EPIRUS Biopharmaceuticals (EPRSQ) 10-Q 12 Aug 15 2015 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2015	Aug. 10, 2015
Property and Equipment, Net
Entity Registrant Name	EPIRUS Biopharmaceuticals, Inc.
Entity Central Index Key	1,135,906
Document Type	10-Q
Document Period End Date	Jun. 30, 2015
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		23,567,796
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q2

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 58,288	$ 21,462
Prepaid expenses and other current assets	1,125	1,556
Total current assets	59,413	23,018
Property and equipment, net	673	704
In-process research and development	5,500	5,500
Intangible assets, net	3,492	3,605
Goodwill	16,363	16,363
Restricted cash	1,825	1,825
Other assets	215	374
Total assets	87,481	51,389
Current liabilities:
Accounts payable	1,860	2,483
Accrued expenses	5,268	4,101
Short term debt, net of debt discount	896
Deferred revenue	38	50
Current portion of settlement obligation	970
Other current liabilities	516	557
Deferred tax benefit	185	185
Total current liabilities	9,733	7,376
Long term debt, net of debt discount	13,918	7,282
Deferred revenue, net of current portion	1,192	946
Settlement obligation, net of current portion	463
Deferred tax liability	2,166	2,166
Deferred tax benefit, net of current portion	461	553
Other non-current liabilities	$ 440	$ 665
Commitments and contingencies (Note 13)
Stockholders' equity:
Preferred stock $0.001 par value; Authorized - 5,000,000 shares; Issued and Outstanding - 0 shares at June 30,2015 and December 31, 2014
Common stock, $0.001 par value; Authorized--75,000,000 and 300,000,000 shares at June 30, 2015 and December 31, 2014, respectively; Issued-- 23,528,110 and 12,934,102 shares at June 30, 2015 and December 31, 2014, respectively; Outstanding--23,514,851 and 12,920,843 shares at June 30, 2015 and December 31, 2014, respectively	$ 24	$ 13
Additional paid-in capital	168,462	118,959
Accumulated deficit	(109,378)	(86,571)
Total stockholders' equity	59,108	32,401
Total liabilities, convertible preferred stock and stockholders' equity	$ 87,481	$ 51,389

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2015	Dec. 31, 2014
Condensed Consolidated Balance Sheets
Preferred stock, par value	$ 0.001	$ 0.001
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	70,000,000	300,000,000
Common stock, shares issued	23,528,110	12,934,102
Common stock, shares outstanding	23,514,851	12,920,843

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Revenues:
Revenue	$ 45		$ 70
Operating expenses:
Research and development	8,275	$ 2,587	11,354	$ 6,091
General and administrative	6,783	6,361	10,951	9,079
Total operating expenses	15,058	8,948	22,305	15,170
Loss from operations	(15,013)	(8,948)	(22,235)	(15,170)
Other income (expense):
Interest expense, net	(315)	(1,172)	(596)	(2,391)
Change in fair value of warrant liability		(99)		(199)
Other income (expense), net	(1)	282	(31)	289
Total other (expense), net	(316)	(989)	(627)	(2,301)
Loss before income taxes	(15,329)	(9,937)	(22,862)	(17,471)
Benefit (loss) from income taxes	43	47	55	(39)
Net loss	$ (15,286)	$ (9,890)	$ (22,807)	$ (17,510)
Net loss per share - basic and diluted	$ (0.65)	$ (28.71)	$ (1.07)	$ (57.54)
Weighted average number of common shares used in net loss per share calculation--basic and diluted	23,514,851	344,517	21,411,437	304,288
Comprehensive loss	$ (15,286)	$ (9,890)	$ (22,807)	$ (17,510)

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Cash flows from operating activities:
Net loss	$ (22,807)	$ (17,510)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	189	21
Non-cash interest expense	292	2,349
Stock-based compensation and vesting of restricted stock	1,307	371
Deferred rent and lease incentive activity	(28)
Loss on disposal of property and equipment	1
Deferred taxes	(92)	(92)
Extinguishment of convertible notes		(22)
Change in fair value of warrants		199
Changes in operating assets and liabilities:
Prepaid expenses and other current assets	271	(428)
Other non-current assets	155
Accounts payable	(623)	2,187
Accrued expenses and other current liabilities	1,030	103
Other non-current liabilities	(197)
Deferred revenue	234	750
Settlement obligation	1,433
Net cash used in operating activities	(18,835)	(12,072)
Cash flows from investing activities:
Purchases of property and equipment	(46)	(35)
Net cash used in investing activities	(46)	(35)
Cash flows from financing activities
Proceeds from the issuance of common stock, net of costs	47,962
Proceeds from the issuance of debt, net of fees paid to lender	7,500
Proceeds from the issuance of preferred stock , net of costs		30,478
Proceeds from the issuance of convertible notes		5,000
Proceeds from the exercise of common stock options	245	82
Proceeds from the exercise of preferred stock warrants		333
Net cash provided by financing activities	55,707	35,893
Net increase in cash and cash equivalents	36,826	23,786
Cash and cash equivalents - Beginning of period	21,462	1,798
Cash and cash equivalents - End of period	58,288	25,584
Supplemental disclosure of cash flow information
Cash paid for interest	306
Cash paid for income taxes	$ 37
Supplemental schedule of non-cash investing and financing activities:
Conversion of convertible debt and accrued interest into preferred stock and warrants		13,184
Extinguishment of convertible debt and accrued interest into preferred stock		5,013
Exercise of warrants into preferred stock		$ 7,095

Organization

Organization	6 Months Ended
	Jun. 30, 2015
Organization
Organization	1. Organization On July 15, 2014, EPIRUS Biopharmaceuticals, Inc., a Delaware corporation and private company (“Private Epirus”), completed its merger with EB Sub, Inc., formerly known as BRunning, Inc., a wholly-owned subsidiary of Zalicus Inc., a Delaware corporation (“Zalicus”) (the “Merger”). As part of the Merger, Zalicus was renamed EPIRUS Biopharmaceuticals, Inc. (“Public Epirus”) and Private Epirus was renamed EB Sub, Inc. (“EB Sub”). The boards of directors of Private Epirus and Zalicus approved the Merger on April 15, 2014, and the stockholders of Private Epirus and Zalicus approved the Merger and related matters on July 15, 2014. Following completion of the Merger, EB Sub, Inc. (formerly Private Epirus), is the surviving corporation of the Merger and a wholly-owned subsidiary of Public Epirus. The historical financial statements of Private Epirus have become the historical financial statements of Public Epirus, or the combined company, and are included in this quarterly report on Form 10-Q. The terms “Company” and “Epirus” as used in these notes to consolidated financial statements refer to Private Epirus and its subsidiaries prior to the completion of the Merger and to Public Epirus and its subsidiaries subsequent to the completion of the Merger. The Company is a biopharmaceutical company focused on building a pure-play, sustainable and profitable biosimilar business by improving patient access to these important, cost-effective medicines worldwide. Biosimilars are highly similar versions of approved patented biological drug products, referred to as reference or innovator products. Building a pure-play biosimilar company requires strong technical capabilities. The Company is a global company with an experienced product development team based in Boston, Massachusetts and a robust clinical, regulatory and business development infrastructure based in Zug, Switzerland. The Company’s strategy for biosimilars relies on global partnerships and distinct strategies to address the diverse and evolving regulatory, legal and commercial landscape. The Company seeks to build a sustainable platform focusing on a therapeutically-focused pipeline of Immunoglobulin G (IgG), Chinese Hamster Ovary (CHO) cell derived monoclonal antibodies, or MAbs. The Company’s pipeline of product candidates includes BOW015, a biosimilar version of Remicade ® (infliximab), BOW050, a biosimilar version of Humira ® (adalimumab) and BOW070, a biosimilar version of Actemra ® (tocilizumab). For the Company’s lead product candidate, BOW015, the Company has reported bioequivalence and efficacy data from a Phase 1 clinical trial in the United Kingdom and a Phase 3 clinical trial in India, both of which demonstrated the equivalence of BOW015 to Remicade. The Company also announced positive 58 week follow up data from the Phase 3 trial. In this open label phase, the Company demonstrated that patients can be safely initiated and effectively maintained on BOW015 for 58 weeks, and that patients can be safely switched from Remicade to BOW015 and effectively maintained out to 58 weeks. The Company intends to initiate a global clinical program for BOW015 in late 2015 or early 2016. The Company has been designing this clinical program in consultation with European regulatory bodies in order to obtain the data necessary to support eventual approval of BOW015 in North America and Europe. In collaboration with the Company’s commercialization partner Sun Pharmaceutical Industries Ltd., formerly known as Ranbaxy Laboratories Limited, (“Sun”), the Company launched BOW015 in India in November 2014. BOW015 is sold under the brand name Infimab TM and is the first infliximab biosimilar approved in India. The Company expects to utilize its existing regulatory data package to gain regulatory approval for BOW015 in additional countries. In May 2015, the Company entered into a development and future distribution agreement with mAbxience S.A., a company organized and existing under the laws of Uruguay and a wholly owned subsidiary of CHEMO Group (“Mabxience”), for BOW015 in Latin American markets, including Argentina, Chile, Ecuador, Paraguay, Uruguay and Venezuela. The Company has an established partnership with Livzon Mabpharm Inc. for the production of biosimilars for China and associated markets. In July 2015, the Company also entered into an agreement with Swiss Pharma International AG, an affiliate of Pharmaceutical Works Polpharma S.A. (together with Swiss Pharma International AG, “Polpharma”), for the development and commercialization of BOW015, BOW050 and BOW070 in certain designated territories, including most of the European Union, certain countries in the Middle East, Turkey, Russia, and other countries comprising the Commonwealth of Independent States. The Company is also pursuing development and commercial partnerships in the United States, Brazil, and elsewhere.

Basis of Presentation and Use o

Basis of Presentation and Use of Estimates	6 Months Ended
	Jun. 30, 2015
Basis of Presentation and Use of Estimates
Basis of Presentation and Use of Estimates	2. Basis of Presentation and Use of Estimates The accompanying unaudited condensed consolidated financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial reporting and as required by Regulation S-X, Rule 10-01. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (including those which are normal and recurring) considered necessary for a fair presentation of the interim financial information have been included. When preparing financial statements in conformity with GAAP, the Company must make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues, expenses and related disclosures at the date of the financial statements. Actual results could differ from those estimates. Additionally, operating results for the three and six months ended June 30, 2015 are not necessarily indicative of the results that may be expected for any other interim period or for the fiscal year ending December 31, 2015. For further information, refer to the consolidated financial statements and footnotes included in the Company’s annual consolidated financial statements for the year ended December 31, 2014, which are included in the Company’s annual report on Form 10-K filed with the Securities and Exchange Commission (“SEC”) on March 31, 2015.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2015
Summary of Significant Accounting Policies
Summary of Significant Accounting Policies	3. Summary of Significant Accounting Policies In the three and six months ended June 30, 2015, there were no changes to the Company’s significant accounting policies identified in the Company’s most recent annual consolidated financial statements for the fiscal year ended December 31, 2014, which are included in the Company’s annual report on Form 10-K filed with the SEC on March 31, 2015. Principles of Consolidation The consolidated financial statements include the accounts of Epirus and its wholly owned subsidiaries: EB Sub, Inc., a Delaware Corporation, Epirus Biopharmaceuticals Ltd., a United Kingdom corporation, Epirus Switzerland GmbH, a Swiss corporation, Epirus Brasil Tecnologia Ltda, a Brazilian corporation, and Zalicus Pharmaceuticals Ltd., a Canadian corporation. All significant intercompany balances and transactions have been eliminated in consolidation. Merger and Exchange Ratio The Merger has been accounted for as a “reverse merger” under the acquisition method of accounting for business combinations with Private Epirus treated as the accounting acquirer of Zalicus. The historical financial statements of Private Epirus have become the historical financial statements of Public Epirus, or the combined company, and are included in this quarterly report on Form 10-Q. Since the Merger, costs related to Zalicus operations have been immaterial. As a result of the Merger, historical common stock, stock options and additional paid-in capital, including share and per share amounts, have been retroactively adjusted to reflect the equity structure of Public Epirus, including the effect of the Merger exchange ratio and the Public Epirus common stock par value of $0.001 per share. See Note 5, “Merger,” for additional discussion of the Merger and the exchange ratio. Reverse Stock Split On July 16, 2014, Public Epirus effected a 1-for-10 reverse stock split of its outstanding common stock, par value $0.001 per share (“Public Epirus Common Stock”) (the “Reverse Stock Split”). The accompanying consolidated financial statements and these notes to consolidated financial statements, including the Merger exchange ratio applied to historical Private Epirus common stock and stock options, give retroactive effect to the Reverse Stock Split for all periods presented. The shares of Public Epirus Common Stock retained a par value of $0.001 per share. See Note 5, “Merger,” for additional discussion of the Merger and the exchange ratio. Impairment of Long-Lived Assets Long-lived assets, including finite-lived intangible assets, to be held and used are reviewed for impairment when events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. Indefinite lived intangible assets are also tested at least annually for impairment. Determination of the recoverability of long-lived assets, including finite-lived intangible assets is based on an estimate of undiscounted future cash flows resulting from the use of the asset and its eventual disposition. In the event that such cash flows are not expected to be sufficient to recover the carrying amount of the assets, the assets are written down to their estimated fair values. During the three and six months ended June 30, 2015, the Company determined that there was no impairment of any of its long-lived assets, including indefinite and finite-lived intangible assets. Recent Accounting Pronouncements Revenue Recognition In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers , which amends the guidance for accounting for revenue from contracts with customers. This ASU supersedes the revenue recognition requirements in Accounting Standards Codification (“ASC”) Topic 605, Revenue Recognition , and creates a new Topic 606, Revenue from Contracts with Customers . In July 2015, the FASB approved a one-year deferral of the effective date of ASU 2014-09. This ASU will be effective for annual and interim periods beginning on or after December 15, 2017. Early adoption is permitted, however not before the original effective date of annual periods beginning after December 15, 2016. Two adoption methods are permitted: retrospectively to all prior reporting periods presented, with certain practical expedients permitted; or retrospectively with the cumulative effect of initially adopting the ASU recognized at the date of initial application. The Company has not yet determined which adoption method it will utilize or the effect that the adoption of this guidance will have on its consolidated financial statements. Debt Issuance Costs In April 2015, the FASB issued ASU No. 2015-03, Interest—Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs , which requires that debt issuance costs be presented in the balance sheet as a deduction from the carrying amount of the related liability, rather than as a deferred charge. The updated guidance is effective retroactively for financial statements covering fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. Early adoption is permitted, but the Company does not anticipate electing early adoption. The Company is currently evaluating the impact of the adoption of this guidance on its consolidated financial statements. Technical Corrections and Improvements In June 2015, the FASB issued ASU No. 2015-10, Technical Corrections and Improvements . ASU 2015-10 covers a wide range of Topics in the ASC. The amendments in this ASU represent changes to clarify the ASC, correct unintended application of guidance, or make minor improvements to the ASC that are not expected to have a significant effect on current accounting practice or create a significant administrative cost to most entities. Additionally, some of the amendments will make the ASC easier to understand and easier to apply by eliminating inconsistencies, providing needed clarifications, and improving the presentation of guidance in the ASC. The amendments in ASU 2015-10 that require transition guidance are effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. All other amendments will be effective upon the issuance of this ASU. The Company does not anticipate that the adoption of this standard will have a material impact on its consolidated financial statements and footnote disclosures.

Business Agreements

Business Agreements	6 Months Ended
	Jun. 30, 2015
Business Agreements
Business Agreements	4. Business Agreements Sun Pharmaceutical Industries (formerly known as Ranbaxy Laboratories) For the three and six months ended June 30, 2015, the Company recorded royalty revenue of $36 and $54, respectively, related to commercial sales of the Company’s product, Infimab, which the Company launched with its commercialization partner Sun during the fourth quarter of 2014. As of June 30, 2015, all royalty payments have been received. Sun made an upfront payment of $500 upon the execution of the license agreement by and between the Company and Sun, dated as of January 3, 2014 and as amended from time to time (the “License Agreement”) and is obligated to pay the Company up to $1,000 if certain development and regulatory approval milestones are achieved and up to $10,000 if certain sales milestones are achieved. Under certain circumstances of uncured breach by the Company and termination of the License Agreement by Sun, monetary damages of $500 would be due to Sun. The Company has invoiced Sun for a total of $1,250 in milestone payments, including the upfront payment, and received payments totaling $1,250 through June 30, 2015. Mabxience, S.A. On May 13, 2015, the Company entered into an Exclusive License Agreement (the “MabX Agreement”) with Mabxience for the development, manufacturing and commercialization of BOW015. Under the MabX Agreement, the Company licensed to Mabxience an exclusive, royalty-bearing, non-transferable, sublicenseable license to develop, manufacture, commercialize and distribute BOW015 in the Mabxience territory. The Mabxience territory consists of Argentina, Chile, Ecuador, Paraguay, Uruguay and Venezuela. Pursuant to the MabX Agreement, Mabxience will be solely responsible, at its expense, for all aspects of commercialization of licensed product in the Mabxience territory. As consideration for the license granted to Mabxience, the Company is eligible to receive certain non-refundable, non-creditable milestone payments up to $1.5 million upon the achievement of certain commercial sales in the Mabxience territory. In addition, the Company is eligible to receive certain royalty payments in the high teen percentages and distribution payments from Mabxience. These potential milestone and royalty payments have not been earned as of June 30, 2015. If not terminated earlier or extended by mutual agreement of the parties, the MabX Agreement expires in its entirety upon the fifteenth (15) anniversary of the first commercial sale of BOW015 in the Mabxience territory.

Merger

Merger	6 Months Ended
	Jun. 30, 2015
Merger
Merger	5. Merger As described in Note 1, “Organization,” on July 15, 2014 (the “Effective Time”), the Company completed the Merger with Zalicus. Pursuant to the Merger Agreement, each share of capital stock of Private Epirus was exchanged for 0.13259 shares of Public Epirus Common Stock (the “Exchange Ratio”). All Private Epirus stock options granted under the Private Epirus stock option plans (whether or not then exercisable) that were outstanding prior to the effective time of the Merger and all warrants to purchase Private Epirus capital stock that were outstanding prior to the effective time of the Merger were exchanged at the same ratio as described below. Upon the consummation of the Merger, equity holders of Private Epirus were issued an aggregate of 10,288,180 shares of Public Epirus Common Stock, plus 1,152,042 and 21,996 shares of Public Epirus Common Stock which could be issued in the future upon exercise of stock options and warrants, respectively. After the Effective Time, all outstanding and unexercised Private Epirus stock options assumed by Zalicus were exercised solely for shares of Public Epirus Common Stock and all outstanding and unexercised warrants to purchase Private Epirus capital stock were exercised solely for shares of Public Epirus Common Stock. The number of shares of Public Epirus Common Stock subject to each Private Epirus stock option or warrant assumed by Zalicus was determined by multiplying (a) the number of shares of Private Epirus common stock that were subject to such Private Epirus stock option or warrant, as in effect immediately prior to the Effective Time, by (b) the Exchange Ratio, and rounding the resulting number down to the nearest whole number of shares of Public Epirus Common Stock. The per share exercise price for the Public Epirus Common Stock issuable upon exercise of each Private Epirus stock option or warrant assumed by Zalicus was determined by dividing (a) the per share exercise price of Private Epirus common stock subject to such Private Epirus stock option or warrant, as in effect immediately prior to the Effective Time, by (b) the Exchange Ratio and rounding the resulting exercise price up to the nearest whole cent. All Zalicus equity awards granted prior to the Merger remained legally outstanding. The Merger was accounted for as a reverse acquisition under the acquisition method of accounting with Private Epirus treated as the accounting acquirer and Zalicus treated as the acquired company for financial reporting purposes. Private Epirus was determined to be the accounting acquirer based upon the terms of the Merger and other factors, such as relative voting rights and the composition of the combined company’s board of directors and senior management. Accordingly, the Zalicus tangible and identifiable intangible assets acquired and liabilities assumed were recorded at fair value as of the date of acquisition, with the excess consideration transferred recorded as goodwill. See Note 11, “Stock-Based Compensation,” for additional details regarding the accounting treatment for the equity awards of Private Epirus and Zalicus. The acquisition-date fair value of the consideration transferred is as follows: Number of shares of Public Epirus Common Stock owned by Zalicus stockholders (1) Multiplied by the price per share of Public Epirus Common Stock (2) $ Fair value of shares of Public Epirus Common Stock owned by Zalicus stockholders $ Acquisition-date fair value of assumed Zalicus equity awards attributable to precombination services (3) $ Total consideration transferred $ (1) The stock transferred in the table above is comprised of 2,610,871 common shares outstanding at the time of the Merger plus 25,000 restricted stock units (RSUs) that vested immediately upon the closing of the Merger. The fair value of shares of Public Epirus Common Stock owned by Zalicus shareholders of $31,104 includes approximately $1 related to fractional shares resulting from the Reverse Stock Split. (2) The shares outstanding are multiplied by the closing trading price of Public Epirus Common Stock as of the Merger date. (3) Consideration transferred includes approximately $220 of Zalicus equity awards assumed and deemed attributable to precombination services to Zalicus. The fair value of the equity awards at July 15, 2014 was determined using a Black-Scholes option-pricing model with the following ranges of assumptions: exercise price of $14.70 per share to $591.00 per share; underlying stock value of $11.80 per share; expected volatility of 66.02%; expected term of 0.1 years to 6.0 years; and risk-free interest rate of 1.91%. The following table summarizes the estimated fair values of the assets acquired and liabilities assumed at the date of acquisition: July 15, 2014 Cash and cash equivalents $ In-process research and development Goodwill Restricted cash Other assets Total assets acquired Accounts payable ) Accrued expenses ) Other current liabilities ) Other liabilities ) Deferred tax liabilities ) Toal liabilities assumed ) Total net assets acquired $ The purchase price allocation was prepared on a preliminary basis and is subject to change as additional information becomes available concerning the tax basis of the assets acquired and the liabilities assumed. Any adjustments to the purchase price allocation as a result of a change in tax basis or rates will be made as soon as practicable but no later than one year from July 15, 2014, the acquisition date. For acquired working capital accounts such as accounts receivable, prepaid expenses and other current assets, accounts payable and certain accrued expenses, the Company determined that no fair value adjustments were required due to the short timeframe until settlement for these assets and liabilities. The fair value of the in-process research and development (“IPR&D”) was determined using the multi-period excess earnings method, a variation of the income approach, including a discount rate of 13.1% applied to the projected cash flows. The Company believes the assumptions used were consistent and representative of those a market participant would use in estimating the fair value of the IPR&D. The Company will not begin amortizing the IPR&D asset until the research and development is complete and the asset is reclassified to a definite-lived amortizing asset. Goodwill was calculated as the difference between the acquisition-date fair value of the consideration transferred and the fair values of the assets acquired and liabilities assumed. The goodwill is not expected to be deductible for income tax purposes. Goodwill was recorded as an indefinite-lived asset and is not currently being amortized but is tested for impairment on an annual basis or when indications of impairment exist. Other liabilities of $391 and $376 of other current liabilities related to a sublease liability assumed for Zalicus’ Cambridge, Massachusetts facility. The liability represented the fair value of the difference between the total sublease payments and the total payments for the facility per the lease agreement. The original lease and the sublease agreement terminate in January 2017. The deferred tax liability of $2,166 related to the temporary difference associated with the $5,500 value of the IPR&D asset, which is not deductible for tax purposes. The deferred tax liability was recorded based on a 39.39% effective tax rate. The operating results of Zalicus for the period from July 16, 2014 to December 31, 2014, including an operating loss of $25, were included in the Company’s consolidated financial statements as of and for the year ended December 31, 2014. During the three and six months ended June 30, 2015, operating results for Zalicus were immaterial. The Company incurred a total of $5,779 in transaction costs in connection with the Merger, excluding Zalicus transaction costs, which were included in general and administrative expense within the consolidated statement of operations for the year ended December 31, 2014.

Goodwill, IPR&D and Intangible

Goodwill, IPR&D and Intangible Assets, Net	6 Months Ended
	Jun. 30, 2015
Goodwill, IPR&D and Intangible Assets, Net
Goodwill, IPR&D and Intangible Assets, Net	6. Goodwill, IPR&D and Intangible Assets, Net Goodwill The Company’s goodwill balance as of June 30, 2015 was $16,363. As of June 30, 2015, there were no accumulated impairment losses. Goodwill has been assigned to the Company’s single reporting unit, which is the single operating segment by which the chief operating decision maker manages the Company. IPR&D In connection with the Merger in 2014, the Company recognized IPR&D related to Z944. The carrying value of the IPR&D related to Z944 as of June 30, 2015 and December 31, 2014 was $5,500. See Note 5 “Merger” for additional details. Intangibles Intangible assets, net of accumulated amortization is as follows: June 30, 2015 December 31, 2014 Intangible assets $ $ Total intangible assets $ Less: accumulated amortization—intangible assets ) $ ) Intangible assets, net $ $ Amortization expense, which is included within research and development expense in the consolidated statements of operations and comprehensive loss, was $56 and $113 for the three and six months ended June 30, 2015, respectively, and $0 for the three and six months ended June 30, 2014. The estimated aggregate amortization of intangible assets as of June 30, 2015, for each of the five succeeding years and thereafter is as follows: June 30, 2015 July 1, 2015-December 31, 2015 $ 2016 2017 2018 2019 2020 and thereafter Total $

Accrued Expenses and Other Curr

Accrued Expenses and Other Current Liabilities	6 Months Ended
	Jun. 30, 2015
Accrued Expenses and Other Current Liabilities
Accrued Expenses and Other Current Liabilities	7. Accrued Expenses and Other Current Liabilities Accrued expenses consisted of the following: June 30, 2015 December 31, 2014 Accrued professional fees $ $ Accrued compensation Accrued manufacturing expense Accrued interest expense Accrued clinical expense — Other Total accrued expenses $ $

Debt

Debt	6 Months Ended
	Jun. 30, 2015
Debt
Debt	8. Debt Hercules Notes As of June 30, 2015, the Company had outstanding borrowings under the Loan and Security Agreement with Hercules Technology Growth Capital, Inc., dated as of September 30, 2014 and as amended from time to time (the “2014 Loan Agreement”) of $15,000. The first term loan, with a principal amount of $7,500 was drawn down on October 1, 2014. The second term loan, with a principal amount of $7,500, was drawn down on May 29, 2015. As of June 30, 2015, on the Company’s balance sheet, the Company has recorded a short term debt obligation of $896, net of a debt discount of $11 and a long-term debt obligation of $13,918, net of debt discount of $175. Amortization of the debt discount, which was recorded as interest expense in the statement of operations, was approximately $16 and $32 for the three and six months ended June 30, 2015, respectively. Future principal payments, which exclude the 3% end of term charge that will be payable upon repayment of the notes in full, in connection with the 2014 Loan Agreement, as of June 30, 2015 are as follows: Principal Payments July 1, 2015 - December 31, 2015 $ — 2016 2017 2018 Total $

Capital Stock

Capital Stock	6 Months Ended
	Jun. 30, 2015
Capital Stock
Capital Stock	9. Capital Stock On February 4, 2015 the Company closed on an underwritten public offering of 9,600,000 shares of its common stock, offered at a price of $5.00 per share. Net proceeds to the Company from this offering were approximately $43,570, after deducting underwriting discounts and commissions and estimated offering expenses payable by the Company. On February 13, 2015, the Company closed on the sale of an additional 958,208 shares of its common stock at a price of $5.00 per share. Net proceeds to the Company from this overallotment were approximately $4,391, after deducting underwriting discounts and commissions and estimated offering expenses payable by the Company. The Company intends to continue to use the net proceeds of $47,961 from the offering to progress its global BOW015 clinical program and to advance the development of its other product candidates, as well as for general corporate and working capital purposes.

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jun. 30, 2015
Fair Value Measurements
Fair Value Measurements	10. Fair Value Measurements The following table summarizes the financial assets and liabilities measured at fair value on a recurring basis in the accompanying balance sheets as of June 30, 2015 and December 31, 2014: As of June 30, 2015 Level 1 Level 2 Level 3 Total Assets Cash and cash equivalents $ $ — $ — $ $ $ — $ — $ As of December 31, 2014 Level 1 Level 2 Level 3 Total Assets Cash and cash equivalents $ $ — $ — $ $ $ — $ — $ As of June 30, 2015, the Company did not have any liabilities measured at fair value on a recurring basis.

Stock-Based Compensation

Stock-Based Compensation	6 Months Ended
	Jun. 30, 2015
Stock-Based Compensation
Stock-Based Compensation	11. Stock-Based Compensation Stock-Based Compensation On April 2, 2015, the board of directors of the Company adopted the 2015 Equity Incentive Plan (“2015 Plan”) and on June 4, 2015, the stockholders of the Company approved the 2015 Plan. Pursuant to the 2015 Plan, 1,700,000 shares of common stock were initially authorized for issuance. The 2015 Plan provides for the grant of incentive stock options, nonstatutory stock options, stock appreciation rights, restricted and unrestricted stock and stock units, performance awards, cash-based awards and awards that are convertible into or otherwise based on the Company’s common stock. For the three and six months ended June 30, 2015, the Company recognized stock-based compensation expense of approximately $843 and $1,369, respectively, in connection with its stock-based payment awards. The Company recorded a reduction in stock-based compensation expense in the six months ended June 30, 2015 of $100 resulting from the modification of an award for a former officer of the company. For the three and six months ended June 30, 2014, the Company recognized stock-based compensation expense of approximately $327 and $371, respectively, in connection with its stock-based payment awards. Stock Options A summary of stock option activity during the six months ended June 30, 2015 is as follows: Weighted- Average Weighted- Remaining Average Contractual Aggregate Number Exercise Term Intrinsic of Options Price (in years) Value Outstanding at December 31, 2014 $ Granted Exercised ) Cancelled ) Outstanding at June 30, 2015 $ $ Vested and expected to vest at: June 30, 2015 $ $ Exercisable at: June 30, 2015 $ $ Weighted average grant-date fair value of options granted during the period $ Cash Received upon exercise of options $ The aggregate intrinsic value in the table above represents the value (the difference between the Company’s common stock fair value on June 30, 2015 and the exercise price of the options, multiplied by the number of in-the-money options) that would have been received by the option holders had all option holders exercised their options on June 30, 2015. As of June 30, 2015, there was $9,190 of total unrecognized stock-based compensation expense related to stock options granted under the plans. The expense is expected to be recognized over a weighted-average period of 3.25 years. During the three and six months ended June 30, 2015 and 2014, the range of assumptions used in the Black-Scholes pricing model for new grants were as follows: Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Risk-free interest rate 1.52%-1.96% 1.91%-2.09% 1.51%-1.96% 1.91%-2.09% Expected volatility 65.21% - 67.65% 66.02% - 66.07% 61.40% - 67.65% 64.07% - 66.07% Expected term (in years) 5.3 - 6.00 5.3 - 6.00 Expected dividend yield Restricted Stock Units A summary of the activity of nonvested restricted stock units (“RSUs”) for the six months ended June 30, 2015 is as follows: Weighted- Average Number Weighted- Remaining of Average Contractual Aggregate Restricted Grant Date Term Intrinsic Stock Units Fair Value (in years) Value Nonvested at December 31, 2014 — Granted $ $ — Vested — — — — Cancelled — — Nonevested at June 30, 2015 $ $ — Vested and expected to vest at: June 30, 2015 $ $ — Exercisable at: June 30, 2015 — — — — As of June 30, 2015, there was $1,191 of total unrecognized stock-based compensation expense related to nonvested RSUs. The expense is expected to be recognized over a weighted-average period of 3.5 years. During February 2015, the Company issued 117,131 RSUs to certain employees, which vest with respect to one quarter (1/4) of the RSUs on the first anniversary of the grant date and an additional one quarter (1/4) on each anniversary thereafter until the fourth anniversary of the grant date. In addition, the Company issued 9,490 RSUs to certain employees as merit grants in lieu of annual raises. These RSUs vest in full on the first year anniversary of the grant date. Restricted Stock Awards In April 2014, the Company granted 53,056 shares of restricted common stock to a vendor for consulting services. The restricted stock award is subject to certain performance-based vesting conditions under which 25% of the award vested on April 15, 2014, 50% vested on September 24, 2014 and the remaining 25% would vest following the successful achievement of certain performance milestones and the passage of time. As of June 30, 2015 and December 31, 2014, the Company had outstanding 13,259 shares of nonvested restricted common stock at a weighted average grant date fair value of $5.08. During the three and six months ended June 30, 2015, the Company recorded $(3) and $38 in stock compensation expense related to the nonvested restricted common stock award. During the three and six months ended June 30, 2014, the Company recorded $98 in stock compensation expense related to the nonvested restricted common stock.

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2015
Income Taxes
Income Taxes	12. Income Taxes For the three and six months ended June 30, 2015, the Company recorded an income tax benefit of $43 and $55, respectively. For the three months ended June 30, 2015, the income tax benefit resulted primarily from amortization of the Company’s deferred tax benefit related to the transfer of IPR&D to the Company’s subsidiary, Epirus Switzerland GmbH, a Swiss corporation (the “Tax Benefit”) of $46, offset by tax expense for cash flows generated in foreign territories of $3. For the six months ended June 30, 2015, the income tax benefit resulted primarily from amortization of the Tax Benefit of $92, offset in part by tax expense for cash flows generated in foreign territories of $30 and minimum state taxes due in the United States of $7. For the three and six months ended June 30, 2014, the Company recorded an income tax benefit of $47 and income tax expense of $39, respectively. For the three months ended June 30, 2014, the income tax benefit resulted primarily due to amortization of the Tax Benefit of $46, a tax benefit from the reversal of the Alternative Minimum Tax (the “AMT”) due for fiscal year ended December 31, 2013 (“FY2013”) of $20 offset in part by tax expense for cash flows generated in foreign territories of $19. For the six months ended June 30, 2014, the income tax expense resulted primarily from tax expense for cash flows generated in foreign territories of $151 offset in part by amortization of the Tax Benefit of $92 and a tax benefit from the reversal of the AMT due for FY2013 of $20. The Company has evaluated the positive and negative evidence on the realizability of its deferred tax assets in each jurisdiction and management has determined that it is more likely than not that the Company will not utilize the benefits of its deferred tax assets in each jurisdiction. Accordingly, the deferred tax assets have been fully reserved as of June 30, 2015 and December 31, 2014.

Commitments

Commitments	6 Months Ended
	Jun. 30, 2015
Commitments
Commitments	13. Commitments On May 15, 2015, the Company amended its March 2013 operating lease for office space in Boston, Massachusetts (the “Second Amendment”). The Second Amendment provides the Company additional square footage of approximately 3,000 square feet on the same floor of the office commencing on October 1, 2015. The Company has committed to lease this space for a period of six years. The Second Amendment contains rent escalation that is being accounted for as rent expense under the straight-line method. The Company will record rent expense of approximately $14 per month on a straight-line basis over the effective lease term. As of June 30, 2015, future minimum lease payments under all of the Company’s operating leases are as follows: June 30, 2015 July 1, 2015 - December 31, 2015 2016 2017 2018 2019 2020 and thereafter Total $ Less: Future sublease payments to be received ) Net future lease payments $

Net Loss Per Share

Net Loss Per Share	6 Months Ended
	Jun. 30, 2015
Net Loss Per Share
Net Loss Per Share	14. Net Loss Per Share The following potentially dilutive securities outstanding, prior to the use of the treasury stock method, have been excluded from the computation of diluted weighted-average shares outstanding for the three and six months ended June 30, 2015 and 2014, as they would be dilutive. As of June 30, 2015 2014 Options to purchase common stock Settlement of loan agreement — Nonvested restricted stock units — Warrants to purchase common stock Nonvested restricted stock awards Convertible preferred stock —

Legal Proceedings

Legal Proceedings	6 Months Ended
	Jun. 30, 2015
Legal Proceedings
Legal Proceedings	15. Legal Proceedings From time to time, the Company is involved in legal proceedings and claims of various types and accounts for these legal proceedings in accordance with ASC Topic 450, “Contingencies.” The Company records a liability in its consolidated financial statements for these matters when a loss is considered probable and the amount of loss can be reasonably estimated. The Company reviews these estimates each accounting period as additional information is known and adjusts the loss provision when appropriate. If the loss is not probable or cannot be reasonably estimated, a liability is not recorded in its consolidated financial statements. Zalicus Shareholder Litigation Between April 28, 2014 and May 2, 2014, three putative class action lawsuits were filed by purported stockholders of Zalicus in the Business Litigation Session of the Massachusetts Superior Court, Suffolk County (the “Massachusetts Court”), against Zalicus, EB Sub, Inc. the members of Zalicus’ board of directors and Private Epirus. Plaintiff has since voluntarily dismissed one of these actions, Civil A. No. 14-1380. The remaining two actions, Civ. A. No. 14-1381 and Civ. A. No. 14-1455, were consolidated into a single action, In re Zalicus Shareholder Litigation , Lead Civ. A. No. 14-1381 (the “Massachusetts Action”). The Massachusetts Action alleged that the Zalicus board of directors breached its fiduciary duties, and that Private Epirus and EB Sub, Inc. aided and abetted the purported breaches, in connection with the proposed Merger. The Massachusetts Action sought relief including, among other things, a declaration that the Merger Agreement was entered into in breach of fiduciary duties and is unlawful and unenforceable, an order enjoining defendants from proceeding with the Merger, an order enjoining defendants from consummating the Merger unless and until additional procedures are implemented and all material information in connection with the proposed Merger is disclosed, rescission of the Merger or any terms thereof to the extent implemented (or an award of rescissory damages), compensatory damages and interest, and an award of all costs of the Massachusetts Action, including reasonable attorneys’ fees and experts’ fees. Between May 1, and May 16, 2014, three putative class action lawsuits were filed by purported stockholders of Zalicus in the Court of Chancery of the State of Delaware (the “Delaware Court”) against Zalicus, Zalicus’ directors, Private Epirus and/or EB Sub, Inc., Stein v. Zalicus Inc., et al . , No. 9602; Do v. Zalicus, Inc., et al . , No. 9636; and Mendlowitz, et al. v. Zalicus Inc., et al . , No. 9664 (the “Consolidated Action”). On May 23, 2014, plaintiff Harvey Stein filed a verified amended complaint, and on May 27, 2014, plaintiff Tuan Do filed a verified amended complaint. The Consolidated Action alleged that the Zalicus board of directors breached their fiduciary duties, and Private Epirus and/or EB Sub, Inc. aided and abetted the purported breaches, in connection with the proposed Merger. The Consolidated Action sought relief including, among other things, to preliminarily and permanently enjoin the proposed Merger, to enjoin consummation of the proposed Merger and rescind the Merger if consummated (or to award rescissory damages), an award of compensatory damages, and an award of all costs of the Consolidated Action, including reasonable attorneys’ fees and experts’ fees. On June 6, 2014, plaintiffs’ counsel in the Consolidated Action filed a motion seeking to schedule a preliminary injunction hearing in advance of the stockholder vote on the proposed Merger, and seeking expedited discovery in advance of that hearing. Zalicus, Private Epirus, and the individual defendants opposed the motion. After a hearing, on June 13, 2014, the Delaware Court denied plaintiffs’ motion. On October 27, 2014, plaintiffs’ counsel in the Massachusetts Action served the Company with a motion for voluntary dismissal and an award of attorney’s fees. The motion alleged, as set forth in the consolidated amended complaint filed in the Massachusetts Action on May 21, 2014, that the Form S-4 Registration Statement filed with the SEC on May 8, 2014 contained numerous material misstatements and/or omissions that prevented the Company’s shareholders from being able to evaluate the reasonableness of the Merger. The motion further alleged that in the Amended Registration Statement filed on June 4, 2014, the Company supplemented the disclosures and addressed the allegedly material misstatements and omissions contained in the initial Registration Statement, and that the Company did so in response to the claims made in the Massachusetts Action. On November 6, 2014, with the Massachusetts Court’s entry of a judgment of dismissal, the Massachusetts Action was closed. On November 10, 2014, the parties in the Consolidated Action submitted a stipulation and proposed order to dismiss the Consolidated Action and to set a schedule for plaintiffs’ counsel’s anticipated application for an award of attorney’s fees and expenses. On November 12, 2014, the Delaware Court entered an order dismissing the Consolidated Action without prejudice. The Delaware Court retained jurisdiction solely for the purpose of determining plaintiffs’ anticipated application for an award of attorneys’ fees and reimbursement of expenses. After the Consolidated Action was dismissed, the parties commenced and engaged in discussions to resolve the amount of plaintiffs’ counsel’s application for fees and expenses. After negotiations, the parties agreed that the Company would make a combined, global fee and expense payment to counsel in both the Consolidated Action and the Massachusetts Action in the amount of $400, of which $50 would be paid by the Company’s insurer, in full satisfaction of plaintiffs’ counsel’s claim for attorneys’ fees and expenses in the Consolidated Action and the Massachusetts Action, which the parties memorialized in a stipulation dated January 13, 2015. As a result of the order, the Company recorded $350 in general and administrative expense in its Consolidated Statement of Operations for the year ended December 31, 2014. The parties requested that the Delaware Court close the Consolidated Action as a result of the stipulation. The Delaware Court directed that notice of the resolution of plaintiffs’ counsel’s request for attorneys’ fees and expenses be provided to shareholders. The parties have since issued notice to shareholders (including via the Company’s filing on its Current Report on March 13, 2015). After expiration of the requisite notice waiting period, the parties submitted to the Delaware Court a proposed order verifying that notice has been provided and providing for the final dismissal and closure of the case. On April 15, 2015, the Delaware Court accepted the order and closed and dismissed the Consolidated Action. The agreed-to $400 fee and expense amount was paid on April 22, 2015, which is within ten days of the final dismissal and closure of the Consolidated Action. Reliance Life Sciences Dispute In December 2014, Reliance Life Sciences Pvt Ltd, or RLS, the Company’s BOW015 contract manufacturer for India, exercised its three-year termination for-convenience right with respect to the parties’ Manufacturing and Supply Agreement, dated as of May 14, 2014 and as amended from time to time (the “RLS Agreement”), which would have caused the RLS Agreement to terminate in December 2017. In addition, in March 2015, RLS initiated an arbitration proceeding under the RLS Agreement alleging that the RLS Agreement grants RLS exclusive global supply rights for BOW015, that the terms of the Company’s collaboration agreements with Fujifilm Diosynth Biotechnologies U.S.A., Inc. and Livzon MabPharm Inc. violate the RLS Agreement, and sought to terminate the RLS Agreement. The proceeding initiated by RLS sought a declaratory judgment, but did not seek any monetary damages. On April 22, 2015, the Company entered into a Settlement Agreement with RLS (the “Settlement Agreement”). Pursuant to the Settlement Agreement, RLS has agreed to manufacture 20 final batches of BOW015, with the initial 15 binding forecast batches to be manufactured on or before June 30, 2016 and the final five non-binding forecast batches to be manufactured on or before December 31, 2016, with the forecast for such final batches to be finalized by December 31, 2015. RLS has also agreed to use reasonable commercial efforts to transfer the existing Indian marketing authorization for BOW015 granted by the Drug Controller General of India (“DCGI”) to the Company or its designee, with all costs of the transfer to be borne by the Company and subject to the DCGI’s approval of such transfer. The Company has agreed to pay to RLS a fee of $2,250, payable in four installments over the course of the final batch manufacture, with the final installment to be paid no later than ten days after June 30, 2016. Pursuant to the Settlement Agreement, on May 4, 2015, RLS withdrew the arbitration proceeding it initiated, and the parties have agreed to release each other from all causes of actions or claims, present and future, arising under the RLS Agreement. Following the satisfaction by both parties of all of the terms of the Settlement Agreement, the RLS Agreement and related agreements between the parties shall be terminated and neither party shall have any further rights or obligations thereunder. The Company made the first payment of $750 on April 27, 2015. For the three and six months ended June 30, 2015, the Company recorded a one-time charge of $2,183 to general and administrative expenses, which represents the net present value of the installment payments due under the Settlement Agreement. In addition, the Company recorded a one-time charge of $1,800 to research and development expense in the three and six month periods ended June 30, 2015, which represents the Company’s portion of the purchase obligation of the 15 binding forecast batches to be manufactured on or before June 30, 2016 by RLS. As of June 30, 2015, the Company has paid $561 towards this obligation.

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2015
Subsequent Events
Subsequent Events	16. Subsequent Events Polpharma On July 13, 2015, the Company entered into a Collaboration Agreement (the “Collaboration Agreement”) with Polpharma, for the development and commercialization in certain designated territories of the Company’s product candidates, BOW015, BOW050 and BOW070. The designated territories include the European Union (with the exception of Austria, Belgium, Denmark, Finland, Luxembourg, the Netherlands and Sweden, which are reserved for the Company), together with certain countries in the Middle East, Turkey, Russia, and other countries comprising the Commonwealth of Independent States, or CIS. The Company will also retain exclusive rights for the three products in North America and other markets outside of the designated territories, including Switzerland and Norway. Within the designated territories, the Collaboration Agreement contains exclusivity provisions such that each of the Company and Polpharma agrees not to exploit any other biosimilar product based on reference product other than the three products licensed under the Collaboration Agreement, subject to limited exceptions. Under the Collaboration Agreement, the Company and Polpharma have cross-licensed all intellectual property rights and technology relating to their applicable biosimilar development programs to enable the parties to develop and commercialize the three above-mentioned biosimilar products in the designated territories and the Company to develop and commercialize these biosimilar products outside of the designated territories. The three product programs will consist of process development, clinical trials, regulatory, manufacturing and commercialization activities in the designated territories. For such programs, the Company will lead the global product development and clinical programs and will also be responsible for process development, scale-up and manufacturing in the designated territories, both parties will collaborate on regulatory filings in the designated territories, and Polpharma will be responsible for the commercialization of the products in the designated territories. Polpharma has the right to be a second source manufacturer for any of the products, including a right to perform fill and finish production for all three products, subject to certain conditions. A joint management committee will oversee the collaboration on behalf of both parties. Polpharma will bear 51% and the Company will bear 49% of the costs associated with the development programs for the three products in the designated territories. Following commercial launch, profits and losses for the three products in the designated territories will be split 51% for Polpharma and 49% for the Company.

Summary of Significant Accoun22

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2015
Summary of Significant Accounting Policies
Principles of Consolidation	Principles of Consolidation The consolidated financial statements include the accounts of Epirus and its wholly owned subsidiaries: EB Sub, Inc., a Delaware Corporation, Epirus Biopharmaceuticals Ltd., a United Kingdom corporation, Epirus Switzerland GmbH, a Swiss corporation, Epirus Brasil Tecnologia Ltda, a Brazilian corporation, and Zalicus Pharmaceuticals Ltd., a Canadian corporation. All significant intercompany balances and transactions have been eliminated in consolidation.
Merger and Exchange Ratio	Merger and Exchange Ratio The Merger has been accounted for as a “reverse merger” under the acquisition method of accounting for business combinations with Private Epirus treated as the accounting acquirer of Zalicus. The historical financial statements of Private Epirus have become the historical financial statements of Public Epirus, or the combined company, and are included in this quarterly report on Form 10-Q. Since the Merger, costs related to Zalicus operations have been immaterial. As a result of the Merger, historical common stock, stock options and additional paid-in capital, including share and per share amounts, have been retroactively adjusted to reflect the equity structure of Public Epirus, including the effect of the Merger exchange ratio and the Public Epirus common stock par value of $0.001 per share. See Note 5, “Merger,” for additional discussion of the Merger and the exchange ratio.
Reverse Stock Split	Reverse Stock Split On July 16, 2014, Public Epirus effected a 1-for-10 reverse stock split of its outstanding common stock, par value $0.001 per share (“Public Epirus Common Stock”) (the “Reverse Stock Split”). The accompanying consolidated financial statements and these notes to consolidated financial statements, including the Merger exchange ratio applied to historical Private Epirus common stock and stock options, give retroactive effect to the Reverse Stock Split for all periods presented. The shares of Public Epirus Common Stock retained a par value of $0.001 per share. See Note 5, “Merger,” for additional discussion of the Merger and the exchange ratio.
Impairment of Long-Lived Assets	Impairment of Long-Lived Assets Long-lived assets, including finite-lived intangible assets, to be held and used are reviewed for impairment when events or changes in circumstances indicate that the carrying amount of such assets may not be recoverable. Indefinite lived intangible assets are also tested at least annually for impairment. Determination of the recoverability of long-lived assets, including finite-lived intangible assets is based on an estimate of undiscounted future cash flows resulting from the use of the asset and its eventual disposition. In the event that such cash flows are not expected to be sufficient to recover the carrying amount of the assets, the assets are written down to their estimated fair values. During the three and six months ended June 30, 2015, the Company determined that there was no impairment of any of its long-lived assets, including indefinite and finite-lived intangible assets.
Recent Accounting Pronouncements	Recent Accounting Pronouncements Revenue Recognition In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers , which amends the guidance for accounting for revenue from contracts with customers. This ASU supersedes the revenue recognition requirements in Accounting Standards Codification (“ASC”) Topic 605, Revenue Recognition , and creates a new Topic 606, Revenue from Contracts with Customers . In July 2015, the FASB approved a one-year deferral of the effective date of ASU 2014-09. This ASU will be effective for annual and interim periods beginning on or after December 15, 2017. Early adoption is permitted, however not before the original effective date of annual periods beginning after December 15, 2016. Two adoption methods are permitted: retrospectively to all prior reporting periods presented, with certain practical expedients permitted; or retrospectively with the cumulative effect of initially adopting the ASU recognized at the date of initial application. The Company has not yet determined which adoption method it will utilize or the effect that the adoption of this guidance will have on its consolidated financial statements. Debt Issuance Costs In April 2015, the FASB issued ASU No. 2015-03, Interest—Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs , which requires that debt issuance costs be presented in the balance sheet as a deduction from the carrying amount of the related liability, rather than as a deferred charge. The updated guidance is effective retroactively for financial statements covering fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. Early adoption is permitted, but the Company does not anticipate electing early adoption. The Company is currently evaluating the impact of the adoption of this guidance on its consolidated financial statements. Technical Corrections and Improvements In June 2015, the FASB issued ASU No. 2015-10, Technical Corrections and Improvements . ASU 2015-10 covers a wide range of Topics in the ASC. The amendments in this ASU represent changes to clarify the ASC, correct unintended application of guidance, or make minor improvements to the ASC that are not expected to have a significant effect on current accounting practice or create a significant administrative cost to most entities. Additionally, some of the amendments will make the ASC easier to understand and easier to apply by eliminating inconsistencies, providing needed clarifications, and improving the presentation of guidance in the ASC. The amendments in ASU 2015-10 that require transition guidance are effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. All other amendments will be effective upon the issuance of this ASU. The Company does not anticipate that the adoption of this standard will have a material impact on its consolidated financial statements and footnote disclosures.

Merger (Tables)

Merger (Tables)	6 Months Ended
	Jun. 30, 2015
Merger
Schedule of acquisition-date fair value of consideration transferred	Number of shares of Public Epirus Common Stock owned by Zalicus stockholders (1) Multiplied by the price per share of Public Epirus Common Stock (2) $ Fair value of shares of Public Epirus Common Stock owned by Zalicus stockholders $ Acquisition-date fair value of assumed Zalicus equity awards attributable to precombination services (3) $ Total consideration transferred $ (1) The stock transferred in the table above is comprised of 2,610,871 common shares outstanding at the time of the Merger plus 25,000 restricted stock units (RSUs) that vested immediately upon the closing of the Merger. The fair value of shares of Public Epirus Common Stock owned by Zalicus shareholders of $31,104 includes approximately $1 related to fractional shares resulting from the Reverse Stock Split. (2) The shares outstanding are multiplied by the closing trading price of Public Epirus Common Stock as of the Merger date. (3) Consideration transferred includes approximately $220 of Zalicus equity awards assumed and deemed attributable to precombination services to Zalicus. The fair value of the equity awards at July 15, 2014 was determined using a Black-Scholes option-pricing model with the following ranges of assumptions: exercise price of $14.70 per share to $591.00 per share; underlying stock value of $11.80 per share; expected volatility of 66.02%; expected term of 0.1 years to 6.0 years; and risk-free interest rate of 1.91%.
Summary of estimated fair values of the assets acquired and liabilities assumed at the date of acquisition	July 15, 2014 Cash and cash equivalents $ In-process research and development Goodwill Restricted cash Other assets Total assets acquired Accounts payable ) Accrued expenses ) Other current liabilities ) Other liabilities ) Deferred tax liabilities ) Toal liabilities assumed ) Total net assets acquired $

Goodwill, IPR&D and Intangibl24

Goodwill, IPR&D and Intangible Assets, Net (Tables)	6 Months Ended
	Jun. 30, 2015
Goodwill, IPR&D and Intangible Assets, Net
Schedule of intangible assets, net of accumulated amortization	June 30, 2015 December 31, 2014 Intangible assets $ $ Total intangible assets $ Less: accumulated amortization—intangible assets ) $ ) Intangible assets, net $ $
Schedule of estimated aggregate amortization of intangible assets	The estimated aggregate amortization of intangible assets as of June 30, 2015, for each of the five succeeding years and thereafter is as follows: June 30, 2015 July 1, 2015-December 31, 2015 $ 2016 2017 2018 2019 2020 and thereafter Total $

Accrued Expenses and Other Cu25

Accrued Expenses and Other Current Liabilities (Tables)	6 Months Ended
	Jun. 30, 2015
Accrued Expenses and Other Current Liabilities
Components of Accrued expenses	June 30, 2015 December 31, 2014 Accrued professional fees $ $ Accrued compensation Accrued manufacturing expense Accrued interest expense Accrued clinical expense — Other Total accrued expenses $ $

Debt (Tables)

Debt (Tables)	6 Months Ended
	Jun. 30, 2015
Debt
Schedule of future principal payments	Future principal payments, which exclude the 3% end of term charge that will be payable upon repayment of the notes in full, in connection with the 2014 Loan Agreement, as of June 30, 2015 are as follows: Principal Payments July 1, 2015 - December 31, 2015 $ — 2016 2017 2018 Total $

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 2015
Fair Value Measurements
Schedule of financial assets and liabilities measured at fair value on a recurring basis	As of June 30, 2015 Level 1 Level 2 Level 3 Total Assets Cash and cash equivalents $ $ — $ — $ $ $ — $ — $ As of December 31, 2014 Level 1 Level 2 Level 3 Total Assets Cash and cash equivalents $ $ — $ — $ $ $ — $ — $

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2015
Stock-Based Compensation
Summary of stock option activity	Weighted- Average Weighted- Remaining Average Contractual Aggregate Number Exercise Term Intrinsic of Options Price (in years) Value Outstanding at December 31, 2014 $ Granted Exercised ) Cancelled ) Outstanding at June 30, 2015 $ $ Vested and expected to vest at: June 30, 2015 $ $ Exercisable at: June 30, 2015 $ $ Weighted average grant-date fair value of options granted during the period $ Cash Received upon exercise of options $
Summary of range of assumptions used in the Black-Scholes pricing model	Three Months Ended June 30, Six Months Ended June 30, 2015 2014 2015 2014 Risk-free interest rate 1.52%-1.96% 1.91%-2.09% 1.51%-1.96% 1.91%-2.09% Expected volatility 65.21% - 67.65% 66.02% - 66.07% 61.40% - 67.65% 64.07% - 66.07% Expected term (in years) 5.3 - 6.00 5.3 - 6.00 Expected dividend yield
Summary of the activity of nonvested RSUs	Weighted- Average Number Weighted- Remaining of Average Contractual Aggregate Restricted Grant Date Term Intrinsic Stock Units Fair Value (in years) Value Nonvested at December 31, 2014 — Granted $ $ — Vested — — — — Cancelled — — Nonevested at June 30, 2015 $ $ — Vested and expected to vest at: June 30, 2015 $ $ — Exercisable at: June 30, 2015 — — — —

Commitments (Tables)

Commitments (Tables)	6 Months Ended
	Jun. 30, 2015
Commitments
Schedule of future minimum lease payments under operating leases	As of June 30, 2015, future minimum lease payments under all of the Company’s operating leases are as follows: June 30, 2015 July 1, 2015 - December 31, 2015 2016 2017 2018 2019 2020 and thereafter Total $ Less: Future sublease payments to be received ) Net future lease payments $

Net Loss Per Share (Tables)

Net Loss Per Share (Tables)	6 Months Ended
	Jun. 30, 2015
Net Loss Per Share
Summary of potentially dilutive securities outstanding excluded from the computation of diluted weighted-average shares outstanding	As of June 30, 2015 2014 Options to purchase common stock Settlement of loan agreement — Nonvested restricted stock units — Warrants to purchase common stock Nonvested restricted stock awards Convertible preferred stock —

Summary of Significant Accoun31

Summary of Significant Accounting Policies (Details) $ / shares in Units, $ in Thousands	Jul. 16, 2014$ / shares	Jun. 30, 2015USD ($)$ / shares	Jun. 30, 2015USD ($)$ / shares	Dec. 31, 2014$ / shares
Reverse stock split
Common stock, par value | $ / shares		$ 0.001	$ 0.001	$ 0.001
Intangible Assets
Impairment charge of long-lived assets including finite-lived intangible assets		$ 0	$ 0
Impairment charge of long-lived assets including indefinite intangible assets		$ 0	$ 0
Common Class A | Zalicus
Reverse stock split
Reverse stock split conversion ratio	0.10
Common stock, par value | $ / shares	$ 0.001

Business Agreements (Details)

Business Agreements (Details) - USD ($) $ in Thousands	May. 13, 2015	Jun. 30, 2015	Jun. 30, 2015
Business Agreements
Royalty revenue		$ 45	$ 70
Royalty Bearing And Non Transferable License Agreement | Sun Pharmaceutical Industries Limited | Infimab
Business Agreements
Royalty revenue		36	54
Upfront payment received			500
Maximum payments to be received for achievement of certain development and regulatory approval milestones		1,000	1,000
Maximum payments to be received for achievement of certain sales milestones		10,000	10,000
Damages payable to Ranbaxy on breach of license agreement		$ 500	500
Invoiced amount			1,250
Proceeds received as per agreement			$ 1,250
Exclusive License Agreement | Mabxience S.A | BOW015 | Maximum
Business Agreements
Payments to be received for achievement of specified regulatory milestones	$ 1,500

Merger (Details)

Merger (Details) - USD ($) $ / shares in Units, $ in Thousands	Jul. 15, 2014	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Dec. 31, 2014	Jun. 30, 2014	Dec. 31, 2014	Feb. 13, 2015	Feb. 04, 2015
Acquisition-date fair value of the consideration transferred
Share price (in dollars per share)								$ 5	$ 5
Estimated fair values of the assets acquired and liabilities assumed at the date of acquisition:
Goodwill		$ 16,363		$ 16,363	$ 16,363		$ 16,363
Supplemental unaudited pro forma information as if acquisition had occurred on January 1, 2013:
Net loss		$ (15,286)	$ (9,890)	$ (22,807)		$ (17,510)
Zalicus
Acquisition-date fair value of the consideration transferred
Number of Public Epirus Common Stock owned by Zalicus stockholders (1)	2,635,871
Multiplied by the price per share of Public Epirus Common Stock (2) (in dollars per share)	$ 11.80
Fair value of shares of Public Epirus Common Stock owned by Zalicus stockholders	$ 31,104
Acquisition-date fair value of assumed Zalicus equity awards attributable to precombination	220
Total consideration transferred	31,324
Amount of fractional shares resulting from Reverse Stock Split included as consideration	$ 1
Share price (in dollars per share)	$ 11.80
Volatility rate	66.02%
Risk-free interest rate	1.91%
Estimated fair values of the assets acquired and liabilities assumed at the date of acquisition:
Cash and cash equivalents	$ 13,756
In-process research and development	5,500
Goodwill	14,864
Restricted cash	1,850
Other assets	253
Total assets acquired	36,223
Accounts payable	(1,584)
Accrued expenses	(381)
Other current liabilities	(376)
Other liabilities	(391)
Deferred tax liabilities	(2,166)
Total liabilities assumed	(4,899)
Total net assets acquired	31,324
Sublease other liability	391
Sublease other current liability	$ 376
Effective tax rate	39.39%
Operating loss from date of acquisition included in financial statements					$ 25
Transaction costs							$ 5,779
Zalicus | In Process Research and Development
Estimated fair values of the assets acquired and liabilities assumed at the date of acquisition:
Discount rate (as a percent)	13.10%
Zalicus | Minimum
Acquisition-date fair value of the consideration transferred
Exercise price (in dollars per share)	$ 14.70
Expected term	1 month 6 days
Zalicus | Maximum
Acquisition-date fair value of the consideration transferred
Exercise price (in dollars per share)	$ 591
Expected term	6 years
Zalicus | Common stock
Merger
Number of shares of acquiree received for each share of acquirer exchanged	0.13259
Aggregate number of acquiree shares received for acquirer shares	10,288,180
Number of acquiree shares received for future issuance upon exercise of stock options	1,152,042
Number of acquiree shares received for future issuance upon exercise of warrants	21,996
Acquisition-date fair value of the consideration transferred
Number of Public Epirus Common Stock owned by Zalicus stockholders (1)	2,610,871
Zalicus | Restricted stock units vested upon closing of business combination
Acquisition-date fair value of the consideration transferred
Number of Public Epirus Common Stock owned by Zalicus stockholders (1)	25,000

Goodwill, IPR&D and Intangibl34

Goodwill, IPR&D and Intangible Assets, Net (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Change in Goodwill
Goodwill	$ 16,363	$ 16,363
Accumulated goodwill impairment losses	$ 0

Goodwill, IPR&D and Intangibl35

Goodwill, IPR&D and Intangible Assets, Net (Details 2) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Intangible Assets
In-process research and development	$ 5,500		$ 5,500		$ 5,500
Intangible assets, net of accumulated amortization
Total Intangible Assets	3,687		3,687		3,687
Less: accumulated amortization--intangible assets	(195)		(195)		(82)
Intangible assets, net	3,492		3,492		3,605
In Process Research and Development
Intangible assets, net of accumulated amortization
Amortization expense	56	$ 0	113	$ 0
Z944 | In Process Research and Development
Intangible Assets
In-process research and development	$ 5,500		$ 5,500		$ 5,500

Goodwill, IPR&D and Intangibl36

Goodwill, IPR&D and Intangible Assets, Net (Details 3) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Estimated future amortization expense related to finite-lived purchased intangible assets
July 1, 2015-December 31, 2015	$ 112
2,016	225
2,017	225
2,018	225
2,019	225
2020 and thereafter	2,480
Total	$ 3,492	$ 3,605

Accrued Expenses and Other Cu37

Accrued Expenses and Other Current Liabilities - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Accrued Expenses and Other Current Liabilities
Accrued professional fees	$ 1,183	$ 1,822
Accrued compensation	1,072	1,244
Accrued manufacturing expense	2,797	813
Accrued interest expense	167	71
Accrued clinical expense		63
Other	49	88
Total accrued expenses	$ 5,268	$ 4,101

Debt (Details)

Debt (Details) - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2015	May. 29, 2015	Dec. 31, 2014	Oct. 01, 2014
Debt
Short-term Debt	$ 896	$ 896
long-term debt obligation	13,918	13,918		$ 7,282
Hercules Notes
Debt
Outstanding borrowings	15,000	15,000
Short-term Debt	896	896
Unamortized Debt Discount	11	11
long-term debt obligation	13,918	13,918
Debt discount	175	175
Amortization of the debt discount included in interest expense	$ 16	$ 32
Hercules Term Loan One
Debt
Aggregate principal amount					$ 7,500
Hercules Term Loan Two
Debt
Aggregate principal amount			$ 7,500

Debt (Details 2)

Debt (Details 2) - Jun. 30, 2015 - Hercules Notes - USD ($) $ in Thousands	Total
Debt
Term charge	3.00%
Future principal payments
2,016	$ 3,702
2,017	5,942
2,018	5,356
Total	$ 15,000

Capital Stock (Details)

Capital Stock (Details) - USD ($) $ / shares in Units, $ in Thousands	Feb. 13, 2015	Feb. 04, 2015
Capital Stock
Common stock shares issued through underwritten public offering	958,208	9,600,000
Share Price	$ 5	$ 5
Proceeds from issuance	$ 4,391	$ 43,570
Net proceeds from its equity offering		$ 47,961

Fair Value Measurements (Detail

Fair Value Measurements (Details) - Recurring - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Estimate of Fair Value Measurement
Assets
Cash and cash equivalents	$ 58,288	$ 21,462
Total assets	58,288	21,462
Level 1
Assets
Cash and cash equivalents	58,288	21,462
Total assets	$ 58,288	$ 21,462

Stock-Based Compensation (Detai

Stock-Based Compensation (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Jun. 04, 2015
Stock-Based Compensation
Authorized number of shares					1,700,000
Stock-based compensation expense	$ 843	$ 327	$ 1,369	$ 371
Reduced share based compensation expense			100
Weighted average fair value
Cash received from exercise of stock options			$ 245	$ 82
Stock Options
Number of Options
Outstanding at the beginning of the period			1,652,882
Granted			1,059,024
Exercised			(35,800)
Cancelled			(132,302)
Outstanding at the end of the period	2,543,804		2,543,804
Vested and expected to vest at end of period	2,463,889		2,463,889
Exercisable at end of period	545,436		545,436
Weighted-Average Exercise Price
Outstanding at the beginning of the period			$ 10.03
Granted			9.97
Exercised			6.85
Cancelled			6.79
Outstanding at the end of the period	$ 10.22		10.22
Vested and expected to vest at end of period	10.28		10.28
Exercisable at end of period	$ 16.52		$ 16.52
Weighted-Average Remaining Contractual Term
Outstanding at end of period			8 years 10 months 24 days
Vested and expected to vest at end of period			8 years 10 months 24 days
Exercisable at end of period			7 years 9 months 18 days
Aggregate Intrinsic Value
Outstanding at end of period	$ 1,620		$ 1,620
Vested and expected to vest at end of period	1,593		1,593
Exercisable at end of period	934		$ 934
Weighted average fair value
Weighted average grant-date fair value of options granted during the period			$ 5.72
Cash received from exercise of stock options			$ 245
Unrecognized stock-based compensation expense
Unrecognized stock-based compensation expense	$ 9,190		$ 9,190
Unrecognized stock-based compensation expense, Recognition period			3 years 3 months
Weighted-average assumptions
Expected term		6 years		6 years
Expected dividend yield	0.00%	0.00%	0.00%	0.00%
Stock Options | Minimum
Weighted-average assumptions
Risk-free interest rate	1.52%	1.91%	1.51%	1.91%
Expected volatility	65.21%	66.02%	61.40%	64.07%
Expected term	5 years 3 months 18 days		5 years 3 months 18 days
Stock Options | Maximum
Weighted-average assumptions
Risk-free interest rate	1.96%	2.09%	1.96%	2.09%
Expected volatility	67.65%	66.07%	67.65%	66.07%
Expected term	6 years		6 years

Stock-Based Compensation (Det43

Stock-Based Compensation (Details 2) - USD ($) $ / shares in Units, $ in Thousands	Sep. 24, 2014	Apr. 15, 2014	Feb. 28, 2015	Apr. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Weighted Average Remaining Contractual Term
Stock-based compensation expense					$ 843	$ 327	$ 1,369	$ 371
Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares
Granted			117,131				126,621
Cancelled							444
Non-vested at ending period					126,177		126,177
Vested and expected to vest at the end of period ( in units)					121,130		121,130
Weighted Average Excise Price
Granted							$ 10.53
Cancelled							10.53
Non-vested at ending period					$ 10.53		10.53
Vested and expected to vest at the end of period ( in dollars per share)					$ 10.53		$ 10.53
Weighted Average Remaining Contractual Term
Granted (in years)							3 years 4 months 24 days
Non-vested, Weighted Average Remaining Contractual Term, Ending Balance							3 years 4 months 24 days
Vested and expected to vest at the end of period ( in years)							3 years 4 months 24 days
Unrecognized stock-based compensation expense					$ 1,191		$ 1,191
Unrecognized stock-based compensation expense, Recognition period							3 years 6 months
Percentage of shares that will vest on first vesting date							25.00%
Percentage of shares that will vest on subsequent vesting date							25.00%
Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares
Non-vested at ending period					13,259		13,259
Weighted Average Excise Price
Non-vested at ending period					$ 5.08		$ 5.08
Weighted Average Remaining Contractual Term
Stock-based compensation expense						$ 98	$ 38	$ 98
Stock-based compensation reversal					$ (3)
Restricted Stock | Vendor for consulting services
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares
Granted				53,056
Weighted Average Remaining Contractual Term
Vesting percentage	50.00%	25.00%					25.00%
RSU Issued As Merit Grants
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares
Granted			9,490

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Income tax expense (benefit)	$ (43)	$ (47)	$ (55)	$ 39
Amortization of the Tax Benefit		46	92	92
Offset of tax expense for cash flows generated	3	19	30	151
Minimum state taxes due	7		$ 7
Alternative minimum tax		$ 20		$ 20
In Process Research and Development
Amortization of the Tax Benefit	$ 46

Committments (Details)

Committments (Details) $ in Thousands	May. 15, 2015USD ($)ft²	Jun. 30, 2015USD ($)
Commitments
Additional Area of floor | ft²	3,000
Term of lease	6 years
Rent expense per month	$ 14
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity
July 1, 2015 - December 31, 2015		$ 937
2,016		1,886
2,017		736
2,018		644
2,019		655
2020 and Thereafter		1,130
Total		5,988
Less: Future sublease payments to be received		(1,489)
Net future lease payments		$ 4,499

Net Loss Per Share (Details)

Net Loss Per Share (Details) - shares	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Options to purchase common stock
Net Loss Per Share
Securities excluded from the computation of diluted weighted-average shares outstanding	2,543,804	1,152,067
Settlement of loan agreement
Net Loss Per Share
Securities excluded from the computation of diluted weighted-average shares outstanding	248,093
Restricted Stock Units
Net Loss Per Share
Securities excluded from the computation of diluted weighted-average shares outstanding	126,177
Warrant | Common stock
Net Loss Per Share
Securities excluded from the computation of diluted weighted-average shares outstanding	92,892	21,998
Restricted Stock
Net Loss Per Share
Securities excluded from the computation of diluted weighted-average shares outstanding	13,259	39,777
Convertible preferred stock
Net Loss Per Share
Securities excluded from the computation of diluted weighted-average shares outstanding		9,901,708

Legal Proceedings (Details)

Legal Proceedings (Details) $ in Thousands

Apr. 27, 2015USD ($)

Apr. 22, 2015USD ($)installmentitem

Apr. 15, 2015

Jan. 13, 2015USD ($)

May. 02, 2014lawsuit

Dec. 31, 2014

May. 16, 2014lawsuit

Jun. 30, 2015USD ($)

Jun. 30, 2014USD ($)

Jun. 30, 2015USD ($)lawsuit

Jun. 30, 2014USD ($)

Dec. 31, 2014USD ($)

Legal Proceedings

General and Administrative Expense

$ 6,783

$ 6,361

$ 10,951

$ 9,079

One-time charge of research and development expense

8,275

$ 2,587

$ 11,354

$ 6,091

Zalicus Shareholder Litigation Filed In Massachusetts

Legal Proceedings

Number of putative class action lawsuits filed | lawsuit

3

Number of putative class action lawsuits voluntarily dismissed by plaintiffs | lawsuit

1

Number of putative class action lawsuits consolidated into single action by plaintiffs | lawsuit

2

Zalicus Shareholder Litigation Filed In Delaware

Legal Proceedings

Number of putative class action lawsuits filed | lawsuit

3

Consolidated Action and the Massachusetts Action

Legal Proceedings

Global fees and expense payments to counsel

$ 400

Insurance policy for covering the plaintiffs' counsel's fees and expenses

$ 50

General and Administrative Expense

$ 350

Agreed to pay a combined global fee amount

$ 400

Period for payment of litigation settlement amount

10 days

Reliance Life Sciences Ltd

Legal Proceedings

Termination period

3 years

BOW015 | Reliance Life Sciences Ltd | Settlement Agreement

Legal Proceedings

General and Administrative Expense

2,183

$ 2,183

Number of batches to be manufactured as per agreement | item

20

Number of initial batches to be manufactured on or before June 30,2016 | item

15

Number of final batches to be manufactured on or before December 31, 2016 | item

5

Agreed to pay as a fee

$ 2,250

Number of installments for payable of amount agreed | installment

4

Maximum payment term for final installment

10 days

Payment amount

$ 750

561

One-time charge of research and development expense

$ 1,800

$ 1,800

Subsequent Events (Details)

Subsequent Events (Details) - Jul. 13, 2015 - Collaboration Agreement - Subsequent event	productitem
Percentage of costs under development program	49.00%
Percentage of profits and losses sharing under development programs	49.00%
Polpharma
Number of product programs | item	3
Percentage of costs under development program	51.00%
Percentage of profits and losses sharing under development programs	51.00%
Polpharma | North America
Number of products exclusive rights retained	3