Fennec Pharmaceuticals (FENC) 10-Q 12 Aug 22 2022 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2022	Aug. 11, 2022
Document and Entity Information
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2022
Document Transition Report	false
Entity File Number	001-32295
Entity Registrant Name	FENNEC PHARMACEUTICALS INC.
Entity Incorporation, State or Country Code	CA
Entity Tax Identification Number	20-0442384
Entity Address, Address Line One	PO Box 13628, 68 TW Alexander Drive
Entity Address, City or Town	Research Triangle Park
Entity Address, State or Province	NC
Entity Address, Postal Zip Code	27709
City Area Code	919
Local Phone Number	636-4530
Title of 12(b) Security	Common Shares, no par value
Trading Symbol	FENCF
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		26,067,283
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q2
Entity Central Index Key	0001211583
Amendment Flag	false

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Current assets
Cash and cash equivalents	$ 14,915	$ 21,100
Prepaid expenses	490	1,034
Other current assets	149	253
Total current assets	15,554	22,387
Non-current assets
Deferred issuance cost, net amortization	14	27
Total non-current assets	14	27
Total assets	15,568	22,414
Current liabilities:
Accounts payable	1,743	777
Accrued liabilities	294	877
Current portion of long-term debt	1,000
Total current liabilities	3,037	1,654
Long term liabilities
Term loan	4,000	5,000
Debt discount	(10)	(12)
Total long term liabilities	3,990	4,988
Total liabilities	7,027	6,642
Commitments and Contingencies (Note 6)
Stockholders' equity:
Common stock, no par value; unlimited shares authorized; 26,067 shares issued and outstanding (2021 26,014)	140,922	140,801
Additional paid-in capital	54,630	53,214
Accumulated deficit	(188,254)	(179,486)
Accumulated other comprehensive income	1,243	1,243
Total stockholders' equity	8,541	15,772
Total liabilities and stockholders' equity	$ 15,568	$ 22,414

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares shares in Thousands	Jun. 30, 2022	Dec. 31, 2021
Condensed Consolidated Balance Sheets
Common stock, no par value	$ 0	$ 0
Common stock, shares issued	26,067	26,014
Common stock, shares outstanding	26,067	26,014

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Operating expenses:
Research and development	$ 1,131	$ 800	$ 2,568	$ 3,216
General and administrative	3,878	3,120	5,987	5,627
Loss from operations	(5,009)	(3,920)	(8,555)	(8,843)
Other (expense)/income
Unrealized foreign exchange loss	1		(2)	(8)
Amortization expense	(8)		(15)
Unrealized (loss)/gain on securities	(8)	(84)	(99)	98
Interest income	9	12	18	28
Interest expense	(57)	(9)	(115)	(9)
Total other (expense)/income	(63)	(81)	(213)	109
Net loss	$ (5,072)	$ (4,001)	$ (8,768)	$ (8,734)
Basic net loss per common share	$ (0.19)	$ (0.15)	$ (0.34)	$ (0.34)
Diluted net loss per common share	$ (0.19)	$ (0.15)	$ (0.34)	$ (0.34)
Weighted-average number of common shares outstanding basic	26,052	26,003	26,067	26,003
Weighted-average number of common shares outstanding diluted	26,052	26,003	26,067	26,003

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2022	Jun. 30, 2021
Operating activities:
Net loss	$ (5,072)	$ (8,768)	$ (8,734)
Adjustments to reconcile net loss to net cash used in operating activities:
Amortization of debt access fees		14
Amortization of debt discount		1
Unrealized loss/(gain) on securities	8	99	(98)
Stock-based compensation - consultants		69	9
Stock-based compensation - employees		1,407	1,913
Changes in operating assets and liabilities:
Prepaid expenses		544	388
Other assets		5	2
Accounts payable		966	(894)
Accrued liabilities		(583)	(605)
Net cash used in operating activities	(3,390)	(6,246)	(8,019)
Financing activities:
Issuance of shares, options exercise		61	24
Long-term Debt			5,000
Debt discount			(14)
Capitalized deferred issuance costs			(42)
Net cash provided by financing activities		61	4,968
Decrease in cash and cash equivalents		(6,185)	(3,051)
Cash and cash equivalents - Beginning of period		21,100	30,344
Cash and cash equivalents - End of period	$ 14,915	$ 14,915	$ 27,293

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands	Common Stock Contractors Contractors or Consultants	Common Stock Employees	Common Stock	Additional Paid-in Capital Contractors Contractors or Consultants	Additional Paid-in Capital Employees	Additional Paid-in Capital Contractors or Consultants	Additional Paid-in Capital	Accumulated Deficit Contractors Contractors or Consultants	Accumulated Deficit Employees	Accumulated Deficit	Accumulated Other Comprehensive Income Contractors Contractors or Consultants	Accumulated Other Comprehensive Income Employees	Accumulated Other Comprehensive Income	Contractors Contractors or Consultants	Employees	Contractors or Consultants	Total
Balance at Dec. 31, 2020			$ 140,733				$ 49,234			$ (162,140)			$ 1,243				$ 29,070
Balance (in shares) at Dec. 31, 2020			26,003
Stock options issued	$ 0	$ 0		$ 9	$ 587			$ 0	$ 0		$ 0	$ 0		$ 9	$ 587
Net loss										(4,733)							(4,733)
Balance at Mar. 31, 2021			$ 140,733				49,830			(166,873)			1,243				24,933
Balance (in shares) at Mar. 31, 2021			26,003
Balance at Dec. 31, 2020			$ 140,733				49,234			(162,140)			1,243				29,070
Balance (in shares) at Dec. 31, 2020			26,003
Net loss																	(8,734)
Balance at Jun. 30, 2021			$ 140,780				51,132			(170,874)			1,243				22,281
Balance (in shares) at Jun. 30, 2021			26,007
Balance at Mar. 31, 2021			$ 140,733				49,830			(166,873)			1,243				24,933
Balance (in shares) at Mar. 31, 2021			26,003
Stock options issued					1,326										1,326
Exercise of stock options			$ 47				(24)										23
Exercise of stock options (in shares)			4
Net loss										(4,001)							(4,001)
Balance at Jun. 30, 2021			$ 140,780				51,132			(170,874)			1,243				22,281
Balance (in shares) at Jun. 30, 2021			26,007
Balance at Dec. 31, 2021			$ 140,801				53,214			(179,486)			1,243				15,772
Balance (in shares) at Dec. 31, 2021			26,014
Stock options issued	$ 0	$ 0		$ 34	399			$ 0	$ 0		$ 0	$ 0		$ 34	399
Exercise of stock options			$ 31				(16)										$ 15
Exercise of stock options (in shares)			26														26
Net loss										(3,696)							$ (3,696)
Balance at Mar. 31, 2022			$ 140,832				53,631			(183,182)			1,243				12,524
Balance (in shares) at Mar. 31, 2022			26,040
Balance at Dec. 31, 2021			$ 140,801				53,214			(179,486)			1,243				15,772
Balance (in shares) at Dec. 31, 2021			26,014
Net loss																	(8,768)
Balance at Jun. 30, 2022			$ 140,922				54,630			(188,254)			1,243				8,541
Balance (in shares) at Jun. 30, 2022			26,067
Balance at Mar. 31, 2022			$ 140,832				53,631			(183,182)			1,243				12,524
Balance (in shares) at Mar. 31, 2022			26,040
Stock options issued					$ 1,008	$ 35									$ 1,008	$ 35
Exercise of stock options			$ 90				(44)										$ 46
Exercise of stock options (in shares)			19														19
Restricted stock unit release (in shares)			8
Net loss										(5,072)							$ (5,072)
Balance at Jun. 30, 2022			$ 140,922				$ 54,630			$ (188,254)			$ 1,243				$ 8,541
Balance (in shares) at Jun. 30, 2022			26,067

Nature of Business and Going Co

Nature of Business and Going Concern	6 Months Ended
	Jun. 30, 2022
Nature of Business and Going Concern
Nature of Business and Going Concern	1. Nature of Business and Going Concern Fennec Pharmaceuticals Inc., a British Columbia corporation (“Fennec,” ”the “Company,” “we,” “us,” or “our”), is a biopharmaceutical company focused on the development of PEDMARK TM These unaudited interim condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”) that are applicable to a going concern, which contemplates that the Company will continue in operation for the foreseeable future and will be able to realize its assets and discharge its liabilities in the normal course of business. During the three and six months ended June 30, 2022, the Company incurred a loss from operations of $5,009 and $8,555, respectively. At June 30, 2022, the Company had an accumulated deficit of $188,254 and had experienced negative cash flows from operating activities during the three and six months ended June 30, 2022 in the amount of $3,390 and $6,246, respectively. On February 1, 2019, the Company’s wholly owned subsidiary Fennec Pharmaceuticals, Inc. entered into a Loan and Security Agreement (the “Bridge Bank Loan and Security Agreement”) with Bridge Bank, a division of Western Alliance Bank, an Arizona corporation (“Bridge Bank”), pursuant to which Bridge Bank agreed to loan $12,500 to Fennec Pharmaceuticals, Inc., to be made available upon New Drug Application (“NDA”) approval of PEDMARK TM TM TM On June 24, 2021, the Company announced it had negotiated a second amendment to the Bridge Bank Loan and Security Agreement. This amendment provides Fennec with a $20,000 debt facility comprised of three term loans. Term Loan A consists of $5,000, which was funded upon closing. Term Loan B consists of $7,500 to be funded upon NDA approval of PEDMARK TM On January 31, 2022, the Company announced a third amendment to the Bridge Bank Loan and Security Agreement. This amendment redefines certain definitions in the agreement. The term “Resubmission Event” is the resubmission by Fennec for final NDA approval from the FDA for PEDMARK on or before March 31, 2022. Fennec did achieve the Resubmission Event on March 24, 2022. The “Approval Event” is the receipt of the final NDA approval by Fennec from the U.S. Food and Drug Administration for PEDMARK TM TM The Company believes current funds, along with the funds from the Bridge Bank Loan and Security Agreement or from the securities purchase agreement dated August 1, 2022 with Petrichor Opportunities Fund I LP (the “Petrichor Agreement”) (see Subsequent Events), provide sufficient funding for the Company to carry out its planned activities, including, if PEDMARK TM TM These financial statements do not reflect the potentially material adjustments in the carrying values of assets and liabilities, the reported expenses, and the balance sheet classifications used, that would be necessary if the going concern assumption were not appropriate or if there was a materially adverse event which affected the Company’s solvency. ​

Significant Accounting Policies

Significant Accounting Policies	6 Months Ended
	Jun. 30, 2022
Significant Accounting Policies
Significant Accounting Policies	2. Significant Accounting Policies Basis of presentation The accompanying unaudited interim condensed consolidated financial statements have been prepared in accordance with U.S. GAAP and are the responsibility of the Company’s management. These unaudited interim condensed consolidated financial statements do not include all of the information and notes required by U.S. GAAP for annual financial statements. Accordingly, these unaudited interim condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and notes filed with the Securities and Exchange Commission (“SEC”) in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. The Company’s accounting policies are consistent with those presented in the audited consolidated financial statements included in the Annual Report on Form 10-K for the year ended December 31, 2021. These unaudited interim condensed consolidated financial statements have been prepared in U.S. dollars. All amounts presented are in thousands except for per share amounts. The results of operations for the three and six monthsended June 30. 2022 are not necessarily indicative of results to be expected for the full fiscal year. Use of estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that impact the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the interim condensed consolidated financial statements and the reported amounts of expense during the reporting period. Actual results could differ from those estimates. In the opinion of management, these unaudited interim condensed consolidated financial statements include all adjustments, which are normal and recurring in nature, necessary for the fair presentation of the Company’s financial position at June 30, 2022 and to state fairly the results for the periods presented. The most significant estimates utilized during the three and six months ended June 30, 2022 include estimates necessary to value grants of various equity instruments to employees and contractors, as disclosed in Note 4. New accounting pronouncements The Company did not adopt any new accounting pronouncements during the quarter ended June 30, 2022. Cash and cash equivalents Cash equivalents consist of highly liquid investments with original maturities at the date of purchase of three months or less. The Company places its cash and cash equivalents in investments held by highly rated financial institutions in accordance with its investment policy designed to protect the principal investment. At June 30, 2022, the Company had $14,915 in cash, savings and money market accounts ($21,100 at December 31, 2021). At June 30, 2022, the Company held $278 in cash of which $37 (as presented in U.S. dollars) was in Canadian dollars ($34 at December 31, 2021 as presented in U.S. dollars). At June 30, 2022, the Company held $14,637 in money market investments. Money market investments typically have minimal risks. While the Company has not experienced any loss or write-down of its money market investments, the amounts it holds in money market accounts are substantially above the $250 amount insured by the FDIC and may lose value. Financial instruments Financial instruments recognized on the balance sheets at June 30, 2022 and December 31, 2021 consist of cash and cash equivalents, shares of Processa Pharmaceuticals, Inc., accounts payable, accrued liabilities and current portion of long-term debt, the carrying values of which approximate fair value due to their relatively short time to maturity. The Company does not hold or issue financial instruments for trading. The Company’s investment policy is to manage investments to achieve, in the order of importance, the financial objectives of preservation of principal, liquidity and return on investment. Investments, when made, are made in U.S. or Canadian bank securities, commercial paper of U.S. or Canadian industrial companies, utilities, financial institutions and consumer loan companies, and securities of foreign banks provided the obligations are guaranteed or carry ratings appropriate to the policy. Securities must have a minimum Dun & Bradstreet rating of A for bonds or R1 low for commercial paper. The policy risks are primarily the opportunity cost of the conservative nature of the allowable investments. As the main purpose of the Company is research and development, the Company has chosen to avoid investments of a trading or speculative nature. Revenue The Company’s nominal historical revenue has been generated through sales of its intellectual property (“IP”). For the periods presented, there is no revenue. For periods when the Company has generated its revenue through one segment and the revenue recognized under each of the Company’s arrangements during those periods is described below. The terms of these agreements may contain multiple promised goods or services or optional goods and services, including licenses to product candidates, referred to as exclusive licenses, as well as research and development activities to be performed by the Company on behalf of the collaboration partner related to the licensed product candidates. Revenue recognition Revenue is recognized when control of the promised goods or services are transferred to customers in an amount that reflects the consideration the Company expects to be entitled to in exchange for transferring those goods or providing services. The Company accounts for a contract when it has approval and commitment from both parties, the rights of the parties are identified, payment terms are identified, the contract has commercial substance and collectability of consideration is probable. When determining whether the customer has obtained control of the goods or services, the Company considers the point at which the customer may benefit from the goods or services. For sale of IP, revenue is recognized upon grant or transfer of the IP, as the Company’s IP is considered functional in nature. Performance obligations A performance obligation is a promise in a contract to transfer a distinct good or service to the customer and is the unit of account. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. The Company’s contracts may contain multiple performance obligations if a promise to transfer goods or services is separately identifiable from other promises in a contract and, therefore, is considered distinct. For contracts with multiple performance obligations, the Company determines the standalone selling price of each performance obligation and allocates the total transaction price using the relative selling price basis. The Company recognizes performance obligations based on their nature. Significant payment terms The Company’s revenue arrangements may include payments to the Company of one or more of the following: a non-refundable, upfront payment; milestone payments; and royalties on commercial sales of IP product candidates, if any. To date, the Company has received upfront payments and several milestone payments but has not received any license or option fees or earned royalty revenue as a result of product sales. The Company estimates the amount of consideration to which it will be entitled in exchange for satisfying performance obligations. Based on the Company’s current contracts, variable consideration primarily exists in the following forms: development and regulatory milestones, royalties and sales-based milestones. The Company utilizes the “most likely amount” variable consideration method for estimating development and regulatory milestone consideration to include in the transaction price. The Company only includes an amount of variable consideration in the transaction price to the extent it is probable that a significant reversal in the cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved. The Company refers to this as the variable consideration constraint. Due to the uncertainty associated with the occurrence of any underlying events which would trigger development and regulatory milestone consideration under its revenue arrangements, with the exception of certain initial conditions precedent milestones, the Company has concluded the variable consideration associated with all development and regulatory milestones to be fully constrained as of June 30, 2022, and therefore has not included such consideration in the transaction price for any of its revenue arrangements. The Company will reassess this conclusion at each subsequent reporting period and will only include amounts associated with regulatory or development milestones in the transaction price when, or if, the variable consideration is determined to be released from the constraint. The Company adjusts the transaction price for the effects of the time value of money if the timing of payments agreed to by the parties to the contract, explicitly or implicitly, provides the Company or its customer with a significant benefit of financing the transfer of goods or services. In relation to the royalties from the sale of Eniluracil to Elion (described under “Revenue arrangements” below), the Company concluded that its licensing and collaboration arrangements do not contain a significant financing component because the payment structure of its agreements arise from reasons other than providing a significant benefit of financing. Contract assets The Company did not have any contract assets as of June 30, 2022 or December 31, 2021. Contract liabilities The Company did not have any contract liabilities as of June 30, 2022 or December 31, 2021. Revenue arrangements Elion In May 2016, the Company sold its rights in the drug Eniluracil to Elion Oncology, LLC (“Elion”). The agreement called for $40 in cash and 5% royalties to be paid to Fennec for any income derived from the sale of Eniluracil. The agreement was for the sale (not the license) of IP. In addition, the agreement did not call for any additional good or service beyond the transfer of IP and related assets (e.g. “all information and know-how”, documentation, etc.). In August 2020, Elion entered into a license agreement with Processa Pharmaceuticals, Inc. (“Processa”). The license agreement called for equity and cash upon satisfying the Condition Precedent, along with development and regulatory milestone payments, sales milestone payments, and product royalties. The grant of the license was conditioned upon the “Condition Precedent” which was defined as (i) Processa’s closing of a public offering by October 30, 2020 in which Processa raised at least $15,000 and (ii) Processa’s shares being listed on NASDAQ. Upon satisfying the Condition Precedent, which occurred in October 2020, Elion was entitled to receive $100 in cash and 825 in shares of Processa of which the Company is entitled to 5%. As a result, in January 2021, the Company received $5 in cash and 41 restricted shares of Processa common shares. The agreement between Elion and Processa entitles Elion to the payments outlined in the table below. Fennec would be eligible to receive 5% of the following based on future milestone events: ​ ​ ​ ​ ​ Milestone Event Milestone Payment 1st Year Anniversary of Effective Date ​ 100 Restricted Shares 2nd Year Anniversary of Effective Date ​ 100 Restricted Shares 1st Patient in Dose Confirmation Study ​ 100 Restricted Shares NDA Submission ​ 300 Restricted Shares 1st FDA Approval in US ​ $ 5,000 2nd FDA Approval in US ​ $ 3,000 1st Regulatory Approval Outside US ​ $ 2,000 2nd Regulatory Approval Outside US ​ $ 2,000 ​ Since the Condition Precedent was achieved, and only the passage of time must occur in order for the 1 st nd st nd The arrangement with Elion contains consideration that is variable based on the Processa’s achievement of the above referenced development and regulatory milestones. The next milestone payment the Company may be entitled to receive is 5 restricted shares for 1 st The Company recognized $200 in revenue associated with the aforementioned cash and shares it became entitled to for the year ended December 31, 2020. Due to the one year lockup provision on the Processa shares, the Company deemed it reasonable to apply a liquidity discount of 20% to the valuation of the shares associated with the achievement of the Condition Precedent. Shares associated with the one- and two-year anniversary milestones had a 30% and 40% liquidity discount applied to their fair market valuations. Recognizing the passage of time, the Company adjusted its liquidity discount to the original shares of 0% and then 0% and 20% for the one- and two-year anniversary tranches. Subsequent changes to the fair value of the underlying securities are recognized as unrealized gains or losses on marketable equity securities within the condensed consolidated statements of operations. During the quarter ended June 30, 2022, the Company reported $8 in unrealized loss on the fair value of the underlying Processa shares. Net loss over the life of the Processa shares was $25 at June 30, 2022.

Loss per Share

Loss per Share	6 Months Ended
	Jun. 30, 2022
Loss per Share
Loss per Share	3. Loss per Share Earnings per common share is presented under two formats: basic earnings per common share and diluted earnings per common share. Basic earnings per common share is computed by dividing net income attributable to common shareholders by the weighted average number of common shares outstanding during the period. Diluted earnings per common share is computed by dividing net income by the weighted average number of common shares outstanding during the period, plus the potentially dilutive impact of common stock equivalents (i.e. stock options and warrants). Dilutive common share equivalents consist of the incremental common shares issuable upon exercise of stock options and warrants. The following table sets forth the computation of basic and diluted net loss per share: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended June 30, ​ Six Months Ended June 30, ​ ​ 2022 2021 2022 2021 Numerator: ​ ​ ​ ​ ​ ​ ​ ​ ​ Net loss ​ $ (5,072) ​ $ (4,001) ​ $ (8,768) ​ $ (8,734) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Denominator: ​ ​ ​ ​ ​ Weighted-average common shares, basic ​ 26,052 ​ 26,003 ​ 26,067 ​ 26,003 ​ Dilutive effect of stock options ​ — ​ — ​ — ​ — ​ Dilutive effect of warrants ​ — ​ — ​ — ​ — ​ Incremental dilutive shares ​ — ​ — ​ — ​ — ​ Weighted-average common shares, diluted ​ 26,052 ​ 26,003 ​ 26,067 ​ 26,003 ​ Net loss per share, basic and diluted ​ $ (0.19) ​ $ (0.15) ​ $ (0.34) ​ $ (0.34) ​ ​ The following outstanding options and warrants were excluded from the computation of basic and diluted net loss per share for the periods presented because including them would have had an anti-dilutive effect: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended June 30, ​ Six Months Ended June 30, ​ ​ 2022 2021 2022 2021 Options to purchase common shares 4,337 3,653 4,337 3,653 Warrants to purchase common shares 39 39 39 39 ​

Stockholders' Equity

Stockholders' Equity	6 Months Ended
	Jun. 30, 2022
Stockholders' Equity
Stockholders' Equity	4. Stockholders’ Equity Authorized capital stock The Company’s authorized capital stock consists of an unlimited number of common shares, no par value per share. Warrants to Purchase Common Stock During the three and six months ended June 30, 2022, there were no warrants issued or exercised. Outstanding warrants have a weighted average life of 6.60 years on June 30, 2022. The following tables detail the Company’s warrant activity for the three and six months ended June 30, 2022: ​ ​ ​ ​ ​ ​ ​ ​ Common Shares ​ ​ ​ ​ Issuable Upon Exercise ​ ​ ​ ​ ​ of Outstanding ​ Weighted-Average Investor Warrants ​ Warrants ​ Exercise Price $USD Outstanding December 31, 2021 39 ​ $ 6.80 Issued ​ — ​ ​ — Outstanding June 30, 2022 ​ 39 ​ ​ 6.80 Issued ​ — ​ ​ — Outstanding June 30, 2022 ​ 39 ​ $ 6.80 ​ Equity Incentive Plan The Compensation Committee of the Board of Directors administers the Company’s equity incentive plan (the “Plan”). The Compensation Committee designates eligible participants to be included under the Plan and approves the number of equity instruments to be granted from time to time under the Plan. Currently, the maximum number of equity instruments issuable under the Plan, together with the Company’s prior stock option plan, is twenty-five percent (25%) of the total number of issued and outstanding common shares. Based upon the current shares outstanding, a maximum of 6,517 shares of common stock are authorized for issuance pursuant to stock options or other equity awards granted under the Plan. For all options issued under the Plan, the exercise price is the fair value of the underlying shares on the date of grant. All options vest within three years or less and are exercisable for a period of ten years from the date of grant. The Plan allows the issuance of Canadian and U.S. dollar grants. The table below outlines recognized contractor and employee expense from equity awards for the three and six month period ended June 30, 2022 and 2021. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended June 30, ​ Six Months Ended June 30, ​ 2022 2021 2022 2021 Contractor options expense recognized ​ $ 35 ​ $ — ​ $ 69 ​ $ 9 Employee options expense recognized ​ 1,008 ​ 1,326 ​ 1,407 ​ 1,913 Total option expense recognized ​ $ 1,043 ​ $ 1,326 ​ $ 1,476 ​ $ 1,922 ​ Stock Option Activity The following is a summary of option activity for the three and six months ended June 30, 2022, for stock options denominated in U.S. dollars. Since August of 2020, there have been no Canadian denominated options outstanding. ​ ​ ​ ​ ​ ​ ​ ​ ​ Number of ​ Weighted-Average US Denominated Options ​ Options (thousands) Exercise Price $USD Outstanding at December 31, 2021 4,259 ​ $ 5.13 Granted 200 ​ 5.64 Exercised (26) ​ 0.58 Forfeited ​ (382) ​ ​ 6.13 Outstanding at March 31, 2022 ​ 4,051 ​ ​ 5.34 Granted ​ 305 ​ ​ 5.71 Exercised ​ (19) ​ ​ 2.38 Outstanding at June 30, 2022 4,337 ​ $ 5.14 ​ During the three and six month periods ended June 30, 2022, there were 305 and 505 options granted, respectively. During the three and six month periods ended June 30, 2022, there were 26 and 45 exercises of options, respectively. This resulted in a cash inflow of $46 and $61, respectively. Of the 4,337 U.S. denominated options granted and outstanding at June 30, 2022, 3,050 are fully vested and exercisable. The value of options issued was estimated using the Black-Scholes option pricing model using the assumptions in the table below. The expected volatility was determined using historical volatility of our stock based on the expected term of the award. ​ ​ ​ ​ ​ ​ Valuation Assumptions Black-Scholes Model Assumptions ​ June 30, 2022 Expected dividend 0.00% Risk free rate 2.99 - 3.65% Expected volatility ​ 69 - 73% Expected life ​ 5 - 6 years ​ Restricted Share Units Activity ​ The Plan allows for the issuance of restricted share units (“RSU’s”). The following is a summary of RSU activity for the three and six months ended June 30, 2022, for RSU’s denominated in U.S. dollars. During the quarter ended June 30, 2022, there were 8 RSU’s released from restriction. During the six months ended June 30, 2022, there were 88 RSU’s forfeited by departing employees. All RSU’s vest over one ​ ​ ​ ​ ​ ​ Number of Restricted US Denominated RSUs ​ Share Units (thousands) Outstanding at December 31, 2021 219 Awarded ​ — Forfeited (88) Outstanding at March 31, 2022 ​ 131 Awarded ​ — Released ​ (8) Outstanding at June 30, 2022 ​ 123 ​ The value of RSU’s issued was estimated using the share price on the date of the award multiplied by the number of shares granted.

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jun. 30, 2022
Fair Value Measurements
Fair Value Measurements	5. Fair Value Measurements The Company has adopted ASC 820 the Fair Value Measurements and Disclosure Topic of the FASB. This Topic applies to certain assets and liabilities that are being measured and reported on a fair value basis. The Fair Value Measurements Topic defines fair value, establishes a framework for measuring fair value in accordance with U.S. GAAP, and expands disclosure about fair value measurements. This Topic enables the reader of the financial statements to assess the inputs used to develop those measurements by establishing a hierarchy for ranking the quality and reliability of the information used to determine fair values. The Topic requires that financial assets and liabilities carried at fair value be classified and disclosed in one of the following three categories: ​ Level 1: Quoted market prices in active markets for identical assets or liabilities. Level 2: Observable market-based inputs or unobservable inputs that are corroborated by market data. Level 3: Unobservable inputs that are not corroborated by market data. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Fair Value Measurement at June 30, 2022 and December 31, 2021 ​ ​ ​ ​ ​ ​ (in thousands) ​ ​ ​ ​ ​ Quoted Price in Active ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Market for Identical ​ Significant Other ​ Significant ​ ​ ​ ​ ​ ​ Instruments ​ Observable Inputs ​ Unobservable Inputs ​ ​ ​ ​ ​ ​ Level 1 ​ Level 2 ​ Level 3 ​ Total ​ 2022 2021 2022 2021 2022 2021 2022 2021 Assets ​ ​ ​ ​ ​ ​ ​ ​ Cash and cash equivalents ​ 278 (1) 82 (1) 14,637 ​ 21,018 ​ — ​ — ​ 14,915 ​ 21,100 Processa common shares — — 148 (2) 240 (2) — — 148 240 ​ (1) The Company held approximately $278 in cash as of June 30, 2022, of which approximately $37 was in Canadian funds (translated into U.S. dollars). As of December 31, 2021, the Company held approximately $82 in cash of which approximately $34 was in Canadian funds (translated into U.S. dollars). (2) The Company holds 46 unrestricted common shares of Processa (NASDAQ:PCSA). The Company expects to receive another 5 restricted common shares of Processa on October 20, 2022 which will become unrestricted one year after receipt. At October 30, 2020, Processa shares were trading at $4.11 per share. The Company originally applied a 20%, 30% and 40% liquidity discount to the shares and will mark to market at each balance sheet date. The Company will also adjust the liquidity discounts being applied to the share valuation to appropriately reflect the passage of time and the existence of any restrictions on the shares. Valuation of the shares at June 30, 2022 had a 0%, 0% and 20% liquidity discount applied to the 41, 5 and 5 share tranches, respectively.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2022
Commitments and Contingencies
Commitments and Contingencies	6. Commitments and Contingencies Oregon Health & Science University Agreement On February 20, 2013, Fennec entered into an exclusive license agreement with Oregon Health & Science University (“OHSU”) for exclusive worldwide license rights to intellectual property directed to thiol-based compounds, including PEDMARK TM On May 18, 2015, Fennec negotiated an amendment (“Amendment 1”) to the OHSU Agreement, which expands Fennec’s exclusive license to include the use of N-acetylcysteine as a standalone therapy and/or in combination with sodium thiosulfate for the prevention of ototoxicity induced by chemotherapeutic agents to treat cancers. Further, Amendment 1 adjusts select milestone payments in the OHSU Agreement including but not limited to the royalty rate on net sales for licensed products, royalty rate from sublicensing of the licensed technology and the fee payable upon the regulatory approval of a licensed product. The term of the OHSU Agreement as amended by Amendment 1 expires on the date of the last to expire claim(s) covered in the patents licensed to Fennec or 8 years, whichever is later. In the event a licensed product obtains regulatory approval and is covered by the Orphan Drug Designation, the parties will in good faith amend the term of the agreement. Sodium thiosulfate is currently protected by methods of use patents that the Company exclusively licensed from OHSU that expire in the United States in 2038. The OHSU Agreement is terminable by either Fennec or OHSU in the event of a material breach of the agreement by either party after 45 days prior written notice. Fennec also has the right to terminate the OHSU Agreement at any time upon 60 days prior written notice and payment of all fees due to OHSU under the OHSU Agreement. Securities Class Action Suit Chapman v. Fennec Pharmaceuticals Inc. et al. On September 3, 2020, plaintiff Jim Chapman filed a putative federal securities class action lawsuit against the Company, our Chief Executive Officer, Rostislav Raykov, and Chief Financial Officer, Robert Andrade, in the United States District Court for the Middle District of North Carolina, captioned Chapman v. Fennec Pharmaceuticals Inc. et al TM TM TM On March 3, 2021, defendants filed a motion to dismiss the amended complaint. On April 2, 2021, plaintiff filed an opposition to the motion to dismiss. On April 16, 2021, defendants filed a reply in support of the motion to dismiss, and on December 16, 2021, the Magistrate Judge entered an order recommending that defendants’ motion to dismiss be granted in its entirety. On January 24, 2022, plaintiff filed objections to the Magistrate Judge’s recommendation, and defendants filed their response on February 3, 2022. On March 2, 2022, the U.S. District Court Judge adopted the Magistrate Judge’s order and recommendation and entered an order and judgment dismissing the amended complaint with prejudice. On March 30, 2022, plaintiff filed a motion for post judgment relief, seeking leave to file a second amended complaint. In his proposed second amended complaint, plaintiff seeks to add allegations stemming from the receipt of a second CRL following our resubmission of our NDA for PEDMARK TM things. Defendants filed an opposition to plaintiff’s motion for post judgment relief on April 20, 2022. On May 4, 2022, lead plaintiff submitted a reply in support of his motion. We believe that this lawsuit is without merit and intend to defend it vigorously. We cannot predict the outcome of this lawsuit. Failure by us to obtain a favorable resolution of the lawsuit could have a material adverse effect on our business, results of operations, and financial condition. We have not recorded a liability as of June 30, 2022, because we believe a potential loss is not probable or reasonably estimable given the nature of the proceedings and our success so far by obtaining a dismissal with prejudice of the amended complaint. Fisher v. Fennec Pharmaceuticals Inc. et al. On February 9, 2022, plaintiff Jeffrey D. Fisher filed a putative federal securities class action lawsuit against the Company and our CEO and CFO in the United States District Court for the Middle District of North Carolina, captioned Fisher v. Fennec Pharmaceuticals Inc. et al. TM TM TM On June 23, 2022, the lead plaintiff filed an amended complaint. The amended complaint asserts the same putative class period from May 28, 2021 through November 28, 2021, is brought against the same defendants, makes allegations similar to those in the original complaint. On August 7, 2022, defendants filed a motion to dismiss the amended complaint. We believe that the lawsuit is without merit and intend to defend it vigorously. We cannot predict the outcome of this lawsuit. Failure by us to obtain a favorable resolution of the lawsuit could have a material adverse effect on our business, results of operations, and financial condition. Hope Medical Enterprises, Inc. On October 29, 2021, Hope Medical Enterprises, Inc. (“Hope”) filed two petitions for inter partes review (“IPR”) with the Patent Trial and Appeal Board (“PTAB”) of the USPTO. In its petitions, Hope seeks to invalidate our U.S. Patent No. 10,596,190 (“US ‘190”), which is exclusively in-licensed from OHSU and relates to a method of using our PEDMARK™ product, and our U.S. Patent No. 10,792,363 (“US ’363”), which relates to an anhydrous form of STS, which is the active pharmaceutical ingredient in our PEDMARK™ product. US ‘190 was issued on March 24, 2020. US ‘363 was issued on October 6, 2020. On January 11, 2022, OHSU filed a Request for Supplemental Examination of US ‘190 requesting the consideration by the Central Re-examination Unit (“CRU”) of the USPTO of certain prior art references, including references cited by Hope in its Petition for IPR that are relevant to the granted claim of the patent. On January 28, 2022, the CRU found that the cited references constitute a substantial new question of patentability and ordered an ex parte reexamination of the single US ‘190 claim of pursuant to 35 U.S.C. § 257. On March 11, 2022, the CRU issued a substantive Office Action. We filed a preliminary response to Hope’s Request for IPR of the ‘190 Patent in February 2022, requesting that the ‘190 IPR be denied on the basis that the CRU is already reviewing the relevant issues in the Supplemental Examination Proceeding and is further advanced than PTAB in its consideration. On May 9, the PTAB granted Hope Medical’s Petition to Institute the IPR against the ‘190 patent and patent. In February and April 2022, the USPTO issued Notices of Allowance to Fennec for two additional patents that cover the PEDMARK TM TM We plan to vigorously defend our intellectual property rights related to PEDMARK™. However, we are unable to predict the outcome of Hope’s IPR petitions, or the Supplemental Examination, and an invalidation of one or both of the ‘190 and ‘363 patents may have a material adverse effect on our ability to protect our rights in PEDMARK™ beyond periods of marketing exclusivity for PEDMARK TM TM Executive Severance In the event of his termination with us other than for cause, we will be obligated to pay Mr. Raykov a one-time severance payment equal to twelve months of salary ($458 as of June 30, 2022). In the event of his termination with us other than for cause, we will be obligated to pay Mr. Andrade a one-time severance payment equal to six months of salary ($166 as of June 30, 2022). Leases We have an operating lease in Research Triangle Park, North Carolina utilizing small space within a commercial building. The operating lease has payments of $0.4 per month with no scheduled increases. This operating lease is terminable with 30 days’ notice and has no penalties or contingent payments due. On January 23, 2020, the Company entered into an Office Service Agreement (the “Office Service Agreement”) with Regus to lease office space at in Hoboken, New Jersey. Per the terms of the Office Service Agreement, the monthly rent payments are $1. The Company was required to pay a security deposit of $2, which is the equivalent to two months of rent. The Office Service Agreement commenced on January 27, 2020, and terminates on July 31, 2020, thereafter the lease may continue on a month-to-month basis with either party being able to terminate the agreement by providing one months’ advance written notice of termination. COVID-19 Our operations may be affected by the ongoing COVID-19 pandemic. The ultimate disruption that may be caused by the outbreak is uncertain; however, it may result in a material adverse impact on our financial position, operations and cash flows. Possible effects may include, but are not limited to, disruption to our product launch which includes the ability of sales reps to communicate with oncologists, absenteeism in our labor workforce, unavailability of products and supplies used in operations, and a decline in value of our assets, including inventories, property and equipment, and marketable securities. COVID-19 has not had a material effect on our operations to date as we have historically had a workforce which works remotely, preparations for product launch have been under the assumption of a virtual launch, and product supplies have not been impacted.

Term Loans

Term Loans	6 Months Ended
	Jun. 30, 2022
Term Loans
Term Loans	7. Term Loans On June 24, 2021, the Company announced it had negotiated a second amendment to the Bridge Bank Loan and Security Agreement with Bridge Bank. This amendment provides Fennec with a $20,000 debt facility comprised of three term loans. Term Loan A consists of $5,000, which was funded upon closing. Term Loan B consists of $7,500 to be funded upon NDA approval of PEDMARK TM provided that Term Loan C is funded, and certain conditions are met. The Company intends to use the proceeds from the loans to provide working capital for commercial readiness activities prior to NDA approval as well as commercialization activities for PEDMARK TM On June 24, 2021, the Company drew $5,000 from Term Loan A. Term Loan A matures on July 1, 2025. Payments are for interest only through December 31, 2022. The Company shall make equal monthly payments of principal, together with applicable interest, following the interest only period until the maturity date. Interest shall accrue on the outstanding balance at a rate of 1% above prime as published by the Wall Street Journal on the first day of each month (5.75% at June 30, 2022). The Company is obligated to maintain a cash balance greater or equal to three times its monthly cash burn as calculated on the last date of the immediately preceding month. If Company fails to maintain the aforementioned cash balance, the bank can call the full amount of loan outstanding. Collateral for Term Loan A, B and C shall not include any copyrights, patents, trademarks, servicemarks and applications therefor, now owned or hereafter acquired, or any claims for damages by way of any past, present, and future infringement of any of the foregoing (collectively, the “Intellectual Property”); provided, however, that the Collateral shall include all accounts and general intangibles that consist of rights to payment and proceeds from the sale, licensing or disposition of all or any part, or rights in the foregoing (the “Rights to Payment”). Notwithstanding the foregoing, if a judicial authority (including a U.S. Bankruptcy Court) holds that a security interest in the underlying Intellectual Property is necessary to have a security interest in the Rights to Payment, then the Collateral shall automatically, and effective as of the Effective Date, include the Intellectual Property to the extent necessary to permit perfection of Bridge Bank’s security interest in the Rights to Payment. Aggregate annual payments due on Term Loan A as of June 30, 2022 are as follows (in thousands): ​ ​ ​ ​ Years Ending December 31, ​ Amount 2022 $ — 2023 ​ 2,000 2024 ​ 2,000 2025 ​ ​ 1,000 Total future payments ​ ​ 5,000 Less: unamortized debt discount ​ ​ (10) Total term loan, net of debt discount ​ $ 4,990 ​ In the event of default or change of control, all unpaid principal and all accrued and unpaid interest amounts (if any) become immediately due and payable including the prepayment fee. Events of default include, but are not limited to, a payment default, failure to achieve Approval Event before September 30, 2022, a material adverse change, and insolvency. The Bridge Bank facility is secured by all of the Company’s assets, including all capital stock held by the Company. Debt issuance costs amounting to $55 securing access to Term Loans A, B and C were paid in cash to Bridge Bank on June 24, 2021. This amount was capitalized and is being amortized over the access period of the Term Loans. Upon drawing Term Loan A, the Company recorded a debt discount of $14, which was based on a pro-rata allocation of the issue costs to Loan A, reducing the capitalized amount by the same amount. The debt discount is being amortized over the life of Term Loan A.

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2022
Subsequent Events
Subsequent Events	8. Subsequent Events On August 1, 2022, Fennec entered into a Securities Purchase Agreement (the “SPA”) with Petrichor (the “Investor”) in connection with the issuance of up to $45,000 of senior secured floating rate convertible notes (the “Notes”), issuable in multiple tranches. Upon certain closing conditions being satisfied, an initial tranche of $5,000 (the “First Closing Note”) will be issued and convertible at a price per share equal to the Initial Conversion Price equal to $8.11 per share, a 20% premium of the 5-day volume weighted average price (the “VWAP”) of the Company’s common shares as traded on the Nasdaq Capital Market immediately prior announcement of the SPA. A second tranche (the “Second Closing Notes”) of $20,000 is to be funded upon the approval of the United States Food and Drug Administration of the Company’s PEDMARK and satisfaction of other closing conditions. Subsequent to the funding of the Second Closing Note, and before December 31, 2023, the Company may draw up to $20,000 of additional financing under the SPA, in one or more tranches of $10,000 upon mutual agreement of the Company and the Investor (the “Subsequent Closing Notes”). Each of the Second and Subsequent Closing Notes will be convertible at a price per share equal to a 20% premium 5 -day A commitment fee of 2.0% of the Notes is payable under the SPA. Half half

Significant Accounting Polici_2

Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2022
Significant Accounting Policies
Basis of presentation	Basis of presentation The accompanying unaudited interim condensed consolidated financial statements have been prepared in accordance with U.S. GAAP and are the responsibility of the Company’s management. These unaudited interim condensed consolidated financial statements do not include all of the information and notes required by U.S. GAAP for annual financial statements. Accordingly, these unaudited interim condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and notes filed with the Securities and Exchange Commission (“SEC”) in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021. The Company’s accounting policies are consistent with those presented in the audited consolidated financial statements included in the Annual Report on Form 10-K for the year ended December 31, 2021. These unaudited interim condensed consolidated financial statements have been prepared in U.S. dollars. All amounts presented are in thousands except for per share amounts. The results of operations for the three and six monthsended June 30. 2022 are not necessarily indicative of results to be expected for the full fiscal year.
Use of estimates	Use of estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that impact the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the interim condensed consolidated financial statements and the reported amounts of expense during the reporting period. Actual results could differ from those estimates. In the opinion of management, these unaudited interim condensed consolidated financial statements include all adjustments, which are normal and recurring in nature, necessary for the fair presentation of the Company’s financial position at June 30, 2022 and to state fairly the results for the periods presented. The most significant estimates utilized during the three and six months ended June 30, 2022 include estimates necessary to value grants of various equity instruments to employees and contractors, as disclosed in Note 4.
New accounting pronouncements	New accounting pronouncements The Company did not adopt any new accounting pronouncements during the quarter ended June 30, 2022.
Cash and Cash Equivalents	Cash and cash equivalents Cash equivalents consist of highly liquid investments with original maturities at the date of purchase of three months or less. The Company places its cash and cash equivalents in investments held by highly rated financial institutions in accordance with its investment policy designed to protect the principal investment. At June 30, 2022, the Company had $14,915 in cash, savings and money market accounts ($21,100 at December 31, 2021). At June 30, 2022, the Company held $278 in cash of which $37 (as presented in U.S. dollars) was in Canadian dollars ($34 at December 31, 2021 as presented in U.S. dollars). At June 30, 2022, the Company held $14,637 in money market investments. Money market investments typically have minimal risks. While the Company has not experienced any loss or write-down of its money market investments, the amounts it holds in money market accounts are substantially above the $250 amount insured by the FDIC and may lose value.
Financial instruments	Financial instruments Financial instruments recognized on the balance sheets at June 30, 2022 and December 31, 2021 consist of cash and cash equivalents, shares of Processa Pharmaceuticals, Inc., accounts payable, accrued liabilities and current portion of long-term debt, the carrying values of which approximate fair value due to their relatively short time to maturity. The Company does not hold or issue financial instruments for trading. The Company’s investment policy is to manage investments to achieve, in the order of importance, the financial objectives of preservation of principal, liquidity and return on investment. Investments, when made, are made in U.S. or Canadian bank securities, commercial paper of U.S. or Canadian industrial companies, utilities, financial institutions and consumer loan companies, and securities of foreign banks provided the obligations are guaranteed or carry ratings appropriate to the policy. Securities must have a minimum Dun & Bradstreet rating of A for bonds or R1 low for commercial paper. The policy risks are primarily the opportunity cost of the conservative nature of the allowable investments. As the main purpose of the Company is research and development, the Company has chosen to avoid investments of a trading or speculative nature.
Revenue	Revenue The Company’s nominal historical revenue has been generated through sales of its intellectual property (“IP”). For the periods presented, there is no revenue. For periods when the Company has generated its revenue through one segment and the revenue recognized under each of the Company’s arrangements during those periods is described below. The terms of these agreements may contain multiple promised goods or services or optional goods and services, including licenses to product candidates, referred to as exclusive licenses, as well as research and development activities to be performed by the Company on behalf of the collaboration partner related to the licensed product candidates. Revenue recognition Revenue is recognized when control of the promised goods or services are transferred to customers in an amount that reflects the consideration the Company expects to be entitled to in exchange for transferring those goods or providing services. The Company accounts for a contract when it has approval and commitment from both parties, the rights of the parties are identified, payment terms are identified, the contract has commercial substance and collectability of consideration is probable. When determining whether the customer has obtained control of the goods or services, the Company considers the point at which the customer may benefit from the goods or services. For sale of IP, revenue is recognized upon grant or transfer of the IP, as the Company’s IP is considered functional in nature. Performance obligations A performance obligation is a promise in a contract to transfer a distinct good or service to the customer and is the unit of account. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied. The Company’s contracts may contain multiple performance obligations if a promise to transfer goods or services is separately identifiable from other promises in a contract and, therefore, is considered distinct. For contracts with multiple performance obligations, the Company determines the standalone selling price of each performance obligation and allocates the total transaction price using the relative selling price basis. The Company recognizes performance obligations based on their nature. Significant payment terms The Company’s revenue arrangements may include payments to the Company of one or more of the following: a non-refundable, upfront payment; milestone payments; and royalties on commercial sales of IP product candidates, if any. To date, the Company has received upfront payments and several milestone payments but has not received any license or option fees or earned royalty revenue as a result of product sales. The Company estimates the amount of consideration to which it will be entitled in exchange for satisfying performance obligations. Based on the Company’s current contracts, variable consideration primarily exists in the following forms: development and regulatory milestones, royalties and sales-based milestones. The Company utilizes the “most likely amount” variable consideration method for estimating development and regulatory milestone consideration to include in the transaction price. The Company only includes an amount of variable consideration in the transaction price to the extent it is probable that a significant reversal in the cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved. The Company refers to this as the variable consideration constraint. Due to the uncertainty associated with the occurrence of any underlying events which would trigger development and regulatory milestone consideration under its revenue arrangements, with the exception of certain initial conditions precedent milestones, the Company has concluded the variable consideration associated with all development and regulatory milestones to be fully constrained as of June 30, 2022, and therefore has not included such consideration in the transaction price for any of its revenue arrangements. The Company will reassess this conclusion at each subsequent reporting period and will only include amounts associated with regulatory or development milestones in the transaction price when, or if, the variable consideration is determined to be released from the constraint. The Company adjusts the transaction price for the effects of the time value of money if the timing of payments agreed to by the parties to the contract, explicitly or implicitly, provides the Company or its customer with a significant benefit of financing the transfer of goods or services. In relation to the royalties from the sale of Eniluracil to Elion (described under “Revenue arrangements” below), the Company concluded that its licensing and collaboration arrangements do not contain a significant financing component because the payment structure of its agreements arise from reasons other than providing a significant benefit of financing. Contract assets The Company did not have any contract assets as of June 30, 2022 or December 31, 2021. Contract liabilities The Company did not have any contract liabilities as of June 30, 2022 or December 31, 2021. Revenue arrangements Elion In May 2016, the Company sold its rights in the drug Eniluracil to Elion Oncology, LLC (“Elion”). The agreement called for $40 in cash and 5% royalties to be paid to Fennec for any income derived from the sale of Eniluracil. The agreement was for the sale (not the license) of IP. In addition, the agreement did not call for any additional good or service beyond the transfer of IP and related assets (e.g. “all information and know-how”, documentation, etc.). In August 2020, Elion entered into a license agreement with Processa Pharmaceuticals, Inc. (“Processa”). The license agreement called for equity and cash upon satisfying the Condition Precedent, along with development and regulatory milestone payments, sales milestone payments, and product royalties. The grant of the license was conditioned upon the “Condition Precedent” which was defined as (i) Processa’s closing of a public offering by October 30, 2020 in which Processa raised at least $15,000 and (ii) Processa’s shares being listed on NASDAQ. Upon satisfying the Condition Precedent, which occurred in October 2020, Elion was entitled to receive $100 in cash and 825 in shares of Processa of which the Company is entitled to 5%. As a result, in January 2021, the Company received $5 in cash and 41 restricted shares of Processa common shares. The agreement between Elion and Processa entitles Elion to the payments outlined in the table below. Fennec would be eligible to receive 5% of the following based on future milestone events: ​ ​ ​ ​ ​ Milestone Event Milestone Payment 1st Year Anniversary of Effective Date ​ 100 Restricted Shares 2nd Year Anniversary of Effective Date ​ 100 Restricted Shares 1st Patient in Dose Confirmation Study ​ 100 Restricted Shares NDA Submission ​ 300 Restricted Shares 1st FDA Approval in US ​ $ 5,000 2nd FDA Approval in US ​ $ 3,000 1st Regulatory Approval Outside US ​ $ 2,000 2nd Regulatory Approval Outside US ​ $ 2,000 ​ Since the Condition Precedent was achieved, and only the passage of time must occur in order for the 1 st nd st nd The arrangement with Elion contains consideration that is variable based on the Processa’s achievement of the above referenced development and regulatory milestones. The next milestone payment the Company may be entitled to receive is 5 restricted shares for 1 st The Company recognized $200 in revenue associated with the aforementioned cash and shares it became entitled to for the year ended December 31, 2020. Due to the one year lockup provision on the Processa shares, the Company deemed it reasonable to apply a liquidity discount of 20% to the valuation of the shares associated with the achievement of the Condition Precedent. Shares associated with the one- and two-year anniversary milestones had a 30% and 40% liquidity discount applied to their fair market valuations. Recognizing the passage of time, the Company adjusted its liquidity discount to the original shares of 0% and then 0% and 20% for the one- and two-year anniversary tranches. Subsequent changes to the fair value of the underlying securities are recognized as unrealized gains or losses on marketable equity securities within the condensed consolidated statements of operations. During the quarter ended June 30, 2022, the Company reported $8 in unrealized loss on the fair value of the underlying Processa shares. Net loss over the life of the Processa shares was $25 at June 30, 2022.

Significant Accounting Polici_3

Significant Accounting Policies (Tables)	6 Months Ended
	Jun. 30, 2022
Significant Accounting Policies
Schedule of future milestone payments	​ ​ ​ ​ ​ Milestone Event Milestone Payment 1st Year Anniversary of Effective Date ​ 100 Restricted Shares 2nd Year Anniversary of Effective Date ​ 100 Restricted Shares 1st Patient in Dose Confirmation Study ​ 100 Restricted Shares NDA Submission ​ 300 Restricted Shares 1st FDA Approval in US ​ $ 5,000 2nd FDA Approval in US ​ $ 3,000 1st Regulatory Approval Outside US ​ $ 2,000 2nd Regulatory Approval Outside US ​ $ 2,000

Loss per Share (Tables)

Loss per Share (Tables)	6 Months Ended
	Jun. 30, 2022
Loss per Share
Schedule of Earnings Per Share, Basic and Diluted	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended June 30, ​ Six Months Ended June 30, ​ ​ 2022 2021 2022 2021 Numerator: ​ ​ ​ ​ ​ ​ ​ ​ ​ Net loss ​ $ (5,072) ​ $ (4,001) ​ $ (8,768) ​ $ (8,734) ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Denominator: ​ ​ ​ ​ ​ Weighted-average common shares, basic ​ 26,052 ​ 26,003 ​ 26,067 ​ 26,003 ​ Dilutive effect of stock options ​ — ​ — ​ — ​ — ​ Dilutive effect of warrants ​ — ​ — ​ — ​ — ​ Incremental dilutive shares ​ — ​ — ​ — ​ — ​ Weighted-average common shares, diluted ​ 26,052 ​ 26,003 ​ 26,067 ​ 26,003 ​ Net loss per share, basic and diluted ​ $ (0.19) ​ $ (0.15) ​ $ (0.34) ​ $ (0.34) ​
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share	The following outstanding options and warrants were excluded from the computation of basic and diluted net loss per share for the periods presented because including them would have had an anti-dilutive effect: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended June 30, ​ Six Months Ended June 30, ​ ​ 2022 2021 2022 2021 Options to purchase common shares 4,337 3,653 4,337 3,653 Warrants to purchase common shares 39 39 39 39

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	6 Months Ended
	Jun. 30, 2022
Stockholders' Equity
Schedule of Warrants Outstanding to Purchase Common Stock	​ ​ ​ ​ ​ ​ ​ ​ Common Shares ​ ​ ​ ​ Issuable Upon Exercise ​ ​ ​ ​ ​ of Outstanding ​ Weighted-Average Investor Warrants ​ Warrants ​ Exercise Price $USD Outstanding December 31, 2021 39 ​ $ 6.80 Issued ​ — ​ ​ — Outstanding June 30, 2022 ​ 39 ​ ​ 6.80 Issued ​ — ​ ​ — Outstanding June 30, 2022 ​ 39 ​ $ 6.80
Schedule of Share Based Compensation, Stock Options Expense Recognized	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Three Months Ended June 30, ​ Six Months Ended June 30, ​ 2022 2021 2022 2021 Contractor options expense recognized ​ $ 35 ​ $ — ​ $ 69 ​ $ 9 Employee options expense recognized ​ 1,008 ​ 1,326 ​ 1,407 ​ 1,913 Total option expense recognized ​ $ 1,043 ​ $ 1,326 ​ $ 1,476 ​ $ 1,922
Schedule of Share- Based Compensation Stock Options Activity	The following is a summary of option activity for the three and six months ended June 30, 2022, for stock options denominated in U.S. dollars. Since August of 2020, there have been no Canadian denominated options outstanding. ​ ​ ​ ​ ​ ​ ​ ​ ​ Number of ​ Weighted-Average US Denominated Options ​ Options (thousands) Exercise Price $USD Outstanding at December 31, 2021 4,259 ​ $ 5.13 Granted 200 ​ 5.64 Exercised (26) ​ 0.58 Forfeited ​ (382) ​ ​ 6.13 Outstanding at March 31, 2022 ​ 4,051 ​ ​ 5.34 Granted ​ 305 ​ ​ 5.71 Exercised ​ (19) ​ ​ 2.38 Outstanding at June 30, 2022 4,337 ​ $ 5.14 ​
Fair values of options granted using weighted average assumptions	​ ​ ​ ​ ​ ​ Valuation Assumptions Black-Scholes Model Assumptions ​ June 30, 2022 Expected dividend 0.00% Risk free rate 2.99 - 3.65% Expected volatility ​ 69 - 73% Expected life ​ 5 - 6 years
Schedule of Restricted Share Units Activity	​ ​ ​ ​ ​ ​ Number of Restricted US Denominated RSUs ​ Share Units (thousands) Outstanding at December 31, 2021 219 Awarded ​ — Forfeited (88) Outstanding at March 31, 2022 ​ 131 Awarded ​ — Released ​ (8) Outstanding at June 30, 2022 ​ 123

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 2022
Fair Value Measurements
Schedule of Assets/Liabilities Measured at Fair Value on Recurring Basis	​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Fair Value Measurement at June 30, 2022 and December 31, 2021 ​ ​ ​ ​ ​ ​ (in thousands) ​ ​ ​ ​ ​ Quoted Price in Active ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Market for Identical ​ Significant Other ​ Significant ​ ​ ​ ​ ​ ​ Instruments ​ Observable Inputs ​ Unobservable Inputs ​ ​ ​ ​ ​ ​ Level 1 ​ Level 2 ​ Level 3 ​ Total ​ 2022 2021 2022 2021 2022 2021 2022 2021 Assets ​ ​ ​ ​ ​ ​ ​ ​ Cash and cash equivalents ​ 278 (1) 82 (1) 14,637 ​ 21,018 ​ — ​ — ​ 14,915 ​ 21,100 Processa common shares — — 148 (2) 240 (2) — — 148 240 ​ (1) The Company held approximately $278 in cash as of June 30, 2022, of which approximately $37 was in Canadian funds (translated into U.S. dollars). As of December 31, 2021, the Company held approximately $82 in cash of which approximately $34 was in Canadian funds (translated into U.S. dollars). (2) The Company holds 46 unrestricted common shares of Processa (NASDAQ:PCSA). The Company expects to receive another 5 restricted common shares of Processa on October 20, 2022 which will become unrestricted one year after receipt. At October 30, 2020, Processa shares were trading at $4.11 per share. The Company originally applied a 20%, 30% and 40% liquidity discount to the shares and will mark to market at each balance sheet date. The Company will also adjust the liquidity discounts being applied to the share valuation to appropriately reflect the passage of time and the existence of any restrictions on the shares. Valuation of the shares at June 30, 2022 had a 0%, 0% and 20% liquidity discount applied to the 41, 5 and 5 share tranches, respectively.

Term Loans (Tables)

Term Loans (Tables)	6 Months Ended
	Jun. 30, 2022
Term Loans
Schedule of aggregate annual payments	Aggregate annual payments due on Term Loan A as of June 30, 2022 are as follows (in thousands): ​ ​ ​ ​ Years Ending December 31, ​ Amount 2022 $ — 2023 ​ 2,000 2024 ​ 2,000 2025 ​ ​ 1,000 Total future payments ​ ​ 5,000 Less: unamortized debt discount ​ ​ (10) Total term loan, net of debt discount ​ $ 4,990

Nature of Business and Going _2

Nature of Business and Going Concern - Additional Information (Details) $ / shares in Units, shares in Thousands, $ in Thousands			3 Months Ended		6 Months Ended
	Jun. 24, 2021 USD ($) loan	Feb. 01, 2019 USD ($) $ / shares shares	Jun. 30, 2022 USD ($) subsidiary $ / shares	Jun. 30, 2021 USD ($)	Jun. 30, 2022 USD ($) subsidiary $ / shares	Jun. 30, 2021 USD ($)	Mar. 31, 2022 $ / shares	Dec. 31, 2021 USD ($) $ / shares	Jun. 26, 2020 USD ($)
Going Concern [Line Items]
Number of wholly owned subsidiaries | subsidiary			4		4
Loss from operations			$ (5,009)	$ (3,920)	$ (8,555)	$ (8,843)
Accumulated deficit			(188,254)		(188,254)			$ (179,486)
Cash flows from operating activities			$ (3,390)		$ (6,246)	$ (8,019)
Warrants exercise price | $ / shares			$ 6.80		$ 6.80		$ 6.80	$ 6.80
Bridge Bank Term Loan
Going Concern [Line Items]
Debt amount	$ 20,000
Number of loans | loan	3
Bridge Bank Term Loan | Minimum
Going Concern [Line Items]
Interest only period	18 months
Bridge Bank Term Loan | Maximum
Going Concern [Line Items]
Interest only period	24 months
Term Loan A
Going Concern [Line Items]
Debt amount	$ 5,000
Term Loan B
Going Concern [Line Items]
Debt amount	7,500
Term Loan C
Going Concern [Line Items]
Debt amount	$ 7,500
Revenue achievement trailing period	6 months
Revenue threshold amount for loan to be funded	$ 11,000
Bridge Bank | Loan And Security Agreement | Term Loan A
Going Concern [Line Items]
Line of credit facility, borrowing capacity		$ 12,500							$ 18,000
Warrants issued | shares		39
Warrants exercise price | $ / shares		$ 6.80
Warrants exercise term		10 years

Significant Accounting Polici_4

Significant Accounting Policies - Additional Information (Details) $ / shares in Units, shares in Thousands, $ in Thousands, $ in Thousands	1 Months Ended		3 Months Ended	6 Months Ended	23 Months Ended
	Aug. 31, 2020 USD ($)	May 31, 2016 USD ($)	Jun. 30, 2022 USD ($) $ / shares shares	Jun. 30, 2022 USD ($) $ / shares shares	Jun. 30, 2022 USD ($) $ / shares shares	Jun. 30, 2022 CAD ($) shares	Mar. 31, 2022 $ / shares shares	Dec. 31, 2021 USD ($) $ / shares shares	Dec. 31, 2021 CAD ($) shares
Summary Of Significant Accounting Policies [Line Items]
Money market investments			$ 14,915	$ 14,915	$ 14,915			$ 21,100
Cash			278	278	278	$ 37			$ 34
FDIC insured amount			$ 250	$ 250	$ 250
Warrants exercise price | $ / shares			$ 6.80	$ 6.80	$ 6.80		$ 6.80	$ 6.80
Class of Warrant or Right, Outstanding | shares			39	39	39	39	39	39	39
Percentage of royalties	5%			5%
Unrealized loss on Processa shares			$ 8		$ 25
Money Market Funds
Summary Of Significant Accounting Policies [Line Items]
Money market investments			$ 14,637	$ 14,637	$ 14,637
Elion
Summary Of Significant Accounting Policies [Line Items]
Cash	$ 100
Eniluracil | Elion
Summary Of Significant Accounting Policies [Line Items]
Cash proceeds from sale of Eniluracil		$ 40
Percentage of royalties		5%

Significant Accounting Polici_5

Significant Accounting Policies - Revenue recognition (Details) - USD ($) $ in Thousands	1 Months Ended		6 Months Ended	12 Months Ended
	Jan. 31, 2021	Aug. 31, 2020	Jun. 30, 2022	Dec. 31, 2020
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Percentage of royalties		5%	5%
Revenues				$ 200
Liquidity discount (as a percent)			20%
1st Year Anniversary of Effective Date
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Milestone payment			$ 100
Liquidity discount (as a percent)			30%
2nd Year Anniversary of Effective Date
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Milestone payment			$ 100
Liquidity discount (as a percent)			40%
1st Patient in Dose Confirmation Study
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Milestone payment			$ 100
NDA Submission
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Milestone payment			300
1st FDA Approval in US
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Milestone payment			5,000
2nd FDA Approval in US
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Milestone payment			3,000
1st Regulatory Approval Outside US
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Milestone payment			2,000
2nd Regulatory Approval Outside US
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Milestone payment			2,000
Restricted shares | 1st Patient in Dose Confirmation Study
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Milestone payment			5
Restricted shares | NDA Submission
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Milestone payment			$ 15
Processa Pharmaceuticals, Inc
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Minimum proceeds from public offering		$ 15,000
Shares to be issued under agreement		825,000	46,000
Processa Pharmaceuticals, Inc | Restricted shares
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Upfront payment	$ 5
Processa Pharmaceuticals, Inc | License agreement | Restricted shares
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Shares to be issued under agreement	41
Lockup period			1 year
Adjusted liquidity discount (as a percent)			0%
Processa Pharmaceuticals, Inc | License agreement | Restricted shares | 1st Year Anniversary of Effective Date
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Adjusted liquidity discount (as a percent)			0%
Processa Pharmaceuticals, Inc | License agreement | Restricted shares | 2nd Year Anniversary of Effective Date
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Adjusted liquidity discount (as a percent)			20%

Loss per Share - Computation of

Loss per Share - Computation of Basic and Diluted (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended				6 Months Ended
	Jun. 30, 2022	Mar. 31, 2022	Jun. 30, 2021	Mar. 31, 2021	Jun. 30, 2022	Jun. 30, 2021
Numerator:
Net loss	$ (5,072)	$ (3,696)	$ (4,001)	$ (4,733)	$ (8,768)	$ (8,734)
Denominator:
Weighted-average common shares, basic	26,052		26,003		26,067	26,003
Incremental dilutive shares						0
Weighted-average common shares, dilutive	26,052		26,003		26,067	26,003
Basic net loss per common share	$ (0.19)		$ (0.15)		$ (0.34)	$ (0.34)
Diluted net loss per common share	$ (0.19)		$ (0.15)		$ (0.34)	$ (0.34)
Warrants
Denominator:
Dilutive effect of stock options						0
Employee Options
Denominator:
Dilutive effect of stock options						0

Loss per Share - Outstanding Op

Loss per Share - Outstanding Options and Warrants (Details) - shares shares in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Employee Options
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	4,337	3,653	4,337	3,653
Warrants
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount	39	39	39	39

Stockholders' Equity - Warrants

Stockholders' Equity - Warrants to Purchase Common Stock (Details) - $ / shares shares in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Stockholders' Equity
Outstanding and exercisable at the beginning	39		39
Exercised	0	0	0	0
Issued	0	0	0	0
Outstanding and exercisable at the end	39		39
Weighted-Average Outstanding, beginning	$ 6.80		$ 6.80
Weighted-Average Outstanding, end	$ 6.80		$ 6.80

Stockholders' Equity - Recogniz

Stockholders' Equity - Recognized Contractor and Employee Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Recognized Employee Expense [Line Items]
Stock or Unit Option Plan Expense	$ 1,043	$ 1,326	$ 1,476	$ 1,922
Contractor Option [Member]
Recognized Employee Expense [Line Items]
Stock or Unit Option Plan Expense	35		69	9
Employee Options
Recognized Employee Expense [Line Items]
Stock or Unit Option Plan Expense	$ 1,008	$ 1,326	$ 1,407	$ 1,913

Stockholders' Equity - Summary

Stockholders' Equity - Summary of Option Activity (Details) - $ / shares shares in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Mar. 31, 2022	Jun. 30, 2022
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Number of Options Outstanding at Beginning	4,051	4,259	4,259
Number of Options Granted	305	200
Number of Options Exercised	(19)	(26)
Number of Options Forfeited		(382)
Number of Options Outstanding at Ending	4,337	4,051	4,337
Stock Option In Us Dollars [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Weighted-average Exercise Price outstanding at Beginning	$ 5.34	$ 5.13	$ 5.13
Weighted-average Exercise Price Granted	5.71	5.64
Weighted-average Exercise Price Exercised	2.38	0.58
Weighted-average Exercise Price Forfeited		6.13
Weighted-average Exercise Price Outstanding at Ending	$ 5.14	$ 5.34	$ 5.14

Stockholders' Equity - Addition

Stockholders' Equity - Additional Information (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Mar. 31, 2022	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021	Aug. 31, 2020
Stockholders Equity Note [Line Items]
Common stock, no par value	$ 0		$ 0		$ 0
Options outstanding	4,337	4,051	4,337		4,259
Exercise of options (in shares)	19	26
Number of stock options forfeited (in shares)		382
Number of Options Granted	305	200
Proceeds from issuance of stock options			$ 61	$ 24
Equity Incentive Plan
Stockholders Equity Note [Line Items]
Exercise of options (in shares)	26		45
Number of Options Granted	305		505
Proceeds from issuance of stock options	$ 46		$ 61
Shares issuable under Stock Option Plan, as percent of shares outstanding			25%
Vesting period			3 years
Expiration term			10 years
Stock Option In Canadian Dollars [Member]
Stockholders Equity Note [Line Items]
Options outstanding						0
Stock Option In Us Dollars [Member] | Equity Incentive Plan
Stockholders Equity Note [Line Items]
Options outstanding	4,337		4,337
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Exercisable, Number	3,050		3,050
U.S.dollars [Member]
Stockholders Equity Note [Line Items]
Class Or Warrant Or Right Outstanding Weighted Average Remaining Contractual Terms			6 years 7 months 6 days
Maximum | Equity Incentive Plan
Stockholders Equity Note [Line Items]
Shares issuable under Stock Option Plan	6,517		6,517

Stockholders' Equity - Black Sc

Stockholders' Equity - Black Scholes Option Pricing Model (Details)	6 Months Ended
	Jun. 30, 2022
Expected dividend	0%
Minimum
Risk free rate	2.99%
Expected volatility	69%
Expected life	5 years
Maximum
Risk free rate	3.65%
Expected volatility	73%

Stockholders Equity - Restricte

Stockholders Equity - Restricted Share Units Activity (Details) - Equity Incentive Plan - shares shares in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Mar. 31, 2022	Jun. 30, 2022
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period			3 years
US Denominated RSU's
US Denominated RSU's
Outstanding at beginning of period	131	219	219
Forfeited	(8)	(88)	(88)
Outstanding at end of period	123	131	123
US Denominated RSU's | Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period			1 year
US Denominated RSU's | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period			3 years

Fair Value Measurements - Asset

Fair Value Measurements - Assets/Liabilities Measured at Fair Value (Details) - USD ($) $ / shares in Units, $ in Thousands			1 Months Ended		3 Months Ended		6 Months Ended
	Oct. 22, 2022	Dec. 31, 2020	Jan. 31, 2021	Aug. 31, 2020	Jun. 30, 2021	Mar. 31, 2021	Jun. 30, 2022	Dec. 31, 2021	Oct. 30, 2020
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Cash and cash equivalents							$ 14,915	$ 21,100
Processa common shares							$ 148	240
Share price									$ 4.11
Liquidity discount (as a percent)							20%
6 month interval
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Shares to be issued under agreement							41,000
Liquidity discount (as a percent)		20%					0%
9 month interval
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Shares to be issued under agreement							5,000
Liquidity discount (as a percent)						30%	0%
12 month interval
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Shares to be issued under agreement							5,000
Liquidity discount (as a percent)					40%		20%
Quoted Price in Active Markets for Identical Instruments Level 1 [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Cash and cash equivalents							$ 278	82
Significant Other Observable Inputs Level 2 [Member]
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Cash and cash equivalents							14,637	21,018
Processa common shares							$ 148	$ 240
Processa Pharmaceuticals, Inc
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Shares to be issued under agreement				825,000			46,000
License agreement | Processa Pharmaceuticals, Inc | Restricted shares
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Shares to be issued under agreement			41
License agreement | Processa Pharmaceuticals, Inc | Restricted shares | 12 month interval
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Number of year after which shares will become unrestricted							1 year
License agreement | Processa Pharmaceuticals, Inc | Forecast [Member] | Restricted shares
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items]
Shares to be issued under agreement	5,000

Fair Value Measurements - Addit

Fair Value Measurements - Additional Information (Details) $ in Thousands, $ in Thousands	Jun. 30, 2022 USD ($)	Jun. 30, 2022 CAD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2021 CAD ($)
Fair Value Assets and Liabilities Measured On Recurring Basis [Line Items]
Cash	$ 278	$ 37		$ 34
Quoted Price in Active Markets for Identical Instruments Level 1 [Member]
Fair Value Assets and Liabilities Measured On Recurring Basis [Line Items]
Cash	$ 278	$ 37	$ 82	$ 34

Commitments and Contingencies (

Commitments and Contingencies (Details) - USD ($)		1 Months Ended
	Jan. 23, 2020	Sep. 30, 2021	Jun. 30, 2022	Jan. 24, 2020
Rent expense	$ 1,000	$ 400
Security deposit				$ 2,000
Rostislav Raykov [Member]
Severance Costs Payable In Case Of Termination Other Than For Cause			$ 458,000
Robert Andrade [Member]
Severance Costs Payable In Case Of Termination Other Than For Cause			$ 166,000

Term Loans (Details)

Term Loans (Details) $ in Thousands		6 Months Ended
	Jun. 24, 2021 USD ($) loan	Jun. 30, 2021 USD ($)
Term Loans.
Amount drawn		$ 5,000
Bridge Bank Term Loan
Term Loans.
Debt amount	$ 20,000
Number of loans | loan	3
Bridge Bank Term Loan | Minimum
Term Loans.
Interest only period	18 months
Bridge Bank Term Loan | Maximum
Term Loans.
Interest only period	24 months
Term Loan A
Term Loans.
Debt amount	$ 5,000
Amount drawn	$ 5,000
Cash balance to be maintained multiplier	3
Term Loan A | Prime Rate
Term Loans.
Basis above prime rate	1%
Term Loan B
Term Loans.
Debt amount	$ 7,500
Term Loan C
Term Loans.
Debt amount	$ 7,500
Revenue achievement trailing period	6 months
Revenue threshold amount for loan to be funded	$ 11,000

Term Loans - Aggregate annual p

Term Loans - Aggregate annual payments due on Term Loan (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021	Jun. 24, 2021
Aggregate annual payments due on Term Loan
Less: unamortized debt discount	$ (10)	$ (12)
Term Loan A
Aggregate annual payments due on Term Loan
2023	2,000
2024	2,000
2025	1,000
Total future payments	5,000
Less: unamortized debt discount	(10)		$ (14)
Total term Loan	$ 4,990

Term Loans - Additional Informa

Term Loans - Additional Information (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021	Jun. 24, 2021
Term Loans.
Debt discount	$ 10	$ 12
Term Loan A
Term Loans.
Debt issuance costs			$ 55
Debt discount	$ 10		$ 14

Subsequent Events - Additional

Subsequent Events - Additional Information (Details) - USD ($)	Aug. 01, 2022	Jun. 24, 2021
Bridge Bank Term Loan
Debt amount		$ 20,000,000
Subsequent Event | Bridge Bank Term Loan
Repayment of term loan	$ 5,000,000
Subsequent Event | Petrichor Security Purchase Agreement
Commitment fee percentage	2%
Commitment fees payable in warrants	50%
Common shares available through issuance of warrants	55,498
Commitment fees payable in cash or warrants	50%
Exercise price of warrants issued	$ 8.11
Exercise term of warrants	5 years
Subsequent Event | Petrichor Security Purchase Agreement | Maximum
Debt amount	$ 45,000
Subsequent Event | SPA Tranche 1
Debt amount	$ 5,000
Initial conversion price	$ 8.11
Premium over 5-day VWAP	20%
VWAP term	5 days
Subsequent Event | SPA Tranche 2
Premium over 5-day VWAP	20%
VWAP term	5 days
Subsequent Event | SPA Tranche 2 | Maximum
Debt amount	$ 20,000
Percentage of initial conversion price	150%
Subsequent Event | SPA Tranche 3
Premium over 5-day VWAP	20%
VWAP term	5 days
Subsequent Event | SPA Tranche 3 | Minimum
Debt amount	$ 10,000
Subsequent Event | SPA Tranche 3 | Maximum
Debt amount	$ 20,000