EPIRUS Biopharmaceuticals (EPRSQ) 10-Q 16 Nov 15 2015 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2015	Nov. 09, 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	Sep. 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		24,377,573
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q3

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 44,424	$ 21,462
Accounts receivable	217
Asst held-for-sale	3,829
Prepaid expenses and other current assets	1,838	1,556
Deferred tax asset	274
Total current assets	50,582	23,018
Property and equipment, net	1,189	704
In-process research and development		5,500
Intangible assets, net	5,422	3,605
Goodwill	27,838	16,363
Restricted cash	1,825	1,825
Other assets	214	374
Total assets	87,070	51,389
Current liabilities:
Accounts payable	2,985	2,483
Accrued expenses	6,422	4,101
Short term debt, net of debt discount	2,263
Accrued acquisition costs	5,141
Accrued contingent consideration	1,601
Deferred revenue	347	50
Current portion of settlement obligation	959
Other current liabilities	395	557
Liabilities held-for-sale	995
Deferred tax benefit	185	185
Total current liabilities	21,293	7,376
Long term debt, net of debt discount	12,567	7,282
Deferred revenue, net of current portion	1,182	946
Deferred tax liability	472	2,166
Deferred tax benefit, net of current portion	415	553
Other non-current liabilities	$ 440	$ 665
Commitments and contingencies (Note 14)
Stockholders' equity:
Preferred stock $0.001 par value; Authorized - 5,000,000 shares; Issued and Outstanding - 0 shares at September 30,2015 and December 31, 2014
Common stock, $0.001 par value; Authorized - 70,000,000 and 300,000,000 shares at September 30, 2015 and December 31, 2014, respectively; Issued - 24,383,264 and 12,934,102 shares at September 30, 2015 and December 31, 2014, respectively; Outstanding - 24,383,264 and 12,920,843 shares at September 30, 2015 and December 31, 2014, respectively	$ 24	$ 13
Additional paid-in capital	174,050	118,959
Other comprehensive income	(8)
Accumulated deficit	(123,365)	(86,571)
Total stockholders' equity	50,701	32,401
Total liabilities, convertible preferred stock and stockholders' equity	$ 87,070	$ 51,389

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 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	24,383,264	12,934,102
Common stock, shares outstanding	24,383,264	12,920,843

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Revenues:
Revenue	$ 221		$ 291
Operating expenses:
Research and development	9,172	$ 5,397	20,526	$ 11,488
General and administrative	5,091	8,532	16,037	17,612
Total operating expenses	14,263	13,929	36,563	29,100
Loss from operations	(14,042)	(13,929)	(36,272)	(29,100)
Other income (expense):
Interest income (expense), net	(368)	1	(963)	(2,390)
Change in fair value of warrant liability		(23)		(222)
Other income (expense), net	(22)	(5)	(59)	285
Total other income (expense), net	(390)	(27)	(1,022)	(2,327)
Loss before income taxes	(14,432)	(13,956)	(37,294)	(31,427)
Benefit (loss) from income taxes	445	21	500	(18)
Net loss	$ (13,987)	$ (13,935)	$ (36,794)	$ (31,445)
Net loss per share - basic and diluted	$ (0.59)	$ (1.28)	$ (1.66)	$ (8.15)
Weighted average number of common shares used in net loss per share calculation--basic and diluted	23,750,820	10,846,655	22,199,801	3,857,027
Comprehensive loss	$ (13,995)	$ (13,935)	$ (36,802)	$ (31,445)

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Cash flows from operating activities:
Net loss	$ (36,794)	$ (31,445)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	299	66
Non-cash interest expense	354	2,354
Stock-based compensation and vesting of restricted stock	2,256	1,314
Foreign exhange adjustments	(8)
Deferred rent and lease incentive activity	(28)
Loss on disposal of equipment	1
Loss on impariment of asset held for sale	1,671
Deferred taxes	(543)	(138)
Extinguishment of convertible notes		(22)
Change in fair value of warrants		222
Other non-cash activity		66
Changes in operating assets and liabilities:
Prepaid expenses and other current assets	(131)	(599)
Accounts receivable	(56)
Restricted cash		50
Other non-current assets	156	(130)
Accounts payable	331	(897)
Accrued expenses and other current liabilities	1,507	880
Other non-current liabilities	(197)	(84)
Deferred revenue	97	1,000
Settlement obligation	959
Net cash used in operating activities	(30,126)	(27,363)
Cash flows from investing activities:
Cash acquired in acquisition	833	13,756
Payment to stockholders of Bioceros	(3,400)
Purchases of property and equipment	(125)	(115)
Net cash provided by (used in) investing activities	(2,692)	13,641
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		90
Proceeds from the exercise of preferred stock warrants	318	334
Repurchases of common stock		(297)
Net cash provided by financing activities	55,780	35,605
Net increase (decrease) in cash and cash equivalents	22,962	21,883
Cash and cash equivalents - Beginning of period	21,462	1,798
Cash and cash equivalents - End of period	44,424	23,681
Supplemental disclosure of cash flow information
Cash paid for interest	611
Cash paid for income taxes	66
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
Conversion of preferred stock into common stock		79,452
Conversion of preferred stock warrants to equity		167
Issuance of warrants in connection with Hercules debt		248
Leasehold improvements incurred by landlord		477
Fair value of assets and liabilities acquired in the Acquisition (Note 6):
Fair value of assets acquired in the Acquisition	16,200
Fair value of liabilities assumed in the Acquisition	(1,577)
Fair value of net assets acquired in the Acquisition	$ 14,623
Fair value of assets and liabilities acquired in the Merger (Note 5):
Fair value of assets acquired in the Merger		36,223
Fair value of liabilities assumed in the Merger		(4,899)
Fair value of net assets acquired in the Merger		$ 31,324

Organization

Organization	9 Months Ended
	Sep. 30, 2015
Organization
Organization	1. Organization EPIRUS Biopharmaceuticals, Inc. (the “Company”) is a global biopharmaceutical company focused on building a pure-play, sustainable, profitable and global biosimilar business. Biosimilars are highly similar versions of approved patented biological drug products, referred to as re ference or innovator products. In particular, a biosimilar must demonstrate that it is highly similar to the reference product with respect to its product characteristics and that it shows no clinically meaningful differences in terms of safety and effectiveness. The Company’s goal is to improve global patient access to important, cost-effective medicines. The Company is headquartered in Boston, Massachusetts, with laboratories and technical capabilities, including the Company’s proprietary CHO BC® cell line platform, in Utrecht, the Netherlands, and business operations, clinical and regulatory teams based in Zug, Switzerland. Since its inception, the Company has maintained in-house technical capabilities supported by external vendor laboratories. In September 2015, the Company acquired its primary vendor laboratory, Bioceros Holding B.V., a Netherlands company (“Bioceros”), to expand its biosimilar pipeline and to vertically integrate its product development capabilities. The Company entered into and closed a definitive Stock Purchase Agreement with Bioceros and purchased all of the outstanding shares of the share capital of Bioceros. As a result of the acquisition, Bioceros has become the Company’s wholly-owned subsidiary, renamed Epirus Biopharmaceuticals (Netherlands) B.V. See Note 6 , “ Acquisition ,” for additional discussion of the acquisition of Bioceros . Bioceros is focused on the development of monoclonal antibodies (mAbs) . The Company acquired Bioceros’ proprietary CHO BC cell line platform, all related intellectual property rights, a fully equipped laboratory and bioreactor capabilities designed for the development of mAbs and protein therapeutics, with a focus on biosimilars, including capabilities for the production of three new biosimilar product candidates to add to the Company’s pipeline of biosimilar product candidates, as further described below. The Company believes that the addition of Bioceros staff and capabilities, combined with existing in-house expertise, provides the Company with a strong technical foundation to accelerate product development and optimize product quality. Specifically, the Company believes that its ability to rapidly and efficiently conduct and repeat experiments to optimize product quality and cell line titers and process yields will allow it to reduce regulatory risk and manage long term cost of goods. The Company’s pipeline of biosimilar product candidates includes BOW015, a biosimilar version of Remicade ® (infliximab), BOW050, a biosimilar version of Humira ® (adalimumab), BOW070, a biosimilar version of Actemra ® (tocilizumab), BOW080, a biosimilar version of Soliris ® (eculizumab), BOW090, a biosimilar version of STELARA ® (ustekinumab) and BOW100, a biosimilar version of SIMPONI ® (golimumab). 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. Using this regulatory package, the Company filed for and received approval in India in September 2014, and has filed for approval in additional markets including Malaysia, Thailand and Indonesia. In collaboration with the Company’s commercialization partner Sun Pharmaceutical Industries Ltd. (“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. In November 2015, the Company completed manufacturing readiness for BOW015 to support the initiation of a global clinical program for BOW015 in early 2016. The Company has been designing this clinical program in consultation with European regulatory bodies in order to obtain the data that may be necessary to support potential approval of BOW015 in developed markets. The Company expects to file for approval of BOW015 in developed markets, including Europe, Canada, Australia and the United States, in 2017. For the remainder of the Company’s pipeline products, the Company expects that its filings will be global and harmonized. On July 15, 2014, EPIRUS Biopharmaceuticals, Inc., a Delaware corporation and private company ("Private Epirus"), completed its merger with EB Sub, 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 .

Basis of Presentation and Use o

Basis of Presentation and Use of Estimates	9 Months Ended
	Sep. 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 nine months ended September 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	9 Months Ended
	Sep. 30, 2015
Summary of Significant Accounting Policies
Summary of Significant Accounting Policies	3. Summary of Significant Accounting Policies In the three and nine months ended September 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 as of September 30, 2015 : EB Sub, Inc., a Delaware Corporation, Epirus Biopharmaceuticals Ltd., a United Kingdom corporation, Epirus Biopharmaceuticals (Switzerland) GmbH, a Swiss corporation, Epirus Brasil Tecnologia Ltda, a Brazilian corporation, Epirus Biopharmaceuticals (Netherlands) B.V., a Netherlands corporation, and Zalicus Pharmaceuticals Ltd., a Canadian corporation . All significant intercompany balances and transactions have been eliminated in conso lidation. 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. When performing the impairment assessment of in-process research and development (“IPR&D”), the Company first assesses qualitative factors to determine whether it is necessary to recalculate the fair value of its acquired IPR&D. If the Company determines, as a result of the qualitative assessment, that it is more likely than not that the fair value of acquired IPR&D is less than its carrying amount, it calculates the asset's fair value. If the carrying value of the Company's acquired IPR&D exceeds its fair value, then the intangible asset is written down to its fair value. Goodwill is evaluated for impairment within the Company's single reporting unit on an annual basis, during the fourth quarter, or more frequently if an event occurs or circumstances change that would more likely than not reduce the fair value of the Company's reporting unit below its carrying amount. When performing the impairment assessment, the accounting standard for testing goodwill for impairment permits a company to first assess the qualitative factors to determine whether the existence of events and circumstances indicates that it is more likely than not that the goodwill is impaired. If the Company believes, as a result of the qualitative assessment, that it is more likely than not that the fair value of goodwill is impaired, the Company must perform the first step of the goodwill impairment test. As described in Note 7, the IPR&D has been classified as held-for-sale as of September 30, 2015. During the three and nine months ended September 30, 2015, the Company determined that there was an impairment related to the IPR&D acquired in the Merger. As a result, the Company has recorded a loss on impairment of IPR&D in the amount of $1,671 in the three and nine months ended September 30, 2015. This impairment charge was recorded within research and development expense. 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. Going Concern In August 2014, the FASB issued Accounting Standards Update (“ASU”) No. 2014-15, Presentation of Financial Statements—Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to continue as a Going Concern. This ASU is intended to define management’s responsibility to evaluate whether there is substantial doubt about an organization’s ability to continue as a going concern within one year of the date of issuance of the entity’s financial statements and to provide related footnote disclosures. This guidance is effective for fiscal years beginning after December 15, 2016, with early application permitted. The Company is currently evaluating what effect, if any, the adoption of this guidance will have on the disclosures included in its condensed 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 Combinations In September 2015, the FASB issued ASC Update No. 2015-16, Business Combinations (Topic 805): Simplifying the Accounting for Measurement - Period Adjustments . Update No. 2015-16 eliminates the requirement to restate prior period financial statements for measurement period adjustments following a business combination. Update No. 2015-16 requires that the cumulative impact of a measurement period adjustment (including the impact on prior periods) be recognized in the reporting period in which the adjustment is identified. The prior period impact of the adjustment should be either presented separately on the face of the income statement or disclosed in the notes. Update No. 2015-16 is effective for fiscal years beginning after December 15, 2015. The adoption of Update No. 2015-16 is not expected to have a material impact on the Company’s financial position or results of operations.

Business Agreements

Business Agreements	9 Months Ended
	Sep. 30, 2015
Business Agreements
Business Agreements	4. Business Agreements Sun Pharmaceutical Industries (formerly known as Ranbaxy Laboratories) For the three and nine months ended September 30, 2015, the Company recorded royalty revenue of $28 and $82 , 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 September 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 “ Sun 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 Sun 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 September 30, 2015. Mabxience, S.A. On May 13, 2015, the Company entered into an Exclusive License Agreement (the “MabX 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 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 $1,500 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 September 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. Polpharma On July 13, 2015, the Company entered into a Collaboration Agreement (the “ Polpharma Collaboration 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 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 Polpharma 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 Polpharma Collaboration Agreement, subject to limited exceptions. Under the Polpharma 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 total costs associated with the development programs for the three products in the designated territories . For clinical trial costs incurred in connection with global development, the cost sharing ratio is changed from 100% to 38% of total costs. As a result, Polpharma will bear 19% and the Company will bear 81% of total clinical trial costs incurred. 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. For the three and nine months ended September 30, 2015, the Company recorded revenue of $50 related to this agreement. No amounts were invoiced by the Company nor were any payments made by Polpharma as of September 30, 2015. Livzon Mabpharm On September 24, 2015, the Company entered into a New Collaboration Compound Supplement to the Collaboration Agreement (the “Supplement Agreement”) with Livzon Mabpharm Inc. (“Livzon”). The Supplement Agreement amends the Exclusive License and Collaboration Agreement, dated as of September 24, 2014, by and between the Company and Livzon (the “ Livzon Collaboration Agreement”), to add the Company’s product candidate, BOW070, a biosimilar version of Actemra ® (tocilizumab), as one of the additional compounds to be developed and commercialized pursuant to the terms of the Livzon Collaboration Agreement. Under the Supplement Agreement, the Company and Livzon each granted the other party, in the other party’s territory, exclusive, royalty-bearing licenses under certain patent rights and know-how to develop, manufacture and commercialize BOW070. Livzon’s territory consists of China, Hong Kong, Macau and Taiwan, and the Company’s territory consists of the rest of the world. Livzon will be responsible for certain pre-clinical development activities, including analytical and process development, characterization work and formulation development, with the costs for such pre-clinical development activities to be borne by both parties, and each party will be responsible at its sole expense for clinical development, regulatory filings and approvals, and commercialization of BOW070 in each such party’s territory. Livzon will be a preferred supplier of BOW070 for clinical and commercialization purposes, subject to Livzon’s satisfaction of certain performance criteria. As part of such preferred supplier designation, the parties have agreed to certain minimum supply price and purchase commitments following commercial launch of BOW070. The Company will pay a total of $4,500 to Livzon to complete the pre-clinical development activities, consisting of: (i) an initial cash payment of $1,500 within 10 days of entry into the Supplement Agreement , which amount was paid on October 10, 2015, and (ii) three additional cash payments of $1,000 each upon the achievement of certain pre-clinical development milestones. The Company is expensing costs under the Supplement Agreement , as incurred, over the period that the work is performed (currently estimated at 18 months). The Company did not record any expense under the Supplement Agreement as of September 30, 2015. Each of the parties is eligible to receive from t he other party royalty payments, based on gross margin of BOW070 in the other party’s territory, ranging from the low- to mid-single digit percentages. As of September 30, Livzon owned approximately 7% of the Company’s issued and outstanding common stock.

Merger

Merger	9 Months Ended
	Sep. 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 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 1 2 , “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 Total liabilities assumed Total net assets acquired $ The purchase price allocation was prepared on a preliminary basis and was subject to change as additional information became available concerning the tax basis of the assets acquired and the liabilities assumed. All adjustments to the purchase price were made within 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 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 represents the temporary difference associated with the $5,500 value of the IPR&D asset, which is not deductible for tax purposes. During the three months ended September 30, 2015, the Company completed its analysis of the tax basis of the IPR&D asset and reduced the preliminary deferred tax liability of $2,166 to $1,430 resulting in an adjustment to goodwill of $736 . 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 nine months ended September 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 .

Acquisition

Acquisition	9 Months Ended
	Sep. 30, 2015
Acquisition
Acquisition	6. Acquisition On September 9, 2015, the Company entered into a stock purchase agreement (the “Stock Purchase Agreement”) whereby it acquired 100% of the voting interests of Bioceros Holding B.V. (“Bioceros”), enabling the Company to expand its biosimilar pipeline and vertically integrate product development capabilities. Bioceros was a privately-held, Netherlands-based biopharmaceutical R&D company focused on the development of mAbs and generation of GMP-ready cell lines. From the Bioceros platform, the Company will expand its pipeline with the addition of three preclinical product candidates: BOW080, a proposed biosimilar to eculizumab (reference biologic Soliris ® ); BOW090, a proposed biosimilar to ustekinumab (reference biologic STELARA ® ); and BOW100, a proposed biosimilar to golimumab (reference biologic SIMPONI ® ). Soliris, marketed by Alexion Pharmaceuticals, is currently indicated to treat ultra-rare blood disorders, including paroxysmal nocturnal hemoglobinuria (PNH) and atypical hemolytic uremic syndrome (aHUS). SIMPONI and STELARA are marketed by Janssen Pharmaceuticals and indicated in inflammatory and immune mediated disorders. Epirus will pay a total of $14,668 in consideration, undiscounted, consisting of: (i) an initial cash payment of $3,400 at closing, (ii) a second cash payment of $1,700 , to be paid on the first anniversary of the closing date, (iii) an initial issuance of 788,960 shares of the Company’s common stock, $0.001 par value per share (the “Common Stock”), with a value of $4,568 and (iv) a second issuance of shares of Common Stock with a value of $5,000 , calculated based on the Company’s stock price as set forth in the Stock Purchase Agreement, to be issued on the date that is six months after the closing date (“Second Installment Shares”), subject to the Company’s setoff rights with regard to the second cash payment and Second Installment Shares. Of the Second Installment Shares, shares with an undiscounted value of $1,015 are to be issued to Bioceros key employees and are subject to those employees’ continued employment. In addition, the shareholders of Bioceros will receive a pro rata share of a net cash payout equal to the aggregate amount of: (a) Bioceros’ net working capital as the acquisition date; plus (b) cash received from Bioceros customers subsequent to the acquisition date and through December 31, 2015; in excess of (c) $1,200 , calculated as set forth in the Stock Purchase Agreement. Second Installment Shares As described above, shares with an undiscounted value of $1,015 from the Second Installment Shares are to be issued to Bioceros key employees and are subject to those employees’ continued employment. Pursuant to the Stock Purchase Agreement, 75% of the shares to be issued to Bioceros key employees on March 9, 2016 in connection with the Second Installment Shares will be held in an escrow account and released in three equal installments 12, 18 and 24 months after the closing date, unless the employee is terminated for cause or voluntarily resigns prior to each release date. The other 25% will be paid when issued as of March 9, 2016, unless the employee is terminated for cause or voluntarily resigns prior to this date. As a result, the consideration related to such $1,015 of shares was determined to be attributable to post-combination service to Epirus and will be recognized as stock-based compensation expense by the combined company as the shares vest. The Company recognized $30 of stock-based compensation expense related to those shares in the condensed consolidated statement of operations and other comprehensive income for the nine months ended September 30, 2015. The acquisition-date fair value of the consideration transferred is as follows: Initial equity consideration paid at closing Initial shares issued to Bioceros shareholders Price per Epirus share at issuance $ $ Initial cash consideration paid at closing Total consideration paid at closing Settlement of preexisting Epirus accounts payable to Bioceros (1) Second Installment Shares, excluding key employee stock compensation expense (2) Net cash payout (3) Final payment of cash consideration (4) Preliminary estimated purchase price $ (1) Represents the settlement of preexisting accounts payable to Bioceros as a result of activity prior to the transaction. (2) Represents the fair value of the undiscounted $3,985 of Second Installment Shares to be paid and issued on March 9, 2016, which excludes the undiscounted $1,015 of shares to be issued to Bioceros key employees contingent upon the delivery of postcombination service to the Company, as described above. This amount has been recorded as a liability on the Company’s condensed consolidated balance sheet, because it represents an obligation to issue a variable number of shares based on a fixed dollar amount of $3,985, and recorded at fair value utilizing a discount rate of 17% . (3) Represents the fair value of the net cash payout to be made pursuant to the Stock Purchase Agreement. This amount has been recorded as a contingent consideration liability on the Company’s condensed consolidated balance sheet and recorded at fair value utilizing a discount rate of 17%. The amount of the net cash payout is dependent on the amount of cash received by the Company from Bioceros customers through December 31, 2015. The Company estimates that this amount will be between $1,200 and $1,600 . (4) Represents the fair value of the final cash payment of $1,700, which, pursuant to the Stock Purchase Agreement, the Company will pay on September 9, 2016. This amount has been recorded as a liability on the Company’s condensed consolidated balance sheet and recorded at fair value utilizing a discount rate of 17%. The following table summarizes the preliminary estimated fair values of the assets acquired and liabilities assumed at the date of acquisition: September 9, 2015 Cash and cash equivalents $ Deferred tax assets Prepaid expenses and other current assets Property and equipment, net Intangible assets, net Goodwill Accounts payable Accrued expenses and other current liabilities Deferred revenue Deferred tax liabilities Net assets acquired $ The purchase price allocation has been prepared on a preliminary basis and is subject to change as additional information becomes available concerning the fair value and tax basis of the assets acquired and the liabilities assumed. The purchase price allocation will remain preliminary until Epirus completes a final valuation of the assets acquired and liabilities assumed, including deferred tax assets and liabilities, deferred revenue and the identification and valuation of all intangible assets, as of the transaction closing date. The excess of consideration transferred over the estimated fair value of net identifiable assets acquired will be allocated to goodwill, which represents the expected synergies between the companies and acquired workforce. Goodwill is not expected to be deductible for tax purposes. The final determination of the allocation of consideration transferred is expected to be completed as soon as practicable, but will in no event exceed one year from September 9, 2015, the closing date. The final amounts allocated to assets acquired and liabilities assumed could differ significantly from the amounts presented above. For acquired working capital accounts such as accounts receivable, prepaid expenses and other current assets, including deferred tax assets, accounts payable and certain accrued expenses, Epirus determined that no preliminary fair value adjustments were required due to the short timeframe until settlement for these assets and liabilities. The Company acquired gross contractual accounts receivable of $248 , which it determined represents fair value and expects to collect in full. Intangible asset, or acquired know how technology, currently represent the preliminary estimated fair value for the CHOBC® cell line platform and cell line technology platform which will be the platform for future research. Based on the estimated time to commercialization and other factors, the intangible asset is being amortized over a 20 year expected useful life, which is the estimated period of time the Company expects to receive benefit from the platform during its development processes. The estimated fair value of the intangible was determined based on a cost approach. The present value of the investment costs was then determined utilizing an estimated risk-adjusted discount rate. The estimated fair value may be adjusted based upon the final valuation and any such adjustments could be significant. The final valuation is expected to be completed within one year from the acquisition closing date. If the platform becomes impaired or is abandoned, the carrying value of the related intangible asset will be written down to its fair value and an impairment charge will be recorded in the period in which the impairment occurs. The Company is currently evaluating whether certain additional intangible assets were acquired and will be assessing the value of these assets within one year from the acquisition date. Goodwill represents the excess of the preliminary estimated purchase price over the preliminary estimated fair value of the assets acquired and liabilities assumed and recognizes results from the expected synergies from combining operations of the Bioceros technical team’s expertise and the Company’s existing pipeline and management expertise. The Company believes that the addition of Bioceros staff and capabilities, combined with existing in-house expertise, provides the Company with a strong technical foundation to accelerate product development and optimize product quality. Goodwill will not be amortized, but will be evaluated for impairment on an annual basis or more frequently if an event occurs or circumstances change that would more-likely-than-not reduce the fair value below its carrying amount. In the event that Epirus determines that the value of goodwill has become impaired, an impairment charge will be recorded in the period in which the determination is made. Deferred revenue balances were preliminarily adjusted to amounts that represent the estimated costs to fulfill the underlying obligations plus a normal profit margin, consistent with what the Company determined to be a market participant’s estimate of such costs and profit margin. The deferred tax liability relates to the temporary difference associated with the preliminary estimated value of the intangible asset and has been estimated using a 25% effective tax rate. The operating results of Bioceros for the period from September 9, 2015 to September 30, 2015, include revenue of $131 and an operating loss of $80 have been included in the Company’s condensed consolidated financial statements as of and for the three and nine months ended September 30, 2015. The Company incurred a total of $502 in transaction costs in connection with the transaction, excluding Bioceros transaction costs, which were included in selling, general and administrative expense within the condensed consolidated statement of operations and other comprehensive income for the nine months ended September 30, 2015. Proforma revenue and earnings are not disclosed as the Company has not yet been able to obtain the required information from the acquired company. Fiscal year 2015 and fiscal year 2014 pro forma information will be presented in the Company’s 2015 Annual Report on Form 10-K.

Goodwill, IPR&D and Intangible

Goodwill, IPR&D and Intangible Assets, Net	9 Months Ended
	Sep. 30, 2015
Goodwill, IPR&D and Intangible Assets, Net
Goodwill, IPR&D and Intangible Assets, Net	7 . Goodwill, IPR&D and Intangible Assets, Net Goodwill The Company’s goodwill balance as of September 30, 2015 was $27,838 . As of September 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 the Company’s product candidate Z944. The carrying value of the IPR&D related to Z944 as of December 31, 2014 was $5,500 . See Note 5, “Merger,” for additional details. This asset was sold on October 1, 2015 as part of a Share Purchase Agreement with Taro Pharmaceuticals Inc. and the Company has classified the IPR&D as held-for-sale as of September 30, 2015. See Note 17, “Subsequent Events,” for more details. As a result, in September 2015, the Company performed an impairment analysis of this asset and recognized an impairment charge of $1,671 which was recorded within research and development expense and reduced the carrying value of the IPR&D asset to $3,82 9 . The Company determined the fair value of IPRD utilizing the income approach . Intangibles In connection with the Acquisition in September 2015 , the Company recognized an intangible asset related to Bioceros’ platform technology . The carrying va lue of the intangible asset related to the platform technology as of September 30, 2015 was $1,992 . See Note 6, “Acquisition, ” for additional details. Intangible assets, net of accumulated amortization is as follows: September 30, 2015 December 31, 2014 Intangible assets (excluding IPR&D) $ $ Total intangible assets (excluding IPR&D) Less: accumulated amortization—intangible assets Intangible assets, net (exlcuding IPR&D) $ $ Amortization expense, which is included within research and development expense in the consolidated statements of operations and comprehensive loss, was $62 and $175 for the three and nine months ended September 30, 2015, respectively, and $0 for the three and nine months ended September 30, 2014. The weighted average amortization period for intangible assets is 10 years. The estimated aggregate amortization of intangible assets as of September 30, 2015, for each of the five succeeding years and thereafter is as follows: September 30, 2015 October 1, 2015 - December 31, 2015 $ 2016 2017 2018 2019 2020 and thereafter Total $

Accrued Expenses and Other Curr

Accrued Expenses and Other Current Liabilities	9 Months Ended
	Sep. 30, 2015
Accrued Expenses and Other Current Liabilities
Accrued Expenses and Other Current Liabilities	8 . Accrued Expenses and Other Current Liabilities Accrued expenses consisted of the following: September 30, 2015 December 31, 2014 Accrued clinical and development expenses $ $ Accrued compensation Accrued professional fees Accrued interest expense Other Total accrued expenses $ $

Debt

Debt	9 Months Ended
	Sep. 30, 2015
Debt
Debt	9 . Debt Hercules Notes As of September 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 September 30, 2015, the Company has recorded a short term debt obligation of $2,263 , net of a debt discount of $26 and a long-term debt obligation of $12,567 , net of debt discount of $144 . Amortization of the debt discount, which was recorded as interest expense in the statement of operations, was approximately $17 and $48 for the three and nine months ended September 30, 2015, respectively. There was no related amortization expense within the 2014 periods. 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 September 30, 2015 are as follows: Principal Payments October 1, 2015 - December 31, 2015 $ — 2016 2017 2018 Total $

Capital Stock

Capital Stock	9 Months Ended
	Sep. 30, 2015
Capital Stock
Capital Stock	10 . 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 the exercise of this overallotment option 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. On September 9, 2015 the Company issued 788,960 shares of its common stock to former holders of Bioceros preferred and common stock in connection with the acquisition of Bioceros (see Note 6).

Stock-Based Compensation

Stock-Based Compensation	9 Months Ended
	Sep. 30, 2015
Stock-Based Compensation
Stock-Based Compensation	1 2 . 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 nine months ended September 30, 2015, the Company recognized stock-based compensation expense of approximately $898 and $ 2,267 respectively, in connection with its stock-based payment awards. The Company recorded a reduction in stock-based compensation expense in the nine months ended September 30, 2015 of $100 resulting from the modification of an award for a former officer of the company. For the three and nine months ended September 30, 2014, the Company recognized stock-based compensation expense of approximately $943 and $1,314 , respectively, in connection with its stock-based payment awards. Stock Options A summary of stock option activity during the nine months ended September 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 September 30, 2015 $ $ Vested and expected to vest at: September 30, 2015 $ $ Exercisable at: September 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 September 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 September 30, 2015. As of September 30, 2015, there was $ 10,080 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 2.93 years. During the three and nine months ended September 30, 2015 and 2014, the range of assumptions used in the Black-Scholes pricing model for new grants were as follows: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Risk-free interest rate 1.95% - 2.01% 1.51% - 1.96% 1.91% - 2.09% Expected volatility 65.84% - 65.94% 61.40% - 67.65% 64.07% - 66.07% Expected term (in years) 5.3 - 6.00 Expected dividend yield Restricted Stock Units A summary of the activity of nonvested restricted stock units (“RSUs”) for the nine months ended September 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 — — Nonvested at September 30, 2015 $ $ Vested and expected to vest at: September 30, 2015 $ Exercisable at: September 30, 2015 — — — — As of September 30, 2015, there was $1,093 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. 2 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 in connection with the Livzon Collaboration Agreement . 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 September 30, 2015, the award was fully vested. As of September 30, 2015, the Company had outstanding 0 shares of nonvested restricted common stock. As of 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 nine months ended September 30, 2015, the Company recorded $ 21 and $58 in stock compensation expense related to the nonvested restricted common stock award. During the three and nine months ended September 30, 2014, the Company recorded $98 in stock compensation expense related to the nonvested restricted common stock.

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2015
Income Taxes
Income Taxes	1 3 . Income Taxes For the three and nine months ended September 30, 2015, the Company recorded an income tax benefit of $445 and $ 500 , respectively. For the three months ended September 30, 2015, the income tax benefit resulted primarily from the impairment of intangible assets and the related adjusted deferred tax of $434 , 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 $10 and taxes due in the United States of $25 . For the nine months ended September 30, 2015, the income tax benefit resulted primarily from the impairment of intangible assets and the related adjusted deferred tax of $434 , amortization of the Tax Benefit of $138 offset in part by tax expense for cash flows generated in foreign territories of $40 and taxes due in the United States of $32 . For the three and nine months ended September 30, 2014, the Company recorded an income tax benefit of $21 and income tax expense of $18 , respectively. For the three months ended September 30, 2014, the income tax benefit resulted primarily due to amortization of the Tax Benefit of $46 offset by tax expense for cash flows generated in foreign territories of $25 . For the nine months ended September 30, 2014, the income tax expense resulted primarily from tax expense for cash flows generated in foreign territories of $176 offset in part by amortization of the Tax Benefit of $138 and a tax benefit from the reversal of the Alternative Minimum Tax (the “AMT”) due for fiscal year ended December 31, 2013 (“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 except the Netherlands. Accordingly, the deferred tax assets have been fully reserved as of September 30, 2015 and December 31, 2014.

Commitments

Commitments	9 Months Ended
	Sep. 30, 2015
Commitments
Commitments	1 4 . 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. On September 9, 2015, the Company acquired Bioceros, located in Utrecht , The Netherlands. As part of the Acquisition, the Company acquired a lease for approximately 5,800 square feet consisting of lab and office space. The lease commenced on January 1, 2011 for a period of seven years. The Company will record approximately $23 of per month on a straight-line basis over the effective lease term. On October 15, 2015, the Company signed a lease for approximately 4,400 square feet of office space in Zug, Switzerland. The Company has committed to lease this space through March 31, 2017 and will record approximately $16 per month on a straight-line basis over the effective lease term. As of September 30, 2015, future minimum lease payments under all of the Company’s operating leases are as follows: September 30, 2015 October 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	9 Months Ended
	Sep. 30, 2015
Net Loss Per Share
Net Loss Per Share	1 5 . 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 nine months ended September 30, 2015 and 2014, as they would be anti- dilutive. In addition, Second Installment Shares issuable to former Bioceros shareholders with a value of $5,000 to be issued in March 2016 have been excluded from the computation of diluted weighted-average shares outstanding for the three and nine months ended September 30, 2015 (Note 6). As of September 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 —

Legal Proceedings

Legal Proceedings	9 Months Ended
	Sep. 30, 2015
Legal Proceedings
Legal Proceedings	1 6 . Legal Proceedings From time to time, the Company is involved in legal proceedings and claims of various types , and it 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. The Company is not currently a party to any material pending legal proceedings, and management is not aware of any contemplated proceedings by any governmental authority against the Company. 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 and made an additional payment of $500 on September 10, 2015. For the nine months ended September 30, 2015, the Company recorded a one-time charge of $2,18 3 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 nine months ended September 30, 2015, which represents the Company’s portion of the purchase obligation of the 15 binding forecasted batches to be manufactured on or before June 30, 2016 by RLS. As of September 30, 2015, the Company has paid $561 towards this obligation.

Subsequent Events

Subsequent Events	9 Months Ended
	Sep. 30, 2015
Subsequent Events
Subsequent Events	17 . Subsequent Events Zalicus Pharmaceuticals Ltd. Sale On October 1, 2015, the Company entered into and closed a Share Purchase Agreement (the “Purchase Agreement”) with Taro Pharmaceuticals Inc. (“Taro”) for the sale by the Company to Taro of all of the shares of Zalicus Pharmaceuticals Ltd., the Company’s Canadian subsidiary that holds the Company’s product candidate Z944 and certain related assets (collectively, the “Z944 Assets”) which the Company acquired as a result of its merger with Zalicus Inc. in July 2014 (such sale, the “Zalicus Ltd. Sale”). As a result of the Zalicus Ltd. Sale, the Company received from Taro payment comprised of Canadian Dollar (“CAD”) $5,000 in cash and a non-interest bearing, limited recourse promissory note in the amount of CAD $5,000 with a maturity date of July 1, 2017 (the “Promissory Note”). The Promissory Note is repayable either in cash or through Taro’s transfer back of the Z944 Assets, including any further developments made by Taro to such assets, to the Company. No repayment of the Promissory Note is required until such maturity date. If Taro elects to repay the Promissory Note in cash and continue development of the Z944 Assets, the Company will also be entitled to additional payments of up to USD $7,500 upon achievement of certain regulatory filings and approvals of the Z944 Assets, up to USD $30,000 upon achievement of certain sales milestones for the Z944 Assets, and mid-single digit percentage royalty payments upon global commercial sales of products developed with the Z944 Assets, with such percentage to be reduced in the event of commercial sales of competing generic products under certain circumstances. The Purchase Agreement further requires Taro to use customary commercially reasonable efforts to develop the Z944 Assets, subject to the Company’s reversion right to such assets for any material breach following standard notice and cure periods. As of September 30, 2015, the Company classified the disposal group of Zalicus Ltd. as held-for-sale. As described in Note 7, the Company performed an impairment analysis of the IPR&D asset held by Zalicus Ltd. and recognized an impairment charge of $1,671 which was recorded within research and development expense during the quarter ended September 30, 2015 and reduced the carrying value of the IPR&D asset to $3,82 9 . As of September 30, 2015, assets held-for-sale: in-process research and development totaled $3,829 and liabilities held-for-sale: deferred tax liability totaled $995 on our condensed consolidated balance sheet.

Summary of Significant Accoun22

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 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 as of September 30, 2015 : EB Sub, Inc., a Delaware Corporation, Epirus Biopharmaceuticals Ltd., a United Kingdom corporation, Epirus Biopharmaceuticals (Switzerland) GmbH, a Swiss corporation, Epirus Brasil Tecnologia Ltda, a Brazilian corporation, Epirus Biopharmaceuticals (Netherlands) B.V., a Netherlands corporation, and Zalicus Pharmaceuticals Ltd., a Canadian corporation . All significant intercompany balances and transactions have been eliminated in conso lidation.
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. When performing the impairment assessment of in-process research and development (“IPR&D”), the Company first assesses qualitative factors to determine whether it is necessary to recalculate the fair value of its acquired IPR&D. If the Company determines, as a result of the qualitative assessment, that it is more likely than not that the fair value of acquired IPR&D is less than its carrying amount, it calculates the asset's fair value. If the carrying value of the Company's acquired IPR&D exceeds its fair value, then the intangible asset is written down to its fair value. Goodwill is evaluated for impairment within the Company's single reporting unit on an annual basis, during the fourth quarter, or more frequently if an event occurs or circumstances change that would more likely than not reduce the fair value of the Company's reporting unit below its carrying amount. When performing the impairment assessment, the accounting standard for testing goodwill for impairment permits a company to first assess the qualitative factors to determine whether the existence of events and circumstances indicates that it is more likely than not that the goodwill is impaired. If the Company believes, as a result of the qualitative assessment, that it is more likely than not that the fair value of goodwill is impaired, the Company must perform the first step of the goodwill impairment test. As described in Note 7, the IPR&D has been classified as held-for-sale as of September 30, 2015. During the three and nine months ended September 30, 2015, the Company determined that there was an impairment related to the IPR&D acquired in the Merger. As a result, the Company has recorded a loss on impairment of IPR&D in the amount of $1,671 in the three and nine months ended September 30, 2015. This impairment charge was recorded within research and development expense.
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. Going Concern In August 2014, the FASB issued Accounting Standards Update (“ASU”) No. 2014-15, Presentation of Financial Statements—Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to continue as a Going Concern. This ASU is intended to define management’s responsibility to evaluate whether there is substantial doubt about an organization’s ability to continue as a going concern within one year of the date of issuance of the entity’s financial statements and to provide related footnote disclosures. This guidance is effective for fiscal years beginning after December 15, 2016, with early application permitted. The Company is currently evaluating what effect, if any, the adoption of this guidance will have on the disclosures included in its condensed 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 Combinations In September 2015, the FASB issued ASC Update No. 2015-16, Business Combinations (Topic 805): Simplifying the Accounting for Measurement - Period Adjustments . Update No. 2015-16 eliminates the requirement to restate prior period financial statements for measurement period adjustments following a business combination. Update No. 2015-16 requires that the cumulative impact of a measurement period adjustment (including the impact on prior periods) be recognized in the reporting period in which the adjustment is identified. The prior period impact of the adjustment should be either presented separately on the face of the income statement or disclosed in the notes. Update No. 2015-16 is effective for fiscal years beginning after December 15, 2015. The adoption of Update No. 2015-16 is not expected to have a material impact on the Company’s financial position or results of operations.

Merger (Tables)

Merger (Tables) - Zalicus	9 Months Ended
	Sep. 30, 2015
Schedule of acquisition-date fair value of consideration transferred	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% .
Summary of estimated fair values of the assets acquired and liabilities assumed at the date of acquisition	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 Total liabilities assumed Total net assets acquired $

Acquisition (Tables)

Acquisition (Tables) - Bioceros	9 Months Ended
	Sep. 30, 2015
Schedule of acquisition-date fair value of consideration transferred	The acquisition-date fair value of the consideration transferred is as follows: Initial equity consideration paid at closing Initial shares issued to Bioceros shareholders Price per Epirus share at issuance $ $ Initial cash consideration paid at closing Total consideration paid at closing Settlement of preexisting Epirus accounts payable to Bioceros (1) Second Installment Shares, excluding key employee stock compensation expense (2) Net cash payout (3) Final payment of cash consideration (4) Preliminary estimated purchase price $ (1) Represents the settlement of preexisting accounts payable to Bioceros as a result of activity prior to the transaction. (2) Represents the fair value of the undiscounted $3,985 of Second Installment Shares to be paid and issued on March 9, 2016, which excludes the undiscounted $1,015 of shares to be issued to Bioceros key employees contingent upon the delivery of postcombination service to the Company, as described above. This amount has been recorded as a liability on the Company’s condensed consolidated balance sheet, because it represents an obligation to issue a variable number of shares based on a fixed dollar amount of $3,985, and recorded at fair value utilizing a discount rate of 17% . (3) Represents the fair value of the net cash payout to be made pursuant to the Stock Purchase Agreement. This amount has been recorded as a contingent consideration liability on the Company’s condensed consolidated balance sheet and recorded at fair value utilizing a discount rate of 17%. The amount of the net cash payout is dependent on the amount of cash received by the Company from Bioceros customers through December 31, 2015. The Company estimates that this amount will be between $1,200 and $1,600 . (4) Represents the fair value of the final cash payment of $1,700, which, pursuant to the Stock Purchase Agreement, the Company will pay on September 9, 2016. This amount has been recorded as a liability on the Company’s condensed consolidated balance sheet and recorded at fair value utilizing a discount rate of 17%.
Summary of estimated fair values of the assets acquired and liabilities assumed at the date of acquisition	The following table summarizes the preliminary estimated fair values of the assets acquired and liabilities assumed at the date of acquisition: September 9, 2015 Cash and cash equivalents $ Deferred tax assets Prepaid expenses and other current assets Property and equipment, net Intangible assets, net Goodwill Accounts payable Accrued expenses and other current liabilities Deferred revenue Deferred tax liabilities Net assets acquired $

Goodwill, IPR&D and Intangibl25

Goodwill, IPR&D and Intangible Assets, Net (Tables)	9 Months Ended
	Sep. 30, 2015
Goodwill, IPR&D and Intangible Assets, Net
Schedule of intangible assets, net of accumulated amortization	Intangible assets, net of accumulated amortization is as follows: September 30, 2015 December 31, 2014 Intangible assets (excluding IPR&D) $ $ Total intangible assets (excluding IPR&D) Less: accumulated amortization—intangible assets Intangible assets, net (exlcuding IPR&D) $ $
Schedule of estimated aggregate amortization of intangible assets	The estimated aggregate amortization of intangible assets as of September 30, 2015, for each of the five succeeding years and thereafter is as follows: September 30, 2015 October 1, 2015 - December 31, 2015 $ 2016 2017 2018 2019 2020 and thereafter Total $

Accrued Expenses and Other Cu26

Accrued Expenses and Other Current Liabilities (Tables)	9 Months Ended
	Sep. 30, 2015
Accrued Expenses and Other Current Liabilities
Components of Accrued expenses	Accrued expenses consisted of the following: September 30, 2015 December 31, 2014 Accrued clinical and development expenses $ $ Accrued compensation Accrued professional fees Accrued interest expense Other Total accrued expenses $ $

Debt (Tables)

Debt (Tables)	9 Months Ended
	Sep. 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 September 30, 2015 are as follows: Principal Payments October 1, 2015 - December 31, 2015 $ — 2016 2017 2018 Total $

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
	Sep. 30, 2015
Fair Value Measurements
Schedule of financial assets and liabilities measured at fair value on a recurring basis	The following table summarizes the financial assets and liabilities measured at fair value on a recurring basis in the accompanying balance sheets as of September 30, 2015 and December 31, 2014: As of September 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)	9 Months Ended
	Sep. 30, 2015
Stock-Based Compensation
Summary of stock option activity	A summary of stock option activity during the nine months ended September 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 September 30, 2015 $ $ Vested and expected to vest at: September 30, 2015 $ $ Exercisable at: September 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	During the three and nine months ended September 30, 2015 and 2014, the range of assumptions used in the Black-Scholes pricing model for new grants were as follows: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Risk-free interest rate 1.95% - 2.01% 1.51% - 1.96% 1.91% - 2.09% Expected volatility 65.84% - 65.94% 61.40% - 67.65% 64.07% - 66.07% Expected term (in years) 5.3 - 6.00 Expected dividend yield
Summary of the activity of nonvested RSUs	A summary of the activity of nonvested restricted stock units (“RSUs”) for the nine months ended September 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 — — Nonvested at September 30, 2015 $ $ Vested and expected to vest at: September 30, 2015 $ Exercisable at: September 30, 2015 — — — —

Commitments (Tables)

Commitments (Tables)	9 Months Ended
	Sep. 30, 2015
Commitments
Schedule of future minimum lease payments under operating leases	As of September 30, 2015, future minimum lease payments under all of the Company’s operating leases are as follows: September 30, 2015 October 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)	9 Months Ended
	Sep. 30, 2015
Net Loss Per Share
Summary of potentially dilutive securities outstanding excluded from the computation of diluted weighted-average shares outstanding	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 nine months ended September 30, 2015 and 2014, as they would be anti- dilutive. In addition, Second Installment Shares issuable to former Bioceros shareholders with a value of $5,000 to be issued in March 2016 have been excluded from the computation of diluted weighted-average shares outstanding for the three and nine months ended September 30, 2015 (Note 6). As of September 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 —

Summary of Significant Accoun32

Summary of Significant Accounting Policies (Details) $ / shares in Units, $ in Thousands	Jul. 16, 2014$ / shares	Sep. 30, 2015USD ($)$ / shares	Sep. 30, 2015USD ($)$ / shares	Dec. 31, 2014$ / shares
Reverse stock split
Common stock, par value		$ 0.001	$ 0.001	$ 0.001
Intangible Assets
Impairment of intangible assets | $		$ 1,671	$ 1,671
Common Class A | Zalicus
Reverse stock split
Reverse stock split conversion ratio	0.10
Common stock, par value	$ 0.001

Business Agreements (Details)

Business Agreements (Details) $ in Thousands	Sep. 24, 2015USD ($)item	Jul. 13, 2015productitem	Jan. 03, 2014USD ($)	Sep. 30, 2015USD ($)	Sep. 30, 2015USD ($)	May. 13, 2015USD ($)
Business Agreements
Royalty revenue				$ 221	$ 291
Livzon Mabpharm Inc
Business Agreements
Ownership percentage				7.00%	7.00%
Royalty Bearing And Non Transferable License Agreement | Sun Pharmaceutical Industries Limited | Infimab
Business Agreements
Royalty revenue				$ 28	$ 82
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
Amount payable for 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
Maximum payments to be received for achievement of certain sales milestones						$ 1,500
Collaboration Agreement
Business Agreements
Percentage of costs under development program		49.00%
Cost sharing ratio percentage for costs incurred in connection with global development		100.00%
Cost sharing ratio percentage for clinical trial costs incurred in connection with global development		38.00%
Percentage of clinical trial costs incurred in connection with global development		81.00%
Percentage of profits and losses sharing under development programs		49.00%
Collaboration Agreement | Polpharma
Business Agreements
Royalty revenue				50	50
Invoiced amount				$ 0	$ 0
Number of product programs | item		3
Percentage of costs under development program		51.00%
Percentage of clinical trial costs incurred in connection with global development		19.00%
Percentage of profits and losses sharing under development programs		51.00%
Collaboration Agreement | Polpharma | North America
Business Agreements
Number of products exclusive rights retained | product		3
Supplement Agreement | Livzon Mabpharm Inc | BOW070
Business Agreements
Total payments to be made for the completion of the pre-clinical development activities	$ 4,500
Initial payment to be made for pre-clinical development activities upon entry into Supplement Agreement	$ 1,500
Initial payment term for pre-clinical development activities upon entry into Supplement Agreement	10 days
Number of additional payments to be made for the achievement of certain pre-clinical development milestones | item	3
Payments to be made for the achievement of certain pre-clinical development milestones	$ 1,000
Estimated period for expensing costs	18 months

Merger (Details)

Merger (Details) - USD ($) $ / shares in Units, $ in Thousands	Jul. 15, 2014	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014	Jul. 15, 2015	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		$ 27,838		$ 16,363	$ 27,838		$ 16,363
Supplemental unaudited pro forma information as if acquisition had occurred on January 1, 2013:
Net loss		(13,987)	$ (13,935)		$ (36,794)	$ (31,445)
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	14,127
Restricted cash	1,850
Other assets	253
Total assets acquired	35,486
Accounts payable	(1,584)
Accrued expenses	(381)
Other current liabilities	(376)
Other liabilities	(391)
Deferred tax liabilities	(1,430)
Total liabilities assumed	(4,162)
Total net assets acquired	$ 31,324
Goodwill adjustment		$ 736
Operating loss from date of acquisition included in financial statements				$ 25
Transaction costs							$ 5,779
Zalicus | Preliminary
Estimated fair values of the assets acquired and liabilities assumed at the date of acquisition:
Deferred tax liabilities								$ 2,166
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

Acquisition (Details)

Acquisition (Details) - USD ($) $ / shares in Units, $ in Thousands	Sep. 09, 2015	Sep. 30, 2015	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014	Feb. 13, 2015	Feb. 04, 2015	Dec. 31, 2014
Acquisition
Common stock, par value		$ 0.001	$ 0.001		$ 0.001				$ 0.001
Stock-based compensation expense			$ 898	$ 943	$ 2,267	$ 1,314
Business Combination, Consideration Transferred [Abstract]
Price per Epirus share at issuance							$ 5	$ 5
Initial cash consideration paid at closing					3,400
Estimated fair values of the assets acquired and liabilities assumed at the date of acquisition:
Goodwill		$ 27,838	27,838		27,838				$ 16,363
Revenue			221		291
Operating loss			$ (14,042)	$ (13,929)	(36,272)	$ (29,100)
Bioceros
Acquisition
Percentage of voting rights acquired	100.00%
Total consideration	$ 14,668
Second cash payment on first anniversary of the closing date	$ 1,700
Common stock, par value	$ 0.001
Fair value of second issuance of shares related to acquisition	$ 5,000
Business Combination, Consideration Transferred [Abstract]
Initial shares issued to Bioceros sharholders (in shares)	788,960
Price per Epirus share at issuance	$ 5.79
Initial equity consideration paid at closing	$ 4,568
Initial cash consideration paid at closing	3,400
Total consideration paid at closing	7,968
Settlement of prexisting Expirus accounts payable to Bioceros	(87)
Second Installment Shares, excluding key employee stock compensation expense	3,689
Net cash payout	1,601
Final payment of cash consideration	1,452
Preliminary estimated purchase price	14,623
Estimated fair values of the assets acquired and liabilities assumed at the date of acquisition:
Cash and cash equivalents	833
Deferred tax assets	329
Prepaid expenses and other current assets	387
Property and equipment, net	447
Intangible assets, net	1,992
Goodwill	12,212
Accounts payable	(171)
Accrued expenses	(472)
Deferred revenue	(436)
Deferred tax liabilities	(498)
Total net assets acquired	14,623
Gross contractual accounts receivable	$ 248
Intangible asset, useful life	20 years
Revenue		131
Operating loss		$ (80)
Effective tax rate	25.00%
Transaction costs					502
Bioceros | Minimum
Acquisition
Threshold for payment of cash received from customers	$ 1,200
Key Employees of Acquired Company | Bioceros
Acquisition
Fair value of second issuance of shares related to acquisition	$ 1,015
Percentage of shares that will vest on first vesting date	75.00%
Percentage of shares that will vest on subsequent vesting date	25.00%
Stock-based compensation expense					$ 30
Estimate of Fair Value Measurement | Bioceros
Acquisition
Fair value of second issuance of shares related to acquisition	$ 3,985
Business Combination, Consideration Transferred [Abstract]
Discount rate (as a percent)	17.00%
Estimate of Fair Value Measurement | Bioceros | Minimum
Business Combination, Consideration Transferred [Abstract]
Net cash payout	$ 1,200
Estimate of Fair Value Measurement | Bioceros | Maximum
Business Combination, Consideration Transferred [Abstract]
Net cash payout	$ 1,600

Goodwill, IPR&D and Intangibl36

Goodwill, IPR&D and Intangible Assets, Net (Details) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Change in Goodwill
Goodwill	$ 27,838	$ 16,363
Accumulated goodwill impairment losses	$ 0

Goodwill, IPR&D and Intangibl37

Goodwill, IPR&D and Intangible Assets, Net (Details 2) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014
Intangible Assets
In-process research and development						$ 5,500
Impairment of intangible assets		$ 1,671		$ 1,671
Intangible assets, net of accumulated amortization
Total Intangible Assets	$ 5,679	5,679		5,679		3,687
Less: accumulated amortization--intangible assets	(257)	(257)		(257)		(82)
Intangible assets, net	5,422	5,422		5,422		3,605
In Process Research and Development
Intangible assets, net of accumulated amortization
Amortization expense		62	$ 0	175	$ 0
Z944
Intangible Assets
In-process research and development	3,829	3,829		3,829		$ 5,500
Impairment of intangible assets	1,671
Platform Technology | In Process Research and Development
Intangible Assets
In-process research and development	$ 1,992	$ 1,992		$ 1,992

Goodwill, IPR&D and Intangibl38

Goodwill, IPR&D and Intangible Assets, Net (Details 3) - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Estimated future amortization expense related to finite-lived purchased intangible assets
October 1, 2015-December 31, 2015	$ 80
2,016	325
2,017	325
2,018	325
2,019	325
2020 and thereafter	4,042
Total	$ 5,422	$ 3,605

Accrued Expenses and Other Cu39

Accrued Expenses and Other Current Liabilities - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Accrued Expenses and Other Current Liabilities
Accrued clinical and development expenses	$ 2,588	$ 876
Accrued compensation	1,825	1,244
Accrued professional fees	1,741	1,822
Accrued interest expense	213	71
Other	55	88
Total accrued expenses	$ 6,422	$ 4,101

Debt (Details)

Debt (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2015	May. 29, 2015	Dec. 31, 2014	Oct. 01, 2014
Debt
Short-term Debt	$ 2,263	$ 2,263
Long-term debt obligation	12,567	12,567		$ 7,282
Hercules Notes
Debt
Outstanding borrowings	15,000	15,000
Short-term Debt	2,263	2,263
Unamortized Debt Discount	26	26
Long-term debt obligation	12,567	12,567
Debt discount	144	144
Amortization of the debt discount included in interest expense	$ 17	$ 48
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) - Hercules Notes $ in Thousands	9 Months Ended
	Sep. 30, 2015USD ($)
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	Sep. 09, 2015	Feb. 13, 2015	Feb. 13, 2015	Feb. 04, 2015
Capital Stock
Common stock shares issued through underwritten public offering		958,208	958,208	9,600,000
Share Price		$ 5	$ 5	$ 5
Proceeds from issuance		$ 4,391		$ 43,570
Net proceeds from its equity offering			$ 47,961
Bioceros
Capital Stock
Share Price	$ 5.79
Issuance of common stock in connection with the Merger ( in shares)	788,960

Fair Value Measurements (Detail

Fair Value Measurements (Details) - Recurring - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Estimate of Fair Value Measurement
Assets
Cash and cash equivalents	$ 44,424	$ 21,462
Total assets	44,424	21,462
Level 1
Assets
Cash and cash equivalents	44,424	21,462
Total assets	$ 44,424	$ 21,462

Stock-Based Compensation (Detai

Stock-Based Compensation (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014	Jun. 04, 2015
Stock-Based Compensation
Authorized number of shares					1,700,000
Stock-based compensation expense	$ 898	$ 943	$ 2,267	$ 1,314
Reduced share based compensation expense			$ 100
Weighted average fair value
Cash received from exercise of stock options				$ 90
Stock Options
Number of Options
Outstanding at the beginning of the period			1,652,882
Granted			1,208,012
Exercised			(101,994)
Cancelled			(151,736)
Outstanding at the end of the period	2,607,164		2,607,164
Vested and expected to vest at end of period	2,494,655		2,494,655
Exercisable at end of period	600,862		600,862
Weighted-Average Exercise Price
Outstanding at the beginning of the period			$ 10.03
Granted			9.47
Exercised			3.12
Cancelled			7.23
Outstanding at the end of the period	$ 10.20		10.20
Vested and expected to vest at end of period	10.27		10.27
Exercisable at end of period	$ 16.14		$ 16.14
Weighted-Average Remaining Contractual Term
Outstanding at end of period			8 years 9 months 18 days
Vested and expected to vest at end of period			8 years 9 months 18 days
Exercisable at end of period			7 years 9 months 18 days
Aggregate Intrinsic Value
Outstanding at end of period	$ 897		$ 897
Vested and expected to vest at end of period	888		888
Exercisable at end of period	524		$ 524
Weighted average fair value
Weighted average grant-date fair value of options granted during the period			$ 5.42
Cash received from exercise of stock options			$ 318
Unrecognized stock-based compensation expense
Unrecognized stock-based compensation expense	$ 10,080		$ 10,080
Unrecognized stock-based compensation expense, Recognition period			2 years 11 months 5 days
Weighted-average assumptions
Risk-free interest rate	1.96%
Expected volatility	65.21%
Expected term	6 years	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		1.95%	1.51%	1.91%
Expected volatility		65.84%	61.40%	64.07%
Expected term			5 years 3 months 18 days
Stock Options | Maximum
Weighted-average assumptions
Risk-free interest rate		2.01%	1.96%	2.09%
Expected volatility		65.94%	67.65%	66.07%
Expected term			6 years

Stock-Based Compensation (Det45

Stock-Based Compensation (Details 2) - USD ($) $ / shares in Units, $ in Thousands	Sep. 24, 2014	Apr. 15, 2014	Feb. 28, 2015	Apr. 30, 2014	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Aggregate Intrinsic value
Stock-based compensation expense					$ 898	$ 943	$ 2,267	$ 1,314
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							(1,364)
Non-vested at ending period					125,257		125,257
Vested and expected to vest at the end of period ( in units)					116,531		116,531
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
Non-vested, Weighted Average Remaining Contractual Term, Ending Balance							3 years 2 months 12 days
Vested and expected to vest at the end of period ( in years)							3 years 2 months 12 days
Aggregate Intrinsic value
Non-vested, Aggregate Intrinsic Value, Ending Balance					$ 554		$ 554
Vested and expected to vest, Aggregate Intrinsic Value					515		515
Unrecognized stock-based compensation expense					$ 1,093		$ 1,093
Unrecognized stock-based compensation expense, Recognition period							3 years 2 months 12 days
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 beginning period							13,259
Non-vested at ending period					0		0
Weighted Average Excise Price
Non-vested at beginning period							$ 5.08
Non-vested at ending period					$ 5.08		$ 5.08
Aggregate Intrinsic value
Stock-based compensation expense					$ 21	$ 98	$ 58	$ 98
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
Aggregate Intrinsic value
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		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Income Taxes
Income tax expense (benefit)	$ (445)	$ (21)	$ (500)	$ 18
Adjusted deferred tax from impairment of intangible assets	434		434
Amortization of the tax benefit	46	46	138	138
Offset of tax expense for cash flows generated	25		32
Income Tax Reconciliation Foreign Withholding Taxes	$ 10	$ 25	$ 40	176
Alternative minimum tax				$ (20)

Committments (Details)

Committments (Details) $ in Thousands	Oct. 15, 2015USD ($)ft²	Sep. 09, 2015USD ($)ft²	May. 15, 2015USD ($)ft²	Sep. 30, 2015USD ($)
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity
October 1, 2015 - December 31, 2015				$ 627
2,016				2,412
2,017				1,076
2,018				644
2,019				655
2020 and Thereafter				1,130
Total				6,544
Less: Future sublease payments to be received				(1,306)
Net future lease payments				$ 5,238
Boston office facility lease
Operating Leased Assets [Line Items]
Additional Area of lease | ft²			3,000
Term of lease			6 years
Rent expense per month			$ 14
Utrecht, The Netherlands
Operating Leased Assets [Line Items]
Additional Area of lease | ft²		5,800
Term of lease		7 years
Rent expense per month		$ 23
Zug, Switzerland
Operating Leased Assets [Line Items]
Additional Area of lease | ft²	4,400
Rent expense per month	$ 16

Net Loss Per Share (Details)

Net Loss Per Share (Details) - shares	9 Months Ended	12 Months Ended
	Sep. 30, 2015	Dec. 31, 2014
Options to purchase common stock
Net Loss Per Share
Securities excluded from the computation of diluted weighted-average shares outstanding	2,607,164	1,585,898
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	125,257
Warrant | Common stock
Net Loss Per Share
Securities excluded from the computation of diluted weighted-average shares outstanding	92,892	86,190
Restricted Stock
Net Loss Per Share
Securities excluded from the computation of diluted weighted-average shares outstanding		13,259

Legal Proceedings (Details)

Legal Proceedings (Details) $ in Thousands	Sep. 10, 2015USD ($)	Apr. 27, 2015USD ($)	Apr. 22, 2015USD ($)installmentitem	Dec. 31, 2014	Sep. 30, 2015USD ($)	Sep. 30, 2014USD ($)	Sep. 30, 2015USD ($)	Sep. 30, 2014USD ($)
Legal Proceedings
General and Administrative Expense					$ 5,091	$ 8,532	$ 16,037	$ 17,612
One-time charge of research and development expense					9,172	$ 5,397	20,526	$ 11,488
Reliance Life Sciences Ltd
Legal Proceedings
Termination period				3 years
BOW015 | Reliance Life Sciences Ltd | Settlement Agreement
Legal Proceedings
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
General and Administrative Expense							2,183
One-time charge of research and development expense					$ 1,800		1,800
Payment amount	$ 500	$ 750					$ 561

Subsequent Events (Details)

Subsequent Events (Details) - USD ($) $ in Thousands	Oct. 01, 2015	Sep. 30, 2015	Sep. 30, 2015	Sep. 30, 2015	Dec. 31, 2014
Subsequent Events
Impairment of intangible assets			$ 1,671	$ 1,671
In-process research and development					$ 5,500
Deferred tax liability		$ 472	472	472	2,166
Z944
Subsequent Events
Impairment of intangible assets		1,671
In-process research and development		3,829	3,829	3,829	$ 5,500
Zalicus Ltd. Sale
Subsequent Events
Impairment of intangible assets			1,671
In-process research and development		3,829	3,829	3,829
Deferred tax liability		$ 995	$ 995	$ 995
Zalicus Ltd. Sale | Subsequent event
Subsequent Events
Proceeds from purchase agreement	$ 5,000
Limited recourse promissory note	5,000
Zalicus Ltd. Sale | Z944 | Subsequent event
Subsequent Events
Maximum payments to be received for achievement of certain development and regulatory approval milestones	7,500
Maximum payments to be received for achievement of certain sales milestones	$ 30,000