Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2017 | Aug. 08, 2017 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | SRRA | |
Entity Registrant Name | Sierra Oncology, Inc. | |
Entity Central Index Key | 1,290,149 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 52,268,443 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 116,699 | $ 109,007 |
Prepaid expenses and other current assets | 566 | 1,343 |
Total current assets | 117,265 | 110,350 |
Property and equipment, net | 256 | 400 |
Other assets | 312 | 223 |
TOTAL ASSETS | 117,833 | 110,973 |
CURRENT LIABILITIES: | ||
Accrued liabilities | 5,002 | 5,121 |
Accounts payable | 521 | 2,604 |
Total current liabilities | 5,523 | 7,725 |
TOTAL LIABILITIES | 5,523 | 7,725 |
Commitments and Contingencies (Note 6) | ||
STOCKHOLDERS' EQUITY: | ||
Preferred stock, $0.001 par value; 10,000,000 shares authorized as of June 30, 2017 and December 31, 2016; nil shares issued and outstanding as of June 30, 2017 and December 31, 2016 | ||
Common stock, $0.001 par value; 500,000,000 shares authorized as of June 30, 2017 and December 31, 2016; 52,268,443 and 30,370,946 shares issued and outstanding as of June 30, 2017 and December 31, 2016 | 52 | 30 |
Additional paid-in capital | 715,741 | 685,272 |
Accumulated deficit | (603,483) | (582,054) |
TOTAL STOCKHOLDERS' EQUITY | 112,310 | 103,248 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 117,833 | $ 110,973 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Jun. 30, 2017 | Dec. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.001 | $ 0.001 |
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 | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 500,000,000 | 500,000,000 |
Common stock, shares issued | 52,268,443 | 30,370,946 |
Common stock, shares outstanding | 52,268,443 | 30,370,946 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Operating expenses: | ||||
Research and development | $ 7,194 | $ 9,115 | $ 15,202 | $ 15,751 |
General and administrative | 3,283 | 3,831 | 6,429 | 7,808 |
Total operating expenses | 10,477 | 12,946 | 21,631 | 23,559 |
Loss from operations | (10,477) | (12,946) | (21,631) | (23,559) |
Other income | 185 | 88 | 281 | 171 |
Loss before provision for income taxes | (10,292) | (12,858) | (21,350) | (23,388) |
Provision for income taxes | 37 | 14 | 71 | 22 |
Net loss | $ (10,329) | $ (12,872) | $ (21,421) | $ (23,410) |
Net loss per common share, basic and diluted | $ (0.20) | $ (0.43) | $ (0.45) | $ (0.78) |
Weighted-average shares used in computing net loss per common share, basic and diluted | 52,268,443 | 30,191,093 | 47,459,428 | 30,130,660 |
Condensed Consolidated Stateme5
Condensed Consolidated Statement of Stockholders' Equity - 6 months ended Jun. 30, 2017 - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-In Capital [Member] | Accumulated Deficit [Member] |
Stockholders Equity, Beginning Balance at Dec. 31, 2016 | $ 103,248 | $ 30 | $ 685,272 | $ (582,054) |
Stockholders Equity, Beginning Balance, Shares at Dec. 31, 2016 | 30,370,946 | |||
Issuance of common stock for exercise of stock options | 23 | 23 | ||
Issuance of common stock for exercise of stock options, Shares | 49,861 | |||
Stock-based compensation | 3,038 | 3,038 | ||
Issuance of common stock, net of offering costs of $2.1 million | 27,422 | $ 22 | 27,400 | |
Issuance of common stock, net of offering costs of $2.1 million, shares | 21,847,636 | |||
Net loss | (21,421) | (21,421) | ||
Stockholders Equity, Ending Balance at Jun. 30, 2017 | $ 112,310 | $ 52 | 715,741 | (603,483) |
Stockholders Equity, Ending Balance, Shares at Jun. 30, 2017 | 52,268,443 | |||
Cumulative effect of adoption of new accounting standard | $ 8 | $ (8) |
Condensed Consolidated Stateme6
Condensed Consolidated Statement of Stockholders' Equity (Parenthetical) $ in Millions | 6 Months Ended |
Jun. 30, 2017USD ($) | |
Statement of Stockholders' Equity [Abstract] | |
Issuance of common stock, net of offering costs | $ 2.1 |
Condensed Consolidated Stateme7
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net loss | $ (21,421) | $ (23,410) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Stock-based compensation | 3,038 | 2,666 |
Depreciation | 156 | 106 |
Non-cash restructuring charges | 811 | |
Other | 17 | 22 |
Changes in operating assets and liabilities: | ||
Prepaid expenses and other assets | 696 | 468 |
Accrued liabilities | (133) | (592) |
Accounts payable | (2,035) | 376 |
Net cash used in operating activities | (19,682) | (19,553) |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Purchase of property and equipment | (87) | (193) |
Change in restricted cash | 13 | 25 |
Proceeds from sale of property and equipment | 13 | |
Net cash used in investing activities | (74) | (155) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Proceeds from issuance of common stock upon follow-on offering, net of offering costs | 27,422 | |
Proceeds from exercise of common stock options | 23 | 120 |
Payment of deferred offering costs | (15) | |
Net cash provided by financing activities | 27,445 | 105 |
Effect of foreign exchange rate changes on cash and cash equivalents | 3 | (27) |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 7,692 | (19,630) |
CASH AND CASH EQUIVALENTS - Beginning of period | 109,007 | 150,180 |
CASH AND CASH EQUIVALENTS - End of period | 116,699 | 130,550 |
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: | ||
Cash paid for income taxes | 187 | 80 |
SUPPLEMENTAL DISCLOSURES OF NON-CASH INVESTING AND FINANCING INFORMATION: | ||
Property and equipment purchases included in accounts payable and accrued liabilities | $ 10 | $ 11 |
The Company and Basis of Presen
The Company and Basis of Presentation | 6 Months Ended |
Jun. 30, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
The Company and Basis of Presentation | 1. The Company and Basis of Presentation Organization and Description of Business Sierra Oncology, Inc. (together with its subsidiaries, collectively referred to as the “Company”), a Delaware corporation, is a clinical stage drug development company advancing next generation DNA Damage Response (DDR) therapeutics for the treatment of patients with cancer. Sierra Oncology’s lead drug candidate is SRA737, a potent, highly selective, orally bioavailable small molecule inhibitor of Checkpoint kinase 1 (Chk1), a key regulator of important cell cycle checkpoints and central mediator of the DDR network. Sierra Oncology is also advancing SRA141, a potent, selective and orally bioavailable small molecule inhibitor of cell division cycle 7 kinase (Cdc7) undergoing preclinical development. The Company’s primary activities since inception have been conducting research and development activities, conducting preclinical and clinical testing, recruiting personnel, performing business and financial planning, identifying and evaluating additional drug candidates for potential in-licensing The Company has not generated any product revenue related to its primary business purpose to date, nor has it generated any income, and is subject to a number of risks and uncertainties, which include dependence on key individuals, the need to identify and successfully develop commercially viable products, the need to obtain regulatory approval for its products and commercialize them, and the need to obtain adequate additional financing to fund the development of its product candidates. Follow-On On February 14, 2017, the Company completed an underwritten public offering of 19,500,000 shares of common stock. As part of the underwritten public offering, on February 21, 2017 the Company issued an additional 2,347,636 shares of common stock representing the underwriters’ exercise of a majority of their over-allotment option. All shares were offered by the Company at a price to the public of $1.35 per share. The aggregate net proceeds received by the Company from the offering were $27.4 million, net of underwriting discounts and commissions and offering expenses of $2.1 million. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2017 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies Basis of Presentation The condensed consolidated balance sheet as of June 30, 2017, the condensed consolidated statements of operations for the three and six months ended June 30, 2017 and 2016, the condensed consolidated statements of cash flows for the six months ended June 30, 2017 and 2016 and the condensed consolidated statement of stockholders’ equity as of June 30, 2017 are unaudited. The unaudited condensed consolidated financial statements have been prepared on the same basis as the annual consolidated financial statements and reflect, in the opinion of management, all adjustments of a normal and recurring nature that are necessary for the fair presentation of the Company’s condensed consolidated financial statements included in this report. The condensed consolidated financial data disclosed in these notes to the condensed consolidated financial statements related to the three- and six-month 10-K Use of Estimates The preparation of the condensed consolidated financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of expense during the reporting period. Significant estimates and assumptions made in the accompanying condensed consolidated financial statements include, but are not limited to the fair value of stock options, accruals such as research and development costs, and recoverability of the Company’s net deferred tax assets and related valuation allowance. The Company evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors and adjusts those estimates and assumptions when facts and circumstances dictate. Actual results could materially differ from those estimates. Foreign Currency The functional currency of the Company’s foreign subsidiaries is the U.S. Dollar. Transactions denominated in currencies other than the functional currency are remeasured to the functional currency at the average exchange rate in effect during the period. At the end of each reporting period, monetary assets and liabilities are remeasured to the functional currency using exchange rates in effect at the balance sheet date. Non-monetary Cash and Cash Equivalents The Company considers all highly liquid investments with an original maturity of three months or less from the date of purchase to be cash equivalents. Cash and cash equivalents consist primarily of funds invested in readily available checking and savings accounts and highly liquid investments in money market funds. Restricted Cash Restricted cash represents collateral for a corporate credit card facility and security deposits required for facility leases. Restricted cash consists of funds invested in a money market fund. As of June 30, 2017 and December 31, 2016, restricted cash of $0.2 million was included in other assets in the accompanying condensed consolidated balance sheets. Concentrations of Credit Risk Financial instruments that subject the Company to significant concentrations of credit risk consist of cash, cash equivalents and restricted cash. All of the Company’s cash, cash equivalents and restricted cash are held at financial institutions in the United States and Canada that management believes to be of high credit quality. Deposits held in the United States and Canada with these financial institutions exceed federally insured limits. The primary focus of the Company’s investment strategy is to preserve capital and meet liquidity requirements. The Company’s investment policy addresses the level of credit exposure by limiting the concentration in any one corporate issuer and establishing a minimum allowable credit rating. Comprehensive Loss The Company had no components of comprehensive loss other than net loss for all periods presented. Fair Value of Financial Instruments The Company’s cash and cash equivalents, restricted cash, other current assets, accounts payable, and accrued liabilities approximate their fair value at June 30, 2017 and December 31, 2016, due to their short duration. The Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible. The Company determines the fair value of its financial instruments based on assumptions that market participants would use in pricing an asset or liability in the principal or most advantageous market. When considering market participant assumptions in fair value measurements, the following fair value hierarchy distinguishes between observable and unobservable inputs, which are categorized in one of the following levels: Level 1 Level 2 Level 3 Property and Equipment, Net Property and equipment, net are stated at cost, less accumulated depreciation. Depreciation on property and equipment, excluding leasehold improvements, is computed using the straight-line method over the estimated useful lives of the respective assets, generally three to five years. Depreciation begins at the time the asset is placed in service. Maintenance and repairs are charged to operations as incurred. Upon sale or retirement of assets, the cost and related accumulated depreciation are removed from the condensed consolidated balance sheet and the resulting gain or loss is reflected in the condensed consolidated statement of operations. Leasehold improvements are amortized on a straight-line basis over the shorter of the estimated useful lives of the assets or the remaining lease term. Other Assets Other assets consist primarily of restricted cash pledged as collateral for a corporate credit card facility, and long-term prepaid rent and refundable deposits on office leases. Research and Development Costs Research and development costs are expensed as incurred. The Company accounts for non-refundable Upfront payments made in connection with license agreements are expensed as research and developments costs, as the assets acquired do not have alterative future use. Contingent milestone payment obligations due to third parties under license agreements are expensed when the milestones are considered probable of occurring. Research and development costs include fees incurred in connection with license agreements, compensation and other related costs for employees engaged in research and development, costs associated with preclinical studies and trials, regulatory activities, manufacturing activities to support clinical activities, fees paid to external service providers that conduct certain research and development, clinical, and manufacturing activities on behalf of the Company and an allocation of overhead expenses. Stock-Based Compensation The Company accounts for stock-based payments at fair value, which is measured using the Black-Scholes option-pricing model. For stock-based awards that vest subject to the satisfaction of a service requirement, the fair value measurement date for employee stock-based compensation awards is the date of grant and the expense is recognized on a straight-line basis over the vesting period. For stock-based awards that vest subject to the satisfaction of a service requirement and a performance component, the fair value measurement date is the date of grant and is recognized over the requisite service period as achievement of the performance objective becomes probable. Stock-based compensation arrangements with non-employees Income Taxes The Company uses the asset and liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are determined based on the differences between the financial reporting and the tax bases of assets and liabilities and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. Management makes an assessment of the likelihood that the resulting deferred tax assets will be realized. A valuation allowance is provided when it is more likely than not that some portion or all of a deferred tax asset will not be realized. Due to the Company’s historical operating performance and the recorded cumulative net losses in prior fiscal periods, the net U.S. deferred tax assets have been offset by a full valuation allowance. The Company recognizes uncertain income tax positions at the largest amount that is more likely than not to be sustained upon audit by the relevant taxing authority. An uncertain income tax position will not be recognized if it has less than a 50% likelihood of being sustained. Changes in recognition or measurement are reflected in the period in which judgment occurs. The Company recognizes interest and penalties related to the underpayment of income taxes as a component of provision for income taxes. Segment Information Operating segments are components of an enterprise for which separate financial information is available and is evaluated regularly by the Company’s chief operating decision maker in deciding how to allocate resources and assessing performance. The Company’s chief operating decision maker is its Chief Executive Officer. The Company’s Chief Executive Officer views the Company’s operations and manages its business in one operating segment, which is the business of researching, developing and commercializing therapies for the treatment of patients with cancer. Accordingly, the Company has a single reporting segment. Recent Accounting Pronouncements Not Yet Effective In February 2016, the Financial Accounting Standards Board (FASB) issued FASB Accounting Standards Update (ASU) No. 2016-02, Leases (Topic 842) |
Net Loss Per Share
Net Loss Per Share | 6 Months Ended |
Jun. 30, 2017 | |
Earnings Per Share [Abstract] | |
Net Loss Per Share | 3. Net Loss Per Share Basic net loss per share is calculated by dividing net loss by the weighted-average number of common shares outstanding during the period without consideration for common stock equivalents. Diluted net loss per share is computed by dividing net loss by the weighted-average number of common share equivalents outstanding for the period determined using the treasury-stock method. For purposes of this calculation, stock options are considered to be common stock equivalents and are only included in the calculation of diluted net loss per share when their effect is dilutive. As of June 30, 2017 and June 30, 2016, 7,716,043 and 4,409,724 outstanding options to purchase common stock, respectively, were excluded from the calculation of diluted net loss per share for the periods presented because including them would have been antidilutive. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 4. Fair Value Measurements The Company measures and reports its cash equivalents and restricted cash at fair value. The following table sets forth the fair value of the Company’s financial assets measured on a recurring basis by level within the fair value hierarchy: June 30, 2017 Level 1 Level 2 Level 3 Total (in thousands) Financial Assets Money market funds $ 115,553 $ — $ — $ 115,553 Restricted money market funds 187 — — 187 Total financial assets $ 115,740 $ — $ — $ 115,740 December 31, 2016 Level 1 Level 2 Level 3 Total (in thousands) Financial Assets Money market funds $ 107,043 $ — $ — $ 107,043 Restricted money market funds 200 — — 200 Total financial assets $ 107,243 $ — $ — $ 107,243 Money market funds and restricted money market funds are measured at fair value on a recurring basis using quoted prices and are classified as a Level 1 input. There were no transfers between Levels 1, 2 or 3 during the six months ended June 30, 2017. |
Balance Sheet Components
Balance Sheet Components | 6 Months Ended |
Jun. 30, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Balance Sheet Components | 5. Balance Sheet Components Cash and Cash Equivalents Cash and cash equivalents consist of the following: June 30, 2017 December 31, (in thousands) Cash $ 1,146 $ 1,964 Cash equivalents: Money market accounts 115,553 107,043 Total cash and cash equivalents $ 116,699 $ 109,007 Prepaid Expenses and Other Current Assets Prepaid expenses and other current assets consist of the following: June 30, December 31, (in thousands) Prepaid research and development project costs $ 141 $ 515 Prepaid insurance 57 511 Other receivables 91 70 Other 277 247 Total prepaid expenses and other current assets $ 566 $ 1,343 Property and Equipment, net Property and equipment, net consists of the following: June 30, December 31, (in thousands) Computer equipment $ 255 $ 255 Software 254 242 Leasehold improvements 110 110 Furniture and fixtures 45 45 Property and equipment, gross 664 652 Less: accumulated depreciation (408 ) (252 ) Total property and equipment, net $ 256 $ 400 Depreciation related to the Company’s property and equipment was $103,000 and $156,000 for the three and six months ended June 30, 2017, and was $54,000 and $106,000 for the three and six months ended June 30, 2016. During the three months ended June 30, 2016, as a result of the decision to halt investment in PNT2258, the Company recorded impairment charges of $130,000 on its lab equipment (note 10). Accrued Liabilities Accrued liabilities consist of the following: June 30, December 31, (in thousands) Accrued research and development costs 2,736 1,600 Accrued employee-related costs $ 1,313 $ 2,084 Accrued professional fees 619 381 Accrued restructuring costs (note 10) 206 763 Other 128 293 Total accrued liabilities $ 5,002 $ 5,121 |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 6. Commitments and Contingencies License Agreements In September 2016, the Company entered into an exclusive license agreement with CRT Pioneer Fund LP (CPF) for worldwide rights, know-how one-time product-by-product country-by-country In May 2016, the Company entered into an exclusive license agreement (Carna License Agreement) with Carna Biosciences, Inc. (Carna) for worldwide rights to develop and commercialize SRA141, a small molecule kinase inhibitor targeting Cdc7. In exchange for this exclusive right, the Company paid Carna an upfront payment of $0.9 million in June 2016. The Company will be required to pay Carna milestone payments of up to an aggregate of $270.0 million upon achievement of certain developmental, regulatory and commercial milestone events, which will be accrued once they are considered probable of occurring. As of June 30, 2017, the Company had not recorded any milestone payments to Carna. In addition, the Company is required to pay Carna tiered single-digit royalties on net sales of product candidates (as defined under the Carna License Agreement). Lease Agreements In February 2015, the Company entered into an operating lease agreement to sublease office space in Vancouver, Canada. The operating lease agreement expires on February 27, 2018. Under the terms of the agreement, the Company issued a letter of credit to the sublessor on closing, which was collateralized by a restricted deposit of $13,000 at June 30, 2017. In June 2017, the Company entered into a new operating lease agreement to continue leasing the office space in Vancouver, Canada commencing March 1, 2018. The new lease expires on February 28, 2023 and can be extended for an additional term of 5 years. In January 2016, the Company entered into an operating lease agreement to lease office space near San Francisco, California. The operating lease agreement expires on April 30, 2019. In addition to base rent, these leases require payment of taxes and other operating costs. These operating costs are not included in the table below. As of June 30, 2017, the aggregate future non-cancelable Years Ending December 31: Operating Leases (in thousands) Remainder of 2017 $ 178 2018 403 2019 265 2020 218 2021 222 Years Ending December 31: Operating Leases (in thousands) Thereafter 177 Total $ 1,463 The total rent expense was $0.2 million and $0.3 million for the three and six months ended June 30, 2017, and $0.2 million and $0.3 million for the three and six months ended June 30, 2016. Legal On November 9, 2016, a purported securities class action lawsuit was filed in the United States District Court for the Southern District of New York against the Company and certain of its executive officers. The lawsuit was brought by purported stockholders of the Company seeking to represent a class consisting of stockholders who purchased stock between July 15, 2015 and June 6, 2016. The lawsuit asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and seeks unspecified damages and other relief. The Company believes that the claims are without merit and intends to defend the lawsuit vigorously. It is possible that additional similar lawsuits could be filed. Due to the early stage of the litigation, the Company is unable to predict the outcome of this matter and is unable to make a meaningful estimate of the amount or range of loss, if any, that could result from an unfavorable outcome. On November 18, 2016, a purported securities class action lawsuit was filed in the Superior Court of the State of California for the County of San Mateo against the Company, certain of its executive officers and directors, and the underwriters for the Company’s initial public offering of its common stock. On February 9, 2017, a substantially identical putative class action suit was filed in the Superior Court of the State of California for the County of San Mateo asserting the same claims on behalf of the same putative class. The lawsuits were brought by purported stockholders of the Company seeking to represent a class consisting of stockholders who purchased stock pursuant to and/or traceable to the Company’s Registration Statement on Form S-1. From time to time, the Company may become subject to other legal proceedings, claims and litigation arising in the ordinary course of business. In addition, the Company may receive letters alleging infringement of patent or other intellectual property rights. The Company is not currently a party to any other material legal proceedings, nor is it aware of any pending or threatened litigation that, in the Company’s opinion, would have a material adverse effect on the business, operating results, cash flows or financial condition should such litigation be resolved unfavorably. |
Common Stock Reserved for Issua
Common Stock Reserved for Issuance | 6 Months Ended |
Jun. 30, 2017 | |
Equity [Abstract] | |
Common Stock Reserved for Issuance | 7. Common Stock Reserved for Issuance The Company is required to reserve and keep available out of its authorized but unissued shares of common stock a number of shares sufficient to effect the conversion of all outstanding options granted and available for grant under the incentive plans and shares reserved for issuance under the employee stock purchase plan. June 30, December 31, Outstanding and issued stock options 7,716,043 6,543,654 Shares reserved for future option grants 1,385,108 1,392,521 Shares reserved under the 2015 employee stock purchase plan 700,000 700,000 Total common stock reserved for issuance 9,801,151 8,636,175 |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Jun. 30, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | 8. Stock-Based Compensation In the accompanying condensed consolidated statements of operations, the Company recognized stock-based compensation expense for its employees and non-employees Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 (in thousands) Research and development $ 1,008 $ 807 $ 2,021 $ 1,761 General and administrative 503 496 1,017 905 Total stock-based compensation $ 1,511 $ 1,303 $ 3,038 $ 2,666 Determination of Fair Value The estimated grant-date fair values of all of the Company’s stock-based awards were calculated using the Black-Scholes option pricing model, based on assumptions as follows: Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Expected term (in years) 5.3 – 6.1 5.3 – 7.0 5.3 – 7.0 5.3 – 9.9 Expected volatility 86 – 87 % 77 – 85 % 86 – 96 % 77 – 85 % Risk-free interest rate 1.8 – 1.9 % 1.1 – 1.7 % 1.8 – 2.3 % 1.1 – 1.9 % Expected dividend rate — % — % — % — % On January 1, 2017, the Company adopted FASB ASU No. 2016-09 2016-09), Compensation – Stock Compensation (Topic 718) , Equity Incentive Plans 2015 Plan The 2015 Equity Incentive Plan (2015 Plan) became effective on July 14, 2015. As of June 30, 2017, 6,445,747 shares were reserved for issuance under the 2015 Plan. The number of shares reserved for issuance under the 2015 Plan will increase automatically on January 1 of each calendar year 2016 through 2025 by the number of shares equal to 4% of the total outstanding shares of the Company’s common stock as of the immediately preceding December 31. The Company’s Board of Directors or Compensation Committee may reduce the amount of the increase in any particular year. The exercise price of each stock-based award issued under the 2015 Plan is required to be no less than the fair value of the Company’s capital stock. The vesting and exercise provisions of options or restricted awards granted are determined individually with each grant. Stock options have a 10-year 2008 Plan The Company granted options under the 2008 Stock Plan (2008 Plan) until July 2015 when it was terminated as to future awards, although it continues to govern the terms of options that remain outstanding under the 2008 Plan. The 2008 Plan provided for the granting of Incentive Stock Options (ISO), nonqualified stock options and stock purchase rights. In connection with the Board of Director’s approval of the 2015 Plan, all remaining shares available for future award under the 2008 Plan were transferred to the 2015 Plan, and the 2008 Plan was terminated. A summary of activity under the 2008 Plan and 2015 Plan and related information is as follows: Options Outstanding Shares Number Weighted- Weighted- Aggregate Outstanding — December 31, 2016 1,392,521 6,543,654 $ 3.44 8.82 $ 888 Awards authorized 1,214,837 Options granted (1,393,775 ) 1,393,775 1.43 Options exercised — (49,861 ) 0.46 Options forfeited/cancelled 171,525 (171,525 ) 4.39 Outstanding — June 30, 2017 1,385,108 7,716,043 $ 3.07 8.60 $ 337 Exercisable — June 30, 2017 3,479,127 $ 2.91 7.92 $ 332 Vested and expected to vest — June 30, 2017 7,716,043 $ 3.07 8.60 $ 337 The weighted-average grant date fair values of options granted during the three and six months ended June 30, 2017 was $0.80 and $1.08 per share, and $2.23 and $3.93 per share during the three and six months ended June 30, 2016. The aggregate intrinsic value of options exercised was $0.1 million for the six months ended June 30, 2017, and $0.2 million and $0.1 million for the three and six months ended June 30, 2016. No options were exercised during the three months ended June 30, 2017. The total grant date fair value of options vested for the three and six months ended June 30, 2017 was $1.6 million and $3.8 million, and $2.7 million and $3.5 million during the three and six months ended June 30, 2016. As of June 30, 2017, total unrecognized stock-based compensation related to unvested stock options was $12.4 million. These costs are expected to be recognized over a remaining weighted-average period of 2.2 years as of June 30, 2017. 2015 Employee Stock Purchase Plan The Company adopted the 2015 Employee Stock Purchase Plan (ESPP) and initially reserved 700,000 shares of common stock as of its effective date of July 15, 2015. The number of shares initially reserved for issuance under the ESPP will increase automatically on January 1 for nine years from the first offering date by the number of shares equal to 1% of the total outstanding shares of the Company’s common stock as of the immediately preceding December 31. The aggregate number of shares issued over the term of the 2015 Employee Stock Purchase Plan will not exceed 3,400,000 shares of common stock. Under the ESPP, participants are offered the options to purchase shares of the Company’s common stock at a 15% discount during a series of discrete offering periods, subject to any plan limitations. The ESPP will not become effective until such time as the Compensation Committee determines in the future, and as of June 30, 2017, the initial offering periods had not commenced. As of June 30, 2017, no shares of common stock have been issued to employees participating in the ESPP and 700,000 shares were available for issuance under the ESPP. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 9. Income Taxes The Company did not record a provision for U.S. federal income taxes for the three and six months ended June 30, 2017 because it expects to generate a loss for the year ended December 31, 2017. The income tax expense of $37,000 and $71,000 for the three and six months ended June 30, 2017, and $14,000 and $22,000 for the three and six months ended June 30, 2016, represented foreign taxes. Utilization of the Company’s net operating loss and research and development credit carryforwards to offset taxable income are subject to an annual limitation, pursuant to Internal Revenue Code (IRC) Sections 382 and 383. As a result of stock offerings that occurred prior to 2016, subsequent changes in the stock ownership, and the stock offering in February 2017, an ownership change under Section 382 is deemed to have occurred. As such, all of the accumulated U.S. federal and state operating loss carryforwards and the net tax credit carryforwards incurred prior to the ownership change will not be available for future use. The loss of these attributes does not have any impact on the financial statements since the net U.S. deferred tax assets are offset by a full valuation allowance. |
Restructuring Costs
Restructuring Costs | 6 Months Ended |
Jun. 30, 2017 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Costs | 10. Restructuring Costs In June 2016, the Company halted investment in its former lead product candidate PNT2258 and closed the related Phase 2 clinical trials to further enrollment. As a result, the Company closed its research facility in Plymouth, Michigan, renegotiated and terminated certain contracts, and implemented staff reductions in the United States and Canada. The following table summarizes restructuring activities for the three months ended June 30, 2017: Contract Employee Total (in thousands) Accrual balance at March 31, 2017 $ 489 $ 6 $ 495 Adjustments to research and development expense (29 ) — (29 ) Cash payments (256 ) (4 ) (260 ) Accrual balance at June 30, 2017 $ 204 $ 2 $ 206 The following table summarizes restructuring activities for the six months ended June 30, 2017: Contract Employee Total (in thousands) Accrual balance at December 31, 2016 $ 664 $ 99 $ 763 Adjustments to research and development expense (74 ) — (74 ) Cash payments (386 ) (97 ) (483 ) Accrual balance at June 30, 2017 $ 204 $ 2 $ 206 Adjustments to research and development expense represent revisions to estimated costs to close the PNT2258 Phase 2 clinical trials. The accrual balance is currently expected to be paid by the end of 2017. |
Summary of Significant Accoun18
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2017 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The condensed consolidated balance sheet as of June 30, 2017, the condensed consolidated statements of operations for the three and six months ended June 30, 2017 and 2016, the condensed consolidated statements of cash flows for the six months ended June 30, 2017 and 2016 and the condensed consolidated statement of stockholders’ equity as of June 30, 2017 are unaudited. The unaudited condensed consolidated financial statements have been prepared on the same basis as the annual consolidated financial statements and reflect, in the opinion of management, all adjustments of a normal and recurring nature that are necessary for the fair presentation of the Company’s condensed consolidated financial statements included in this report. The condensed consolidated financial data disclosed in these notes to the condensed consolidated financial statements related to the three- and six-month 10-K |
Use of Estimates | Use of Estimates The preparation of the condensed consolidated financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of expense during the reporting period. Significant estimates and assumptions made in the accompanying condensed consolidated financial statements include, but are not limited to the fair value of stock options, accruals such as research and development costs, and recoverability of the Company’s net deferred tax assets and related valuation allowance. The Company evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors and adjusts those estimates and assumptions when facts and circumstances dictate. Actual results could materially differ from those estimates. |
Foreign Currency | Foreign Currency The functional currency of the Company’s foreign subsidiaries is the U.S. Dollar. Transactions denominated in currencies other than the functional currency are remeasured to the functional currency at the average exchange rate in effect during the period. At the end of each reporting period, monetary assets and liabilities are remeasured to the functional currency using exchange rates in effect at the balance sheet date. Non-monetary |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers all highly liquid investments with an original maturity of three months or less from the date of purchase to be cash equivalents. Cash and cash equivalents consist primarily of funds invested in readily available checking and savings accounts and highly liquid investments in money market funds. |
Restricted Cash | Restricted Cash Restricted cash represents collateral for a corporate credit card facility and security deposits required for facility leases. Restricted cash consists of funds invested in a money market fund. As of June 30, 2017 and December 31, 2016, restricted cash of $0.2 million was included in other assets in the accompanying condensed consolidated balance sheets. |
Concentrations of Credit Risk | Concentrations of Credit Risk Financial instruments that subject the Company to significant concentrations of credit risk consist of cash, cash equivalents and restricted cash. All of the Company’s cash, cash equivalents and restricted cash are held at financial institutions in the United States and Canada that management believes to be of high credit quality. Deposits held in the United States and Canada with these financial institutions exceed federally insured limits. The primary focus of the Company’s investment strategy is to preserve capital and meet liquidity requirements. The Company’s investment policy addresses the level of credit exposure by limiting the concentration in any one corporate issuer and establishing a minimum allowable credit rating. |
Comprehensive Loss | Comprehensive Loss The Company had no components of comprehensive loss other than net loss for all periods presented. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The Company’s cash and cash equivalents, restricted cash, other current assets, accounts payable, and accrued liabilities approximate their fair value at June 30, 2017 and December 31, 2016, due to their short duration. The Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible. The Company determines the fair value of its financial instruments based on assumptions that market participants would use in pricing an asset or liability in the principal or most advantageous market. When considering market participant assumptions in fair value measurements, the following fair value hierarchy distinguishes between observable and unobservable inputs, which are categorized in one of the following levels: Level 1 Level 2 Level 3 |
Property and Equipment, Net | Property and Equipment, Net Property and equipment, net are stated at cost, less accumulated depreciation. Depreciation on property and equipment, excluding leasehold improvements, is computed using the straight-line method over the estimated useful lives of the respective assets, generally three to five years. Depreciation begins at the time the asset is placed in service. Maintenance and repairs are charged to operations as incurred. Upon sale or retirement of assets, the cost and related accumulated depreciation are removed from the condensed consolidated balance sheet and the resulting gain or loss is reflected in the condensed consolidated statement of operations. Leasehold improvements are amortized on a straight-line basis over the shorter of the estimated useful lives of the assets or the remaining lease term. |
Other Assets | Other Assets Other assets consist primarily of restricted cash pledged as collateral for a corporate credit card facility, and long-term prepaid rent and refundable deposits on office leases. |
Research and Development Costs | Research and Development Costs Research and development costs are expensed as incurred. The Company accounts for non-refundable Upfront payments made in connection with license agreements are expensed as research and developments costs, as the assets acquired do not have alterative future use. Contingent milestone payment obligations due to third parties under license agreements are expensed when the milestones are considered probable of occurring. Research and development costs include fees incurred in connection with license agreements, compensation and other related costs for employees engaged in research and development, costs associated with preclinical studies and trials, regulatory activities, manufacturing activities to support clinical activities, fees paid to external service providers that conduct certain research and development, clinical, and manufacturing activities on behalf of the Company and an allocation of overhead expenses. |
Stock-Based Compensation | Stock-Based Compensation The Company accounts for stock-based payments at fair value, which is measured using the Black-Scholes option-pricing model. For stock-based awards that vest subject to the satisfaction of a service requirement, the fair value measurement date for employee stock-based compensation awards is the date of grant and the expense is recognized on a straight-line basis over the vesting period. For stock-based awards that vest subject to the satisfaction of a service requirement and a performance component, the fair value measurement date is the date of grant and is recognized over the requisite service period as achievement of the performance objective becomes probable. Stock-based compensation arrangements with non-employees |
Income Taxes | Income Taxes The Company uses the asset and liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are determined based on the differences between the financial reporting and the tax bases of assets and liabilities and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. Management makes an assessment of the likelihood that the resulting deferred tax assets will be realized. A valuation allowance is provided when it is more likely than not that some portion or all of a deferred tax asset will not be realized. Due to the Company’s historical operating performance and the recorded cumulative net losses in prior fiscal periods, the net U.S. deferred tax assets have been offset by a full valuation allowance. The Company recognizes uncertain income tax positions at the largest amount that is more likely than not to be sustained upon audit by the relevant taxing authority. An uncertain income tax position will not be recognized if it has less than a 50% likelihood of being sustained. Changes in recognition or measurement are reflected in the period in which judgment occurs. The Company recognizes interest and penalties related to the underpayment of income taxes as a component of provision for income taxes. |
Segment Information | Segment Information Operating segments are components of an enterprise for which separate financial information is available and is evaluated regularly by the Company’s chief operating decision maker in deciding how to allocate resources and assessing performance. The Company’s chief operating decision maker is its Chief Executive Officer. The Company’s Chief Executive Officer views the Company’s operations and manages its business in one operating segment, which is the business of researching, developing and commercializing therapies for the treatment of patients with cancer. Accordingly, the Company has a single reporting segment. |
Recent Accounting Pronouncements Not Yet Effective | Recent Accounting Pronouncements Not Yet Effective In February 2016, the Financial Accounting Standards Board (FASB) issued FASB Accounting Standards Update (ASU) No. 2016-02, Leases (Topic 842) |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value Financial Assets Measured on Recurring Basis | The following table sets forth the fair value of the Company’s financial assets measured on a recurring basis by level within the fair value hierarchy: June 30, 2017 Level 1 Level 2 Level 3 Total (in thousands) Financial Assets Money market funds $ 115,553 $ — $ — $ 115,553 Restricted money market funds 187 — — 187 Total financial assets $ 115,740 $ — $ — $ 115,740 December 31, 2016 Level 1 Level 2 Level 3 Total (in thousands) Financial Assets Money market funds $ 107,043 $ — $ — $ 107,043 Restricted money market funds 200 — — 200 Total financial assets $ 107,243 $ — $ — $ 107,243 |
Balance Sheet Components (Table
Balance Sheet Components (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Summary of Cash and Cash Equivalents | Cash and cash equivalents consist of the following: June 30, 2017 December 31, (in thousands) Cash $ 1,146 $ 1,964 Cash equivalents: Money market accounts 115,553 107,043 Total cash and cash equivalents $ 116,699 $ 109,007 |
Summary of Prepaid Expenses and Other Current Assets | Prepaid expenses and other current assets consist of the following: June 30, December 31, (in thousands) Prepaid research and development project costs $ 141 $ 515 Prepaid insurance 57 511 Other receivables 91 70 Other 277 247 Total prepaid expenses and other current assets $ 566 $ 1,343 |
Summary of Property and Equipment, Net | Property and equipment, net consists of the following: June 30, December 31, (in thousands) Computer equipment $ 255 $ 255 Software 254 242 Leasehold improvements 110 110 Furniture and fixtures 45 45 Property and equipment, gross 664 652 Less: accumulated depreciation (408 ) (252 ) Total property and equipment, net $ 256 $ 400 |
Summary of Accrued Liabilities | Accrued liabilities consist of the following: June 30, December 31, (in thousands) Accrued research and development costs 2,736 1,600 Accrued employee-related costs $ 1,313 $ 2,084 Accrued professional fees 619 381 Accrued restructuring costs (note 10) 206 763 Other 128 293 Total accrued liabilities $ 5,002 $ 5,121 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Aggregate Future Non-Cancelable Minimum Lease Payments | As of June 30, 2017, the aggregate future non-cancelable Years Ending December 31: Operating Leases (in thousands) Remainder of 2017 $ 178 2018 403 2019 265 2020 218 2021 222 Years Ending December 31: Operating Leases (in thousands) Thereafter 177 Total $ 1,463 |
Common Stock Reserved for Iss22
Common Stock Reserved for Issuance (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Equity [Abstract] | |
Schedule of Common Stock Reserved for Issuance | The Company is required to reserve and keep available out of its authorized but unissued shares of common stock a number of shares sufficient to effect the conversion of all outstanding options granted and available for grant under the incentive plans and shares reserved for issuance under the employee stock purchase plan. June 30, December 31, Outstanding and issued stock options 7,716,043 6,543,654 Shares reserved for future option grants 1,385,108 1,392,521 Shares reserved under the 2015 employee stock purchase plan 700,000 700,000 Total common stock reserved for issuance 9,801,151 8,636,175 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of Stock-based Compensation Expense for Employees and Non-employees | In the accompanying condensed consolidated statements of operations, the Company recognized stock-based compensation expense for its employees and non-employees Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 (in thousands) Research and development $ 1,008 $ 807 $ 2,021 $ 1,761 General and administrative 503 496 1,017 905 Total stock-based compensation $ 1,511 $ 1,303 $ 3,038 $ 2,666 |
Schedule of Estimated Grant-date Fair Values of Stock-based Awards Using Black-Scholes Option Pricing Model Assumptions | The estimated grant-date fair values of all of the Company’s stock-based awards were calculated using the Black-Scholes option pricing model, based on assumptions as follows: Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Expected term (in years) 5.3 – 6.1 5.3 – 7.0 5.3 – 7.0 5.3 – 9.9 Expected volatility 86 – 87 % 77 – 85 % 86 – 96 % 77 – 85 % Risk-free interest rate 1.8 – 1.9 % 1.1 – 1.7 % 1.8 – 2.3 % 1.1 – 1.9 % Expected dividend rate — % — % — % — % |
Summary of Stock-Based Compensation Activity | A summary of activity under the 2008 Plan and 2015 Plan and related information is as follows: Options Outstanding Shares Number Weighted- Weighted- Aggregate Outstanding — December 31, 2016 1,392,521 6,543,654 $ 3.44 8.82 $ 888 Awards authorized 1,214,837 Options granted (1,393,775 ) 1,393,775 1.43 Options exercised — (49,861 ) 0.46 Options forfeited/cancelled 171,525 (171,525 ) 4.39 Outstanding — June 30, 2017 1,385,108 7,716,043 $ 3.07 8.60 $ 337 Exercisable — June 30, 2017 3,479,127 $ 2.91 7.92 $ 332 Vested and expected to vest — June 30, 2017 7,716,043 $ 3.07 8.60 $ 337 |
Restructuring Costs (Tables)
Restructuring Costs (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Restructuring and Related Activities [Abstract] | |
Summary of Restructuring Activities | The following table summarizes restructuring activities for the three months ended June 30, 2017: Contract Employee Total (in thousands) Accrual balance at March 31, 2017 $ 489 $ 6 $ 495 Adjustments to research and development expense (29 ) — (29 ) Cash payments (256 ) (4 ) (260 ) Accrual balance at June 30, 2017 $ 204 $ 2 $ 206 The following table summarizes restructuring activities for the six months ended June 30, 2017: Contract Employee Total (in thousands) Accrual balance at December 31, 2016 $ 664 $ 99 $ 763 Adjustments to research and development expense (74 ) — (74 ) Cash payments (386 ) (97 ) (483 ) Accrual balance at June 30, 2017 $ 204 $ 2 $ 206 |
The Company and Basis of Pres25
The Company and Basis of Presentation - Additional Information (Detail) - Follow on Offering [Member] - USD ($) $ / shares in Units, $ in Millions | Feb. 21, 2017 | Feb. 14, 2017 |
Class of Stock [Line Items] | ||
Stock issued, shares | 2,347,636 | 19,500,000 |
Shares issued, price per share | $ 1.35 | |
Proceeds from issuance of common stock, net of deferred financing costs | $ 27.4 | |
Underwriting discounts and commissions and offering expenses | $ 2.1 |
Summary of Significant Accoun26
Summary of Significant Accounting Policies - Additional Information (Detail) $ in Millions | 6 Months Ended | |
Jun. 30, 2017USD ($)Segment | Dec. 31, 2016USD ($) | |
Summary Of Significant Accounting Policy [Line Items] | ||
Number of operating segment | Segment | 1 | |
Minimum [Member] | Property Plant and Equipment Other than Leasehold Improvement [Member] | ||
Summary Of Significant Accounting Policy [Line Items] | ||
Estimated useful lives of assets | 3 years | |
Maximum [Member] | Property Plant and Equipment Other than Leasehold Improvement [Member] | ||
Summary Of Significant Accounting Policy [Line Items] | ||
Estimated useful lives of assets | 5 years | |
Other Assets [Member] | ||
Summary Of Significant Accounting Policy [Line Items] | ||
Long-term portion of restricted cash | $ | $ 0.2 | $ 0.2 |
Net Loss Per Share - Additional
Net Loss Per Share - Additional Information (Detail) - shares | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Options to Purchase Common Stock [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Outstanding options to purchase common stock | 7,716,043 | 4,409,724 |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Fair Value Financial Assets Measured on Recurring Basis (Detail) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Financial Assets | ||
Total financial assets | $ 115,740 | $ 107,243 |
Money Market Funds [Member] | ||
Financial Assets | ||
Total financial assets | 115,553 | 107,043 |
Restricted Money Market Funds [Member] | ||
Financial Assets | ||
Total financial assets | 187 | 200 |
Level 1 [Member] | ||
Financial Assets | ||
Total financial assets | 115,740 | 107,243 |
Level 1 [Member] | Money Market Funds [Member] | ||
Financial Assets | ||
Total financial assets | 115,553 | 107,043 |
Level 1 [Member] | Restricted Money Market Funds [Member] | ||
Financial Assets | ||
Total financial assets | $ 187 | $ 200 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2017USD ($) | |
Fair Value Disclosures [Abstract] | |
Fair Value, Assets, Level 1 to Level 2 Transfers, Amount | $ 0 |
Fair Value, Assets, Level 2 to Level 1 Transfers, Amount | 0 |
Fair Value, Liabilities, Level 1 to Level 2 Transfers, Amount | 0 |
Fair Value, Liabilities, Level 2 to Level 1 Transfers, Amount | 0 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset Transfers Into Level 3 | 0 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Transfers out of Level 3 | 0 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Liability, Transfers Into Level 3 | 0 |
Fair Value, Measurement with Unobservable Inputs Reconciliation, Liability, Transfers out of Level 3 | $ 0 |
Balance Sheet Components - Summ
Balance Sheet Components - Summary of Cash and Cash Equivalents (Detail) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 | Jun. 30, 2016 | Dec. 31, 2015 |
Cash and Cash Equivalents [Abstract] | ||||
Cash | $ 1,146 | $ 1,964 | ||
Cash equivalents: | ||||
Money market accounts | 115,553 | 107,043 | ||
Total cash and cash equivalents | $ 116,699 | $ 109,007 | $ 130,550 | $ 150,180 |
Balance Sheet Components - Su31
Balance Sheet Components - Summary of Prepaid Expenses and Other Current Assets (Detail) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Prepaid research and development project costs | $ 141 | $ 515 |
Prepaid insurance | 57 | 511 |
Other receivables | 91 | 70 |
Other | 277 | 247 |
Total prepaid expenses and other current assets | $ 566 | $ 1,343 |
Balance Sheet Components - Su32
Balance Sheet Components - Summary of Property and Equipment, Net (Detail) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 664 | $ 652 |
Less: accumulated depreciation | (408) | (252) |
Total property and equipment, net | 256 | 400 |
Computer Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 255 | 255 |
Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 254 | 242 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 110 | 110 |
Furniture and Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 45 | $ 45 |
Balance Sheet Components - Addi
Balance Sheet Components - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Property, Plant and Equipment [Line Items] | ||||
Depreciation related to property and equipment | $ 103,000 | $ 54,000 | $ 156,000 | $ 106,000 |
Lab Equipment [Member] | ||||
Property, Plant and Equipment [Line Items] | ||||
Impairment charges | $ 130,000 |
Balance Sheet Components - Su34
Balance Sheet Components - Summary of Accrued Liabilities (Detail) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Payables and Accruals [Abstract] | ||
Accrued research and development costs | $ 2,736 | $ 1,600 |
Accrued employee-related costs | 1,313 | 2,084 |
Accrued professional fees | 619 | 381 |
Accrued restructuring costs | 206 | 763 |
Other | 128 | 293 |
Total accrued liabilities | $ 5,002 | $ 5,121 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) | 1 Months Ended | 3 Months Ended | 6 Months Ended | ||||||
Jun. 30, 2017USD ($)Payments | Jan. 31, 2017USD ($) | Oct. 31, 2016USD ($) | Jun. 30, 2016USD ($) | Jan. 31, 2016 | Jun. 30, 2017USD ($)Payments | Jun. 30, 2016USD ($) | Jun. 30, 2017USD ($)Payments | Jun. 30, 2016USD ($) | |
Carna License Agreement [Member] | |||||||||
Loss Contingencies [Line Items] | |||||||||
Upfront payment paid | $ 900,000 | ||||||||
Aggregate milestone payment | $ 270,000,000 | ||||||||
Number of milestone payments recorded | Payments | 0 | 0 | 0 | ||||||
CPF License Agreements [Member] | |||||||||
Loss Contingencies [Line Items] | |||||||||
Upfront payment paid | $ 7,000,000 | ||||||||
Aggregate milestone payment | $ 2,000,000 | ||||||||
Additional milestone payment payable | $ 319,500,000 | ||||||||
Operating Lease Agreement To Lease Office Space [Member] | San Francisco [Member] | |||||||||
Loss Contingencies [Line Items] | |||||||||
Operating lease agreement expiration date | Apr. 30, 2019 | ||||||||
Operating Lease Agreement To Sublease Office Space [Member] | Vancouver [Member] | |||||||||
Loss Contingencies [Line Items] | |||||||||
Operating lease agreement expiration date | Feb. 27, 2018 | ||||||||
Collateralized restricted deposit | $ 13,000 | $ 13,000 | $ 13,000 | ||||||
Vancouver Lease [Member] | Vancouver [Member] | |||||||||
Loss Contingencies [Line Items] | |||||||||
Operating lease agreement expiration date | Feb. 28, 2023 | ||||||||
Additional lease term to be extended | 5 years | ||||||||
Lease Agreements [Member] | |||||||||
Loss Contingencies [Line Items] | |||||||||
Total rent expense | $ 200,000 | $ 200,000 | $ 300,000 | $ 300,000 |
Commitments and Contingencies36
Commitments and Contingencies - Schedule of Aggregate Future Non-Cancelable Minimum Lease Payments (Detail) $ in Thousands | Jun. 30, 2017USD ($) |
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |
Remainder of 2017 | $ 178 |
2,018 | 403 |
2,019 | 265 |
2,020 | 218 |
2,021 | 222 |
Thereafter | 177 |
Total | $ 1,463 |
Common Stock Reserved for Iss37
Common Stock Reserved for Issuance - Schedule of Common Stock Reserved for Issuance (Detail) - shares | Jun. 30, 2017 | Dec. 31, 2016 | Jul. 15, 2015 |
Class of Stock [Line Items] | |||
Outstanding and issued stock options | 7,716,043 | 6,543,654 | |
Total common stock reserved for future issuance | 9,801,151 | 8,636,175 | |
2008 Plan and 2015 Plan [Member] | |||
Class of Stock [Line Items] | |||
Outstanding and issued stock options | 7,716,043 | 6,543,654 | |
Total common stock reserved for future issuance | 1,385,108 | 1,392,521 | |
2015 Employee Stock Purchase Plan [Member] | |||
Class of Stock [Line Items] | |||
Total common stock reserved for future issuance | 700,000 | 700,000 | 700,000 |
Stock-Based Compensation - Sche
Stock-Based Compensation - Schedule of Stock-based Compensation Expense for Employees and Non-employees (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Total stock-based compensation | $ 1,511 | $ 1,303 | $ 3,038 | $ 2,666 |
Research and development [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Total stock-based compensation | 1,008 | 807 | 2,021 | 1,761 |
General and administrative [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Total stock-based compensation | $ 503 | $ 496 | $ 1,017 | $ 905 |
Stock-Based Compensation - Sc39
Stock-Based Compensation - Schedule of Estimated Grant-date Fair Values of Stock-based Awards Using Black-Scholes Option Pricing Model Assumptions (Detail) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Expected volatility, Minimum | 86.00% | 77.00% | 86.00% | 77.00% |
Expected volatility, Maximum | 87.00% | 85.00% | 96.00% | 85.00% |
Risk-free interest rate, Minimum | 1.80% | 1.10% | 1.80% | 1.10% |
Risk-free interest rate, Maximum | 1.90% | 1.70% | 2.30% | 1.90% |
Expected dividend rate | 0.00% | 0.00% | 0.00% | 0.00% |
Minimum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Expected term (in years) | 5 years 3 months 19 days | 5 years 3 months 19 days | 5 years 3 months 19 days | 5 years 3 months 19 days |
Maximum [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Expected term (in years) | 6 years 1 month 6 days | 7 years | 7 years | 9 years 10 months 25 days |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - USD ($) | Jul. 15, 2015 | Jul. 14, 2015 | Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | Dec. 31, 2016 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of common stock shares reserved for issuance | 9,801,151 | 9,801,151 | 8,636,175 | ||||
Accounting Standards Update 2016-09 [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Cumulative effect of adoption of new accounting standard | $ 8,000 | $ 8,000 | |||||
2015 Employee Stock Purchase Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of common stock shares reserved for issuance | 700,000 | 700,000 | 700,000 | 700,000 | |||
Stock option grants description | The number of shares initially reserved for issuance under the ESPP will increase automatically on January 1 for nine years from the first offering date by the number of shares equal to 1% of the total outstanding shares of the Company's common stock as of the immediately preceding December 31. | ||||||
Percentage threshold of outstanding shares increased annually under the plan | 1.00% | ||||||
Maximum number of common stock shares allowed to issue under employee stock purchase plan | 3,400,000 | ||||||
Options to purchase shares of common stock, discount percentage | 15.00% | ||||||
Number of common stock issued | 0 | ||||||
2015 Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of common stock shares reserved for issuance | 6,445,747 | 6,445,747 | |||||
Stock option grants description | The number of shares reserved for issuance under the 2015 Plan will increase automatically on January 1 of each calendar year 2016 through 2025 by the number of shares equal to 4% of the total outstanding shares of the Company's common stock as of the immediately preceding December 31. | ||||||
Percentage threshold of outstanding shares increased annually under the plan | 4.00% | ||||||
Stock option life in years | 10 years | ||||||
2008 Plan and 2015 Plan [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Number of common stock shares reserved for issuance | 1,385,108 | 1,385,108 | 1,392,521 | ||||
Weighted-average grant date fair values of options granted | $ 0.80 | $ 2.23 | $ 1.08 | $ 3.93 | |||
Aggregate intrinsic value of options exercised | $ 0 | $ 200,000 | $ 100,000 | $ 100,000 | |||
Total grant date fair value of options vested | $ 1,600,000 | $ 2,700,000 | $ 3,800,000 | $ 3,500,000 | |||
Options exercised | 0 | 49,861 | |||||
Total unrecognized stock-based compensation related to unvested stock options | $ 12,400,000 | $ 12,400,000 | |||||
Weighted-average period | 2 years 2 months 12 days |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Stock-Based Compensation Activity (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended |
Jun. 30, 2017 | Jun. 30, 2017 | Dec. 31, 2016 | |
Options Outstanding, Number of Shares Outstanding | |||
Number of Shares Outstanding, Beginning balance | 6,543,654 | ||
Number of Shares Outstanding, Ending balance | 7,716,043 | 7,716,043 | 6,543,654 |
2008 Plan and 2015 Plan [Member] | |||
Options Outstanding, Shares Available for Grant | |||
Shares Available for Grant, Beginning balance | 1,392,521 | ||
Shares Available for Grant, Awards authorized | 1,214,837 | ||
Shares Available for Grant, Granted | (1,393,775) | ||
Shares Available for Grant, Exercised | 0 | ||
Shares Available for Grant, forfeited/cancelled | 171,525 | ||
Shares Available for Grant, Ending balance | 1,385,108 | 1,385,108 | 1,392,521 |
Options Outstanding, Number of Shares Outstanding | |||
Number of Shares Outstanding, Beginning balance | 6,543,654 | ||
Number of Shares Outstanding, Options granted | 1,393,775 | ||
Number of Shares Outstanding, Options exercised | 0 | (49,861) | |
Number of Shares Outstanding, Options forfeited/cancelled | (171,525) | ||
Number of Shares Outstanding, Ending balance | 7,716,043 | 7,716,043 | 6,543,654 |
Number of Shares Outstanding, Exercisable | 3,479,127 | 3,479,127 | |
Number of Shares Outstanding, Vested and expected to vest | 7,716,043 | 7,716,043 | |
Options Outstanding, Weighted-Average Exercise Price Per Share | |||
Weighted-Average Exercise Price Per Share, Beginning balance | $ 3.44 | ||
Weighted-Average Exercise Price Per Share, Options granted | 1.43 | ||
Weighted-Average Exercise Price Per Share, Options exercised | 0.46 | ||
Weighted-Average Exercise Price Per Share, Options forfeited/cancelled | 4.39 | ||
Weighted-Average Exercise Price Per Share, Ending balance | $ 3.07 | 3.07 | $ 3.44 |
Weighted-Average Exercise Price Per Share, Exercisable | 2.91 | 2.91 | |
Weighted-Average Exercise Price Per Share, Vested and expected to vest | $ 3.07 | $ 3.07 | |
Options Outstanding, Weighted-Average Remaining Contractual Term (Years) | |||
Weighted-Average Remaining Contractual Term (Years) | 8 years 7 months 6 days | 8 years 9 months 25 days | |
Weighted-Average Remaining Contractual Term (Year), Exercisable | 7 years 11 months 1 day | ||
Weighted-Average Remaining Contractual Term (Year), Vested and expected to vest | 8 years 7 months 6 days | ||
Options Outstanding, Aggregate Intrinsic Value of Outstanding Options | |||
Aggregate Intrinsic Value of Outstanding Options | $ 337 | $ 337 | $ 888 |
Aggregate Intrinsic Value of Outstanding Options, Exercisable | 332 | 332 | |
Aggregate Intrinsic Value of Outstanding Options, Vested and expected to vest | $ 337 | $ 337 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Income Tax Disclosure [Abstract] | ||||
Provision for federal income taxes | $ 0 | $ 0 | ||
Income tax expense for foreign taxes | $ 37,000 | $ 14,000 | $ 71,000 | $ 22,000 |
Restructuring Costs - Summary o
Restructuring Costs - Summary of Restructuring Activities (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended |
Jun. 30, 2017 | Jun. 30, 2017 | |
Restructuring Cost and Reserve [Line Items] | ||
Accrual, Beginning balance | $ 763 | |
Accrual, Ending balance | $ 206 | 206 |
PNT2258 [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Accrual, Beginning balance | 495 | 763 |
Cash payments | (260) | (483) |
Accrual, Ending balance | 206 | 206 |
PNT2258 [Member] | Contract Termination [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Accrual, Beginning balance | 489 | 664 |
Cash payments | (256) | (386) |
Accrual, Ending balance | 204 | 204 |
PNT2258 [Member] | Employee Termination [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Accrual, Beginning balance | 6 | 99 |
Cash payments | (4) | (97) |
Accrual, Ending balance | 2 | 2 |
Research and development [Member] | PNT2258 [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring cost | (29) | (74) |
Research and development [Member] | PNT2258 [Member] | Contract Termination [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring cost | $ (29) | $ (74) |