Ocera Therapeutics 10-K 11 Mar 16 2015 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Feb. 29, 2016	Jun. 30, 2015
Document and Entity Information [Abstract]
Entity Registrant Name	Ocera Therapeutics, Inc.
Entity Central Index Key	1,274,644
Current Fiscal Year End Date	--12-31
Entity Filer Category	Accelerated Filer
Document Type	10-K
Document Period End Date	Dec. 31, 2015
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	FY
Amendment Flag	false
Entity Common Stock, Shares Outstanding		21,307,129
Public Float			$ 62,940
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filer	No
Entity Current Reporting Status	Yes

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 35,921	$ 10,127
Short-term investments, available-for-sale	7,415	37,112
Accounts receivable	59	62
Prepaid expenses and other current assets	627	970
Total current assets	44,022	48,271
Property and equipment, net	94	61
Long-term investments	0	3,928
Deposits	26	26
Intangible assets, net	0	171
Goodwill	595	595
Total assets	44,737	53,052
Current liabilities:
Accounts payable	701	941
Accrued liabilities	3,133	1,966
Total current liabilities	3,834	2,907
Notes payable	9,508	0
Other liabilities	1	0
Total liabilities	$ 13,343	$ 2,907
Commitments and contingencies (Note 14)
Preferred stock, $0.00001 par value, 5,000,000 shares authorized; no shares issued or outstanding at December 31, 2015 and December 31, 2014.	$ 0	$ 0
Common stock, $0.00001 par value, 100,000,000 shares authorized; 20,695,160 shares issued and outstanding at December 31, 2015 and 19,747,362 shares issued and outstanding at December 31, 2014.	0	0
Additional paid-in capital	162,832	155,083
Accumulated other comprehensive loss	(5)	(27)
Accumulated deficit	(131,433)	(104,911)
Total stockholders’ equity	31,394	50,145
Total liabilities and stockholders’ equity	$ 44,737	$ 53,052

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Dec. 31, 2015	Dec. 31, 2014
Statement of Financial Position [Abstract]
Preferred stock, par value	$ 0.00001	$ 0.00001
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	$ 0.00001	$ 0.00001
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	20,695,160	19,747,362
Common stock, shares outstanding	20,695,160	19,747,362

Consolidated Statements of Oper

Consolidated Statements of Operations and Comprehensive Loss - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Revenue:
Licensing revenue	$ 0	$ 200,000	$ 0
Royalty revenue	133,000	141,000	85,000
Total revenue	133,000	341,000	85,000
Operating expenses:
Research and development	15,977,000	14,945,000	3,549,000
General and administrative	10,321,000	9,910,000	8,500,000
Amortization of intangibles	171,000	164,000	295,000
Impairment of intangibles	0	0	3,070,000
Total operating expenses	26,469,000	25,019,000	15,414,000
Other income (expense):
Interest and other income	89,000	66,000	18,000
Interest and other expense	(502,000)	(12,000)	(193,000)
Change in fair value of warrant liability	0	0	(15,000)
Total other income (expense), net	(413,000)	54,000	(160,000)
Net loss from continuing operations	(26,749,000)	(24,624,000)	(15,489,000)
Net income (loss) from discontinued operations	227,000	1,199,000	(2,025,000)
Net loss	$ (26,522,000)	$ (23,425,000)	$ (17,514,000)
Net loss per share:
Net loss per share from continuing operations, basic and diluted (in dollars per share)	$ (1.33)	$ (1.41)	$ (2.52)
Net income (loss) per share from discontinued operations, basic and diluted (usd per share)	0.01	0.07	(0.33)
Net loss per share, basic and diluted (in dollars per share)	$ (1.32)	$ (1.34)	$ (2.85)
Weighted average number of shares used to compute net loss per share of common stock, basic and diluted (shares)	20,067,660	17,525,187	6,145,731
Net loss	$ (26,522,000)	$ (23,425,000)	$ (17,514,000)
Unrealized gain (loss) on investments	22,000	(30,000)	3,000
Comprehensive loss	(26,500,000)	(23,455,000)	(17,511,000)
Net loss	$ (26,522,000)	$ (23,425,000)	$ (17,514,000)

Consolidated Statements of Conv

Consolidated Statements of Convertible Preferred Stock and Stockholders' Equity (Deficit) Statement - USD ($) $ in Thousands	Total	Preferred StockSeries A Convertible Preferred Stock	Preferred StockSeries B Convertible Preferred Stock	Preferred StockSeries C Convertible Preferred Stock	Common Stock	Additional Paid-in Capital	Accumulated Other Comprehensive Income (Loss)	Accumulated Deficit
Stockholders' equity, balance at beginning of period at Dec. 31, 2012	$ (62,806)	$ 14,346	$ 11,983	$ 35,414	$ 5	$ 1,161	$ 0	$ (63,972)
Stockholders' equity, balance at beginning of period (in shares) at Dec. 31, 2012		1,735,565	1,029,369	2,075,390	626,593
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Restatement of par value of common stock					$ (5)	5
Conversion of debt to series C preferred stock	3,187			$ 3,187
Conversion of debt to series C preferred stock, shares				186,218
Conversion of preferred stock to common stock, shares		(1,735,565)	(1,029,369)	(2,261,608)
Conversion of preferred stock to common stock	64,930	$ (14,346)	$ (11,983)	$ (38,601)		64,930
Shares issued in merger with Tranzyme	13,524					13,524
Shares issued in merger with Tranzyme, shares					2,299,751
Issuance of common stock, net of issuance cost, shares					7,258,863
Issuance of common stock, net of issuance cost	46,425					46,425
Issuance of common stock upon exercise of stock options, shares					88,465
Issuance of common stock upon exercise of stock options, value	63					63
Share-based compensation expense	507					507
Net loss	(17,514)							(17,514)
Other comprehensive income (loss)	3						3
Stockholders' equity, balance at end of period at Dec. 31, 2013	45,132	$ 0	$ 0	$ 0	$ 0	126,615	3	(81,486)
Stockholders' equity, balance at end of period (in shares) at Dec. 31, 2013		0	0	0	15,300,214
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Conversion of debt to series C preferred stock	0
Shares issued in merger with Tranzyme	0
Issuance of common stock, net of issuance cost, shares					4,200,000
Issuance of common stock, net of issuance cost	$ 23,384					23,384
Issuance of common stock upon exercise of stock options, shares	243,824				225,871
Issuance of common stock upon exercise of stock options, value	$ 398					398
Share-based compensation expense	4,686					4,686
Issuance of common stock upon cashless exercise of stock options					15,673
Issuance of common stock upon cashless exercise of stock options					5,604
Net loss	(23,425)							(23,425)
Other comprehensive income (loss)	(30)						(30)
Stockholders' equity, balance at end of period at Dec. 31, 2014	50,145	$ 0	$ 0	$ 0	$ 0	155,083	(27)	(104,911)
Stockholders' equity, balance at end of period (in shares) at Dec. 31, 2014		0	0	0	19,747,362
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Conversion of debt to series C preferred stock	0
Shares issued in merger with Tranzyme	0
Issuance of common stock warrants in connection with notes payable	317					317
Issuance of common stock, net of issuance cost, shares					946,497
Issuance of common stock, net of issuance cost	$ 3,455					3,455
Issuance of common stock upon exercise of stock options, shares	0
Share-based compensation expense	$ 3,977					3,977
Issuance of common stock upon cashless exercise of stock options					1,301
Net loss	(26,522)
Other comprehensive income (loss)	22						22
Stockholders' equity, balance at end of period at Dec. 31, 2015	$ 31,394	$ 0	$ 0	$ 0	$ 0	$ 162,832	$ (5)	$ (131,433)
Stockholders' equity, balance at end of period (in shares) at Dec. 31, 2015		0	0	0	20,695,160

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Operating activities
Net loss	$ (26,522,000)	$ (23,425,000)	$ (17,514,000)
Adjustments to reconcile net loss to net cash used in operating activities:
Net (income) loss from discontinued operations	(227,000)	(1,199,000)	2,025,000
Depreciation	42,000	36,000	29,000
Loss on disposal of fixed assets	0	0	7,000
Amortization of intangibles	171,000	164,000	295,000
Stock-based compensation	3,977,000	4,686,000	507,000
Change in valuation of warrant liability	0	0	(15,000)
Impairment of intangible assets	0	0	3,070,000
Accretion of premium on investment securities	367,000	600,000	39,000
Noncash interest expense	77,000	0	92,000
Changes in operating assets and liabilities:
Accounts receivable	3,000	31,000	45,000
Prepaid expenses and other assets	343,000	(500,000)	(346,000)
Accounts payable	(240,000)	(341,000)	14,000
Accrued liabilities	1,168,000	63,000	764,000
Net cash used in continuing operating activities	(20,841,000)	(19,885,000)	(10,988,000)
Net cash provided by (used in) discontinued operating activities	227,000	(440,000)	(1,006,000)
Net cash used in operating activities	(20,614,000)	(20,325,000)	(11,994,000)
Investing activities
Purchases of property and equipment	(75,000)	(38,000)	(12,000)
Purchases of short and long-term investments	(23,322,000)	(41,415,000)	(34,116,000)
Sale and maturities of short-term investments	56,602,000	31,425,000	2,400,000
Net cash received from merger transaction	0	0	7,464,000
Net cash used in continuing investing activities	33,205,000	(10,028,000)	(24,264,000)
Net cash provided by discontinued investing activities	0	1,165,000	3,000,000
Net cash provided by (used in) investing activities	33,205,000	(8,863,000)	(21,264,000)
Financing activities
Proceeds from the sale of common stock, net of underwriting discounts and commissions and offering expenses	3,455,000	23,384,000	46,425,000
Proceeds from notes payable, net	9,748,000	0	0
Proceeds from issuance of common stock	0	398,000	63,000
Net cash provided by continuing financing activities	13,203,000	23,782,000	46,488,000
Net increase (decrease) in cash and cash equivalents	25,794,000	(5,406,000)	13,230,000
Cash and cash equivalents—beginning of period	10,127,000	15,533,000	2,303,000
Cash and cash equivalents—end of year	35,921,000	10,127,000	15,533,000
Supplemental schedule of noncash investing and financing activities
Supplemental disclosures of cash flow information	278,000	0	0
Fair value of warrants issued in connection with notes payable	317,000	0	0
Unrealized gain (loss) on investments	22,000	(30,000)	3,000
Reclassification of warrant liability to additional paid-in-capital	0	0	1,000
Conversion of convertible promissory note and interest to common stock	0	0	3,187,000
Conversion of convertible preferred stock to common stock	0	0	61,743,000
Common stock issued in connection with merger transaction	$ 0	$ 0	$ 13,524,000

Description of Business and Bas

Description of Business and Basis of Presentation	12 Months Ended
	Dec. 31, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Description of Business and Basis of Presentation	Description of Business and Basis of Presentation Ocera Therapeutics, Inc. (the "Company") is a clinical stage biopharmaceutical company focused on the development and commercialization of OCR-002 (ornithine phenylacetate) for the treatment and prevention of hepatic encephalopathy (“HE”). OCR-002 is an ammonia scavenger which has been granted orphan drug designation and Fast Track status by the FDA for the treatment of hyperammonemia and resultant HE in patients with liver cirrhosis, acute liver failure and acute-on-chronic liver disease. On July 15, 2013, Terrapin Acquisition, Inc., a Delaware corporation (“Merger Sub”), a wholly owned subsidiary of Tranzyme, Inc., a Delaware corporation (“Tranzyme”), completed its merger (the “Merger”) with and into Ocera Therapeutics, Inc., a private Delaware corporation (“Private Ocera”). Private Ocera is considered the acquiring company for accounting purposes as upon completion of the Merger, Private Ocera's former stockholders held a majority of the voting interest of the combined company. In addition, upon the closing of the Merger, six of the nine members of the board of directors of the combined company were former members of the Private Ocera board of directors. Therefore, the former members of the Private Ocera board of directors possessed majority control of the board of directors of the combined company. The Merger was effected pursuant to an Agreement and Plan of Merger and Reorganization (the “Merger Agreement”), dated as of April 23, 2013, by and among Tranzyme, Private Ocera and Merger Sub. In connection with the Merger, the combined company changed its name to Ocera Therapeutics, Inc. and the name of Private Ocera was changed to Ocera Subsidiary, Inc. Pursuant to the Merger, Private Ocera’s convertible notes payable plus accrued interest were converted to Series C convertible preferred stock at a rate of $2.04858 per share. Immediately thereafter, all shares of Private Ocera’s Series A, Series B and Series C convertible preferred stock were converted into Private Ocera common stock on a share for share basis. All such Private Ocera common stock was exchanged for Tranzyme common stock at a rate of one Private Ocera share for 0.11969414 Tranzyme shares (the "Exchange Ratio"). All share and per share amounts for all periods presented in these consolidated financial statements have been adjusted retroactively to reflect the exchange for Tranzyme shares. In addition, convertible preferred stock warrants of Private Ocera were converted into common stock warrants of Ocera Therapeutics, Inc., pursuant to the Merger, based upon the Exchange Ratio. On December 13, 2013, the Company entered into a Technology Transfer and License Agreement with Genentech, Inc. (“Genentech”) and F. Hoffman-La Roche, Ltd (“Roche”) to sell certain Canadian fixed assets and materials, the MATCH technology and rights to the Genentech and Roche customer agreements and related intellectual property through licensing of patents for $4.0 million . On February 18, 2014, the Company received the "Notice of Completion" regarding obligations pursuant to this Agreement. The “Notice of Completion” was considered a substantive performance obligation in the agreement. The Company recorded the disposition of these assets held for sale in the first quarter of 2014. The Company's business is subject to significant risks consistent with biopharmaceutical companies seeking to develop technologies and product candidates for human therapeutic use. These risks include, but are not limited to, uncertainties regarding research and development, access to capital, obtaining and enforcing patents, receiving regulatory approval and competition with other biotechnology and pharmaceutical companies. The Company has evaluated subsequent events and transactions for potential recognition or disclosure in the financial statements through the day the financial statements are issued. The Company has a limited operating history and the sales and income potential of the Company's business and market are unproven. The Company has experienced net losses each year since its inception and, as of December 31, 2015 , had a deficit accumulated of $ 131.4 million . The Company anticipates that it will continue to incur net losses into the foreseeable future and will need to raise additional debt or equity capital as it continues the development and commercialization of OCR-002 and as it expands its corporate infrastructure. Based on the Company's current operating plan, the Company believes its working capital is sufficient to fund its operations through at least the next twelve months.

Summary of Significant Accounti

Summary of Significant Accounting Policies	12 Months Ended
	Dec. 31, 2015
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Summary of Significant Accounting Policies Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles in the United States ("GAAP") requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. Principles of Consolidation The consolidated financial statements include the accounts of Ocera Therapeutics, Inc., and its subsidiary, Ocera Subsidiary, Inc. All significant intercompany balances and transactions have been eliminated. All amounts included in these notes to consolidated financial statements are reported in U.S. dollars, unless otherwise indicated. Discontinued Operations On September 11, 2013, the Board of Directors approved a restructuring plan related to the operations of Tranzyme Pharma Inc. and its Sherbrooke, Quebec facility ("Tranzyme Pharma"), whereby the Company closed the operations of the facility effective as of November 11, 2013. On December 13, 2013, the Company entered into a Technology Transfer and License Agreement to sell the Company’s MATCH discovery platform and license the related intellectual property rights. The Company concluded that since Tranzyme Pharma's operations and the MATCH discovery platform comprised a component with distinct operations and cash flows that would be eliminated from ongoing operations, and the Company would not have significant involvement after the disposal, these components would be accounted for as discontinued operations. The results of operations of the components to be disposed of, related restructuring costs and gain on disposal of assets have been classified as net income (loss) from discontinued operations from their date of acquisition on July 15, 2013 through December 31, 2015 . The assets and liabilities of Tranzyme Pharma have been classified as assets and liabilities, respectively, of discontinued operations. Unless noted otherwise, discussion in these notes to the financial statements pertain to the Company's continuing operations. On December 14, 2015 Tranzyme Pharma was legally dissolved. Segment Reporting Operating segments are identified as components of an enterprise about which separate discrete financial information is available for evaluation by the chief operating decision maker in making decisions regarding resource allocation and assessing performance. The Company views its operations and manages its business in one operating segment. Cash and Cash Equivalents Cash and cash equivalents are stated at cost, which approximates fair value. The Company considers all highly liquid investments with original maturities of three months or less at the date of purchase to be cash equivalents. Cash and cash equivalents include money market funds and various deposit accounts. Concentration of Credit Risk Financial instruments that potentially subject the Company to a significant concentration of credit risk consist primarily of cash and cash equivalents and securities available-for-sale. The Company maintains deposits in federally insured financial institutions in excess of federally insured limits. However, management believes the Company is not exposed to significant credit risk due to the financial position of the depository institutions in which those deposits are held. Additionally, the Company has established guidelines regarding diversification of its investments and their maturities, which are designed to maintain safety and liquidity. Investments The Company invests in marketable securities, primarily money market funds, commercial paper, government agency debt securities and U.S. and foreign corporate debt securities. Investments with original maturities greater than 90 days that mature less than one year from the consolidated balance sheet date are classified as short-term investments. Those investments with a maturity date greater than one year at each balance sheet date are considered to be long-term investments. The Company further classifies investments as short-term or long-term based upon whether such assets are reasonably expected to be realized in cash or sold or consumed during the normal cycle of business. As of December 31, 2015 and 2014 all investments in marketable securities were classified as available-for-sale. The Company classifies all of its investments, as available-for-sale and records such assets at estimated fair value in the consolidated balance sheets, with unrealized gains and losses, if any, reported as a component of accumulated other comprehensive income (loss) in stockholders’ equity (deficit). Debt securities are adjusted for amortization of premiums and accretion of discounts and such amortization and accretion are reported as a component of interest income. Fair Value of Financial Instruments Fair value is the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the measurement date. The Company uses the market approach valuation technique for fair value measurements on a recurring basis and attempts to maximize the use of observable inputs and minimize the use of unobservable inputs. The fair value hierarchy prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. All of our cash equivalents and investments are measured using inputs classified at Level 1 or Level 2 within the fair value hierarchy. Level 1 inputs are quoted prices in active markets for identical assets. Level 2 inputs are based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active and model-based valuation techniques for which all significant inputs are observable in the market or can be corroborated by observable market data for substantially the full term of the assets. Level 3 inputs are unobservable inputs that are supported by little or no market activity and are significant to the fair value of the assets or liabilities. Where applicable, these models project future cash flows and discount the future amounts to a present value using market-based observable inputs obtained from various third-party data providers, including but not limited to, benchmark yields, interest rate curves, reported trades, broker/dealer quotes and market reference data. The carrying amounts of the Company's financial instruments, including cash equivalents, accounts payable and accrued liabilities, approximate fair value due to their short maturities. Property and Equipment, net Property and equipment, net, are stated at cost less accumulated depreciation. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets. Useful lives generally range from three to five years . Intangible Assets and Goodwill The Company recorded intangible assets and goodwill upon the Merger. Acquired intangible assets are amortized on a straight-line basis over the remaining estimated economic life of 2.5 to 5 years. The Company reviews its intangible assets for impairment whenever events or changes in circumstances indicate that the carrying amount of a long-lived asset may not be recoverable. Recoverability of an asset is measured by comparing its carrying amount to the expected future undiscounted cash flows that the asset group is expected to generate. If it is determined that the carrying amount is not recoverable, an impairment loss is recorded in the amount by which the carrying amount of the asset exceeds its fair value. The Company recorded an impairment loss of $3.1 million in the year ended December 31, 2013 due to the termination of work by Bristol-Myers Squibb on macrocyclic compounds under the collaboration agreement. No impairment was recorded in the years ended December 31, 2014 and 2015. The Company performs an annual qualitative assessment of its goodwill to determine if any events or circumstances exist, such as an adverse change in business climate or adverse developmental or regulatory results of OCR-002, that would indicate that it would more likely than not reduce the fair value of a reporting unit below its carrying amount, including goodwill. If events or circumstances do not indicate that the fair value of a reporting unit is below its carrying amount, then goodwill is not considered to be impaired and no further testing is required. The determination of fair value requires significant judgment and estimates. There has been no impairment of goodwill for any periods presented. Foreign Currency Translation The Company's consolidated financial statements are presented in U.S. dollars. The financial statements of Tranzyme Pharma (a discontinued entity) are re-measured from the local currency to U.S. dollars, as follows: monetary assets and liabilities are translated at the exchange rate in effect at the balance sheet date and non-monetary items at exchange rates in effect when the assets were acquired or non-monetary liabilities incurred. Revenue and expenses are translated at the average exchange rates prevailing during the period of the transaction. The gains and losses resulting from the translation of foreign currency financial statements of discontinued entity into U.S. dollars are reported in loss from discontinued operations. The translation adjustment of cash balances held in Canadian dollars are reported in interest and other expense. Revenue Recognition The Company recognizes revenue from the delivery of collaborative research services, license agreements for the development and commercialization of products and from royalties. During 2013, collaboration research revenue is disclosed as discontinued operations in the Company’s Consolidated Statements of Operation and Comprehensive Loss. For each source of revenue, the Company applies revenue recognition criteria in the following manner: Multiple element arrangements such as collaboration agreements which may include an upfront license and ongoing services are analyzed to determine whether the deliverables within the agreement can be separated or whether they must be accounted for as a single unit of accounting. Deliverables under the agreement will be accounted for as separate units of accounting provided that (i) a delivered item has value to the customer on a stand-alone basis; and (ii) if the agreement includes a general right of return relative to the delivered item, delivery or performance of the undelivered item is considered probable and substantially in the control of the vendor. The allocation of consideration amongst the deliverables under the agreement is derived using a "best estimate of selling price" if vendor specific objective evidence and third-party evidence of fair value is not available. If the delivered element does not have stand-alone value, the arrangement is then accounted for as a single unit of accounting, and the Company will recognize the consideration received under the arrangement as revenue on a straight-line basis over the estimated period of performance. License fees from license agreements are recognized when the amounts are earned and determinable during the applicable period. The Company recognizes up-front nonrefundable license fees when due under contractual agreements and when the Company does not have a continuing obligation to provide services related to the agreement. Revenue associated with nonrefundable up-front license fees under arrangements where the license fees and research and development activities cannot be accounted for as separate units of accounting is deferred and recognized as revenue on a straight-line basis over the expected term of our continued involvement in the research and development process. The Company recognizes royalty payments as revenue when earned. At the end of each accounting period, estimates of royalty amounts due are made based on estimated sales information from the Company's customers. Clinical Trial Accruals As part of the process of preparing financial statements, the Company estimates its clinical trial accruals. This process involves identifying services that have been performed and estimating the level of service performed and the associated cost incurred for the service when the Company has not yet been invoiced or otherwise notified of actual cost. The Company's clinical trial accruals are based on estimates of patient enrollment and related costs at clinical investigator sites as well as estimates for the services received and efforts expended pursuant to contracts with multiple research institutions and clinical research organizations that conduct and manage clinical trials on the Company's behalf. The Company accrues expense related to clinical trials based on contracted amounts applied to the level of patient enrollment and activity according to the protocol. If timelines or contracts are modified based upon changes in the clinical trial protocol or scope of work to be performed, the Company modifies the estimates of clinical trial accruals accordingly. To date, the Company has had no significant adjustments to accrued clinical trial expenses. The financial terms of these agreements are subject to negotiation, vary from contract to contract and may result in uneven payment flows. Payments under some of these contracts depend on factors such as the successful enrollment of patients and the completion of clinical trial milestones. In accruing service fees, the Company estimates the time period over which services will be performed and the level of effort to be expended in each period. Stock-Based Compensation Stock-based compensation is recognized as an expense in the financial statements based on the grant date fair value. For awards that vest based on service conditions, the Company uses the straight-line method to allocate compensation expense to reporting periods. For performance-based stock options, the Company begins to recognize the expense when it is deemed probable that the performance-based goal will be met. The Company evaluates the probability of achieving performance-based goals at each reporting date. Stock-based compensation expense is based on awards ultimately expected to vest, and therefore the recorded expense includes an estimate of future forfeitures. Forfeitures are to be estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. The Company estimates the fair value of stock options and stock purchase rights using a Black-Scholes option pricing model which requires the input of highly subjective assumptions, including the option’s expected life and the price volatility of the underlying stock. The Company generally uses the simplified method for estimating the expected term for stock options with standard terms as provided by the Securities and Exchange Commission. The simplified method calculates the expected term as the average of time-to-vesting and the contractual life of the options. The expected stock price volatility assumption was determined by examining the historical volatilities of a group of industry peers. Forfeitures are estimated using the Company's historical experience of stock options forfeited. Income Taxes The Company accounts for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, the Company determine deferred tax assets and liabilities on the basis of the differences between the financial statement and tax bases of assets and liabilities by using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date. The Company recognizes deferred tax assets to the extent that they believe that these assets are more likely than not to be realized. In making such a determination, it considers all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, and results of recent operations. If it is determined that the Company would be able to realize deferred tax assets in the future in excess of their net recorded amount, it would make an adjustment to the deferred tax asset valuation allowance, which would reduce the provision for income taxes. The recognition and measurement of tax benefits requires significant judgment. Judgments concerning the recognition and measurement of tax benefit might change as new information becomes available. The Company records uncertain tax positions in accordance with ASC 740, Income Taxes on the basis of a two-step process in which it determines whether it is more likely than not that the tax positions will be sustained on the basis of the technical merits of the position and for those tax positions that meet the more-likely-than-not recognition threshold, the Company recognizes the largest amount of tax benefit that is more than 50% likely to be realized upon ultimate settlement with the related tax authority. Recent Accounting Pronouncements Occasionally, new accounting standards are issued or proposed by the Financial Accounting Standards Board (the "FASB"), or other standards-setting bodies that the Company adopts by the effective date specified within the standard. Unless otherwise discussed, standards that do not require adoption until a future date are not expected to have a material impact on the Company's financial statements upon adoption. In April 2014, the FASB issued Accounting Standards Update, or ASU, No. 2014-08, Presentation of Financial Statements (Topic 205) and Property, Plant and Equipment (topic 360); Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity. ASU 2014-08 provides additional requirements to classify a disposal of a component of an entity or a group of components of an entity in discontinued operations only if the disposal represents a strategic shift that has (or will have) a major effect on an entity’s operations and financial results. The guidance is effective for fiscal years, and interim periods within those years, beginning after December 15, 2014, with an option for early adoption. The Company adopted this guidance at the beginning of our first quarter of fiscal year 2015. In May 2014, the FASB issued Accounting Standards Update, or ASU, No. 2014-09, Revenue from Contracts with Customers. ASU 2014-09 requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. ASU 2014-09 will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. The new standard will become effective for the Company on January 1, 2017. In June 2014, the FASB issued Accounting Standards Update, or ASU, No. 2014-10, Development Stage Entities (Topic 915) . ASU 2014-10 removes the distinction between development stage entities and other reporting entities in U.S. GAAP and eliminates the requirement to label financial statements as those of a development stage entity and eliminates the requirement to present inception to date information in the statements of income, cash flows and shareholder equity. The guidance is applied retroactively and is effective for fiscal years, and interim periods within those years, beginning after December 15, 2014, with an option for early adoption. The Company early adopted this guidance in 2014, and as a result, has removed the label “A Development Stage Company” from its financial statements and accompanying notes and eliminated the inception to date information from the Consolidated Statements of Operations and Comprehensive Loss and Consolidated Statements of Cash Flows. Other than presentation, the adoption of this standard did not have a material impact on the Company’s financial statements. In August 2014, the FASB issued Accounting Standards Update, or ASU, No. 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern. ASU 2014-15 requires management to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures. In doing so, companies will have reduced diversity in the timing and content of footnote disclosures than under today’s guidance. ASU 2014-15 is effective for the Company in the first quarter of 2016 with early adoption permitted. The Company does not believe the impact of adopting this standard will be material on the Company's financial statements. In April 2015, the FASB issued ASU 2015-03, Simplifying the Presentation of Debt Issuance Costs , which requires debt issuance costs to be presented in the balance sheet as a direct deduction from the carrying value of the associated debt liability, consistent with the presentation of a debt discount. The recognition and measurement guidance for debt issuance costs are not affected by this guidance. The guidance is effective for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. The Company has chosen to early adopt this guidance and present the debt issuance costs in the balance sheet as a direct deduction from the carrying value of the associated debt liability, consistent with the presentation of a debt discount. In November 2015, the FASB issued Accounting Standards Update (the "ASU"), 2015-17, Income Taxes, which requires deferred tax assets and liabilities to be classified as noncurrent in a classified statement of financial position. The new accounting guidance is effective for annual reporting periods beginning after December 15, 2016 and interim periods therein. Early adoption is permitted for all entities as of the beginning of interim or annual reporting periods. The Company has chosen to early adopt and has classified all of its deferred tax assets and liabilities, along with its valuation allowance as noncurrent on the December 31, 2015 balance sheet. The Company applied the standard prospectively and did not retrospectively adjust any prior periods. In February 2016, the FASB issued Accounting Standards Update 2016-02, Leases, to increase transparency and comparability among organizations by requiring recognition of lease assets and lease liabilities on the balance sheet and disclosure of key information about leasing arrangements. The standard will become effective for interim and annual periods beginning after December 15, 2018, with early adoption permitted. The guidance is required to be adopted at the earliest period presented using a modified retrospective approach. The Company is currently evaluating the impact the provisions it will have on the consolidated financial statements and whether it will adopt the guidance early.

Fair Value Measurements

Fair Value Measurements	12 Months Ended
	Dec. 31, 2015
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements The following tables present information about the Company’s financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2015 and 2014 and indicate the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value. As a basis for categorizing inputs, the Company uses a three-tier fair value hierarchy, which prioritizes the inputs used to measure fair value from market based assumptions to entity specific assumptions: Level 1: Quoted prices in active markets for identical assets or liabilities; Level 2: Inputs, other than level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and Level 3: Unobservable inputs that are supported by little or no market activity, which require the reporting entity to develop its own assumptions. None of the Company’s non-financial assets and liabilities is recorded at fair value on a non-recurring basis. No transfers between levels have occurred during the periods presented. Assets and liabilities measured at fair value on a recurring basis as of December 31, 2015 are as follows (in thousands) : Balance as of December 31, 2015 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Money market funds $ 34,806 $ 34,806 $ — $ — Corporate debt securities 7,415 — 7,415 — Total assets $ 42,221 $ 34,806 $ 7,415 $ — Assets and liabilities measured at fair value on a recurring basis as of December 31, 2014 are as follows (in thousands) : Balance as of December 31, 2014 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Money market funds $ 9,171 $ 9,171 $ — $ — Commercial paper 3,750 — 3,750 — Corporate debt securities 36,790 — 36,790 — Government agency debt securities 500 — 500 — Total assets $ 50,211 $ 9,171 $ 41,040 $ — The following table provides the change in the fair value of Level 3 liabilities for the year ended December 31, 2013 (in thousands): Convertible Balance at December 31, 2012 $ 16 Change in fair value of warrant liability (15 ) Conversion of preferred stock warrants into common stock warrants (1 ) Balance at December 31, 2013 $ — On July 15, 2013, warrants to purchase convertible preferred stock were converted to warrants to purchase common stock eliminating the terms that caused the preferred stock warrants to be accounted for as a liability.

Balance Sheet Components

Balance Sheet Components	12 Months Ended
	Dec. 31, 2015
Balance Sheet Components [Abstract]
Balance Sheet Components	Balance Sheet Components Investments The following table summarizes the Company's available for sale investments as of December 31, 2015 (in thousands): Maturity (in Years) Amortized Cost Unrealized Gains Unrealized Losses Estimated Fair Value Short-term investments: Corporate debt securities 1 or less 7,420 — (5 ) 7,415 Total short-term investments $ 7,420 $ — $ (5 ) $ 7,415 At each reporting date, the Company performs an evaluation of impairment to determine if the unrealized losses are other-than-temporary. For debt securities, management determines whether it intends to sell the impaired securities, and if there is no intent or expected requirement to sell, management considers whether it is likely that the amortized cost will be recovered. The Company does not consider unrealized losses on its debt investment securities to be credit-related. These unrealized losses relate to changes in interest rates and market spreads subsequent to purchase. The Company has not made a decision to sell securities with unrealized losses and believes it is more likely than not it would not be required to sell such securities before recovery of its amortized cost. There have been no other than temporary losses recognized in earnings. The following table summarizes the Company's available for sale investments as of December 31, 2014 (in thousands): Maturity (in Years) Amortized Cost Unrealized Gains Unrealized Losses Estimated Fair Value Short-term investments: Commercial paper 1 or less $ 3,748 $ 2 $ — $ 3,750 Corporate debt securities 1 or less 33,379 — (17 ) 33,362 Total 37,127 2 (17 ) 37,112 Long-term investments: Corporate debt securities 1 to 2 3,439 — (11 ) 3,428 Government agency debt securities 1 to 2 501 — (1 ) 500 Total 3,940 — (12 ) 3,928 Total investments $ 41,067 $ 2 $ (29 ) $ 41,040 Property and Equipment, net Property and equipment consisted of the following (in thousands) : Useful Life December 31, (in years) 2015 2014 Computer equipment and software 1.5 to 3 years $ 128 $ 53 Office furniture and equipment 5 years 68 68 Total property and equipment, gross 196 121 Less: accumulated depreciation (102 ) (60 ) Total property and equipment, net $ 94 $ 61 Depreciation expense was $ 42,000 , $36,000 and $29,000 for the years ended December 31, 2015 , 2014 , and 2013, respectively. Acquired intangible assets The net book value of acquired intangible assets as of December 31, 2015 and 2014 were as follows (in thousands) : December 31, Customer Agreements: 2015 2014 Carrying value $ 410 $ 410 Accumulated amortization (410 ) (239 ) Intangible assets, net $ — $ 171 Weighted average remaining life (in years) — 1.0 On July 15, 2013, the Company capitalized approximately $5.9 million of intangible assets acquired in the Merger. In 2013, the Company recorded an impairment charge of intangible assets of $3.1 million and additional $2.2 million of intangible assets were reclassified to discontinued operations and assets held for sale. The Company recognized $171,000 , $164,000 , and $295,000 as amortization expense on the intangible assets for the years ended December 31, 2015 , 2014 and 2013, respectively. No impairment charges were recorded in 2015 and 2014. Goodwill Goodwill of $1.1 million was recorded pursuant to the Merger. Goodwill of $0.5 million was allocated to discontinued operations upon restructuring and disposal of Tranzyme Pharma, see Note 6. Discontinued Operations. There were no impairments to goodwill during the periods presented. Accrued Liabilities Accrued liabilities were as follows (in thousands) : December 31, 2015 2014 Clinical trials $ 1,666 $ 897 Compensation and related expenses 993 678 Professional services 319 343 Interest expense 110 — Other 45 48 $ 3,133 $ 1,966

Merger with Tranzyme

Merger with Tranzyme	12 Months Ended
	Dec. 31, 2015
Business Combinations [Abstract]
Merger with Tranzyme	Merger with Tranzyme On July 15, 2013, Merger Sub, a wholly owned subsidiary of Tranzyme, completed its Merger with Private Ocera. The Merger was accounted for as a reverse merger under the acquisition method of accounting. Under the acquisition method of accounting, Private Ocera was treated as the accounting acquirer and Tranzyme was treated as the “acquired” company for financial reporting purposes as, immediately upon completion of the Merger, Private Ocera stockholders held a majority of the voting interest of the combined company. In addition, six of the nine members of the board of directors of the combined company were former members of Private Ocera board of directors. Therefore, the former members of Private Ocera board of directors possessed majority control of the board of directors of the combined company. The purchase price for Tranzyme is as follows (in thousands) : Fair value of Tranzyme shares outstanding $ 13,249 Fair value of vested Tranzyme stock options 275 Purchase Price $ 13,524 In accordance with the acquisition method of accounting, the purchase price has been allocated to the tangible and identifiable intangible assets acquired and liabilities assumed on the basis of their estimated fair values on the date of acquisition, based on valuations performed by a third party. The Company engaged a third party valuation firm to assist management in its analysis of the fair value of assets and liabilities acquired in the Merger with Tranzyme. All estimates, key assumptions, and forecasts were either provided by or reviewed by management. While the Company chose to utilize a third party valuation firm, the fair value analysis and related valuations represent the conclusions of management and not the conclusions or statements of any third party. The following table summarizes the preliminary determination of the purchase price to the assets acquired and liabilities assumed (in thousands): Purchase Price Cash and cash equivalents $ 7,464 Accounts and investment tax credits receivable, net 636 Prepaid expenses and other assets 159 Fixed assets 744 Intangible assets 5,940 Goodwill 1,054 Accounts payable (1,029 ) Accrued and long-term liabilities (1,307 ) Deferred revenue (137 ) $ 13,524 As of December 31, 2013, there were $0.3 million of intangible assets subject to amortization with a remaining life of 2.0 years. The following table includes the intangible assets identified as of the acquisition date and the estimated lives prior to impairment and reclassification to discontinued operations (in thousands, except for useful life): Continuing operations Discontinued operations Total Useful life Customer relationships $ 3,700 $ 480 $ 4,180 2.5 to 5 years Developed technology — 1,760 1,760 5 years Total $ 3,700 $ 2,240 $ 5,940 The Company believes that the historical values of Tranzyme's current assets and current liabilities approximate their fair value based on the short-term nature of such items. Tranzyme's property and equipment consists of assets whose historical cost less depreciation approximated its fair value. The identifiable intangible assets are Tranzyme’s technology, which consists primarily of its intellectual property related to Tranzyme’s MATCH technology, and the estimated net present value of future cash flows from collaborative agreements to be generated from the MATCH technology used in the development activities. The collaboration agreements were valued using a risk adjusted multi-period excess earnings analysis, a form of the income approach, which incorporates the estimated future cash flows to be generated from these relationship assets. Excess earnings are the earnings remaining after deducting the market rates of return on the estimated values of contributory assets, including debt-free net working capital, tangible and intangible assets. The excess earnings are thereby calculated for each year of a multi-year projection period, factored for industry-wide probabilities of success and discounted to a present value. Accordingly, the primary components of this method consist of the determination of excess earnings and an appropriate rate of return. The valuation of the Tranzyme's proprietary MATCH technology is based on replacement method of the cost approach that considers the cost to replace the acquired technology. The cost approach is based on the premise that a prudent investor would pay no more for an asset than its replacement or reproduction cost. The cost to replace the asset would include the cost of constructing a similar asset of equivalent utility at prices applicable at the time of the valuation analysis. The estimated fair value attributed to the developed technology is amortized over a weighted average useful life of approximately 5 years. Goodwill is calculated as the difference between the fair value of the consideration expected to be transferred and the values assigned to the identifiable tangible and intangible assets acquired and liabilities assumed, is primarily attributable to the acquisition of an established workforce of clinical development professionals and is not deductible for tax purposes.

Discontinued Operations

Discontinued Operations	12 Months Ended
	Dec. 31, 2015
Restructuring and Related Activities [Abstract]
Discontinued Operations	Discontinued Operations On September 11, 2013, the Company announced a restructuring plan related to the operations of Tranzyme Pharma. On December 13, 2013, the Company entered into a Technology Transfer and License Agreement with Genentech and Roche to sell certain Canadian fixed assets and materials, the MATCH technology and rights to the Genentech and Roche customer agreements and related intellectual property through licensing of patents for $4.0 million . The Company concluded that the operations of Tranzyme Pharma and related asset groups sold to Genentech and Roche were accounted for as discontinued operations as the operations and cash flows of the discontinued component and asset group were eliminated from ongoing operations of the Company and there would not be significant involvement in the component or asset group after the disposal transaction. On December 14, 2015 Tranzyme Pharma was legally dissolved. The Company recorded the disposition of assets sold to Genentech and Roche subject to the Technology Transfer and License Agreement in the first quarter of 2014, upon receipt of a “Notice of Completion” which was considered a substantive performance obligation in the agreement. Agreement consideration of $3.0 million was received in 2013 and was recorded as an accrued liability at December 31, 2013. During the Year Ended December 31, 2014 the Company completed its obligations under the Technology Transfer and License Agreement with Genentech and Roche and recognized a gain on disposal of assets of $1.1 million within discontinued operations as detailed below (in thousands) : Year Ended December 31, 2014 Proceeds recognized pursuant to Technology Transfer and License Agreement $ 4,000 Less carrying value of assets sold: Intangibles assets (2,053 ) Property and equipment (356 ) Goodwill (442 ) Net gain on disposal of assets $ 1,149 The results of Tranzyme Pharma and related asset groups are disclosed as discontinued operations in the Company’s Consolidated Statements of Operations and Comprehensive Loss for all periods presented (in thousands) : Years Ended December 31, 2015 2014 2013 Revenue $ — $ — $ 467 Expenses: Research and development — — (1,134 ) General and administrative — — (220 ) Amortization of intangibles — — (187 ) Restructuring settlements (charges) — 68 (859 ) Gain (loss) on disposal of assets — 1,149 (86 ) Other income (expense), net 227 (6 ) (6 ) Recognition of accumulated translation adjustments upon deconsolidation of subsidiary — (12 ) — Net income (loss) from discontinued operations $ 227 $ 1,199 $ (2,025 ) There were no assets and liabilities recorded in discontinued operations as of December 31, 2015 and 2014. Upon classification as held for disposal and discontinued operations, the assets and liabilities of Tranzyme Pharma and related asset groups were evaluated for impairment at the lower of carrying amount or fair value less disposal costs, no impairment loss was recorded. There was $0.2 million in income recorded in discontinued operations for the twelve month period ended December 31, 2015 that relates to certain foreign research credits of Tranzyme Pharma that were collected in 2015 prior to dissolution. These foreign research credits were reserved in 2013 as collectability was not probable. Restructuring of Tranzyme Pharma (Sherbrooke, Quebec) In September 2013, the Company approved a restructuring plan related to the operations of its former wholly owned subsidiary, Tranzyme Pharma Inc. at its Sherbrooke, Quebec facility (the "Sherbrooke Facility") in order to focus its management and resources on the clinical development of OCR-002. In connection with the restructuring, the Company terminated all employees at the Canadian location, exited the Sherbrooke Facility and terminated certain contractual obligations. Restructuring charges of $0.9 million were recorded as a component of net loss from discontinued operations during the year ended December 31, 2013. During the year ended December 31, 2014, the Company paid and settled all of the remaining liabilities and recorded an adjustment related to discounts of $68,000 on certain shipping charges related to the restructuring of Tranzyme Pharma. As of Decmber 31, 2015 no further activities related to restructuring occurred. On December 14, 2015 Tranzyme Pharma was legally dissolved. The following table summarizes the Company’s restructuring activities during the years ended December 31, 2014 and December 31, 2013 (in thousands) : Post- Employment Benefits Moving and Shipping Costs Operating Activities Total Restructuring charges $ 700 $ 114 $ 45 $ 859 Cash payments and other settlements (308 ) (15 ) (34 ) (357 ) Accrued restructuring at December 31, 2013 $ 392 $ 99 $ 11 $ 502 Cash payments and other settlements (392 ) (31 ) (11 ) (434 ) Settlement of certain restructuring charges — (68 ) — (68 ) Accrued restructuring at December 31, 2014 $ — $ — $ — $ —

License Agreements and Acquired

License Agreements and Acquired Development and Commericialization Rights	12 Months Ended
	Dec. 31, 2015
Strategic Collaboration and License Agreements [Abstract]
License Agreements and Acquired Development and Commercialization Rights	License Agreements and Acquired Development and Commercialization Rights Kureha Corporation In July 2004, the Company in-licensed from Kureha Corporation ("Kureha") the technology and exclusive development and commercialization rights to its AST-120 product candidate for the treatment of liver and gastrointestinal disease for the territories of North America and Europe. The Company paid a $1.5 million up-front fee to Kureha. In March 2008, the Company amended the license agreement, in exchange for a payment of $0.5 million . In January 2014, the Company notified to Kureha that it had discontinued its work on AST-120, terminated the license and returned all rights to AST-120 to Kureha. UCL Business PLC In December 2008, the Company licensed rights to OCR-002 from UCL Business PLC, an entity affiliated with the University College London (“UCL”), for the exclusive worldwide rights to develop and commercialize OCR-002 and related technologies for any use. The agreement was amended in July 2011, February 2013 and July 2015. As consideration for the license, the Company paid an up-front fee of $1.0 million . The Company may be required to make future milestone payments to UCL totaling up to $20.0 million upon the achievement of various milestones related to clinical and regulatory events for OCR-002. The Company may also be required to pay milestone payments totaling up to $35.0 million upon the achievement of various milestones related to future net sales of OCR-002. The Company is also obligated to pay tiered royalties in the low to mid-single digits on future net sales of the licensed product candidate. Open Biosystems, Inc. In October 2005, Tranzyme entered into a license and marketing agreement whereby Open Biosystems, Inc. acquired a worldwide royalty-bearing license to certain intellectual property unrelated to Tranzyme's lead product candidates prior to the Merger and its MATCH drug discovery technology, as specified in the agreement. The Company earns royalties on annual net sales at rates that vary by licensed product category as defined in the agreement through 2017 or until the expiration date of the last-to-expire licensed patent or twelve years, whichever occurs last. Royalty revenue recognized from the licensing agreement was $ 133,000 , $141,000 and $85,000 for the years ended December 31, 2015, 2014 and 2013, respectively. Bristol-Myers Squibb Company In December 2009, Tranzyme entered into a two -year collaboration agreement with Bristol-Myers Squibb Company (“BMS”) to discover, develop and commercialize novel macrocyclic compounds, other than Tranzyme's product candidates and internal programs, directed against a limited number of targets of interest to BMS. In fiscal year 2013, during the periodic reviews of the BMS collaboration agreement, the Company determined that BMS would terminate its efforts on the development of all macrocyclic compounds under development pursuant to collaboration agreement. The Company recorded an impairment charge of $3.1 million as a result. The Company does not expect to receive any future revenue associated with this collaboration agreement. Lyric Pharmaceuticals, Inc. During the year ended December 31, 2014, the Company entered into an Asset License and Purchase Agreement for the Sale and License of ulimorelin ("TZP-101"), the former lead compound of Tranzyme to Lyric Pharmaceuticals, Inc. (“Lyric”). Per the terms of the agreement, the Company received an up-front nonrefundable payment of $200,000 for the transfer of intellectual property and materials associated with TZP-101 and the licensing of associated patents with no further ongoing obligations to be performed by the Company. In addition, Lyric is solely responsible for the pre-clinical and clinical development of all products arising from the further development of TZP-101. If successful, the Company could receive future consideration as a percentage of the proceeds received by Lyric upon its sale or license to a third party, and under certain conditions, clinical and regulatory milestones totaling up to $25.0 million plus royalty payments from potential product sales generated by TZP-101.

Net Loss Per Share

Net Loss Per Share	12 Months Ended
	Dec. 31, 2015
Earnings Per Share [Abstract]
Net Loss Per Share	Net Loss Per Share Basic net loss per share is calculated by dividing the net loss by the weighted average number of common shares outstanding during the period. Diluted net loss per share is computed by dividing the net loss by the weighted average number of common shares and common share equivalents outstanding for the period. Common stock equivalents are only included when their effect is dilutive. The Company’s potentially dilutive securities which include convertible preferred stock, warrants, convertible notes payable and outstanding stock options under the stock option plan, have been excluded from the computation of diluted net loss per share as their inclusion would be anti-dilutive. For all periods presented, there is no difference in the number of shares used to compute basic and diluted shares outstanding. All shares and per share amounts for all periods presented in the following table have been adjusted retroactively to reflect the exchange for Tranzyme shares. The Company has utilized the “control number” concept in the computation of diluted earnings per share to determine whether potential common stock instruments are dilutive. The control number used is income from continuing operations. The control number concept requires that the same number of potentially dilutive securities applied in computing diluted earnings per share from continuing operations be applied to all other categories of income or loss, regardless of their anti-dilutive effect on such categories. The following table presents the computation of net loss per share (in thousands, except share and per share data): Years Ended December 31, 2015 2014 2013 Numerator Net loss from continuing operations $ (26,749 ) $ (24,624 ) $ (15,489 ) Net income (loss) from discontinued operations 227 1,199 (2,025 ) Net loss $ (26,522 ) $ (23,425 ) $ (17,514 ) Denominator Weighted average common shares outstanding used to compute net loss per share, basic and diluted 20,067,660 17,525,187 6,145,731 Net loss per share of common stock, basic and diluted: Net loss per share from continuing operations $ (1.33 ) $ (1.41 ) $ (2.52 ) Net income (loss) per share from discontinued operations 0.01 0.07 $ (0.33 ) Net loss per share $ (1.32 ) $ (1.34 ) $ (2.85 ) Potentially dilutive securities not included in the calculation of dilutive net loss per share are as follows (in common equivalent shares on a weighted-average basis): Years Ended December 31, 2015 2014 2013 Convertible preferred stock — — 2,604,305 Convertible preferred stock warrants — — 11,243 Common stock warrants 972,879 938,743 259,908 Common stock options 2,208,805 1,887,130 624,511 Total 3,181,684 2,825,873 3,499,967 In addition to the potentially dilutive securities noted above, the Company had outstanding convertible notes payable and accrued interest that were converted into 186,217 shares of common stock upon completion of the Merger. The Company has excluded these convertible notes payable from the table above.

Debt

Debt	12 Months Ended
	Dec. 31, 2015
Debt Disclosure [Abstract]
Debt	Debt Notes Payable On July 30, 2015, the Company and Ocera Subsidiary entered into a Loan and Security Agreement (the “Loan Agreement”) with Oxford Finance LLC (“Oxford”) and Silicon Valley Bank (“SVB”) (collectively, the “Lenders”). The Loan Agreement provides for up to $20.0 million in new term loans (the “Term Loan Facility”), $10.0 million of which was funded on July 30, 2015. The remaining $10.0 million is available for draw until December 31, 2016 at the Company’s discretion, subject to achievement of certain financial and clinical milestones. The milestones would be satisfied if the Company (a) has raised proceeds of at least $15.0 million from the sale of equity securities or upfront payments from a partnership agreement and (b) achieved positive data from its ongoing Phase 2b clinical trial of OCR-002. The annual interest rate for the initial $10.0 million funding is 8.275% , and the interest rate for the second tranche will be fixed upon drawdown at an annual rate of the greater of 8.275% or 8.085% plus the 30-day U.S. LIBOR rate. Loan payments are interest-only until February 1, 2017, followed by 30 equal monthly payments of principal and interest through the scheduled maturity date of August 1, 2019 if the second tranche is not drawn. If the second tranche is drawn, the interest-only period continues to August 1, 2017, followed by 24 equal monthly payments. In addition, a final payment equal to 3% of the aggregate amount drawn will be due at maturity or on earlier repayment. If the Company prepays all or a portion of the loans, a prepayment fee of between 1 - 3% of the principal amount prepaid will also be due depending on the timing of the prepayment. The 30-day U.S. LIBOR rate is 0.43% at December 31, 2015 . At the initial funding, the Company received net proceeds of $9.7 million after fees and expenses. These fees and expenses are being accounted for as a debt discount and classified within notes payable on the Company’s balance sheet. Consistent with the early adoption of ASU 2015-3, the Company's legal and consulting fees of $0.3 million are presented in the balance sheet as a direct deduction from the carrying amount of the notes liability, consistent with debt discounts. Debt discounts, issuance costs and the final payment are being amortized or accreted as interest expense over the term of the loan using the effective interest method. In connection with the Loan Agreement, the Company agreed to issue to the Lenders warrants to purchase shares of common stock equal to 4% of the amount loaned, divided by the exercise price, which was the average closing price of the common stock for the 10 trading days prior to funding. Accordingly, in connection with the initial funding, the Company issued the Lenders warrants to purchase an aggregate of 97,680 shares at an exercise price of $4.095 per share. The Company recorded $0.3 million for the relative value of the warrants as a debt discount within notes payable and an increase to additional paid-in capital on the Company’s balance sheet (see Note 6). The debt discount is being amortized as interest expense over the term of the loan using the effective interest method. The Term Loan Facility is secured by substantially all of our assets and the assets of Ocera Subsidiary, Inc., except that the collateral does not include any intellectual property held by us or Ocera Subsidiary. However, pursuant to the terms of a negative pledge arrangement, the Company has agreed not to encumber any of the intellectual property of the Company or our subsidiaries. The Loan Agreement contains customary representations, warranties and covenants by the Company, which covenants limit the Company's ability to convey, sell, lease, transfer, assign or otherwise dispose of certain of our assets; engage in any business other than the businesses we currently engage in or reasonably related thereto; liquidate or dissolve; make certain management changes; undergo certain change of control events; create, incur, assume, or be liable with respect to certain indebtedness; grant certain liens; pay dividends and make certain other restricted payments; make certain investments; enter into any material transactions with any affiliates, with certain exceptions; make payments on any subordinated debt; and permit certain of the Company's subsidiaries to maintain, own or otherwise hold any material assets or conduct any business operations other than as disclosed to the Lenders. In addition, subject to certain exceptions, the Company and Ocera Subsidiary are required to maintain with SVB their respective primary deposit accounts, securities accounts and commodity accounts. The Loan Agreement also contains customary indemnification obligations and customary events of default, including, among other things, our failure to fulfill certain of the Company's obligations under the Loan Agreement, the occurrence of a material adverse change, which is defined as a material adverse change in the Company's business, operations, or condition (financial or otherwise), a material impairment of the prospect of repayment of any portion of the loan, or a material impairment in the perfection or priority of the Lenders’ lien in the collateral or in the value of such collateral. In the event of default by the Company under the Loan Agreement, the Lenders would be entitled to exercise their remedies thereunder, including the right to accelerate the debt, upon which we may be required to repay all amounts then outstanding under the Loan Agreement, which could harm the Company's financial condition. The Company was in compliance with all applicable covenants set forth in the Loan Agreement as of December 31, 2015. The Company recorded interest expense related to the Term Loan Facility of $0.5 million for the twelve months ended December 31, 2015. The annual effective interest rate on the note payable, including the amortization of the debt discounts and accretion of the final payments, is 11.72% . Future payments under the Loan Agreement as of December 31, 2015 are as follows ( in thousands): Years ending December 31: 2016 $ 828 2017 3,839 2018 4,442 2019 3,261 Total minimum payments 12,370 Less amount representing interest 2,370 Notes payable, gross 10,000 Unamortized discount on notes payable (492 ) Notes Payable, balance 9,508 Current portion of notes payable — Non-current portion of notes payable $ 9,508 Convertible Notes Payable In March 2012, the Company entered into a convertible note and warrant purchase agreement with existing investors. The Company issued an aggregate principal amount of $1.5 million of convertible notes in an initial closing in March 2012 (the "March 2012 Notes"). The March 2012 Notes had an interest rate of 6% per annum and had a maturity date of the earlier of (i) March 30, 2013, (ii) a change of control, or (iii) an event of default. In connection with the March 2012 Notes, the lenders received warrants to purchase 65,731 shares of the Company’s common stock (the "March Warrants") at an exercise price of $0.67 per share. The March Warrants of 26,292 shares have a seven year term expiring on March 30, 2019 and the June Warrants of 39,439 shares have a seven year term expiring on June 30, 2019. In October 2012, the Company issued an aggregate amount of $1.5 million of convertible notes in a second closing with existing investors (the "October 2012 Notes"). The October 2012 Notes had an interest rate of 6% per annum and had a maturity date of the earlier of (i) October 1, 2013, (ii) a change of control, or (iii) an event of default. In connection with the October 2012 Notes, the lenders received warrants to purchase 65,731 shares of the Company’s common stock (the "October Warrants") at an exercise price of $0.67 per share. The October Warrants have a seven -year term set to expire on October 1, 2019. The common warrants issued in connection with the March 2012 Notes and October 2012 Notes became immediately exercisable at $ 0.67 per share. In March 2013, the Company amended the March 2012 Notes to extend the maturity date to October 1, 2013. In April 2013, the March 2012 Notes and October 2012 Notes were amended to change the note conversion date to automatically convert the unpaid principal and interest at the time of the Merger into shares of the Series C Preferred Stock of Private Ocera at the Series C Conversion Price of $2.04858 per share. There was no consideration paid, given or committed to the note holders by the Company in exchange for the modifications. The debt modification was evaluated under ASC 470-60, Troubled Debt Restructuring and under ASC 470-55, Debt Modification and Extinguishments. The Company determined that it was appropriate to account for the term extension and change to the conversion date on a prospective basis and the carrying amount of the debt remained unchanged. All costs incurred with third parties directly related to the maturity extension were expensed as incurred. There were no costs associated with the change to the note conversion date. On July 15, 2013, the March 2012 Notes and October 2012 Notes plus accrued interest of $ 0.2 million were converted into 186,217 shares of common stock in connection with the Merger. The Company recorded an aggregate of $0.2 million of non-cash interest expense and amortization of debt discount related to the convertible notes payable for the years ended December 31, 2013. Warrants Common Stock Warrants In connection with the $10.0 million initial funding under the Term Loan Facility in July 2015, the Company issued warrants to purchase a total of 97,680 shares of common stock to the Lenders (See Notes Payable above). The exercise price for each warrant is $4.095 per share. The warrants are immediately exercisable, and excluding certain mergers or acquisitions, will expire on July 30, 2025. The warrants were determined to be indexed to the Company's common stock and to meet the criteria to be classified in permanent stockholders' equity on the Company's balance sheet. The fair value of the warrants issued was approximately $0.3 million and was estimated using a Black-Scholes valuation model on a non-recurring basis with the following assumptions: fair value of common stock at issuance of $3.84 ; risk-free interest rate of 2.28% based upon observed risk-free interest rates appropriate for the expected term of the warrants; expected volatility of 87% based on the average historical volatilities of a peer group of publicly-traded companies within the Company’s industry; expected term of 10 years, which is the contractual life of the warrants; and a dividend yield of 0% . The allocation of proceeds to the warrants in a relative-fair-value allocation with the related notes payable was also $0.3 million . As of December 31, 2015, all of these warrants remained outstanding and exercisable. On July 15, 2013, warrants to purchase 19,243 shares of common stock of Tranzyme became warrants to purchase common stock of the Company in connection with the Merger. On November 8, 2013, the Company closed on a private placement pursuant to the Securities Purchase Agreement and sold 3,940,887 shares of common stock and warrants exercisable for an aggregate of 788,177 shares of common stock for an aggregate purchase price of $28.0 million . The warrants have a five year life at an exercise price of $7.663 per share. The following table summarizes the outstanding common stock warrants and the corresponding exercise price as of December 31, 2015 and 2014: Number of Warrants Outstanding at December 31 Per-Share Exercise Issuance Date 2015 2014 Price Expiration 12/3/2008 — 2,380 84.00 12/3/2015 9/30/2010 3,240 3,240 160.44 4/6/2016 1/31/2012 13,623 13,623 44.04 1/31/2022 3/30/2012 24,388 25,022 0.67 3/30/2019 6/30/2012 36,583 37,535 0.67 6/30/2019 10/1/2012 62,558 62,558 0.67 10/1/2019 11/8/2013 788,177 788,177 7.66 11/8/2018 7/30/2015 97,680 — 4.10 7/30/2025 Total 1,026,249 932,535 In December 2014, 6,347 warrants were exercised at an exercise price of $0.67 price per share in a cashless exercise with 5,604 shares of common stock being issued. In May 2015, 1,586 warrants were exercised at an exercise price of $0.67 price per share in a cashless exercise with 1,301 shares of common stock being issued. In December 2015, 2,380 warrants were expired and have been removed from the warrants outstanding table at December 31, 2015.

Stockholders' Equity

Stockholders' Equity	12 Months Ended
	Dec. 31, 2015
Equity [Abstract]
Stockholders' Equity	Stockholders’ Equity Convertible Preferred Stock Pursuant to the Merger, Private Ocera’s convertible notes payable plus accrued interest were converted to Series C convertible preferred stock at a rate of $2.04858 per share. Immediately thereafter, all shares of Private Ocera’s Series A, Series B and Series C convertible preferred stock was converted into shares of Private Ocera's common stock on a share for share basis. All resultant Private Ocera common stock was exchanged for 5,026,542 shares of Tranzyme common stock at a rate of one Private Ocera share for 0.11969414 Tranzyme shares. Common Stock On July 15, 2013, Private Ocera completed the Merger with Tranzyme as discussed in Note 1. Immediately prior to the effective time of the Merger, the principal and interest under Private Ocera's outstanding convertible notes converted into shares of Series C preferred stock of Private Ocera, and, immediately thereafter, all outstanding preferred stock of Private Ocera converted into the common stock of Private Ocera. At the effective time of the Merger, each outstanding share of Private Ocera's common stock was converted into shares of Tranzyme's common stock at the Exchange Ratio, with cash paid in lieu of any fractional shares. Pursuant to the Securities Purchase Agreement dated April 23, 2013, immediately following the consummation of the Merger, the combined company sold 3,317,976 shares of common stock for approximately $20.0 million of its common stock to the parties at a per share purchase price of $ 6.0264 . Issuance costs of $26,000 were charged to additional paid-in capital. On November 8, 2013, the Company closed on a private placement pursuant to the Securities Purchase Agreement and sold an aggregate of 3,940,887 shares of common stock and warrants to purchase an additional 788,177 shares of common stock for an aggregate purchase price of $28.0 million . The warrants may be exercised at any time at an exercise price of $7.663 per share and have a five year life. Issuance costs of $1.5 million were charged to additional paid-in capital. On July 10, 2014 the Company completed an underwritten public offering of its common stock in which 4,200,000 shares of common stock were sold for gross proceeds from the offering of $25.2 million . Issuance costs of $1.8 million were charged to additional paid-in capital. On May 15, 2015, the Company entered into the Sales Agreement (the “Sales Agreement”) with Cowen and Company, LLC (“Cowen”), pursuant to which the Company may issue and sell shares of its common stock having aggregate sales proceeds of up to $25,000,000 from time to time through an “at the market” equity program under which Cowen acts as sales agent. During the year ended December 31, 2015, the Company sold an aggregate of 946,497 shares of common stock under the Sales Agreement, at an average price of approximately $3.95 per share, for gross proceeds of $3.74 million and net proceeds of $3.45 million after deducting commissions and other transactions costs. As of December 31, 2015, $21.26 million of common stock remained available to be sold under the Sales Agreement, subject to certain conditions specified therein. Shares Reserved for Future Issuance The Company has reserved shares of its common stock for future issuance as of December 31, 2015 as follows: December 31, 2015 Stock options outstanding 2,429,511 Shares available for grant under stock option plans 1,299,301 Outstanding warrants 1,026,249 Total shares reserved for future issuance 4,755,061

Stock Options

Stock Options	12 Months Ended
	Dec. 31, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Stock Options	Stock Options In 2005, the Company adopted the Ocera Therapeutics, Inc. 2005 Stock Plan (the "Plan"). At the effective time of the Merger, each outstanding stock option to purchase common stock of Private Ocera under the Plan not exercised immediately prior to the effective time of the Merger, whether or not vested, was assumed by the Company and became exercisable for shares of the registrant’s common stock in accordance with the terms of the Merger Agreement and the Company assumed the 2005 Plan. Upon completion of the Merger, no options remain available for future grant under the 2005 Plan. On July 15, 2013, in connection with the Merger, the Company assumed the existing Tranzyme 2011 Stock Option and Incentive Plan (the "2011 Plan"), which authorized the issuance of 302,328 shares of common stock under the 2011 Plan. On August 13, 2013, the Company’s board of directors approved an amendment to the 2011 Plan to increase the maximum number of shares that may be issued under the 2011 Plan from 302,328 to 2,302,328 shares. In connection with this amendment, the Company’s board of directors authorized the grant of 1,454,200 common stock options to its employees. On August 30, 2013, the Company’s board of directors authorized the grant of 140,000 common stock options to non-employee members of the board of directors. The amendment to the 2011 Plan and the common stock option grants were subject to stockholder approval within twelve months from August 13, 2013. The amendment to the 2011 Plan was approved by stockholders on December 19, 2013. Given that the issuance of stock options granted on August 13, 2013 and August 30, 2013 options were subject to shareholder approval of the increase in the number of shares issuable to the 2011 Plan, the Company concluded the grant date for accounting purposes to be December 19, 2013, the date of shareholder approval. On April 23, 2015, the Company’s board of directors approved an amendment and restatement of the Company’s 2011 Stock Option and Incentive Plan (the “2011 Plan”) to, among other things, increase the maximum number of shares that may be issued under the 2011 Plan from 2,302,328 to 3,602,328 shares. The amendment and restatement of the 2011 Plan was approved by the Company’s stockholders on June 18, 2015. A summary of the Company's stock option activity and related information are as follows: Weighted-avg Shares Weighted-avg Remaining Aggregate Available Stock Options Exercise Price Contractual Intrinsic for Grant Outstanding Per Share Life (in Years) Value (in thousands) Balance at December 31, 2013 762,867 1,909,769 $ 8.77 8.58 $ 11,818 Stock options granted (1,007,500 ) 1,007,500 $ 7.44 Stock options exercised — (243,824 ) $ 1.72 2,719 Stock options cancelled 586,843 (586,843 ) $ 12.13 Balance at December 31, 2014 342,210 2,086,602 $ 8.01 8.63 $ 871 Additional shares authorized 1,300,000 Stock options granted (707,500 ) 707,500 $ 3.73 Stock options exercised — — $ — Stock options cancelled 364,591 (364,591 ) $ 6.44 Balance at December 31, 2015 1,299,301 2,429,511 $ 7.00 8.01 $ 287 At December 31, 2015: Vested and expected to vest 2,369,996 $ 7.04 6.89 $ 287 Exercisable 1,057,536 $ 8.41 6.89 $ 287 The Company’s stock options generally vest over one to four years and have a ten -year term. Stock options issued under the Plan were exercisable in advance of becoming vested. Stock options assumed in the Merger were fully vested on the date of Merger. As of December 31, 2015 , no shares were subject to repurchase. At December 31, 2015 , the intrinsic values of outstanding, vested and expected to vest and exercisable options were determined by multiplying the number of shares by the difference between the exercise price of the options and the fair value of the common stock. The total estimated grant date fair value of stock options vested during the years ended December 31, 2015 and 2014 is $4.1 million . The aggregate intrinsic value of options exercised during 2015, 2014 and 2013 is $0 , $2.7 million and $0.6 million , respectively. Stock-Based Compensation The Company's results of operations for the years ended December 31, 2015 , 2014 and 2013 included stock-based compensation expense of 4.0 million , $4.7 million and $0.5 million , respectively. The Company recognized stock-based compensation expense as follows (in thousands) : Years Ended December 31, 2015 2014 2013 Research and development $ 648 $ 1,595 $ 68 General and administrative 3,329 3,091 439 Total $ 3,977 $ 4,686 $ 507 The above table includes $24,000 , $17,000 and $88,000 of stock compensation expense for the years ended December 31, 2015 , 2014 and 2013 , respectively, related to stock option grants to nonemployee consultants. Stock Option Valuation Assumptions The following table summarizes the average estimates the Company used in the Black-Scholes option-pricing model for the years ended December 31, 2015, 2014 and 2013 to determine the fair value of stock options granted during each period. Years Ended December 31, 2015 2014 2013 Expected dividend yield —% —% —% Risk-free interest rates 1.52% - 2.08% 1.74% - 2.01% 0.06% - 2.02% Expected term (in years) 4.99 - 8.06 6.08 - 6.62 0.25 - 6.08 Expected volatility 76% - 92% 95% - 102% 52% - 100% The fair value of each grant of stock options was determined by the Company using the methods and assumptions discussed below. Each of these inputs is subjective and generally requires significant judgment to determine. Expected Dividend - The expected dividend assumption is based on the Company's history and expectation of dividend payouts. Risk-Free Interest Rate - The risk-free rate assumption is based on the U.S. Treasury instruments the terms of which were consistent with the expected term of the Company's stock options. Expected Term - The expected term of stock options represents the weighted-average period the stock options are expected to be outstanding. The Company has opted to use the simplified method for estimating the expected term as provided by the Securities and Exchange Commission. The simplified method calculates the expected term as the average time-to-vesting and the contractual life of the options. The Company's expected term for employee stock options is generally estimated to be 6.08 years. In 2014, the Company amended the non-employee director compensation policy to amend the exercise period of new awards from three months to one year following termination of services. The Company uses historical experience to estimate the expected term of awards granted with the extended exercise period. The Company's expected term for non-employee director options with the extended term is estimated to be 6.62 years . In 2015, the Company further amended the non-employee director compensation policy to amend the exercise period of all existing awards from one year to three years following termination of services. The Company's expected term for non-employee director options with the new extended term is estimated to be 8.06 . Expected Volatility - The expected stock price volatility assumption was determined by examining the historical volatilities of a group of industry peers. The Company will continue to analyze the historical stock price volatility and expected term assumptions as more historical data for the Company's common stock becomes available. Forfeiture Rate - ASC 718 requires forfeitures to be estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. Forfeitures were estimated based on historical experience. The Company may elect to use different assumptions under the Black-Scholes option-pricing model in the future. Future expense amounts for any particular period could be affected by changes in the Company's assumptions. Authoritative literature provides that it is reasonable for a company to continue to use the simplified method of determining the expected option term when a company has insufficient historical exercise data to provide a reasonable basis to estimate the expected option term. The Company expects to continue to use the simplified method for determining its expected employee option term because there is a limited amount of historical exercise data from which to form a reasonable basis to estimate the expected term of the Company's stock options. The Company records equity instruments issued to nonemployee as expense at their fair value over the related service period and the Company periodically revalues them each reporting period over the vesting term. During the years ended December 31, 2015 , 2014 and 2013 , the gross fair value of stock options granted were $1.8 million , $5.7 million and $15.8 million , respectively. As of December 31, 2015 , the Company had $7.6 million of unrecognized stock-based compensation costs which is expected to be recognized over a weighted average period of 2.22 years. In June 2012, the Company issued 61,653 shares of common stock options to an executive. One-half of the stock options vest monthly over a one year period from the vesting commencement date. The remainder of the stock options are performance based and would vest upon the closing of certain strategic or financing transactions. In April 2013, the terms of the stock option agreement were modified to further define the meaning of strategic or financing transactions such as the Merger Agreement. On July 15, 2013 as a result of the Merger, the performance based portion of the stock option vested and $0.2 million of stock compensation expense was recorded for the year ended December 31, 2013. In September 2014, the Company modified the terms of an existing stock option to an executive to extend the period of time to exercise the vested stock options from three month to one year following the termination of employment. $51,000 of stock compensation expense was recorded pursuant to this modification. In June and September 2014, the Company issued performance based stock options to two executives and modified an outstanding stock option agreement to accelerate vesting for a third executive based on the achievement of certain performance conditions. The performance conditions were not achieved by December 31, 2014 and the performance based awards and modified award were canceled. There was no stock compensation expense recorded for these performance based awards. In April 2015, the Company amended the non-employee director compensation policy again to amend the exercise period of all existing awards from three months to three year following such directors’ departure from the Company’s board of directors. $141,000 of stock compensation expense was recorded during the year ended December 31, 2015 pursuant to this modification. In May 2015, the Company modified the terms of an existing stock option to a former executive to extend the period of time to exercise the vested stock options from one year to three years following the termination of employment. $49,000 of stock compensation expense was recorded during the year ended December 31, 2015 pursuant to this modification. In June 2015, the Company granted 50,000 common stock options to a consultant, of which 25,000 stock options will vest based on the achievement of certain clinical milestones. During the year ended December 31, 2015 no expense has been recorded for the performance based options.

Income Taxes

Income Taxes	12 Months Ended
	Dec. 31, 2015
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes The following is consolidated loss before income taxes by income tax jurisdiction for continuing operations (in thousands) : Years Ended December 31, 2015 2014 2013 United States $ (26,749 ) $ (24,624 ) $ (15,489 ) No provision for federal or state income taxes has been recorded, as the Company has incurred cumulative net operating losses since inception. A reconciliation of the loss from continuing operations at the federal statutory tax rate of 34% to the Company's effective income tax rate is as follows (in thousands): Years Ended December 31, 2015 2014 2013 Income tax at statutory rate $ (9,094 ) $ (8,372 ) $ (5,267 ) State income tax, net of federal benefit 693 (4,180 ) (225 ) Permanent items 906 1,098 516 Credits (1,769 ) (3,156 ) (198 ) Refinement of §382 limitation — — (23,816 ) Unrecognized tax benefits — — 1,840 Change in valuation allowance 9,264 14,610 27,150 Provision for income taxes $ — $ — $ — Components of the Company's deferred tax assets and liabilities for federal income tax purposes are as follows (in thousands): Years Ended December 31, 2015 2014 Deferred tax assets: Net operating loss carryforwards $ 42,754 $ 36,066 Credits 7,141 5,659 Equity compensation 3,162 2,121 Accrued expenses and other reserves 45 6 Gross deferred tax assets 53,102 43,852 Valuation allowance (53,102 ) (43,838 ) Net deferred tax assets — 14 Deferred tax liabilities: Fixed assets and intangibles — (14 ) Net deferred tax liabilities — (14 ) Net deferred tax assets (liabilities): $ — $ — The Company has evaluated the evidence bearing upon the realizability of its net deferred tax assets including the Company's history of operating losses and has concluded that it is not more likely than not that the Company will realize the benefit of its deferred tax assets. Accordingly, the Company has recorded a full valuation allowance against its net deferred tax assets at December 31, 2015 and 2014. Pursuant to Internal Revenue Code ("IRC") Sections 382 and 383, annual use of the Company’s net operating loss and research and development credit carryforwards may be limited in the event a cumulative change in ownership of more than 50% occurs within a three-year period. As of December 31, 2015, the Company has $111.9 million of U.S. federal net operating loss ("NOL") carryforwards and $7.8 million of Orphan Drug Credit carryforwards, and $2.5 million of U.S. federal research and development carryforwards available for use, all of which have a full valuation allowance and will begin to expire in 2019 unless utilized. Not included in the deferred income tax asset balance at December 31, 2015 is approximately $0.3 million which pertains to certain net operating loss carryforwards resulting from the exercise of employee stock options. When recognized, the tax benefit of these losses will be accounted for as a credit to additional paid-in capital rather than a reduction of the income tax provision. As of December 31, 2015, the Company has North Carolina net economic loss carryforwards of approximately $5.4 million , which will begin to expire in 2022 unless utilized, and $0.09 million of research and development credits that will begin to expire in 2028 unless utilized. As of December 31, 2015, the Company has California state net operating loss carryforwards of approximately $64.7 million , which have begun to expire as of 2015, and $2.5 million of California research and development carryforwards that do not expire. Additional limitations as to the ability to use net operating loss or tax credit carryforwards may arise if the Company experiences an ownership change in subsequent years. The Company adopted accounting guidance related to accounting for uncertainty in income taxes on January 1, 2007, which prescribes a recognition threshold and measurement attribute criteria for the financial statement recognition and measurement of tax positions taken or expected to be taken in a tax return. For those benefits to be recognized, a tax position must be more-likely-than-not to be sustained upon examination by taxing authorities. As of December 31, 2015, the Company had $4.8 million of unrecognized tax benefits. A reconciliation of the current and prior year changes to the Company’s unrecognized tax benefits is as follows ( in thousands ): Unrecognized tax benefits as of December 31, 2012 $ — Increases in prior period positions 1,761 Increases in current period positions 79 Unrecognized tax benefits as of December 31, 2013 $ 1,840 Increases in prior period positions 647 Increases in current period positions 1,286 Unrecognized tax benefits as of December 31, 2014 $ 3,773 Increases in prior period positions 8 Increases in current period positions 980 Unrecognized tax benefits as of December 31, 2015 $ 4,761 As of December 31, 2015 , no unrecognized tax benefits are included in the balance sheet that would, if recognized, affect the Company's effective tax rate due to the valuation allowance that currently offsets deferred tax assets. The Company does not anticipate the total amount of unrecognized income tax benefits will significantly increase or decrease in the next 12 months. The Company will recognize interest and penalties related to uncertain tax positions in income tax expense. The Company determined that no accrual for interest and penalties was required as of December 31, 2015 . The Company has not completed a formal IRC Section 382 and 383 analysis. The statute of limitations for assessment by the Internal Revenue Service ("IRS") and state tax authorities is open for tax years ended December 31, 2011 through 2015, although carryforward attributes that were generated prior to tax year 2011 may still be adjusted upon examination by the IRS or state tax authorities if they either have been or will be used in a future period. There are currently no federal or state audits in progress. In November, 2015, the FASB issued ASU 2015-17, Balance Sheet Classification of Deferred Taxes. The ASU requires companies to classify all deferred tax assets and liabilities, along with any related valuation allowance, as noncurrent on the balance sheet and is part of the Board’s simplification initiative aimed at reducing complexity in accounting standards and. Although ASU 2015-17 is not required for public companies to implement until fiscal years beginning after December 15, 2016, early adoption is permitted. The Company has chosen to early adopt and has classified all of its deferred tax assets and liabilities, along with its valuation allowance as noncurrent on the balance sheet. The Company considers this change an improvement in the usefulness of information provided to users of the Company’s financial statements. The Company applied the standard prospectively and did not retrospectively adjust any prior periods.

Retirement Savings Plan

Retirement Savings Plan	12 Months Ended
	Dec. 31, 2015
Compensation and Retirement Disclosure [Abstract]
Retirement Savings Plan	Retirement Savings Plan The Company provides a qualified 401(k) savings plan for its employees. All employees are eligible to participate, provided they meet the requirements of the plan. Employee contributions are limited to a maximum annual amount as set periodically by the Internal Revenue Code. Following the Merger, the Company provides a contribution on the first 3% of an employee's eligible compensation subject to statutory limitations as proscribed by law. For the years ended December 31, 2015 , 2014 and 2013 the Company recorded $101,000 , $107,000 and $58,000 of expense, respectively, associated with matching employee contributions.

Commitments and Contingencies

Commitments and Contingencies	12 Months Ended
	Dec. 31, 2015
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies From time to time, the Company may be involved in disputes, including litigation, relating to claims arising out of operations in the normal course of our business. Any of these claims could subject the Company to costly legal expenses and, while the Company generally believes that it has adequate insurance to cover many different types of liabilities, our insurance carriers may deny coverage or our policy limits may be inadequate to fully satisfy any damage awards or settlements. If this were to happen, the payment of any such awards could have a material adverse effect on the Company's consolidated results of operations and financial position. Additionally, any such claims, whether or not successful, could damage our reputation and business. The Company is currently not a party to any legal proceedings, the adverse outcome of which, in management’s opinion, individually or in the aggregate, would have a material adverse effect on our consolidated results of operations or financial position. Indemnification As permitted under Delaware law and in accordance with the Company’s Bylaws and agreements entered into with the Company’s officers and directors, the Company indemnifies its officers and directors for certain events or occurrences, subject to certain limits, while the officer or director is or was serving at the Company’s request in such capacity. The indemnification agreements with the Company’s officers and directors terminate upon termination of their employment, but the termination does not affect claims for indemnification relating to events occurring prior to the effective date of termination. The maximum amount of potential future indemnification is unlimited; however, the Company’s director and officer insurance policy reduces the Company’s exposure and may enable the Company to recover a portion of any future amounts paid. The Company believes that the fair value of these indemnification agreements is minimal. Accordingly, the Company has not recorded any liabilities for these agreements in the years ended December 31, 2015 and 2014. In addition, the Company customarily agrees in the ordinary course of its business to indemnification provisions in its collaboration and licensing agreements, in agreements relating to the sale of assets, in various agreements involving parties performing services for the Company in the ordinary course of business and in its real estate leases. With respect to lease agreements, the indemnification provisions typically apply to claims asserted against the landlord relating to personal injury or property damage caused by the Company, to violations of law by the Company or to certain breaches of the Company’s contractual obligations. The indemnification provisions appearing in the Company’s collaboration and licensing agreements and in agreements relating to the sale of assets are similar, but in addition provide some limited indemnification for the collaborator, licensee or purchaser of assets in the event of third party claims alleging infringement of certain intellectual property rights or ownership rights. In each of the cases above, the indemnification obligation generally survives the termination of the agreement for some extended period, although the obligation typically has the most relevance during the contract term and for a short period of time thereafter. The maximum potential amount of future payments that the Company could be required to make under these provisions can be unlimited, but is sometimes limited by the value of payments made under the agreement or by an escrow amount. The Company has purchased insurance policies covering personal injury, property damage and general liability that reduce its exposure for indemnification and would enable it in many cases to recover a portion of any future amounts paid. The Company has never paid any material amounts to defend lawsuits or settle claims related to these indemnification provisions. Accordingly, the Company believes the estimated fair value of these indemnification arrangements is minimal. Accordingly, the Company has not recorded any liabilities for these agreements in the years ended December 31, 2015 and 2014. Leases In October 2013, the Company entered into an agreement to sublease office space located at 525 University Avenue, Palo Alto, California for the period October 10, 2013 through December 31, 2016. These premises serve as the Company's corporate headquarters. In May 2015, the Company amended the sublease for this facility by extending term of the lease through December 31, 2016. The Company has an option to extend the sublease term for an additional 12 months at the end of the term. The term of the sublease is not different from the terms of the underlying lease. Upon the Merger, the Company obtained office space located at 5001 South Miami Boulevard, Durham, North Carolina under a lease agreement. In June 2015, the Company amended the lease for this facility by extending term of the lease through January 31, 2017. Provisions of these facilities leases generally provide for abatement of rent during certain periods and escalating rent payments during the original and extended lease terms. Rent expense is being recorded on a straight-line basis over the life of the lease. Rent expense was $0.3 million , $0.2 million , $0.3 million for the years ended December 31, 2015, 2014 and 2013, respectively. The following is a schedule of non-cancellable future minimum lease payments for operating leases at December 31, 2015 ( in thousands ): Year Ended December 31, 2016 $ 379 2017 15 Total $ 394

Subsequent Events (Notes)

Subsequent Events (Notes)	12 Months Ended
	Dec. 31, 2015
Subsequent Events [Abstract]
Subsequent events	Subsequent events In January 2016, the Company’s board of directors authorized the grant of 1,337,500 common stock options to its employees. Pursuant to the Company's "at the market" equity program, in February 2016, the Company sold 600,000 shares of common stock under a Sales Agreement, at an average price of approximately $3.00 per share for gross proceeds of approximately $1.8 million .

Summary of Operations by Quarte

Summary of Operations by Quarter (Unaudited)	12 Months Ended
	Dec. 31, 2015
Quarterly Financial Information Disclosure [Abstract]
Summary of Operations by Quarter (Unaudited)	Summary of Operations by Quarter (Unaudited) (In Thousands, Except Share and Per Share Amounts) Year Ended December 31, 2015: Quarter First Second Third Fourth Revenue $ 31 $ 43 $ 35 $ 24 Operating expenses $ 6,695 $ 6,290 $ 6,648 $ 6,836 Net loss from continuing operations $ (6,651 ) $ (6,221 ) $ (6,793 ) $ (7,084 ) Net loss $ (6,651 ) $ (6,221 ) $ (6,574 ) $ (7,076 ) Net loss per share from continuing operations— basic and diluted $ (0.34 ) $ (0.31 ) $ (0.34 ) $ (0.34 ) Net loss per share— basic and diluted $ (0.34 ) $ (0.31 ) $ (0.33 ) $ (0.34 ) Shares used to compute net loss per share— basic and diluted 19,747,362 19,772,345 20,183,939 20,556,822 Year Ended December 31, 2014: Quarter First Second Third Fourth Revenue $ 45 $ 33 $ 233 $ 30 Operating expenses $ 5,240 $ 7,288 $ 6,912 $ 5,579 Net loss from continuing operations $ (5,182 ) $ (7,243 ) $ (6,661 ) $ (5,538 ) Net loss $ (4,065 ) $ (7,223 ) $ (6,603 ) $ (5,534 ) Net loss per share from continuing operations—basic and diluted $ (0.34 ) $ (0.46 ) $ (0.34 ) $ (0.28 ) Net loss per share—basic and diluted $ (0.27 ) $ (0.46 ) $ (0.34 ) $ (0.28 ) Shares used to compute net loss per share—basic and diluted 15,421,234 15,539,053 19,330,888 19,742,245 Because of the method used in calculating per share data, the quarterly per share data will not necessarily add to the per share data as computed for the year.

Summary of Significant Accoun23

Summary of Significant Accounting Policies (Policies)	12 Months Ended
	Dec. 31, 2015
Accounting Policies [Abstract]
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles in the United States ("GAAP") requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates.
Principles of Consolidation	Principles of Consolidation The consolidated financial statements include the accounts of Ocera Therapeutics, Inc., and its subsidiary, Ocera Subsidiary, Inc. All significant intercompany balances and transactions have been eliminated. All amounts included in these notes to consolidated financial statements are reported in U.S. dollars, unless otherwise indicated.
Discontinued Operations	Discontinued Operations On September 11, 2013, the Board of Directors approved a restructuring plan related to the operations of Tranzyme Pharma Inc. and its Sherbrooke, Quebec facility ("Tranzyme Pharma"), whereby the Company closed the operations of the facility effective as of November 11, 2013. On December 13, 2013, the Company entered into a Technology Transfer and License Agreement to sell the Company’s MATCH discovery platform and license the related intellectual property rights. The Company concluded that since Tranzyme Pharma's operations and the MATCH discovery platform comprised a component with distinct operations and cash flows that would be eliminated from ongoing operations, and the Company would not have significant involvement after the disposal, these components would be accounted for as discontinued operations. The results of operations of the components to be disposed of, related restructuring costs and gain on disposal of assets have been classified as net income (loss) from discontinued operations from their date of acquisition on July 15, 2013 through December 31, 2015 . The assets and liabilities of Tranzyme Pharma have been classified as assets and liabilities, respectively, of discontinued operations.
Segment Reporting	Segment Reporting Operating segments are identified as components of an enterprise about which separate discrete financial information is available for evaluation by the chief operating decision maker in making decisions regarding resource allocation and assessing performance
Cash and Cash Equivalents	Cash and Cash Equivalents Cash and cash equivalents are stated at cost, which approximates fair value. The Company considers all highly liquid investments with original maturities of three months or less at the date of purchase to be cash equivalents. Cash and cash equivalents include money market funds and various deposit accounts.
Concentration of Credit Risk	Concentration of Credit Risk Financial instruments that potentially subject the Company to a significant concentration of credit risk consist primarily of cash and cash equivalents and securities available-for-sale. The Company maintains deposits in federally insured financial institutions in excess of federally insured limits. However, management believes the Company is not exposed to significant credit risk due to the financial position of the depository institutions in which those deposits are held. Additionally, the Company has established guidelines regarding diversification of its investments and their maturities, which are designed to maintain safety and liquidity.
Investments	Investments The Company invests in marketable securities, primarily money market funds, commercial paper, government agency debt securities and U.S. and foreign corporate debt securities. Investments with original maturities greater than 90 days that mature less than one year from the consolidated balance sheet date are classified as short-term investments. Those investments with a maturity date greater than one year at each balance sheet date are considered to be long-term investments. The Company further classifies investments as short-term or long-term based upon whether such assets are reasonably expected to be realized in cash or sold or consumed during the normal cycle of business. As of December 31, 2015 and 2014 all investments in marketable securities were classified as available-for-sale. The Company classifies all of its investments, as available-for-sale and records such assets at estimated fair value in the consolidated balance sheets, with unrealized gains and losses, if any, reported as a component of accumulated other comprehensive income (loss) in stockholders’ equity (deficit). Debt securities are adjusted for amortization of premiums and accretion of discounts and such amortization and accretion are reported as a component of interest income
Fair Value of Financial Instruments	Fair Value of Financial Instruments Fair value is the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the measurement date. The Company uses the market approach valuation technique for fair value measurements on a recurring basis and attempts to maximize the use of observable inputs and minimize the use of unobservable inputs. The fair value hierarchy prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. All of our cash equivalents and investments are measured using inputs classified at Level 1 or Level 2 within the fair value hierarchy. Level 1 inputs are quoted prices in active markets for identical assets. Level 2 inputs are based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active and model-based valuation techniques for which all significant inputs are observable in the market or can be corroborated by observable market data for substantially the full term of the assets. Level 3 inputs are unobservable inputs that are supported by little or no market activity and are significant to the fair value of the assets or liabilities. Where applicable, these models project future cash flows and discount the future amounts to a present value using market-based observable inputs obtained from various third-party data providers, including but not limited to, benchmark yields, interest rate curves, reported trades, broker/dealer quotes and market reference data. The carrying amounts of the Company's financial instruments, including cash equivalents, accounts payable and accrued liabilities, approximate fair value due to their short maturities.
Property and Equipment, net	Property and Equipment, net Property and equipment, net, are stated at cost less accumulated depreciation. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets. Useful lives generally range from three to five years .
Intangible Assets and Goodwill	Intangible Assets and Goodwill The Company recorded intangible assets and goodwill upon the Merger. Acquired intangible assets are amortized on a straight-line basis over the remaining estimated economic life of 2.5 to 5 years. The Company reviews its intangible assets for impairment whenever events or changes in circumstances indicate that the carrying amount of a long-lived asset may not be recoverable. Recoverability of an asset is measured by comparing its carrying amount to the expected future undiscounted cash flows that the asset group is expected to generate. If it is determined that the carrying amount is not recoverable, an impairment loss is recorded in the amount by which the carrying amount of the asset exceeds its fair value. The Company recorded an impairment loss of $3.1 million in the year ended December 31, 2013 due to the termination of work by Bristol-Myers Squibb on macrocyclic compounds under the collaboration agreement. No impairment was recorded in the years ended December 31, 2014 and 2015. The Company performs an annual qualitative assessment of its goodwill to determine if any events or circumstances exist, such as an adverse change in business climate or adverse developmental or regulatory results of OCR-002, that would indicate that it would more likely than not reduce the fair value of a reporting unit below its carrying amount, including goodwill. If events or circumstances do not indicate that the fair value of a reporting unit is below its carrying amount, then goodwill is not considered to be impaired and no further testing is required. The determination of fair value requires significant judgment and estimates.
Foreign Currency Translation	Foreign Currency Translation The Company's consolidated financial statements are presented in U.S. dollars. The financial statements of Tranzyme Pharma (a discontinued entity) are re-measured from the local currency to U.S. dollars, as follows: monetary assets and liabilities are translated at the exchange rate in effect at the balance sheet date and non-monetary items at exchange rates in effect when the assets were acquired or non-monetary liabilities incurred. Revenue and expenses are translated at the average exchange rates prevailing during the period of the transaction. The gains and losses resulting from the translation of foreign currency financial statements of discontinued entity into U.S. dollars are reported in loss from discontinued operations. The translation adjustment of cash balances held in Canadian dollars are reported in interest and other expense
Revenue Recognition	Revenue Recognition The Company recognizes revenue from the delivery of collaborative research services, license agreements for the development and commercialization of products and from royalties. During 2013, collaboration research revenue is disclosed as discontinued operations in the Company’s Consolidated Statements of Operation and Comprehensive Loss. For each source of revenue, the Company applies revenue recognition criteria in the following manner: Multiple element arrangements such as collaboration agreements which may include an upfront license and ongoing services are analyzed to determine whether the deliverables within the agreement can be separated or whether they must be accounted for as a single unit of accounting. Deliverables under the agreement will be accounted for as separate units of accounting provided that (i) a delivered item has value to the customer on a stand-alone basis; and (ii) if the agreement includes a general right of return relative to the delivered item, delivery or performance of the undelivered item is considered probable and substantially in the control of the vendor. The allocation of consideration amongst the deliverables under the agreement is derived using a "best estimate of selling price" if vendor specific objective evidence and third-party evidence of fair value is not available. If the delivered element does not have stand-alone value, the arrangement is then accounted for as a single unit of accounting, and the Company will recognize the consideration received under the arrangement as revenue on a straight-line basis over the estimated period of performance. License fees from license agreements are recognized when the amounts are earned and determinable during the applicable period. The Company recognizes up-front nonrefundable license fees when due under contractual agreements and when the Company does not have a continuing obligation to provide services related to the agreement. Revenue associated with nonrefundable up-front license fees under arrangements where the license fees and research and development activities cannot be accounted for as separate units of accounting is deferred and recognized as revenue on a straight-line basis over the expected term of our continued involvement in the research and development process. The Company recognizes royalty payments as revenue when earned. At the end of each accounting period, estimates of royalty amounts due are made based on estimated sales information from the Company's customers.
Clinical Trial Accruals	Clinical Trial Accruals As part of the process of preparing financial statements, the Company estimates its clinical trial accruals. This process involves identifying services that have been performed and estimating the level of service performed and the associated cost incurred for the service when the Company has not yet been invoiced or otherwise notified of actual cost. The Company's clinical trial accruals are based on estimates of patient enrollment and related costs at clinical investigator sites as well as estimates for the services received and efforts expended pursuant to contracts with multiple research institutions and clinical research organizations that conduct and manage clinical trials on the Company's behalf. The Company accrues expense related to clinical trials based on contracted amounts applied to the level of patient enrollment and activity according to the protocol. If timelines or contracts are modified based upon changes in the clinical trial protocol or scope of work to be performed, the Company modifies the estimates of clinical trial accruals accordingly. To date, the Company has had no significant adjustments to accrued clinical trial expenses. The financial terms of these agreements are subject to negotiation, vary from contract to contract and may result in uneven payment flows. Payments under some of these contracts depend on factors such as the successful enrollment of patients and the completion of clinical trial milestones. In accruing service fees, the Company estimates the time period over which services will be performed and the level of effort to be expended in each period.
Stock-Based Compensation	Stock-Based Compensation Stock-based compensation is recognized as an expense in the financial statements based on the grant date fair value. For awards that vest based on service conditions, the Company uses the straight-line method to allocate compensation expense to reporting periods. For performance-based stock options, the Company begins to recognize the expense when it is deemed probable that the performance-based goal will be met. The Company evaluates the probability of achieving performance-based goals at each reporting date. Stock-based compensation expense is based on awards ultimately expected to vest, and therefore the recorded expense includes an estimate of future forfeitures. Forfeitures are to be estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. The Company estimates the fair value of stock options and stock purchase rights using a Black-Scholes option pricing model which requires the input of highly subjective assumptions, including the option’s expected life and the price volatility of the underlying stock. The Company generally uses the simplified method for estimating the expected term for stock options with standard terms as provided by the Securities and Exchange Commission. The simplified method calculates the expected term as the average of time-to-vesting and the contractual life of the options. The expected stock price volatility assumption was determined by examining the historical volatilities of a group of industry peers. Forfeitures are estimated using the Company's historical experience of stock options forfeited.
Income Taxes	Income Taxes The Company accounts for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, the Company determine deferred tax assets and liabilities on the basis of the differences between the financial statement and tax bases of assets and liabilities by using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date. The Company recognizes deferred tax assets to the extent that they believe that these assets are more likely than not to be realized. In making such a determination, it considers all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, and results of recent operations. If it is determined that the Company would be able to realize deferred tax assets in the future in excess of their net recorded amount, it would make an adjustment to the deferred tax asset valuation allowance, which would reduce the provision for income taxes. The recognition and measurement of tax benefits requires significant judgment. Judgments concerning the recognition and measurement of tax benefit might change as new information becomes available. The Company records uncertain tax positions in accordance with ASC 740, Income Taxes on the basis of a two-step process in which it determines whether it is more likely than not that the tax positions will be sustained on the basis of the technical merits of the position and for those tax positions that meet the more-likely-than-not recognition threshold, the Company recognizes the largest amount of tax benefit that is more than 50% likely to be realized upon ultimate settlement with the related tax authority.
Recent Accounting Pronouncements	Recent Accounting Pronouncements Occasionally, new accounting standards are issued or proposed by the Financial Accounting Standards Board (the "FASB"), or other standards-setting bodies that the Company adopts by the effective date specified within the standard. Unless otherwise discussed, standards that do not require adoption until a future date are not expected to have a material impact on the Company's financial statements upon adoption. In April 2014, the FASB issued Accounting Standards Update, or ASU, No. 2014-08, Presentation of Financial Statements (Topic 205) and Property, Plant and Equipment (topic 360); Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity. ASU 2014-08 provides additional requirements to classify a disposal of a component of an entity or a group of components of an entity in discontinued operations only if the disposal represents a strategic shift that has (or will have) a major effect on an entity’s operations and financial results. The guidance is effective for fiscal years, and interim periods within those years, beginning after December 15, 2014, with an option for early adoption. The Company adopted this guidance at the beginning of our first quarter of fiscal year 2015. In May 2014, the FASB issued Accounting Standards Update, or ASU, No. 2014-09, Revenue from Contracts with Customers. ASU 2014-09 requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. ASU 2014-09 will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. The new standard will become effective for the Company on January 1, 2017. In June 2014, the FASB issued Accounting Standards Update, or ASU, No. 2014-10, Development Stage Entities (Topic 915) . ASU 2014-10 removes the distinction between development stage entities and other reporting entities in U.S. GAAP and eliminates the requirement to label financial statements as those of a development stage entity and eliminates the requirement to present inception to date information in the statements of income, cash flows and shareholder equity. The guidance is applied retroactively and is effective for fiscal years, and interim periods within those years, beginning after December 15, 2014, with an option for early adoption. The Company early adopted this guidance in 2014, and as a result, has removed the label “A Development Stage Company” from its financial statements and accompanying notes and eliminated the inception to date information from the Consolidated Statements of Operations and Comprehensive Loss and Consolidated Statements of Cash Flows. Other than presentation, the adoption of this standard did not have a material impact on the Company’s financial statements. In August 2014, the FASB issued Accounting Standards Update, or ASU, No. 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern. ASU 2014-15 requires management to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures. In doing so, companies will have reduced diversity in the timing and content of footnote disclosures than under today’s guidance. ASU 2014-15 is effective for the Company in the first quarter of 2016 with early adoption permitted. The Company does not believe the impact of adopting this standard will be material on the Company's financial statements. In April 2015, the FASB issued ASU 2015-03, Simplifying the Presentation of Debt Issuance Costs , which requires debt issuance costs to be presented in the balance sheet as a direct deduction from the carrying value of the associated debt liability, consistent with the presentation of a debt discount. The recognition and measurement guidance for debt issuance costs are not affected by this guidance. The guidance is effective for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. The Company has chosen to early adopt this guidance and present the debt issuance costs in the balance sheet as a direct deduction from the carrying value of the associated debt liability, consistent with the presentation of a debt discount. In November 2015, the FASB issued Accounting Standards Update (the "ASU"), 2015-17, Income Taxes, which requires deferred tax assets and liabilities to be classified as noncurrent in a classified statement of financial position. The new accounting guidance is effective for annual reporting periods beginning after December 15, 2016 and interim periods therein. Early adoption is permitted for all entities as of the beginning of interim or annual reporting periods. The Company has chosen to early adopt and has classified all of its deferred tax assets and liabilities, along with its valuation allowance as noncurrent on the December 31, 2015 balance sheet. The Company applied the standard prospectively and did not retrospectively adjust any prior periods. In February 2016, the FASB issued Accounting Standards Update 2016-02, Leases, to increase transparency and comparability among organizations by requiring recognition of lease assets and lease liabilities on the balance sheet and disclosure of key information about leasing arrangements. The standard will become effective for interim and annual periods beginning after December 15, 2018, with early adoption permitted. The guidance is required to be adopted at the earliest period presented using a modified retrospective approach. The Company is currently evaluating the impact the provisions it will have on the consolidated financial statements and whether it will adopt the guidance early.
Net loss per share	Basic net loss per share is calculated by dividing the net loss by the weighted average number of common shares outstanding during the period. Diluted net loss per share is computed by dividing the net loss by the weighted average number of common shares and common share equivalents outstanding for the period. Common stock equivalents are only included when their effect is dilutive. The Company’s potentially dilutive securities which include convertible preferred stock, warrants, convertible notes payable and outstanding stock options under the stock option plan, have been excluded from the computation of diluted net loss per share as their inclusion would be anti-dilutive. For all periods presented, there is no difference in the number of shares used to compute basic and diluted shares outstanding. All shares and per share amounts for all periods presented in the following table have been adjusted retroactively to reflect the exchange for Tranzyme shares. The Company has utilized the “control number” concept in the computation of diluted earnings per share to determine whether potential common stock instruments are dilutive. The control number used is income from continuing operations. The control number concept requires that the same number of potentially dilutive securities applied in computing diluted earnings per share from continuing operations be applied to all other categories of income or loss, regardless of their anti-dilutive effect on such categories.

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	12 Months Ended
	Dec. 31, 2015
Fair Value Disclosures [Abstract]
Assets and Liabilities Measured at Fair Value on a Recurring Basis	Assets and liabilities measured at fair value on a recurring basis as of December 31, 2015 are as follows (in thousands) : Balance as of December 31, 2015 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Money market funds $ 34,806 $ 34,806 $ — $ — Corporate debt securities 7,415 — 7,415 — Total assets $ 42,221 $ 34,806 $ 7,415 $ — Assets and liabilities measured at fair value on a recurring basis as of December 31, 2014 are as follows (in thousands) : Balance as of December 31, 2014 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Money market funds $ 9,171 $ 9,171 $ — $ — Commercial paper 3,750 — 3,750 — Corporate debt securities 36,790 — 36,790 — Government agency debt securities 500 — 500 — Total assets $ 50,211 $ 9,171 $ 41,040 $ —
Schedule of Change in Fair Value of Level 3 Liabilities	The following table provides the change in the fair value of Level 3 liabilities for the year ended December 31, 2013 (in thousands): Convertible Balance at December 31, 2012 $ 16 Change in fair value of warrant liability (15 ) Conversion of preferred stock warrants into common stock warrants (1 ) Balance at December 31, 2013 $ —

Balance Sheet Components (Table

Balance Sheet Components (Tables)	12 Months Ended
	Dec. 31, 2015
Balance Sheet Components [Abstract]
Summary of Available for Sale Investments	The following table summarizes the Company's available for sale investments as of December 31, 2014 (in thousands): Maturity (in Years) Amortized Cost Unrealized Gains Unrealized Losses Estimated Fair Value Short-term investments: Commercial paper 1 or less $ 3,748 $ 2 $ — $ 3,750 Corporate debt securities 1 or less 33,379 — (17 ) 33,362 Total 37,127 2 (17 ) 37,112 Long-term investments: Corporate debt securities 1 to 2 3,439 — (11 ) 3,428 Government agency debt securities 1 to 2 501 — (1 ) 500 Total 3,940 — (12 ) 3,928 Total investments $ 41,067 $ 2 $ (29 ) $ 41,040 The following table summarizes the Company's available for sale investments as of December 31, 2015 (in thousands): Maturity (in Years) Amortized Cost Unrealized Gains Unrealized Losses Estimated Fair Value Short-term investments: Corporate debt securities 1 or less 7,420 — (5 ) 7,415 Total short-term investments $ 7,420 $ — $ (5 ) $ 7,415
Property and Equipment Components	Property and equipment consisted of the following (in thousands) : Useful Life December 31, (in years) 2015 2014 Computer equipment and software 1.5 to 3 years $ 128 $ 53 Office furniture and equipment 5 years 68 68 Total property and equipment, gross 196 121 Less: accumulated depreciation (102 ) (60 ) Total property and equipment, net $ 94 $ 61
Net Book Value of Acquired Intangible Assets	The net book value of acquired intangible assets as of December 31, 2015 and 2014 were as follows (in thousands) : December 31, Customer Agreements: 2015 2014 Carrying value $ 410 $ 410 Accumulated amortization (410 ) (239 ) Intangible assets, net $ — $ 171 Weighted average remaining life (in years) — 1.0
Schedule of Accrued Liabilities	Accrued liabilities were as follows (in thousands) : December 31, 2015 2014 Clinical trials $ 1,666 $ 897 Compensation and related expenses 993 678 Professional services 319 343 Interest expense 110 — Other 45 48 $ 3,133 $ 1,966

Merger with Tranzyme (Tables)

Merger with Tranzyme (Tables)	12 Months Ended
	Dec. 31, 2015
Business Combinations [Abstract]
Purchase price	The purchase price for Tranzyme is as follows (in thousands) : Fair value of Tranzyme shares outstanding $ 13,249 Fair value of vested Tranzyme stock options 275 Purchase Price $ 13,524
Summary of the preliminary adjusted allocation of the purchase price	The following table summarizes the preliminary determination of the purchase price to the assets acquired and liabilities assumed (in thousands): Purchase Price Cash and cash equivalents $ 7,464 Accounts and investment tax credits receivable, net 636 Prepaid expenses and other assets 159 Fixed assets 744 Intangible assets 5,940 Goodwill 1,054 Accounts payable (1,029 ) Accrued and long-term liabilities (1,307 ) Deferred revenue (137 ) $ 13,524
Schedule of intangible assets acquired	he following table includes the intangible assets identified as of the acquisition date and the estimated lives prior to impairment and reclassification to discontinued operations (in thousands, except for useful life): Continuing operations Discontinued operations Total Useful life Customer relationships $ 3,700 $ 480 $ 4,180 2.5 to 5 years Developed technology — 1,760 1,760 5 years Total $ 3,700 $ 2,240 $ 5,940

Discontinued Operations (Tables

Discontinued Operations (Tables)	12 Months Ended
	Dec. 31, 2015
Restructuring and Related Activities [Abstract]
Discontinued Operations Included in the Income Statement and Balance Sheets	During the Year Ended December 31, 2014 the Company completed its obligations under the Technology Transfer and License Agreement with Genentech and Roche and recognized a gain on disposal of assets of $1.1 million within discontinued operations as detailed below (in thousands) : Year Ended December 31, 2014 Proceeds recognized pursuant to Technology Transfer and License Agreement $ 4,000 Less carrying value of assets sold: Intangibles assets (2,053 ) Property and equipment (356 ) Goodwill (442 ) Net gain on disposal of assets $ 1,149 The results of Tranzyme Pharma and related asset groups are disclosed as discontinued operations in the Company’s Consolidated Statements of Operations and Comprehensive Loss for all periods presented (in thousands) : Years Ended December 31, 2015 2014 2013 Revenue $ — $ — $ 467 Expenses: Research and development — — (1,134 ) General and administrative — — (220 ) Amortization of intangibles — — (187 ) Restructuring settlements (charges) — 68 (859 ) Gain (loss) on disposal of assets — 1,149 (86 ) Other income (expense), net 227 (6 ) (6 ) Recognition of accumulated translation adjustments upon deconsolidation of subsidiary — (12 ) — Net income (loss) from discontinued operations $ 227 $ 1,199 $ (2,025 )
Schedule of Estimated Expenses to be Incurred and Expensed	The following table summarizes the Company’s restructuring activities during the years ended December 31, 2014 and December 31, 2013 (in thousands) : Post- Employment Benefits Moving and Shipping Costs Operating Activities Total Restructuring charges $ 700 $ 114 $ 45 $ 859 Cash payments and other settlements (308 ) (15 ) (34 ) (357 ) Accrued restructuring at December 31, 2013 $ 392 $ 99 $ 11 $ 502 Cash payments and other settlements (392 ) (31 ) (11 ) (434 ) Settlement of certain restructuring charges — (68 ) — (68 ) Accrued restructuring at December 31, 2014 $ — $ — $ — $ —

Net Loss Per Share (Tables)

Net Loss Per Share (Tables)	12 Months Ended
	Dec. 31, 2015
Earnings Per Share [Abstract]
Schedule of Earnings Per Share	The following table presents the computation of net loss per share (in thousands, except share and per share data): Years Ended December 31, 2015 2014 2013 Numerator Net loss from continuing operations $ (26,749 ) $ (24,624 ) $ (15,489 ) Net income (loss) from discontinued operations 227 1,199 (2,025 ) Net loss $ (26,522 ) $ (23,425 ) $ (17,514 ) Denominator Weighted average common shares outstanding used to compute net loss per share, basic and diluted 20,067,660 17,525,187 6,145,731 Net loss per share of common stock, basic and diluted: Net loss per share from continuing operations $ (1.33 ) $ (1.41 ) $ (2.52 ) Net income (loss) per share from discontinued operations 0.01 0.07 $ (0.33 ) Net loss per share $ (1.32 ) $ (1.34 ) $ (2.85 )
Schedule of Antidilutive Securities Excluded from Computation	Potentially dilutive securities not included in the calculation of dilutive net loss per share are as follows (in common equivalent shares on a weighted-average basis): Years Ended December 31, 2015 2014 2013 Convertible preferred stock — — 2,604,305 Convertible preferred stock warrants — — 11,243 Common stock warrants 972,879 938,743 259,908 Common stock options 2,208,805 1,887,130 624,511 Total 3,181,684 2,825,873 3,499,967

Debt (Tables)

Debt (Tables)	12 Months Ended
	Dec. 31, 2015
Debt Disclosure [Abstract]
Schedule of maturities	Future payments under the Loan Agreement as of December 31, 2015 are as follows ( in thousands): Years ending December 31: 2016 $ 828 2017 3,839 2018 4,442 2019 3,261 Total minimum payments 12,370 Less amount representing interest 2,370 Notes payable, gross 10,000 Unamortized discount on notes payable (492 ) Notes Payable, balance 9,508 Current portion of notes payable — Non-current portion of notes payable $ 9,508
Schedule of Outstanding Convertible Preferred and Common Stock Warrants and Corresponding Exercise Price	The following table summarizes the outstanding common stock warrants and the corresponding exercise price as of December 31, 2015 and 2014: Number of Warrants Outstanding at December 31 Per-Share Exercise Issuance Date 2015 2014 Price Expiration 12/3/2008 — 2,380 84.00 12/3/2015 9/30/2010 3,240 3,240 160.44 4/6/2016 1/31/2012 13,623 13,623 44.04 1/31/2022 3/30/2012 24,388 25,022 0.67 3/30/2019 6/30/2012 36,583 37,535 0.67 6/30/2019 10/1/2012 62,558 62,558 0.67 10/1/2019 11/8/2013 788,177 788,177 7.66 11/8/2018 7/30/2015 97,680 — 4.10 7/30/2025 Total 1,026,249 932,535

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	12 Months Ended
	Dec. 31, 2015
Equity [Abstract]
Schedule of Common Stock Shares Reserved for Future Issuance	The Company has reserved shares of its common stock for future issuance as of December 31, 2015 as follows: December 31, 2015 Stock options outstanding 2,429,511 Shares available for grant under stock option plans 1,299,301 Outstanding warrants 1,026,249 Total shares reserved for future issuance 4,755,061

Stock Options (Tables)

Stock Options (Tables)	12 Months Ended
	Dec. 31, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Summary of Stock Option Activity	A summary of the Company's stock option activity and related information are as follows: Weighted-avg Shares Weighted-avg Remaining Aggregate Available Stock Options Exercise Price Contractual Intrinsic for Grant Outstanding Per Share Life (in Years) Value (in thousands) Balance at December 31, 2013 762,867 1,909,769 $ 8.77 8.58 $ 11,818 Stock options granted (1,007,500 ) 1,007,500 $ 7.44 Stock options exercised — (243,824 ) $ 1.72 2,719 Stock options cancelled 586,843 (586,843 ) $ 12.13 Balance at December 31, 2014 342,210 2,086,602 $ 8.01 8.63 $ 871 Additional shares authorized 1,300,000 Stock options granted (707,500 ) 707,500 $ 3.73 Stock options exercised — — $ — Stock options cancelled 364,591 (364,591 ) $ 6.44 Balance at December 31, 2015 1,299,301 2,429,511 $ 7.00 8.01 $ 287 At December 31, 2015: Vested and expected to vest 2,369,996 $ 7.04 6.89 $ 287 Exercisable 1,057,536 $ 8.41 6.89 $ 287
Stock-Based Compensation Expense	The Company recognized stock-based compensation expense as follows (in thousands) : Years Ended December 31, 2015 2014 2013 Research and development $ 648 $ 1,595 $ 68 General and administrative 3,329 3,091 439 Total $ 3,977 $ 4,686 $ 507
Stock Option Valuation Assumptions	The following table summarizes the average estimates the Company used in the Black-Scholes option-pricing model for the years ended December 31, 2015, 2014 and 2013 to determine the fair value of stock options granted during each period. Years Ended December 31, 2015 2014 2013 Expected dividend yield —% —% —% Risk-free interest rates 1.52% - 2.08% 1.74% - 2.01% 0.06% - 2.02% Expected term (in years) 4.99 - 8.06 6.08 - 6.62 0.25 - 6.08 Expected volatility 76% - 92% 95% - 102% 52% - 100%

Income Taxes (Tables)

Income Taxes (Tables)	12 Months Ended
	Dec. 31, 2015
Income Tax Disclosure [Abstract]
Schedule of Income Before Income Tax	The following is consolidated loss before income taxes by income tax jurisdiction for continuing operations (in thousands) : Years Ended December 31, 2015 2014 2013 United States $ (26,749 ) $ (24,624 ) $ (15,489 )
Effective Income Tax Rate Reconciliation	A reconciliation of the loss from continuing operations at the federal statutory tax rate of 34% to the Company's effective income tax rate is as follows (in thousands): Years Ended December 31, 2015 2014 2013 Income tax at statutory rate $ (9,094 ) $ (8,372 ) $ (5,267 ) State income tax, net of federal benefit 693 (4,180 ) (225 ) Permanent items 906 1,098 516 Credits (1,769 ) (3,156 ) (198 ) Refinement of §382 limitation — — (23,816 ) Unrecognized tax benefits — — 1,840 Change in valuation allowance 9,264 14,610 27,150 Provision for income taxes $ — $ — $ —
Deferred Tax Assets and Liabilities	Components of the Company's deferred tax assets and liabilities for federal income tax purposes are as follows (in thousands): Years Ended December 31, 2015 2014 Deferred tax assets: Net operating loss carryforwards $ 42,754 $ 36,066 Credits 7,141 5,659 Equity compensation 3,162 2,121 Accrued expenses and other reserves 45 6 Gross deferred tax assets 53,102 43,852 Valuation allowance (53,102 ) (43,838 ) Net deferred tax assets — 14 Deferred tax liabilities: Fixed assets and intangibles — (14 ) Net deferred tax liabilities — (14 ) Net deferred tax assets (liabilities): $ — $ —
Summary of Unrecognized Tax Benefits	A reconciliation of the current and prior year changes to the Company’s unrecognized tax benefits is as follows ( in thousands ): Unrecognized tax benefits as of December 31, 2012 $ — Increases in prior period positions 1,761 Increases in current period positions 79 Unrecognized tax benefits as of December 31, 2013 $ 1,840 Increases in prior period positions 647 Increases in current period positions 1,286 Unrecognized tax benefits as of December 31, 2014 $ 3,773 Increases in prior period positions 8 Increases in current period positions 980 Unrecognized tax benefits as of December 31, 2015 $ 4,761

Commitments and Contingencies (

Commitments and Contingencies (Tables)	12 Months Ended
	Dec. 31, 2015
Commitments and Contingencies Disclosure [Abstract]
Schedule of Non-Cancellable Future Minimum Lease Payments for Operating Leases	The following is a schedule of non-cancellable future minimum lease payments for operating leases at December 31, 2015 ( in thousands ): Year Ended December 31, 2016 $ 379 2017 15 Total $ 394

Summary of Operations by Quar34

Summary of Operations by Quarter (Unaudited) (Tables)	12 Months Ended
	Dec. 31, 2015
Quarterly Financial Information Disclosure [Abstract]
Summary of Operations by Quarter	Summary of Operations by Quarter (Unaudited) (In Thousands, Except Share and Per Share Amounts) Year Ended December 31, 2015: Quarter First Second Third Fourth Revenue $ 31 $ 43 $ 35 $ 24 Operating expenses $ 6,695 $ 6,290 $ 6,648 $ 6,836 Net loss from continuing operations $ (6,651 ) $ (6,221 ) $ (6,793 ) $ (7,084 ) Net loss $ (6,651 ) $ (6,221 ) $ (6,574 ) $ (7,076 ) Net loss per share from continuing operations— basic and diluted $ (0.34 ) $ (0.31 ) $ (0.34 ) $ (0.34 ) Net loss per share— basic and diluted $ (0.34 ) $ (0.31 ) $ (0.33 ) $ (0.34 ) Shares used to compute net loss per share— basic and diluted 19,747,362 19,772,345 20,183,939 20,556,822 Year Ended December 31, 2014: Quarter First Second Third Fourth Revenue $ 45 $ 33 $ 233 $ 30 Operating expenses $ 5,240 $ 7,288 $ 6,912 $ 5,579 Net loss from continuing operations $ (5,182 ) $ (7,243 ) $ (6,661 ) $ (5,538 ) Net loss $ (4,065 ) $ (7,223 ) $ (6,603 ) $ (5,534 ) Net loss per share from continuing operations—basic and diluted $ (0.34 ) $ (0.46 ) $ (0.34 ) $ (0.28 ) Net loss per share—basic and diluted $ (0.27 ) $ (0.46 ) $ (0.34 ) $ (0.28 ) Shares used to compute net loss per share—basic and diluted 15,421,234 15,539,053 19,330,888 19,742,245

Description of Business and B35

Description of Business and Basis of Presentation (Details) $ / shares in Units, $ in Thousands	Dec. 13, 2013USD ($)	Jul. 15, 2013board_member$ / sharesshares	Dec. 31, 2015USD ($)	Dec. 31, 2014USD ($)
Class of Stock [Line Items]
Number of board members | board_member		9
Accumulated deficit | $			$ (131,433)	$ (104,911)
Customer Agreements And Intellectual Property
Class of Stock [Line Items]
Sale price for discontinued operations | $	$ 4,000
Private Ocera
Class of Stock [Line Items]
Number of board members | board_member		6
Conversion price (usd per share) | $ / shares		$ 2.04858
Shares issued upon conversion | shares		8.3546278874
Series A Convertible Preferred Stock
Class of Stock [Line Items]
Shares issued upon conversion		1
Series B Convertible Preferred Stock
Class of Stock [Line Items]
Shares issued upon conversion		1
Series C Convertible Preferred Stock
Class of Stock [Line Items]
Conversion price (usd per share) | $ / shares		$ 2.04858
Shares issued upon conversion		1
Common Stock | Private Ocera
Class of Stock [Line Items]
Shares issued upon conversion | shares		0.11969414

Summary of Significant Accoun36

Summary of Significant Accounting Policies (Segment Reporting & Property and Equipment) (Details)	12 Months Ended
	Dec. 31, 2015segment
Accounting Policies [Abstract]
Number of operating segments	1
Minimum
Property, Plant and Equipment [Line Items]
Useful lives	3 years
Maximum
Property, Plant and Equipment [Line Items]
Useful lives	5 years

Summary of Significant Accoun37

Summary of Significant Accounting Policies (Intangible Assets and Goodwill) (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Finite-Lived Intangible Assets [Line Items]
Weighted average remaining life		1 year
Impairment of intangible assets	$ 0	$ 0	$ 3,070,000
Impairment of goodwill	$ 0	$ 0	0
Licensing Agreements | Bristol-Myers Squibb Company
Finite-Lived Intangible Assets [Line Items]
Impairment of intangible assets			$ 3,100,000
Minimum
Finite-Lived Intangible Assets [Line Items]
Weighted average remaining life	2 years 6 months
Maximum
Finite-Lived Intangible Assets [Line Items]
Weighted average remaining life	5 years

Fair Value Measurements (Fair V

Fair Value Measurements (Fair Value) (Details) - Recurring - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	$ 42,221	$ 50,211
Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	34,806	9,171
Commercial paper
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets		3,750
Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	7,415	36,790
Government agency debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets		500
Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	34,806	9,171
Level 1 | Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	34,806	9,171
Level 1 | Commercial paper
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets		0
Level 1 | Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	0	0
Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	7,415	41,040
Level 2 | Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	0	0
Level 2 | Commercial paper
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets		3,750
Level 2 | Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	7,415	36,790
Level 2 | Government agency debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets		500
Level 3
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	0	0
Level 3 | Money market funds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	0	0
Level 3 | Commercial paper
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets		0
Level 3 | Corporate debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets	$ 0	0
Level 3 | Government agency debt securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Total assets		$ 0

Fair Value Measurements (Level

Fair Value Measurements (Level 3 Liabilities) (Details) - Convertible Preferred Stock Warrants - Level 3 $ in Thousands	12 Months Ended
	Dec. 31, 2013USD ($)
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Convertible preferred stock warrant liabilities, beginning of period	$ 16
Change in fair value of warrant liability	(15)
Conversion of preferred stock warrants into common stock warrants	(1)
Convertible preferred stock warrant liabilities, end of period	$ 0

Balance Sheet Components (Avail

Balance Sheet Components (Available For Sale Investments) (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	$ 7,420	$ 41,067
Unrealized Gains	0	2
Unrealized Losses	(5)	(29)
Estimated Fair Value	7,415	41,040
Short-term investments
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost		37,127
Unrealized Gains		2
Unrealized Losses		(17)
Estimated Fair Value		37,112
Short-term investments | Commercial paper
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost		3,748
Unrealized Gains		2
Unrealized Losses		0
Estimated Fair Value		3,750
Short-term investments | Corporate debt securities
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	7,420	33,379
Unrealized Gains	0	0
Unrealized Losses	(5)	(17)
Estimated Fair Value	$ 7,415	33,362
Long-term investments
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost		3,940
Unrealized Gains		0
Unrealized Losses		(12)
Estimated Fair Value		3,928
Long-term investments | Corporate debt securities
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost		3,439
Unrealized Gains		0
Unrealized Losses		(11)
Estimated Fair Value		3,428
Long-term investments | Government agency debt securities
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost		501
Unrealized Gains		0
Unrealized Losses		(1)
Estimated Fair Value		$ 500

Balance Sheet Components (Prope

Balance Sheet Components (Property and Equipment) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 196	$ 121
Less: accumulated depreciation	(102)	(60)
Property and equipment, net	94	61
Depreciation expense	$ 42	36	$ 29
Minimum
Property, Plant and Equipment [Line Items]
Useful life	3 years
Maximum
Property, Plant and Equipment [Line Items]
Useful life	5 years
Computer equipment and software
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 128	53
Computer equipment and software | Minimum
Property, Plant and Equipment [Line Items]
Useful life	1 year 6 months
Computer equipment and software | Maximum
Property, Plant and Equipment [Line Items]
Useful life	3 years
Office furniture and equipment
Property, Plant and Equipment [Line Items]
Property and equipment, gross	$ 68	$ 68
Useful life	5 years

Balance Sheet Components (Acqui

Balance Sheet Components (Acquired Intangible Assets) (Details) - USD ($)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013	Jul. 15, 2013
Finite-Lived Intangible Assets [Line Items]
Carrying value	$ 410,000	$ 410,000
Accumulated amortization	(410,000)	(239,000)
Intangible assets, net	0	171,000
Impairment of intangibles	0	$ 0	$ 3,070,000
Weighted average remaining life		1 year
Intangible assets reclassified as discontinued operations				$ 2,200,000
Impairment of intangibles	$ 0	$ 0	$ 3,070,000
Tranzyme Inc.
Finite-Lived Intangible Assets [Line Items]
Intangible assets, net				$ 5,900,000

Balance Sheet Components (Goodw

Balance Sheet Components (Goodwill) (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014	Jul. 15, 2013
Goodwill [Line Items]
Goodwill	$ 595	$ 595
Discontinued Operations
Goodwill [Line Items]
Goodwill	$ 500
Tranzyme Inc.
Goodwill [Line Items]
Goodwill			$ 1,054

Balance Sheet Components (Accru

Balance Sheet Components (Accrued Liabilities) (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Balance Sheet Components [Abstract]
Clinical trials	$ 1,666	$ 897
Compensation and related expenses	993	678
Professional services	319	343
Interest expense	110	0
Other	45	48
Accrued liabilities	$ 3,133	$ 1,966

Merger with Tranzyme (Purchase

Merger with Tranzyme (Purchase Price) (Details) - Tranzyme Inc. $ in Thousands	Apr. 23, 2013USD ($)
Business Acquisition [Line Items]
Fair value of Tranzyme shares outstanding	$ 13,249
Fair value of vested Tranzyme stock options	275
Purchase Price	$ 13,524

Merger with Tranzyme (Recognize

Merger with Tranzyme (Recognized Identifiable Assets Acquired and Liabilities Assumed) (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014	Jul. 15, 2013
Business Acquisition [Line Items]
Goodwill	$ 595	$ 595
Tranzyme Inc.
Business Acquisition [Line Items]
Cash and cash equivalents			$ 7,464
Accounts and investment tax credits receivable, net			636
Prepaid expenses and other assets			159
Fixed assets			744
Intangible assets			5,940
Goodwill			1,054
Accounts payable			(1,029)
Accrued and long-term liabilities			(1,307)
Deferred revenue			(137)
Total purchase price			$ 13,524

Merger with Tranzyme (Intangibl

Merger with Tranzyme (Intangible Assets Acquired) (Details) - Tranzyme Inc. - USD ($) $ in Thousands	Jul. 15, 2013	Apr. 23, 2013	Dec. 31, 2013
Business Acquisition [Line Items]
Continuing operations	$ 3,700
Discontinued operations	2,240
Total	5,940		$ 300
Useful life		2 years
Customer Relationships
Business Acquisition [Line Items]
Continuing operations	3,700
Discontinued operations	480
Total	4,180
Customer Relationships | Minimum
Business Acquisition [Line Items]
Useful life		2 years 6 months
Customer Relationships | Maximum
Business Acquisition [Line Items]
Useful life		5 years
Developed Technology
Business Acquisition [Line Items]
Continuing operations	0
Discontinued operations	1,760
Total	$ 1,760
Useful life		5 years

Discontinued Operations (Detail

Discontinued Operations (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Restructuring Cost and Reserve [Line Items]
Other income (expense), net	$ (413)	$ 54	$ (160)
Tranzyme Pharma Inc.
Restructuring Cost and Reserve [Line Items]
Sale price for discontinued operations	4,000
Net gain on disposal of assets	1,149	1,149
Other income from discontinued operations	227
Restructuring charges	0	(68)	859
Other income (expense), net	$ 227	(6)	(6)
Payments for restructuring		68
Tranzyme Pharma Inc. | Employee Severance
Restructuring Cost and Reserve [Line Items]
Restructuring charges			700
Payments for restructuring		0
Tranzyme Pharma Inc. | Operating Activities
Restructuring Cost and Reserve [Line Items]
Restructuring charges			45
Payments for restructuring		0
Tranzyme Pharma Inc. | Other liabilities
Restructuring Cost and Reserve [Line Items]
Restructuring charges			114
Payments for restructuring		$ 68
Tranzyme Pharma Inc. | Customer Agreements And Intellectual Property
Restructuring Cost and Reserve [Line Items]
Sale price for discontinued operations			4,000
Proceeds from sale of intangible assets			$ 3,000

Discontinued Operations (Discon

Discontinued Operations (Discontinued Operations in the Company’s Consolidated Statements of Operations and Comprehensive Loss) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Other income (expense), net	$ (413)	$ 54	$ (160)
Net income (loss) from discontinued operations	227	1,199	(2,025)
Tranzyme Pharma Inc.
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Revenue	0	0	467
Research and development	0	0	(1,134)
General and administrative	0	0	(220)
Amortization of intangibles	0	0	(187)
Restructuring settlements (charges)	0	68	(859)
Gain (loss) on disposal of assets	0	1,149	(86)
Other income (expense), net	227	(6)	(6)
Recognition of accumulated translation adjustments upon deconsolidation of subsidiary	0	(12)	0
Net income (loss) from discontinued operations	$ 227	$ 1,199	$ (2,025)

Discontinued Operations (Disc50

Discontinued Operations (Discontinued Operations in the Company's Consolidated Statement of Financial Position) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Jul. 15, 2013
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Intangibles assets			$ (2,200)
Tranzyme Pharma Inc.
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items]
Proceeds recognized pursuant to Technology Transfer and License Agreement	$ 4,000
Intangibles assets	(2,053)
Property and equipment	(356)
Goodwill	(442)
Net gain on disposal of assets	$ 1,149	$ 1,149

Discontinued Operations (Restru

Discontinued Operations (Restructuring Activities) (Details) - Tranzyme Pharma Inc. - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Restructuring Cost and Reserve [Line Items]
Restructuring charges	$ 0	$ (68)	$ 859
Cash payments and other settlements			(357)
Restructuring reserve at beginning of period	0	502
Cash payments and other settlements		(434)
Settlement of certain restructuring charges		(68)
Restructuring reserve at end of period		0	502
Post-Employment Benefits
Restructuring Cost and Reserve [Line Items]
Restructuring charges			700
Cash payments and other settlements			(308)
Restructuring reserve at beginning of period	0	392
Cash payments and other settlements		(392)
Settlement of certain restructuring charges		0
Restructuring reserve at end of period		0	392
Moving and Shipping Costs
Restructuring Cost and Reserve [Line Items]
Restructuring charges			114
Cash payments and other settlements			(15)
Restructuring reserve at beginning of period	0	99
Cash payments and other settlements		(31)
Settlement of certain restructuring charges		(68)
Restructuring reserve at end of period		0	99
Operating Activities
Restructuring Cost and Reserve [Line Items]
Restructuring charges			45
Cash payments and other settlements			(34)
Restructuring reserve at beginning of period	$ 0	11
Cash payments and other settlements		(11)
Settlement of certain restructuring charges		0
Restructuring reserve at end of period		$ 0	$ 11

License Agreements and Acquir52

License Agreements and Acquired Development and Commericialization Rights (Details) - USD ($)	1 Months Ended				12 Months Ended
	Dec. 31, 2009	Dec. 31, 2008	Mar. 31, 2008	Jul. 31, 2004	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Acquired Finite-Lived Intangible Assets [Line Items]
Royalty revenue					$ 133,000	$ 141,000	$ 85,000
Impairment of intangibles					0	0	3,070,000
Licensing revenue					$ 0	200,000	0
Open Biosystems, Inc.
Acquired Finite-Lived Intangible Assets [Line Items]
Long-term commitment, term					12 years
Royalty revenue					$ 133,000	141,000	85,000
Bristol-Myers Squibb Company
Acquired Finite-Lived Intangible Assets [Line Items]
Long-term commitment, term	2 years
Licensing Agreements | Kureha Corporation
Acquired Finite-Lived Intangible Assets [Line Items]
Up-front fee for licensing			$ 500,000	$ 1,500,000
Licensing Agreements | UCL Business PLC
Acquired Finite-Lived Intangible Assets [Line Items]
Up-front fee for licensing		$ 1,000,000
Maximum future milestone payments					20,000,000
Licensing Agreements | OCR-002
Acquired Finite-Lived Intangible Assets [Line Items]
Maximum future milestone payments					$ 35,000,000
Licensing Agreements | Bristol-Myers Squibb Company
Acquired Finite-Lived Intangible Assets [Line Items]
Impairment of intangibles							$ 3,100,000
Intellectual Property And Licensing Agreements
Acquired Finite-Lived Intangible Assets [Line Items]
Licensing revenue						200,000
Contingent consideration, asset, range of outcomes, value, high						$ 25,000,000

Net Loss Per Share (Schedule of

Net Loss Per Share (Schedule of Basic and Diluted Earnings Per Share) (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Earnings Per Share [Abstract]
United States									$ (26,749)	$ (24,624)	$ (15,489)
Numerator
Net loss from continuing operations	$ (7,084)	$ (6,793)	$ (6,221)	$ (6,651)	$ (5,538)	$ (6,661)	$ (7,243)	$ (5,182)	(26,749)	(24,624)	(15,489)
Net income (loss) from discontinued operations									227	1,199	(2,025)
Net loss	$ (7,076)	$ (6,574)	$ (6,221)	$ (6,651)	$ (5,534)	$ (6,603)	$ (7,223)	$ (4,065)	$ (26,522)	$ (23,425)	$ (17,514)
Denominator
Weighted average common shares outstanding used to compute net loss per share, basic and diluted	20,556,822	20,183,939	19,772,345	19,747,362	19,742,245	19,330,888	15,539,053	15,421,234	20,067,660	17,525,187	6,145,731
Net loss per share of common stock, basic and diluted:
Net loss per share from continuing operations, basic and diluted (in dollars per share)	$ (0.34)	$ (0.34)	$ (0.31)	$ (0.34)	$ (0.28)	$ (0.34)	$ (0.46)	$ (0.34)	$ (1.33)	$ (1.41)	$ (2.52)
Net loss per share from discontinued operations, basic and diluted (in dollars per share)									0.01	0.07	(0.33)
Net loss per share, basic and diluted (in dollars per share)	$ (0.34)	$ (0.33)	$ (0.31)	$ (0.34)	$ (0.28)	$ (0.34)	$ (0.46)	$ (0.27)	$ (1.32)	$ (1.34)	$ (2.85)

Net Loss Per Share (Schedule 54

Net Loss Per Share (Schedule of Antidilutive Securities Excluded From Computation) (Details) - shares	Jul. 15, 2013	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share, amount		3,181,684	2,825,873	3,499,967
Convertible Notes Payable
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Conversion of preferred stock to common stock, shares	186,217
Convertible Preferred Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share, amount		0	0	2,604,305
Warrant | Convertible Preferred Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share, amount		0	0	11,243
Warrant | Common Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share, amount		972,879	938,743	259,908
Stock Options | Common Stock
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from computation of earnings per share, amount		2,208,805	1,887,130	624,511

Debt (Notes Payable) (Details)

Debt (Notes Payable) (Details) - USD ($)	Jul. 30, 2015	Dec. 31, 2015	Sep. 30, 2015	May. 31, 2015	Oct. 02, 2012
Debt Instrument [Line Items]
Exercise price of warrants (usd per share)		$ 0.67		$ 0.67	$ 0.67
Oxford Finance LLC and Silicon Valley Bank | Secured Debt | Notes Payable, Other Payables
Debt Instrument [Line Items]
Debt instrument, maximum borrowing capacity	$ 20,000,000
Notes payable, gross	10,000,000	$ 10,000,000
Proceeds from debt, net of issuance costs	9,700,000
Remaining borrowing capacity	10,000,000
Proceeds from sale of equity	$ 15,000,000
Stated interest rate (percentage)	8.275%
Balloon payment to be paid, percentage of funded borrowings	3.00%
Legal and consulting fees	$ 300,000
LIBOR
Debt Instrument [Line Items]
Variable interest rate		0.43%
LIBOR | Oxford Finance LLC and Silicon Valley Bank | Secured Debt | Notes Payable, Other Payables
Debt Instrument [Line Items]
Variable interest rate	8.085%
Warrant
Debt Instrument [Line Items]
Face amount covered by warrant or right, percentage	4.00%
Number shares called by each warrant (shares)	97,680
Exercise price of warrants (usd per share)	$ 4.095
Warrants outstanding, value		$ 300,000	$ 300,000
Minimum | Oxford Finance LLC and Silicon Valley Bank | Secured Debt | Notes Payable, Other Payables
Debt Instrument [Line Items]
Early extinguishment of debt, prepayment fee	1.00%
Maximum | Oxford Finance LLC and Silicon Valley Bank | Secured Debt | Notes Payable, Other Payables
Debt Instrument [Line Items]
Early extinguishment of debt, prepayment fee	3.00%
Term Loan Facility | Line of Credit | Notes Payable to Banks
Debt Instrument [Line Items]
Interest expense		$ 500,000
Effective interest rate, percentage		11.72%

Debt (Schedule of Debt) (Detail

Debt (Schedule of Debt) (Details) - USD ($)	Dec. 31, 2015	Jul. 30, 2015	Dec. 31, 2014
Debt Instrument [Line Items]
Interest expense	$ 110,000		$ 0
Secured Debt | Oxford Finance LLC and Silicon Valley Bank | Notes Payable, Other Payables
Debt Instrument [Line Items]
2,016	828,000
2,017	3,839,000
2,018	4,442,000
2,019	3,261,000
Total minimum payments	12,370,000
Interest expense	2,370,000
Notes payable, gross	10,000,000	$ 10,000,000
Unamortized discount on notes payable	(492,000)
Notes Payable, balance	9,508,000
Non-current portion of notes payable	0
Notes Payable, balance	$ 9,508,000

Debt (Convertible Note Payable)

Debt (Convertible Note Payable) (Details) - USD ($)	Jul. 15, 2013	Oct. 31, 2012	Jun. 30, 2012	Mar. 31, 2012	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013	May. 31, 2015	Mar. 31, 2013	Oct. 02, 2012	Mar. 30, 2012
Short-term Debt [Line Items]
Exercise price of warrants (usd per share)					$ 0.67			$ 0.67		$ 0.67
Noncash interest expense					$ 77,000	$ 0	$ 92,000
Convertible Notes Payable
Short-term Debt [Line Items]
Accrued interest	$ 200,000
Conversion of preferred stock to common stock (in shares)	(186,217)
Noncash interest expense						$ 200,000
Convertible Notes Payable | March 2012 Notes
Short-term Debt [Line Items]
Notes payable, gross				$ 1,500,000
Stated interest rate (percentage)				6.00%
Convertible Notes Payable | October 2012 Notes
Short-term Debt [Line Items]
Notes payable, gross		$ 1,500,000
Stated interest rate (percentage)		6.00%
Series C Convertible Preferred Stock
Short-term Debt [Line Items]
Conversion price (usd per share)	$ 2.04858
Series C Convertible Preferred Stock | Convertible Notes Payable
Short-term Debt [Line Items]
Conversion price (usd per share)									$ 2.04858
March 2012 Warrants
Short-term Debt [Line Items]
Exercise price of warrants (usd per share)				$ 0.67
March 2012 Warrants | Convertible Notes Payable
Short-term Debt [Line Items]
Warrants issued				65,731
Term of warrants				7 years
March 2012 Warrants | Common Stock
Short-term Debt [Line Items]
Exercise price of warrants (usd per share)					$ 0.67
March 2012 Warrants | Common Stock | Convertible Notes Payable
Short-term Debt [Line Items]
Warrants issued											26,292
June 2012 Warrants | Convertible Notes Payable
Short-term Debt [Line Items]
Term of warrants			7 years
June 2012 Warrants | Common Stock
Short-term Debt [Line Items]
Exercise price of warrants (usd per share)					0.67
June 2012 Warrants | Common Stock | Convertible Notes Payable
Short-term Debt [Line Items]
Warrants issued			39,439
October 2012 Warrants
Short-term Debt [Line Items]
Exercise price of warrants (usd per share)										$ 0.67
October 2012 Warrants | Convertible Notes Payable
Short-term Debt [Line Items]
Warrants issued										65,731
Term of warrants		7 years
October 2012 Warrants | Common Stock
Short-term Debt [Line Items]
Exercise price of warrants (usd per share)					$ 0.67

Debt (Warrants) (Details)

Debt (Warrants) (Details) - USD ($)	Nov. 08, 2013	Apr. 23, 2013	May. 31, 2015	Dec. 31, 2014	Dec. 31, 2015	Sep. 30, 2015	Jul. 30, 2015	Jul. 15, 2013	Oct. 02, 2012	Mar. 31, 2012
Class of Warrant or Right [Line Items]
Exercise price of warrants (usd per share)			$ 0.67		$ 0.67				$ 0.67
Warrants converted upon completion of merger								19,243
Outstanding warrants					1,026,249
Class of warrant or right, exercised			1,586	6,347
Common stock, shares issued			1,301	19,747,362	20,695,160
Class of warrant, expired during the period, warrants					2,380
March 2012 Warrants
Class of Warrant or Right [Line Items]
Exercise price of warrants (usd per share)										$ 0.67
October 2012 Warrants
Class of Warrant or Right [Line Items]
Exercise price of warrants (usd per share)									$ 0.67
Warrant
Class of Warrant or Right [Line Items]
Number shares called by each warrant (shares)							97,680
Exercise price of warrants (usd per share)							$ 4.095
Warrants outstanding, value					$ 300,000	$ 300,000
Share price (usd per share)					$ 3.84
Risk free interest rate, (percentage)					2.28%
Expected volatility rate (percentage)					87.00%
Expected term (in years)					10 years
Expected dividend rate (percentage)					0.00%
Common Stock
Class of Warrant or Right [Line Items]
Share price (usd per share)		$ 6.0264
Shares issued					5,604
Outstanding warrants				932,535
Units issued for stock and warrants	3,940,887	3,317,976
Common Stock | December 2008 Warrants
Class of Warrant or Right [Line Items]
Exercise price of warrants (usd per share)					$ 84
Outstanding warrants				2,380	0
Common Stock | September 2010 Warrants
Class of Warrant or Right [Line Items]
Exercise price of warrants (usd per share)					$ 160.44
Outstanding warrants				3,240	3,240
Common Stock | January 2012 Warrants
Class of Warrant or Right [Line Items]
Exercise price of warrants (usd per share)					$ 44.04
Outstanding warrants				13,623	13,623
Common Stock | March 2012 Warrants
Class of Warrant or Right [Line Items]
Exercise price of warrants (usd per share)					$ 0.67
Outstanding warrants				25,022	24,388
Common Stock | June 2012 Warrants
Class of Warrant or Right [Line Items]
Exercise price of warrants (usd per share)					$ 0.67
Outstanding warrants				37,535	36,583
Common Stock | October 2012 Warrants
Class of Warrant or Right [Line Items]
Exercise price of warrants (usd per share)					$ 0.67
Outstanding warrants				62,558	62,558
Common Stock | November 2013 Warrants
Class of Warrant or Right [Line Items]
Exercise price of warrants (usd per share)					$ 7.66
Outstanding warrants				788,177	788,177
Common Stock | July 2015 Warrant
Class of Warrant or Right [Line Items]
Exercise price of warrants (usd per share)					$ 4.095
Outstanding warrants				0	97,680
Common Stock | Warrant
Class of Warrant or Right [Line Items]
Exercise price of warrants (usd per share)	$ 7.663
Units issued for stock and warrants	788,177
Convertible Debt
Class of Warrant or Right [Line Items]
Exercise price of warrants (usd per share)	$ 7.663
Value of units issued	$ 28,000,000
Term of warrants	5 years
Warrants issued	788,177
Convertible Debt | Common Stock
Class of Warrant or Right [Line Items]
Units issued for stock and warrants	3,940,887
Secured Debt | Oxford Finance LLC and Silicon Valley Bank | Notes Payable, Other Payables
Class of Warrant or Right [Line Items]
Notes payable, gross					$ 10,000,000		$ 10,000,000

Stockholders' Equity (Convertib

Stockholders' Equity (Convertible Preferred Stock) (Details) - Private Ocera - $ / shares	12 Months Ended
	Dec. 31, 2013	Jul. 15, 2013
Temporary Equity [Line Items]
Conversion price (usd per share)		$ 2.04858
Shares issued upon conversion		8.3546278874
Common Stock
Temporary Equity [Line Items]
Shares issued upon conversion		0.11969414
Conversion of preferred stock to common stock (in shares)	(5,026,542)

Stockholders' Equity (Common St

Stockholders' Equity (Common Stock) (Details) - USD ($) $ / shares in Units, $ in Thousands	Jul. 10, 2014	Nov. 08, 2013	Apr. 23, 2013	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013	Jul. 30, 2015	May. 31, 2015	May. 15, 2015	Oct. 02, 2012
Common Stock, Number of Shares, Par Value and Other Disclosures [Abstract]
Shares issued, value				$ 3,455	$ 23,384	$ 46,425
Exercise price of warrants (usd per share)				$ 0.67				$ 0.67		$ 0.67
Proceeds from issuance of common stock				$ 3,740
Average price of share, sale of stock				$ 3.95
Proceeds from issuance, net of issuance costs				$ 3,450
Common Stock
Common Stock, Number of Shares, Par Value and Other Disclosures [Abstract]
Shares issued		3,940,887	3,317,976
Shares issued, value		$ 28,000	$ 20,000
Adjustments to additional paid-in capital, issuance costs		$ 1,500	$ 26
Share price (usd per share)			$ 6.0264
Warrant
Common Stock, Number of Shares, Par Value and Other Disclosures [Abstract]
Share price (usd per share)				$ 3.84
Exercise price of warrants (usd per share)							$ 4.095
Warrant | Common Stock
Common Stock, Number of Shares, Par Value and Other Disclosures [Abstract]
Shares issued		788,177
Exercise price of warrants (usd per share)		$ 7.663
IPO | Common Stock
Common Stock, Number of Shares, Par Value and Other Disclosures [Abstract]
Shares issued	4,200,000
Proceeds from issuance of common stock	$ 25,200
Issuance costs charged to additional paid in capital	$ 1,800
Private Placement | Common Stock
Common Stock, Number of Shares, Par Value and Other Disclosures [Abstract]
Shares issued				946,497
Cowen | At the Market Issuance Sales Agreement
Common Stock, Number of Shares, Par Value and Other Disclosures [Abstract]
Maximum amount to be sold				$ 21,260					$ 25,000

Stockholders' Equity (Common 61

Stockholders' Equity (Common Stock Shares Reserved for Future Issuance) (Details) - shares	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Class of Stock [Line Items]
Stock options outstanding (shares)	2,429,511	2,086,602	1,909,769
Shares available for grant under stock option plans (in shares)	1,299,301	342,210	762,867
Outstanding warrants	1,026,249
Total shares reserved for future issuance	4,755,061
Common Stock
Class of Stock [Line Items]
Outstanding warrants		932,535

Stock Options (Stock Option Act

Stock Options (Stock Option Activity) (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Shares available for grant (in shares)	1,299,301	342,210	762,867
Stock options granted (shares)	(707,500)	(1,007,500)
Stock options cancelled	364,591	586,843
Additional shares authorized	1,300,000
Stock Options Outstanding
Beginning balance, options (shares)	2,086,602	1,909,769
Stock options granted (shares)	(707,500)	(1,007,500)
Stock options exercised (shares)	0	(243,824)
Stock options canceled (shares)	(364,591)	(586,843)
Ending balance, options (shares)	2,429,511	2,086,602	1,909,769
Stock options vested and expected to vest	2,369,996
Stock options exercisable	1,057,536
Weighted-average Exercise Price Per Share
Weighted-average exercise price, options outstanding (usd per share)	$ 8.01	$ 8.77
Grants in period (usd per share)	3.73	7.44
Exercises in period (usd per share)	0	1.72
Cancelled in period (usd per share)	6.44	12.13
Weighted-average exercise price, options outstanding (usd per share)	7	$ 8.01	$ 8.77
Weighted-average exercise price, options exercisable (usd per share)	7.04
Weighted-average exercise price, options vested and expected to vest (usd per share)	$ 8.41
Weighted-average remaining contractual life, options outstanding (in years)	8 years 3 days	8 years 7 months 17 days	8 years 6 months 29 days
Weighted-average remaining contractual life, options vested and expected to vest (in years)	6 years 10 months 20 days
Weighted-average remaining contractual life, options exercisable (in years)	6 years 10 months 20 days
Aggregate Intrinsic value, options outstanding	$ 287	$ 871	$ 11,818
Aggregate Intrinsic value, exercises during the period	2,719
Fair value of stock options vested	287
Aggregate Intrinsic value, options exercisable	$ 287

Stock Options (Stock-based comp

Stock Options (Stock-based compensation expense) (Details) - USD ($) $ in Thousands	8 Months Ended	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense	$ 49	$ 3,977	$ 4,686	$ 507
Research and Development
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense		648	1,595	68
General and Administrative
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
Stock-based compensation expense		$ 3,329	$ 3,091	$ 439

Stock Options (Valuation Assump

Stock Options (Valuation Assumptions) (Details)	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Fair Value Assumptions and Methodology [Abstract]
Expected term (in years)	2 years 2 months 19 days	1 year	3 months
Stock Options
Fair Value Assumptions and Methodology [Abstract]
Expected dividend yield (in percentage)	0.00%	0.00%	0.00%
Risk free interest rate, minimum (in percentage)	1.52%	1.74%	0.06%
Risk free interest rate, maximum (in percentage)	2.08%	2.01%	2.02%
Expected term (in years)	6 years 29 days
Expected volatility, minimum (in percentage)	76.00%	95.00%	52.00%
Expected volatility, maximum (in percentage)	92.00%	102.00%	100.00%
Stock Options | Minimum
Fair Value Assumptions and Methodology [Abstract]
Expected term (in years)	4 years 11 months 27 days	6 years 29 days	3 months
Stock Options | Maximum
Fair Value Assumptions and Methodology [Abstract]
Expected term (in years)	8 years 22 days	6 years 7 months 13 days	6 years 29 days

Stock Options (Additional Infor

Stock Options (Additional Information) (Details) - USD ($) $ in Thousands

Apr. 30, 2015

May. 31, 2015

Sep. 30, 2014

Jun. 30, 2012

Dec. 31, 2015

Dec. 31, 2015

Dec. 31, 2015

Dec. 31, 2014

Dec. 31, 2013

Apr. 23, 2015

Apr. 22, 2015

Aug. 13, 2013

Jul. 15, 2013

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Shares available for grant under stock option plans (in shares)

1,299,301

1,299,301

1,299,301

342,210

762,867

Expiration period (in years)

1 year

3 years

10 years

Total estimate grate date fair value of stock options vested

$ 4,100

$ 4,100

$ 4,100

$ 4,100

Aggregate intrinsic value of options exercised

0

2,700

$ 600

Stock-based compensation

3,977

4,686

507

Stock-based compensation expense

$ 49

3,977

4,686

507

Stock compensation expense

$ 51

141

$ 24

$ 17

$ 88

Expected term (in years)

2 years 2 months 19 days

1 year

3 months

Shares issued in period (in shares)

707,500

1,007,500

Director

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Expected term (in years)

8 years 22 days

Executive Officer

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Stock-based compensation

$ 200

Shares issued in period (in shares)

61,653

Non-Employee Consultant [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Grants during the year (in shares)

50,000

Minimum

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Vesting term (in years)

1 year

Maximum

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Vesting term (in years)

4 years

Stock Options

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Expected term (in years)

6 years 29 days

Fair value of stock options granted

$ 1,800

$ 5,700

$ 15,800

Compensation costs not yet recognized

$ 7,600

$ 7,600

$ 7,600

Stock Options | Executive Officer | Options Vesting Monthly Over A Year

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Vesting term (in years)

1 year

Vesting percentage

50.00%

Stock Options | Non-Employee Director

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Expected term (in years)

6 years 7 months 13 days

Stock Options | Minimum

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Expected term (in years)

4 years 11 months 27 days

6 years 29 days

3 months

Stock Options | Maximum

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Expected term (in years)

8 years 22 days

6 years 7 months 13 days

6 years 29 days

Performance Shares [Member] | Non-Employee Consultant [Member]

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Grants during the year (in shares)

25,000

2005 Plan | Stock Options

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Shares available for grant under stock option plans (in shares)

0

0

0

2011 Plan

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Shares authorized for issuance (in shares)

3,602,328

2,302,328

2,302,328

302,328

2011 Plan | Stock Options

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Shares authorized for issuance (in shares)

1,454,200

2011 Plan | Stock Options | Director

Share-based Compensation Arrangement by Share-based Payment Award [Line Items]

Shares authorized for issuance (in shares)

140,000

Income Taxes (Geographical Brea

Income Taxes (Geographical Breakdown of Consolidated Income) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Income Tax Disclosure [Abstract]
United States	$ (26,749)	$ (24,624)	$ (15,489)

Income Taxes (Rate Reconciliati

Income Taxes (Rate Reconciliation) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Income Tax Disclosure [Abstract]
Federal statutory tax rate	34.00%	34.00%
Income tax at statutory rate	$ (9,094)	$ (8,372)	$ (5,267)
State income tax, net of federal benefit	693	(4,180)	(225)
Permanent items	906	1,098	516
Credits	(1,769)	(3,156)	(198)
Refinement of §382 limitation	0	0	(23,816)
Unrecognized tax benefits	0	0	1,840
Change in valuation allowance	9,264	14,610	27,150
Provision for income taxes	$ 0	$ 0	$ 0

Income Taxes (Deferred Tax Asse

Income Taxes (Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Income Tax Disclosure [Abstract]
Net operating loss carryforwards	$ 42,754	$ 36,066
Credits	7,141	5,659
Equity compensation	3,162	2,121
Accrued expenses and other reserves	45	6
Gross deferred tax assets	53,102	43,852
Valuation allowance	(53,102)	(43,838)
Net deferred tax assets	0	14
Fixed assets and intangibles	0	(14)
Net deferred tax liabilities	0	(14)
Net deferred tax assets (liabilities):	$ 0	$ 0

Income Taxes (Unrecognized Tax

Income Taxes (Unrecognized Tax Benefits) (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]
Beginning balance	$ 3,773	$ 1,840	$ 0
Increases in prior period positions	8	647	1,761
Increases in current period positions	980	1,286	79
Ending balance	$ 4,761	$ 3,773	$ 1,840

Income Taxes (Net Operating Los

Income Taxes (Net Operating Loss Carryforwards) (Details) - USD ($) $ in Thousands	Dec. 31, 2015	Dec. 31, 2014
Operating Loss Carryforwards [Line Items]
Operating loss carryforwards	$ 300
Net operating loss carryforwards	42,754	$ 36,066
Federal
Operating Loss Carryforwards [Line Items]
Operating loss carryforwards	111,900
State | North Carolina
Operating Loss Carryforwards [Line Items]
Operating loss carryforwards	5,400
State | California
Operating Loss Carryforwards [Line Items]
Operating loss carryforwards	64,700
Orphan Drug Credit [Member] | Federal
Operating Loss Carryforwards [Line Items]
Tax Credit Carryforward, Amount	7,800
Research Tax Credit Carryforward | Federal
Operating Loss Carryforwards [Line Items]
Tax Credit Carryforward, Amount	2,500
Research Tax Credit Carryforward | State | North Carolina
Operating Loss Carryforwards [Line Items]
Tax Credit Carryforward, Amount	$ 90
Research Tax Credit Carryforward | State | California
Operating Loss Carryforwards [Line Items]
Tax Credit Carryforward, Amount		$ 2,500

Retirement Savings Plan (Detail

Retirement Savings Plan (Details) - 401(k) Plan - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Defined Contribution Plan Disclosure [Line Items]
Employer matching contribution percentage	3.00%
Employer contribution amount	$ 101	$ 107	$ 58

Commitments and Contingencies72

Commitments and Contingencies (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Commitments and Contingencies Disclosure [Abstract]
Rent expense	$ 300	$ 200	$ 300
Future Minimum Payments Due by Fiscal Year Maturity [Abstract]
2,016	379
2,017	15
Total	$ 394

Subsequent Events (Details)

Subsequent Events (Details) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended		12 Months Ended
	Feb. 29, 2016	Jan. 31, 2016	Dec. 31, 2015	Dec. 31, 2014	May. 31, 2015
Subsequent Event [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross			707,500	1,007,500
Common stock, shares issued			20,695,160	19,747,362	1,301
Average price of share, sale of stock			$ 3.95
Proceeds from issuance of common stock			$ 3,740
Subsequent Event
Subsequent Event [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross		1,337,500
Common stock, shares issued	600,000
Average price of share, sale of stock	$ 3
Proceeds from issuance of common stock	$ 1,800

Summary of Operations by Quar74

Summary of Operations by Quarter (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Quarterly Financial Information Disclosure [Abstract]
Revenue		$ 35	$ 43	$ 31	$ 30	$ 233	$ 33	$ 45	$ 133	$ 341	$ 85
Operating expenses	$ 6,836	6,648	6,290	6,695	5,579	6,912	7,288	5,240	26,469	25,019	15,414
Net loss from continuing operations	(7,084)	(6,793)	(6,221)	(6,651)	(5,538)	(6,661)	(7,243)	(5,182)	(26,749)	(24,624)	(15,489)
Net loss	$ (7,076)	$ (6,574)	$ (6,221)	$ (6,651)	$ (5,534)	$ (6,603)	$ (7,223)	$ (4,065)	$ (26,522)	$ (23,425)	$ (17,514)
Net loss per share from continuing operations, basic and diluted (in dollars per share)	$ (0.34)	$ (0.34)	$ (0.31)	$ (0.34)	$ (0.28)	$ (0.34)	$ (0.46)	$ (0.34)	$ (1.33)	$ (1.41)	$ (2.52)
Net loss per share, basic and diluted (in dollars per share)	$ (0.34)	$ (0.33)	$ (0.31)	$ (0.34)	$ (0.28)	$ (0.34)	$ (0.46)	$ (0.27)	$ (1.32)	$ (1.34)	$ (2.85)
Weighted average number of shares used to compute net loss per share of common stock, basic and diluted (shares)	20,556,822	20,183,939	19,772,345	19,747,362	19,742,245	19,330,888	15,539,053	15,421,234	20,067,660	17,525,187	6,145,731