate offering price					$ 30,000,000
Commission to sales agent as a percentage of gross proceeds					3.00%
Shares of common stock issued	176,950	1,279,416
Net proceeds from issuance of common stock	$ 257,000	$ 4,532,000

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Detail)	Aug. 06, 2014LegalMatter
Commitment And Contingencies [Line Items]
Number of putative class action complaints filed	3

Galectin Science LLC - Addition

Galectin Science LLC - Additional Information (Detail) - Galectin Sciences, LLC - USD ($)	1 Months Ended	3 Months Ended	6 Months Ended	12 Months Ended
	Jan. 31, 2014	Dec. 31, 2014	Jun. 30, 2016	Dec. 31, 2015	Dec. 31, 2014
Investments in and Advances to Affiliates [Line Items]
Equity method investment in Galectin Sciences LLC	$ 400,000
Subsequent capital contribution		$ 73,000	$ 441,000	$ 687,000
Equity Method Investment, Ownership Percentage	50.00%		80.20%	74.70%
Ownership Percentage					54.20%
SBH Sciences, Inc | In Process Research and Development
Investments in and Advances to Affiliates [Line Items]
Estimated fair value of the IPR&D Contributed by SBH	$ 400,000