Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 30, 2014 | Oct. 29, 2014 | |
Document And Entity Information [Abstract] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Sep-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Trading Symbol | 'GLYC | ' |
Entity Registrant Name | 'GLYCOMIMETICS INC | ' |
Entity Central Index Key | '0001253689 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Non-accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 18,894,742 |
Balance_Sheets
Balance Sheets (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
Current assets: | ' | ' |
Cash and cash equivalents | $61,362,103 | $2,310,603 |
Prepaid expenses and other current assets | 587,821 | 2,573,072 |
Total current assets | 61,949,924 | 4,883,675 |
Property and equipment, net | 481,853 | 399,799 |
Total assets | 62,431,777 | 5,283,474 |
Current liabilities: | ' | ' |
Accounts payable | 583,719 | 1,144,895 |
Accrued bonuses | 568,844 | 344,467 |
Accrued expenses | 3,445,975 | 685,746 |
Current portion of deferred rent | 115,050 | 104,191 |
Total current liabilities | 4,713,588 | 2,279,299 |
Deferred rent | 9,709 | 96,756 |
Total liabilities | 4,723,297 | 2,376,055 |
Stockholders' equity: | ' | ' |
Preferred Stock, value | ' | ' |
Common stock; $0.001 par value; 100,000,000 authorized, 18,893,842 issued and outstanding at September 30, 2014; 70,258,276 authorized; 1,426,593 shares issued and outstanding at December 31, 2013 | 18,895 | 1,428 |
Additional paid-in capital | 124,692,701 | 66,150,674 |
Accumulated deficit | -67,003,116 | -63,275,409 |
Total stockholders' equity | 57,708,480 | 2,907,419 |
Total liabilities and stockholders' equity | 62,431,777 | 5,283,474 |
Series A-1 Convertible Preferred Stock [Member] | ' | ' |
Stockholders' equity: | ' | ' |
Preferred Stock, value | $0 | $30,726 |
Balance_Sheets_Parenthetical
Balance Sheets (Parenthetical) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
Preferred stock, par value | $0.00 | $0.00 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $0.00 | $0.00 |
Common stock, shares authorized | 100,000,000 | 70,258,276 |
Common stock, shares issued | 18,893,842 | 1,426,593 |
Common stock, shares outstanding | 18,893,842 | 1,426,593 |
Series A-1 Convertible Preferred Stock [Member] | ' | ' |
Preferred stock, par value | $0.00 | $0.00 |
Preferred stock, shares authorized | 0 | 60,342,745 |
Preferred stock, shares issued | 0 | 30,726,326 |
Preferred stock, shares outstanding | 0 | 30,726,326 |
Statements_of_Operations_and_C
Statements of Operations and Comprehensive Income (Loss) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | |
Income Statement [Abstract] | ' | ' | ' | ' |
Revenue | ' | $52,571 | $15,027,004 | $3,915,236 |
Costs and expenses: | ' | ' | ' | ' |
Research and development | 5,050,666 | 2,953,239 | 14,290,083 | 8,579,483 |
General and administrative | 1,648,496 | 800,233 | 4,478,491 | 2,074,889 |
Total costs and expenses | 6,699,162 | 3,753,472 | 18,768,574 | 10,654,372 |
Loss from operations | -6,699,162 | -3,700,901 | -3,741,570 | -6,739,136 |
Other income | 4,827 | 16 | 13,863 | 880 |
Loss and comprehensive loss before income taxes | -6,694,335 | -3,700,885 | -3,727,707 | -6,738,256 |
Income tax (benefit) | -76,758 | 0 | 0 | 0 |
Net loss and net comprehensive loss | ($6,617,577) | ($3,700,885) | ($3,727,707) | ($6,738,256) |
Basic and diluted net loss per common share | ($0.35) | ($3) | ($0.20) | ($6.50) |
Basic and diluted weighted average number of common shares | 18,893,834 | 1,233,672 | 18,311,358 | 1,036,855 |
Statements_of_Cash_Flows
Statements of Cash Flows (USD $) | 9 Months Ended | |
Sep. 30, 2014 | Sep. 30, 2013 | |
Operating activities | ' | ' |
Net loss | ($3,727,707) | ($6,738,256) |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | ' | ' |
Depreciation | 114,261 | 97,622 |
Loss on disposal of property and equipment | 1,424 | 0 |
Compensation expense from stock option grants | 1,152,420 | 365,080 |
Changes in assets and liabilities: | ' | ' |
Prepaid expenses and other current assets | 1,985,251 | -852,411 |
Accounts payable | -561,176 | 989,445 |
Accrued expenses | 2,984,607 | 146,549 |
Deferred revenue | ' | -3,915,236 |
Deferred rent | -76,188 | -66,228 |
Net cash provided by (used in) operating activities | 1,872,892 | -9,973,435 |
Investing activities | ' | ' |
Purchases of property and equipment | -197,738 | -69,661 |
Net cash used in investing activities | -197,738 | -69,661 |
Financing activities | ' | ' |
Proceeds from issuance of common stock, net of issuance costs | 57,248,219 | 0 |
Proceeds from exercise of stock options and warrants | 128,127 | 359,859 |
Net cash provided by financing activities | 57,376,346 | 359,859 |
Net change in cash and cash equivalents | 59,051,500 | -9,683,237 |
Cash and cash equivalents, beginning of period | 2,310,603 | 17,372,832 |
Cash and cash equivalents, end of period | 61,362,103 | 7,689,595 |
Series A-1 Convertible Preferred Stock [Member] | ' | ' |
Supplemental schedule of noncash financing activities: | ' | ' |
Conversion of Series A-1 Convertible Preferred Stock to Common Stock | $38,805,055 | $0 |
Description_of_the_BusinessPla
Description of the Business-Planned Commercial Operations Have Not Commenced | 9 Months Ended |
Sep. 30, 2014 | |
Accounting Policies [Abstract] | ' |
Description of the Business-Planned Commercial Operations Have Not Commenced | ' |
1. Description of the Business—Planned Commercial Operations Have Not Commenced | |
GlycoMimetics, Inc. (the Company) is a business that has not commercialized any of its product candidates. The Company was incorporated in Delaware on April 4, 2003 and commenced operations on May 21, 2003. The Company is headquartered in Gaithersburg, Maryland. | |
The Company is a clinical stage biotechnology company focused on the discovery and development of novel glycomimetic drugs to address unmet medical needs resulting from diseases in which carbohydrate biology plays a key role. Glycomimetics are molecules that mimic the structure of carbohydrates involved in important biological processes. Using its expertise in carbohydrate chemistry and knowledge of carbohydrate biology, the Company is developing a pipeline of proprietary glycomimetics that inhibit disease-related functions of carbohydrates, such as the roles they play in inflammation, cancer and infection. | |
The Company’s executive personnel have devoted substantially all of their time to date to the planning and organization of the Company, the process of hiring scientists, initiating research and development programs and securing adequate capital for anticipated growth and operations. The Company is subject to a number of risks similar to those of other companies in similar development stages, including dependence on key individuals, the need to develop commercially viable products, competition from other companies, many of whom are larger and better capitalized, and the need to obtain adequate additional financing to fund the development of its product candidates. The Company has incurred significant operating losses since inception and has relied on its ability to fund its operations through private and public equity financings, and management expects operating losses and negative operating cash flows to continue for the foreseeable future. As the Company continues to incur losses, transition to profitability is dependent upon the successful development, approval, and commercialization of its product candidates and achieving a level of revenues adequate to support the Company’s cost structure. The Company may never achieve profitability, and unless and until it does, the Company will continue to need to raise additional capital. Management intends to fund future operations through additional public or private equity or debt offerings and may seek additional capital through arrangements with strategic partners or from other sources. | |
Initial Public Offering | |
On January 15, 2014, the Company completed an initial public offering of its common stock, which resulted in the sale of 8,050,000 shares, including all additional shares available to cover over-allotments, at a price to the public of $8.00 per share. The Company received net proceeds of approximately $57.2 million. |
Significant_Accounting_Policie
Significant Accounting Policies | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
Significant Accounting Policies | ' | ||||||||||||||||
2. Significant Accounting Policies | |||||||||||||||||
Basis of Accounting | |||||||||||||||||
The accompanying financial statements were prepared based on the accrual method of accounting in accordance with U.S. generally accepted accounting principles (GAAP). | |||||||||||||||||
Unaudited Financial Statements | |||||||||||||||||
The accompanying balance sheet as of September 30, 2014, statements of operations and comprehensive income (loss) for the three and nine months ended September 30, 2014 and 2013 and cash flows for the nine months ended September 30, 2014 and 2013 are unaudited. These unaudited financial statements have been prepared in accordance with the rules and regulations for the United States Securities and Exchange Commission for interim financial information. Accordingly, they do not include all of the information and footnotes required by GAAP for complete annual financial statements. These financial statements should be read in conjunction with the audited financial statements and the accompanying notes for the year ended December 31, 2013 contained in the Company’s Annual Report on Form 10-K filed with the SEC on March 31, 2014. The unaudited interim financial statements have been prepared on the same basis as the annual financial statements and, in the opinion of management, reflect all adjustments (consisting of normal recurring adjustments) necessary to state fairly the Company’s financial position as of September 30, 2014, the results of operations for the three and nine months ended September 30, 2014 and 2013 and cash flows for the nine months ended September 30, 2014 and 2013. The December 31, 2013 balance sheet included herein was derived from audited financial statements, but does not include all disclosures including notes required by GAAP for complete annual financial statements. The financial data and other information disclosed in these notes to the financial statements related to the three and nine months ended September 30, 2014 and 2013 are unaudited. Interim results are not necessarily indicative of results for an entire year. | |||||||||||||||||
Segment Information | |||||||||||||||||
Operating segments are defined as components of an enterprise about which separate discrete information is available for evaluation by the chief operating decision maker, or decision-making group, in deciding how to allocate resources and in assessing performance. The Company views its operations and manages its business in one segment, which is the identification and development of glycomimetic compounds. | |||||||||||||||||
Use of Estimates | |||||||||||||||||
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Although actual results could differ from those estimates, management does not believe that such differences would be material. | |||||||||||||||||
Cash and Cash Equivalents | |||||||||||||||||
Cash and cash equivalents consist of certificates of deposit and investment in money market funds with commercial banks and financial institutions. The Company considers all investments in highly liquid financial instruments with an original maturity of three months or less at the date of purchase to be cash equivalents. Cash equivalents are stated at amortized cost, plus accrued interest, which approximates fair value. | |||||||||||||||||
Restricted Cash | |||||||||||||||||
The Company is required to maintain certificates of deposit that serve as collateral for its current operating lease and credit card accounts. Amounts classified as restricted cash were $58,000 and $83,000 as of September 30, 2014 and December 31, 2013 respectively, and are presented within prepaid expenses and other current assets. | |||||||||||||||||
Fair Value Measurements | |||||||||||||||||
The Company’s financial instruments include cash and cash equivalents. The fair values of the financial instruments approximated their carrying values at September 30, 2014 and December 31, 2013, due to their short-term maturities. The Company accounts for recurring and nonrecurring fair value measurements in accordance with ASC 820, Fair Value Measurements. ASC 820 defines fair value, establishes a fair value hierarchy for assets and liabilities measured at fair value, and requires expanded disclosures about fair value measurements. The ASC hierarchy ranks the quality of reliability of inputs, or assumptions, used in the determination of fair value, and requires assets and liabilities carried at fair value to be classified and disclosed in one of the following three categories: | |||||||||||||||||
• | Level 1—Fair value is determined by using unadjusted quoted prices that are available in active markets for identical assets and liabilities. | ||||||||||||||||
• | Level 2—Fair value is determined by using inputs, other than Level 1 quoted prices that are directly and indirectly observable. Inputs can include quoted prices for similar assets and liabilities in active markets or quoted prices for identical assets and liabilities in inactive markets. Related inputs can also include those used in valuation or other pricing models that can be corroborated by observable market data. | ||||||||||||||||
• | Level 3—Fair value is determined by inputs that are unobservable and not corroborated by market data. Use of these inputs involves significant and subjective judgments to be made by a reporting entity. In instances where the determination of the fair value measurement is based on inputs from different levels of fair value hierarchy, the fair value measurement will fall within the lowest level input that is significant to the fair value measurement in its entirety. | ||||||||||||||||
The Company periodically evaluates financial assets and liabilities subject to fair value measurements to determine the appropriate level at which to classify them each reporting period. This determination requires the Company to make subjective judgments as to the significance of inputs used in determining fair value and where such inputs lie within the ASC 820 hierarchy. | |||||||||||||||||
The Company had no assets or liabilities that were measured using quoted prices for similar assets and liabilities or significant unobservable inputs (Level 2 and Level 3 assets and liabilities, respectively) as of September 30, 2014 and December 31, 2013. The carrying value of cash held in money market funds of approximately $61.0 million and $2.2 million as of September 30, 2014 and December 31, 2013, respectively, is included in cash and cash equivalents and approximates market values based on quoted market prices (Level 1 inputs). | |||||||||||||||||
Concentration of Credit Risk | |||||||||||||||||
Credit risk represents the risk that the Company would incur a loss if counterparties failed to perform pursuant to the terms of their agreements. Financial instruments that potentially expose the Company to concentrations of credit risk consist primarily of cash and cash equivalents. Cash and cash equivalents consist of certificates of deposit and money market funds with major financial institutions in the United States. These deposits and funds may be redeemed upon demand and, therefore, bear minimal risk. The Company does not anticipate any losses on such balances. | |||||||||||||||||
Property and Equipment | |||||||||||||||||
Property and equipment are recorded at cost and depreciated on a straight-line basis over estimated useful lives ranging from one to five years. Upon retirement or disposition of assets, the costs and related accumulated depreciation are removed from the accounts and any resulting gain or loss is included in the results of operations. Expenditures for repairs and maintenance are charged to operations as incurred; major replacements that extend the useful life are capitalized. Depreciation and amortization are computed using the straight-line method over the following estimated useful lives: | |||||||||||||||||
ESTIMATED USEFUL LIVES | |||||||||||||||||
Furniture and fixtures | 2–5 years | ||||||||||||||||
Laboratory equipment | 1–5 years | ||||||||||||||||
Office equipment | 1–5 years | ||||||||||||||||
Computer equipment | 1–5 years | ||||||||||||||||
Leasehold improvements | Shorter of lease term or useful life | ||||||||||||||||
Impairment of Long-Lived Assets | |||||||||||||||||
The Company periodically assesses the recoverability of the carrying value of its long-lived assets in accordance with the provisions of ASC 360, Property, Plant, and Equipment. ASC 360 requires that long-lived assets and certain identifiable intangible assets be reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of the long-lived asset is measured by a comparison of the carrying amount of the asset to future undiscounted net cash flows expected to be generated by the asset. If the carrying value exceeds the sum of undiscounted cash flows, the Company then determines the fair value of the underlying asset. Any impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the estimated fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value, less costs to sell. As of September 30, 2014 and December 31, 2013, the Company determined that there were no impaired assets and had no assets held for sale. | |||||||||||||||||
Revenue Recognition | |||||||||||||||||
From time to time, the Company is awarded reimbursement contracts for services and development grant contracts with government and non-government entities and philanthropic organizations. Under these contracts, the Company typically is reimbursed for the costs in connection with specific development activities. The Company recognizes revenue to the extent of costs incurred in connection with performance under such grant arrangements. | |||||||||||||||||
The Company has entered into a collaborative research and development agreement with Pfizer Inc. (Pfizer). The agreement is in the form of a license agreement. The agreement called for a nonrefundable up-front payment and milestone payments upon achieving significant milestone events. The agreement also contemplates royalty payments on future sales of an approved product. There are no performance, cancellation, termination, or refund provisions in the arrangement that contain material financial consequences to the Company. | |||||||||||||||||
The primary deliverable under this arrangement is an exclusive worldwide license to the Company’s rivipansel compound (previously referred to by the Company as GMI-1070), but the arrangement also includes deliverables related to research and preclinical development activities to be performed by the Company on Pfizer’s behalf. | |||||||||||||||||
Collaborative research and development agreements can provide for one or more of up-front license fees, research payments, and milestone payments. Agreements with multiple components (deliverables or items) are evaluated according to the provisions of ASC 605-25, Revenue Recognition—Multiple-Element Arrangements, to determine whether the deliverables can be separated into more than one unit of accounting. An item can generally be considered a separate unit of accounting if all of the following criteria are met: (1) the delivered item(s) has value to the customer on a stand-alone basis and (2) if the arrangement includes a general right of return relative to the delivered item(s) then delivery or performance of the undelivered item(s) is considered probable and substantially in control of the Company. Items that cannot be divided into separate units are combined with other units of accounting, as appropriate. Consideration received is allocated among the separate units based on selling price hierarchy. The selling price hierarchy for each deliverable is based on (i) vendor-specific objective evidence (VSOE), if available; (ii) third-party evidence (TPE) of selling price if VSOE is not available; or (iii) an estimated selling price, if neither VSOE nor third-party evidence is available. Management was not able to establish VSOE or TPE for separate unit deliverables, as the Company does not have a history of entering such arrangements or selling the individual deliverables within such arrangements separately. In addition, there may be significant differentiation in these arrangements, which indicates that comparable third-party pricing may not be available. Management determined that the selling price for the deliverables within the Pfizer collaboration agreement should be determined using its best estimate of selling price. The process of determining the best estimate of selling price involved significant judgment on the Company’s part and included consideration of multiple factors such as estimated direct expenses, other costs, and available clinical development data. | |||||||||||||||||
The Company adopted the aforementioned accounting standard for multiple-element arrangements effective January 1, 2011. Pursuant to this standard, each required deliverable under the Pfizer collaboration agreement is evaluated to determine whether it qualifies as a separate unit of accounting. Factors considered in this determination include the research capabilities of Pfizer, the proprietary nature of the license and know-how, and the availability of the Company’s glycomimetics technology research expertise in the general marketplace. Based on all relevant facts and circumstances and, most significantly, on the proprietary nature of the Company’s technology and the related proprietary nature of the Company’s research services, management concluded that stand-alone value does not exist for the license, and therefore, the license is not a separate unit of accounting under the contract and will be combined with the research and development services (including participation on a joint steering committee). | |||||||||||||||||
As such, the up-front payment received of $22.5 million was recognized as revenue over the expected development period through March 2013. The determination of the length of the period over which to defer revenue and the methodology by which to recognize the related revenues is subject to judgment and estimation. Consistent with the research plan developed by and agreed to by both parties, management estimates that the research activities and participation on the joint steering committees will occur over a 1.5-year period. Revenues associated with the up-front license fee are recognized over this period using a straight-line method, which is consistent with expected completion of the research services. | |||||||||||||||||
Effective January 1, 2011, the Company also adopted ASC 605-28, Revenue Recognition—Milestone Method. Under this guidance, at the inception of agreements that include milestone payments, the Company evaluates whether each milestone is substantive and at risk to both parties on the basis of the contingent nature of the milestone. This evaluation includes an assessment of whether (a) the consideration is commensurate with either (1) the entity’s performance to achieve the milestone, or (2) the enhancement of the value of the delivered item(s) as a result of a specific outcome resulting from the entity’s performance to achieve the milestone, (b) the consideration relates solely to past performance and (c) the consideration is reasonable relative to all of the deliverables and payment terms within the arrangement. In making this assessment, the Company evaluates factors such as scientific, regulatory, commercial and other risks that must be overcome to achieve the respective milestone, the level of effort and investment required to achieve the respective milestone and whether the milestone consideration is reasonable relative to all deliverables and payment terms in the agreement. Non-refundable development and regulatory milestones that are expected to be achieved as a result of the Company’s efforts during the period of substantial involvement are recognized as revenue upon the achievement of the milestone, assuming all other revenue recognition criteria are met. Milestones that are not considered substantive because the Company does not contribute effort to the achievement of such milestones are generally achieved after the period of substantial involvement and are recognized as revenue upon achievement of the milestone, as there are no undelivered elements remaining and no continuing performance obligation, assuming all other revenue recognition criteria are met. In May 2014, the Company recognized $15.0 million in revenue as a result of the first milestone payment received from Pfizer. | |||||||||||||||||
Research and Development Costs | |||||||||||||||||
Except for payments made in advance of services, research and development costs are expensed as incurred. For payments made in advance, the Company recognizes research and development expense as the services are rendered. Research and development costs primarily consist of salaries and related expenses for personnel, laboratory supplies and raw materials, sponsored research, depreciation of laboratory facilities and leasehold improvements, and utilities costs related to research space. Other research and development expenses include fees paid to consultants and outside service providers. | |||||||||||||||||
Stock-Based Compensation | |||||||||||||||||
Stock-based payments are accounted for in accordance with the provisions of ASC 718, Compensation—Stock Compensation. The fair value of stock-based payments is estimated, on the date of grant, using the Black-Scholes-Merton model. The resulting fair value is recognized ratably over the requisite service period, which is generally the vesting period of the option. | |||||||||||||||||
The Company has elected to use the Black-Scholes-Merton option pricing model to value any options granted. The Company will reconsider use of the Black-Scholes-Merton model if additional information becomes available in the future that indicates another model would be more appropriate or if grants issued in future periods have characteristics that prevent their value from being reasonably estimated using this model. | |||||||||||||||||
A discussion of management’s methodology for developing some of the assumptions used in the valuation model follows: | |||||||||||||||||
Fair Value of Common Stock—Prior to the Company’s initial public offering in January 2014, the Company had no active public market for its common stock. In the absence of a public trading market, and as a clinical-stage company with no significant revenues, the Company believed that it was appropriate to consider a range of factors to determine the fair market value of the common stock at each grant date. In determining the fair value of its common stock, the Company used methodologies, approaches, and assumptions consistent with the American Institute of Certified Public Accountants’ (AICPA) Audit and Accounting Practice Aid Series: Valuation of Privately Held Company Equity Securities Issued as Compensation (the AICPA Practice Guide). In addition, the Company considered various objective and subjective factors, along with input from the independent third-party valuation firm. The factors included (1) the achievement of clinical and operational milestones by the Company; (2) the status of strategic relationships with collaborators; (3) the significant risks associated with the Company’s stage of development; (4) capital market conditions for life science companies, particularly similarly situated, privately held, early-stage life science companies; (5) the Company’s available cash, financial condition, and results of operations; (6) the most recent sales of the Company’s preferred stock; and (7) the preferential rights of the outstanding preferred stock. | |||||||||||||||||
Expected Dividend Yield—The Company has never declared or paid dividends and has no plans to do so in the foreseeable future. | |||||||||||||||||
Expected Volatility—Volatility is a measure of the amount by which a financial variable such as share price has fluctuated (historical volatility) or is expected to fluctuate (expected volatility) during a period. The Company does not maintain an internal market for its shares, and prior to its initial public offering the shares were not traded publicly. The Company utilizes the historical volatilities of a peer group (e.g., several public entities of similar size, complexity, and stage of development) to determine its expected volatility. | |||||||||||||||||
Risk-Free Interest Rate—This is the U.S. Treasury rate for the week of each option grant during the year, having a term that most closely resembles the expected life of the option. | |||||||||||||||||
Expected Term—This is a period of time that the options granted are expected to remain unexercised. Options granted have a maximum term of 10 years. The Company estimates the expected life of the option term to be 6.25 years. The Company uses a simplified method to calculate the average expected term. | |||||||||||||||||
Expected Forfeiture Rate—The forfeiture rate is the estimated percentage of options granted that is expected to be forfeited or canceled on an annual basis before becoming fully vested. The Company estimates the forfeiture rate based on turnover data with further consideration given to the class of the employees to whom the options were granted. | |||||||||||||||||
Equity instruments issued to nonemployees are accounted for under the provisions of ASC 718, Compensation—Stock Compensation, and ASC 505-50, Equity—Equity-Based Payments to Non-Employees. Accordingly, the estimated fair value of the equity instrument is recorded on the earlier of the performance commitment date or the date the services are completed and are marked to market during the service period. | |||||||||||||||||
Net Income (Loss) Per Share | |||||||||||||||||
Basic net income (loss) per common share is determined by dividing net income (loss) by the weighted-average number of common shares outstanding during the period, without consideration of common stock equivalents. Diluted net income (loss) per share is computed by dividing net income (loss) by the weighted-average number of common stock equivalents outstanding for the period. The treasury stock method is used to determine the dilutive effect of the Company’s stock option grants and warrants and the if-converted method is used to determine the dilutive effect of the Company’s Series A-1 convertible preferred stock. | |||||||||||||||||
Basic and diluted loss per common share is computed as follows: | |||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Net loss | $ | (6,617,577 | ) | $ | (3,700,885 | ) | $ | (3,727,707 | ) | $ | (6,738,256 | ) | |||||
Basic and diluted net loss | $ | (0.35 | ) | $ | (3.00 | ) | $ | (0.20 | ) | $ | (6.50 | ) | |||||
Basic and diluted weighted average common shares outstanding | 18,893,834 | 1,233,672 | 18,311,358 | 1,036,855 | |||||||||||||
The following potentially dilutive securities outstanding have been excluded from the computation of diluted weighted average shares outstanding, as they would be anti-dilutive: | |||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Warrants | 634,227 | 635,255 | 634,227 | 635,255 | |||||||||||||
Stock options | 1,803,652 | 1,173,965 | 1,803,652 | 1,173,965 | |||||||||||||
Converted preferred stock | — | 9,305,359 | — | 9,305,359 | |||||||||||||
Income Taxes | |||||||||||||||||
The Company accounts for income taxes using the asset and liability method in accordance with ASC 740, Income Taxes. Deferred income taxes are recognized for the tax consequences in future years of differences between the tax bases of assets and liabilities and the financial reporting amounts at each year-end based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income. A valuation allowance is established when necessary to reduce deferred tax assets to the amount expected to be realized. | |||||||||||||||||
The Company accounts for uncertain tax positions pursuant to ASC 740. Financial statement recognition of a tax position taken or expected to be taken in a tax return is determined based on a more-likely-than-not threshold of that tax position being sustained. If the tax position meets this threshold, the benefit to be recognized is measured as the tax benefit having the highest likelihood of being realized upon ultimate settlement with the taxing authority. The Company recognizes interest accrued related to unrecognized tax benefits and penalties in the provision for income taxes. | |||||||||||||||||
Comprehensive Income (Loss) | |||||||||||||||||
Comprehensive income (loss) comprises net income (loss) and other changes in equity that are excluded from net income (loss). For the three and nine months ended September 30, 2014 and 2013, the Company’s net income (loss) equals comprehensive income (loss) and, accordingly, no additional disclosure is presented. | |||||||||||||||||
Recently Issued Accounting Standards | |||||||||||||||||
In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers. ASU 2014-09 will eliminate transaction- and industry-specific revenue recognition guidance under current U.S. GAAP and replace it with a principle-based approach for determining revenue recognition. ASU 2014-09 will require that companies recognize revenue based on the value of transferred goods or services as they occur in the contract. ASU 2014-09 will also require additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. ASU 2014-09 is effective for annual reporting periods beginning after December 15, 2016. Early application is not permitted. Entities can transition to the standard either retrospectively or as a cumulative-effect adjustment as of the date of adoption. Presently, the Company is assessing what effect the adoption of ASU 2014-09 will have on its financial statements and accompanying notes. |
Prepaid_Expenses_and_Other_Cur
Prepaid Expenses and Other Current Assets | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ' | ||||||||
Prepaid Expenses and Other Current Assets | ' | ||||||||
3. Prepaid Expenses and Other Current Assets | |||||||||
The following is a summary of the Company’s prepaid expenses and other current assets: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
Prepaid expenses | $ | 507,731 | $ | 172,814 | |||||
Restricted deposits | 57,700 | 82,700 | |||||||
Other receivables | 22,390 | 94,754 | |||||||
Prepaid initial public offering costs | — | 2,222,804 | |||||||
$ | 587,821 | $ | 2,573,072 | ||||||
Property_and_Equipment
Property and Equipment | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Property, Plant and Equipment [Abstract] | ' | ||||||||
Property and Equipment | ' | ||||||||
4. Property and Equipment | |||||||||
Property and equipment, net consists of the following: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
Furniture and fixtures | $ | 118,201 | $ | 108,815 | |||||
Laboratory equipment | 988,457 | 826,821 | |||||||
Office equipment | 10,467 | 10,467 | |||||||
Computer equipment | 188,629 | 167,764 | |||||||
Leasehold improvements | 41,843 | 41,843 | |||||||
1,347,597 | 1,155,710 | ||||||||
Less accumulated depreciation | (865,744 | ) | (755,911 | ) | |||||
$ | 481,853 | $ | 399,799 | ||||||
Depreciation expense for the three months ended September 30, 2014 and 2013 was $40,789 and $33,306, respectively, and $114,261 and $97,622 for the nine months ended September 30, 2014 and 2013, respectively. |
Accrued_Expenses
Accrued Expenses | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Payables and Accruals [Abstract] | ' | ||||||||
Accrued Expenses | ' | ||||||||
5. Accrued Expenses | |||||||||
The following is a summary of the Company’s accrued expenses: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
Accrued license and milestone fees | $ | 1,500,000 | $ | — | |||||
Accrued research and development expenses | 1,280,699 | 114,005 | |||||||
Accrued consulting and other professional fees | 272,331 | 54,211 | |||||||
Other accrued expenses | 30,998 | 356,345 | |||||||
Accrued employee benefits | 271,947 | 155,935 | |||||||
Accrued taxes | 90,000 | 5,250 | |||||||
$ | 3,445,975 | $ | 685,746 | ||||||
Operating_Leases
Operating Leases | 9 Months Ended |
Sep. 30, 2014 | |
Leases [Abstract] | ' |
Operating Leases | ' |
6. Operating Leases | |
The Company leases its office and research space in Gaithersburg, Maryland under a five-year operating lease that is subject to escalation clauses. The current lease expires in October 2015. In connection with its lease arrangement, the Company received rent abatement as a lease incentive. The rent abatement has been recognized as deferred rent that will be adjusted on a straight-line basis over the term of the lease. Deferred rent was $124,759 and $200,947 at September 30, 2014 and December 31, 2013, respectively. Total rent expense was $96,317 for each of the three months ended September 30, 2014 and 2013, and $289,188 and $273,621 for the nine months ended September 30, 2014 and 2013, respectively. | |
On July 23, 2014, the Company and BMR-Medical Center Drive LLC (the Landlord) entered into a lease agreement for the Company’s future corporate headquarters in Rockville, Maryland (the Lease). Under the Lease, which will have an 8-year term commencing on November 1, 2015, the Company will lease 33,843 square feet of office and laboratory space and will pay $607,500 in annual base rent over the term of the Lease, subject to annual escalation clauses. The Company will also have the right to sublease or assign all or a portion of the premises, subject to the conditions set forth in the Lease. The Lease may be terminated early by either the Landlord or the Company in certain circumstances. | |
The Company will continue to incur rent expenses for its current headquarters under its current lease that expires in October 2015. |
Stockholders_Equity
Stockholders' Equity | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||
Stockholders' Equity | ' | ||||||||||||||||
7. Stockholders’ Equity | |||||||||||||||||
Convertible Preferred Stock | |||||||||||||||||
Series A-1 Convertible Preferred Stock | |||||||||||||||||
On October 20, 2009, the Company entered into a Series A-1 Preferred Stock Purchase Agreement with certain investors. In connection with the financing, the Company issued 30,726,326 shares of Series A-1 Convertible Preferred Stock for an aggregate amount of $38,979,412, which included the conversion of principal and accrued interest related to an earlier bridge financing of $16,099,770. In connection with the Series A-1 Preferred Stock financing, all then-outstanding shares of Series A and Series B Preferred Stock were converted into common stock, and all then outstanding warrants to purchase Series B Preferred Stock were converted into warrants to purchase common stock. Immediately prior to the Series A-1 Preferred Stock financing, the Company effected a 1-for-10 reverse stock split of the outstanding common stock. All prior-period applicable share amounts have been retroactively adjusted to reflect the reverse stock split. | |||||||||||||||||
Upon closing of the Company’s initial public offering, all outstanding shares of convertible preferred stock converted into an aggregate of 9,305,359 shares of common stock. In addition, immediately following the closing of the initial public offering, the Company’s certificate of incorporation was amended to authorize 5,000,000 shares of undesignated preferred stock and 100,000,000 shares of common stock. Both the common stock and undesignated preferred stock have a par value of $0.001 per share. | |||||||||||||||||
Common Stock | |||||||||||||||||
As of September 30, 2014 and December 31, 2013, there were 100,000,000 and 70,258,276 shares of common stock, respectively, authorized to be issued. Certain of the outstanding shares of common stock are subject to stock restriction agreements (a Restriction Agreement). Pursuant to a Restriction Agreement, a stockholder shall not sell, assign, transfer, or otherwise dispose of any shares except to the Company or as expressly provided in the Restriction Agreement. | |||||||||||||||||
In connection with preparing for the initial public offering of the Company’s common stock, the Company’s board of directors and stockholders approved a 1-for-3.302 reverse stock split of the Company’s common stock. The reverse stock split became effective on October 25, 2013. All share and per share amounts in the financial statements and notes thereto have been retroactively adjusted for all periods presented to give effect to this reverse stock split, including reclassifying an amount to the reduction in par value of common stock to additional paid-in capital. | |||||||||||||||||
Warrants to Acquire Company Stock | |||||||||||||||||
On October 13, 2006, the Company issued a warrant to purchase 1,544 shares of common stock at an exercise price of $25.92 per share to a commercial bank. This warrant, which was originally issuable for Series B Preferred Stock prior to the conversion of Series B Preferred Stock to common stock in 2009, was vested upon issuance and expires in October 2016. The fair value of the warrant, which was de minimis, was calculated using the Black-Scholes-Merton option pricing model. | |||||||||||||||||
As part of the issuance of convertible unsecured promissory notes, the Company issued warrants to purchase an aggregate of 633,709 shares of common stock. In April 2014, one of the Company’s warrant holders exercised its warrant to purchase 1,026 shares of common stock at an exercise of $0.33 per share, resulting in proceeds to the Company of $339. | |||||||||||||||||
The following common stock warrants were outstanding at September 30, 2014: | |||||||||||||||||
NUMBER OF SHARES | EXERCISE | EXPIRATION | |||||||||||||||
PRICE | DATE | ||||||||||||||||
PER SHARE | |||||||||||||||||
298,404 | $ | 0.33 | July 18, 2018 | ||||||||||||||
301,987 | 0.33 | January 16, 2019 | |||||||||||||||
17,042 | 0.33 | December 9, 2015 | |||||||||||||||
15,250 | 0.33 | January 30, 2019 | |||||||||||||||
1,544 | 25.92 | October 13, 2016 | |||||||||||||||
2003 Stock Incentive Plan | |||||||||||||||||
The 2003 Stock Incentive Plan (the 2003 Plan) provided for the grant of incentives and nonqualified stock options and restricted stock awards. The exercise price for incentive stock options must be at least equal to the fair value of the common stock on the grant date. Unless otherwise stated in a stock option agreement, 25% of the shares subject to an option grant will vest upon the first anniversary of the vesting start date and thereafter at the rate of one forty-eighth of the option shares per month as of the first day of each month after the first anniversary. Upon termination of employment by reasons other than death, cause, or disability, any vested options shall terminate 60 days after the termination date. Stock options terminate 10 years from the date of grant. The 2003 Plan expired on May 21, 2013. There were options for 9,297 shares granted under the 2003 Plan at a weighted average exercise price of $3.73 during the nine months ended September 30, 2013 prior to the expiration of the 2003 Plan. | |||||||||||||||||
A summary of the Company’s stock option activity under the 2003 Plan for the nine months ended September 30, 2014 is as follows: | |||||||||||||||||
OUTSTANDING | WEIGHTED- | WEIGHTED- | AGGREGATE | ||||||||||||||
OPTIONS | AVERAGE | AVERAGE | INTRINSIC | ||||||||||||||
EXERCISE | REMAINING | VALUE (IN | |||||||||||||||
PRICE | CONTRACTUAL | THOUSANDS) | |||||||||||||||
TERM (YEARS) | |||||||||||||||||
Outstanding as of December 31, 2013 | 972,860 | $ | 1.18 | 7.19 | $ | 6,667 | |||||||||||
Options granted | — | ||||||||||||||||
Options exercised | (110,864 | ) | 1.16 | ||||||||||||||
Options forfeited | (633 | ) | 1.12 | ||||||||||||||
Outstanding as of September 30, 2014 | 861,363 | 1.26 | 5.45 | 4,894 | |||||||||||||
Vested or expected to vest as of September 30, 2014 | 859,719 | 1.26 | 5.45 | 4,886 | |||||||||||||
Exercisable as of September 30, 2014 | 809,888 | 1.2 | 5.32 | 4,645 | |||||||||||||
As of September 30, 2014, there was $80,782 of total unrecognized compensation expense related to unvested options that will be recognized over a weighted-average period of approximately one year. Total intrinsic value of the options exercised during the nine months ended September 30, 2013 was not material. The total fair value of shares underlying options which vested in the nine months ended September 30, 2014 and 2013 was $49,573 and $241,920, respectively. | |||||||||||||||||
2013 Equity Incentive Plan | |||||||||||||||||
The Company’s board of directors adopted, and its stockholders approved, its 2013 Equity Incentive Plan (the “2013 Plan”). The 2013 Plan provides for the grant of incentive stock options within the meaning of Section 422 of the Internal Revenue Code (the “Code”), to the Company’s employees and its parent and subsidiary corporations’ employees, and for the grant of nonstatutory stock options, restricted stock awards, restricted stock unit awards, stock appreciation rights, performance stock awards and other forms of stock compensation to its employees, including officers, consultants and directors. The 2013 Plan also provides for the grant of performance cash awards to the Company’s employees, consultants and directors. | |||||||||||||||||
Authorized Shares | |||||||||||||||||
The maximum number of shares of common stock that may be issued under the 2013 Plan is 1,000,000 shares, plus any shares subject to stock options or similar awards granted under the 2003 Plan that expire or terminate without having been exercised in full or are forfeited to or repurchased by the Company. The number of shares of common stock reserved for issuance under the 2013 Plan will automatically increase on January 1 of each year, beginning on January 1, 2015 and ending on January 1, 2023, by 3% of the total number of shares of common stock outstanding on December 31 of the preceding calendar year, or a lesser number of shares as may be determined by the Company’s board of directors. The maximum number of shares that may be issued pursuant to exercise of incentive stock options under the 2013 Plan is 20,000,000. | |||||||||||||||||
Shares issued under the 2013 Plan may be authorized but unissued or reacquired shares of common stock. Shares subject to stock awards granted under the 2013 Plan that expire or terminate without being exercised in full, or that are paid out in cash rather than in shares, will not reduce the number of shares available for issuance under the 2013 Plan. Additionally, shares issued pursuant to stock awards under the 2013 Plan that the Company repurchases or that are forfeited, as well as shares reacquired by the Company as consideration for the exercise or purchase price of a stock award or to satisfy tax withholding obligations related to a stock award, will become available for future grant under the 2013 Plan. | |||||||||||||||||
A summary of the Company’s stock option activity under the 2013 Plan for the nine months ended September 30, 2014 is as follows: | |||||||||||||||||
OUTSTANDING | WEIGHTED- | WEIGHTED- | AGGREGATE | ||||||||||||||
OPTIONS | AVERAGE | AVERAGE | INTRINSIC | ||||||||||||||
EXERCISE | REMAINING | VALUE (IN | |||||||||||||||
PRICE | CONTRACTUAL | THOUSANDS) | |||||||||||||||
TERM (YEARS) | |||||||||||||||||
Outstanding as of December 31, 2013 | — | $ | — | — | $ | — | |||||||||||
Options granted | 942,289 | 8.89 | |||||||||||||||
Options exercised | — | ||||||||||||||||
Options forfeited | — | ||||||||||||||||
Outstanding as of September 30, 2014 | 942,289 | 8.89 | 9.34 | 6 | |||||||||||||
Vested or expected to vest as of September 30, 2014 | 919,212 | 8.89 | 9.34 | 5 | |||||||||||||
Exercisable as of September 30, 2014 | — | — | — | — | |||||||||||||
The weighted-average fair value of the options granted during the nine months ended September 30, 2014 was $6.71 per share, applying the Black-Scholes-Merton option pricing model utilizing the following weighted-average assumptions: | |||||||||||||||||
Nine Months Ended | |||||||||||||||||
30-Sep-14 | |||||||||||||||||
Expected term (years) | 6.25 | ||||||||||||||||
Expected volatility | 90.32 | % | |||||||||||||||
Risk-free interest rate | 2.14 | % | |||||||||||||||
Expected dividend yield | 0 | % | |||||||||||||||
As of September 30, 2014, there was $5,054,876 of total unrecognized compensation expense related to unvested options that will be recognized over a weighted-average period of approximately 3.1 years. | |||||||||||||||||
Stock-based compensation expense was classified on the statement of operations as follows for the three and nine months ended September 30, 2014 and 2013: | |||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Research and development | $ | 140,227 | $ | 66,548 | $ | 359,351 | $ | 164,858 | |||||||||
General and administrative | 301,549 | 80,858 | 793,069 | 200,222 | |||||||||||||
Total stock-based compensation expense | $ | 441,776 | $ | 147,406 | $ | 1,152,420 | $ | 365,080 | |||||||||
Income_Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2014 | |
Income Tax Disclosure [Abstract] | ' |
Income Taxes | ' |
8. Income Taxes | |
The Company recorded an income tax benefit of $76,758 and $0 for the three months ended September 30, 2014 and 2013, respectively and $0 for each of the nine months ended September 30, 2014 and 2013. The Company has provided a valuation allowance for the full amount of its net deferred tax assets since realization of any future benefit from deductible temporary differences, net operating loss carryforwards and research and development credits is not more-likely-than-not to be realized at September 30, 2014 and December 31, 2013. Under the Internal Revenue Code, certain substantial changes in the Company’s ownership may result in a limitation on the amount of net operating loss carryforwards that can be used in future years. The Company’s net operating loss carryforwards and research and development tax credits may be limited for use in a future annual period. |
Research_and_License_Agreement
Research and License Agreements | 9 Months Ended |
Sep. 30, 2014 | |
Text Block [Abstract] | ' |
Research and License Agreements | ' |
9. Research and License Agreements | |
In October 2011, the Company and Pfizer entered into a licensing agreement (the Pfizer Agreement) that provides Pfizer an exclusive worldwide license to rivipansel for vaso-occlusive crisis associated with sickle cell disease and for other diseases for which the drug candidate may be developed. The Company was responsible for completion of the Phase 2 trial, after which Pfizer will assume all further development and commercialization responsibilities. Upon execution of the Pfizer Agreement, the Company received an up-front payment of $22.5 million. The Pfizer Agreement also provides for potential milestone payments of up to $115.0 million upon the achievement of specified development milestones, including the dosing of the first patients in Phase 3 clinical trials for up to two indications and the first commercial sale of a licensed product in the United States and selected European countries for up to two indications; potential milestone payments of up to $70.0 million upon the achievement of specified regulatory milestones, including the acceptance of our filings for regulatory approval by regulatory authorities in the United States and Europe for up to two indications; and potential milestone payments of up to $135.0 million upon the achievement of specified levels of annual net sales of licensed products. Pfizer has the right to terminate the Agreement by giving prior written notice. | |
The Company has determined that each potential future clinical, development and regulatory milestone is substantive. Although sales-based milestones are not considered substantive, they are still recognized upon achievement of the milestone (assuming all other revenue recognition criteria have been met) because there are no undelivered elements that would preclude revenue recognition at that time. The Company is also eligible to receive royalties on future sales contingent upon annual net sales thresholds. In addition, the Company and Pfizer have formed a joint steering committee that will oversee and coordinate activities as set forth in the research program. The $22.5 million up-front payment was recognized over a period of 1.5 years through March 31, 2013. During the nine months ended September 30, 2013, the Company recorded revenue of $3.8 million pursuant to the Pfizer Agreement in the Company’s statement of operations. In May 2014, the Company received a non-refundable payment of $15.0 million from Pfizer as a partial milestone payment owed to the Company upon the dosing of the first patient in the Phase 3 clinical trial. Upon the dosing of the first patient in a Phase 3 clinical trial of rivipansel, the Company will be entitled to receive the remaining $20.0 million of the scheduled milestone payment under the Pfizer Agreement. | |
In February 2004, the Company entered into a research services agreement (the Research Agreement) with the University of Basel (the University) for biological evaluation of selectin antagonists. Certain patents covering the rivipansel compound are subject to provisions of the Research Agreement. Under the terms of the Research Agreement, the Company is required to pay the University 10% payment of all milestone and royalty payments received from Pfizer with respect to rivipansel. During the nine months ended September 30, 2014, the Company recorded an accrued expense of $1.5 million due to the University, representing 10% of the $15.0 million non-refundable cash milestone payment that the Company received from Pfizer in May 2014. |
Significant_Accounting_Policie1
Significant Accounting Policies (Policies) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
Basis of Accounting | ' | ||||||||||||||||
Basis of Accounting | |||||||||||||||||
The accompanying financial statements were prepared based on the accrual method of accounting in accordance with U.S. generally accepted accounting principles (GAAP). | |||||||||||||||||
Unaudited Financial Statements | ' | ||||||||||||||||
Unaudited Financial Statements | |||||||||||||||||
The accompanying balance sheet as of September 30, 2014, statements of operations and comprehensive income (loss) for the three and nine months ended September 30, 2014 and 2013 and cash flows for the nine months ended September 30, 2014 and 2013 are unaudited. These unaudited financial statements have been prepared in accordance with the rules and regulations for the United States Securities and Exchange Commission for interim financial information. Accordingly, they do not include all of the information and footnotes required by GAAP for complete annual financial statements. These financial statements should be read in conjunction with the audited financial statements and the accompanying notes for the year ended December 31, 2013 contained in the Company’s Annual Report on Form 10-K filed with the SEC on March 31, 2014. The unaudited interim financial statements have been prepared on the same basis as the annual financial statements and, in the opinion of management, reflect all adjustments (consisting of normal recurring adjustments) necessary to state fairly the Company’s financial position as of September 30, 2014, the results of operations for the three and nine months ended September 30, 2014 and 2013 and cash flows for the nine months ended September 30, 2014 and 2013. The December 31, 2013 balance sheet included herein was derived from audited financial statements, but does not include all disclosures including notes required by GAAP for complete annual financial statements. The financial data and other information disclosed in these notes to the financial statements related to the three and nine months ended September 30, 2014 and 2013 are unaudited. Interim results are not necessarily indicative of results for an entire year. | |||||||||||||||||
Segment Information | ' | ||||||||||||||||
Segment Information | |||||||||||||||||
Operating segments are defined as components of an enterprise about which separate discrete information is available for evaluation by the chief operating decision maker, or decision-making group, in deciding how to allocate resources and in assessing performance. The Company views its operations and manages its business in one segment, which is the identification and development of glycomimetic compounds. | |||||||||||||||||
Use of Estimates | ' | ||||||||||||||||
Use of Estimates | |||||||||||||||||
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Although actual results could differ from those estimates, management does not believe that such differences would be material. | |||||||||||||||||
Cash and Cash Equivalents | ' | ||||||||||||||||
Cash and Cash Equivalents | |||||||||||||||||
Cash and cash equivalents consist of certificates of deposit and investment in money market funds with commercial banks and financial institutions. The Company considers all investments in highly liquid financial instruments with an original maturity of three months or less at the date of purchase to be cash equivalents. Cash equivalents are stated at amortized cost, plus accrued interest, which approximates fair value. | |||||||||||||||||
Restricted Cash | ' | ||||||||||||||||
Restricted Cash | |||||||||||||||||
The Company is required to maintain certificates of deposit that serve as collateral for its current operating lease and credit card accounts. Amounts classified as restricted cash were $58,000 and $83,000 as of September 30, 2014 and December 31, 2013 respectively, and are presented within prepaid expenses and other current assets. | |||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||
Fair Value Measurements | |||||||||||||||||
The Company’s financial instruments include cash and cash equivalents. The fair values of the financial instruments approximated their carrying values at September 30, 2014 and December 31, 2013, due to their short-term maturities. The Company accounts for recurring and nonrecurring fair value measurements in accordance with ASC 820, Fair Value Measurements. ASC 820 defines fair value, establishes a fair value hierarchy for assets and liabilities measured at fair value, and requires expanded disclosures about fair value measurements. The ASC hierarchy ranks the quality of reliability of inputs, or assumptions, used in the determination of fair value, and requires assets and liabilities carried at fair value to be classified and disclosed in one of the following three categories: | |||||||||||||||||
• | Level 1—Fair value is determined by using unadjusted quoted prices that are available in active markets for identical assets and liabilities. | ||||||||||||||||
• | Level 2—Fair value is determined by using inputs, other than Level 1 quoted prices that are directly and indirectly observable. Inputs can include quoted prices for similar assets and liabilities in active markets or quoted prices for identical assets and liabilities in inactive markets. Related inputs can also include those used in valuation or other pricing models that can be corroborated by observable market data. | ||||||||||||||||
• | Level 3—Fair value is determined by inputs that are unobservable and not corroborated by market data. Use of these inputs involves significant and subjective judgments to be made by a reporting entity. In instances where the determination of the fair value measurement is based on inputs from different levels of fair value hierarchy, the fair value measurement will fall within the lowest level input that is significant to the fair value measurement in its entirety. | ||||||||||||||||
The Company periodically evaluates financial assets and liabilities subject to fair value measurements to determine the appropriate level at which to classify them each reporting period. This determination requires the Company to make subjective judgments as to the significance of inputs used in determining fair value and where such inputs lie within the ASC 820 hierarchy. | |||||||||||||||||
The Company had no assets or liabilities that were measured using quoted prices for similar assets and liabilities or significant unobservable inputs (Level 2 and Level 3 assets and liabilities, respectively) as of September 30, 2014 and December 31, 2013. The carrying value of cash held in money market funds of approximately $61.0 million and $2.2 million as of September 30, 2014 and December 31, 2013, respectively, is included in cash and cash equivalents and approximates market values based on quoted market prices (Level 1 inputs). | |||||||||||||||||
Concentration of Credit Risk | ' | ||||||||||||||||
Concentration of Credit Risk | |||||||||||||||||
Credit risk represents the risk that the Company would incur a loss if counterparties failed to perform pursuant to the terms of their agreements. Financial instruments that potentially expose the Company to concentrations of credit risk consist primarily of cash and cash equivalents. Cash and cash equivalents consist of certificates of deposit and money market funds with major financial institutions in the United States. These deposits and funds may be redeemed upon demand and, therefore, bear minimal risk. The Company does not anticipate any losses on such balances. | |||||||||||||||||
Property and Equipment | ' | ||||||||||||||||
Property and Equipment | |||||||||||||||||
Property and equipment are recorded at cost and depreciated on a straight-line basis over estimated useful lives ranging from one to five years. Upon retirement or disposition of assets, the costs and related accumulated depreciation are removed from the accounts and any resulting gain or loss is included in the results of operations. Expenditures for repairs and maintenance are charged to operations as incurred; major replacements that extend the useful life are capitalized. Depreciation and amortization are computed using the straight-line method over the following estimated useful lives: | |||||||||||||||||
ESTIMATED USEFUL LIVES | |||||||||||||||||
Furniture and fixtures | 2–5 years | ||||||||||||||||
Laboratory equipment | 1–5 years | ||||||||||||||||
Office equipment | 1–5 years | ||||||||||||||||
Computer equipment | 1–5 years | ||||||||||||||||
Leasehold improvements | Shorter of lease term or useful life | ||||||||||||||||
Impairment of Long-Lived Assets | ' | ||||||||||||||||
Impairment of Long-Lived Assets | |||||||||||||||||
The Company periodically assesses the recoverability of the carrying value of its long-lived assets in accordance with the provisions of ASC 360, Property, Plant, and Equipment. ASC 360 requires that long-lived assets and certain identifiable intangible assets be reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of the long-lived asset is measured by a comparison of the carrying amount of the asset to future undiscounted net cash flows expected to be generated by the asset. If the carrying value exceeds the sum of undiscounted cash flows, the Company then determines the fair value of the underlying asset. Any impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the estimated fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value, less costs to sell. As of September 30, 2014 and December 31, 2013, the Company determined that there were no impaired assets and had no assets held for sale. | |||||||||||||||||
Revenue Recognition | ' | ||||||||||||||||
Revenue Recognition | |||||||||||||||||
From time to time, the Company is awarded reimbursement contracts for services and development grant contracts with government and non-government entities and philanthropic organizations. Under these contracts, the Company typically is reimbursed for the costs in connection with specific development activities. The Company recognizes revenue to the extent of costs incurred in connection with performance under such grant arrangements. | |||||||||||||||||
The Company has entered into a collaborative research and development agreement with Pfizer Inc. (Pfizer). The agreement is in the form of a license agreement. The agreement called for a nonrefundable up-front payment and milestone payments upon achieving significant milestone events. The agreement also contemplates royalty payments on future sales of an approved product. There are no performance, cancellation, termination, or refund provisions in the arrangement that contain material financial consequences to the Company. | |||||||||||||||||
The primary deliverable under this arrangement is an exclusive worldwide license to the Company’s rivipansel compound (previously referred to by the Company as GMI-1070), but the arrangement also includes deliverables related to research and preclinical development activities to be performed by the Company on Pfizer’s behalf. | |||||||||||||||||
Collaborative research and development agreements can provide for one or more of up-front license fees, research payments, and milestone payments. Agreements with multiple components (deliverables or items) are evaluated according to the provisions of ASC 605-25, Revenue Recognition—Multiple-Element Arrangements, to determine whether the deliverables can be separated into more than one unit of accounting. An item can generally be considered a separate unit of accounting if all of the following criteria are met: (1) the delivered item(s) has value to the customer on a stand-alone basis and (2) if the arrangement includes a general right of return relative to the delivered item(s) then delivery or performance of the undelivered item(s) is considered probable and substantially in control of the Company. Items that cannot be divided into separate units are combined with other units of accounting, as appropriate. Consideration received is allocated among the separate units based on selling price hierarchy. The selling price hierarchy for each deliverable is based on (i) vendor-specific objective evidence (VSOE), if available; (ii) third-party evidence (TPE) of selling price if VSOE is not available; or (iii) an estimated selling price, if neither VSOE nor third-party evidence is available. Management was not able to establish VSOE or TPE for separate unit deliverables, as the Company does not have a history of entering such arrangements or selling the individual deliverables within such arrangements separately. In addition, there may be significant differentiation in these arrangements, which indicates that comparable third-party pricing may not be available. Management determined that the selling price for the deliverables within the Pfizer collaboration agreement should be determined using its best estimate of selling price. The process of determining the best estimate of selling price involved significant judgment on the Company’s part and included consideration of multiple factors such as estimated direct expenses, other costs, and available clinical development data. | |||||||||||||||||
The Company adopted the aforementioned accounting standard for multiple-element arrangements effective January 1, 2011. Pursuant to this standard, each required deliverable under the Pfizer collaboration agreement is evaluated to determine whether it qualifies as a separate unit of accounting. Factors considered in this determination include the research capabilities of Pfizer, the proprietary nature of the license and know-how, and the availability of the Company’s glycomimetics technology research expertise in the general marketplace. Based on all relevant facts and circumstances and, most significantly, on the proprietary nature of the Company’s technology and the related proprietary nature of the Company’s research services, management concluded that stand-alone value does not exist for the license, and therefore, the license is not a separate unit of accounting under the contract and will be combined with the research and development services (including participation on a joint steering committee). | |||||||||||||||||
As such, the up-front payment received of $22.5 million was recognized as revenue over the expected development period through March 2013. The determination of the length of the period over which to defer revenue and the methodology by which to recognize the related revenues is subject to judgment and estimation. Consistent with the research plan developed by and agreed to by both parties, management estimates that the research activities and participation on the joint steering committees will occur over a 1.5-year period. Revenues associated with the up-front license fee are recognized over this period using a straight-line method, which is consistent with expected completion of the research services. | |||||||||||||||||
Effective January 1, 2011, the Company also adopted ASC 605-28, Revenue Recognition—Milestone Method. Under this guidance, at the inception of agreements that include milestone payments, the Company evaluates whether each milestone is substantive and at risk to both parties on the basis of the contingent nature of the milestone. This evaluation includes an assessment of whether (a) the consideration is commensurate with either (1) the entity’s performance to achieve the milestone, or (2) the enhancement of the value of the delivered item(s) as a result of a specific outcome resulting from the entity’s performance to achieve the milestone, (b) the consideration relates solely to past performance and (c) the consideration is reasonable relative to all of the deliverables and payment terms within the arrangement. In making this assessment, the Company evaluates factors such as scientific, regulatory, commercial and other risks that must be overcome to achieve the respective milestone, the level of effort and investment required to achieve the respective milestone and whether the milestone consideration is reasonable relative to all deliverables and payment terms in the agreement. Non-refundable development and regulatory milestones that are expected to be achieved as a result of the Company’s efforts during the period of substantial involvement are recognized as revenue upon the achievement of the milestone, assuming all other revenue recognition criteria are met. Milestones that are not considered substantive because the Company does not contribute effort to the achievement of such milestones are generally achieved after the period of substantial involvement and are recognized as revenue upon achievement of the milestone, as there are no undelivered elements remaining and no continuing performance obligation, assuming all other revenue recognition criteria are met. In May 2014, the Company recognized $15.0 million in revenue as a result of the first milestone payment received from Pfizer. | |||||||||||||||||
Research and Development Costs | ' | ||||||||||||||||
Research and Development Costs | |||||||||||||||||
Except for payments made in advance of services, research and development costs are expensed as incurred. For payments made in advance, the Company recognizes research and development expense as the services are rendered. Research and development costs primarily consist of salaries and related expenses for personnel, laboratory supplies and raw materials, sponsored research, depreciation of laboratory facilities and leasehold improvements, and utilities costs related to research space. Other research and development expenses include fees paid to consultants and outside service providers. | |||||||||||||||||
Stock-Based Compensation | ' | ||||||||||||||||
Stock-Based Compensation | |||||||||||||||||
Stock-based payments are accounted for in accordance with the provisions of ASC 718, Compensation—Stock Compensation. The fair value of stock-based payments is estimated, on the date of grant, using the Black-Scholes-Merton model. The resulting fair value is recognized ratably over the requisite service period, which is generally the vesting period of the option. | |||||||||||||||||
The Company has elected to use the Black-Scholes-Merton option pricing model to value any options granted. The Company will reconsider use of the Black-Scholes-Merton model if additional information becomes available in the future that indicates another model would be more appropriate or if grants issued in future periods have characteristics that prevent their value from being reasonably estimated using this model. | |||||||||||||||||
A discussion of management’s methodology for developing some of the assumptions used in the valuation model follows: | |||||||||||||||||
Fair Value of Common Stock—Prior to the Company’s initial public offering in January 2014, the Company had no active public market for its common stock. In the absence of a public trading market, and as a clinical-stage company with no significant revenues, the Company believed that it was appropriate to consider a range of factors to determine the fair market value of the common stock at each grant date. In determining the fair value of its common stock, the Company used methodologies, approaches, and assumptions consistent with the American Institute of Certified Public Accountants’ (AICPA) Audit and Accounting Practice Aid Series: Valuation of Privately Held Company Equity Securities Issued as Compensation (the AICPA Practice Guide). In addition, the Company considered various objective and subjective factors, along with input from the independent third-party valuation firm. The factors included (1) the achievement of clinical and operational milestones by the Company; (2) the status of strategic relationships with collaborators; (3) the significant risks associated with the Company’s stage of development; (4) capital market conditions for life science companies, particularly similarly situated, privately held, early-stage life science companies; (5) the Company’s available cash, financial condition, and results of operations; (6) the most recent sales of the Company’s preferred stock; and (7) the preferential rights of the outstanding preferred stock. | |||||||||||||||||
Expected Dividend Yield—The Company has never declared or paid dividends and has no plans to do so in the foreseeable future. | |||||||||||||||||
Expected Volatility—Volatility is a measure of the amount by which a financial variable such as share price has fluctuated (historical volatility) or is expected to fluctuate (expected volatility) during a period. The Company does not maintain an internal market for its shares, and prior to its initial public offering the shares were not traded publicly. The Company utilizes the historical volatilities of a peer group (e.g., several public entities of similar size, complexity, and stage of development) to determine its expected volatility. | |||||||||||||||||
Risk-Free Interest Rate—This is the U.S. Treasury rate for the week of each option grant during the year, having a term that most closely resembles the expected life of the option. | |||||||||||||||||
Expected Term—This is a period of time that the options granted are expected to remain unexercised. Options granted have a maximum term of 10 years. The Company estimates the expected life of the option term to be 6.25 years. The Company uses a simplified method to calculate the average expected term. | |||||||||||||||||
Expected Forfeiture Rate—The forfeiture rate is the estimated percentage of options granted that is expected to be forfeited or canceled on an annual basis before becoming fully vested. The Company estimates the forfeiture rate based on turnover data with further consideration given to the class of the employees to whom the options were granted. | |||||||||||||||||
Equity instruments issued to nonemployees are accounted for under the provisions of ASC 718, Compensation—Stock Compensation, and ASC 505-50, Equity—Equity-Based Payments to Non-Employees. Accordingly, the estimated fair value of the equity instrument is recorded on the earlier of the performance commitment date or the date the services are completed and are marked to market during the service period. | |||||||||||||||||
Net Income (Loss) Per Share | ' | ||||||||||||||||
Net Income (Loss) Per Share | |||||||||||||||||
Basic net income (loss) per common share is determined by dividing net income (loss) by the weighted-average number of common shares outstanding during the period, without consideration of common stock equivalents. Diluted net income (loss) per share is computed by dividing net income (loss) by the weighted-average number of common stock equivalents outstanding for the period. The treasury stock method is used to determine the dilutive effect of the Company’s stock option grants and warrants and the if-converted method is used to determine the dilutive effect of the Company’s Series A-1 convertible preferred stock. | |||||||||||||||||
Basic and diluted loss per common share is computed as follows: | |||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Net loss | $ | (6,617,577 | ) | $ | (3,700,885 | ) | $ | (3,727,707 | ) | $ | (6,738,256 | ) | |||||
Basic and diluted net loss | $ | (0.35 | ) | $ | (3.00 | ) | $ | (0.20 | ) | $ | (6.50 | ) | |||||
Basic and diluted weighted average common shares outstanding | 18,893,834 | 1,233,672 | 18,311,358 | 1,036,855 | |||||||||||||
The following potentially dilutive securities outstanding have been excluded from the computation of diluted weighted average shares outstanding, as they would be anti-dilutive: | |||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Warrants | 634,227 | 635,255 | 634,227 | 635,255 | |||||||||||||
Stock options | 1,803,652 | 1,173,965 | 1,803,652 | 1,173,965 | |||||||||||||
Converted preferred stock | — | 9,305,359 | — | 9,305,359 | |||||||||||||
Income Taxes | ' | ||||||||||||||||
Income Taxes | |||||||||||||||||
The Company accounts for income taxes using the asset and liability method in accordance with ASC 740, Income Taxes. Deferred income taxes are recognized for the tax consequences in future years of differences between the tax bases of assets and liabilities and the financial reporting amounts at each year-end based on enacted tax laws and statutory tax rates applicable to the periods in which the differences are expected to affect taxable income. A valuation allowance is established when necessary to reduce deferred tax assets to the amount expected to be realized. | |||||||||||||||||
The Company accounts for uncertain tax positions pursuant to ASC 740. Financial statement recognition of a tax position taken or expected to be taken in a tax return is determined based on a more-likely-than-not threshold of that tax position being sustained. If the tax position meets this threshold, the benefit to be recognized is measured as the tax benefit having the highest likelihood of being realized upon ultimate settlement with the taxing authority. The Company recognizes interest accrued related to unrecognized tax benefits and penalties in the provision for income taxes. | |||||||||||||||||
Comprehensive Income (Loss) | ' | ||||||||||||||||
Comprehensive Income (Loss) | |||||||||||||||||
Comprehensive income (loss) comprises net income (loss) and other changes in equity that are excluded from net income (loss). For the three and nine months ended September 30, 2014 and 2013, the Company’s net income (loss) equals comprehensive income (loss) and, accordingly, no additional disclosure is presented. | |||||||||||||||||
Recently Issued Accounting Standards | ' | ||||||||||||||||
Recently Issued Accounting Standards | |||||||||||||||||
In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers. ASU 2014-09 will eliminate transaction- and industry-specific revenue recognition guidance under current U.S. GAAP and replace it with a principle-based approach for determining revenue recognition. ASU 2014-09 will require that companies recognize revenue based on the value of transferred goods or services as they occur in the contract. ASU 2014-09 will also require additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. ASU 2014-09 is effective for annual reporting periods beginning after December 15, 2016. Early application is not permitted. Entities can transition to the standard either retrospectively or as a cumulative-effect adjustment as of the date of adoption. Presently, the Company is assessing what effect the adoption of ASU 2014-09 will have on its financial statements and accompanying notes. |
Significant_Accounting_Policie2
Significant Accounting Policies (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
Property and Equipment Estimated Useful Lives | ' | ||||||||||||||||
Depreciation and amortization are computed using the straight-line method over the following estimated useful lives: | |||||||||||||||||
ESTIMATED USEFUL LIVES | |||||||||||||||||
Furniture and fixtures | 2–5 years | ||||||||||||||||
Laboratory equipment | 1–5 years | ||||||||||||||||
Office equipment | 1–5 years | ||||||||||||||||
Computer equipment | 1–5 years | ||||||||||||||||
Leasehold improvements | Shorter of lease term or useful life | ||||||||||||||||
Computation of Basic and Diluted Loss Per Common Share | ' | ||||||||||||||||
Basic and diluted loss per common share is computed as follows: | |||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Net loss | $ | (6,617,577 | ) | $ | (3,700,885 | ) | $ | (3,727,707 | ) | $ | (6,738,256 | ) | |||||
Basic and diluted net loss | $ | (0.35 | ) | $ | (3.00 | ) | $ | (0.20 | ) | $ | (6.50 | ) | |||||
Basic and diluted weighted average common shares outstanding | 18,893,834 | 1,233,672 | 18,311,358 | 1,036,855 | |||||||||||||
Potential Dilutive Securities Outstanding | ' | ||||||||||||||||
The following potentially dilutive securities outstanding have been excluded from the computation of diluted weighted average shares outstanding, as they would be anti-dilutive: | |||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Warrants | 634,227 | 635,255 | 634,227 | 635,255 | |||||||||||||
Stock options | 1,803,652 | 1,173,965 | 1,803,652 | 1,173,965 | |||||||||||||
Converted preferred stock | — | 9,305,359 | — | 9,305,359 |
Prepaid_Expenses_and_Other_Cur1
Prepaid Expenses and Other Current Assets (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ' | ||||||||
Summary of Prepaid Expenses and Other Current Assets | ' | ||||||||
The following is a summary of the Company’s prepaid expenses and other current assets: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
Prepaid expenses | $ | 507,731 | $ | 172,814 | |||||
Restricted deposits | 57,700 | 82,700 | |||||||
Other receivables | 22,390 | 94,754 | |||||||
Prepaid initial public offering costs | — | 2,222,804 | |||||||
$ | 587,821 | $ | 2,573,072 | ||||||
Property_and_Equipment_Tables
Property and Equipment (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Property, Plant and Equipment [Abstract] | ' | ||||||||
Summary of Property and Equipment | ' | ||||||||
Property and equipment, net consists of the following: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
Furniture and fixtures | $ | 118,201 | $ | 108,815 | |||||
Laboratory equipment | 988,457 | 826,821 | |||||||
Office equipment | 10,467 | 10,467 | |||||||
Computer equipment | 188,629 | 167,764 | |||||||
Leasehold improvements | 41,843 | 41,843 | |||||||
1,347,597 | 1,155,710 | ||||||||
Less accumulated depreciation | (865,744 | ) | (755,911 | ) | |||||
$ | 481,853 | $ | 399,799 | ||||||
Accrued_Expenses_Tables
Accrued Expenses (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Payables and Accruals [Abstract] | ' | ||||||||
Summary of Accrued Expenses | ' | ||||||||
The following is a summary of the Company’s accrued expenses: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
Accrued license and milestone fees | $ | 1,500,000 | $ | — | |||||
Accrued research and development expenses | 1,280,699 | 114,005 | |||||||
Accrued consulting and other professional fees | 272,331 | 54,211 | |||||||
Other accrued expenses | 30,998 | 356,345 | |||||||
Accrued employee benefits | 271,947 | 155,935 | |||||||
Accrued taxes | 90,000 | 5,250 | |||||||
$ | 3,445,975 | $ | 685,746 | ||||||
Stockholders_Equity_Tables
Stockholders' Equity (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Common Stock Warrants | ' | ||||||||||||||||
The following common stock warrants were outstanding at September 30, 2014: | |||||||||||||||||
NUMBER OF SHARES | EXERCISE | EXPIRATION | |||||||||||||||
PRICE | DATE | ||||||||||||||||
PER SHARE | |||||||||||||||||
298,404 | $ | 0.33 | July 18, 2018 | ||||||||||||||
301,987 | 0.33 | January 16, 2019 | |||||||||||||||
17,042 | 0.33 | December 9, 2015 | |||||||||||||||
15,250 | 0.33 | January 30, 2019 | |||||||||||||||
1,544 | 25.92 | October 13, 2016 | |||||||||||||||
Weighted-Average Fair Value of the Options Granted | ' | ||||||||||||||||
The weighted-average fair value of the options granted during the nine months ended September 30, 2014 was $6.71 per share, applying the Black-Scholes-Merton option pricing model utilizing the following weighted-average assumptions: | |||||||||||||||||
Nine Months Ended | |||||||||||||||||
September 30, 2014 | |||||||||||||||||
Expected term (years) | 6.25 | ||||||||||||||||
Expected volatility | 90.32 | % | |||||||||||||||
Risk-free interest rate | 2.14 | % | |||||||||||||||
Expected dividend yield | 0 | % | |||||||||||||||
Stock-Based Compensation Expense | ' | ||||||||||||||||
Stock-based compensation expense was classified on the statement of operations as follows for the three and nine months ended September 30, 2014 and 2013: | |||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Research and development | $ | 140,227 | $ | 66,548 | $ | 359,351 | $ | 164,858 | |||||||||
General and administrative | 301,549 | 80,858 | 793,069 | 200,222 | |||||||||||||
Total stock-based compensation expense | $ | 441,776 | $ | 147,406 | $ | 1,152,420 | $ | 365,080 | |||||||||
2003 Stock Incentive Plan [Member] | ' | ||||||||||||||||
Company's Stock Option Activity | ' | ||||||||||||||||
A summary of the Company’s stock option activity under the 2003 Plan for the nine months ended September 30, 2014 is as follows: | |||||||||||||||||
OUTSTANDING | WEIGHTED- | WEIGHTED- | AGGREGATE | ||||||||||||||
OPTIONS | AVERAGE | AVERAGE | INTRINSIC | ||||||||||||||
EXERCISE | REMAINING | VALUE (IN | |||||||||||||||
PRICE | CONTRACTUAL | THOUSANDS) | |||||||||||||||
TERM (YEARS) | |||||||||||||||||
Outstanding as of December 31, 2013 | 972,860 | $ | 1.18 | 7.19 | $ | 6,667 | |||||||||||
Options granted | — | ||||||||||||||||
Options exercised | (110,864 | ) | 1.16 | ||||||||||||||
Options forfeited | (633 | ) | 1.12 | ||||||||||||||
Outstanding as of September 30, 2014 | 861,363 | 1.26 | 5.45 | 4,894 | |||||||||||||
Vested or expected to vest as of September 30, 2014 | 859,719 | 1.26 | 5.45 | 4,886 | |||||||||||||
Exercisable as of September 30, 2014 | 809,888 | 1.2 | 5.32 | 4,645 | |||||||||||||
2013 Equity Incentive Plan [Member] | ' | ||||||||||||||||
Company's Stock Option Activity | ' | ||||||||||||||||
A summary of the Company’s stock option activity under the 2013 Plan for the nine months ended September 30, 2014 is as follows: | |||||||||||||||||
OUTSTANDING | WEIGHTED- | WEIGHTED- | AGGREGATE | ||||||||||||||
OPTIONS | AVERAGE | AVERAGE | INTRINSIC | ||||||||||||||
EXERCISE | REMAINING | VALUE (IN | |||||||||||||||
PRICE | CONTRACTUAL | THOUSANDS) | |||||||||||||||
TERM (YEARS) | |||||||||||||||||
Outstanding as of December 31, 2013 | — | $ | — | — | $ | — | |||||||||||
Options granted | 942,289 | 8.89 | |||||||||||||||
Options exercised | — | ||||||||||||||||
Options forfeited | — | ||||||||||||||||
Outstanding as of September 30, 2014 | 942,289 | 8.89 | 9.34 | 6 | |||||||||||||
Vested or expected to vest as of September 30, 2014 | 919,212 | 8.89 | 9.34 | 5 | |||||||||||||
Exercisable as of September 30, 2014 | — | — | — | — |
Description_of_the_Business_Pl
Description of the Business - Planned Commercial Operations Have Not Commenced - Additional Information (Detail) (USD $) | 9 Months Ended | 0 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Jan. 15, 2014 | Jan. 15, 2014 | |
Initial Public Offering [Member] | Initial Public Offering [Member] | |||
Schedule To Nature Of Business [Line Items] | ' | ' | ' | ' |
Company incorporated date | 4-Apr-03 | ' | ' | ' |
Operations commenced date | 21-May-03 | ' | ' | ' |
Sale of common stock through Initial public offering | ' | ' | 8,050,000 | ' |
Price of common stock under IPO | ' | ' | ' | $8 |
Proceeds from issuance of common stock, net of issuance costs | $57,248,219 | $0 | $57,200,000 | ' |
Significant_Accounting_Policie3
Significant Accounting Policies - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | 1 Months Ended | 9 Months Ended | 18 Months Ended | 9 Months Ended | ||||
Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | 31-May-14 | Sep. 30, 2013 | Mar. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | |
Certificates of Deposit [Member] | Certificates of Deposit [Member] | Pfizer License Agreement [Member] | Pfizer License Agreement [Member] | Pfizer License Agreement [Member] | Minimum [Member] | Maximum [Member] | |||||
Up-Front Payment Arrangement [Member] | Up-Front Payment Arrangement [Member] | ||||||||||
Schedule Of Accounting Policies [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restricted cash | ' | ' | ' | ' | $58,000 | $83,000 | ' | ' | ' | ' | ' |
Carrying value of cash held in money market fund | ' | 61,000,000 | ' | 2,200,000 | ' | ' | ' | ' | ' | ' | ' |
Property and Equipment useful lives | ' | ' | ' | ' | ' | ' | ' | ' | ' | '1 year | '5 years |
Property and equipment, basis of valuation | ' | 'Cost | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Property and equipment, depreciation method | ' | 'Straight-line basis | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Impairment of long-lived assets to be disposed of | ' | 0 | ' | 0 | ' | ' | ' | ' | ' | ' | ' |
Long lived assets held for sale | ' | 0 | ' | 0 | ' | ' | ' | ' | ' | ' | ' |
Up-front payment received recognized as revenue | ' | ' | ' | ' | ' | ' | ' | 3,800,000 | 22,500,000 | ' | ' |
Joint steering committees period | ' | ' | ' | ' | ' | ' | ' | ' | '1 year 6 months | ' | ' |
Revenue | $52,571 | $15,027,004 | $3,915,236 | ' | ' | ' | $15,000,000 | ' | ' | ' | ' |
Share-based compensation arrangement by share-based payment award, option grant period | ' | '6 years 3 months | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based compensation arrangement by share-based payment award, Option granted term | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '10 years |
Significant_Accounting_Policie4
Significant Accounting Policies - Property and Equipment Estimated Useful Lives (Detail) | 9 Months Ended |
Sep. 30, 2014 | |
Leasehold Improvements [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property and Equipment Estimated useful lives | 'Shorter of lease term or useful life |
Minimum [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property and Equipment useful lives | '1 year |
Minimum [Member] | Furniture and Fixtures [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property and Equipment useful lives | '2 years |
Minimum [Member] | Laboratory Equipment [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property and Equipment useful lives | '1 year |
Minimum [Member] | Office Equipment [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property and Equipment useful lives | '1 year |
Minimum [Member] | Computer Equipment [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property and Equipment useful lives | '1 year |
Maximum [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property and Equipment useful lives | '5 years |
Maximum [Member] | Furniture and Fixtures [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property and Equipment useful lives | '5 years |
Maximum [Member] | Laboratory Equipment [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property and Equipment useful lives | '5 years |
Maximum [Member] | Office Equipment [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property and Equipment useful lives | '5 years |
Maximum [Member] | Computer Equipment [Member] | ' |
Property, Plant and Equipment [Line Items] | ' |
Property and Equipment useful lives | '5 years |
Significant_Accounting_Policie5
Significant Accounting Policies - Computation of Basic and Diluted Loss per Common Share (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | |
Earnings Per Share [Abstract] | ' | ' | ' | ' |
Net loss | ($6,617,577) | ($3,700,885) | ($3,727,707) | ($6,738,256) |
Basic and diluted net loss | ($0.35) | ($3) | ($0.20) | ($6.50) |
Basic and diluted weighted average common shares outstanding | 18,893,834 | 1,233,672 | 18,311,358 | 1,036,855 |
Significant_Accounting_Policie6
Significant Accounting Policies - Potential Dilutive Securities Outstanding (Detail) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | |
Warrants [Member] | ' | ' | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ' | ' |
Anti-dilutive securities | 634,227 | 635,255 | 634,227 | 635,255 |
Stock Options [Member] | ' | ' | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ' | ' |
Anti-dilutive securities | 1,803,652 | 1,173,965 | 1,803,652 | 1,173,965 |
Converted Preferred Stock [Member] | ' | ' | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ' | ' |
Anti-dilutive securities | ' | 9,305,359 | ' | 9,305,359 |
Prepaid_Expenses_and_Other_Cur2
Prepaid Expenses and Other Current Assets - Summary of Prepaid Expenses and Other Current Assets (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ' | ' |
Prepaid expenses | $507,731 | $172,814 |
Restricted deposits | 57,700 | 82,700 |
Other receivables | 22,390 | 94,754 |
Prepaid initial public offering costs | ' | 2,222,804 |
Total | $587,821 | $2,573,072 |
Property_and_Equipment_Summary
Property and Equipment - Summary of Property and Equipment (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | $1,347,597 | $1,155,710 |
Less accumulated depreciation | -865,744 | -755,911 |
Property and equipment, net | 481,853 | 399,799 |
Furniture and Fixtures [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | 118,201 | 108,815 |
Laboratory Equipment [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | 988,457 | 826,821 |
Office Equipment [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | 10,467 | 10,467 |
Computer Equipment [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | 188,629 | 167,764 |
Leasehold Improvements [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | $41,843 | $41,843 |
Property_and_Equipment_Additio
Property and Equipment - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | |
Property, Plant and Equipment [Abstract] | ' | ' | ' | ' |
Depreciation expense | $40,789 | $33,306 | $114,261 | $97,622 |
Accrued_Expenses_Summary_of_Ac
Accrued Expenses - Summary of Accrued Expenses (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
Payables and Accruals [Abstract] | ' | ' |
Accrued license and milestone fees | $1,500,000 | ' |
Accrued research and development expenses | 1,280,699 | 114,005 |
Accrued consulting and other professional fees | 272,331 | 54,211 |
Other accrued expenses | 30,998 | 356,345 |
Accrued employee benefits | 271,947 | 155,935 |
Accrued taxes | 90,000 | 5,250 |
Accrued expenses total | $3,445,975 | $685,746 |
Operating_Leases_Additional_In
Operating Leases - Additional Information (Detail) (USD $) | 0 Months Ended | 3 Months Ended | 9 Months Ended | ||||
Jul. 23, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Jul. 23, 2014 | Dec. 31, 2013 | |
sqft | |||||||
Leases [Abstract] | ' | ' | ' | ' | ' | ' | ' |
Period of operating lease | '8 years | ' | ' | '5 years | ' | ' | ' |
Deferred rent | ' | $124,759 | ' | $124,759 | ' | ' | $200,947 |
Operating leases, rent expense | ' | 96,317 | 96,317 | 289,188 | 273,621 | ' | ' |
Lease expiration date | ' | ' | ' | '2015-10 | ' | ' | ' |
Total rental space | 33,843 | ' | ' | ' | ' | ' | ' |
Lease agreement date | ' | ' | ' | 23-Jul-14 | ' | ' | ' |
Lease commencement date | ' | ' | ' | 1-Nov-15 | ' | ' | ' |
Annual base rent | ' | ' | ' | ' | ' | $607,500 | ' |
Stockholders_Equity_Additional
Stockholders' Equity - Additional Information (Detail) (USD $) | 0 Months Ended | 9 Months Ended | 9 Months Ended | 0 Months Ended | 9 Months Ended | 0 Months Ended | |||||||||
Apr. 14, 2014 | Oct. 20, 2009 | Oct. 13, 2006 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Oct. 20, 2009 | Sep. 30, 2014 | Oct. 20, 2009 | Sep. 30, 2014 | Sep. 30, 2014 | Jan. 15, 2014 | Sep. 30, 2014 | |
2003 Stock Incentive Plan [Member] | 2003 Stock Incentive Plan [Member] | 2013 Equity Incentive Plan [Member] | Series A-1 Convertible Preferred Stock [Member] | Series A-1 Convertible Preferred Stock [Member] | Series A-1 Convertible Preferred Stock [Member] | Common Stock [Member] | Common Stock [Member] | Initial Public Offering [Member] | Initial Public Offering [Member] | ||||||
2013 Equity Incentive Plan [Member] | Convertible Notes Payable [Member] | ||||||||||||||
Maximum [Member] | |||||||||||||||
Shareholders Equity [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of Convertible Preferred Stock, shares | ' | ' | ' | 0 | 0 | ' | ' | ' | ' | ' | 30,726,326 | ' | ' | ' | ' |
Issuance of Convertible Preferred Stock | ' | ' | ' | ' | ' | ' | ' | ' | $38,979,412 | ' | ' | ' | ' | ' | ' |
Conversion of principal and accrued interest related earlier bridge financing | ' | 16,099,770 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Reverse stock split | ' | ' | ' | 0.3 | ' | ' | ' | ' | ' | 0.1 | ' | ' | ' | ' | ' |
Outstanding shares of convertible preferred stock converted into common stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9,305,359 | ' |
Undesignated preferred stock, authorized | ' | ' | ' | 5,000,000 | 5,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5,000,000 |
Common stock, shares authorized | ' | ' | ' | 100,000,000 | 70,258,276 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100,000,000 |
Common stock, par value | ' | ' | ' | $0.00 | $0.00 | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0.00 |
Undesignated preferred stock, par value | ' | ' | ' | $0.00 | $0.00 | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0.00 |
Date of effectiveness of reverse stock split | ' | ' | ' | 25-Oct-13 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares underlying warrants | ' | ' | 1,544 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exercise price per share | ' | ' | $25.92 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Expiry date of converted share in common stock | ' | ' | ' | '2016-10 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Warrants issued for common stock | 1,026 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 633,709 | ' | ' |
Warrant exercise price | $0.33 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from exercise of warrant | 339 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based compensation arrangement by share-based payment award, award vesting rights, percentage | ' | ' | ' | ' | ' | 25.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Description | ' | ' | ' | ' | ' | 'Unless otherwise stated in a stock option agreement, 25% of the shares subject to an option grant will vest upon the first anniversary of the vesting start date and thereafter at the rate of one forty-eighth of the option shares per month as of the first day of each month after the first anniversary | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Period of vested options shall terminate after termination date | ' | ' | ' | ' | ' | '60 days | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Date | ' | ' | ' | ' | ' | 21-May-13 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding Options, granted | ' | ' | ' | ' | ' | ' | 9,297 | 942,289 | ' | ' | ' | ' | ' | ' | ' |
Weighted-Average Exercise price, Options granted | ' | ' | ' | ' | ' | ' | $3.73 | $8.89 | ' | ' | ' | ' | ' | ' | ' |
Unrecognized compensation expense related to unvested options yet has not been recognized | ' | ' | ' | ' | ' | 80,782 | ' | 5,054,876 | ' | ' | ' | ' | ' | ' | ' |
Period for unrecognized compensation expense related to unvested options yet has not been recognized | ' | ' | ' | ' | ' | '1 year | ' | '3 years 1 month 6 days | ' | ' | ' | ' | ' | ' | ' |
Fair value of shares vested | ' | ' | ' | ' | ' | $49,573 | $241,920 | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock issued under 2013 plan | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,000,000 | ' | ' | ' |
Shares of common stock reserved for issuance, percentage increase | ' | ' | ' | ' | ' | ' | ' | 3.00% | ' | ' | ' | ' | ' | ' | ' |
Maximum number of shares that may be issued pursuant to exercise of incentive stock | ' | ' | ' | ' | ' | ' | ' | 20,000,000 | ' | ' | ' | ' | ' | ' | ' |
Weighted-average fair value of the options granted | ' | ' | ' | $6.71 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stockholders_Equity_Common_Sto
Stockholders' Equity - Common Stock Warrants (Detail) (USD $) | Oct. 13, 2006 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 |
July 18, 2018 [Member] | January 16, 2019 [Member] | December 9, 2015 [Member] | January 30, 2019 [Member] | October 13, 2016 [Member] | ||
Common Stock [Member] | Common Stock [Member] | Common Stock [Member] | Common Stock [Member] | Common Stock [Member] | ||
Class of Warrant or Right [Line Items] | ' | ' | ' | ' | ' | ' |
Common stock warrants | ' | 298,404 | 301,987 | 17,042 | 15,250 | 1,544 |
Exercise price per share | $25.92 | $0.33 | $0.33 | $0.33 | $0.33 | $25.92 |
Expiration date | ' | 18-Jul-18 | 16-Jan-19 | 9-Dec-15 | 30-Jan-19 | 13-Oct-16 |
Stockholders_Equity_Companys_S
Stockholders' Equity - Company's Stock Option Activity (Detail) (USD $) | 9 Months Ended | 12 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 |
2003 Stock Incentive Plan [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Outstanding Options, Beginning balance | 972,860 | ' | ' |
Outstanding Options, granted | ' | 9,297 | ' |
Outstanding Options, exercised | -110,864 | ' | ' |
Outstanding Options, forfeited | -633 | ' | ' |
Outstanding Options, Ending balance | 861,363 | ' | 972,860 |
Vested or expected to vest outstanding options | 859,719 | ' | ' |
Exercisable outstanding options | 809,888 | ' | ' |
Weighted-Average Exercise price, Outstanding Beginning balance | $1.18 | ' | ' |
Weighted-Average Exercise price, Options granted | ' | $3.73 | ' |
Weighted-Average Exercise price, Options exercised | $1.16 | ' | ' |
Weighted-Average Exercise price, Options forfeited | $1.12 | ' | ' |
Weighted-Average Exercise price, Outstanding Ending balance | $1.26 | ' | $1.18 |
Weighted-Average Exercise price, Vested or expected to vest | $1.26 | ' | ' |
Weighted-Average Exercise price, Exercisable | $1.20 | ' | ' |
Weighted-Average Remaining Contractual Term, Outstanding | '5 years 5 months 12 days | ' | '7 years 2 months 9 days |
Weighted-Average Remaining Contractual Term, Vested or expected to vest | '5 years 5 months 12 days | ' | ' |
Weighted-Average Remaining Contractual Term, Exercisable | '5 years 3 months 26 days | ' | ' |
Aggregate Intrinsic Value, Outstanding Beginning balance | $6,667 | ' | ' |
Aggregate Intrinsic Value, Outstanding Ending balance | 4,894 | ' | 6,667 |
Aggregate Intrinsic Value, Vested or expected to vest | 4,886 | ' | ' |
Aggregate Intrinsic Value, Exercisable | 4,645 | ' | ' |
2013 Equity Incentive Plan [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Outstanding Options, Beginning balance | 0 | ' | ' |
Outstanding Options, granted | 942,289 | ' | ' |
Outstanding Options, exercised | 0 | ' | ' |
Outstanding Options, forfeited | 0 | ' | ' |
Outstanding Options, Ending balance | 942,289 | ' | ' |
Vested or expected to vest outstanding options | 919,212 | ' | ' |
Exercisable outstanding options | ' | ' | ' |
Weighted-Average Exercise price, Outstanding Beginning balance | ' | ' | ' |
Weighted-Average Exercise price, Options granted | $8.89 | ' | ' |
Weighted-Average Exercise price, Options exercised | ' | ' | ' |
Weighted-Average Exercise price, Options forfeited | ' | ' | ' |
Weighted-Average Exercise price, Outstanding Ending balance | $8.89 | ' | ' |
Weighted-Average Exercise price, Vested or expected to vest | $8.89 | ' | ' |
Weighted-Average Exercise price, Exercisable | ' | ' | ' |
Weighted-Average Remaining Contractual Term, Outstanding | '9 years 4 months 2 days | ' | ' |
Weighted-Average Remaining Contractual Term, Vested or expected to vest | '9 years 4 months 2 days | ' | ' |
Weighted-Average Remaining Contractual Term, Exercisable | ' | ' | ' |
Aggregate Intrinsic Value, Outstanding Ending balance | 6 | ' | ' |
Aggregate Intrinsic Value, Vested or expected to vest | $5 | ' | ' |
Stockholders_Equity_WeightedAv
Stockholders' Equity - Weighted-Average Fair Value of the Options Granted (Detail) | 9 Months Ended |
Sep. 30, 2014 | |
Equity [Abstract] | ' |
Expected term (years) | '6 years 3 months |
Expected volatility | 90.32% |
Risk-free interest rate | 2.14% |
Expected dividend yield | 0.00% |
Stockholders_Equity_StockBased
Stockholders' Equity - Stock-Based Compensation Expense (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ' | ' | ' | ' |
Total stock-based compensation expense | $441,776 | $147,406 | $1,152,420 | $365,080 |
Research and Development [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ' | ' | ' | ' |
Total stock-based compensation expense | 140,227 | 66,548 | 359,351 | 164,858 |
General and Administrative [Member] | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ' | ' | ' | ' |
Total stock-based compensation expense | $301,549 | $80,858 | $793,069 | $200,222 |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' |
Income tax provision (benefit) | ($76,758) | $0 | $0 | $0 |
Research_and_License_Agreement1
Research and License Agreements - Additional Information (Detail) (Pfizer License Agreement [Member], USD $) | 1 Months Ended | 9 Months Ended | 18 Months Ended | ||
In Millions, unless otherwise specified | 31-May-14 | Oct. 31, 2011 | Sep. 30, 2014 | Sep. 30, 2013 | Mar. 31, 2013 |
Up-Front Payment Arrangement [Member] | Up-Front Payment Arrangement [Member] | ||||
Research and Development Arrangement, Contract to Perform for Others [Line Items] | ' | ' | ' | ' | ' |
Potential milestone payments upon the achievement of specified development milestones | ' | $115 | ' | ' | ' |
Potential milestone payments upon the achievement of specified regulatory milestones | ' | 70 | ' | ' | ' |
Potential milestone payments upon the achievement specified levels of annual net sales of licensed products | ' | 135 | ' | ' | ' |
Non-refundable payment against milestone payment | 15 | ' | ' | ' | ' |
Payment made on execution of milestone agreement | ' | 22.5 | ' | ' | ' |
Remaining amount of milestone payment | 20 | ' | ' | ' | ' |
Period of up-front payment | ' | ' | '1 year 6 months | ' | ' |
Up-front payment received recognized as revenue | ' | ' | ' | 3.8 | 22.5 |
Royalty payments received from milestone one | ' | ' | 10.00% | ' | ' |
Accrued expense | ' | ' | $1.50 | ' | ' |