Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Mar. 09, 2020 | Jun. 28, 2019 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2019 | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Entity Registrant Name | MOLECULAR TEMPLATES, INC. | ||
Entity Central Index Key | 0001183765 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Accelerated Filer | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity File Number | 001-32979 | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 94-3409596 | ||
Entity Address, Address Line One | 9301 Amberglen Blvd | ||
Entity Address, Address Line Two | Suite 100 | ||
Entity Address, City or Town | Austin | ||
Entity Address, State or Province | TX | ||
Entity Address, Postal Zip Code | 78729 | ||
City Area Code | 512 | ||
Local Phone Number | 869-1555 | ||
Entity Public Float | $ 167,590,587 | ||
Entity Common Stock, Shares Outstanding | 45,647,884 | ||
Title of 12(b) Security | Common Stock, $0.001 Par Value Per Share | ||
Trading Symbol | MTEM | ||
Security Exchange Name | NASDAQ | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Documents Incorporated by Reference | DOCUMENTS INCORPORATED BY REFERENCE Portions of the registrant’s definitive proxy statement for the registrant’s 2020 annual meeting of stockholders to be filed pursuant to Regulation 14A within 120 days of the registrant’s fiscal year ended December 31, 2019 are incorporated herein by reference into Part III of this Annual Report on Form 10-K. |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 85,451 | $ 87,721 |
Marketable securities, current | 39,633 | 10,234 |
Prepaid expenses | 2,318 | 2,244 |
Grant revenue receivable | 7,100 | 4,329 |
Accounts receivable from related party | 408 | 240 |
In-process research and development - held for sale | 4,500 | 0 |
Other current assets | 489 | 95 |
Total current assets | 139,899 | 104,863 |
Marketable securities, non-current | 1,510 | 0 |
Operating lease right-of-use assets, non-current | 9,959 | 0 |
Property and equipment, net | 18,158 | 6,851 |
In-process research and development | 0 | 26,623 |
Other assets | 4,676 | 1,821 |
Total assets | 174,202 | 140,158 |
Current liabilities: | ||
Accounts payable | 1,465 | 780 |
Accrued liabilities | 14,544 | 5,357 |
Deferred revenue, current | 17,291 | 26,231 |
Other current liabilities | 2,501 | 141 |
Total current liabilities | 35,801 | 32,509 |
Deferred revenue, long-term | 19,385 | 2,670 |
Long-term debt, net | 2,940 | 3,254 |
Operating lease liabilities, non-current | 11,682 | 0 |
Other liabilities | 1,366 | 819 |
Total liabilities | 71,174 | 39,252 |
Commitments and contingencies (Note 10) | 0 | 0 |
Stockholders’ equity: | ||
Preferred stock, $0.001 par value: Authorized: 2,000,000 at December 31, 2019 and 2018; Issued and outstanding: 250 and zero shares at December 31, 2019 and 2018, respectively. | 0 | 0 |
Common stock, $0.001 par value: Authorized: 150,000,000 shares at December 31, 2019 and 2018; Issued and outstanding: 45,589,157 and 36,736,012 shares at December 31, 2019 and 2018, respectively. | 46 | 37 |
Additional paid-in capital | 267,089 | 195,573 |
Accumulated other comprehensive loss | 18 | 0 |
Accumulated deficit | (164,125) | (94,704) |
Total stockholders’ equity | 103,028 | 100,906 |
Total liabilities and stockholders’ equity | $ 174,202 | $ 140,158 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2019 | Dec. 31, 2018 |
Statement Of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 2,000,000 | 2,000,000 |
Preferred stock, shares issued | 250 | 0 |
Preferred stock, shares outstanding | 250 | 0 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 150,000,000 | 150,000,000 |
Common stock, shares issued | 45,589,157 | 36,736,012 |
Common stock, shares outstanding | 45,589,157 | 36,736,012 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Total revenue | $ 22,270 | $ 13,285 |
Operating expenses: | ||
Research and development | 50,519 | 30,202 |
General and administrative | 20,077 | 14,082 |
Loss on impairment of in-process research and development | 22,123 | 0 |
Total operating expenses | 92,719 | 44,284 |
Loss from operations | 70,449 | 30,999 |
Interest and other income, net | 2,323 | 751 |
Interest and other expense, net | (1,298) | (990) |
Change in fair value of warrant liabilities | 3 | 951 |
Net loss attributable to common shareholders | $ 69,421 | $ 30,287 |
Net loss per share attributable to common shareholders: | ||
Basic and diluted | $ 1.86 | $ 1.02 |
Weighted average number of shares used in net loss per share calculations: | ||
Basic and diluted | 37,770,378 | 29,601,692 |
Net loss attributable to common shareholders | $ 69,421 | $ 30,287 |
Other comprehensive loss: | ||
Unrealized gain (loss) on available-for-sale securities | 18 | 0 |
Comprehensive loss | 69,403 | 30,287 |
Research And Development Revenue | Other | ||
Total revenue | 0 | 196 |
Research And Development Revenue | Related Party | ||
Total revenue | 19,499 | 7,087 |
Grant | ||
Total revenue | $ 2,771 | $ 6,002 |
Consolidated Statements of Conv
Consolidated Statements of Convertible Preferred Stock and Stockholders' Equity - USD ($) | Total | Private Placement | Convertible Preferred Stock | Convertible Preferred StockPrivate Placement | Common Stock | Common StockPrivate Placement | Additional Paid-In Capital | Additional Paid-In CapitalPrivate Placement | Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss)Private Placement | Accumulated Deficit | Accumulated DeficitPrivate Placement |
Balances, value at Dec. 31, 2017 | $ 77,289,000 | $ 0 | $ 27,000 | $ 141,733,000 | $ 0 | $ (64,471,000) | ||||||
Balances, shares at Dec. 31, 2017 | 0 | 26,898,330 | ||||||||||
Issuance of common stock pursuant to stock plans | 283,000 | $ 0 | $ 1,000 | 282,000 | 0 | 0 | ||||||
Issuance of common stock pursuant to stock plans, shares | 407,682 | |||||||||||
Issuance of warrant to purchase common stock in relation to term loan facility | 1,522,000 | 0 | $ 0 | 1,522,000 | 0 | 0 | ||||||
Issuance of common stock, net of issuance costs | 48,053,000 | 0 | $ 9,000 | 48,044,000 | 0 | 0 | ||||||
Issuance of common stock, net of issuance costs, shares | 9,430,000 | |||||||||||
Stock-based compensation | 3,992,000 | 0 | $ 0 | 3,992,000 | 0 | 0 | ||||||
Cumulative-effect adjustment upon adoption of new accounting standards | 54,000 | 0 | 0 | 0 | 0 | 54,000 | ||||||
Net loss | (30,287,000) | 0 | 0 | 0 | 0 | (30,287,000) | ||||||
Balances, value at Dec. 31, 2018 | 100,906,000 | $ 0 | $ 37,000 | 195,573,000 | 0 | (94,704,000) | ||||||
Balances, shares at Dec. 31, 2018 | 0 | 36,736,012 | ||||||||||
Issuance of common stock pursuant to stock plans | 1,748,000 | $ 0 | $ 0 | 1,748,000 | 0 | 0 | ||||||
Issuance of common stock pursuant to stock plans, shares | 286,479 | |||||||||||
Issuance of common stock, net of issuance costs | 53,449,000 | $ 10,469,000 | $ 0 | $ 0 | $ 7,000 | $ 2,000 | 53,442,000 | $ 10,467,000 | 0 | $ 0 | 0 | $ 0 |
Issuance of common stock, net of issuance costs, shares | 250 | 6,900,000 | 1,666,666 | |||||||||
Stock-based compensation | 5,859,000 | $ 0 | $ 0 | 5,859,000 | 0 | 0 | ||||||
Other comprehensive income | 18,000 | 0 | 0 | 0 | 18,000 | 0 | ||||||
Net loss | (69,421,000) | 0 | 0 | 0 | 0 | (69,421,000) | ||||||
Balances, value at Dec. 31, 2019 | $ 103,028,000 | $ 0 | $ 46,000 | $ 267,089,000 | $ 18,000 | $ (164,125,000) | ||||||
Balances, shares at Dec. 31, 2019 | 250 | 45,589,157 |
Consolidated Statements of Co_2
Consolidated Statements of Convertible Preferred Stock and Stockholders' Equity (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Issuance of common stock | $ 3,800 | $ 3,800 |
Private Placement | ||
Issuance of common stock | $ 75 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Cash flows from operating activities: | ||
Net loss | $ 69,421 | $ 30,287 |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation, amortization and other | 1,182 | 974 |
Stock-based compensation expense | 5,859 | 3,992 |
Amortization of debt discount and accretion related to debt | 486 | 318 |
Change in common stock warrant fair value | (3) | (951) |
Accretion of asset retirement obligations | 72 | 39 |
Capitalized interest | 0 | (125) |
Loss on extinguishment of debt | 0 | 115 |
Loss on disposal of equipment | 0 | 35 |
Loss on impairment of long-lived assets | 22,139 | 0 |
Changes in operating assets and liabilities: | ||
Prepaid expenses | (74) | (825) |
Accounts receivable from related party | (168) | (240) |
Grant revenue receivable | (2,771) | (4,351) |
Other assets | (286) | (450) |
Operating lease right-of-use assets and liabilities | 2,816 | 0 |
Accounts payable | 652 | (1,736) |
Accrued liabilities | 6,534 | 2,667 |
Other liabilities | (36) | 224 |
Deferred revenue | 7,775 | 26,136 |
Net cash used in operating activities | (25,244) | (4,465) |
Cash flows from investing activities: | ||
Purchases of property and equipment | (9,649) | (5,722) |
Purchases of marketable securities | (90,159) | (10,223) |
Sales of marketable securities | 60,084 | 0 |
Net cash used in investing activities | (39,724) | (15,945) |
Cash flows from financing activities: | ||
Proceeds from issuance of common stock through Private Placement, net of issuance costs | 10,469 | 0 |
Proceeds from issuance of common stock in a Public Offering, net of issuance costs | 53,449 | 48,053 |
Payments of capital and finance lease obligations | 32 | (47) |
Proceeds from issuance of long-term debt and warrants, net | 0 | 4,537 |
Repayment of long-term debt | 0 | (3,605) |
Proceeds from stock option exercises | 1,748 | 283 |
Net cash provided by financing activities | 65,698 | 49,221 |
Net increase in cash and cash equivalents | 730 | 28,811 |
Cash and cash equivalents and restricted cash, beginning of period | 87,721 | 58,910 |
Cash and cash equivalents and restricted cash, end of period | 88,451 | 87,721 |
Reconciliation of cash, cash equivalents and restricted cash: | ||
Cash and cash equivalents | 85,451 | 87,721 |
Restricted cash included in Other assets | $ 3,000 | $ 0 |
Restricted Cash and Cash Equivalents, Asset, Statement of Financial Position [Extensible List] | us-gaap:OtherAssetsMember | us-gaap:OtherAssetsMember |
Cash and cash equivalents and restricted cash, end of period | $ 88,451 | $ 87,721 |
Supplemental Cash Flow Information | ||
Cash paid for interest | 684 | 629 |
Non-Cash Investing and Financing Activities | ||
Fixed asset additions in accounts payable and accrued expenses | $ 2,686 | $ 0 |
Organization and Summary of Sig
Organization and Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Organization and Summary of Significant Accounting Policies | NOTE 1—ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Organization and Nature of the Business Molecular Templates, Inc. (the “Company” or “Molecular”), is a clinical stage biopharmaceutical company formed in 2001, with a biologic therapeutic platform for the development of novel targeted therapeutics for cancer and other diseases, headquartered in Austin, Texas. The Company’s focus is on the research and development of therapeutic compounds for a variety of cancers. The Company operates its business as a single segment, as defined by U.S. generally accepted accounting principles (“U.S. GAAP”). On August 1, 2017, the Company, formerly known as Threshold Pharmaceuticals, Inc. (Nasdaq: THLD) (“Threshold”), completed its business combination with Private Molecular, in accordance with the terms of the Agreement and Plan of Merger and Reorganization (the “Merger Agreement”), dated as of March 16, 2017, by and among Threshold, the Merger Sub, a wholly owned subsidiary of Threshold, and Private Molecular, pursuant to which Merger Sub merged with and into Private Molecular, with Private Molecular, surviving as a wholly-owned subsidiary of Threshold (the “Merger”). Immediately upon completion of the Merger, the former stockholders of Private Molecular held a majority of the voting interest of the combined company. Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America and include the accounts of the Company and its wholly owned subsidiary, and reflect the elimination of intercompany accounts and transactions. Reclassifications Certain amounts in the prior year’s presentations have been reclassified to conform to the current presentation. The condensed consolidated balance sheet at December 31, 2018 included herein was derived from the audited financial statements at that date, but includes a reclassification of $4.3 million from Other current assets to Grants revenue receivable in order to conform to current period presentation. Accounting Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America as defined by the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. Net Loss per Share Basic net loss per share is calculated by dividing the net loss applicable to common stockholders by the weighted average number of shares of Common Stock outstanding during the period without consideration of Common Stock equivalents. Since the Company was in a loss position for all periods presented, diluted net loss per share is the same as basic net loss per share for all periods, as the inclusion of all potential common shares outstanding is anti-dilutive. Cash and Cash Equivalents The Company considers temporary investments with original maturities of three months or less from date of purchase to be cash equivalents. Restricted cash is recorded in other assets, based on when the restrictions expire. Other assets include $3.0 million of restricted cash at December 31, 2019. Fair Value Measurement The Company accounts for its marketable securities in accordance with ASC 820 “Fair Value Measurements and Disclosures.” Level 1 —Quoted prices in active markets for identical assets or liabilities. Level 2 —Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 —Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. The Company utilizes the market approach to measure fair value for its financial assets and liabilities. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. For Level 2 securities that have market prices from multiples sources, a “consensus price” or a weighted average price for each of these securities can be derived from a distribution-curve-based algorithm which includes market prices obtained from a variety of industrial standard data providers (e.g. Bloomberg), security master files from large financial institutions, and other third-party sources. Level 2 securities with short maturities and infrequent secondary market trades are typically priced using mathematical calculations adjusted for observable inputs when available. Marketable Securities The Company classifies its marketable securities as “available-for-sale.” Such marketable securities are recorded at fair value and unrealized gains and losses are recorded as a separate component of stockholders’ equity until realized. Realized gains and losses on sale of all such securities are reported in net loss, computed using the specific identification cost method. The Company places its marketable securities primarily in U.S. government securities, money market funds, corporate debt securities, commercial paper and certificates of deposit. The Company’s investments are subject to a periodic impairment review. The Company recognizes an impairment charge when a decline in the fair value of its investments below the cost basis is judged to be other-than-temporary. The Company considers various factors in determining whether to recognize an impairment charge, including the length of time and extent to which the fair value has been less than the Company’s cost basis, the financial condition and near-term prospects of the investee, and the Company’s intent and ability to hold the investment for a period of time sufficient to allow for any anticipated recovery in the market value. Concentration of Credit Risk and Other Risks and Uncertainties Financial instruments that potentially subject the Company to concentrations of risk consist principally of cash and cash equivalents, investments, long term debt and accounts receivable. The Company’s cash, cash equivalents and marketable securities are with two major financial institutions in the United States. The Company performs an ongoing credit evaluation of its strategic partners’ financial conditions and generally does not require collateral to secure accounts receivable from its strategic partners. The Company’s exposure to credit risk associated with non-payment will be affected principally by conditions or occurrences within Takeda Pharmaceutical Company Ltd. (“Takeda”). Approximately 88% and 53% of total revenues for the year ended December 31, 2019 and 2018, were derived from Takeda. See Note 3 “Research and Development Collaboration Agreements ” Drug candidates developed by the Company may require approvals or clearances from the FDA or international regulatory agencies prior to commercial sales. There can be no assurance that the Company’s drug candidates will receive any of the required approvals or clearances. If the Company were to be denied approval or clearance or any such approval or clearance were to be delayed, it would have a material adverse impact on the Company. Property and Equipment Property and equipment are stated at cost less accumulated depreciation. Major additions and improvements are capitalized while maintenance and repairs that do not improve or extend the useful life of the respective asset are expensed. Depreciation of property and equipment is computed using the straight-line method over the estimated useful lives of the assets, which range from five to seven years. Leasehold improvements are amortized over the shorter of the lease term or the estimated useful lives of the assets. Patents The gross value of Patents was $1.3 million at December 31, 2019 and 2018, and are recorded in Other assets. The Company recorded $0.1 million of amortization expense for the year ended December 31, 2019 and an immaterial amount for the year ended December 31, 2018 with estimated expense to remain $0.1 million for each of the five successive years subsequent to December 31, 2019. Impairment of Long-Lived Assets When events, circumstances and/or operating results indicate that the carrying values of long-lived assets might not be recoverable through future operations, the Company prepares projections of the undiscounted future cash flows expected to result from the use of the assets and their eventual disposition. If the projections indicate that the recorded amounts are not expected to be recoverable, such amounts are reduced to estimated fair value. Fair value is estimated based upon internal evaluation of each asset that includes quantitative analyses of net revenue and cash flows, review of recent sales of similar assets and market responses based upon discussions in connection with offers received from potential buyers. Certain factors used for these types of nonrecurring fair value measurements are considered Level 3 inputs. The Company recognized impairment of $22.1 million during the year ended December 31, 2019 and no impairment during the year ended December 31, 2018. See Note 15 “In-Process Research and Development ” for further details on the recorded impairment. Long-term debt The Company records debt issuance costs related to its long-term debt as a deduction from the carrying amount. The costs are amortized to interest expense over the life of the debt. Revenue Recognition The Company’s revenue has consisted principally of collaboration agreements for research and development revenue and grant revenue. Grant revenue relates to the grants the Company has received from governmental bodies that are conditional cost reimbursement grants, and we recognize revenue as allowable costs are incurred. Amounts collected in excess of revenue recognized are recorded as deferred revenue. The Company’s collaborative arrangements may include one or more of the following: licenses, or options to obtain licenses; up-front fees; research and development activities and associated costs; milestone payments related to the achievement of development, regulatory, or commercial goals; and royalties on net sales of licensed products. Each of these payments may result in collaboration revenues or an offset against research and development expense. Effective January 1, 2018, the Company adopted the Financial Accounting Standards Board’s (“FASB”) provisions of ASC 606, Revenue from Contracts with Customers ASC 606 applies to all contracts with customers, except for contracts that are within the scope of other standards . Under ASC 606, revenue recognized when a customer obtains control of promised goods or services, in an amount that reflects the consideration which is expected to be receive in exchange for those goods or services. To determine revenue recognition for arrangements that are within the scope of ASC 606, the following five steps are performed: (i) identification of the promised goods or services in the contract; (ii) determination of whether the promised goods or services are performance obligations including whether they are distinct in the context of the contract; (iii) measurement of the transaction price, including the constraint on variable consideration; (iv) allocation of the transaction price to the performance obligations based on estimated selling prices; and (v) recognition of revenue when (or as) the Company satisfies each performance obligation. A performance obligation is a promise in a contract to transfer a distinct good or service to the customer. The Company analyzes its collaboration arrangements to assess whether they are within the scope of ASC 808, Collaborative Arrangements The Company identifies the goods or services promised within each collaboration agreement and assesses whether each promised good or service is distinct for the purpose of identifying the performance obligations in the contract. This assessment involves subjective determinations and requires management to make judgments about the individual promised goods or services and whether such are separable from the other aspects of the contractual relationship. Promised goods and services are considered distinct provided that: (i) the customer can benefit from the good or service either on its own or together with other resources that are readily available to the customer and (ii) the entity’s promise to transfer the good or service to the customer is separately identifiable from other promises in the contract. In assessing whether a promised good or service is distinct, the Company considers factors such as the research, manufacturing and commercialization capabilities of the collaboration partner and the availability of the associated expertise in the general marketplace. If a promised good or service is not distinct, an entity is required to combine that promised good or service with other promised goods or services until it identifies a bundle of goods or services that is distinct. The allocation of the transaction price to the performance obligations in proportion to their standalone selling prices is determined at contract inception. If the consideration promised in a contract includes a variable amount, the Company estimates the amount of consideration to which it will be entitled in exchange for transferring the promised goods or services to a customer. The Company determines the amount of variable consideration by using the expected value method or the most likely amount method. The Company includes the unconstrained amount of estimated variable consideration in the transaction price. The amount included in the transaction price is the amount for which it is probable that a significant reversal of cumulative revenue recognized will not occur. At the end of each subsequent reporting period, the Company re-evaluates the estimated variable consideration included in the transaction price and any related constraint, and if necessary, adjusts its estimate of the overall transaction price. Any such adjustments are recorded on a cumulative catch-up basis in the period of adjustment. In determining the transaction price, the Company adjusts consideration for the effects of the time value of money if there is a significant benefit of financing. The Company assessed its collaboration agreements and concluded that no significant financing components were present. If an arrangement contains customer options that allow the customer to acquire additional goods or services, including an exclusive license to the Company’s intellectual property, the goods and services underlying the customer options are evaluated to determine whether they are deemed to represent a material right. In determining whether the customer option has a material right, the Company assesses whether there is an option to acquire additional goods or services at a discount. If the customer option is determined not to represent a material right, the option is not considered to be performance obligations at the outset of the arrangement. If the customer option is determined to represent a material right, the material right is recognized as a separate performance obligation at the outset of the arrangement. The Company allocates the transaction price to material rights based on the relative standalone selling price, which is determined based on the identified discount and the probability that the customer will exercise the option. Amounts allocated to a material right are not recognized as revenue until the option is exercised. The Company recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligation as each performance obligation is satisfied over time, with progress toward completion measured based on actual costs incurred relative to total estimated costs to be incurred over the life of the contract. Recorded revenue and costs are subject to revision as the contract progresses. Such revisions may result in increases or decreases to revenue and income and are reflected in the consolidated financial statements in the periods in which they are first identified. Estimating costs under the Company’s collaboration agreements is complex and involves significant judgment. Factors that must be considered in making estimates include labor productivity and availability, the nature and technical complexity of the work to be performed, potential performance delays, availability and timing of funding from the customer and progress toward completion. Adjustments to original estimates are often required as work progresses and additional information becomes known, even though the scope of the work required under the contract may not change. Any adjustment as a result of a change in estimates is made when facts develop, events become known, or an adjustment is otherwise warranted, such as in the case of contract change orders. The Company has procedures and processes in place to monitor the actual progress of a project against estimates and the Company’s estimates are updated if circumstances are warranted. Performance obligations may include research and development services to be performed by the Company on behalf of the collaboration partner. Revenue is recognized on research and development efforts as the services are performed and presented on a gross basis, since the Company is the principal. Under collaboration agreements, the timing of revenue recognition and contract billings may differ, and result in contract assets and contract liabilities. Contract assets represent revenues recognized in excess of amounts billed under collaboration agreements and are transferred to accounts receivable when billed or billing rights become unconditional. Contract liabilities represent billings in excess of revenues recognized under collaboration agreements. Lease Accounting In February 2016, the Financial Accounting Standards Board ("FASB") established Topic 842, Leases, by issuing Accounting Standards Update Land Easement Practical Expedient for Transition Leases The Company adopted the new lease standard on January 1, 2019 using the modified retrospective method, in which case the cumulative effect of applying the standard would be recognized at the date of initial application. Consequently, financial information will not be updated, and the disclosures required under the new standard will not be provided for dates and periods prior to the first quarter of fiscal 2019. The Company has completed a qualitative and quantitative assessment of its lease portfolio, in which the standard had a material impact on the condensed consolidated balance sheets but did not have an impact on the condensed consolidated statement of operations. Upon adoption, the Company recognized lease liabilities of approximately $4.7 million based on the present value of the remaining minimum rental payments under current leasing standards for our existing operating leases. The corresponding ROU assets of $4.2 million recognized upon adoption are net of deferred rent. The new standard provides a number of optional practical expedients in transition. The Company elected the practical expedients, which permits lessees not to reassess under the new standard prior conclusions about lease identification, lease classification and initial direct costs. The Company did not elect the use-of-hindsight or the practical expedient pertaining to land easements; the latter not being applicable to the Company. The new standard also provides practical expedients for an entity's ongoing accounting. The Company elected the short-term lease recognition exemption for all leases that qualify. This means, for those leases that qualify, ROU assets or lease liabilities will not be recognized, and this includes not recognizing ROU assets or lease liabilities for existing short-term leases of those assets in transition. The Company also elected the practical expedient to not separate lease and non-lease components for office leases. At inception of a contract, the Company determines whether an arrangement is or contains a lease. For all leases, the Company determines the classification as either operating leases or finance leases. Operating leases are included in Operating lease right-of-use assets and Operating lease liabilities in our condensed consolidated balance sheets. Lease recognition occurs at the commencement date and lease liability amounts are based on the present value of lease payments over the lease term. The lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. If a lease does not provide information to determine an implicit interest rate, the Company uses our incremental borrowing rate in determining the present value of lease payments. ROU assets represent the right to use an underlying asset for the lease term, and lease liabilities represent the obligation to make lease payments under the lease. ROU assets also include any lease payments made prior to the commencement date and exclude lease incentives received. Operating lease expense is recognized on a straight-line basis over the lease term. The depreciable life of assets and leasehold improvements are limited by the expected lease term, unless there is a transfer of title or purchase option reasonably certain of exercise. Lease agreements with both lease and non-lease components, are generally accounted for together as a single lease component. As a result of applying the modified retrospective method to adopt the lease guidance, the following adjustments were made to accounts on the condensed consolidated balance sheet at January 1, 2019 (in thousands): Balance Sheet December 31, 2018 Effect of adoption of ASC 842 January 1, 2019 Assets Operating lease right-of-use assets, non-current $ — $ 4,180 $ 4,180 Total assets $ — $ 4,180 $ 4,180 Liabilities Operating lease liabilities, current $ — $ 976 $ 976 Deferred rent 1 525 (525 ) — Operating lease liabilities, non-current — 3,729 3,729 Total liabilities $ 525 $ 4,180 $ 4,705 (1) Included in Other liabilities on the balance sheet. The Company has operating leases for administrative offices and R&D facilities, and certain finance leases for equipment. The operating leases have remaining terms of less than three years to less than nine years, and the finance leases have remaining terms of less than one year to less than two years. Leases with an initial term of 12 months or less will not be recorded on the consolidated balance sheets as operating leases or finance leases, and the Company will recognize lease expense for these leases on a straight-line basis over the lease term. For leases commencing in 2019 and later, the Company will account for lease components (e.g., fixed payments including rent, real estate taxes, and insurance costs) with non-lease components (e.g. common area maintenance costs). Certain leases include options to renew, with renewal terms that can extend the lease term from three to five years. The exercise of lease renewal options for our existing leases is at our sole discretion and not included in the measurement of lease liability and ROU asset as they are not reasonably certain to be exercised. Certain finance leases also include options to purchase the leased equipment. The depreciable life of assets and leasehold improvements are limited by the expected lease term, unless there is a transfer of title or purchase option reasonably certain of exercise. The leases do not contain any residual value guarantees or material restrictive covenants. Income Taxes Income taxes are recorded in accordance with ASC 740, Accounting for Income Taxes ASC 740 clarifies the accounting for uncertainty in income taxes recognized in the financial statements and provides that a tax benefit from an uncertain tax position may be recognized when it is more likely than not that the position will be sustained upon examination, including resolutions of any related appeals or litigation processes, based on the technical merits. This interpretation also provides guidance on measurement, derecognition, classification, interest and penalties, accounting in interim periods and disclosure. The Company’s policy for recording interest and penalties associated with uncertain tax positions is to record such items as a component of tax expense. Stock-Based Compensation The Company recognizes stock-based compensation in accordance with ASC 718, “Compensation—Stock Compensation.” The Company estimates the grant date fair value of each option award using the Black-Scholes option-pricing model. The use of the Black-Scholes option-pricing model requires management to make assumptions with respect to the expected term of the option, the expected volatility of the common stock consistent with the expected life of the option, risk-free interest rates and expected dividend yields of the common stock. To determine the expected term of the Company’s employee stock options granted, the Company utilized the simplified approach as defined by SEC Staff Accounting Bulletin No. 107, “Share-Based Payment” Warrants In conjunction with certain financing transactions, the Company issued warrants to purchase the Company’s common stock. The Company determines whether the warrants should be classified as a liability or equity according to ASC 480, “ Distinguishing Liabilities from Equity Research and Development Costs Research and development expenses consist of costs such as salaries and benefits, laboratory supplies, facility costs, consulting fees and fees paid to contract research organizations, clinical trial sites, laboratories, other clinical service providers and contract manufacturing organizations. Research and development costs are expensed as incurred. Comprehensive loss Comprehensive loss is comprised of the Company’s net loss and other comprehensive income (loss). Unrealized gain (loss) on available-for-sale marketable securities represents the only component of other comprehensive income (loss). Clinical Trial Accruals The Company’s preclinical and clinical trials are performed by third party contract research organizations (CROs) and/or clinical investigators, and clinical supplies are manufactured by contract manufacturing organizations (CMOs). Invoicing from these third parties may be monthly based upon services performed or based upon milestones achieved. The Company accrues these expenses based upon its assessment of the status of each clinical trial and the work completed, and upon information obtained from the CROs and CMOs. The Company’s estimates are dependent upon the timeliness and accuracy of data provided by the CROs and CMOs regarding the status and cost of the studies, and may not match the actual services performed by the organizations. This could result in adjustments to the Company’s research and development expenses in future periods. To date the Company has had no significant adjustments. Bonus Accruals The Company has bonus programs for eligible employees. Bonuses are determined based on various criteria, including the achievement of corporate, departmental and individual goals. Bonus accruals are estimated based on various factors, including target bonus percentages per level of employee and probability of achieving the goals upon which bonuses are based. The Company’s management periodically reviews the progress made towards the goals under the bonus programs. As bonus accruals are dependent upon management’s judgments of the likelihood of achieving the various goals, it is possible for bonus expense to vary significantly in future periods if changes occur in those management estimates. Segments The Company has one reportable segment and uses one measurement of results of operations to manage its business. All long-lived assets are maintained in the United States of America. Recently Issued Accounting Pronouncements In December 2017, the SEC issued Staff Accounting Bulletin (“SAB”) 118 to address the application of GAAP in situations in which a registrant does not have the necessary information available, prepared, or analyzed (including computations) in reasonable detail to complete the accounting for certain income tax effects of the Tax Cuts and Jobs Act (the “Tax Act”), which was signed into law on December 22, 2017. In March 2018, the FASB issued ASU No. 2018-05, “ Income Taxes Topic 740 In June 2018, the FASB issued ASU No. 2018-07, “ Stock-based Compensation: Improvements to Nonemployee Share-based Payment Accounting In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses In August 2018, the FASB issued ASU 2018-13, Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement In August 2018, the FASB issued ASU 2018-15, Intangibles - Goodwill and Other - Internal-Use Software -Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740: Simplifying the Accounting for Income Taxes |
Net Loss Per Share
Net Loss Per Share | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Net Loss Per Share | NOTE 2—NET LOSS PER SHARE Basic net loss per common share is computed by dividing net loss by the weighted-average number of common shares outstanding during the period utilizing the two-class method. As discussed further in Note 11 “Stockholders’ Equity”, Preferred Stock Shareholders participate equally with Common Stock Shareholders in earnings, but do not participate in losses, and are excluded from the Basic net loss calculation. Diluted net loss per share is computed by giving effect to all potential dilutive common shares, including outstanding options, warrants and convertible preferred stock. More specifically, at December 31, 2019 and December 31, 2018, stock options, warrants and if converted preferred stock totaling approximately 8,516,000 and 7,525,000 common shares, respectively, were excluded from the computation of diluted net loss per share as their effect would have been anti-dilutive. Additionally, the effects of the beneficial conversion feature (“BCF”) Series A Convertible Preferred Stock et loss attributable to common shareholders in the calculation of net loss per share. See |
Research and Development Agreem
Research and Development Agreements | 12 Months Ended |
Dec. 31, 2019 | |
Research And Development [Abstract] | |
Research and Development Agreements | NOTE 3 — RESEARCH AND DEVELOPMENT AGREEMENTS Disaggregated Research and Development Revenue Research and Development revenue is attributable to regions based on the location of our collaboration partner's parent company headquarters. Research and Development revenues disaggregated by location were as follows (in thousands): Year Ended December 31, 2019 2018 Japan $ 19,499 $ 7,087 United States — 196 Total Research and Development Revenue $ 19,499 $ 7,283 Related Party Collaboration Agreements - Takeda Pharmaceuticals, Inc. Research and development revenue from related party relates to revenue from research and development agreements with Takeda Pharmaceuticals, Inc (“Takeda”) and were as follows (in thousands): Year Ended December 31, 2019 2018 Takeda Collaboration Agreement $ — $ 92 Takeda Individual Project Agreement 48 2,191 Takeda Development and License Agreement 18,468 3,903 Takeda Multi-Target Agreement 983 901 Total research and development revenue - from related party $ 19,499 $ 7,087 At December 31, 2019 and December 31, 2018, the Company had $36.7 million and $28.9 million, respectively, of Deferred revenue related to research and development agreements. Deferred revenue and accounts receivable balances from the research and development agreements with Takeda were as follows (in thousands): December 31, 2019 December 31, 2018 Contract Assets Accounts receivable from related party $ 408 $ 240 Contract Liabilities Deferred revenue, current $ 8,780 $ 26,231 Deferred revenue, non-current 441 2,670 Total deferred revenue $ 9,221 $ 28,901 Takeda Development and License Agreement On September 18, 2018, the Company entered into a Development and License Agreement with Takeda (“Takeda Development and License Agreement”) for the development and commercialization of products incorporating or comprised of one or more CD38 SLT-A fusion proteins (“Licensed Products”) for the treatment of patients with diseases such as multiple myeloma. The Company, at its discretion, exercised the co-development option in July 2019 and as a result is eligible to receive pre-clinical and clinical development milestone payments of up to $307.5 million upon the achievement of certain development milestones and regulatory approvals, and sales milestone payments of up to $325.0 million upon the achievement of certain sales milestone events. The Company may elect to end its co-development by providing Takeda with written notice of termination of the co-development. In the event the Company elects to end the co-development, the Company will be subject to reduced payments and royalty rates as set forth more specifically in the Takeda Development and License Agreement. The Company will also be entitled to receive tiered royalties, subject to certain reductions, as percentages of annual aggregate net sales, if any, of Licensed Products. The royalty percentages would range from low double-digits to low twenties if the Company continues its option to co-develop, and from high-single digits to low teens if the Company does not continue its option to co-develop. The Company identified one performance obligation at the inception of the Takeda Development and License Agreement, the research and development services for the CD38 ETBs, including manufacturing. The Company determined that research, development and commercialization license and the participation in the committee meetings are not distinct from the research and development services and therefore those promised services were combined into one combined performance obligation. The total transaction price of $29.8 million consists of (1) the $30.0 million upfront payment, (2) a $10.0 million development milestone payment which was achieved in the first quarter of 2020 At December 31, 2019, the other potential development milestones and sales milestones are not currently deemed probable of being achieved, as they are dependent on factors outside the Company ’ The Company recognizes revenue using a cost-based input measure. In applying the cost-based input method of revenue recognition, the Company used actual costs incurred relative to budgeted costs expected to be incurred for the combined performance obligation. These costs consist primarily of internal employee efforts and third-party contract costs. Revenue is recognized based on actual costs incurred as a percentage of total budgeted costs as the Company completes its performance obligation over the estimated service period. In July 2019, the Company exercised its co-development option and the agreed upon collaboration budget was increased to cover additional research and development activities whereby both parties will continue to cost share . The Company evaluated the additional research and development services and concluded these services were distinct from services currently being provided and represented a cost sharing arrangement between the Company and Takeda. As such, research and development expenses for this performance obligation will be expensed as incurred. At December 31, 2019 and December 31, 2018, total deferred revenue related to the performance obligation was $6.1 million and $24.8 million, respectively. Takeda Multi-Target Agreement In June 2017, The Company entered into a Multi-Target Collaboration and License Agreement with Takeda (the “Takeda Multi-Target Agreement”) in which the Company agreed to collaborate with Takeda to identify and generate ETBs, against two targets designated by Takeda. Takeda designated certain targets of interest as the focus of the research. Each party granted to the other nonexclusive rights in its intellectual property for purposes of the conduct of the research, and the Company agreed to work exclusively with Takeda with respect to the designated targets. Under the Takeda Multi-Target Agreement, Takeda has an option during an option period to obtain an exclusive license under the Company’s intellectual property to develop, manufacture, commercialize and otherwise exploit ETBs against the designated targets. The option period for each target ends three months after the completion of the evaluation of such designated target. The Company received cumulative payments of $5.0 million from Takeda pursuant to the Takeda Multi-Target Agreement. The Company may receive additional payments from the following: • $25.0 million in aggregate through the exercise of the option to license ETBs. • Clinical development milestone payments of up to approximately $397.0 million, for achievement of development milestones and regulatory approval of collaboration products under the Takeda Multi-Target Agreement. • C ommercial milestone payments of up to $150.0 million, • Tiered royalty payments of a mid-single to low-double digit percentage of net sales of any licensed ETBs, subject to certain reductions. • Up to $10.0 million in certain contingency fees. The Takeda Multi-Target Agreement will expire on the expiration of the option period (within three months after the completion of the evaluation of each designated target) for the designated targets if Takeda does not exercise its options, or, following exercise of the option, on the later of the expiration of patent rights claiming the licensed ETB or ten years from first commercial sale of a licensed ETB. The Takeda Multi-Target Agreement may be terminated sooner by Takeda for convenience or upon a material change of control, or by either party for an uncured material breach of the agreement. Under the Takeda Multi-Target Agreement, both parties have the right to terminate the agreement, with a specified notice period. The Company evaluated the contract termination clause and concluded that it was a non-substantive termination provision. As such, an initial contract term was defined as the length of the termination notice period, with a deemed renewal option to continue the research and development services over the remainder of the contract term as a material right. The Company determined that the promised goods and services under the Takeda Multi-Target Agreement were the background IP license, the research and development services, manufacturing during the initial contract period, and a renewal option to continue the research and development services. The Company determined that there were two performance obligations: research and development services, and the renewal options. Since the background IP and manufacturing were not distinct from the research and development services, they were deemed to be one performance obligation. Transaction consideration was allocated to each of the performance obligations using an estimate of the standalone selling price, and revenues are recognized over the period that the research and development services occur. The Company also concluded that, since the option for the exclusive license is deemed to be at fair value, the option does not provide the customer with a material right and should be accounted for if and when the option is exercised. At December 31, 2019 and December 31, 2018, deferred revenue related to the performance obligation was $3.1 million and $4.1 million, respectively. Takeda Collaboration Agreement In October 2016, the Company entered into a collaboration and option agreement (the “Takeda Collaboration Agreement”) with Millennium Pharmaceuticals, Inc., a wholly owned subsidiary of Takeda, to discover and develop CD38-targeting engineered toxin bodies (“ETBs”), which includes TAK-169 for evaluation by Takeda. All research and development services under the Takeda Collaboration Agreement were performed at December 31, 2018. Takeda Individual Project Agreement In connection with the Takeda Collaboration Agreement, the Company entered into an Individual Project Agreement (the “Takeda Individual Project Agreement”) with Takeda in June 2018, that was subsequently amended in July 2018. Under the Takeda Individual Project Agreement, the Company is responsible to perform certain research and development services relating to Chemistry, Manufacturing, and Controls (“CMC”) work for three potential lead ETBs targeting CD38 All research and development services under the Takeda Collaboration Agreement were performed at March 31, 2019. As such, the Company recognized less than $0.1 million and $2.2 million of research and development revenue for the year ended December 31, 2019 and 2018, respectively. This revenue is deemed to be revenue from a related party (as discussed further in Note 7, Related Party Transactions). Vertex Collaboration Agreement In November 2019, the Company entered into a collaboration agreement with (the “Vertex Collaboration Agreement”) Vertex Pharmaceuticals Incorporated (“Vertex”), to perform strategic research leveraging the Company’s engineered toxin body (“ETB”) technology platform to discover and develop novel targeted biologic therapies for applications outside of oncology. Pursuant to the terms of the Vertex Collaboration Agreement, the Company granted Vertex an exclusive option to obtain an exclusive license under the Company’s licensed technology to exploit one or more ETB products that are discovered by the Company against up to two designated targets. Vertex has selected an initial target and has the option to designate one additional target within specified time limits. Vertex payed the Company an upfront payment of $38 million, consisting of $23 million in cash and a $15 million equity investment pursuant to a Share Purchase Agreement (the “SPA”). In addition to the upfront payments, the Company may also receive an additional $22 million through the exercise of the options to license ETB products or to add an additional target. Additionally, Vertex will reimburse the Company for certain mutually agreed manufacturing technology transfer activities. The Company had $8.5 million of Deferred revenue, current, and $19.0 million of Deferred revenue, non-current, at December 31, 2019 related to the Vertex Collaboration Agreement. There was no deferred revenue at December 31, 2018 related to the Vertex Collaboration Agreement. The Company may, for each target under the Vertex Collaboration Agreement, receive up to an additional $180 million in milestone payments upon the achievement of certain development and regulatory milestone events and up to an additional $70 million in milestone payments upon the achievement of certain sales milestone events. The Company will also be entitled to receive, subject to certain reductions, tiered mid-single digit royalties as percentages of calendar year net sales, if any, on any licensed product. The Company will be responsible for conducting the research activities through the designation, if any, of one or more development candidates. Upon the exercise by Vertex of its option for a development candidate, Vertex will be responsible for all development, manufacturing, regulatory and commercialization activities with respect to that development candidate. Unless earlier terminated, the Vertex Collaboration Agreement will expire (i) on a country-by-country basis and licensed product-by-licensed product basis on the date of expiration of all payment obligations under the Collaboration Agreement with respect to such licensed product in such country and (ii) in its entirety upon the expiration of all payment obligations thereunder with respect to all licensed products in all countries or upon Vertex’s decision not to exercise any option on or prior to the applicable deadlines. Vertex has the right to terminate the Vertex Collaboration Agreement for convenience upon prior written notice to the Company. Either party has the right to terminate the Vertex Collaboration Agreement (a) for the insolvency of the other party or (b) subject to specified cure periods, in the event of the other party’s uncured material breach. The Company identified one performance obligation at the inception of the Vertex Collaboration Agreement consisting of research and development services. The Company recognizes revenue under the Vertex Collaboration Agreement using a cost-based input measure. In applying the cost-based input method of revenue recognition, the Company will use actual costs incurred relative to budgeted costs expected to be incurred. These costs consist primarily of internal employee efforts and third-party contract costs. Revenue is recognized based on actual costs incurred as a percentage of total budgeted costs as the Company completes its performance obligation over the estimated service period. In connection with the Vertex Collaboration Agreement, the Company and Vertex entered into a SPA pursuant to which Vertex agreed to purchase 1,666,666 shares of the Company’s common stock, par value $0.001 per share, at a price per share of $9.00. As the price per share was in excess of the fair value of the Company’s common stock, the Company allocated $4.5 million of this consideration to the Collaboration Agreement. The issuance of these shares were pursuant to a private placement exemption from registration afforded by Section 4(a)(2) of the Securities Act of 1933, as amended, and Rule 506 of Regulation D thereunder. In addition to the SPA, the Vertex Collaboration Agreement contemplates that the Company may enter into certain other ancillary arrangements with Vertex. Other Collaboration Agreements In September 2016, the Company entered into a collaboration agreement with an undisclosed pharmaceutical company (“Other Collaboration Agreement”) to generate ETBs and provide the customer (i) new ETBs generated using the customer’s materials and (ii) ETB study molecules for testing and evaluation. The customer exercised an option under the Other Collaboration Agreement for the manufacture of additional quantities of ETB molecules in November 2017. Under the Other Collaboration Agreement, the Company recognized no research and development revenue for the year ended December 31, 2019 and $0.2 million of research and development revenue for the year ended December 31, 2018. All research and development services under the Other Collaboration Agreement were performed at Grant Agreements I n September 2018, the Company entered into a Cancer Research Agreement (the “CD38 CPRIT Agreement”) with , which was extended in November 2019, under which CPRIT awarded a to fund research of a cancer therapy involving a CD38 targeting ETB Pursuant to the CD38 CPRIT Agreement, the Company may also use such funds to develop a replacement CD38 targeting ETB, with or without a partner. In 2011, the Company entered into a Cancer Research Agreement (the “CPRIT Agreement”) with CPRIT under which CPRIT awarded a $10.6 million product development grant for the CD20-targeting ETB MT-3724, this grant ended in November 2019. At December 31, 2019 the Company had received $9.6 million and anticipates receiving the remaining $1.0 million in the first half of 2020. During the year ended December 31, 2019 and 2018, the Company recognized $2.7 million and $6.0 million, respectively, in grant revenue under these awards. Qualified expenditures submitted for reimbursement in excess of amounts received are recorded as receivables in Grant revenue receivable. At , the Company had $7.1 million and $4.3 million, respectively, recorded in Grants revenue receivable. |
Marketable Securities and Fair
Marketable Securities and Fair Value Measurements | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Marketable Securities and Fair Value Measurements | NOTE 4—MARKETABLE SECURITIES AND FAIR VALUE MEASUREMENTS The following table sets forth the Company’s financial assets (cash equivalents and available-for-sale marketable securities) at fair value on a recurring basis as of December 31, 2019 and 2018: Fair Value as December 31, Basis of Fair Value Measurements (in thousands) 2019 Level 1 Level 2 Level 3 Money market funds $ 79,970 $ 79,970 $ — $ — Commercial paper 20,436 — 20,436 — United States Treasury Bills 16,738 — 16,738 — United States government-related debt securities 7,010 — 7,010 — Corporate bonds 1,351 — 1,351 — Total $ 125,505 $ 79,970 $ 45,535 $ — Amounts included in: Cash and cash equivalents $ 84,362 Marketable securities, current 39,633 Marketable securities, non-current 1,510 Total $ 125,505 Fair Value as December 31, Basis of Fair Value Measurements (in thousands) 2018 Level 1 Level 2 Level 3 Money market funds $ 82,843 $ 82,843 $ — $ — Commercial paper 12,825 — 12,825 — Total $ 95,668 $ 82,843 $ 12,825 $ — Amounts included in: Cash and cash equivalents 85,434 Marketable securities, current 10,234 Total $ 95,668 The Company invests in highly-liquid, investment-grade securities. The following is a summary of the Company’s available-for-sale securities at December 31, 2019 and 2018: As of December 31, 2019 (in thousands): Cost Basis Unrealized Gain Unrealized Loss Fair Value Cash equivalents - money market funds, commercial paper and corporate bonds $ 84,361 $ 1 $ — $ 84,362 Marketable securities, current - commercial paper, Treasury bills and corporate bonds 39,616 17 — 39,633 Marketable securities, non-current - Treasury bills 1,510 — — 1,510 As of December 31, 2018 (in thousands): Cost Basis Unrealized Gain Unrealized Loss Fair Value Cash equivalents - money market funds $ 85,434 $ — $ — $ 85,434 Marketable securities, current - commercial paper 10,234 — — 10,234 The following summarized the contractual maturities of the Company’s available-for-sale investment at December 31, 2019: Cost Basis Fair Value Due in one year or less $ 123,977 $ 123,995 Due after one year through five years 1,510 1,510 Total $ 125,487 $ 125,505 The Company received $1.3 million of proceeds with immaterial realized gains in the year ending December 31, 2019, and no realized gains or losses in years ending December 31, 2018. On August 1, 2017, as part of the Merger, the Company assumed the warrant liability of the predecessor Threshold, related to issued warrants to purchase 377,273 shares of our common stock, with an exercise price of $39.82 per share. Due to change in control provisions outside of the Company’s control in these warrant agreements, the guidance requires the Company’s outstanding warrants to be classified as liabilities and to be fair valued at each reporting period, with the changes in fair value recognized as other income (expense) in the Company’s consolidated statements of operations. The following table sets forth the Company’s financial liabilities measured at fair value on a recurring basis as of the date indicated below: Fair December 31, Basis of Fair Value Measurements (in thousands) 2019 Level 1 Level 2 Level 3 2017 Common stock warrants $ — $ — $ — $ — Fair December 31, Basis of Fair Value Measurements (in thousands) 2018 Level 1 Level 2 Level 3 2017 Common stock warrants $ 3 $ — $ — $ 3 The fair value of these warrants on December 31, 2019 2018 December 31, 2019 December 31, 2018 Risk-free interest rate 1.6 % 2.6 % Expected life (in years) 0.1 1.1 Dividend yield — — Volatility 86 % 77 % Stock price at valuation date $ 13.99 $ 4.04 During the year ended December 31, 2019 2018 |
Property and Equipment
Property and Equipment | 12 Months Ended |
Dec. 31, 2019 | |
Property Plant And Equipment [Abstract] | |
Property and Equipment | NOTE 5—PROPERTY AND EQUIPMENT Property and equipment consists of the following (in thousands): December 31, 2019 2018 Laboratory equipment $ 10,587 $ 4,676 Leasehold improvements 10,383 3,274 Furniture and fixtures 150 89 Computer and equipment 331 145 21,451 8,184 Less: Accumulated depreciation (3,293 ) (1,333 ) Total property and equipment, net $ 18,158 $ 6,851 Depreciation expense was $2.0 million and $1.0 million for the years ended December 31, 2019 and 2018, respectively. In connection with the continued expansion of the Company’s facilities, at December 31, 2019 and 2018, the Company had net ARO assets totaling $1.0 million and $0.1 million, respectively. The ARO assets are included in Leasehold improvements. |
Balance Sheet Components
Balance Sheet Components | 12 Months Ended |
Dec. 31, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Balance Sheet Components | NOTE 6—BALANCE SHEET COMPONENTS Accrued liabilities comprise the following (in thousands): December 31, 2019 2018 Accrued liabilities: General and administrative $ 4,521 $ 297 Clinical trial related costs 1,383 598 Non-clinical research and manufacturing operations 5,774 2,644 Payroll related 2,849 1,787 Other accrued expenses 17 31 Total accrued liabilities $ 14,544 $ 5,357 |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2019 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | NOTE 7 — RELATED PARTY TRANSACTIONS Takeda Agreements In connection with the Takeda Stock Purchase Agreement described in Note 3 “Research and Development Collaboration Agreements”, Takeda became a related party, following the stock purchase. Refer to Note 3, Research and Development Collaboration Agreements, for more details about the Takeda Collaboration Agreement, the Takeda Multi-Target Agreement and the Takeda Development and License Agreement. Refer to Note 12 “Stockholders’ Equity ” Public Offerings On September 25, 2018, the Company closed its underwritten public offering (the “2018 Public Offering”) of 9,430,000 shares of its common stock, which included the exercise in full by the underwriters of their option to purchase 1,230,000 additional shares of common stock, at a price to the public of $5.50 per share, in which Longitude Venture Partners III, L.P. and CDK Associates, L.L.C. On November 25, 2019, the Company closed its underwritten public offering (the “2019 Public Offering”) of 6,900,000 shares of its common stock and 250 shares of our newly designated Series A Convertible Preferred Stock, which included the exercise in full by the underwriters of their option to purchase 900,000 additional shares of common stock, at a price to the public of $8.00 per share, in which Longitude Venture Partners III, L.P. and CDK Associates, L.L.C. |
Borrowing Arrangements
Borrowing Arrangements | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Borrowing Arrangements | NOTE 8 — BORROWING ARRANGEMENTS SVB Loan Agreement In April 2014, the Company entered into a loan and security agreement (the “Loan Agreement”) with Silicon Valley Bank (“SVB”) that was subsequently amended in April 2015, to provide for (1) growth capital Advances to the Company of up to $6.0 million over three tranches based on corporate milestones; (2) term loans of up to $6.0 million in the aggregate (“Growth Capital Loan”); (3) warrants to purchase 48,874 shares of the Company’s common stock at an exercise price of $3.07 per share under the amended loan and security agreement; and (4) a final fee of $0.4 million due at the loan maturity date in addition to the principal and interest payments. The company drew $6.1 million on this loan from 2015 to 2016. The Company paid down the Growth Capital Loan on February 27, 2018, from the proceeds of the Perceptive Credit Facility, discussed below. Until the termination of the Growth Capital Loan on February 27, 2018, the Company paid $3.2 million in principal, $0.4 million in a final fee interest during the year ended December 31, 2018. As of December 31, 2018 the Growth Capital Loan had been repaid, and the balance was zero. Perceptive Credit Facility On February 27, 2018, the Company entered into a term loan facility with Perceptive Credit Holdings II, LP (“Perceptive”) in the amount of $10.0 million (the “Perceptive Credit Facility”). The Perceptive Credit Facility consists of a $5.0 million term loan, which was drawn on the effective date of the Perceptive Credit Facility, and an additional $5.0 million term loan that can be drawn down at a future date. The principal on the facility accrues interest at an annual rate equal to a three-month LIBOR plus the Applicable Margin. The Applicable Margin is 11.00%. Upon the occurrence, and during the continuance, of an event of default, the Applicable Margin, defined above, will be increased by 4.00% per annum. The interest rate at December 31, 2019 was 12.9%. Payments for the first 24 months are interest only and are paid quarterly. After the second anniversary of the closing date of the Perceptive Credit Facility, principal payments of $0.2 million are due each calendar quarter, with a final payment of $3.4 million due on February 27, 2022. This term loan facility matures on February 27, 2022 and includes both financial and non-financial covenants, including a minimum cash balance requirement. The Company is required to pay an exit fee of $100,000 on a pro rata basis on the maturity date or the earlier date of repayment of the term loans in full. Additionally, the Company incurred $0.5 million in deferred finance costs and issued the debt net of a $1.5 million discount. The exit fee, deferred finance costs and discount are being accreted to interest expense over the term of the Perceptive Credit Facility using the effective interest method. For the year ended December 31, 2019 and December 31, 2018, the Company recorded $0.7 million and $0.6 million of interest expense, respectively. For the years ended December 31, 2019 and D In connection with the Perceptive Credit Facility, on February 27, 2018 the Company issued Perceptive a warrant to purchase 190,000 shares of the Company’s common stock. The warrant is exercisable for a period of seven years from the date of issuance at an exercise price per share of $9.5792, subject to certain adjustments as specified in the Warrant. See Note 12, “Stockholders’ Equity” for further discussion of the warrant. The fair value of the warrant of $1.5 million was recorded as a debt discount, which is being amortized to interest expense over the term of the Perceptive Credit Facility using the effective interest method. As of December 31, 2019 and December 31, 2018 the Perceptive Credit Facility principal balance was $5.0 million and $5.0 million, respectively, with principal payment due one calendar year, or more, from the balance sheet being classified as non-current. As of December 31, 2019, the Company was in compliance with the non-financial covenants of the Perceptive Credit Facility. As of December 31, 2019 and 2018 the carrying value of the long-term debt was $3.7 million and $3.3 million, respectively. Future required principal payments on the Perceptive Credit facility were as follows as of December 31, 2019 (in thousands): Year Ending December 31, 2020 $ 800 2021 800 2022 3,500 2023 — 2024 — Total $ 5,100 |
Leases
Leases | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Leases | NOTE 9 – LEASES In January 2019, the Company entered into a lease agreement for an additional 57,000 square feet of administrative office and R&D space in Austin, Texas. The lease commenced March 2019 and expires August 2028 and does not contain an option to renew. The tables below include the impact of this lease. Upon the commencement of the lease, the Company recorded an operating lease ROU asset and a lease liability of $7.2 million. The Company subsequently adjusted the lease liability to $7.4 million due to changes in cash receipts related to a tenant improvement allowance. In connection with entering into the lease and in lieu of a cash deposit, the Company obtained a letter of credit of $3.0 million. Additionally, the Company has recorded an asset retirement obligation as a result of this lease which has a balance of $0.4 million at December 31, 2019. Changes in the carrying amounts of the Company’s AROs for the years ended December 31, 2019 and 2018 are shown below (in thousands): 2019 2018 Balance at beginning of year $ 344 $ 261 Liabilities incurred in the current period 949 44 Accretion expense 72 39 Balance at end of year $ 1,365 $ 344 At December 31, 2019, the Company did not have any operating and finance leases that have not yet commenced. The components of lease expense for the year ended December 31, 2019 were as follows (in thousands): Operating leases Operating lease expense $ 2,175 Variable lease expense 456 Total operating lease expense $ 2,631 Finance leases Amortization of right-of-use asset $ 8 Interest on lease liabilities 2 Total finance lease expense $ 10 Sublease rental income $ 138 Sublease rental income is recorded in Interest and other income, net, on the Company’s Condensed Consolidated Statement of Operations. The following table summarizes the balance sheet classification of leases at December 31, 2019 (in thousands): Operating leases Operating lease right-of-use assets, non-current $ 9,959 Operating lease liabilities, current 1 $ 1,683 Operating lease liabilities, non-current 11,682 Total operating lease liabilities $ 13,365 Finance leases Property and equipment, at cost $ 77 Accumulated depreciation 41 Property and equipment, net $ 36 Finance lease liabilities, current 1 $ 18 Finance lease liabilities, non-current 2 1 Total finance lease liabilities $ 19 1. Included in other current liabilities. 2. Included other liabilities. The following table presents other information on leases as of December 31, 2019: Weighted Average Remaining Lease Term Weighted Average Discount Rate Operating leases 7.2 6.72 % Finance leases 0.8 6.88 % Future minimum payments required under operating leases that have initial or remaining non-cancelable lease terms in excess of one year as of December 31, 2019 (in thousands): Operating Leases Finance Leases 2020 $ 2,517 $ 20 2021 2,589 — 2022 2,650 — 2023 1,961 — 2024 1,474 Thereafter 5,762 — Total lease payments 16,953 20 Less: Imputed interest (3,588 ) (1 ) Total lease liabilities $ 13,365 $ 19 Supplemental cash flow information related to the Company’s leases were as follows for the year ended December 31, 2019 (in thousands): Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 1,278 Operating cash flows from finance leases $ 3 Financing cash flows from finance leases $ 31 Right-of-use asset obtained in exchange for lease obligations: Operating leases $ 7,501 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | NOTE 10—COMMITMENTS AND CONTINGENCIES Commitments The Company has entered into project work orders for each of its clinical trials with clinical research organizations (“CRO”) and related laboratory vendors. Under the terms of these agreements, the Company is required to pay certain upfront fees for direct services costs. Based on the particular agreement some of the fees may be for services yet to be rendered and are reflected as a current prepaid asset and have an unamortized balance of approximately $1.0 million at December 31, 2019. In connection with the Company’s clinical trials, it has entered into separate project work orders for each trial with its CRO. The Company has entered into agreements with CROs and other external service providers for services, primarily in connection with the clinical trials and development of the Company’s drug candidates. The Company was contractually obligated for up to approximately $41.8 million of future services under these agreements at December 31, 2019, for which amounts have not been accrued as services have not been performed. The Company’s actual contractual obligations will vary depending upon several factors, including the progress and results of the underlying services. We have entered into estimated purchase obligations which in total range from $6.4 million to $7.0 million and include signed orders for capital equipment. As a result of our collaboration agreement with Takeda, we exercised our right to cost-share approximately 50% of the development costs for Phase I. Future clinical trial expense related to this trial has not been included within the purchase commitments because they are contingent on enrollment in clinical trials and the activities required to be performed by the clinical sites. Contingencies In the ordinary course of business, the Company may provide indemnifications of varying scope and terms to vendors, lessors, business partners, collaborators and other parties with respect to certain matters, including, but not limited to, losses arising out of the Company’s breach of such agreements, services to be provided by or on behalf of the Company, or from intellectual property infringement claims made by third parties. In addition, the Company has entered into indemnification agreements with its directors and certain of its officers and employees that will require the Company, among other things, to indemnify them against certain liabilities that may arise by reason of their status or service as directors, officers or employees. The Company maintains director and officer insurance, which may cover certain liabilities arising from its obligation to indemnify its directors and certain of its officers and employees, and former officers and directors in certain circumstances. The Company maintains product liability insurance, clinical trial insurance and comprehensive general liability insurance, which may cover certain liabilities arising from its indemnification obligations. It is not possible to determine the maximum potential amount of exposure under these indemnification obligations due to the limited history of prior indemnification claims and the unique facts and circumstances involved in each particular indemnification obligation. Such indemnification obligations may not be subject to maximum loss clauses. Management is not currently aware of any matters that could have a material adverse effect on the financial position, results of operations or cash flows of the Company. The Company believes that its product liability, clinical trial and comprehensive general liability insurance are adequate for current operations. However, the coverage limits of this insurance may not be adequate to cover all potential claims. Product liability, clinical trial and comprehensive general liability insurance is expensive and may be difficult to obtain or maintain on commercially reasonable terms. A successful claim against the Company in excess of the Company’s insurance coverage or outside the scope of an indemnity given by any vendors, lessors, business partners, collaborators and other parties in Company agreements could adversely affect the Company’s results of operations . |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2019 | |
Equity [Abstract] | |
Stockholders' Equity | NOTE 11—STOCKHOLDERS’ EQUITY Private Placement and Related Warrants On August 1, 2017, the Company entered into the a securities purchase agreement with Longitude Venture Partners III, L.P. and certain other accredited investors (the “Longitude Securities Purchase Agreement”), pursuant to which the Company sold an aggregate of 5,793,063 units (the “Units”) having an aggregate purchase price of $40.0 million (“PIPE Financing”), each such Unit consisting of (i) one (1) share (the “Shares”) of our common stock and (ii) a warrant (the “Private Placement Warrants”) to purchase 0.5 shares of our common stock (the “Private Placement”). The Private Placement was pursuant to equity commitment letter agreements entered into by and between the Company and investors in March and June 2017. The purchase price per Unit was $6.9048. The Warrants will be exercisable for a period of seven years from the date of their issuance at a per-share exercise price of $6.8423 (which exercise price shall be payable in cash or through a cashless exercise mechanic), subject to certain adjustments as specified in the Warrants. At December 31, 2019, there were warrants outstanding under this agreement to purchase 2,896,528 shares of common stock. The warrants were valued at $16.3 million using the Black-Scholes model, and recorded in additional paid-in capital. The Black-Scholes inputs used were: expected dividend rate of 0%, expected volatility of 147%, risk free interest rate of 2.07%, and expected term of 7.0 years. The warrants were exercisable upon issuance and expire August 1, 2024. In December 2015, the Company entered into an agreement with Wedbush (“Wedbush Agreement”), which was subsequently amended in December of 2017, related to Wedbush’s services associated with the equity financing under the Longitude Securities Purchase Agreement. As part of the Wedbush Agreement, the Company issued warrants to purchase 57,930 shares of our common stock (the “Wedbush Warrants”). The Wedbush Warrants are exercisable for a period of seven years from the date of their issuance at a per-share exercise price of $6.8423 (which exercise price shall be payable in cash or through a cashless exercise mechanic), subject to certain adjustments as specified in the Warrants. At December 31, 2019, there were Wedbush warrants outstanding to purchase 57,930 shares of common stock. The Wedbush Warrants were valued at $0.4 million using the Black-Scholes model. The Black-Scholes inputs used were: expected dividend rate of 0%, expected volatility of 108%, risk free interest rate of 2.3%, and expected term of 7.0 years. The warrants were exercisable upon issuance and expire December 1, 2024. Subsequent Private Placements In connection with the execution of the Takeda Multi-Target Agreement, the Company entered into the Takeda Stock Purchase Agreement. Pursuant to the Takeda Stock Purchase Agreement, following the consummation of the Private Placement, Takeda purchased 2,922,993 shares of the Company common stock, at a price per share of $6.8423, for an aggregate purchase price of $20.0 million. In connection with the execution of the Vertex Collaboration Agreement, the Company entered into the Vertex Stock Purchase Agreement. Pursuant to the Vertex Stock Purchase Agreement, Vertex purchased 1,666,666 shares of the Company common stock, at a price per share of $9.00, for an aggregate purchase price of $15.0 million. See Note 3 “ ” Public Offerings On September 25, 2018, the Company closed its underwritten public offering (the “2018 Public Offering”) of 9,430,000 shares of its common stock, which included the exercise in full by the underwriters of their option to purchase 1,230,000 additional shares of common stock, at a price to the public of . On November 25, 2019, the Company closed its underwritten public offering (the “2019 Public Offering”) of 6,900,000 shares of its common stock at a price to the public of The net proceeds to the Company from the offering, after deducting the underwriting discounts and commissions and offering expenses payable by the Company, were approximately . Each share of Series A Preferred Stock is convertible to 1,000 shares of Common Stock, provided that the holder of Series A Preferred Stock will be prohibited from converting the Series A Preferred Stock into shares of common stock if, as a result of such conversion, the holder, together with its affiliates, would own more than 9.99% of the total number of shares of the Company’s common stock then issued and outstanding. In the event of the Company’s liquidation, dissolution, or winding up, holders of Series A Preferred Stock will receive a payment equal to $0.001 per share of Series A Preferred Stock before any proceeds are distributed to the holders of the Company’s common stock and pari passu with any distributions to the holders of the Company’s Series A Preferred Stock. Series A Preferred Stock participate in earnings equally with Common Stock shareholders, with the same dividend rate, but do not participate in losses as discussed in Note 2 “Net Loss per Common Share”. Based on the guidance in ASC 470-20-20, the Company determined that a BCF existed, as the effective conversion price for the Series A Preferred Stock at issuance was less than the fair value of the common stock which the preferred shares are convertible into. The BCF based on the intrinsic value of the date of issuances for the Series A Preferred Stock was $0.7 million . Subsequent Common Stock Warrants On February 28, 2018, in connection with the Perceptive Credit Facility, the Company issued warrants to purchase 190,000 shares of the Company’s common stock with an exercise price of $9.58 (the “2018 Warrants”). The 2018 Warrants are exercisable for a period of seven years from the date of issuance, subject to certain adjustments as specified in the Warrants. The 2018 Warrants were classified as equity and recorded in additional paid-in capital. They were valued at $1.5 million using the Black-Scholes model. The Black-Scholes inputs used were: expected dividend rate of 0%, expected volatility of 105%, risk free interest rate of 2.8%, and expected term of 7.0 years. See Note 8, “Borrowing Arrangements”, for further detail about the Perceptive Credit Facility. |
Equity Incentive Plans and Stoc
Equity Incentive Plans and Stock Based Compensation | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Equity Incentive Plans and Stock Based Compensation | NOTE 12—EQUITY INCENTIVE PLANS AND STOCK-BASED COMPENSATION 2018 Equity Incentive Plan In May 2018, the Company adopted the 2018 Equity Incentive Plan (“2018 Plan”). The 2018 Plan serves as a successor to the 2004 Equity Incentive Plan (“2004 Plan”) Equity Incentive Plan (“2009 Plan”) 2014 Equity Incentive Plan, as amended, 2004 Employee Stock Purchase Plan On January 1, 2017 an additional 9,091 shares were authorized for issuance under the 2004 Employee Stock Purchase Plan (“2004 Purchase Plan”) pursuant to the annual automatic increase to the authorized shares under the 2004 Purchase Plan. The 2004 Purchase Plan contains consecutive, overlapping 24 month offering periods. Each offering period includes four six-month purchase periods. The price of the common stock purchased will be the lower of 85% of the fair market value of the common stock at the beginning of an offering period or at the end of the purchase period. For the years ended December 31, 2019 and December 31, 2018, no shares were purchased by employees under the 2004 Purchase Plan. At December 31, 2019 and 2018, 8,636 were authorized and available for issuance under the 2004 Purchase Plan. The following table summarizes information about stock option activity for years ended December 31, 2019 and 2018: Outstanding Options Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term Aggregate Intrinsic Value of December 31, 2018 (in millions): Balances, December 31, 2017 2,768,711 $ 12.07 5.6 $ 11.0 Options granted 1,844,787 6.98 Options exercised (407,682 ) 0.70 Options canceled (202,817 ) 20.83 Balances, December 31, 2018 4,002,999 $ 10.43 6.4 $ 1.5 Options granted 2,003,600 6.01 Options exercised (286,479 ) 6.10 Options canceled (976,130 ) 22.37 Balances, December 31, 2019 4,743,990 $ 6.37 8.2 $ 36.5 Vested and expected to vest December 31, 2019 4,743,990 $ 6.37 8.2 $ 36.5 Exercisable at December 31, 2019 1,779,916 $ 5.98 7.0 $ 14.6 At December 31, 2019, stock options outstanding and exercisable by exercise price were as follows: Options Outstanding Options Exercisable Range of Exercise Prices Number Outstanding Weighted Average Remaining Contractual Life (Years) Weighted Average Exercise Price Number Exercisable Weighted Average Exercise Price $ 0.42 - 1.85 478,366 3.80 $ 1.07 475,308 $ 1.06 $ 4.04 - 4.28 6,681 7.72 $ 4.22 4,191 $ 4.20 $ 4.66 - 4.66 1,030,126 9.11 $ 4.66 105,638 $ 4.66 $ 4.74 - 5.81 428,825 8.93 $ 5.06 73,716 $ 5.16 $ 6.31 - 6.31 1,227,849 8.41 $ 6.31 531,659 $ 6.31 $ 6.54 - 8.21 537,662 8.78 $ 7.63 123,674 $ 8.03 $ 8.35 - 9.28 134,450 9.56 $ 8.53 7,499 $ 9.24 $ 9.40 - 9.40 537,500 7.77 $ 9.40 348,437 $ 9.40 $ 10.78 - 61.27 360,713 8.71 $ 12.58 107,976 $ 13.22 $ 70.29 - 70.29 1,818 2.37 $ 70.29 1,818 $ 70.29 $ 0.42 - 70.29 4,743,990 8.16 1,779,916 $ 5.98 The total intrinsic value of stock options exercised during the years ended December 31, 2019 and 2018 were $0.6 million and $2.6 million, respectively, determined at the date of the option exercise. Cash received from stock option exercises were $1.7 million and $0.3 million for the years ended December 31, 2019 and 2018, respectively. The Company issues new shares of common stock upon exercise of options. In connection with these exercises, there was no tax benefit realized by the Company due to its current loss position. Stock-based Compensation Stock-based compensation expense, which consists of the compensation cost for employee stock options and the value of options issued to non-employees for services rendered, was allocated to research and development and general and administrative in the consolidated statements of operations as follows (in thousands): Years Ended December 31, 2019 2018 Stock-based compensation expense: Research and development $ 2,398 $ 1,192 General and administrative 3,461 2,800 $ 5,859 $ 3,992 Employee Stock-based Compensation Expense Valuation Assumptions The fair value of employee stock options was estimated using the following weighted-average assumptions for the years ended December 31, 2019 and 2018: Years Ended December 31, 2019 2018 Employee Stock Options Risk-free interest rate 2.37 % 2.79 % Expected life (in years) 6.08 6.03 Dividend yield — — Volatility 108.70 % 107.15 % Weighted-average fair value of stock options granted $ 5.00 $ 5.79 As of December 31, 2019, the total unrecognized compensation cost related to unvested stock-based awards granted to employees under the Company’s equity compensation plans was approximately $15.0 million. This cost will be recorded as compensation expense ratably over the remaining weighted average requisite service period of approximately 2.71 years. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 13—INCOME TAXES For the years ended December 31, 2019 and 2018, the Company did not record an income tax provision due to net operating losses and the inability to record an income tax benefit. A reconciliation of income taxes at the statutory federal income tax rate to net income taxes included in the accompanying statements of operations is as follows (in thousands): 2019 2018 U.S. federal taxes (benefit) at statutory rate $ (14,578 ) $ (6,361 ) State federal income tax benefit (528 ) (69 ) Permanent differences 34 (160 ) Stock compensation 4,112 136 Research and development credits (1,677 ) (608 ) Change in valuation allowance due to operations 12,756 2,758 Expiring state carryovers and other (119 ) 4,304 Total $ — $ — The tax effects of temporary differences that give rise to significant components of the net deferred tax assets are as follows (in thousands): December 31, 2019 2018 Deferred tax assets Net operating loss carryforward $ 26,554 $ 19,941 Research and development credits 4,147 2,049 Deferred stock compensation 1,571 4,547 Deferred revenue 1,956 210 Lease liability 2,835 — Other 736 404 Total deferred tax assets 37,799 27,151 Total deferred tax liabilities Depreciable and amortizable assets (1,340 ) (925 ) Right-of-use asset (2,112 ) — R&D intangible assets (956 ) (5,591 ) Total deferred tax liabilities (4,408 ) (6,516 ) Less: Valuation allowance (33,391 ) (20,635 ) Net deferred tax assets $ — $ — At December 31, 2019, the Company had federal net operating loss carryforwards of approximately $125.5 million available to offset future taxable income. The Company’s federal net operating loss carryforwards will begin to expire in 2024 if not used before such time to offset future taxable income or tax liabilities. Federal tax loss carryforwards that were created prior to December 31, 2017 expire through 2037, all tax loss carryforwards created after that date do not expire. A portion of the Company’s net operating loss carryforward is subject to certain limitations on annual utilization in case of changes in ownership, as defined by federal and state tax laws. The annual limitation may result in the expiration of the net operating loss before utilization. At December 31, 2019, the Company had tax credits available to offset future taxes of approximately $3.5 million, which expire in the year beginning 2022, and state research and development tax credits of approximately $0.8 million, which expire beginning 2033. The Company has established a valuation allowance against its deferred tax assets due to the uncertainty surrounding the realization of such assets. The valuation allowance increased by $12.8 million from continuing operations, and the remaining changes in valuation allowance relates to the write-off of certain state tax attributes. The total amount of unrecognized benefits as of December 31, 2019 and 2018 was $0. The reconciliation of unrecognized tax benefits at the beginning and end of the year is as follows: (in thousands) 2019 2018 Gross unrecognized tax benefits at January 1, $ — $ 1,143 Gross increases (decreases) related to acquisitions — (1,143 ) Gross increases related to current year tax positions — — Gross unrecognized tax benefits at December 31, $ — $ — The Company’s policy is to recognize interest and/or penalties related to income tax matters in income tax expense. As of December 31, 2019 and 2018, the Company had no accrued interest or penalties due to the Company’s net operating losses available to offset any tax adjustment. The Company currently has no federal or state tax examinations in progress nor has it had any federal or state tax examinations since its inception. As a result of the Company’s net operating loss carryforwards, all of its tax years are subject to federal and state tax examination until the statute of limitations closes for the tax year in which the net operating losses are utilized. |
Employee Benefit Plan
Employee Benefit Plan | 12 Months Ended |
Dec. 31, 2019 | |
Compensation And Retirement Disclosure [Abstract] | |
Employee Benefit Plan | NOTE 14—EMPLOYEE BENEFIT PLAN The Company sponsors a defined-contribution savings plan under Section 401(k) of the Internal Revenue Code covering all full-time employees (“Molecular Templates 401(k) Plan”). Participants meeting certain criteria, as defined in the plan document, are eligible for a matching contribution, in amounts determined at the discretion of the Company. Contributions to the Molecular Templates 401(k) Plan by the Company were $0.2 million and $0.1 million for the years ended December 31, 2019 and 2018, respectively. |
In-Process Research and Develop
In-Process Research and Development | 12 Months Ended |
Dec. 31, 2019 | |
Research And Development [Abstract] | |
In-Process Research and Development | NOTE 15 – IN-PROCESS RESEARCH AND DEVELOPMENT In-process research and development represent the fair value of the Company’s legacy program, Evofosfamide, which was acquired as a part of the merger agreement with Threshold. For more information refer to Note 1 “Organization and Summary of Significant Accounting Policies ” . Fair value of In-process research and development is estimated based upon internal evaluation of each asset that includes quantitative analyses of net revenue and cash flows, review of recent sales of similar assets and market responses based upon discussions in connection with offers received from potential buyers. Certain factors used for these types of nonrecurring fair value measurements are considered Level 3 inputs. The Company obtained a fair value estimate, from a third party specialist as of August 1, 2019, and determined the asset was impaired and the value was not fully recoverable. During the year ended December 31, 2019, the Company recorded a related impairment of $22.1 million. Future write-downs of the asset are possible based upon the amount of proceeds from an eventual sale of the asset. Additionally, the Company has reclassified the remaining $4.5 million to In-process research and development - held for sale as the Company plans to sell the asset within the next year. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Events | NOTE 16—SUBSEQUENT EVENTS Not Applicable |
Organization and Summary of S_2
Organization and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America and include the accounts of the Company and its wholly owned subsidiary, and reflect the elimination of intercompany accounts and transactions. |
Reclassifications | Reclassifications Certain amounts in the prior year’s presentations have been reclassified to conform to the current presentation. The condensed consolidated balance sheet at December 31, 2018 included herein was derived from the audited financial statements at that date, but includes a reclassification of $4.3 million from Other current assets to Grants revenue receivable in order to conform to current period presentation. |
Accounting Estimates | Accounting Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America as defined by the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. |
Net Loss per Share | Net Loss per Share Basic net loss per share is calculated by dividing the net loss applicable to common stockholders by the weighted average number of shares of Common Stock outstanding during the period without consideration of Common Stock equivalents. Since the Company was in a loss position for all periods presented, diluted net loss per share is the same as basic net loss per share for all periods, as the inclusion of all potential common shares outstanding is anti-dilutive. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers temporary investments with original maturities of three months or less from date of purchase to be cash equivalents. Restricted cash is recorded in other assets, based on when the restrictions expire. Other assets include $3.0 million of restricted cash at December 31, 2019. |
Fair Value Measurement | Fair Value Measurement The Company accounts for its marketable securities in accordance with ASC 820 “Fair Value Measurements and Disclosures.” Level 1 —Quoted prices in active markets for identical assets or liabilities. Level 2 —Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 —Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. The Company utilizes the market approach to measure fair value for its financial assets and liabilities. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities. For Level 2 securities that have market prices from multiples sources, a “consensus price” or a weighted average price for each of these securities can be derived from a distribution-curve-based algorithm which includes market prices obtained from a variety of industrial standard data providers (e.g. Bloomberg), security master files from large financial institutions, and other third-party sources. Level 2 securities with short maturities and infrequent secondary market trades are typically priced using mathematical calculations adjusted for observable inputs when available. |
Marketable Securities | Marketable Securities The Company classifies its marketable securities as “available-for-sale.” Such marketable securities are recorded at fair value and unrealized gains and losses are recorded as a separate component of stockholders’ equity until realized. Realized gains and losses on sale of all such securities are reported in net loss, computed using the specific identification cost method. The Company places its marketable securities primarily in U.S. government securities, money market funds, corporate debt securities, commercial paper and certificates of deposit. The Company’s investments are subject to a periodic impairment review. The Company recognizes an impairment charge when a decline in the fair value of its investments below the cost basis is judged to be other-than-temporary. The Company considers various factors in determining whether to recognize an impairment charge, including the length of time and extent to which the fair value has been less than the Company’s cost basis, the financial condition and near-term prospects of the investee, and the Company’s intent and ability to hold the investment for a period of time sufficient to allow for any anticipated recovery in the market value. |
Concentration of Credit Risk and Other Risks and Uncertainties | Concentration of Credit Risk and Other Risks and Uncertainties Financial instruments that potentially subject the Company to concentrations of risk consist principally of cash and cash equivalents, investments, long term debt and accounts receivable. The Company’s cash, cash equivalents and marketable securities are with two major financial institutions in the United States. The Company performs an ongoing credit evaluation of its strategic partners’ financial conditions and generally does not require collateral to secure accounts receivable from its strategic partners. The Company’s exposure to credit risk associated with non-payment will be affected principally by conditions or occurrences within Takeda Pharmaceutical Company Ltd. (“Takeda”). Approximately 88% and 53% of total revenues for the year ended December 31, 2019 and 2018, were derived from Takeda. See Note 3 “Research and Development Collaboration Agreements ” Drug candidates developed by the Company may require approvals or clearances from the FDA or international regulatory agencies prior to commercial sales. There can be no assurance that the Company’s drug candidates will receive any of the required approvals or clearances. If the Company were to be denied approval or clearance or any such approval or clearance were to be delayed, it would have a material adverse impact on the Company. |
Property and Equipment | Property and Equipment Property and equipment are stated at cost less accumulated depreciation. Major additions and improvements are capitalized while maintenance and repairs that do not improve or extend the useful life of the respective asset are expensed. Depreciation of property and equipment is computed using the straight-line method over the estimated useful lives of the assets, which range from five to seven years. Leasehold improvements are amortized over the shorter of the lease term or the estimated useful lives of the assets. |
Patents | Patents The gross value of Patents was $1.3 million at December 31, 2019 and 2018, and are recorded in Other assets. The Company recorded $0.1 million of amortization expense for the year ended December 31, 2019 and an immaterial amount for the year ended December 31, 2018 with estimated expense to remain $0.1 million for each of the five successive years subsequent to December 31, 2019. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets When events, circumstances and/or operating results indicate that the carrying values of long-lived assets might not be recoverable through future operations, the Company prepares projections of the undiscounted future cash flows expected to result from the use of the assets and their eventual disposition. If the projections indicate that the recorded amounts are not expected to be recoverable, such amounts are reduced to estimated fair value. Fair value is estimated based upon internal evaluation of each asset that includes quantitative analyses of net revenue and cash flows, review of recent sales of similar assets and market responses based upon discussions in connection with offers received from potential buyers. Certain factors used for these types of nonrecurring fair value measurements are considered Level 3 inputs. The Company recognized impairment of $22.1 million during the year ended December 31, 2019 and no impairment during the year ended December 31, 2018. See Note 15 “In-Process Research and Development ” for further details on the recorded impairment. |
Long-term Debt | Long-term debt The Company records debt issuance costs related to its long-term debt as a deduction from the carrying amount. The costs are amortized to interest expense over the life of the debt. |
Revenue Recognition | Revenue Recognition The Company’s revenue has consisted principally of collaboration agreements for research and development revenue and grant revenue. Grant revenue relates to the grants the Company has received from governmental bodies that are conditional cost reimbursement grants, and we recognize revenue as allowable costs are incurred. Amounts collected in excess of revenue recognized are recorded as deferred revenue. The Company’s collaborative arrangements may include one or more of the following: licenses, or options to obtain licenses; up-front fees; research and development activities and associated costs; milestone payments related to the achievement of development, regulatory, or commercial goals; and royalties on net sales of licensed products. Each of these payments may result in collaboration revenues or an offset against research and development expense. Effective January 1, 2018, the Company adopted the Financial Accounting Standards Board’s (“FASB”) provisions of ASC 606, Revenue from Contracts with Customers ASC 606 applies to all contracts with customers, except for contracts that are within the scope of other standards . Under ASC 606, revenue recognized when a customer obtains control of promised goods or services, in an amount that reflects the consideration which is expected to be receive in exchange for those goods or services. To determine revenue recognition for arrangements that are within the scope of ASC 606, the following five steps are performed: (i) identification of the promised goods or services in the contract; (ii) determination of whether the promised goods or services are performance obligations including whether they are distinct in the context of the contract; (iii) measurement of the transaction price, including the constraint on variable consideration; (iv) allocation of the transaction price to the performance obligations based on estimated selling prices; and (v) recognition of revenue when (or as) the Company satisfies each performance obligation. A performance obligation is a promise in a contract to transfer a distinct good or service to the customer. The Company analyzes its collaboration arrangements to assess whether they are within the scope of ASC 808, Collaborative Arrangements The Company identifies the goods or services promised within each collaboration agreement and assesses whether each promised good or service is distinct for the purpose of identifying the performance obligations in the contract. This assessment involves subjective determinations and requires management to make judgments about the individual promised goods or services and whether such are separable from the other aspects of the contractual relationship. Promised goods and services are considered distinct provided that: (i) the customer can benefit from the good or service either on its own or together with other resources that are readily available to the customer and (ii) the entity’s promise to transfer the good or service to the customer is separately identifiable from other promises in the contract. In assessing whether a promised good or service is distinct, the Company considers factors such as the research, manufacturing and commercialization capabilities of the collaboration partner and the availability of the associated expertise in the general marketplace. If a promised good or service is not distinct, an entity is required to combine that promised good or service with other promised goods or services until it identifies a bundle of goods or services that is distinct. The allocation of the transaction price to the performance obligations in proportion to their standalone selling prices is determined at contract inception. If the consideration promised in a contract includes a variable amount, the Company estimates the amount of consideration to which it will be entitled in exchange for transferring the promised goods or services to a customer. The Company determines the amount of variable consideration by using the expected value method or the most likely amount method. The Company includes the unconstrained amount of estimated variable consideration in the transaction price. The amount included in the transaction price is the amount for which it is probable that a significant reversal of cumulative revenue recognized will not occur. At the end of each subsequent reporting period, the Company re-evaluates the estimated variable consideration included in the transaction price and any related constraint, and if necessary, adjusts its estimate of the overall transaction price. Any such adjustments are recorded on a cumulative catch-up basis in the period of adjustment. In determining the transaction price, the Company adjusts consideration for the effects of the time value of money if there is a significant benefit of financing. The Company assessed its collaboration agreements and concluded that no significant financing components were present. If an arrangement contains customer options that allow the customer to acquire additional goods or services, including an exclusive license to the Company’s intellectual property, the goods and services underlying the customer options are evaluated to determine whether they are deemed to represent a material right. In determining whether the customer option has a material right, the Company assesses whether there is an option to acquire additional goods or services at a discount. If the customer option is determined not to represent a material right, the option is not considered to be performance obligations at the outset of the arrangement. If the customer option is determined to represent a material right, the material right is recognized as a separate performance obligation at the outset of the arrangement. The Company allocates the transaction price to material rights based on the relative standalone selling price, which is determined based on the identified discount and the probability that the customer will exercise the option. Amounts allocated to a material right are not recognized as revenue until the option is exercised. The Company recognizes as revenue the amount of the transaction price that is allocated to the respective performance obligation as each performance obligation is satisfied over time, with progress toward completion measured based on actual costs incurred relative to total estimated costs to be incurred over the life of the contract. Recorded revenue and costs are subject to revision as the contract progresses. Such revisions may result in increases or decreases to revenue and income and are reflected in the consolidated financial statements in the periods in which they are first identified. Estimating costs under the Company’s collaboration agreements is complex and involves significant judgment. Factors that must be considered in making estimates include labor productivity and availability, the nature and technical complexity of the work to be performed, potential performance delays, availability and timing of funding from the customer and progress toward completion. Adjustments to original estimates are often required as work progresses and additional information becomes known, even though the scope of the work required under the contract may not change. Any adjustment as a result of a change in estimates is made when facts develop, events become known, or an adjustment is otherwise warranted, such as in the case of contract change orders. The Company has procedures and processes in place to monitor the actual progress of a project against estimates and the Company’s estimates are updated if circumstances are warranted. Performance obligations may include research and development services to be performed by the Company on behalf of the collaboration partner. Revenue is recognized on research and development efforts as the services are performed and presented on a gross basis, since the Company is the principal. Under collaboration agreements, the timing of revenue recognition and contract billings may differ, and result in contract assets and contract liabilities. Contract assets represent revenues recognized in excess of amounts billed under collaboration agreements and are transferred to accounts receivable when billed or billing rights become unconditional. Contract liabilities represent billings in excess of revenues recognized under collaboration agreements. |
Lease Accounting | Lease Accounting In February 2016, the Financial Accounting Standards Board ("FASB") established Topic 842, Leases, by issuing Accounting Standards Update Land Easement Practical Expedient for Transition Leases The Company adopted the new lease standard on January 1, 2019 using the modified retrospective method, in which case the cumulative effect of applying the standard would be recognized at the date of initial application. Consequently, financial information will not be updated, and the disclosures required under the new standard will not be provided for dates and periods prior to the first quarter of fiscal 2019. The Company has completed a qualitative and quantitative assessment of its lease portfolio, in which the standard had a material impact on the condensed consolidated balance sheets but did not have an impact on the condensed consolidated statement of operations. Upon adoption, the Company recognized lease liabilities of approximately $4.7 million based on the present value of the remaining minimum rental payments under current leasing standards for our existing operating leases. The corresponding ROU assets of $4.2 million recognized upon adoption are net of deferred rent. The new standard provides a number of optional practical expedients in transition. The Company elected the practical expedients, which permits lessees not to reassess under the new standard prior conclusions about lease identification, lease classification and initial direct costs. The Company did not elect the use-of-hindsight or the practical expedient pertaining to land easements; the latter not being applicable to the Company. The new standard also provides practical expedients for an entity's ongoing accounting. The Company elected the short-term lease recognition exemption for all leases that qualify. This means, for those leases that qualify, ROU assets or lease liabilities will not be recognized, and this includes not recognizing ROU assets or lease liabilities for existing short-term leases of those assets in transition. The Company also elected the practical expedient to not separate lease and non-lease components for office leases. At inception of a contract, the Company determines whether an arrangement is or contains a lease. For all leases, the Company determines the classification as either operating leases or finance leases. Operating leases are included in Operating lease right-of-use assets and Operating lease liabilities in our condensed consolidated balance sheets. Lease recognition occurs at the commencement date and lease liability amounts are based on the present value of lease payments over the lease term. The lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. If a lease does not provide information to determine an implicit interest rate, the Company uses our incremental borrowing rate in determining the present value of lease payments. ROU assets represent the right to use an underlying asset for the lease term, and lease liabilities represent the obligation to make lease payments under the lease. ROU assets also include any lease payments made prior to the commencement date and exclude lease incentives received. Operating lease expense is recognized on a straight-line basis over the lease term. The depreciable life of assets and leasehold improvements are limited by the expected lease term, unless there is a transfer of title or purchase option reasonably certain of exercise. Lease agreements with both lease and non-lease components, are generally accounted for together as a single lease component. As a result of applying the modified retrospective method to adopt the lease guidance, the following adjustments were made to accounts on the condensed consolidated balance sheet at January 1, 2019 (in thousands): Balance Sheet December 31, 2018 Effect of adoption of ASC 842 January 1, 2019 Assets Operating lease right-of-use assets, non-current $ — $ 4,180 $ 4,180 Total assets $ — $ 4,180 $ 4,180 Liabilities Operating lease liabilities, current $ — $ 976 $ 976 Deferred rent 1 525 (525 ) — Operating lease liabilities, non-current — 3,729 3,729 Total liabilities $ 525 $ 4,180 $ 4,705 (1) Included in Other liabilities on the balance sheet. The Company has operating leases for administrative offices and R&D facilities, and certain finance leases for equipment. The operating leases have remaining terms of less than three years to less than nine years, and the finance leases have remaining terms of less than one year to less than two years. Leases with an initial term of 12 months or less will not be recorded on the consolidated balance sheets as operating leases or finance leases, and the Company will recognize lease expense for these leases on a straight-line basis over the lease term. For leases commencing in 2019 and later, the Company will account for lease components (e.g., fixed payments including rent, real estate taxes, and insurance costs) with non-lease components (e.g. common area maintenance costs). Certain leases include options to renew, with renewal terms that can extend the lease term from three to five years. The exercise of lease renewal options for our existing leases is at our sole discretion and not included in the measurement of lease liability and ROU asset as they are not reasonably certain to be exercised. Certain finance leases also include options to purchase the leased equipment. The depreciable life of assets and leasehold improvements are limited by the expected lease term, unless there is a transfer of title or purchase option reasonably certain of exercise. The leases do not contain any residual value guarantees or material restrictive covenants. |
Income Taxes | Income Taxes Income taxes are recorded in accordance with ASC 740, Accounting for Income Taxes ASC 740 clarifies the accounting for uncertainty in income taxes recognized in the financial statements and provides that a tax benefit from an uncertain tax position may be recognized when it is more likely than not that the position will be sustained upon examination, including resolutions of any related appeals or litigation processes, based on the technical merits. This interpretation also provides guidance on measurement, derecognition, classification, interest and penalties, accounting in interim periods and disclosure. The Company’s policy for recording interest and penalties associated with uncertain tax positions is to record such items as a component of tax expense. |
Stock-Based Compensation | Stock-Based Compensation The Company recognizes stock-based compensation in accordance with ASC 718, “Compensation—Stock Compensation.” The Company estimates the grant date fair value of each option award using the Black-Scholes option-pricing model. The use of the Black-Scholes option-pricing model requires management to make assumptions with respect to the expected term of the option, the expected volatility of the common stock consistent with the expected life of the option, risk-free interest rates and expected dividend yields of the common stock. To determine the expected term of the Company’s employee stock options granted, the Company utilized the simplified approach as defined by SEC Staff Accounting Bulletin No. 107, “Share-Based Payment” |
Warrants | Warrants In conjunction with certain financing transactions, the Company issued warrants to purchase the Company’s common stock. The Company determines whether the warrants should be classified as a liability or equity according to ASC 480, “ Distinguishing Liabilities from Equity |
Research and Development Costs | Research and Development Costs Research and development expenses consist of costs such as salaries and benefits, laboratory supplies, facility costs, consulting fees and fees paid to contract research organizations, clinical trial sites, laboratories, other clinical service providers and contract manufacturing organizations. Research and development costs are expensed as incurred. |
Comprehensive Loss | Comprehensive loss Comprehensive loss is comprised of the Company’s net loss and other comprehensive income (loss). Unrealized gain (loss) on available-for-sale marketable securities represents the only component of other comprehensive income (loss). |
Clinical Trial Accruals | Clinical Trial Accruals The Company’s preclinical and clinical trials are performed by third party contract research organizations (CROs) and/or clinical investigators, and clinical supplies are manufactured by contract manufacturing organizations (CMOs). Invoicing from these third parties may be monthly based upon services performed or based upon milestones achieved. The Company accrues these expenses based upon its assessment of the status of each clinical trial and the work completed, and upon information obtained from the CROs and CMOs. The Company’s estimates are dependent upon the timeliness and accuracy of data provided by the CROs and CMOs regarding the status and cost of the studies, and may not match the actual services performed by the organizations. This could result in adjustments to the Company’s research and development expenses in future periods. To date the Company has had no significant adjustments. |
Bonus Accruals | Bonus Accruals The Company has bonus programs for eligible employees. Bonuses are determined based on various criteria, including the achievement of corporate, departmental and individual goals. Bonus accruals are estimated based on various factors, including target bonus percentages per level of employee and probability of achieving the goals upon which bonuses are based. The Company’s management periodically reviews the progress made towards the goals under the bonus programs. As bonus accruals are dependent upon management’s judgments of the likelihood of achieving the various goals, it is possible for bonus expense to vary significantly in future periods if changes occur in those management estimates. |
Segments | Segments The Company has one reportable segment and uses one measurement of results of operations to manage its business. All long-lived assets are maintained in the United States of America. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements In December 2017, the SEC issued Staff Accounting Bulletin (“SAB”) 118 to address the application of GAAP in situations in which a registrant does not have the necessary information available, prepared, or analyzed (including computations) in reasonable detail to complete the accounting for certain income tax effects of the Tax Cuts and Jobs Act (the “Tax Act”), which was signed into law on December 22, 2017. In March 2018, the FASB issued ASU No. 2018-05, “ Income Taxes Topic 740 In June 2018, the FASB issued ASU No. 2018-07, “ Stock-based Compensation: Improvements to Nonemployee Share-based Payment Accounting In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses In August 2018, the FASB issued ASU 2018-13, Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement In August 2018, the FASB issued ASU 2018-15, Intangibles - Goodwill and Other - Internal-Use Software -Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740: Simplifying the Accounting for Income Taxes |
Organization and Summary of S_3
Organization and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Schedule of Adjustments Made to Accounts on Condensed Consolidated Balance Sheet | As a result of applying the modified retrospective method to adopt the lease guidance, the following adjustments were made to accounts on the condensed consolidated balance sheet at January 1, 2019 (in thousands): Balance Sheet December 31, 2018 Effect of adoption of ASC 842 January 1, 2019 Assets Operating lease right-of-use assets, non-current $ — $ 4,180 $ 4,180 Total assets $ — $ 4,180 $ 4,180 Liabilities Operating lease liabilities, current $ — $ 976 $ 976 Deferred rent 1 525 (525 ) — Operating lease liabilities, non-current — 3,729 3,729 Total liabilities $ 525 $ 4,180 $ 4,705 (1) Included in Other liabilities on the balance sheet. |
Research and Development Agre_2
Research and Development Agreements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Schedule of Research and Development Revenues Disaggregated by Location | Research and Development revenue is attributable to regions based on the location of our collaboration partner's parent company headquarters. Research and Development revenues disaggregated by location were as follows (in thousands): Year Ended December 31, 2019 2018 Japan $ 19,499 $ 7,087 United States — 196 Total Research and Development Revenue $ 19,499 $ 7,283 |
Takeda Pharmaceuticals Inc | |
Schedule of Research and Development Revenue from Related Party Relates to Revenue from Research and Development Agreements | Research and development revenue from related party relates to revenue from research and development agreements with Takeda Pharmaceuticals, Inc (“Takeda”) and were as follows (in thousands): Year Ended December 31, 2019 2018 Takeda Collaboration Agreement $ — $ 92 Takeda Individual Project Agreement 48 2,191 Takeda Development and License Agreement 18,468 3,903 Takeda Multi-Target Agreement 983 901 Total research and development revenue - from related party $ 19,499 $ 7,087 |
Schedule of Deferred Revenue and Accounts Receivable Balances from the Research and Development Agreements | Deferred revenue and accounts receivable balances from the research and development agreements with Takeda were as follows (in thousands): December 31, 2019 December 31, 2018 Contract Assets Accounts receivable from related party $ 408 $ 240 Contract Liabilities Deferred revenue, current $ 8,780 $ 26,231 Deferred revenue, non-current 441 2,670 Total deferred revenue $ 9,221 $ 28,901 |
Marketable Securities and Fai_2
Marketable Securities and Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Financial Assets at Fair Value on Recurring Basis | The following table sets forth the Company’s financial assets (cash equivalents and available-for-sale marketable securities) at fair value on a recurring basis as of December 31, 2019 and 2018: Fair Value as December 31, Basis of Fair Value Measurements (in thousands) 2019 Level 1 Level 2 Level 3 Money market funds $ 79,970 $ 79,970 $ — $ — Commercial paper 20,436 — 20,436 — United States Treasury Bills 16,738 — 16,738 — United States government-related debt securities 7,010 — 7,010 — Corporate bonds 1,351 — 1,351 — Total $ 125,505 $ 79,970 $ 45,535 $ — Amounts included in: Cash and cash equivalents $ 84,362 Marketable securities, current 39,633 Marketable securities, non-current 1,510 Total $ 125,505 Fair Value as December 31, Basis of Fair Value Measurements (in thousands) 2018 Level 1 Level 2 Level 3 Money market funds $ 82,843 $ 82,843 $ — $ — Commercial paper 12,825 — 12,825 — Total $ 95,668 $ 82,843 $ 12,825 $ — Amounts included in: Cash and cash equivalents 85,434 Marketable securities, current 10,234 Total $ 95,668 |
Summary of Company's Available-for-Sale Securities | The Company invests in highly-liquid, investment-grade securities. The following is a summary of the Company’s available-for-sale securities at December 31, 2019 and 2018: As of December 31, 2019 (in thousands): Cost Basis Unrealized Gain Unrealized Loss Fair Value Cash equivalents - money market funds, commercial paper and corporate bonds $ 84,361 $ 1 $ — $ 84,362 Marketable securities, current - commercial paper, Treasury bills and corporate bonds 39,616 17 — 39,633 Marketable securities, non-current - Treasury bills 1,510 — — 1,510 As of December 31, 2018 (in thousands): Cost Basis Unrealized Gain Unrealized Loss Fair Value Cash equivalents - money market funds $ 85,434 $ — $ — $ 85,434 Marketable securities, current - commercial paper 10,234 — — 10,234 |
Summary of Contractual Maturities of Available-for-Sale-Investment | The following summarized the contractual maturities of the Company’s available-for-sale investment at December 31, 2019: Cost Basis Fair Value Due in one year or less $ 123,977 $ 123,995 Due after one year through five years 1,510 1,510 Total $ 125,487 $ 125,505 |
Financial Liabilities at Fair Value on Recurring Basis | The following table sets forth the Company’s financial liabilities measured at fair value on a recurring basis as of the date indicated below: Fair December 31, Basis of Fair Value Measurements (in thousands) 2019 Level 1 Level 2 Level 3 2017 Common stock warrants $ — $ — $ — $ — Fair December 31, Basis of Fair Value Measurements (in thousands) 2018 Level 1 Level 2 Level 3 2017 Common stock warrants $ 3 $ — $ — $ 3 |
Summary of Fair Value of Warrants | The fair value of these warrants on December 31, 2019 2018 December 31, 2019 December 31, 2018 Risk-free interest rate 1.6 % 2.6 % Expected life (in years) 0.1 1.1 Dividend yield — — Volatility 86 % 77 % Stock price at valuation date $ 13.99 $ 4.04 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Property Plant And Equipment [Abstract] | |
Components of Property and Equipment | Property and equipment consists of the following (in thousands): December 31, 2019 2018 Laboratory equipment $ 10,587 $ 4,676 Leasehold improvements 10,383 3,274 Furniture and fixtures 150 89 Computer and equipment 331 145 21,451 8,184 Less: Accumulated depreciation (3,293 ) (1,333 ) Total property and equipment, net $ 18,158 $ 6,851 |
Balance Sheet Components (Table
Balance Sheet Components (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Components of Accrued Liabilities | Accrued liabilities comprise the following (in thousands): December 31, 2019 2018 Accrued liabilities: General and administrative $ 4,521 $ 297 Clinical trial related costs 1,383 598 Non-clinical research and manufacturing operations 5,774 2,644 Payroll related 2,849 1,787 Other accrued expenses 17 31 Total accrued liabilities $ 14,544 $ 5,357 |
Borrowing Arrangements (Tables)
Borrowing Arrangements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Growth Capital Loan and Perceptive Credit Facility | |
Debt Instrument [Line Items] | |
Schedule of Required Future Principal Payments | Future required principal payments on the Perceptive Credit facility were as follows as of December 31, 2019 (in thousands): Year Ending December 31, 2020 $ 800 2021 800 2022 3,500 2023 — 2024 — Total $ 5,100 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Changes in Carrying Amount of Company's AROs | Changes in the carrying amounts of the Company’s AROs for the years ended December 31, 2019 and 2018 are shown below (in thousands): 2019 2018 Balance at beginning of year $ 344 $ 261 Liabilities incurred in the current period 949 44 Accretion expense 72 39 Balance at end of year $ 1,365 $ 344 |
Components of Lease Expense | The components of lease expense for the year ended December 31, 2019 were as follows (in thousands): Operating leases Operating lease expense $ 2,175 Variable lease expense 456 Total operating lease expense $ 2,631 Finance leases Amortization of right-of-use asset $ 8 Interest on lease liabilities 2 Total finance lease expense $ 10 Sublease rental income $ 138 |
Schedule of Balance Sheets Classification of Leases | The following table summarizes the balance sheet classification of leases at December 31, 2019 (in thousands): Operating leases Operating lease right-of-use assets, non-current $ 9,959 Operating lease liabilities, current 1 $ 1,683 Operating lease liabilities, non-current 11,682 Total operating lease liabilities $ 13,365 Finance leases Property and equipment, at cost $ 77 Accumulated depreciation 41 Property and equipment, net $ 36 Finance lease liabilities, current 1 $ 18 Finance lease liabilities, non-current 2 1 Total finance lease liabilities $ 19 1. Included in other current liabilities. 2. Included other liabilities. |
Schedule of Leases Information | The following table presents other information on leases as of December 31, 2019: Weighted Average Remaining Lease Term Weighted Average Discount Rate Operating leases 7.2 6.72 % Finance leases 0.8 6.88 % |
Schedule of Future Minimum Payments Under Operating Leases | Future minimum payments required under operating leases that have initial or remaining non-cancelable lease terms in excess of one year as of December 31, 2019 (in thousands): Operating Leases Finance Leases 2020 $ 2,517 $ 20 2021 2,589 — 2022 2,650 — 2023 1,961 — 2024 1,474 Thereafter 5,762 — Total lease payments 16,953 20 Less: Imputed interest (3,588 ) (1 ) Total lease liabilities $ 13,365 $ 19 |
Supplemental Cash Flow Information | Supplemental cash flow information related to the Company’s leases were as follows for the year ended December 31, 2019 (in thousands): Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 1,278 Operating cash flows from finance leases $ 3 Financing cash flows from finance leases $ 31 Right-of-use asset obtained in exchange for lease obligations: Operating leases $ 7,501 |
Equity Incentive Plans and St_2
Equity Incentive Plans and Stock Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Summary of Stock Option Activity Under Equity Incentive Plan | The following table summarizes information about stock option activity for years ended December 31, 2019 and 2018: Outstanding Options Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term Aggregate Intrinsic Value of December 31, 2018 (in millions): Balances, December 31, 2017 2,768,711 $ 12.07 5.6 $ 11.0 Options granted 1,844,787 6.98 Options exercised (407,682 ) 0.70 Options canceled (202,817 ) 20.83 Balances, December 31, 2018 4,002,999 $ 10.43 6.4 $ 1.5 Options granted 2,003,600 6.01 Options exercised (286,479 ) 6.10 Options canceled (976,130 ) 22.37 Balances, December 31, 2019 4,743,990 $ 6.37 8.2 $ 36.5 Vested and expected to vest December 31, 2019 4,743,990 $ 6.37 8.2 $ 36.5 Exercisable at December 31, 2019 1,779,916 $ 5.98 7.0 $ 14.6 |
Stock Options Outstanding and Exercisable by Exercise Price | At December 31, 2019, stock options outstanding and exercisable by exercise price were as follows: Options Outstanding Options Exercisable Range of Exercise Prices Number Outstanding Weighted Average Remaining Contractual Life (Years) Weighted Average Exercise Price Number Exercisable Weighted Average Exercise Price $ 0.42 - 1.85 478,366 3.80 $ 1.07 475,308 $ 1.06 $ 4.04 - 4.28 6,681 7.72 $ 4.22 4,191 $ 4.20 $ 4.66 - 4.66 1,030,126 9.11 $ 4.66 105,638 $ 4.66 $ 4.74 - 5.81 428,825 8.93 $ 5.06 73,716 $ 5.16 $ 6.31 - 6.31 1,227,849 8.41 $ 6.31 531,659 $ 6.31 $ 6.54 - 8.21 537,662 8.78 $ 7.63 123,674 $ 8.03 $ 8.35 - 9.28 134,450 9.56 $ 8.53 7,499 $ 9.24 $ 9.40 - 9.40 537,500 7.77 $ 9.40 348,437 $ 9.40 $ 10.78 - 61.27 360,713 8.71 $ 12.58 107,976 $ 13.22 $ 70.29 - 70.29 1,818 2.37 $ 70.29 1,818 $ 70.29 $ 0.42 - 70.29 4,743,990 8.16 1,779,916 $ 5.98 |
Stock-Based Compensation Expense | Stock-based compensation expense, which consists of the compensation cost for employee stock options and the value of options issued to non-employees for services rendered, was allocated to research and development and general and administrative in the consolidated statements of operations as follows (in thousands): Years Ended December 31, 2019 2018 Stock-based compensation expense: Research and development $ 2,398 $ 1,192 General and administrative 3,461 2,800 $ 5,859 $ 3,992 |
Weighted-Average Fair Value Valuation Assumptions | The fair value of employee stock options was estimated using the following weighted-average assumptions for the years ended December 31, 2019 and 2018: Years Ended December 31, 2019 2018 Employee Stock Options Risk-free interest rate 2.37 % 2.79 % Expected life (in years) 6.08 6.03 Dividend yield — — Volatility 108.70 % 107.15 % Weighted-average fair value of stock options granted $ 5.00 $ 5.79 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Schedule of Reconciliation of Income Taxes at Statutory Federal Income Tax Rate to Net Income Taxes | A reconciliation of income taxes at the statutory federal income tax rate to net income taxes included in the accompanying statements of operations is as follows (in thousands): 2019 2018 U.S. federal taxes (benefit) at statutory rate $ (14,578 ) $ (6,361 ) State federal income tax benefit (528 ) (69 ) Permanent differences 34 (160 ) Stock compensation 4,112 136 Research and development credits (1,677 ) (608 ) Change in valuation allowance due to operations 12,756 2,758 Expiring state carryovers and other (119 ) 4,304 Total $ — $ — |
Schedule of Significant Components of Net Deferred Tax Assets | The tax effects of temporary differences that give rise to significant components of the net deferred tax assets are as follows (in thousands): December 31, 2019 2018 Deferred tax assets Net operating loss carryforward $ 26,554 $ 19,941 Research and development credits 4,147 2,049 Deferred stock compensation 1,571 4,547 Deferred revenue 1,956 210 Lease liability 2,835 — Other 736 404 Total deferred tax assets 37,799 27,151 Total deferred tax liabilities Depreciable and amortizable assets (1,340 ) (925 ) Right-of-use asset (2,112 ) — R&D intangible assets (956 ) (5,591 ) Total deferred tax liabilities (4,408 ) (6,516 ) Less: Valuation allowance (33,391 ) (20,635 ) Net deferred tax assets $ — $ — |
Schedule of Activity Related to Unrecognized Tax Benefits | The total amount of unrecognized benefits as of December 31, 2019 and 2018 was $0. The reconciliation of unrecognized tax benefits at the beginning and end of the year is as follows: (in thousands) 2019 2018 Gross unrecognized tax benefits at January 1, $ — $ 1,143 Gross increases (decreases) related to acquisitions — (1,143 ) Gross increases related to current year tax positions — — Gross unrecognized tax benefits at December 31, $ — $ — |
Organization and Summary of S_4
Organization and Summary of Significant Accounting Policies - Additional Information (Detail) | 12 Months Ended | ||
Dec. 31, 2019USD ($)Segment | Dec. 31, 2018USD ($) | Jan. 01, 2019USD ($) | |
Organization And Summary Of Significant Accounting Policies [Line Items] | |||
Reclassification from other current assets to grants revenue receivable | $ 7,100,000 | $ 4,329,000 | |
Impairment of long lived assets | 22,100,000 | 0 | |
Right-of-use asset | 9,959,000 | $ 0 | $ 4,180,000 |
Lease liabilities | $ 13,365,000 | ||
Lessee, operating leases remaining lease term. | 7 years 2 months 12 days | ||
Lessee, finance leases remaining lease term. | 9 months 18 days | ||
Reportable segment | Segment | 1 | ||
ASU 2016-02 | |||
Organization And Summary Of Significant Accounting Policies [Line Items] | |||
Right-of-use asset | 4,180,000 | ||
Lease liabilities | $ 4,700,000 | ||
Patents | |||
Organization And Summary Of Significant Accounting Policies [Line Items] | |||
Amortization expense | $ 100,000 | ||
Estimated expense, next twelve months | 100,000 | ||
Estimated expense, year two | 100,000 | ||
Estimated expense, year three | 100,000 | ||
Estimated expense, year four | 100,000 | ||
Estimated expense, year five | $ 100,000 | ||
Minimum | |||
Organization And Summary Of Significant Accounting Policies [Line Items] | |||
Lessee, operating leases remaining lease term. | 3 years | ||
Lessee, finance leases remaining lease term. | 1 year | ||
Lessee, operating leases renewal lease term | 3 years | ||
Maximum | |||
Organization And Summary Of Significant Accounting Policies [Line Items] | |||
Lessee, operating leases remaining lease term. | 9 years | ||
Lessee, finance leases remaining lease term. | 2 years | ||
Lessee, operating leases renewal lease term | 5 years | ||
Leasehold Improvements | Minimum | |||
Organization And Summary Of Significant Accounting Policies [Line Items] | |||
Property and equipment, estimated useful lives | 5 years | ||
Leasehold Improvements | Maximum | |||
Organization And Summary Of Significant Accounting Policies [Line Items] | |||
Property and equipment, estimated useful lives | 7 years | ||
Revenue | Takeda Pharmaceuticals Inc | Credit Risk | |||
Organization And Summary Of Significant Accounting Policies [Line Items] | |||
Percentage of total revenues | 88.00% | 53.00% | |
Other Assets | |||
Organization And Summary Of Significant Accounting Policies [Line Items] | |||
Restricted cash | $ 3,000,000 | ||
Gross value of patents | $ 1,300,000 | $ 1,300,000 |
Organization and Summary of S_5
Organization and Summary of Significant Accounting Policies - Schedule of Adjustments Made to Accounts on Condensed Consolidated Balance Sheet (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 |
Lessee Lease Description [Line Items] | |||
Operating lease right-of-use assets, non-current | $ 9,959 | $ 4,180 | $ 0 |
Total assets | 174,202 | 4,180 | 140,158 |
Operating lease liabilities, current | 1,683 | 976 | |
Operating lease liabilities, non-current | 11,682 | 3,729 | 0 |
Total liabilities | $ 71,174 | 4,705 | 39,252 |
Previously Reported | |||
Lessee Lease Description [Line Items] | |||
Operating lease right-of-use assets, non-current | 0 | ||
Total assets | 0 | ||
Operating lease liabilities, current | 0 | ||
Operating lease liabilities, non-current | 0 | ||
Total liabilities | 525 | ||
Other Noncurrent Liabilities | |||
Lessee Lease Description [Line Items] | |||
Deferred rent | 0 | ||
Other Noncurrent Liabilities | Previously Reported | |||
Lessee Lease Description [Line Items] | |||
Deferred rent | $ 525 | ||
Effect of Adoption of ASC 842 | |||
Lessee Lease Description [Line Items] | |||
Operating lease right-of-use assets, non-current | 4,180 | ||
Total assets | 4,180 | ||
Operating lease liabilities, current | 976 | ||
Operating lease liabilities, non-current | 3,729 | ||
Total liabilities | 4,180 | ||
Effect of Adoption of ASC 842 | Other Noncurrent Liabilities | |||
Lessee Lease Description [Line Items] | |||
Deferred rent | $ (525) |
Net Loss Per Share - Additional
Net Loss Per Share - Additional Information (Detail) - shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Stock Options, Warrants and Convertible Preferred Stock | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Common shares excluded from the computation of diluted net loss per share on effect of anti-dilutive | 8,516,000 | 7,525,000 |
Research and Development Agre_3
Research and Development Agreements - Schedule of Research and Development Revenues Disaggregated by Location (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Revenue Recognition [Line Items] | ||
Total Research and Development Revenue | $ 19,499 | $ 7,283 |
JAPAN | ||
Revenue Recognition [Line Items] | ||
Total Research and Development Revenue | 19,499 | 7,087 |
UNITED STATES | ||
Revenue Recognition [Line Items] | ||
Total Research and Development Revenue | $ 0 | $ 196 |
Research and Development Agre_4
Research and Development Agreements - Schedule of Research and Development Revenue from Related Party Relates to Revenue from Research and Development Agreements (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Revenue Recognition [Line Items] | ||
Total research and development revenue - from related party | $ 19,499 | $ 7,283 |
Takeda Pharmaceuticals Inc | ||
Revenue Recognition [Line Items] | ||
Total research and development revenue - from related party | 19,499 | 7,087 |
Takeda Pharmaceuticals Inc | Takeda Collaboration Agreement | ||
Revenue Recognition [Line Items] | ||
Total research and development revenue - from related party | 0 | 92 |
Takeda Pharmaceuticals Inc | Takeda Individual Project Agreement | ||
Revenue Recognition [Line Items] | ||
Total research and development revenue - from related party | 48 | 2,191 |
Takeda Pharmaceuticals Inc | Takeda Development Agreement | ||
Revenue Recognition [Line Items] | ||
Total research and development revenue - from related party | 18,468 | 3,903 |
Takeda Pharmaceuticals Inc | Takeda Multi Target Agreement | ||
Revenue Recognition [Line Items] | ||
Total research and development revenue - from related party | $ 983 | $ 901 |
Research and Development Agre_5
Research and Development Agreements - Additional Information (Detail) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | 107 Months Ended | |||||||
Nov. 30, 2019 | Jul. 31, 2019 | Sep. 30, 2018 | Jul. 31, 2018 | Jun. 30, 2018 | Apr. 30, 2018 | Mar. 31, 2020 | Jun. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Nov. 30, 2019 | Jun. 23, 2017 | |
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Deferred revenue | $ 36,700,000 | $ 28,900,000 | ||||||||||
Research and development revenues from collaboration agreements | 19,499,000 | 7,283,000 | ||||||||||
Deferred revenue, current | 17,291,000 | 26,231,000 | ||||||||||
Deferred revenue, long-term | $ 19,385,000 | $ 2,670,000 | ||||||||||
Common stock, shares issued | 45,589,157 | 36,736,012 | ||||||||||
Common stock, par value | $ 0.001 | $ 0.001 | ||||||||||
Grant | ||||||||||||
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Revenue from grant | $ 2,700,000 | $ 6,000,000 | ||||||||||
Takeda Pharmaceuticals Inc | ||||||||||||
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Deferred revenue | 9,221,000 | 28,901,000 | ||||||||||
Research and development revenues from collaboration agreements | 19,499,000 | 7,087,000 | ||||||||||
Purchase price per share | $ 6.8423 | |||||||||||
CPRIT Agreement | Cancer Prevention and Research Institute of Texas | ||||||||||||
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Product development grant awarded | $ 15,200,000 | |||||||||||
CPRIT Agreement | Cancer Prevention and Research Institute of Texas | ETB MT-3724 | ||||||||||||
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Aggregate proceeds received from award granted | $ 10,600,000 | |||||||||||
Revenue from grant | 9,600,000 | |||||||||||
CPRIT Agreement | Scenario Forecast | Cancer Prevention and Research Institute of Texas | ETB MT-3724 | ||||||||||||
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Revenue from grant | $ 1,000,000 | |||||||||||
Grant Agreements | Grants Revenue Receivable | ||||||||||||
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Reimbursement amounts submitted in excess of amounts received are recorded as receivables | 7,100,000 | 4,300,000 | ||||||||||
Takeda Development Agreement | ||||||||||||
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Deferred revenue | 6,100,000 | 24,800,000 | ||||||||||
Total transaction price | 29,800,000 | |||||||||||
Upfront payment | 30,000,000 | |||||||||||
Expected co-share payments payable | 10,200,000 | |||||||||||
Takeda Development Agreement | Takeda Pharmaceuticals Inc | ||||||||||||
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Research and development revenues from collaboration agreements | 18,468,000 | 3,903,000 | ||||||||||
Takeda Development Agreement | Scenario Forecast | ||||||||||||
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Development milestone payment that is achievable | $ 10,000,000 | |||||||||||
Takeda Development Agreement | Clinical Development and Regulatory Milestones | ||||||||||||
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Milestone payments receivable if option is exercised | $ 307,500,000 | |||||||||||
Takeda Development Agreement | Sales Milestone | ||||||||||||
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Milestone payments receivable if option is exercised | $ 325,000,000 | |||||||||||
Takeda Multi Target Agreement | Takeda Pharmaceuticals Inc | ||||||||||||
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Deferred revenue | 3,100,000 | 4,100,000 | ||||||||||
Cumulative payments received | $ 5,000,000 | |||||||||||
Aggregate milestone payments upon exercise of option to license ETBS | 25,000,000 | |||||||||||
Additional preclinical, clinical development and commercialization milestone payment | 397,000,000 | |||||||||||
Research and development revenues from collaboration agreements | 983,000 | 901,000 | ||||||||||
Takeda Multi Target Agreement | Takeda Pharmaceuticals Inc | Maximum | ||||||||||||
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Contractual contingency fees | 10,000,000 | |||||||||||
Commercial milestone payment | 150,000,000 | |||||||||||
Takeda Individual Project Agreement | Takeda Pharmaceuticals Inc | ||||||||||||
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Additional research and development revenue | $ 2,200,000 | |||||||||||
Increase in transaction consideration related to research services | $ 1,100,000 | |||||||||||
Research and development revenues from collaboration agreements | 48,000 | 2,191,000 | ||||||||||
Takeda Individual Project Agreement | Takeda Pharmaceuticals Inc | Maximum | ||||||||||||
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Research and development revenues from collaboration agreements | 100,000 | |||||||||||
Vertex Collaboration Agreement | ||||||||||||
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Deferred revenue | 0 | |||||||||||
Milestone payments receivable if option is exercised | $ 180,000,000 | |||||||||||
Upfront payment | 38,000,000 | |||||||||||
Upfront payment, cash | 23,000,000 | |||||||||||
Upfront payment, equity method investments | $ 15,000,000 | $ 15,000,000 | ||||||||||
Deferred revenue, current | 8,500,000 | |||||||||||
Deferred revenue, long-term | 19,000,000 | |||||||||||
Common stock, shares issued | 1,666,666 | 1,666,666 | ||||||||||
Common stock, par value | $ 0.001 | $ 0.001 | ||||||||||
Vertex Collaboration Agreement | Common Stock | ||||||||||||
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Purchase price per share | $ 9 | $ 9 | ||||||||||
Fair value of allocated consideration | $ 4,500,000 | |||||||||||
Vertex Collaboration Agreement | ETBs | ||||||||||||
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Aggregate milestone payments upon exercise of option to license ETBS | 22,000,000 | $ 22,000,000 | ||||||||||
Vertex Collaboration Agreement | Sales Milestone | ||||||||||||
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Milestone payments receivable if option is exercised | $ 70,000,000 | |||||||||||
Other Collaboration Agreements | ||||||||||||
Research And Development Collaboration Agreements [Line Items] | ||||||||||||
Research and development revenues from collaboration agreements | $ 0 | $ 200,000 |
Research and Development Agre_6
Research and Development Agreements - Schedule of Deferred Revenue and Accounts Receivable Balances from the Research and Development Agreements (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Contract Assets | ||
Accounts receivable from related party | $ 408 | $ 240 |
Contract Liabilities | ||
Total deferred revenue | 36,700 | 28,900 |
Takeda Pharmaceuticals Inc | ||
Contract Assets | ||
Accounts receivable from related party | 408 | 240 |
Contract Liabilities | ||
Deferred revenue, current | 8,780 | 26,231 |
Deferred revenue, non-current | 441 | 2,670 |
Total deferred revenue | $ 9,221 | $ 28,901 |
Marketable Securities and Fai_3
Marketable Securities and Fair Value Measurements - Financial Assets at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | $ 125,505 | $ 95,668 |
Cash and cash equivalents | 85,451 | 87,721 |
Marketable securities, current | 39,633 | 10,234 |
Marketable securities, non-current | 1,510 | |
Cash Equivalents | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 84,362 | 85,434 |
Money Market Funds | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 79,970 | 82,843 |
Commercial Paper | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 20,436 | 12,825 |
United States Treasury Bills | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 16,738 | |
United States Government-Related Debt Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 7,010 | |
Corporate Bonds | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 1,351 | |
Basis of Fair Value Measurements, Level 1 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 79,970 | 82,843 |
Basis of Fair Value Measurements, Level 1 | Money Market Funds | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 79,970 | 82,843 |
Basis of Fair Value Measurements, Level 1 | Commercial Paper | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 0 | 0 |
Basis of Fair Value Measurements, Level 1 | United States Treasury Bills | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 0 | |
Basis of Fair Value Measurements, Level 1 | United States Government-Related Debt Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 0 | |
Basis of Fair Value Measurements, Level 1 | Corporate Bonds | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 0 | |
Basis of Fair Value Measurements, Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 45,535 | 12,825 |
Basis of Fair Value Measurements, Level 2 | Money Market Funds | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 0 | 0 |
Basis of Fair Value Measurements, Level 2 | Commercial Paper | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 20,436 | 12,825 |
Basis of Fair Value Measurements, Level 2 | United States Treasury Bills | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 16,738 | |
Basis of Fair Value Measurements, Level 2 | United States Government-Related Debt Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 7,010 | |
Basis of Fair Value Measurements, Level 2 | Corporate Bonds | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 1,351 | |
Basis of Fair Value Measurements, Level 3 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 0 | 0 |
Basis of Fair Value Measurements, Level 3 | Money Market Funds | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 0 | 0 |
Basis of Fair Value Measurements, Level 3 | Commercial Paper | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 0 | $ 0 |
Basis of Fair Value Measurements, Level 3 | United States Treasury Bills | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 0 | |
Basis of Fair Value Measurements, Level 3 | United States Government-Related Debt Securities | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | 0 | |
Basis of Fair Value Measurements, Level 3 | Corporate Bonds | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total cash equivalents and marketable securities | $ 0 |
Marketable Securities and Fai_4
Marketable Securities and Fair Value Measurements - Summary of Company's Available-for-Sale Securities (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Schedule Of Available For Sale Securities [Line Items] | ||
Cost Basis | $ 125,487 | |
Fair Value | 39,633 | $ 10,234 |
Fair Value | 1,510 | 0 |
Cash Equivalents - Money Market Funds, Commercial Paper and Corporate Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Cost Basis | 84,361 | |
Unrealized Gain | 1 | |
Unrealized Loss | 0 | |
Fair Value | 84,362 | |
Marketable Securities, Current - Commercial Paper, Treasury Bills and Corporate Bonds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Cost Basis | 39,616 | |
Unrealized Gain | 17 | |
Unrealized Loss | 0 | |
Fair Value | 39,633 | |
Marketable Securities, Non-current - Treasury Bills | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Unrealized Gain | 0 | |
Unrealized Loss | 0 | |
Cost Basis | 1,510 | |
Fair Value | $ 1,510 | |
Cash Equivalents - Money Market Funds | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Cost Basis | 85,434 | |
Unrealized Gain | 0 | |
Unrealized Loss | 0 | |
Fair Value | 85,434 | |
Marketable Securities, Current - Commercial Paper | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Cost Basis | 10,234 | |
Unrealized Gain | 0 | |
Unrealized Loss | 0 | |
Fair Value | $ 10,234 |
Marketable Securities and Fai_5
Marketable Securities and Fair Value Measurements - Summary of Contractual Maturities of Available-for-Sale-Investment (Detail) $ in Thousands | Dec. 31, 2019USD ($) |
Fair Value Disclosures [Abstract] | |
Cost Basis, Due in one year or less | $ 123,977 |
Cost Basis, Due after one year through five years | 1,510 |
Cost Basis | 125,487 |
Fair Value, Due in one year or less | 123,995 |
Fair Value, Due after one year through five years | 1,510 |
Fair Value, Total | $ 125,505 |
Marketable Securities and Fai_6
Marketable Securities and Fair Value Measurements - Additional Information (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Schedule Of Available For Sale Securities [Line Items] | ||
Realized gain or losses | $ 1,300,000 | $ 0 |
Change in fair value of common stock warrants | $ 3,000 | $ 1,000,000 |
2017 Warrants | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Shares of common stock to be purchased with warrants | 377,273 | |
Warrant exercise price | $ 39.82 |
Marketable Securities and Fai_7
Marketable Securities and Fair Value Measurements - Financial Liabilities at Fair Value on Recurring Basis (Detail) - 2017 Common Stock Warrants - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total financial liabilities | $ 0 | $ 3 |
Basis of Fair Value Measurements, Level 1 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total financial liabilities | 0 | 0 |
Basis of Fair Value Measurements, Level 2 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total financial liabilities | 0 | 0 |
Basis of Fair Value Measurements, Level 3 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total financial liabilities | $ 0 | $ 3 |
Marketable Securities and Fai_8
Marketable Securities and Fair Value Measurements - Summary of Fair Value of Warrants (Detail) - Basis of Fair Value Measurements, Level 3 | Dec. 31, 2019$ / shares | Dec. 31, 2018$ / shares |
Measurement Input, Risk Free Interest Rate | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Warrants and Rights Outstanding, Measurement Input | 0.016 | 0.026 |
Measurement Input, Expected Term | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Expected life (in years) | 1 month 6 days | 1 year 1 month 6 days |
Measurement Input, Price Volatility | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Warrants and Rights Outstanding, Measurement Input | 0.86 | 0.77 |
Measurement Input, Share Price | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items] | ||
Warrants and Rights Outstanding, Measurement Input | 13.99 | 4.04 |
Property and Equipment - Compon
Property and Equipment - Components of Property and Equipment (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Property Plant And Equipment [Line Items] | ||
Property and equipment, Gross | $ 21,451 | $ 8,184 |
Less: Accumulated depreciation | (3,293) | (1,333) |
Total property and equipment, net | 18,158 | 6,851 |
Laboratory Equipment | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, Gross | 10,587 | 4,676 |
Leasehold Improvements | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, Gross | 10,383 | 3,274 |
Furniture and Fixtures | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, Gross | 150 | 89 |
Computer and Equipment | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, Gross | $ 331 | $ 145 |
Property and Equipment - Additi
Property and Equipment - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Property Plant And Equipment [Line Items] | ||
Depreciation expense | $ 2 | $ 1 |
Leasehold Improvements | ||
Property Plant And Equipment [Line Items] | ||
Asset retirement obligation, asset | $ 1 | $ 0.1 |
Balance Sheet Components - Comp
Balance Sheet Components - Components of Accrued Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Accrued Liabilities Current [Abstract] | ||
General and administrative | $ 4,521 | $ 297 |
Clinical trial related costs | 1,383 | 598 |
Non-clinical research and manufacturing operations | 5,774 | 2,644 |
Payroll related | 2,849 | 1,787 |
Other accrued expenses | 17 | 31 |
Total accrued liabilities | $ 14,544 | $ 5,357 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Details) - $ / shares | Nov. 25, 2019 | Sep. 25, 2018 | Dec. 31, 2019 | Dec. 31, 2018 |
Series A Convertible Preferred Stock | ||||
Related Party Transaction [Line Items] | ||||
Shares issued under public offering | 250 | |||
Common Stock | ||||
Related Party Transaction [Line Items] | ||||
Shares issued under public offering | 6,900,000 | 9,430,000 | ||
Underwritten Public Offering | ||||
Related Party Transaction [Line Items] | ||||
Shares issued under public offering | 9,430,000 | |||
Shares issued, price per share | $ 5.50 | |||
Over Allotment Option | ||||
Related Party Transaction [Line Items] | ||||
Shares issued under public offering | 900,000 | 1,230,000 | ||
2019 Underwritten Public Offering | ||||
Related Party Transaction [Line Items] | ||||
Shares issued under public offering | 6,900,000 | |||
Shares issued, price per share | $ 8 | |||
Longitude Venture Partners III, L.P. | Public Offerings | Common Stock | ||||
Related Party Transaction [Line Items] | ||||
Shares issued under public offering | 937,500 | 365,000 | ||
CDK Associates, L.L.C. | Public Offerings | Common Stock | ||||
Related Party Transaction [Line Items] | ||||
Shares issued under public offering | 468,750 | 545,454 |
Borrowing Arrangements - Additi
Borrowing Arrangements - Additional Information (Detail) - USD ($) | Feb. 27, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2016 | Apr. 30, 2015 |
Debt Instrument [Line Items] | |||||
Credit facility, amortization of debt discount | $ 486,000 | $ 318,000 | |||
Long-term debt, carrying value | 3,700,000 | 3,300,000 | |||
Perceptive | |||||
Debt Instrument [Line Items] | |||||
Final fee due at loan maturity date | $ 3,400,000 | ||||
Total debt | $ 5,000,000 | 5,000,000 | |||
Debt instrument, annual interest rate | 12.90% | ||||
Credit Facility, interest expense | $ 700,000 | 600,000 | |||
Credit facility, amortization of debt discount | $ 300,000 | 300,000 | |||
Term Loan Facility | Perceptive | |||||
Debt Instrument [Line Items] | |||||
Maximum borrowing capacity under loan | $ 10,000,000 | ||||
Warrant exercise price | $ 9.5792 | ||||
Increase in applicable margin percentage on event of default | 4.00% | ||||
Period for which interest only payments will be made | 24 months | ||||
Credit Facility, principal payments | $ 200,000 | ||||
Credit Facility, maturity date | Feb. 27, 2022 | ||||
Exit fee | $ 100,000 | ||||
Deferred finance costs | 500,000 | ||||
Debt issuance cost, net of discount | $ 1,500,000 | ||||
Number of shares issued for each warrant | 190,000 | ||||
Fair value of the warrant recorded as a debt discount | $ 1,500,000 | ||||
Warrant exercisable period | 7 years | ||||
Term Loan Facility | Perceptive | LIBOR | |||||
Debt Instrument [Line Items] | |||||
Applicable margin percentage | 11.00% | ||||
SVB Growth Capital Loan | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, frequency of periodic payment | 3 | ||||
Maximum borrowing capacity under loan | $ 6,000,000 | ||||
Number of warrants to purchase shares of common stock | 48,874 | ||||
Warrant exercise price | $ 3.07 | ||||
Final fee due at loan maturity date | $ 400,000 | ||||
Amount drew down from bank | $ 6,100,000 | ||||
Debt instrument principal paid during period | 3,200,000 | ||||
Final fee paid | 400,000 | ||||
Total debt | $ 0 | ||||
Term Loan Drawn on Effective Date of Credit Facility | Term Loan Facility | Perceptive | |||||
Debt Instrument [Line Items] | |||||
Proceeds from initial term loan on closing date of Credit Facility | $ 5,000,000 | ||||
Additional Term Loan Drawn Six Months Following Effective Date of Credit Facility | Term Loan Facility | Perceptive | |||||
Debt Instrument [Line Items] | |||||
Remaining available amount from credit facility to be drawn six months following effective date of credit facility | $ 5,000,000 |
Borrowing Arrangements - Schedu
Borrowing Arrangements - Schedule of Required Future Principal Payments (Detail) - Perceptive Credit Facility $ in Thousands | Dec. 31, 2019USD ($) |
Debt Instrument [Line Items] | |
2020 | $ 800 |
2021 | 800 |
2022 | 3,500 |
2023 | 0 |
2024 | 0 |
Total | $ 5,100 |
Leases - Additional Information
Leases - Additional Information (Detail) $ in Thousands | 1 Months Ended | ||||
Jan. 31, 2019USD ($)ft² | Dec. 31, 2019USD ($) | Jan. 01, 2019USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | |
Lessee Lease Description [Line Items] | |||||
Operating lease right-of-use-asset | $ 9,959 | $ 4,180 | $ 0 | ||
Operating lease, lease liability | 13,365 | ||||
Asset retirement obligation, lease | 1,365 | $ 344 | $ 261 | ||
Texas | |||||
Lessee Lease Description [Line Items] | |||||
Area of land of additional facility lease agreement | ft² | 57,000 | ||||
Lease expiration period | 2028-08 | ||||
Operating lease right-of-use-asset | $ 7,200 | ||||
Operating lease, lease liability | 7,200 | 7,400 | |||
Asset retirement obligation, lease | $ 400 | ||||
Texas | Letter of Credit | |||||
Lessee Lease Description [Line Items] | |||||
Letter of credit | $ 3,000 |
Leases - Changes in Carrying Am
Leases - Changes in Carrying Amount of AROs (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Asset Retirement Obligation Disclosure [Abstract] | ||
Balance at beginning of year | $ 344 | $ 261 |
Liabilities incurred in the current period | 949 | 44 |
Accretion of asset retirement obligations | 72 | 39 |
Balance at end of year | $ 1,365 | $ 344 |
Leases - Components of Lease Ex
Leases - Components of Lease Expense (Detail) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Leases [Abstract] | |
Operating lease expense | $ 2,175 |
Variable lease expense | 456 |
Total operating lease expense | 2,631 |
Amortization of right-of-use asset | 8 |
Interest on lease liabilities | 2 |
Total finance lease expense | 10 |
Sublease rental income | $ 138 |
Leases - Schedule of Balance Sh
Leases - Schedule of Balance Sheets Classification of Leases (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 |
Operating leases | |||
Operating lease right-of-use assets, non-current | $ 9,959 | $ 4,180 | $ 0 |
Operating lease liabilities, current | 1,683 | 976 | |
Operating lease liabilities, non-current | 11,682 | $ 3,729 | $ 0 |
Total operating lease liabilities | 13,365 | ||
Finance leases | |||
Property and equipment, at cost | 77 | ||
Accumulated depreciation | 41 | ||
Property and equipment, net | $ 36 | ||
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | us-gaap:PropertyPlantAndEquipmentNet | ||
Finance lease liabilities, current | $ 18 | ||
Finance Lease Liability Current Statement Of Financial Position Extensible List | us-gaap:OtherLiabilitiesCurrent | ||
Finance lease liabilities, non-current | $ 1 | ||
Finance Lease Liability Noncurrent Statement Of Financial Position Extensible List | us-gaap:OtherLiabilitiesNoncurrent | ||
Total finance lease liabilities | $ 19 |
Leases - Schedule of Leases Inf
Leases - Schedule of Leases Information (Detail) | Dec. 31, 2019 |
Weighted average remaining lease term | |
Operating leases | 7 years 2 months 12 days |
Finance leases | 9 months 18 days |
Weighted average discount rate | |
Operating leases | 6.72% |
Finance leases | 6.88% |
Leases - Schedule of Future Min
Leases - Schedule of Future Minimum Payments Under Operating Leases (Detail) $ in Thousands | Dec. 31, 2019USD ($) |
Lease payments | |
2020 | $ 2,517 |
2021 | 2,589 |
2022 | 2,650 |
2023 | 1,961 |
2024 | 1,474 |
Thereafter | 5,762 |
Total lease payments | 16,953 |
Less: Imputed interest | (3,588) |
Total lease liabilities | 13,365 |
Finance Leases | |
2020 | 20 |
2021 | 0 |
2022 | 0 |
2023 | 0 |
2024 | 0 |
Thereafter | 0 |
Total lease payments | 20 |
Less: Imputed interest | (1) |
Total lease liabilities | $ 19 |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow Information (Detail) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Cash paid for amounts included in the measurement of lease liabilities: | |
Operating cash flows from operating leases | $ 1,278 |
Operating cash flows from finance leases | 3 |
Financing cash flows from finance leases | 31 |
Right-of-use asset obtained in exchange for lease obligations: | |
Operating leases | $ 7,501 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) $ in Millions | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Other Commitments [Line Items] | |
Upfront fees unamortized balance included in prepaid asset | $ 1 |
Contractual obligation | $ 41.8 |
Percentage of right to share development costs exercised | 50.00% |
Minimum | |
Other Commitments [Line Items] | |
Estimated purchase obligation | $ 6.4 |
Maximum | |
Other Commitments [Line Items] | |
Estimated purchase obligation | $ 7 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Detail) - USD ($) | Nov. 25, 2019 | Sep. 25, 2018 | Feb. 28, 2018 | Feb. 27, 2018 | Aug. 01, 2017 | Jun. 23, 2017 | Dec. 31, 2017 | Dec. 31, 2019 | Dec. 31, 2018 |
Class Of Warrant Or Right [Line Items] | |||||||||
Valuation of equity classified warrants recorded in additional paid-n capital | $ 1,522,000 | ||||||||
Preferred stock, par value | $ 0.001 | $ 0.001 | |||||||
Term Loan Facility | Perceptive Credit Facility | |||||||||
Class Of Warrant Or Right [Line Items] | |||||||||
Warrant exercisable period | 7 years | ||||||||
Common stock exercise price | $ 9.5792 | ||||||||
Number of shares to be issued upon exercise of warrant | 190,000 | ||||||||
Series A Convertible Preferred Stock | |||||||||
Class Of Warrant Or Right [Line Items] | |||||||||
Shares issued under public offering | 250 | ||||||||
Shares issued, price per share | $ 8,000 | ||||||||
Preferred stock, conversion basis | Each share of Series A Preferred Stock is convertible to 1,000 shares of Common Stock, provided that the holder of Series A Preferred Stock will be prohibited from converting the Series A Preferred Stock into shares of common stock if, as a result of such conversion, the holder, together with its affiliates, would own more than 9.99% of the total number of shares of the Company’s common stock then issued and outstanding. | ||||||||
Number of preferred stock converted into common stock | 1,000 | ||||||||
Minimum holding percentage of common stock issued and outstanding upon conversion | 9.99% | ||||||||
Preferred stock, par value | $ 0.001 | ||||||||
Preferred Stock , voting rights description | The Series A Preferred Stock has no voting rights, except as required by law and except that the consent of the Series A Preferred Stockholders will be required to amend the terms of the Series A Preferred Stock. | ||||||||
Preferred stock beneficial conversion feature intrinsic value | $ 700,000 | ||||||||
Common Stock | |||||||||
Class Of Warrant Or Right [Line Items] | |||||||||
Valuation of equity classified warrants recorded in additional paid-n capital | $ 0 | ||||||||
Shares issued under public offering | 6,900,000 | 9,430,000 | |||||||
Common Stock | Term Loan Facility | Perceptive Credit Facility | |||||||||
Class Of Warrant Or Right [Line Items] | |||||||||
Warrant exercisable period | 7 years | ||||||||
Common stock exercise price | $ 9.58 | ||||||||
Valuation of equity classified warrants recorded in additional paid-n capital | $ 1,500,000 | ||||||||
Expected dividend rate | 0.00% | ||||||||
Expected volatility | 105.00% | ||||||||
Risk free interest rate | 2.80% | ||||||||
Expected term | 7 years | ||||||||
Number of shares to be issued upon exercise of warrant | 190,000 | ||||||||
Wedbush Agreement | |||||||||
Class Of Warrant Or Right [Line Items] | |||||||||
Valuation of equity classified warrants recorded in additional paid-n capital | $ 400,000 | ||||||||
Expected dividend rate | 0.00% | ||||||||
Expected volatility | 108.00% | ||||||||
Risk free interest rate | 2.30% | ||||||||
Expected term | 7 years | ||||||||
Takeda Pharmaceuticals Inc | |||||||||
Class Of Warrant Or Right [Line Items] | |||||||||
Aggregate purchase price | $ 20,000,000 | ||||||||
Each unit of shares transaction of common stock | 2,922,993 | ||||||||
Purchase price per share | $ 6.8423 | ||||||||
Vertex Pharmaceuticals Inc | |||||||||
Class Of Warrant Or Right [Line Items] | |||||||||
Aggregate purchase price | $ 15,000,000 | ||||||||
Each unit of shares transaction of common stock | 1,666,666 | ||||||||
Purchase price per share | $ 9 | ||||||||
Private Placement | Common Stock | |||||||||
Class Of Warrant Or Right [Line Items] | |||||||||
Valuation of equity classified warrants recorded in additional paid-n capital | $ 16,300,000 | ||||||||
Expected dividend rate | 0.00% | ||||||||
Expected volatility | 147.00% | ||||||||
Risk free interest rate | 2.07% | ||||||||
Expected term | 7 years | ||||||||
Shares issued under public offering | 1,666,666 | ||||||||
Private Placement | Longitude Venture Partners III, L.P. | |||||||||
Class Of Warrant Or Right [Line Items] | |||||||||
Number of aggregate units sold | 5,793,063 | ||||||||
Aggregate purchase price | $ 40,000,000 | ||||||||
Each unit of shares transaction of common stock | 1 | ||||||||
Warrants to purchase shares of common stock | 0.5 | ||||||||
Sale of units, description and its composition | the Company sold an aggregate of 5,793,063 units (the “Units”) having an aggregate purchase price of $40.0 million (“PIPE Financing”), each such Unit consisting of (i) one (1) share (the “Shares”) of our common stock and (ii) a warrant (the “Private Placement Warrants”) to purchase 0.5 shares of our common stock (the “Private Placement”). | ||||||||
Purchase price per unit | $ 6.9048 | ||||||||
Warrant exercisable period | 7 years | ||||||||
Common stock exercise price | $ 6.8423 | ||||||||
Private Placement | Longitude Venture Partners III, L.P. | Common Stock | |||||||||
Class Of Warrant Or Right [Line Items] | |||||||||
Warrants to purchase shares of common stock | 2,896,528 | ||||||||
Private Placement | Wedbush Agreement | Common Stock | |||||||||
Class Of Warrant Or Right [Line Items] | |||||||||
Warrants to purchase shares of common stock | 57,930 | 57,930 | |||||||
Warrant exercisable period | 7 years | ||||||||
Common stock exercise price | $ 6.8423 | ||||||||
Underwritten Public Offering | |||||||||
Class Of Warrant Or Right [Line Items] | |||||||||
Shares issued under public offering | 9,430,000 | ||||||||
Shares issued, price per share | $ 5.50 | ||||||||
Proceeds from public offering | $ 48,100,000 | ||||||||
Over Allotment Option | |||||||||
Class Of Warrant Or Right [Line Items] | |||||||||
Shares issued under public offering | 900,000 | 1,230,000 | |||||||
2019 Underwritten Public Offering | |||||||||
Class Of Warrant Or Right [Line Items] | |||||||||
Shares issued under public offering | 6,900,000 | ||||||||
Shares issued, price per share | $ 8 | ||||||||
Proceeds from public offering | $ 53,400,000 |
Equity Incentive Plans and St_3
Equity Incentive Plans and Stock Based Compensation - Additional Information (Detail) - USD ($) | Jan. 01, 2017 | May 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Apr. 30, 2018 |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Total intrinsic value of stock options exercised | $ 600,000 | $ 2,600,000 | |||
Cash received from stock option exercises | 1,748,000 | $ 283,000 | |||
Tax benefit realized upon exercise of option | 0 | ||||
Unrecognized compensation cost related to unvested stock-based awards granted to employees under the stock option plans | $ 15,000,000 | ||||
Unrecognized compensation cost related to unvested stock-based awards granted to employees under the stock option plans, period for recognition | 2 years 8 months 15 days | ||||
2018 Equity Incentive Plan | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Exercise price as a percentage of fair market value of common stock | 100.00% | ||||
Terms of stock options granted | 10 years | ||||
Terms of stock options vested | 4 years | ||||
Options to purchase shares of common stock available for future grants | 736,916 | ||||
Options reserved for issuance transferred to 2018 Equity Incentive Plan | 2,000,000 | ||||
Common stock additional shares may be added to plan in connection in forfeiture or expiration of awards outstanding | 2,885,121 | ||||
2018 Equity incentive plan annual evergreen provision to increase available for issuance description | Additionally, the number of shares of common stock that may be issued under the 2018 Plan will automatically increase on each January 1, beginning with January 1, 2019, and continuing with January 1, 2028 by an amount equal to the lesser of (i) 4% of the number of outstanding shares of common stock on that date and (ii) an amount determined by the Company’s board of directors or compensation committee; provided, however, that in no event will the number of shares available for issuance under the 2018 Plan be increased to the extent such increase, in addition to any other increases proposed by the board of directors in the number of shares available for issuance under all other employee or director stock plan would result in the total number of shares then available for issuance under all employee and director stock plans exceeding 20% of the outstanding shares of the Company’s common stock on the first day of the applicable fiscal year. | ||||
Annual evergreen provision to increase available for issuance not to exceed percentage of common stock shares outstanding on date of increase | 4.00% | ||||
2018 Equity Incentive Plan | Maximum | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Available for issuance for all plans not to exceed percentage of common stock outstanding on first day of fiscal year | 20.00% | ||||
2009 Equity Incentive Plan | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Options reserved for issuance transferred to 2018 Equity Incentive Plan | 104,184 | ||||
2014 Equity Incentive Plan | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Options reserved for issuance transferred to 2018 Equity Incentive Plan | 335,040 | ||||
2004 Employee Stock Purchase Plan | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Options to purchase shares of common stock available for future grants | 8,636 | 8,636 | |||
Additional shares authorized for issuance | 9,091 | ||||
Offering period | 24 months | ||||
Purchase period | 6 months | ||||
Discount available to eligible employees related to employee stock purchase plan | 85.00% | ||||
Plan participants purchased shares | 0 |
Equity Incentive Plans and St_4
Equity Incentive Plans and Stock Based Compensation - Summary of Stock Option Activity Under Equity Incentive Plan (Detail) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |||
Outstanding Options Number of Shares, Beginning Balance | 4,002,999 | 2,768,711 | |
Number of Shares, Options granted | 2,003,600 | 1,844,787 | |
Number of Shares, Options exercised | (286,479) | (407,682) | |
Number of shares, Options canceled | (976,130) | (202,817) | |
Outstanding Options Number of Shares, Ending Balance | 4,743,990 | 4,002,999 | 2,768,711 |
Outstanding Options Number of Shares, Vested and expected to vest | 4,743,990 | ||
Outstanding Options Number of Shares, Exercisable | 1,779,916 | ||
Weighted Average Exercise Price, Beginning Balance | $ 10.43 | $ 12.07 | |
Weighted Average Exercise Price, Options granted | 6.01 | 6.98 | |
Weighted Average Exercise Price, Options exercised | 6.10 | 0.70 | |
Weighted Average Exercise Price, Options canceled | 22.37 | 20.83 | |
Weighted Average Exercise Price, Ending Balance | 6.37 | $ 10.43 | $ 12.07 |
Weighted Average Exercise Price, Vested and expected to vest | 6.37 | ||
Weighted Average Exercise Price, Exercisable | $ 5.98 | ||
Weighted-Average Remaining Contractual Term, Outstanding | 8 years 2 months 12 days | 6 years 4 months 24 days | 5 years 7 months 6 days |
Weighted-Average Remaining Contractual Term, Vested and expected to vest | 8 years 2 months 12 days | ||
Weighted-Average Remaining Contractual Term, Exercisable | 7 years | ||
Aggregate Intrinsic Value, Outstanding | $ 36.5 | $ 1.5 | $ 11 |
Aggregate Intrinsic Value, Vested and expected to vest | 36.5 | ||
Aggregate Intrinsic Value, Exercisable | $ 14.6 |
Equity Incentive Plans and St_5
Equity Incentive Plans and Stock Based Compensation - Stock Options Outstanding and Exercisable by Exercise Price (Detail) | 12 Months Ended |
Dec. 31, 2019$ / sharesshares | |
$0.42 - 1.85 | |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | |
Range of Exercise Prices | $ 0.42 |
Range of Exercise Prices | $ 1.85 |
Number Outstanding | shares | 478,366 |
Weighted Average Remaining Contractual Life (Years) | 3 years 9 months 18 days |
Weighted Average Exercise Price | $ 1.07 |
Number Exercisable | shares | 475,308 |
Weighted Average Exercise Price | $ 1.06 |
$4.04 - 4.28 | |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | |
Range of Exercise Prices | 4.04 |
Range of Exercise Prices | $ 4.28 |
Number Outstanding | shares | 6,681 |
Weighted Average Remaining Contractual Life (Years) | 7 years 8 months 19 days |
Weighted Average Exercise Price | $ 4.22 |
Number Exercisable | shares | 4,191 |
Weighted Average Exercise Price | $ 4.20 |
$4.66 - 4.66 | |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | |
Range of Exercise Prices | 4.66 |
Range of Exercise Prices | $ 4.66 |
Number Outstanding | shares | 1,030,126 |
Weighted Average Remaining Contractual Life (Years) | 9 years 1 month 9 days |
Weighted Average Exercise Price | $ 4.66 |
Number Exercisable | shares | 105,638 |
Weighted Average Exercise Price | $ 4.66 |
$4.74 - 5.81 | |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | |
Range of Exercise Prices | 4.74 |
Range of Exercise Prices | $ 5.81 |
Number Outstanding | shares | 428,825 |
Weighted Average Remaining Contractual Life (Years) | 8 years 11 months 4 days |
Weighted Average Exercise Price | $ 5.06 |
Number Exercisable | shares | 73,716 |
Weighted Average Exercise Price | $ 5.16 |
$6.31 - 6.31 | |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | |
Range of Exercise Prices | 6.31 |
Range of Exercise Prices | $ 6.31 |
Number Outstanding | shares | 1,227,849 |
Weighted Average Remaining Contractual Life (Years) | 8 years 4 months 28 days |
Weighted Average Exercise Price | $ 6.31 |
Number Exercisable | shares | 531,659 |
Weighted Average Exercise Price | $ 6.31 |
$6.54 - 8.21 | |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | |
Range of Exercise Prices | 6.54 |
Range of Exercise Prices | $ 8.21 |
Number Outstanding | shares | 537,662 |
Weighted Average Remaining Contractual Life (Years) | 8 years 9 months 10 days |
Weighted Average Exercise Price | $ 7.63 |
Number Exercisable | shares | 123,674 |
Weighted Average Exercise Price | $ 8.03 |
$8.35 - 9.28 | |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | |
Range of Exercise Prices | 8.35 |
Range of Exercise Prices | $ 9.28 |
Number Outstanding | shares | 134,450 |
Weighted Average Remaining Contractual Life (Years) | 9 years 6 months 21 days |
Weighted Average Exercise Price | $ 8.53 |
Number Exercisable | shares | 7,499 |
Weighted Average Exercise Price | $ 9.24 |
$9.40 - 9.40 | |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | |
Range of Exercise Prices | 9.40 |
Range of Exercise Prices | $ 9.40 |
Number Outstanding | shares | 537,500 |
Weighted Average Remaining Contractual Life (Years) | 7 years 9 months 7 days |
Weighted Average Exercise Price | $ 9.40 |
Number Exercisable | shares | 348,437 |
Weighted Average Exercise Price | $ 9.40 |
$10.78 - 61.27 | |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | |
Range of Exercise Prices | 10.78 |
Range of Exercise Prices | $ 61.27 |
Number Outstanding | shares | 360,713 |
Weighted Average Remaining Contractual Life (Years) | 8 years 8 months 15 days |
Weighted Average Exercise Price | $ 12.58 |
Number Exercisable | shares | 107,976 |
Weighted Average Exercise Price | $ 13.22 |
$70.29 - 70.29 | |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | |
Range of Exercise Prices | 70.29 |
Range of Exercise Prices | $ 70.29 |
Number Outstanding | shares | 1,818 |
Weighted Average Remaining Contractual Life (Years) | 2 years 4 months 13 days |
Weighted Average Exercise Price | $ 70.29 |
Number Exercisable | shares | 1,818 |
Weighted Average Exercise Price | $ 70.29 |
$0.42 - 70.29 | |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | |
Range of Exercise Prices | 0.42 |
Range of Exercise Prices | $ 70.29 |
Number Outstanding | shares | 4,743,990 |
Weighted Average Remaining Contractual Life (Years) | 8 years 1 month 28 days |
Number Exercisable | shares | 1,779,916 |
Weighted Average Exercise Price | $ 5.98 |
Equity Incentive Plans and St_6
Equity Incentive Plans and Stock Based Compensation - Stock-Based Compensation Expense (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||
Stock-based compensation expense | $ 5,859 | $ 3,992 |
Research and Development | ||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||
Stock-based compensation expense | 2,398 | 1,192 |
General and Administrative | ||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||
Stock-based compensation expense | $ 3,461 | $ 2,800 |
Equity Incentive Plans and St_7
Equity Incentive Plans and Stock Based Compensation - Weighted-Average Fair Value Valuation Assumptions (Detail) - Employee Stock Options - $ / shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Risk-free interest rate | 2.37% | 2.79% |
Expected life (in years) | 6 years 29 days | 6 years 10 days |
Dividend yield | 0.00% | 0.00% |
Volatility | 108.70% | 107.15% |
Weighted-average fair value of stock options granted | $ 5 | $ 5.79 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Taxes Disclosure [Line Items] | |||
Income tax provision | $ 0 | $ 0 | |
Increase in valuation allowance | 12,800,000 | ||
Unrecognized benefits | 0 | 0 | $ 1,143,000 |
Accrued interest or penalties | 0 | $ 0 | |
State | |||
Income Taxes Disclosure [Line Items] | |||
Research and development credits | $ 800,000 | ||
Year research and development credits begin to expire | 2033 | ||
Federal | |||
Income Taxes Disclosure [Line Items] | |||
Net operating loss carryforwards | $ 125,500,000 | ||
Year net operating loss carryforwards begin to expire | 2024 | ||
Tax loss carryforwards expiration year | 2037 | ||
Research and development credits | $ 3,500,000 | ||
Year research and development credits begin to expire | 2022 |
Income Taxes - Schedule of Reco
Income Taxes - Schedule of Reconciliation of Income Taxes at Statutory Federal Income Tax Rate to Net Income Taxes (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | ||
U.S. federal taxes (benefit) at statutory rate | $ (14,578,000) | $ (6,361,000) |
State federal income tax benefit | (528,000) | (69,000) |
Permanent differences | 34,000 | (160,000) |
Stock compensation | 4,112,000 | 136,000 |
Research and development credits | (1,677,000) | (608,000) |
Change in valuation allowance due to operations | 12,756,000 | 2,758,000 |
Expiring state carryovers and other | (119,000) | 4,304,000 |
Total | $ 0 | $ 0 |
Income Taxes - Schedule of Sign
Income Taxes - Schedule of Significant Components of Net Deferred Tax Assets (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred tax assets | ||
Net operating loss carryforward | $ 26,554 | $ 19,941 |
Research and development credits | 4,147 | 2,049 |
Deferred stock compensation | 1,571 | 4,547 |
Deferred revenue | 1,956 | 210 |
Lease liability | 2,835 | |
Other | 736 | 404 |
Total deferred tax assets | 37,799 | 27,151 |
Total deferred tax liabilities | ||
Depreciable and amortizable assets | (1,340) | (925) |
Right-of-use asset | (2,112) | |
R&D intangible assets | (956) | (5,591) |
Total deferred tax liabilities | (4,408) | (6,516) |
Less: Valuation allowance | (33,391) | (20,635) |
Net deferred tax assets | $ 0 | $ 0 |
Income Taxes - Schedule of Acti
Income Taxes - Schedule of Activity Related to Unrecognized Tax Benefits (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | ||
Gross unrecognized tax benefits at January 1, | $ 0 | $ 1,143,000 |
Gross increases (decreases) related to acquisitions | 0 | (1,143,000) |
Gross increases related to current year tax positions | 0 | 0 |
Gross unrecognized tax benefits at December 31, | $ 0 | $ 0 |
Employee Benefit Plan - Additio
Employee Benefit Plan - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Molecular Templates 401(k) Plan | ||
Defined Contribution Plan Disclosure [Line Items] | ||
Employer discretionary contribution amount | $ 0.2 | $ 0.1 |
In-Process Research and Devel_2
In-Process Research and Development - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Research And Development [Abstract] | ||
Impairment of in-process research and development | $ 22,139 | $ 0 |
In-process research and development - held for sale | $ 4,500 | $ 0 |