Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2019 | May 03, 2019 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2019 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | MACK | |
Entity Registrant Name | MERRIMACK PHARMACEUTICALS INC | |
Entity Central Index Key | 0001274792 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding | 13,342,909 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 36,542 | $ 20,079 |
Marketable securities | 21,924 | 51,199 |
Restricted cash | 584 | 584 |
Prepaid expenses and other current assets | 4,644 | 4,240 |
Total current assets | 63,694 | 76,102 |
Property and equipment, net | 1,009 | 2,269 |
Equity method investment | 7,127 | 7,428 |
Other assets | 2,523 | 2,744 |
Total assets | 74,353 | 88,543 |
Current liabilities: | ||
Accounts payable, accrued expenses and other | 10,339 | 13,677 |
Note payable | 1,475 | |
Deferred rent | 1,118 | |
Total current liabilities | 11,814 | 14,795 |
Note payable, net of discount and current portion | 13,519 | 14,873 |
Other long-term liabilities | 56 | 56 |
Total liabilities | 25,389 | 29,724 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Preferred stock, $0.01 par value: 10,000 shares authorized at March 31, 2019 and December 31, 2018; no shares issued or outstanding at March 31, 2019 or December 31, 2018 | ||
Common stock, $0.01 par value: 30,000 shares authorized at March 31, 2019 and December 31, 2018; 13,343 shares issued and outstanding at March 31, 2019 and December 31, 2018 | 1,334 | 1,334 |
Additional paid-in capital | 581,365 | 580,771 |
Accumulated other comprehensive loss | (9) | |
Accumulated deficit | (533,735) | (523,277) |
Total stockholders’ equity | 48,964 | 58,819 |
Total liabilities and stockholders’ equity | $ 74,353 | $ 88,543 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Mar. 31, 2019 | Dec. 31, 2018 |
Statement Of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 30,000,000 | 30,000,000 |
Common stock, shares issued | 13,343,000 | 13,343,000 |
Common stock, shares outstanding | 13,343,000 | 13,343,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Loss - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Operating expenses: | ||
Research and development expenses | $ 6,361 | $ 13,106 |
General and administrative expenses | 3,683 | 4,270 |
Total operating expenses | 10,044 | 17,376 |
Loss from operations | (10,044) | (17,376) |
Other income and expenses: | ||
Interest income | 365 | 275 |
Interest expense | (478) | |
Other (expense) income, net | (301) | (681) |
Total other income and expenses | (414) | (406) |
Net loss | $ (10,458) | $ (17,782) |
Net loss per common share - basic and diluted | $ (0.78) | $ (1.33) |
Weighted-average common shares used to compute basic and diluted net loss per common share | 13,343 | 13,343 |
Comprehensive loss: | ||
Net loss | $ (10,458) | $ (17,782) |
Unrealized gain (loss) on marketable securities | 9 | (12) |
Comprehensive loss | $ (10,449) | $ (17,794) |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock [Member] | Additional Paid-In Capital [Member] | Accumulated Other Comprehensive Loss [Member] | Accumulated Deficit [Member] |
Balance at Dec. 31, 2017 | $ 96,284 | $ 1,334 | $ 577,721 | $ (482,771) | |
Balance (in shares) at Dec. 31, 2017 | 13,343 | ||||
Stock-based compensation | 764 | 764 | |||
Unrealized loss on marketable securities | (12) | $ (12) | |||
Net loss | (17,782) | (17,782) | |||
Balance at Mar. 31, 2018 | 79,254 | $ 1,334 | 578,485 | (12) | (500,553) |
Balance (in shares) at Mar. 31, 2018 | 13,343 | ||||
Balance at Dec. 31, 2018 | 58,819 | $ 1,334 | 580,771 | (9) | (523,277) |
Balance (in shares) at Dec. 31, 2018 | 13,343 | ||||
Stock-based compensation | 594 | 594 | |||
Unrealized loss on marketable securities | 9 | $ 9 | |||
Net loss | (10,458) | (10,458) | |||
Balance at Mar. 31, 2019 | $ 48,964 | $ 1,334 | $ 581,365 | $ (533,735) | |
Balance (in shares) at Mar. 31, 2019 | 13,343 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Cash flows from operating activities | ||
Net loss | $ (10,458) | $ (17,782) |
Adjustments to reconcile net loss to net cash used in operating activities | ||
Non-cash interest expense | 121 | |
Depreciation and amortization expense | 1,219 | 1,239 |
Gain on sale of property and equipment | (574) | |
Premiums paid on marketable securities | (51) | |
Amortization and accretion on marketable securities | (216) | (141) |
Stock-based compensation expense | 594 | 764 |
Loss on equity method investment | 301 | 746 |
Changes in operating assets and liabilities: | ||
Prepaid expenses and other assets | (183) | 801 |
Accounts payable, accrued expenses and other | (4,456) | (2,397) |
Deferred rent | (518) | |
Net cash used in operating activities | (13,652) | (17,339) |
Cash flows from investing activities | ||
Purchase of property and equipment | (16) | |
Proceeds on sale of property and equipment | 615 | |
Proceeds from maturities and sales of marketable securities | 29,500 | |
Purchases of marketable securities | (41,818) | |
Net cash provided by (used in) investing activities | 30,115 | (41,834) |
Net increase (decrease) in cash, cash equivalents and restricted cash | 16,463 | (59,173) |
Cash, cash equivalents and restricted cash, beginning of period | 20,663 | 94,217 |
Cash, cash equivalents and restricted cash, end of period | 37,126 | 35,044 |
Non-cash investing activities | ||
Purchases of property and equipment in accounts payable, accrued expenses and other | $ 114 | |
Supplemental disclosure of cash flows | ||
Cash paid for income taxes | 10 | |
Cash paid for interest | $ 361 |
Nature of the Business
Nature of the Business | 3 Months Ended |
Mar. 31, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Nature of the Business | 1. Nature of the Business Merrimack Pharmaceuticals, Inc. (the “Company”) is an early stage biopharmaceutical company based in Cambridge, Massachusetts focused on outthinking cancer by targeting biomarker-defined cancers. The Company’s vision is to ensure that cancer patients and their families live fulfilling lives. The Company’s mission is to transform cancer care through the smart design and development of targeted solutions based on a deep understanding of cancer pathways and biological markers. The Company owns worldwide development and commercial rights to all of its programs. On April 3, 2017, the Company completed the sale (the “Asset Sale”) to Ipsen S.A. (“Ipsen”) of its right, title and interest in the non-cash assets, equipment, inventory, contracts and intellectual property primarily related to or used in the Company’s business operations and activities involving or relating to developing, manufacturing and commercializing ONIVYDE ® On November 7, 2018, the Company announced that it had retained external advisors to explore strategic alternatives. On April 4, 2019, the Company announced that it is discontinuing development of its sole clinical stage program, MM-310, its antibody-directed nanotherapeutic for the treatment of solid tumors. This decision was the result of a comprehensive review of available safety data from its Phase 1 clinical trial of MM-310. Based on emerging data since the amendment of the clinical protocol in late 2018, the Company concluded that the trial would not be able to reach an optimal therapeutic index for MM-310. On April 4, 2019, the Company also announced that it expects to initiate a workforce reduction as it closes out clinical activities, reflective of its narrowed preclinical pipeline and in line with prior cost-cutting measures. On April 4, 2019, the Company also announced that, in light of its ongoing strategic process, the Company intends to continue to prudently advance its preclinical immuno-oncology pipeline: MM-401, an agonistic antibody targeting a novel immuno-oncology target, TNFR2, and MM-201, a highly stabilized agonist-Fc fusion protein targeting death receptors 4 and 5. The Company is subject to risks and uncertainties common to companies in the biopharmaceutical industry, including, among other things, its ability to secure additional capital to fund operations, success of clinical trials, development by competitors of new technological innovations, dependence on collaborative arrangements, protection of proprietary technology, compliance with government regulations and dependence on key personnel. In addition, the Company is engaged in a process to explore its strategic alternatives, which could result The Company’s product candidates are in preclinical development, and none are approved for any indication by the U.S. Food and Drug Administration (“FDA”) or any other regulatory agency. There can be no assurance that the Company’s research and development will be successfully completed, that adequate protection for the Company’s intellectual property will be obtained or maintained, that any products developed will obtain necessary government regulatory approval or that any approved products will be commercially viable. Even if the Company’s product development efforts are successful, it is uncertain when, if ever, the Company will generate significant revenue from product sales. The Company operates in an environment of rapid change in technology and substantial competition from pharmaceutical and biotechnology companies, among others. In addition, the Company is dependent upon the services of its employees and consultants. In accordance with Accounting Standards Codification (“ASC”) 205-40, Going Concern for at least the next 12 months from issuance of the financial statements The Company will ultimately need to seek additional funding through public or private equity or debt financings, through existing or new collaboration arrangements, or through divestitures of its assets. The Company may not be able to obtain financing on acceptable terms, or at all, and the Company may not be able to enter into additional collaborative arrangements or divest its assets. The terms of any financing may adversely affect the holdings or the rights of the Company’s stockholders. Arrangements with collaborators or others may require the Company to relinquish rights to certain of its technologies or product candidates. If the Company is unable to obtain funding, the Company could be forced to delay, reduce or eliminate its research and development programs, which could adversely affect its business prospects. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2019 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Basis of Presentation The accompanying condensed consolidated financial statements reflect the operations of Merrimack Pharmaceuticals, Inc. and its wholly owned subsidiaries. All intercompany accounts and transactions have been eliminated. The condensed consolidated financial statements are unaudited and have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). The accounting policies followed in the preparation of the interim condensed consolidated financial statements are consistent in all material respects with those presented in Note 1 to the financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018. Consolidation The accompanying condensed consolidated financial statements reflect Merrimack Pharmaceuticals, Inc. and its wholly owned subsidiaries. Unaudited Interim Financial Information The condensed consolidated balance sheet as of December 31, 2018 was derived from audited financial statements, but does not include all disclosures required by GAAP. The condensed consolidated balance sheet as of March 31, 2019, the condensed consolidated statements of operations and comprehensive loss for the three months ended March 31, 2019 and 2018, the condensed consolidated statements of stockholders’ equity for the three months ended March 31, 2019 and 2018 and the condensed consolidated statements of cash flows for the three months ended March 31, 2019 and 2018 are unaudited. The unaudited interim condensed consolidated financial statements have been prepared on the same basis as the audited annual financial statements and, in the opinion of management, reflect all adjustments, which include only normal recurring adjustments, necessary for the fair statement of the Company’s financial position as of March 31, 2019, the results of its operations for the three months ended March 31, 2019 and 2018, its statements of stockholders’ equity for the three months ended March 31, 2019 and 2018 and its statements of cash flows for the three months ended March 31, 2019 and 2018. The financial data and other information disclosed in the notes related to the three months ended March 31, 2019 and 2018 are unaudited. The results for the three months ended March 31, 2019 and 2018 are not necessarily indicative of results to be expected for the year ending December 31, 2019, any other interim periods, or any future year or period. The unaudited interim financial statements of the Company included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted from this report, as is permitted by such rules and regulations. These unaudited condensed consolidated financial statements should be read in conjunction with the audited financial statements and the notes thereto contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018 filed with the SEC on March 6, 2019. Condensed Consolidated Statements of Cash Flows The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the statement of financial position that sum to the total of the same such amounts shown in the statement of cash flows: (in thousands) March 31, 2019 March 31, 2018 Cash and cash equivalents $ 36,542 $ 34,268 Restricted cash in prepaid expenses and other current assets — 102 Restricted cash (short-term) 584 — Restricted cash (long-term) — 674 Total cash, cash equivalents and restricted cash shown in the condensed consolidated statement of cash flows $ 37,126 $ 35,044 Restricted cash on the statement of financial position for 2019 and 2018 primarily represents amounts pledged as collateral for operating lease obligations as contractually required. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates, assumptions and judgments that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of expenses during the reporting periods. Significant estimates, assumptions and judgments reflected in these condensed consolidated financial statements include, but are not limited to, the accrual of research and development expenses and the valuation of stock-based awards. Estimates are periodically reviewed in light of changes in circumstances, facts and experience. Actual results could differ from the Company’s estimates. Marketable Securities Marketable debt securities consist of investments with original maturities greater than 90 days at their acquisition date. The Company classifies all of its marketable debt securities as available-for-sale securities. The Company’s marketable debt securities are measured and reported at fair value using quoted prices in active markets for similar securities. Unrealized gains and losses on available-for-sale securities are reported as accumulated other comprehensive loss, which is a separate component of stockholders’ equity. The cost of securities sold is determined on a specific identification basis, and realized gains and losses are included in other income and expenses, net in the consolidated statements of operations and comprehensive loss. The Company evaluates its marketable debt securities with unrealized losses for other-than-temporary impairment. When assessing marketable debt securities for other-than-temporary declines in value, the Company considers such factors as, among other things, how significant the decline in value is as a percentage of the original cost, how long the market value of the investment has been less than its original cost, the Company’s ability and intent to retain the investment for a period of time sufficient to allow for any anticipated recovery in fair value and market conditions in general. If any adjustment to fair value reflects a decline in the value of the investment that the Company considers to be “other than temporary,” the Company reduces the investment to fair value through a charge to the statement of operations and comprehensive loss. No such adjustments were necessary during the periods presented. |
Leases
Leases | 3 Months Ended |
Mar. 31, 2019 | |
Leases [Abstract] | |
Leases | 3. Leases The Company adopted the new leasing standards on January 1, 2019, using the modified retrospective transition method, which does not require restatement of prior periods, for all the leases existing as of the adoption date. The adoption of the new leasing standards did not have a significant impact on the Company’s consolidated financial statements. As of January 1, 2019, the Company’s only existing lease is the lease of its principal research and office space located at One Kendall Square in Cambridge, Massachusetts, which expires in June 2019. As of March 31, 2019, the Company has recorded a right-of-use asset of $1.0 million, within prepaid expenses and other current assets on its condensed consolidated balance sheet, which represents the Company’s right to use the underlying asset for the lease term. The Company also recorded a lease liability of $1.6 million, within accounts payable, accrued expenses and other, which represents the Company’s obligation to make lease payments arising from the associated lease. The right-of-use asset and lease liability are calculated using the present value of the lease payments over the expected lease term discounted at an incremental borrowing rate that the Company would expect to incur for a fully collateralized loan over a similar term under similar economic conditions. Certain adjustments to the right-of-use asset are required for items such as initial direct costs, prepaid rent and lease incentives. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 3 Months Ended |
Mar. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | 4. Fair Value of Financial Instruments Fair value is an exit price, representing the amount that would be received from the sale of an asset or paid to transfer a liability in an orderly transaction between market participants. Fair value is determined based on observable and unobservable inputs. Observable inputs reflect readily obtainable data from independent sources, while unobservable inputs reflect certain market assumptions. As a basis for considering such assumptions, GAAP establishes a three-tier value hierarchy, which prioritizes the inputs used to develop the assumptions and for measuring fair value as follows: Level 1 observable inputs such as quoted prices in active markets for identical assets; Level 2 inputs other than the quoted prices in active markets that are observable either directly or indirectly; and Level 3 unobservable inputs in which there is little or no market data, which requires the Company to develop its own assumptions. This hierarchy requires the Company to use observable market data, when available, and to minimize the use of unobservable inputs when determining fair value. The following tables show assets measured at fair value on a recurring basis as of March 31, 2019 and December 31, 2018: March 31, 2019 (in thousands) Level 1 Level 2 Level 3 Cash equivalents: Money market funds $ 32,440 $ — $ — Totals $ 32,440 $ — $ — Marketable securities: Corporate debt securities $ — $ 1,997 $ — Commercial paper — 16,930 — Government securities — 2,997 — Totals $ — $ 21,924 $ — December 31, 2018 (in thousands) Level 1 Level 2 Level 3 Cash equivalents: Money market funds $ 16,292 $ — $ — Commercial paper — 1,998 — Totals $ 16,292 $ 1,998 $ — Marketable securities: Commercial paper $ — $ 31,766 $ — Corporate debt securities — 7,479 — Government securities — 11,954 — Totals $ — $ 51,199 $ — During the three months ended March 31, 2019 and the year ended December 31, 2018, there were no transfers between Level 1 and Level 2. The fair value of Level 2 instruments classified as cash equivalents and marketable debt securities were determined through third-party pricing services. The Company’s cash, restricted cash, prepaid expenses and other current assets, accounts payable, accrued expenses and variable interest rate note payable are recorded at cost, which approximates fair value due to their short-term nature |
Marketable Securities and Cash
Marketable Securities and Cash Equivalents | 3 Months Ended |
Mar. 31, 2019 | |
Investments Debt And Equity Securities [Abstract] | |
Marketable Securities and Cash Equivalents | 5. Marketable Securities and Cash Equivalents The following table summarizes the Company’s marketable securities and cash equivalents as of March 31, 2019 and December 31, 2018: March 31, 2019 (in thousands) Amortized Cost Unrealized Gains Unrealized Losses Fair Value Cash equivalents: Money market funds $ 32,440 $ — $ — $ 32,440 Total cash equivalents $ 32,440 $ — $ — $ 32,440 Marketable securities: Corporate debt securities $ 1,997 $ — $ — $ 1,997 Commercial paper 16,930 — — 16,930 Government securities 2,997 — — 2,997 Total marketable securities $ 21,924 $ — $ — $ 21,924 Total cash equivalents and marketable securities $ 54,364 $ — $ — $ 54,364 December 31, 2018 (in thousands) Amortized Cost Unrealized Gains Unrealized Losses Fair Value Cash equivalents: Money market funds $ 16,292 $ — $ — $ 16,292 Commercial paper 1,998 — — 1,998 Total cash equivalents $ 18,290 $ — $ — $ 18,290 Marketable securities: Commercial paper $ 31,766 $ — $ — $ 31,766 Corporate debt securities 7,487 — (8 ) 7,479 Government securities 11,955 — (1 ) 11,954 Total marketable securities $ 51,208 $ — $ (9 ) $ 51,199 |
Notes Payable
Notes Payable | 3 Months Ended |
Mar. 31, 2019 | |
Debt Disclosure [Abstract] | |
Notes Payable | 6. Notes Payable Through March 31, 2019, the Company borrowed $15.0 million under the Loan and Security Agreement (the “Loan Agreement”) by and among the Company, certain subsidiaries of the Company from time to time party thereto, the several banks and other financial institutions or entities from time to time parties thereto (collectively referred to as “Lender”) and Hercules Capital, Inc. (“Hercules”), in its capacity as administrative agent and collateral agent for itself and Lender, As of March 31, 2019, note payable consisted of the following: (in thousands) March 31, 2019 Note payable $ 15,000 Less: current portion (1,475 ) Note payable, net of current portion 13,525 Debt discount, net of accretion (255 ) Accretion related to final payment 249 Note payable, net of discount and current portion $ 13,519 During the three months ended March 31, 2019, the Company recognized $0.5 million of interest expense related to the Loan Agreement. No interest expense was associated with the Loan Agreement for the three months ended March 31, 2018. Estimated future principal payments due under the Loan Agreement are as follows as of March 31, 2019: (in thousands) Note Principal Payments Remainder of 2019 $ — 2020 8,394 2021 6,606 Total minimum note principal payments $ 15,000 |
Accounts Payable, Accrued Expen
Accounts Payable, Accrued Expenses and Other | 3 Months Ended |
Mar. 31, 2019 | |
Payables And Accruals [Abstract] | |
Accounts Payable, Accrued Expenses and Other | 7. Accounts Payable, Accrued Expenses and Other Accounts payable, accrued expenses and other as of March 31, 2019 and December 31, 2018 consisted of the following: (in thousands) March 31, 2019 December 31, 2018 Accounts payable $ 841 $ 1,034 Accrued goods and services 2,421 2,082 Accrued clinical trial costs 1,919 1,683 Accrued drug purchase costs 1,114 4,245 Accrued payroll and related benefits 833 2,315 Accrued restructuring expenses 209 921 Income taxes payable 83 83 Deferred tax incentives 1,314 1,314 Lease liability 1,605 — Total accounts payable, accrued expenses and other $ 10,339 $ 13,677 |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Mar. 31, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-Based Compensation | 8. Stock-Based Compensation The Company’s 2011 Stock Incentive Plan (the “2011 Plan”) is administered by the Company’s Board of Directors and permits the Company to grant incentive and non-qualified stock options, stock appreciation rights, restricted stock, restricted stock units and other stock-based awards. There were no options granted during the three months ended March 31, 2019. At March 31, 2019, there were 0.8 million shares remaining available for grant under the 2011 Plan. The Company recognized stock-based compensation expense during the three months ended March 31, 2019 and 2018 as follows: Three Months Ended March 31, (in thousands) 2019 2018 Employee awards: Research and development expense $ 183 $ 334 General and administrative expense 411 430 Total stock-based compensation expense $ 594 $ 764 |
Net Loss Per Common Share
Net Loss Per Common Share | 3 Months Ended |
Mar. 31, 2019 | |
Earnings Per Share [Abstract] | |
Net Loss Per Common Share | 9. Net Loss Per Common Share Basic net loss per share is calculated by dividing the net loss attributable to Merrimack Pharmaceuticals, Inc. by the weighted-average number of common shares outstanding during the period. Diluted net loss per share is computed by dividing the net loss attributable to Merrimack Pharmaceuticals, Inc. by the weighted-average number of dilutive common shares outstanding during the period. Dilutive shares outstanding is calculated by adding to the weighted shares outstanding any potential (unissued) shares of common stock from outstanding stock options based on the treasury stock method. In a period when a net loss is reported, all common stock equivalents are excluded from the calculation because they would have an anti-dilutive effect, meaning the loss per share would be reduced. Therefore, in periods where a loss is reported, there is no difference in basic and dilutive loss per share. The Company follows the two-class method when computing net loss per share when it has issued shares that meet the definition of participating securities. The two-class method determines net loss per share for each class of common and participating securities according to dividends declared or accumulated and participating rights in undistributed earnings. The two-class method requires income available to common stockholders for the period to be allocated between common and participating securities based on their respective rights to receive dividends, as if all income for the period has been distributed or losses to be allocated if they are contractually required to fund losses. There were no amounts allocated to participating securities for the three months ended March 31, 2019 and 2018, as the Company was in a loss position and had no shares that met the definition of participating securities outstanding as of March 31, 2019 and 2018. Stock options are excluded from the calculation of diluted loss per share because the net loss for the three months ended March 31, 2018 causes such securities to be anti-dilutive. Outstanding options excluded from the calculation of diluted loss per share for the three months ended March 31, 2019 and 2018 are shown in the chart below: Three Months Ended March 31, (in thousands) 2019 2018 Outstanding options to purchase common stock 2,148 2,037 |
Restructuring Activities
Restructuring Activities | 3 Months Ended |
Mar. 31, 2019 | |
Restructuring And Related Activities [Abstract] | |
Restructuring Activities | 10. Restructuring Activities On November 7, 2018, the Company announced that it was implementing a reduction in headcount as part of a corporate restructuring. The corporate restructuring followed a comprehensive review of the Company’s drug candidate pipeline. Under this corporate restructuring, the Company recognized total restructuring expenses of $1.3 million for the year ended December 31, 2018 consisting of one-time employee termination benefits of $1.0 million recorded in research and development expense and $0.3 million recorded in general and administrative expense. These one-time employee termination benefits are comprised of severance, benefits and related costs, all of which are expected to result in cash expenditures. Approximately $0.4 million of these payments were made during the fourth quarter of 2018 and the accrued remaining payments at December 31, 2018 were approximately $0.9 million. During the three months ended March 31, 2019, the Company recognized additional restructuring expenses of $0.3 million consisting of one-time employee termination benefits of $0.2 million recorded in research and development expense and $0.1 million recorded in general and administrative expense. These one-time employee termination benefits are comprised of severance, benefits and related costs, all of which are expected to result in cash expenditures. During the three months ended March 31, 2019, the Company paid approximately $1.0 million of these restructuring expenses. The remaining payments of $0.2 million will be paid during the three months ended June 30, 2019. The following table summarizes the charges related to the restructuring activities as of March 31, 2019 and 2018: (in thousands) Accrued Restructuring Expenses at December 31, 2018 Expenses Less: Payments Accrued Restructuring Expenses at March 31, 2019 Severance, benefits and related costs due to workforce reduction $ 921 $ 347 $ (1,059 ) $ 209 Totals $ 921 $ 347 $ (1,059 ) $ 209 (in thousands) Accrued Restructuring Expenses at December 31, 2017 Expenses Less: Payments Accrued Restructuring Expenses at March 31, 2018 Severance, benefits and related costs due to workforce reduction $ 628 $ — $ (377 ) $ 251 Totals $ 628 $ — $ (377 ) $ 251 |
Investment in Silver Creek
Investment in Silver Creek | 3 Months Ended |
Mar. 31, 2019 | |
Noncontrolling Interest [Abstract] | |
Investment in Silver Creek | 11. Investment in Silver Creek On August 20, 2010, the Company acquired a controlling financial interest in Silver Creek Pharmaceuticals, Inc. (“Silver Creek”). At such time, the Company had the ability to direct the activities of Silver Creek that most significantly impacted Silver Creek’s economic performance through its ownership percentage and through the board of director seats controlled by the Company. As such, Silver Creek was consolidated by the Company. Since the Company acquired its financial interest, Silver Creek has raised funding through the issuance of preferred stock and convertible promissory notes. The Company has not participated in any Silver Creek financings nor has it provided any funding. During the third quarter of 2017, Silver Creek completed its Series C preferred stock financing, reducing the Company’s ownership percentage in Silver Creek below 50% and resulting in the Company no longer controlling the Silver Creek board of directors. Accordingly, the Company determined that it was no longer the primary beneficiary of Silver Creek and deconsolidated Silver Creek from its financial statements on July 13, 2017. Starting on July 14, 2017, the Company accounted for its investment in Silver Creek under the equity method of accounting since the Company has the ability to exercise significant influence over Silver Creek. Under the equity method of accounting, the Company has recorded its proportionate share of Silver Creek’s losses in its results of operations with a corresponding decrease in the carrying value of the investment. As of March 31, 2019, the carrying value of the Company’s investment in Silver Creek was $7.1 million. There can be no guarantee that the value of the Company’s investment in Silver Creek will not realize a substantial future loss or complete loss of value. The Company reviews the investment for impairment whenever events or changes in circumstances indicate that the carrying amount of the investment might not be recoverable. These circumstances can include, but are not limited to, negative current events or long-term outlooks impacting Silver Creek and/or its programs, planned or announced delays in the clinical development process to advance its programs, a current fair value of investment at a lower value than the Company’s investment and/or investors no longer providing financial support or reducing their financial commitment to Silver Creek. Silver Creek continues to be a related party to the Company after deconsolidation. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 3 Months Ended |
Mar. 31, 2019 | |
Accounting Changes And Error Corrections [Abstract] | |
Recent Accounting Pronouncements | 12. Recent Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02, “Leases (Topic 842)” (“ASU 2016-02”), which establishes principles that lessees and lessors shall apply to report useful information to users of financial statements about the amount, timing and uncertainty of cash flows arising from a lease. The most notable change will be lessees recognizing an asset and liability on their balance sheet for operating leases. In 2018, the FASB issued ASU 2018-01 and ASU 2018-11, which collectively add two practical expedients, provide a second modified retrospective transition method which does not require retrospective adjustment of prior periods, and provide certain narrow scope improvements to the new lease guidance. ASU 2016-02 and the amending ASU’s are effective for the Company for annual periods beginning after December 15, 2018 and interim periods therein, with early adoption permitted. The Company adopted the new guidance as of January 1, 2019 using the modified retrospective transition method, which does not require restatement of prior periods, for all leases existing as of the adoption date. As described in Note 3, “Leases,” the adoption of this new guidance did not have a material impact on the Company’s condensed consolidated financial statements. In June 2016, the FASB issued ASU 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments In August 2018, the FASB issued ASU No. 2018-13, “Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement” (“ASU 2018-13”). This standard eliminates, adds and modifies certain disclosure requirements for fair value measurements as part of its disclosure framework project. ASU 2018-13 is effective for annual reporting periods beginning after December 15, 2019 and interim periods within those annual periods and early adoption is permitted. The Company is currently evaluating the impact of its adoption of ASU 2018-13 on its condensed consolidated financial statements. From time to time, new accounting pronouncements are issued by the FASB or other standard setting bodies that the Company adopts as of the specified effective date. Unless otherwise discussed above, the Company does not believe that the adoption of recently issued standards has or may have a material impact on the Company’s condensed consolidated financial statements or disclosures. |
Subsequent Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Events | 13. Subsequent Events On April 4, 2019, the Company announced that it is discontinuing development of its sole clinical stage program, MM-310, its antibody-directed nanotherapeutic for the treatment of solid tumors. This decision was the result of a comprehensive review of available safety data from its Phase 1 clinical trial of MM-310. Based on emerging data since the amendment of the clinical protocol in late 2018, the Company concluded that the trial would not be able to reach an optimal therapeutic index for MM-310. On April 4, 2019, the Company also announced that it expects to initiate a workforce reduction as it closes out clinical activities, reflective of its narrowed preclinical pipeline and in line with prior cost-cutting measures. On April 30, 2019 the Company announced that it committed to a course of action to implement a reduction in headcount, after which the Company expects to have approximately 13 employees. The reduction in headcount is primarily focused on the Company’s clinical organization as a result of the discontinuation of development of MM-310. The Company estimates it will incur expenses for one-time termination benefits in connection with this corporate restructuring of approximately $1.5 million to $1.7 million for employee severance, benefits and related costs, inclusive of . The reduction in headcount is expected to be substantially completed by May 31, 2019 and fully completed by July 2019. On April 15, 2019, the Company prepaid in full all principal, accrued and unpaid interest, fees, costs and expenses under the Loan Agreement with Hercules in an aggregate amount equal to $16.0 million (the “Payoff Amount”). The Company had previously borrowed $15.0 million under the Loan Agreement. The Payoff Amount includes a prepayment penalty of $0.2 million. In connection with the payment of the Payoff Amount, all liens and security interests granted to secure the obligations under the Loan Agreement and all guaranties of the obligations under the Loan Agreement terminated. On May 7, 2019, the Company sold its equity position in Silver Creek for $7.8 million. In May 2019, the Company auctioned laboratory equipment from the Company’s research and development operations, resulting in approximately $1.3 million in cash. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2019 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying condensed consolidated financial statements reflect the operations of Merrimack Pharmaceuticals, Inc. and its wholly owned subsidiaries. All intercompany accounts and transactions have been eliminated. The condensed consolidated financial statements are unaudited and have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). The accounting policies followed in the preparation of the interim condensed consolidated financial statements are consistent in all material respects with those presented in Note 1 to the financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018. |
Consolidation | Consolidation The accompanying condensed consolidated financial statements reflect Merrimack Pharmaceuticals, Inc. and its wholly owned subsidiaries. |
Unaudited Interim Financial Information | Unaudited Interim Financial Information The condensed consolidated balance sheet as of December 31, 2018 was derived from audited financial statements, but does not include all disclosures required by GAAP. The condensed consolidated balance sheet as of March 31, 2019, the condensed consolidated statements of operations and comprehensive loss for the three months ended March 31, 2019 and 2018, the condensed consolidated statements of stockholders’ equity for the three months ended March 31, 2019 and 2018 and the condensed consolidated statements of cash flows for the three months ended March 31, 2019 and 2018 are unaudited. The unaudited interim condensed consolidated financial statements have been prepared on the same basis as the audited annual financial statements and, in the opinion of management, reflect all adjustments, which include only normal recurring adjustments, necessary for the fair statement of the Company’s financial position as of March 31, 2019, the results of its operations for the three months ended March 31, 2019 and 2018, its statements of stockholders’ equity for the three months ended March 31, 2019 and 2018 and its statements of cash flows for the three months ended March 31, 2019 and 2018. The financial data and other information disclosed in the notes related to the three months ended March 31, 2019 and 2018 are unaudited. The results for the three months ended March 31, 2019 and 2018 are not necessarily indicative of results to be expected for the year ending December 31, 2019, any other interim periods, or any future year or period. The unaudited interim financial statements of the Company included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted from this report, as is permitted by such rules and regulations. These unaudited condensed consolidated financial statements should be read in conjunction with the audited financial statements and the notes thereto contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018 filed with the SEC on March 6, 2019. |
Condensed Consolidated Statements of Cash Flows | Condensed Consolidated Statements of Cash Flows The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the statement of financial position that sum to the total of the same such amounts shown in the statement of cash flows: (in thousands) March 31, 2019 March 31, 2018 Cash and cash equivalents $ 36,542 $ 34,268 Restricted cash in prepaid expenses and other current assets — 102 Restricted cash (short-term) 584 — Restricted cash (long-term) — 674 Total cash, cash equivalents and restricted cash shown in the condensed consolidated statement of cash flows $ 37,126 $ 35,044 Restricted cash on the statement of financial position for 2019 and 2018 primarily represents amounts pledged as collateral for operating lease obligations as contractually required. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates, assumptions and judgments that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of expenses during the reporting periods. Significant estimates, assumptions and judgments reflected in these condensed consolidated financial statements include, but are not limited to, the accrual of research and development expenses and the valuation of stock-based awards. Estimates are periodically reviewed in light of changes in circumstances, facts and experience. Actual results could differ from the Company’s estimates. |
Marketable Securities | Marketable Securities Marketable debt securities consist of investments with original maturities greater than 90 days at their acquisition date. The Company classifies all of its marketable debt securities as available-for-sale securities. The Company’s marketable debt securities are measured and reported at fair value using quoted prices in active markets for similar securities. Unrealized gains and losses on available-for-sale securities are reported as accumulated other comprehensive loss, which is a separate component of stockholders’ equity. The cost of securities sold is determined on a specific identification basis, and realized gains and losses are included in other income and expenses, net in the consolidated statements of operations and comprehensive loss. The Company evaluates its marketable debt securities with unrealized losses for other-than-temporary impairment. When assessing marketable debt securities for other-than-temporary declines in value, the Company considers such factors as, among other things, how significant the decline in value is as a percentage of the original cost, how long the market value of the investment has been less than its original cost, the Company’s ability and intent to retain the investment for a period of time sufficient to allow for any anticipated recovery in fair value and market conditions in general. If any adjustment to fair value reflects a decline in the value of the investment that the Company considers to be “other than temporary,” the Company reduces the investment to fair value through a charge to the statement of operations and comprehensive loss. No such adjustments were necessary during the periods presented. |
Recent Accounting Pronouncements | In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02, “Leases (Topic 842)” (“ASU 2016-02”), which establishes principles that lessees and lessors shall apply to report useful information to users of financial statements about the amount, timing and uncertainty of cash flows arising from a lease. The most notable change will be lessees recognizing an asset and liability on their balance sheet for operating leases. In 2018, the FASB issued ASU 2018-01 and ASU 2018-11, which collectively add two practical expedients, provide a second modified retrospective transition method which does not require retrospective adjustment of prior periods, and provide certain narrow scope improvements to the new lease guidance. ASU 2016-02 and the amending ASU’s are effective for the Company for annual periods beginning after December 15, 2018 and interim periods therein, with early adoption permitted. The Company adopted the new guidance as of January 1, 2019 using the modified retrospective transition method, which does not require restatement of prior periods, for all leases existing as of the adoption date. As described in Note 3, “Leases,” the adoption of this new guidance did not have a material impact on the Company’s condensed consolidated financial statements. In June 2016, the FASB issued ASU 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments In August 2018, the FASB issued ASU No. 2018-13, “Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement” (“ASU 2018-13”). This standard eliminates, adds and modifies certain disclosure requirements for fair value measurements as part of its disclosure framework project. ASU 2018-13 is effective for annual reporting periods beginning after December 15, 2019 and interim periods within those annual periods and early adoption is permitted. The Company is currently evaluating the impact of its adoption of ASU 2018-13 on its condensed consolidated financial statements. From time to time, new accounting pronouncements are issued by the FASB or other standard setting bodies that the Company adopts as of the specified effective date. Unless otherwise discussed above, the Company does not believe that the adoption of recently issued standards has or may have a material impact on the Company’s condensed consolidated financial statements or disclosures. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Accounting Policies [Abstract] | |
Schedule of Reconciliation of Cash, Cash Equivalents, and Restricted Cash | The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the statement of financial position that sum to the total of the same such amounts shown in the statement of cash flows: (in thousands) March 31, 2019 March 31, 2018 Cash and cash equivalents $ 36,542 $ 34,268 Restricted cash in prepaid expenses and other current assets — 102 Restricted cash (short-term) 584 — Restricted cash (long-term) — 674 Total cash, cash equivalents and restricted cash shown in the condensed consolidated statement of cash flows $ 37,126 $ 35,044 |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Summary of Assets Measured at Fair Value on a Recurring Basis | The following tables show assets measured at fair value on a recurring basis as of March 31, 2019 and December 31, 2018: March 31, 2019 (in thousands) Level 1 Level 2 Level 3 Cash equivalents: Money market funds $ 32,440 $ — $ — Totals $ 32,440 $ — $ — Marketable securities: Corporate debt securities $ — $ 1,997 $ — Commercial paper — 16,930 — Government securities — 2,997 — Totals $ — $ 21,924 $ — December 31, 2018 (in thousands) Level 1 Level 2 Level 3 Cash equivalents: Money market funds $ 16,292 $ — $ — Commercial paper — 1,998 — Totals $ 16,292 $ 1,998 $ — Marketable securities: Commercial paper $ — $ 31,766 $ — Corporate debt securities — 7,479 — Government securities — 11,954 — Totals $ — $ 51,199 $ — |
Marketable Securities and Cas_2
Marketable Securities and Cash Equivalents (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Investments Debt And Equity Securities [Abstract] | |
Summary of Marketable Securities and Cash Equivalents | The following table summarizes the Company’s marketable securities and cash equivalents as of March 31, 2019 and December 31, 2018: March 31, 2019 (in thousands) Amortized Cost Unrealized Gains Unrealized Losses Fair Value Cash equivalents: Money market funds $ 32,440 $ — $ — $ 32,440 Total cash equivalents $ 32,440 $ — $ — $ 32,440 Marketable securities: Corporate debt securities $ 1,997 $ — $ — $ 1,997 Commercial paper 16,930 — — 16,930 Government securities 2,997 — — 2,997 Total marketable securities $ 21,924 $ — $ — $ 21,924 Total cash equivalents and marketable securities $ 54,364 $ — $ — $ 54,364 December 31, 2018 (in thousands) Amortized Cost Unrealized Gains Unrealized Losses Fair Value Cash equivalents: Money market funds $ 16,292 $ — $ — $ 16,292 Commercial paper 1,998 — — 1,998 Total cash equivalents $ 18,290 $ — $ — $ 18,290 Marketable securities: Commercial paper $ 31,766 $ — $ — $ 31,766 Corporate debt securities 7,487 — (8 ) 7,479 Government securities 11,955 — (1 ) 11,954 Total marketable securities $ 51,208 $ — $ (9 ) $ 51,199 |
Notes Payable (Tables)
Notes Payable (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of Notes Payable | As of March 31, 2019, note payable consisted of the following: (in thousands) March 31, 2019 Note payable $ 15,000 Less: current portion (1,475 ) Note payable, net of current portion 13,525 Debt discount, net of accretion (255 ) Accretion related to final payment 249 Note payable, net of discount and current portion $ 13,519 |
Summary of Estimated Future Principal Payments Due Under Loan Agreement | Estimated future principal payments due under the Loan Agreement are as follows as of March 31, 2019: (in thousands) Note Principal Payments Remainder of 2019 $ — 2020 8,394 2021 6,606 Total minimum note principal payments $ 15,000 |
Accounts Payable, Accrued Exp_2
Accounts Payable, Accrued Expenses and Other (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Payables And Accruals [Abstract] | |
Schedule of Accounts Payable, Accrued Expenses and Other | Accounts payable, accrued expenses and other as of March 31, 2019 and December 31, 2018 consisted of the following: (in thousands) March 31, 2019 December 31, 2018 Accounts payable $ 841 $ 1,034 Accrued goods and services 2,421 2,082 Accrued clinical trial costs 1,919 1,683 Accrued drug purchase costs 1,114 4,245 Accrued payroll and related benefits 833 2,315 Accrued restructuring expenses 209 921 Income taxes payable 83 83 Deferred tax incentives 1,314 1,314 Lease liability 1,605 — Total accounts payable, accrued expenses and other $ 10,339 $ 13,677 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Schedule of Recognized Stock-Based Compensation Expense | The Company recognized stock-based compensation expense during the three months ended March 31, 2019 and 2018 as follows: Three Months Ended March 31, (in thousands) 2019 2018 Employee awards: Research and development expense $ 183 $ 334 General and administrative expense 411 430 Total stock-based compensation expense $ 594 $ 764 |
Net Loss Per Common Share (Tabl
Net Loss Per Common Share (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Earnings Per Share [Abstract] | |
Schedule of Outstanding Options Excluded from Computation of Diluted Loss Per Share | Outstanding options excluded from the calculation of diluted loss per share for the three months ended March 31, 2019 and 2018 are shown in the chart below: Three Months Ended March 31, (in thousands) 2019 2018 Outstanding options to purchase common stock 2,148 2,037 |
Restructuring Activities (Table
Restructuring Activities (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Restructuring And Related Activities [Abstract] | |
Summary of Charges Related to Restructuring Activities | The following table summarizes the charges related to the restructuring activities as of March 31, 2019 and 2018: (in thousands) Accrued Restructuring Expenses at December 31, 2018 Expenses Less: Payments Accrued Restructuring Expenses at March 31, 2019 Severance, benefits and related costs due to workforce reduction $ 921 $ 347 $ (1,059 ) $ 209 Totals $ 921 $ 347 $ (1,059 ) $ 209 (in thousands) Accrued Restructuring Expenses at December 31, 2017 Expenses Less: Payments Accrued Restructuring Expenses at March 31, 2018 Severance, benefits and related costs due to workforce reduction $ 628 $ — $ (377 ) $ 251 Totals $ 628 $ — $ (377 ) $ 251 |
Nature of the Business - Additi
Nature of the Business - Additional Information (Detail) - USD ($) | Apr. 03, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2018 |
Summary Of Significant Accounting Policies [Line Items] | ||||
Accumulated deficit | $ 533,735,000 | $ 523,277,000 | ||
Net loss | 10,458,000 | $ 17,782,000 | ||
Cash used in operating activities | 13,652,000 | $ 17,339,000 | ||
Cash, cash equivalents and marketable securities | $ 58,500,000 | |||
Ipsen [Member] | Asset Sale Agreement [Member] | Maximum [Member] | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Additional payments receivable on achievement of certain milestone events | $ 450,000,000 | |||
Servier [Member] | Asset Sale Agreement [Member] | Development and Commercialization Milestones [Member] | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Maximum amount of milestone payments that can be received | 33,000,000 | |||
Milestone payment received | $ 28,000,000 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Schedule of Reconciliation of Cash, Cash Equivalents, and Restricted Cash (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 | Mar. 31, 2018 | Dec. 31, 2017 |
Cash Cash Equivalents And Restricted Cash [Line Items] | ||||
Cash and cash equivalents | $ 36,542 | $ 20,079 | $ 34,268 | |
Restricted cash (short-term) | 584 | |||
Restricted cash (long-term) | 674 | |||
Total cash, cash equivalents and restricted cash shown in the condensed consolidated statement of cash flows | $ 37,126 | $ 20,663 | 35,044 | $ 94,217 |
Prepaid Expenses and Other Current Assets [Member] | ||||
Cash Cash Equivalents And Restricted Cash [Line Items] | ||||
Restricted cash (short-term) | $ 102 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Additional Information (Detail) | 3 Months Ended |
Mar. 31, 2019 | |
Minimum [Member] | |
Summary Of Significant Accounting Policies [Line Items] | |
Expected original maturities period of marketable securities classified as available-for-sale | 90 days |
Leases - Additional Information
Leases - Additional Information (Detail) $ in Millions | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Lessee Lease Description [Line Items] | |
Operating lease, right-of-use asset | $ 1 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | us-gaap:PrepaidExpenseAndOtherAssetsCurrent |
Operating lease, liability | $ 1.6 |
Operating Lease, Liability, Statement of Financial Position [Extensible List] | us-gaap:AccountsPayableAndAccruedLiabilitiesCurrent |
One Kendall Square in Cambridge, Massachusetts [Member] | |
Lessee Lease Description [Line Items] | |
Operating lease expiration month and year | 2019-06 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments - Summary of Assets Measured at Fair Value on a Recurring Basis (Detail) - Recurring Basis [Member] - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Level 1 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Cash equivalents | $ 32,440 | $ 16,292 |
Level 1 [Member] | Money Market Funds [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Cash equivalents | 32,440 | 16,292 |
Level 2 [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Cash equivalents | 1,998 | |
Marketable securities | 21,924 | 51,199 |
Level 2 [Member] | Corporate Debt Securities [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Marketable securities | 1,997 | 7,479 |
Level 2 [Member] | Commercial Paper [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Marketable securities | 16,930 | 31,766 |
Level 2 [Member] | Government Securites [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Marketable securities | $ 2,997 | 11,954 |
Level 2 [Member] | Commercial Paper [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Cash equivalents | $ 1,998 |
Fair Value of Financial Instr_4
Fair Value of Financial Instruments - Additional Information (Detail) - USD ($) | Mar. 31, 2019 | Dec. 31, 2018 |
Fair Value Disclosures [Abstract] | ||
Fair value transfers between Level 1 and Level 2 | $ 0 | $ 0 |
Marketable Securities and Cas_3
Marketable Securities and Cash Equivalents - Summary of Marketable Securities and Cash Equivalents (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | $ 54,364 | |
Fair Value | 54,364 | |
Cash Equivalents [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 32,440 | $ 18,290 |
Fair Value | 32,440 | 18,290 |
Cash Equivalents [Member] | Money Market Funds [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 32,440 | 16,292 |
Fair Value | 32,440 | 16,292 |
Cash Equivalents [Member] | Commercial Paper [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 1,998 | |
Fair Value | 1,998 | |
Marketable Securities [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 21,924 | 51,208 |
Unrealized Losses | (9) | |
Fair Value | 21,924 | 51,199 |
Marketable Securities [Member] | Corporate Debt Securities [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 1,997 | 7,487 |
Unrealized Losses | (8) | |
Fair Value | 1,997 | 7,479 |
Marketable Securities [Member] | Commercial Paper [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 16,930 | 31,766 |
Fair Value | 16,930 | 31,766 |
Marketable Securities [Member] | Government Securities [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 2,997 | 11,955 |
Unrealized Losses | (1) | |
Fair Value | $ 2,997 | $ 11,954 |
Notes Payable - Additional Info
Notes Payable - Additional Information (Detail) - USD ($) | 1 Months Ended | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2019 | Mar. 31, 2018 | |
Debt Instrument [Line Items] | |||
Interest expense | $ 478,000 | ||
Loan Agreement [Member] | |||
Debt Instrument [Line Items] | |||
Interest expense | 500,000 | $ 0 | |
Term Loan [Member] | Loan Agreement [Member] | Hercules Capital, Inc [Member] | |||
Debt Instrument [Line Items] | |||
Aggregate principal amount of loan | $ 15,000,000 | 15,000,000 | |
Debt discount discount and issuance costs | 400,000 | 400,000 | |
Payments of fee | $ 300,000 | 300,000 | |
Debt instrument, percentage of final payment due at maturity to outstanding debt | 5.55% | ||
Final fee payment due at maturity to outstanding debt | $ 800,000 | $ 800,000 | |
Percentage of effective interest rate | 12.70% | 12.70% |
Notes Payable - Schedule of Not
Notes Payable - Schedule of Notes Payable (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Debt Disclosure [Abstract] | ||
Note payable | $ 15,000 | |
Less: current portion | (1,475) | |
Note payable, net of current portion | 13,525 | |
Debt discount, net of accretion | (255) | |
Accretion related to final payment | 249 | |
Note payable, net of discount and current portion | $ 13,519 | $ 14,873 |
Notes Payable - Summary of Esti
Notes Payable - Summary of Estimated Future Principal Payments Due Under Loan Agreement (Detail) $ in Thousands | Mar. 31, 2019USD ($) |
Maturities Of Long Term Debt [Abstract] | |
2020 | $ 8,394 |
2021 | 6,606 |
Total minimum note principal payments | $ 15,000 |
Accounts Payable, Accrued Exp_3
Accounts Payable, Accrued Expenses and Other - Schedule of Accounts Payable, Accrued Expenses and Other (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 | Mar. 31, 2018 | Dec. 31, 2017 |
Payables And Accruals [Abstract] | ||||
Accounts payable | $ 841 | $ 1,034 | ||
Accrued goods and services | 2,421 | 2,082 | ||
Accrued clinical trial costs | 1,919 | 1,683 | ||
Accrued drug purchase costs | 1,114 | 4,245 | ||
Accrued payroll and related benefits | 833 | 2,315 | ||
Accrued restructuring expenses | 209 | 921 | $ 251 | $ 628 |
Income taxes payable | 83 | 83 | ||
Deferred tax incentives | 1,314 | 1,314 | ||
Lease liability | 1,605 | |||
Total accounts payable, accrued expenses and other | $ 10,339 | $ 13,677 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - Stock Incentive Plan 2011 [Member] | 3 Months Ended |
Mar. 31, 2019shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares of common stock available for grant (in shares) | 800,000 |
Number of Options, Granted | 0 |
Stock-Based Compensation - Sche
Stock-Based Compensation - Schedule of Recognized Stock-Based Compensation Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Total stock-based compensation expense | $ 594 | $ 764 |
Research and Development Expense [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Stock-based compensation expense for employee awards | 183 | 334 |
General and Administrative Expense [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||
Stock-based compensation expense for employee awards | $ 411 | $ 430 |
Net Loss Per Common Share - Add
Net Loss Per Common Share - Additional Information (Detail) - USD ($) | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Earnings Per Share [Abstract] | ||
Amounts allocated to participating securities | $ 0 | $ 0 |
Participating securities outstanding, shares | 0 | 0 |
Net Loss Per Common Share - Sch
Net Loss Per Common Share - Schedule of Outstanding Options Excluded from Computation of Diluted Loss Per Share (Detail) - shares shares in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Outstanding Options to Purchase Common Stock [Member] | ||
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ||
Securities excluded from calculation of diluted loss per share | 2,148 | 2,037 |
Restructuring Activities- Addit
Restructuring Activities- Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||
Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Mar. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | |
Restructuring Cost And Reserve [Line Items] | ||||||
Restructuring activity, announcement date | Nov. 7, 2018 | |||||
Restructuring expenses | $ 347 | |||||
Payments for restructuring | 1,059 | $ 400 | $ 377 | |||
Accrued remaining payments for restructuring | 209 | $ 921 | $ 251 | $ 921 | $ 628 | |
Scenario, Forecast | ||||||
Restructuring Cost And Reserve [Line Items] | ||||||
Payments for restructuring | $ 200 | |||||
One-time Termination Benefits [Member] | ||||||
Restructuring Cost And Reserve [Line Items] | ||||||
Restructuring expenses | 300 | 1,300 | ||||
One-time Termination Benefits [Member] | Research and Development Expense [Member] | ||||||
Restructuring Cost And Reserve [Line Items] | ||||||
Restructuring expenses | 200 | 1,000 | ||||
One-time Termination Benefits [Member] | General and Administrative Expense [Member] | ||||||
Restructuring Cost And Reserve [Line Items] | ||||||
Restructuring expenses | $ 100 | $ 300 |
Restructuring Activities - Summ
Restructuring Activities - Summary of Charges Related to Restructuring Activities (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2019 | Dec. 31, 2018 | Mar. 31, 2018 | Dec. 31, 2018 | |
Restructuring Cost And Reserve [Line Items] | ||||
Accrued Restructuring Expenses | $ 921 | $ 628 | $ 628 | |
Expenses | 347 | |||
Less: Payments | (1,059) | $ (400) | (377) | |
Accrued Restructuring Expenses | 209 | 921 | 251 | 921 |
Severance Benefits and Related Costs Due to Workforce Reduction [Member] | ||||
Restructuring Cost And Reserve [Line Items] | ||||
Accrued Restructuring Expenses | 921 | 628 | 628 | |
Expenses | 347 | |||
Less: Payments | (1,059) | (377) | ||
Accrued Restructuring Expenses | $ 209 | $ 921 | $ 251 | $ 921 |
Investment in Silver Creek - Ad
Investment in Silver Creek - Additional Information (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2017 |
Consolidation Less Than Wholly Owned Subsidiary Parent Ownership Interest Effects Of Changes Net [Line Items] | |||
Equity method investment | $ 7,127 | $ 7,428 | |
Silver Creek Pharmaceuticals Inc [Member] | |||
Consolidation Less Than Wholly Owned Subsidiary Parent Ownership Interest Effects Of Changes Net [Line Items] | |||
Equity method investment | $ 7,100 | ||
Silver Creek Pharmaceuticals Inc [Member] | Maximum [Member] | |||
Consolidation Less Than Wholly Owned Subsidiary Parent Ownership Interest Effects Of Changes Net [Line Items] | |||
Ownership interest percentage held by parent | 50.00% |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) $ in Thousands | May 07, 2019USD ($) | Apr. 15, 2019USD ($) | Apr. 04, 2019USD ($)Employee | May 31, 2019USD ($) | Mar. 31, 2019USD ($) |
Subsequent Event [Line Items] | |||||
Proceeds from sale of equity securities | $ 29,500 | ||||
Proceeds on sale of property and equipment | 615 | ||||
Term Loan [Member] | Hercules Capital, Inc [Member] | Loan Agreement [Member] | |||||
Subsequent Event [Line Items] | |||||
Aggregate principal amount of loan | $ 15,000 | ||||
Subsequent Event [Member] | |||||
Subsequent Event [Line Items] | |||||
Subsequent event, date | Apr. 30, 2019 | ||||
Number of employees after headcount reduction | Employee | 13 | ||||
Corporate restructuring headcount reduction expected to complete fully, month and year | 2019-07 | ||||
Corporate restructuring headcount reduction expected to complete substantially, month and year | 2019-05 | ||||
Subsequent Event [Member] | Laboratory Equipment [Member] | |||||
Subsequent Event [Line Items] | |||||
Proceeds on sale of property and equipment | $ 1,300 | ||||
Subsequent Event [Member] | Silver Creek Pharmaceuticals Inc [Member] | |||||
Subsequent Event [Line Items] | |||||
Proceeds from sale of equity securities | $ 7,800 | ||||
Subsequent Event [Member] | Term Loan [Member] | Hercules Capital, Inc [Member] | Loan Agreement [Member] | |||||
Subsequent Event [Line Items] | |||||
Prepayment penalty | $ 200 | ||||
Payoff amount | $ 16,000 | ||||
One-time Termination Benefits [Member] | Minimum [Member] | Subsequent Event [Member] | |||||
Subsequent Event [Line Items] | |||||
Expenses for one-time termination | $ 1,500 | ||||
One-time Termination Benefits [Member] | Maximum [Member] | Subsequent Event [Member] | |||||
Subsequent Event [Line Items] | |||||
Expenses for one-time termination | $ 1,700 |