InVivo Therapeutics (NVIVQ) 10-Q 7 Nov 19 2019 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2019	Nov. 04, 2019
Document and Entity Information
Document Type	10-Q
Document Period End Date	Sep. 30, 2019
Entity Registrant Name	InVivo Therapeutics Holdings Corp.
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Shell Company	false
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Common Stock, Shares Outstanding		9,519,570
Entity Central Index Key	0001292519
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q3
Amendment Flag	false

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Current assets:
Cash and cash equivalents	$ 8,136	$ 16,660
Restricted cash	4	4
Prepaid expenses and other current assets	386	461
Total current assets	8,526	17,125
Property, equipment and leasehold improvements, net	70	100
Restricted cash - non current	110	110
Operating lease right-of-use assets	1,278
Prepaid clinical trial expenses	1,130	996
Other assets	30	46
Total assets	11,144	18,377
Current liabilities:
Accounts payable	821	815
Loan payable, current portion		100
Operating lease liabilities	286
Accrued expenses	1,020	1,290
Total current liabilities	2,127	2,205
Other liabilities	63	61
Operating lease liabilities - non current	1,097
Total liabilities	3,287	2,266
Commitments and contingencies (Note 5)
Stockholders’ equity:
Common stock, $0.00001 par value, authorized 25,000,000 shares; 9,519,570 shares issued and outstanding, including 206,500 shares of unvested restricted stock, at September 30, 2019; 9,309,255 shares issued and outstanding at December 31, 2018	1	1
Additional paid-in capital	223,644	223,440
Accumulated deficit	(215,788)	(207,330)
Total stockholders’ equity	7,857	16,111
Total liabilities and stockholders’ equity	$ 11,144	$ 18,377

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 30, 2019	Dec. 31, 2018	May 31, 2018	Apr. 30, 2018	Apr. 16, 2018
Common stock, par value (in dollars per share)	$ 0.00001	$ 0.00001			$ 0.00001
Common stock, authorized	25,000,000	25,000,000	25,000,000	4,000,000
Common stock, issued	9,519,570	9,309,255
Common stock, outstanding	9,519,570	9,309,255
Restricted Stock [Member]
Common stock, issued	206,500
Common stock, outstanding	206,500

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Operating expenses:
Research and development	$ 1,459	$ 928	$ 4,285	$ 3,352
General and administrative	1,273	1,185	4,473	6,405
Total operating expenses	2,732	2,113	8,758	9,757
Operating loss	(2,732)	(2,113)	(8,758)	(9,757)
Other income / (expense):
Interest income	51	71	222	122
Other income	2	834	78	902
Derivatives loss		(1,967)		(12,165)
Other income / (expense), net	53	(1,062)	300	(11,141)
Net loss	$ (2,679)	$ (3,175)	$ (8,458)	$ (20,898)
Net loss per share, basic and diluted (in dollars per share)	$ (0.29)	$ (0.42)	$ (0.91)	$ (5.81)
Weighted average number of common shares outstanding, basic and diluted (In Shares)	9,311,956	7,562,807	9,311,258	3,597,460

Consolidated Statements of Chan

Consolidated Statements of Changes in Stockholders' Equity - USD ($) $ in Thousands	Common Stock	Additional Paid-in Capital	Accumulated Deficit	Total
Stockholders' Equity Attributable to Parent, Beginning Balance at Dec. 31, 2017	$ 1	$ 194,016	$ (183,907)	$ 10,110
Beginning Balance, (in shares) at Dec. 31, 2017	1,370,992
Share-based compensation expense		541		541
Fair value of derivative warrant liability reclassified to additional paid-in capital		25,326		25,326
Issuance of common stock upon vesting of restricted stock units (in shares)	1,250
Issuance of common stock upon exercise of warrants		55		55
Issuance of common stock upon exercise of warrants (in shares)	5,478,002
Issuance of common stock in public offerings		3,338		3,338
Issuance of common stock in public offerings (in shares)	1,652,396
Issuance of common stock under ESPP		4		4
Issuance of common stock under ESPP (in shares)	1,133
Fractional shares issued due to reverse stock split	2,733
Issuance of common stock to 401(k) plan		6		6
Issuance of common stock to 401(k) plan (in shares)	440
Net loss			(20,898)	(20,898)
Stockholders' Equity Attributable to Parent, Ending Balance at Sep. 30, 2018	$ 1	223,286	(204,805)	18,482
Ending Balance, (in shares) at Sep. 30, 2018	8,506,946
Stockholders' Equity Attributable to Parent, Beginning Balance at Jun. 30, 2018	$ 1	199,720	(201,630)	(1,909)
Beginning Balance, (in shares) at Jun. 30, 2018	4,077,667
Share-based compensation expense		85		85
Fair value of derivative warrant liability reclassified to additional paid-in capital		23,436		23,436
Issuance of common stock upon vesting of restricted stock units (in shares)	1,250
Issuance of common stock upon exercise of warrants		44		44
Issuance of common stock upon exercise of warrants (in shares)	4,427,084
Issuance of common stock in public offerings		1		1
Issuance of common stock in public offerings (in shares)	945
Issuance of common stock under ESPP (in shares)	945
Net loss			(3,175)	(3,175)
Stockholders' Equity Attributable to Parent, Ending Balance at Sep. 30, 2018	$ 1	223,286	(204,805)	18,482
Ending Balance, (in shares) at Sep. 30, 2018	8,506,946
Stockholders' Equity Attributable to Parent, Beginning Balance at Dec. 31, 2018	$ 1	223,440	(207,330)	$ 16,111
Beginning Balance, (in shares) at Dec. 31, 2018	9,309,255			9,309,255
Share-based compensation expense		203		$ 203
Issuance of common stock upon vesting of restricted stock units (in shares)	2,750
Issuance of common stock under ESPP		1		1
Issuance of common stock under ESPP (in shares)	1,065
Issuance of restricted common stock (in shares)	206,500
Net loss			(8,458)	(8,458)
Stockholders' Equity Attributable to Parent, Ending Balance at Sep. 30, 2019	$ 1	223,644	(215,788)	$ 7,857
Ending Balance, (in shares) at Sep. 30, 2019	9,519,570			9,519,570
Stockholders' Equity Attributable to Parent, Beginning Balance at Jun. 30, 2019	$ 1	223,576	(213,109)	$ 10,468
Beginning Balance, (in shares) at Jun. 30, 2019	9,311,820
Share-based compensation expense		68		68
Issuance of common stock upon vesting of restricted stock units (in shares)	1,250
Issuance of common stock under ESPP (in shares)	0
Issuance of restricted common stock (in shares)	206,500
Net loss			(2,679)	(2,679)
Stockholders' Equity Attributable to Parent, Ending Balance at Sep. 30, 2019	$ 1	$ 223,644	$ (215,788)	$ 7,857
Ending Balance, (in shares) at Sep. 30, 2019	9,519,570			9,519,570

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended	9 Months Ended		12 Months Ended
	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018
Cash flows from operating activities:
Net loss		$ (8,458)	$ (20,898)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization		44	75
Amortization of operating lease right-of-use assets		197
Loss on impairment of fixed assets			48
Derivatives loss	$ 1,967		12,165
Gain on lease assignment			(603)
Non-cash interest expense		1	2
Common stock issued to 401(k) plan			6
Share-based compensation expense		203	541
Changes in operating assets and liabilities:
Prepaid expenses and other assets		(72)	(961)
Accounts payable		6	291
Operating lease liability		(74)
Accrued expenses and other liabilities		(272)	9
Net cash used in operating activities		(8,425)	(9,325)
Cash flows from investing activities:
Purchases of property and equipment			(65)
Net cash used in investing activities			(65)
Cash flows from financing activities:
Proceeds from issuance of stock under ESPP		1	4
Proceeds from exercise of warrants			55
Repayment of loan payable		(100)	(636)
Repurchase of warrants			(14)
Proceeds from issuance of common stock and warrants, net of commissions and issuance costs			16,511
Net cash (used in) provided by financing activities		(99)	15,920
Decrease in cash and cash equivalents and restricted cash		(8,524)	6,530
Cash, cash equivalents and restricted cash at beginning of period		16,774	13,271	$ 13,271
Cash, cash equivalents and restricted cash at end of period	$ 19,801	8,250	19,801	$ 16,774
Supplemental disclosure of cash flow information and non-cash investing and financing activities:
Cash paid for interest		1	35
Right-of-use assets and lease liability recorded upon adoption of ASC 842		$ 1,475
Fair value of derivative warrant liability reclassified to additional paid-in capital			25,326
Non-cash issuance of common stock for warrants			$ 287

NATURE OF OPERATIONS AND GOING

NATURE OF OPERATIONS AND GOING CONCERN, BASIS OF PRESENTATION AND RECENT ACCOUNTING PRONOUNCEMENTS	9 Months Ended
	Sep. 30, 2019
NATURE OF OPERATIONS AND GOING CONCERN, BASIS OF PRESENTATION AND RECENT ACCOUNTING PRONOUNCEMENTS
NATURE OF OPERATIONS AND GOING CONCERN, BASIS OF PRESENTATION AND RECENT ACCOUNTING PRONOUNCEMENTS	1. Business InVivo Therapeutics Holdings Corp., including its subsidiary, (the “Company”) is a biomaterials and biotechnology company with a focus on the treatment of spinal cord injuries (“SCIs”). The Company’s proprietary technologies incorporate intellectual property that is licensed under an exclusive, worldwide license from Boston Children’s Hospital (BCH) and the Massachusetts Institute of Technology (MIT), as well as intellectual property that has been developed internally in collaboration with its advisors and partners. Since its inception, the Company has devoted substantially all of its efforts to business planning, research and development, recruiting management and technical staff, acquiring operating assets, and raising capital. The Company has historically financed its operations primarily through the sale of equity-related securities. At September 30, 2019, the Company had cash and cash equivalents of $8.1 million. The Company has not achieved profitability and may not be able to realize sufficient revenue to achieve or sustain profitability in the future. The Company does not expect to be profitable in the next several years, but rather expects to incur additional operating losses. The Company has limited liquidity and capital resources and must obtain significant additional capital resources in order to sustain its product development efforts, for acquisition of technologies and intellectual property rights, for preclinical and clinical testing of its anticipated products, pursuit of regulatory approvals, acquisition of capital equipment, laboratory and office facilities, establishment of production capabilities, for selling, general and administrative expenses, and other working capital requirements. The Company expects that it will need additional capital to fund its operations, which it may raise through a combination of equity offerings, debt financings, other third party funding, marketing and distribution arrangements, and other collaborations, strategic alliances, and licensing arrangements. Going Concern The Company’s consolidated financial statements as of September 30, 2019 were prepared under the assumption that the Company will continue as a going concern. At September 30, 2019, the Company had cash and cash equivalents of $8.1 million. Given the Company’s development plans, the Company estimates cash resources will be sufficient to fund its operations into the first quarter of 2020. This estimate is based on assumptions that may prove to be wrong; expenses could prove to be significantly higher, leading to a more rapid consumption of the Company’s existing resources. The Company’s ability to continue as a going concern depends on its ability to obtain additional equity or debt financing, attain further operating efficiencies, reduce expenditures, and, ultimately, to generate revenue. If the Company is unable to continue as a going concern, it may have to liquidate its assets and may receive less than the value at which those assets are carried on its unaudited consolidated financial statements, and it is likely that investors will lose all or part of their investment. If the Company seeks additional financing to fund its business activities in the future and there remains substantial doubt about its ability to continue as a going concern, investors or other financing sources may be unwilling to provide additional funding to the Company on commercially reasonable terms or at all. Based on these factors, as of September 30, 2019, management determined that there is substantial doubt regarding the Company’s ability to continue as a going concern. Reverse Stock Split On April 16, 2018, the Company effected a reverse stock split of its common stock, par value $0.00001 per share (the “Common Stock”), at a ratio of 1-for-25. As a result of the reverse stock split, (i) every 25 shares of the issued and outstanding Common Stock were automatically converted into 1 newly issued and outstanding share of Common Stock, without any change in the par value per share; (ii) shares of Common Stock underlying outstanding stock options and other equity instruments convertible into Common Stock were proportionately reduced and the respective exercise prices, if applicable, were proportionately increased in accordance with the terms of the agreements governing such securities, and (iii) the number of authorized shares of Common Stock outstanding was proportionally decreased. All of the Company’s historical share and per share information related to issued and outstanding Common Stock and outstanding options and warrants exercisable for Common Stock in these consolidated financial statements were adjusted, on a retroactive basis, to reflect this 1-for-25 reverse stock split. Basis of Presentation The accompanying unaudited consolidated financial statements have been prepared in conformity with generally accepted accounting principles in the United States (“GAAP”) consistent with those applied in, and should be read in conjunction with, the Company’s audited consolidated financial statements and related footnotes for the year ended December 31, 2018 included in the Company’s Annual Report on Form 10-K as filed with the United States Securities and Exchange Commission (“SEC”) on April 1, 2019. The unaudited consolidated financial statements reflect all adjustments, consisting only of normal recurring adjustments, which are, in the opinion of management, necessary for a fair presentation of the Company’s financial position as of September 30, 2019 and its results of operations and cash flows for the interim period presented, and are not necessarily indicative of results for subsequent interim periods or for the full year. The interim consolidated financial statements do not include all of the information and footnotes required by GAAP for complete financial statements, as allowed by the relevant SEC rules and regulations; however, the Company believes that its disclosures are adequate to ensure that the information presented is not misleading. Recently Adopted Accounting Standards In February 2016, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02, Leases (Topic 842). The guidance in this ASU supersedes the leasing guidance in Topic 840, Leases. Under the new guidance, lessees are required to recognize lease assets and lease liabilities on the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance leases or operating leases, with classification affecting the pattern of expense recognition in the statement of operations. In January, July and December 2018, the FASB issued ASU No’s. 2018-01, 2018-10, 2018-11, 2018-20 and 2019-01, which were targeted improvements to ASU No. 2016-02 (collectively, with ASU No. 2016-02, “ASC 842”) and provided entities with an additional (and optional) transition method to adopt the new lease standard, and provided clarifications to address potential narrow-scope implementation issues. The Company adopted ASU 2016- 02 effective January 1, 2019 and elected the optional transition method for adoption. The Company also took advantage of the transition package of practical expedients permitted within ASU 2016-02, which among other things, allowed it to carryforward historical lease classifications. The Company also elected to keep leases with an initial term of 12 months or less off of the balance sheet as a policy election and will recognize those lease payments in the consolidated statements of operations on a straight-line basis over the lease term. As of the adoption date, the Company identified one operating lease arrangement in which it is a lessee. The adoption of this standard resulted in the recognition of operating lease liabilities and right-of-use assets of $1.5 million and $1.5 million, respectively, on the Company’s balance sheet as of January 1, 2019. The adoption of the standard did not have a material effect on the Company’s consolidated statements of operations or statements of cash flows. In June 2018, the FASB issued ASU No. 2018-07, Compensation - Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting which is intended to reduce cost and complexity and to improve financial reporting for nonemployee share-based payments. The amendment is effective for fiscal years beginning after December 15, 2018, including interim periods within that fiscal year. Early adoption was permitted, but no earlier than an entity’s adoption date of ASU No. 2016-08, Revenue from Contracts with Customers (Topic 606). The Company adopted ASU 2018-07 on January 1, 2019 and it did not have a material effect on the Company’s financial position, results of operations or disclosures. In July 2018, the FASB issued ASU No. 2018-09, Codification Improvements which clarifies, corrects errors in, and makes improvements to several Codification Topics, including to: · Clarify when excess tax benefits should be recognized for share-based compensation awards · Remove inconsistent guidance in income tax accounting for business combinations · Clarify the circumstances when derivatives may be offset · Clarify the measurement of liability or equity-classified financial instruments when an identical asset is held as an asset · Allow portfolios of financial instruments and nonfinancial instruments accounted for as derivatives to use the portfolio exception to valuation The transition and effective date guidance is based on the facts and circumstances of each amendment. Some of the amendments in this ASU do not require transition guidance and are effective upon issuance of this ASU. However, many of the amendments in this ASU do have transition guidance with effective dates for annual periods beginning after December 15, 2018. The Company adopted ASU 2018-09 on January 1, 2019, and it did not have a material effect on the Company’s financial position, results of operations or disclosures. In August 2018, the FASB issued ASU No. 2018-13 - Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement which improves the disclosure requirements on fair value measurements in Topic 820, Fair Value Measurement. The amendments in this ASU are effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. The amendments on changes in unrealized gains and losses, the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements, and the narrative description of measurement uncertainty should be applied prospectively for only the most recent interim or annual period presented in the initial fiscal year of adoption. All other amendments should be applied retrospectively to all periods presented upon their effective date. Early adoption is permitted upon issuance of this ASU. The Company does not expect the adoption of this ASU to have a material effect on its consolidated financial statements. In July 2019, the FASB issued ASU 2019-07, Codification Updates to SEC Sections. This ASU amends various SEC paragraphs pursuant to the issuance of SEC Final Rule Releases No. 33-10532, Disclosure Update and Simplification, and Nos. 33-10231 and 33-10442, Investment Company Reporting Modernization. One of the changes in the ASU requires a presentation of changes in stockholders’ equity in the form of a reconciliation, either as a separate financial statement or in the notes to the financial statements, for the current and comparative year-to-date interim periods. The Company presented changes in stockholders' equity as separate financial statements for the current and comparative year-to-date interim periods. The additional elements of the ASU did not have a material impact on the Company's consolidated financial statements. This guidance was effective immediately upon issuance.

CASH AND CASH EQUIVALENTS

CASH AND CASH EQUIVALENTS	9 Months Ended
	Sep. 30, 2019
CASH AND CASH EQUIVALENTS
CASH AND CASH EQUIVALENTS	2. CASH AND CASH EQUIVALENTS At September 30, 2019 and December 31, 2018, cash equivalents were comprised of money market funds and other short-term investments. From time to time, the Company may have cash balances in financial institutions in excess of insurance limits. The Company has not experienced any losses related to these balances. The Company considers only those investments that are highly liquid, readily convertible to cash, and that mature within 3 months from date of purchase to be cash equivalents. Management believes it is not exposed to significant credit risk. Cash and cash equivalents consisted of the following: September 30, December 31, (In thousands) 2019 2018 Cash $ 70 $ (83) Money market funds 8,066 16,743 Total cash and cash equivalents $ 8,136 $ 16,660

RESTRICTED CASH

RESTRICTED CASH	9 Months Ended
	Sep. 30, 2019
RESTRICTED CASH
RESTRICTED CASH	3. RESTRICTED CASH Restricted cash as of both September 30, 2019 and December 31, 2018 was $114 thousand. Restricted cash as of September 30, 2019 and December 31, 2018 included a $50 thousand security deposit related to the Company’s credit card account, $4 thousand related to 401(k) reserve account and a $60 thousand standby letter of credit in favor of a landlord (see Note 5).

FAIR VALUES OF ASSETS AND LIABI

FAIR VALUES OF ASSETS AND LIABILITIES	9 Months Ended
	Sep. 30, 2019
FAIR VALUES OF ASSETS AND LIABILITIES
FAIR VALUES OF ASSETS AND LIABILITIES	4. FAIR VALUES OF ASSETS AND LIABILITIES The Company groups its assets and liabilities generally measured at fair value into three levels based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. Level 1 — Valuation is based on quoted prices in active markets for identical assets or liabilities. Level 1 assets and liabilities generally include debt and equity securities that are traded in an active exchange market. Valuations are obtained from readily available pricing sources for market transactions involving identical assets or liabilities. Level 2 — Valuation is based on observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 — Valuation is based on unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which the determination of fair value requires significant management judgment or estimation. The Company used valuation methods and assumptions that considered, among other factors, the fair value of the underlying stock, risk-free interest rate, volatility, expected life, and dividend rates in estimating fair value for the warrants considered to be derivative instruments (see Notes 10 and 11). Assets and liabilities measured at fair value on a recurring basis are summarized below: At December 31, 2018 (In thousands) Level 1 Level 2 Level 3 Fair Value Cash equivalents $ 16,743 $ — $ — $ 16,743 At September 30, 2019 (In thousands) Level 1 Level 2 Level 3 Fair Value Cash equivalents $ 8,066 $ — $ — $ 8,066

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	9 Months Ended
	Sep. 30, 2019
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES	5. COMMITMENTS AND CONTINGENCIES Operating Leases On November 30, 2011, the Company entered into a commercial lease for 26,342 square feet of office, laboratory, and manufacturing space in Cambridge, Massachusetts (as amended on September 17, 2012 and October 31, 2017, the “Cambridge Lease”). The term of the Cambridge Lease was 6 years and 3 months, with one 5-year extension option. On August 21, 2017, the Company exercised its option for the 5-year extension on the Cambridge Lease. The 5-year renewal lease term was set to commence on November 1, 2018 and end on October 31, 2023. The terms of the Cambridge Lease required a standby letter of credit in the amount of $311 thousand. On June 13, 2017, the Company entered into a new short-term lease, to sub-lease 5,233 square feet of its facility (the “Moderna Sublease”). The lease term was from July 1, 2017 through October 26, 2018. On June 19, 2017, the Company received a $55 thousand security deposit under the terms of the Moderna Sublease. In connection with Moderna Sublease, the Company did not record any sublease income for the three-month period ended September 30, 2018. In connection with the Moderna Sublease, the Company received sublease income of $112 thousand for the nine-month period ended September 30, 2018, which was recorded as an offset to rent expense. In conjunction with the assignment of the Cambridge Lease on May 3, 2018 further described below, this security deposit was transferred to the third party that assumed the lease. The Company did not record any sublease income associated with the Moderna Sublease during the three or nine months period ended September 30, 2019. On May 3, 2018, the Company assigned the Cambridge Lease to a third party who assumed all of the Company’s remaining rights and obligations under the Cambridge Lease including the Moderna Sublease. On the same date as the lease assignment, the Company entered into a sublease for 5,104 square feet of space, originally part of the Cambridge Lease, from the third party to which the Company assigned the Cambridge Lease (the “Current Cambridge Lease”). The Current Cambridge Lease commenced on May 3, 2018 and expires October 31, 2023 and contains rent holiday and rent escalation clauses. The Current Cambridge Lease does not contain any renewal options. In connection with the assignment of the Cambridge Lease and the entry into the Current Cambridge Lease, the $311 thousand standby letter of credit was terminated, and a new standby letter of credit was established for $40 thousand. On November 1, 2018, the standby letter of credit was increased to $60 thousand. The $55 thousand security deposit under the Moderna Sublease was transferred to the third party and $603 thousand of deferred rent was removed from the consolidated balance sheets as of June 30, 2018. The resulting gain was recorded within the consolidated statement of operations during the second quarter of 2018. The Company also wrote off certain furniture, fixtures and equipment (including laboratory equipment) and recorded an impairment charge of $48 thousand for the nine months ended September 30, 2018. The Company did not record any impairment charges for the three-month period ended September 30, 2018. Under the Current Cambridge Lease, the Company will be required to pay its proportionate share of certain operating costs and property taxes applicable to the leased premises in excess of new base year amounts. These costs are considered to be variable lease payments and are not included in the determination of the lease’s right-of-use asset or lease liability. The Company identified and assessed the following significant assumptions in recognizing its right-of-use assets and corresponding lease liabilities: · As the Company’s Current Cambridge Lease does not provide an implicit rate, the Company estimated the incremental borrowing rate in calculating the present value of the lease payments. The Company has estimated its incremental borrowing rate based on electing the remaining lease term as of the adoption date. · Since the Company elected to account for each lease component and its associated non-lease components as a single combined component, all contract consideration was allocated to the combined lease component. · The expected lease terms include noncancelable lease periods . The elements of lease expense are as follows: Lease cost (In thousands) Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 Operating lease cost $ 91 $ 273 Short-term lease cost 9 21 Variable lease cost 39 39 Total lease cost $ 139 $ 333 Other information (In thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from short term leases $ 9 $ 21 Operating cash flows from operating leases 90 150 Total cash paid for leases $ 99 $ 171 Right-of-use assets obtained in exchange for operating lease liabilities - - Weighted-average remaining lease term - operating leases 4.1 Years 4.1 Years Weighted-average discount rate - operating leases Maturities of lease liabilities due under the Company’s Current Cambridge Lease as of September 30, 2019 is as follows: Leases (In thousands) As of September 30, 2019 2019 (excluding the 9 months ended September 30, 2019 $ 93 2020 375 2021 386 2022 398 2023 339 Thereafter — Total lease payments 1,591 Less: imputed interest (208) Present value of lease liabilities $ 1,383 Leases (In thousands) Classification As of September 30, 2019 Assets Lease asset Operating $ 1,278 Total lease assets $ 1,278 Liabilities Current Operating $ 286 Non Current Operating 1,097 Total lease liabilities $ 1,383 Under FASB Accounting Standards Codification (“ASC”) Topic 840, Leases (“ASC 840”) the Company recognized rent expense on a straight-line basis over the term of the lease and recorded the difference between the amount charged to expense and the rent paid as prepaid rent or deferred rent liability. As of December 31, 2018, the amount of prepaid rent was $17 thousand and this amount was subsequently reversed upon adoption of ASU No. 2016-02 on January 1, 2019. Under ASC 840, rent expense related to the Company’s real estate lease charged to operations for the three month period ended September 30, 2018 was $107 thousand. Under ASC 840, rent expense related to the Company’s real estate lease charged to operations for the nine month period ended September 30, 2018 was $746 thousand, and did not include the one-time gain on termination of the Cambridge Lease of $603 thousand that was recorded to the consolidated statement of operations during the second quarter of 2018. As of December 31, 2018, minimum future lease payments under non-cancellable leases were as follows (in thousands): Year Ended December 31, 2019 $ 243 2020 375 2021 386 2022 398 2023 339 Total $ 1,741

ACCRUED EXPENSES

ACCRUED EXPENSES	9 Months Ended
	Sep. 30, 2019
ACCRUED EXPENSES.
ACCRUED EXPENSES	6. ACCRUED EXPENSES Accrued expenses consisted of the following: September 30, December 31, (In thousands) 2019 2018 Severance and restructuring $ — $ 517 Compensation 606 489 Clinical 172 73 Legal 62 35 Other accrued expenses 180 176 Total accrued expenses $ 1,020 $ 1,290

LOAN PAYABLE

LOAN PAYABLE	9 Months Ended
	Sep. 30, 2019
LOAN PAYABLE
LOAN PAYABLE	7. LOAN PAYABLE In October 2012, the Company entered into a loan agreement with the Massachusetts Development Finance Agency (“MassDev”). The loan agreement provided the Company with a $2.0 million line of credit from the Commonwealth of Massachusetts’ Emerging Technology Fund, with $200 thousand designated to be used for working capital purposes and the remainder to be used for the purchase of capital equipment. The annual interest rate on the loan was fixed at 6.5% with interest-only payments for the first 30 months, commencing on November 1, 2012, and then equal installments of interest and principal over the next 54 months, until the final maturity of the loan in March 2019. Commencing on May 1, 2015, equal monthly payments of $41 thousand were due until loan maturity. In May 2018, in order to obtain the consent of MassDev for facility changes, including the assignment of the Cambridge Lease, and the sale of certain assets, the Company paid down $300 thousand of principal on the MassDev loan. During the nine month period ended September 30, 2019, the Company made principal loan payments of $100 thousand. As of September 30, 2019, there was no outstanding loan payable balance. In October 2012, as part of the agreement, the Company issued MassDev a warrant for the purchase of 362 shares of the Company’s Common Stock of which 243 shares remain outstanding at September 30, 2019. The warrant has a 7-year term and is exercisable at $166 per share. The fair value of the warrant was determined to be $32 thousand and was amortized through interest expense over the life of the note. Amortization expense related to this loan for the three and nine month periods ended September 30, 2018 was $1 thousand and $3 thousand, respectively. The Company did not record any amortization expense during the three months ended September 30, 2019. During the nine month period ended September 30, 2019, the Company recorded $1 thousand in amortization expense. This amortization expense was included in interest expense in the Company’s consolidated statements of operations. The equipment line of credit was secured by substantially all the assets of the Company, excluding intellectual property. The Company did not record any interest expense during the three months ended September 30, 2019. Interest expense related to this loan for the three month period ended September 30, 2018 was $9 thousand. Interest expense related to this loan for the nine month periods ended September 30, 2019 and 2018 was $1 thousand and $35 thousand, respectively.

COMMON STOCK

COMMON STOCK	9 Months Ended
	Sep. 30, 2019
COMMON STOCK.
COMMON STOCK	8. COMMON STOCK In May 2018, the Company’s stockholders approved an amendment to the Company’s Articles of Incorporation to increase the number of shares of authorized Common Stock from 4,000,000 to 25,000,000 shares. As of September 30, 2019, and December 31, 2018, 9,519,570 and 9,309,255 shares were issued and outstanding respectively. In June 2018, the Company closed an underwritten public offering of an aggregate of 1,378,400 Common Units, at an offering price of $2.00 each, each comprised of 1 share of the Company’s Common Stock and 1 Series A warrant to purchase 1 share of Common Stock. The public offering also included 6,242,811 pre-funded units at an offering price of $1.99 each, each comprised of 1 pre-funded Series B Warrant, and 1 Series A warrant to purchase 1 share of Common Stock. Each Series A warrant has an exercise price of $2.00 per share, is exercisable immediately and expires 5 years from the date of issuance. Each Series B warrant had an exercise price of $0.01 per share, was exercisable immediately and would have expired 20 years from the date of issuance (see Note 11). The net proceeds to the Company, after deducting the underwriting discounts and commissions and other offering expenses, were $13.5 million (see Note 11). In September 2018, the Company entered into an Amendment to the Warrant Agency Agreement and Warrants (the “Ladenburg Warrant Amendment”) with Continental Stock Transfer & Trust Company (“Continental”) that amended the Warrant Agency Agreement, by and between the Company and Continental, as Warrant Agent, dated June 25, 2018, the Series A Common Stock Purchase Warrant, and the Series B Pre-Funded Common Stock Purchase Warrant, both dated June 25, 2018 (the Series A and Series B Warrant, collectively the “2018 Warrants”). The Ladenburg Warrant Amendment added a provision to each of the warrants that allowed the Company or a successor entity whose stock is not listed on a trading market to, in connection with a Fundamental Transaction (as such term is defined in the 2018 Warrants) that is not within the Company’s control, purchase the warrant from the holder, at the holder’s option, by paying the same form of consideration in the same proportion that is offered to the holders of the Company’s Common Stock in connection with the Fundamental Transaction, including cash, stock, any combination thereof and any choice of consideration thereof, in an amount equal to the Black-Scholes Value of the remaining unexercised portion of the Warrant on the consummation date of the Fundamental Transaction. The 2018 Warrants were initially classified as liabilities, as a result of the amendment, the Company reassessed the warrant classification and concluded that the warrants qualified for equity classification. The fair value of the amended 2018 Warrants was re-measured immediately prior to the date of the Ladenburg Warrant Amendment with changes in fair value recorded as a loss of $764 thousand in the Company’s consolidated statement of operations, and $14.7 million was reclassified to equity. During the three months ended September 30, 2018, the Company issued an aggregate of 4,427,084 shares of common stock upon the exercise of Series B warrants for aggregate proceeds of $44 thousand. The Company reclassified $8.7 million from derivative warrant liability to additional paid-in capital and recorded a derivative loss of $1.2 million in connection with the warrant exercises. During the nine months ended September 30, 2018, the Company issued an aggregate of 5,478,002 shares of common stock upon the exercise of Series B warrants for aggregate proceeds of $55 thousand. The Company reclassified $10.6 million from derivative warrant liability to additional paid-in capital and recorded a derivative loss of $1.2 million in connection with the warrant exercises. During the three and nine months ended September 30, 2019, the Company did not issue any shares as a result of warrant exercise activity. There are no outstanding Series B warrants as of either September 30, 2019 or December 31, 2018. In January 2018, the Company entered into a purchase agreement (the “Purchase Agreement”) and a registration rights agreement (the “RRA”) with Lincoln Park Capital Fund, LLC (“Lincoln Park”), under which it had the right to sell up to $15 million, in shares of our Common Stock, to Lincoln Park over a 24 month period, subject to certain limitations and conditions set forth in the Purchase Agreement and RRA. On May 30, 2018, the Company’s stockholders approved to increase the issuance and sale by the Company to Lincoln Park , including the Company’s prior issuances and sales of shares of Common Stock to Lincoln Park since January 2018, of up to 1,200,000 shares of Common Stock. In accordance with the terms of the Purchase Agreement, at the time the Company signed the Purchase Agreement and the RRA, it issued 17,192 shares to Lincoln Park as consideration for its commitment to purchase shares of the Company’s Common Stock under the Purchase Agreement and recorded $627 thousand in deferred offering costs of which the full amount was capitalized into additional paid-in capital as of September 30, 2018. During the three months ended September 30, 2018, the Company did not sell any shares to Lincoln Park. During the nine months ended September 30, 2018, the Company sold an aggregate of 256,804 shares to Lincoln Park, for aggregate proceeds of $3.1 million net of issuance costs. During the three and nine months ended September 30, 2019, the Company did not sell any shares to Lincoln Park. In May 2019, the Company terminated the Purchase Agreement with Lincoln Park. In May 2018, the Company’s Board of Directors approved to increase the number of shares of Common Stock reserved under the 401(k) Plan by 4,000 shares, bringing the aggregate number of shares of Common Stock eligible for distribution pursuant to the 401(k) Plan as of that date to 4,100 shares. In the second quarter of 2018 the Company revised its 401(k)-matching policy to move from share matching to cash-based matching. During the three months ended September 30, 2018, the Company did not issue shares in 401(k) matching. During the nine months ended September 30, 2018, the Company issued an aggregate of 440 shares of Common Stock with a fair value of $6 thousand to the Company’s 401(k) plan as a matching contribution. The Company contributed $32 thousand in matching contributions to employee 401(k) accounts during the nine months ended September 30, 2018. During the nine months ended September 30, 2019, the Company contributed $45 thousand in cash as a matching contribution to employee 401(k) accounts. During the three months ended September 30, 2019, the Company did not issue any shares under the Company’s Employee Stock Purchase Plan (the “ESPP”). In January 2019, 1,065 shares that were purchased in the offering period commencing on July 1, 2018 and ending on December 31, 2018 were issued under the ESPP. During the three months ended September 30, 2018, the Company issued an aggregate of 945 shares of common stock under the Company’s ESPP and received cash proceeds of approximately $1 thousand. During the nine months ended September 30, 2018, the Company issued an aggregate of 1,133 shares of common stock under the Company’s ESPP and received cash proceeds of approximately $4 thousand. During the three months ended September 30, 2019, the Company issued an aggregate of 1,250 shares of Common Stock upon vesting of restricted stock units. During the nine months ended September 30, 2019, the Company issued an aggregate of 2,750 shares of Common Stock upon vesting of restricted stock units. During the three and nine months ended September 30, 2018, the Company issued an aggregate of 1,250 shares of Common Stock upon vesting of restricted stock units. During the three and nine months ended September 30, 2018, as part of the adjustment to reflect the Company’s 1-for-25 reverse stock split on its Common Stock on April 16, 2018, the Company issued 2,733 shares of Common Stock to account for the fractional roundup of shareholders.

STOCK BASED COMPENSATION

STOCK BASED COMPENSATION	9 Months Ended
	Sep. 30, 2019
STOCK BASED COMPENSATION
STOCK BASED COMPENSATION	9. STOCK-BASED COMPENSATION In 2007, the Company’s Board of Directors adopted, and the Company’s shareholders subsequently approved, the 2007 Employee, Director and Consultant Stock Plan (the “2007 Plan”). The 2007 Plan provided that the Company’s Board of Directors (or committees and/or executive officers delegated by the Board of Directors) could grant incentive and nonqualified stock options to the Company’s employees, officers, directors, consultants and advisors. On October 26, 2010, the Company’s Board of Directors adopted, and the Company’s shareholders subsequently approved, the 2010 Equity Incentive Plan (as subsequently amended, the “2010 Plan”). The 2010 Plan provided for grants of incentive stock options to employees, and nonqualified stock options and restricted Common Stock to employees, consultants, and non-employee directors of the Company. In April 2015, the Company’s Board of Directors adopted, and the Company’s shareholders subsequently approved, the 2015 Equity Incentive Plan (the “2015 Plan”). The 2015 Plan provides for grants of incentive stock options to employees, and nonqualified stock options, restricted Common Stock, restricted stock units (“RSUs”), and stock appreciation rights to employees, consultants, and non-employee directors of the Company. Upon approval of the 2015 Plan by the Company’s shareholders on June 16, 2015, the 2010 Plan was terminated and no additional shares or share awards have been subsequently granted under the 2010 Plan. As of September 30, 2019, the total number of shares available to be issued under the 2015 Plan was 2,046 shares, consisting of 160,000 shares initially authorized under the 2015 Plan shares plus the shares that remained available for grant under the 2010 Plan at the time of its termination adjusted for cumulative cancellations, forfeitures and issuances from the 2010 Plan and 2015 Plan. Options issued under the 2007 Plan, 2010 Plan, and 2015 Plan (collectively, the “Plans”) are exercisable for up to 10 years from the date of issuance. In March 2015, the Company’s Board of Directors adopted, and the Company’s shareholders subsequently approved, the ESPP. The ESPP allows employees to buy company stock twice per year through after-tax payroll deductions at a discount from market. The Company’s Board of Directors initially authorized 7,500 shares for issuance under the ESPP. Commencing on the first day of the year ended December 31, 2016 and on the first day of each year thereafter during the term of the ESPP, the number of shares of Common Stock reserved for issuance shall be increased by the lesser of (i) 1% of the Company’s outstanding shares of Common Stock on such date, (ii) 2,000 shares, or (iii) a lesser amount determined by the Board of Directors. Under the terms of the ESPP, in no event shall the aggregate number of shares reserved for issuance during the term of the ESPP exceed 50,000 shares. As of both September 30, 2019 and December 31, 2018, there were 7,923 shares reserved for issuance under the ESPP. In January 2019, 1,065 shares that were purchased in the offering period commencing on July 1, 2018 and ending on December 31, 2018 were issued under the ESPP. The ESPP is considered a compensatory plan with the related compensation cost recognized over each 6 month offering period. None of the Company’s employees participated in the ESPP plan in the current offering period and consequently no compensation expense was recorded in each of three and nine months periods ended September 30, 2019. The compensation expense related to the ESPP for each of the three and nine month periods ended September 30, 2018 was $1 thousand and was included in share-based compensation expense. Stock-based compensation For the three month periods ended September 30, 2019 and 2018, the Company recorded stock-based compensation expense of $68 thousand and $85 thousand, respectively, inclusive of the expense related to the ESPP. For the nine month periods ended September 30, 2019 and 2018, the Company recorded stock-based compensation expense of $203 thousand and $541 thousand, respectively, inclusive of the expense related to the ESPP The Company estimates the fair value of each option award on the date of grant using the Black-Scholes option pricing model. The expected term of options granted under the Plans, all of which qualify as “plain vanilla,” is based on the average of the contractual term (10 years) and the vesting period (generally, 48 months). For non-employee options, the expected term is the contractual term. The risk-free rate is based on the yield of a U.S. Treasury security with a term consistent with the option. The assumptions used principally in determining the fair value of options granted were as follows: September 30, December 31, 2019 2018 Risk-free interest rate 2.55% 2.45 - 2.88% Expected dividend yield 0% 0% Expected term (employee grants) 6 Years 5.62 Years Expected volatility 105% 104% The Company grants RSUs and restricted stock awards (“RSAs”), collectively referred to as restricted securities under its the 2015 Equity Incentive Plan. These restricted securities, generally vest over a three-year period, contingent on the recipient’s continued employment. Prior to vesting, all RSAs have the right to vote and receive dividends under the 2015 Equity Incentive Plan; however, the Company’s form of Restricted Stock Agreement provides that the payment of dividends on unvested RSAs shall be deferred until such time as the shares vest. The grant date fair value of these awards is based on the fair market value of our common stock on the date of grant. Stock options A summary of option activity as of September 30, 2019 and changes for the nine-month period then ended are presented below: Weighted Weighted Average Average Remaining Aggregate Exercise Contractual Intrinsic Options Shares Price Term in Years Value Outstanding at December 31, 2018 54,849 $ 100.83 $ — Granted 90,000 $ 1.53 Expired (2,500) $ 231.00 Cancelled/Forfeited (17,459) $ 40.12 Outstanding at September 30, 2019 124,890 $ 35.15 8.42 $ — Vested and Exercisable at September 30, 2019 28,283 $ 134.22 5.82 $ — The weighted average grant-date fair value of options granted during the nine months ended September 30, 2019 was $1.25 per share. The total fair value of options that vested in the three months ended September 30, 2019 was $34 thousand. The total fair value of options that vested in the nine months ended September 30, 2019 was $103 thousand. For the three month period ended September 30, 2019, the Company recorded stock-based compensation expense of $42 thousand related to stock options. For the nine month period ended September 30, 2019, the Company recorded stock-based compensation expense of $126 thousand related to stock options. As of September 30, 2019, total unrecognized compensation expense related to non-vested share-based option compensation arrangements amounted to $219 thousand and is estimated to be recognized over a period of 1.80 years. Restricted Securities The following table summarizes the restricted securities activity under the 2015 Plan during the nine month period ended September 30, 2019: Restricted Stock Awards Weighted-Average and Restricted Stock Units Number of Grants Grant Date Fair Value Unvested balance at December 31, 2018 10,250 $ 23.13 Granted 206,500 $ 0.52 Vested (2,750) $ 26.20 Unvested balance at September 30, 2019 214,000 $ 1.27 For the three month period ended September 30, 2019, the Company recorded stock-based compensation expense of $26 thousand related to the time-based restricted securities. For the nine-month period ended September 30, 2019, the Company recorded stock-based compensation expense of $77 thousand related to the time-based restricted securities. As of September 30, 2019, total unrecognized compensation expense related to non-vested restricted securities amounted to $253 thousand which the Company expects to recognize over a remaining weighted-average of 2.54 years.

WARRANTS

WARRANTS	9 Months Ended
	Sep. 30, 2019
WARRANTS
WARRANTS	10. WARRANTS The following table presents information about warrants to purchase Common Stock issued and outstanding at September 30, 2019: Number of Exercise Year Issued Classification Warrants Price Date of Expiration 2012 Equity 243 $ 166.00 10/5/2019 2014 Equity 307 $ 11.75 5/9/2021 2016 Equity 85,869 $ 250.00 3/18/2021 2018 Equity 7,586,711 $ 2.00 6/25/2023 Total 7,673,130 Weighted average exercise price $ 4.78 Weighted average life in years 3.71 In May 2014, the Company issued warrants in a public offering (the “2014 Warrants”). At inception, the 2014 and 2018 Warrants had provisions that precluded equity classification. Upon amendment, the Company assessed whether the warrants required accounting as derivatives and determined that the warrants were (1) indexed to the Company’s own stock and (2) classified in stockholders’ equity in accordance with ASC Topic 815, Derivatives and Hedging. As such, the Company concluded that the warrants meet the scope exception for determining whether the instruments require accounting as derivatives and accordingly are classified in stockholders’ equity. See below for a further description of the warrant amendments. Warrant Cancellation During the year ended December 31, 2018, the Company entered into warrant cancellation agreements with certain holders of the 2014 Warrants to cancel and terminate such warrants for total cash consideration of $14 thousand. As of September 30, 2019, the sole remaining 2014 Warrant was exercisable for an aggregate of 307 shares of Common Stock. Warrant Amendment In May 2018, the Company entered into a warrant amendment agreement with the sole remaining holder of a 2014 Warrant (the “Warrant Amendment”). The warrant holder received cash compensation of $19 thousand and a 2 year extension of warrant term in exchange for the removal of all anti-dilution provisions except those for stock splits, reverse splits or stock dividends. As a result of the Warrant Amendment, the Company reclassified the remaining 2014 Warrant valued at $1 thousand to stockholders’ equity (see Note 11). In September 2018, the Company entered into the Ladenburg Warrant Amendment. As a result of the Ladenburg Warrant Amendment, the Company reclassified the 2018 Warrants valued at $14.7 million to stockholders’ equity (see Note 11).

DERIVATIVE INSTRUMENTS

DERIVATIVE INSTRUMENTS	9 Months Ended
	Sep. 30, 2019
DERIVATIVE INSTRUMENTS
DERIVATIVE INSTRUMENTS	11. DERIVATIVE INSTRUMENTS The warrants issued in connection with the Company’s 2018 underwritten public offering had provisions that precluded the Company from classifying them as equity instruments (See Note 10). Accordingly, these warrants had been accounted for as derivative warrant liabilities. The Company used the Black-Scholes model and assumptions that considered, among other factors, the fair value of the underlying stock, risk-free interest rate, volatility, expected life, and dividend rates in estimating fair value for these warrants. At inception, the fair value of the Series B pre-funded warrants was estimated at $11.5 million using a Black-Scholes model with the following assumptions: expected volatility of 202.51%, risk free interest rate of 2.95%, expected life of 20 years and no dividends. At inception, the fair value of the Series A warrants was estimated at $13.7 million using a Black-Scholes model with the following assumptions: expected volatility of 202.51%, risk free interest rate of 2.75%, expected life of 5 years and no dividends. The Company allocated $13.2 million of the net proceeds to record the relative fair value of the warrant liability, with the remaining amount of $286 thousand recorded to permanent equity. The Company subsequently recorded the fair value of the warrant liability at $25.2 million with the loss of $12 million being recorded as a derivative loss on the Company’s consolidated statement of operations and comprehensive loss during the second quarter of 2018. In September 2018, the Company entered into the Ladenburg Warrant Amendment. As a result of the amendment, the Company reassessed the warrant classification and concluded that the warrants qualified for equity classification. The fair value of the amended 2018 Warrants was re-measured immediately prior to the date of the Ladenburg Warrant Amendment with changes in fair value recorded as a loss of $764 thousand in the Company’s consolidated statement of operations and $14.7 million was reclassified to equity. During the three months ended September 30, 2018, the Company issued an aggregate of 4,427,084 shares of common stock upon the exercise of Series B warrants for aggregate proceeds of $44 thousand. The Company reclassified $8.7 million from derivative warrant liability to additional paid-in capital and recorded a derivative loss of $1.2 million in connection with the warrant exercises. During the nine months ended September 30, 2018, the Company issued an aggregate of 5,478,002 shares of common stock upon the exercise of Series B warrants for aggregate proceeds of $55 thousand. The Company reclassified $10.6 million from derivative warrant liability to additional paid-in capital and recorded a derivative loss of $1.2 million in connection with the warrant exercises. During the three and nine months ended September 30, 2019, the Company did not issue any shares as a result of warrant exercise activity. There are no outstanding Series B warrants as of either September 30, 2019 or December 31, 2018. The 2014 Warrants had anti-dilution protection provisions and, under certain conditions, required the Company to automatically reprice the 2014 Warrants. Accordingly, the 2014 Warrants had been accounted for as derivative warrant liabilities. Through the date of the warrant exchange in 2017, the Company used the Binomial Lattice option pricing model and assumptions that considered, among other factors, the fair value of the underlying stock, risk-free interest rate, volatility, expected life, and dividend rates in estimating fair value for the 2014 Warrants considered to be derivative instruments. In May 2018, the Company entered into the Warrant Amendment, which removed provisions that had previously precluded equity classification treatment of the 2014 Warrants on the Company’s balance sheets. The fair value of the amended 2014 Warrants was re-measured immediately prior to the date of amendment with changes in fair value recorded as a loss of $1 thousand in the Company’s consolidated statement of operations and $1 thousand was reclassified to equity. As of the balance sheet at September 30, 2019 and December 31, 2018, the Company did not have any liability classified warrants. The table below presents the changes in the derivative warrant liability during the three month period ended September 30, 2018: (In thousands) Three Months Ended September 30, 2018 Balance at June 30, 2018 $ 21,469 Reduction in derivative liability due to exercise of warrants (8,730) Reclassification of fair value of derivative liabilities to equity on amendment of warrant agreements (14,706) Increase in the fair value of warrants 1,967 Balance at September 30, 2018 $ — The table below presents the changes in the derivative warrant liability during the nine month period ended September 30, 2018 : (In thousands) Nine Months Ended September 30, 2018 Balance at December 31, 2017 $ 4 Issuance of new warrants 13,172 Reduction in derivative liability due to exercise of warrants (10,620) Reclassification of fair value of derivative liabilities to equity on amendment of warrant agreements (14,707) Repurchase of warrants (14) Increase in the fair value of warrants 12,165 Balance at September 30, 2018 $ —

NET LOSS PER COMMON SHARE

NET LOSS PER COMMON SHARE	9 Months Ended
	Sep. 30, 2019
NET LOSS PER COMMON SHARE
NET LOSS PER COMMON SHARE	12. NET LOSS PER COMMON SHARE Basic and diluted net loss per share of Common Stock has been computed by dividing net loss by the weighted average number of shares outstanding during the period. Diluted net loss per share of Common Stock is computed by dividing net income by the weighted average number of shares outstanding plus the dilutive effect, if any, of outstanding stock options, warrants and convertible securities. In a net loss period, options, warrants related to the Company’s May 2014 and June 2018 capital raises, unvested RSUs, unvested restricted stock awards and convertible securities are anti-dilutive and, therefore, excluded from diluted loss per share calculations. For the nine month periods ended September 30, 2019 and 2018, the following potentially dilutive securities were not included in the computation of net loss per share because the effect would be anti-dilutive: September 30, 2019 2018 Warrants 7,673,130 8,472,439 Stock options 124,890 42,390 Unvested RSUs 7,500 13,250 Unvested RSAs 206,500 — Total potentially dilutive securities 8,012,020 8,528,079

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS	9 Months Ended
	Sep. 30, 2019
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS	13. SUBSEQUENT EVENTS The Company has evaluated all events and transactions that occurred after the balance sheet date through the date of this filing. During this period, the Company did not have any material subsequent events that impacted its financial statements or disclosures.

NATURE OF OPERATIONS AND GOIN_2

NATURE OF OPERATIONS AND GOING CONCERN, BASIS OF PRESENTATION AND RECENT ACCOUNTING PRONOUNCEMENTS (Policies)	9 Months Ended
	Sep. 30, 2019
NATURE OF OPERATIONS AND GOING CONCERN, BASIS OF PRESENTATION AND RECENT ACCOUNTING PRONOUNCEMENTS
Going Concern	Going Concern The Company’s consolidated financial statements as of September 30, 2019 were prepared under the assumption that the Company will continue as a going concern. At September 30, 2019, the Company had cash and cash equivalents of $8.1 million. Given the Company’s development plans, the Company estimates cash resources will be sufficient to fund its operations into the first quarter of 2020. This estimate is based on assumptions that may prove to be wrong; expenses could prove to be significantly higher, leading to a more rapid consumption of the Company’s existing resources. The Company’s ability to continue as a going concern depends on its ability to obtain additional equity or debt financing, attain further operating efficiencies, reduce expenditures, and, ultimately, to generate revenue. If the Company is unable to continue as a going concern, it may have to liquidate its assets and may receive less than the value at which those assets are carried on its unaudited consolidated financial statements, and it is likely that investors will lose all or part of their investment. If the Company seeks additional financing to fund its business activities in the future and there remains substantial doubt about its ability to continue as a going concern, investors or other financing sources may be unwilling to provide additional funding to the Company on commercially reasonable terms or at all. Based on these factors, as of September 30, 2019, management determined that there is substantial doubt regarding the Company’s ability to continue as a going concern.
Reverse Stock Split	Reverse Stock Split On April 16, 2018, the Company effected a reverse stock split of its common stock, par value $0.00001 per share (the “Common Stock”), at a ratio of 1-for-25. As a result of the reverse stock split, (i) every 25 shares of the issued and outstanding Common Stock were automatically converted into 1 newly issued and outstanding share of Common Stock, without any change in the par value per share; (ii) shares of Common Stock underlying outstanding stock options and other equity instruments convertible into Common Stock were proportionately reduced and the respective exercise prices, if applicable, were proportionately increased in accordance with the terms of the agreements governing such securities, and (iii) the number of authorized shares of Common Stock outstanding was proportionally decreased. All of the Company’s historical share and per share information related to issued and outstanding Common Stock and outstanding options and warrants exercisable for Common Stock in these consolidated financial statements were adjusted, on a retroactive basis, to reflect this 1-for-25 reverse stock split.
Basis of Presentation	Basis of Presentation The accompanying unaudited consolidated financial statements have been prepared in conformity with generally accepted accounting principles in the United States (“GAAP”) consistent with those applied in, and should be read in conjunction with, the Company’s audited consolidated financial statements and related footnotes for the year ended December 31, 2018 included in the Company’s Annual Report on Form 10-K as filed with the United States Securities and Exchange Commission (“SEC”) on April 1, 2019. The unaudited consolidated financial statements reflect all adjustments, consisting only of normal recurring adjustments, which are, in the opinion of management, necessary for a fair presentation of the Company’s financial position as of September 30, 2019 and its results of operations and cash flows for the interim period presented, and are not necessarily indicative of results for subsequent interim periods or for the full year. The interim consolidated financial statements do not include all of the information and footnotes required by GAAP for complete financial statements, as allowed by the relevant SEC rules and regulations; however, the Company believes that its disclosures are adequate to ensure that the information presented is not misleading.
Recently Adopted Accounting Standards	Recently Adopted Accounting Standards In February 2016, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02, Leases (Topic 842). The guidance in this ASU supersedes the leasing guidance in Topic 840, Leases. Under the new guidance, lessees are required to recognize lease assets and lease liabilities on the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance leases or operating leases, with classification affecting the pattern of expense recognition in the statement of operations. In January, July and December 2018, the FASB issued ASU No’s. 2018-01, 2018-10, 2018-11, 2018-20 and 2019-01, which were targeted improvements to ASU No. 2016-02 (collectively, with ASU No. 2016-02, “ASC 842”) and provided entities with an additional (and optional) transition method to adopt the new lease standard, and provided clarifications to address potential narrow-scope implementation issues. The Company adopted ASU 2016- 02 effective January 1, 2019 and elected the optional transition method for adoption. The Company also took advantage of the transition package of practical expedients permitted within ASU 2016-02, which among other things, allowed it to carryforward historical lease classifications. The Company also elected to keep leases with an initial term of 12 months or less off of the balance sheet as a policy election and will recognize those lease payments in the consolidated statements of operations on a straight-line basis over the lease term. As of the adoption date, the Company identified one operating lease arrangement in which it is a lessee. The adoption of this standard resulted in the recognition of operating lease liabilities and right-of-use assets of $1.5 million and $1.5 million, respectively, on the Company’s balance sheet as of January 1, 2019. The adoption of the standard did not have a material effect on the Company’s consolidated statements of operations or statements of cash flows. In June 2018, the FASB issued ASU No. 2018-07, Compensation - Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting which is intended to reduce cost and complexity and to improve financial reporting for nonemployee share-based payments. The amendment is effective for fiscal years beginning after December 15, 2018, including interim periods within that fiscal year. Early adoption was permitted, but no earlier than an entity’s adoption date of ASU No. 2016-08, Revenue from Contracts with Customers (Topic 606). The Company adopted ASU 2018-07 on January 1, 2019 and it did not have a material effect on the Company’s financial position, results of operations or disclosures. In July 2018, the FASB issued ASU No. 2018-09, Codification Improvements which clarifies, corrects errors in, and makes improvements to several Codification Topics, including to: · Clarify when excess tax benefits should be recognized for share-based compensation awards · Remove inconsistent guidance in income tax accounting for business combinations · Clarify the circumstances when derivatives may be offset · Clarify the measurement of liability or equity-classified financial instruments when an identical asset is held as an asset · Allow portfolios of financial instruments and nonfinancial instruments accounted for as derivatives to use the portfolio exception to valuation The transition and effective date guidance is based on the facts and circumstances of each amendment. Some of the amendments in this ASU do not require transition guidance and are effective upon issuance of this ASU. However, many of the amendments in this ASU do have transition guidance with effective dates for annual periods beginning after December 15, 2018. The Company adopted ASU 2018-09 on January 1, 2019, and it did not have a material effect on the Company’s financial position, results of operations or disclosures. In August 2018, the FASB issued ASU No. 2018-13 - Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement which improves the disclosure requirements on fair value measurements in Topic 820, Fair Value Measurement. The amendments in this ASU are effective for all entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. The amendments on changes in unrealized gains and losses, the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements, and the narrative description of measurement uncertainty should be applied prospectively for only the most recent interim or annual period presented in the initial fiscal year of adoption. All other amendments should be applied retrospectively to all periods presented upon their effective date. Early adoption is permitted upon issuance of this ASU. The Company does not expect the adoption of this ASU to have a material effect on its consolidated financial statements. In July 2019, the FASB issued ASU 2019-07, Codification Updates to SEC Sections. This ASU amends various SEC paragraphs pursuant to the issuance of SEC Final Rule Releases No. 33-10532, Disclosure Update and Simplification, and Nos. 33-10231 and 33-10442, Investment Company Reporting Modernization. One of the changes in the ASU requires a presentation of changes in stockholders’ equity in the form of a reconciliation, either as a separate financial statement or in the notes to the financial statements, for the current and comparative year-to-date interim periods. The Company presented changes in stockholders' equity as separate financial statements for the current and comparative year-to-date interim periods. The additional elements of the ASU did not have a material impact on the Company's consolidated financial statements. This guidance was effective immediately upon issuance.

CASH AND CASH EQUIVALENTS (Tabl

CASH AND CASH EQUIVALENTS (Tables)	9 Months Ended
	Sep. 30, 2019
CASH AND CASH EQUIVALENTS
Schedule of cash and cash equivalents	September 30, December 31, (In thousands) 2019 2018 Cash $ 70 $ (83) Money market funds 8,066 16,743 Total cash and cash equivalents $ 8,136 $ 16,660

FAIR VALUES OF ASSETS AND LIA_2

FAIR VALUES OF ASSETS AND LIABILITIES (Tables)	9 Months Ended
	Sep. 30, 2019
FAIR VALUES OF ASSETS AND LIABILITIES
Summary of assets and liabilities measured at fair value on a recurring basis	At December 31, 2018 (In thousands) Level 1 Level 2 Level 3 Fair Value Cash equivalents $ 16,743 $ — $ — $ 16,743 At September 30, 2019 (In thousands) Level 1 Level 2 Level 3 Fair Value Cash equivalents $ 8,066 $ — $ — $ 8,066

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Tables)	9 Months Ended
	Sep. 30, 2019
COMMITMENTS AND CONTINGENCIES
Schedule of lease cost	Lease cost (In thousands) Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 Operating lease cost $ 91 $ 273 Short-term lease cost 9 21 Variable lease cost 39 39 Total lease cost $ 139 $ 333 Other information (In thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from short term leases $ 9 $ 21 Operating cash flows from operating leases 90 150 Total cash paid for leases $ 99 $ 171 Right-of-use assets obtained in exchange for operating lease liabilities - - Weighted-average remaining lease term - operating leases 4.1 Years 4.1 Years Weighted-average discount rate - operating leases
Schedule of maturities of lease liabilities	Leases (In thousands) As of September 30, 2019 2019 (excluding the 9 months ended September 30, 2019 $ 93 2020 375 2021 386 2022 398 2023 339 Thereafter — Total lease payments 1,591 Less: imputed interest (208) Present value of lease liabilities $ 1,383
Schedule of balance sheet information	Leases (In thousands) Classification As of September 30, 2019 Assets Lease asset Operating $ 1,278 Total lease assets $ 1,278 Liabilities Current Operating $ 286 Non Current Operating 1,097 Total lease liabilities $ 1,383
Schedule of minimum future lease payments under non cancellable leases	Year Ended December 31, 2019 $ 243 2020 375 2021 386 2022 398 2023 339 Total $ 1,741

ACCRUED EXPENSES (Tables)

ACCRUED EXPENSES (Tables)	9 Months Ended
	Sep. 30, 2019
ACCRUED EXPENSES.
Summary of accrued expenses	September 30, December 31, (In thousands) 2019 2018 Severance and restructuring $ — $ 517 Compensation 606 489 Clinical 172 73 Legal 62 35 Other accrued expenses 180 176 Total accrued expenses $ 1,020 $ 1,290

STOCK BASED COMPENSATION (Table

STOCK BASED COMPENSATION (Tables)	9 Months Ended
	Sep. 30, 2019
STOCK BASED COMPENSATION
Schedule of assumptions used principally in determining the fair value of options granted	September 30, December 31, 2019 2018 Risk-free interest rate 2.55% 2.45 - 2.88% Expected dividend yield 0% 0% Expected term (employee grants) 6 Years 5.62 Years Expected volatility 105% 104%
Summary of option activity	Weighted Weighted Average Average Remaining Aggregate Exercise Contractual Intrinsic Options Shares Price Term in Years Value Outstanding at December 31, 2018 54,849 $ 100.83 $ — Granted 90,000 $ 1.53 Expired (2,500) $ 231.00 Cancelled/Forfeited (17,459) $ 40.12 Outstanding at September 30, 2019 124,890 $ 35.15 8.42 $ — Vested and Exercisable at September 30, 2019 28,283 $ 134.22 5.82 $ —
Summary of restricted stock unit activity	Restricted Stock Awards Weighted-Average and Restricted Stock Units Number of Grants Grant Date Fair Value Unvested balance at December 31, 2018 10,250 $ 23.13 Granted 206,500 $ 0.52 Vested (2,750) $ 26.20 Unvested balance at September 30, 2019 214,000 $ 1.27

WARRANTS (Tables)

WARRANTS (Tables)	9 Months Ended
	Sep. 30, 2019
WARRANTS
Schedule of information about warrants to purchase common stock issued and outstanding	Number of Exercise Year Issued Classification Warrants Price Date of Expiration 2012 Equity 243 $ 166.00 10/5/2019 2014 Equity 307 $ 11.75 5/9/2021 2016 Equity 85,869 $ 250.00 3/18/2021 2018 Equity 7,586,711 $ 2.00 6/25/2023 Total 7,673,130 Weighted average exercise price $ 4.78 Weighted average life in years 3.71

DERIVATIVE INSTRUMENTS (Tables)

DERIVATIVE INSTRUMENTS (Tables)	9 Months Ended
	Sep. 30, 2019
DERIVATIVE INSTRUMENTS
Changes in derivative warrant liability	The table below presents the changes in the derivative warrant liability during the three month period ended September 30, 2018: (In thousands) Three Months Ended September 30, 2018 Balance at June 30, 2018 $ 21,469 Reduction in derivative liability due to exercise of warrants (8,730) Reclassification of fair value of derivative liabilities to equity on amendment of warrant agreements (14,706) Increase in the fair value of warrants 1,967 Balance at September 30, 2018 $ — The table below presents the changes in the derivative warrant liability during the nine month period ended September 30, 2018 : (In thousands) Nine Months Ended September 30, 2018 Balance at December 31, 2017 $ 4 Issuance of new warrants 13,172 Reduction in derivative liability due to exercise of warrants (10,620) Reclassification of fair value of derivative liabilities to equity on amendment of warrant agreements (14,707) Repurchase of warrants (14) Increase in the fair value of warrants 12,165 Balance at September 30, 2018 $ —

NET LOSS PER COMMON SHARE (Tabl

NET LOSS PER COMMON SHARE (Tables)	9 Months Ended
	Sep. 30, 2019
NET LOSS PER COMMON SHARE
Schedule of potentially dilutive securities not included in the computation of net loss per share because effect would be anti-dilutive	September 30, 2019 2018 Warrants 7,673,130 8,472,439 Stock options 124,890 42,390 Unvested RSUs 7,500 13,250 Unvested RSAs 206,500 — Total potentially dilutive securities 8,012,020 8,528,079

NATURE OF OPERATIONS, BASIS OF

NATURE OF OPERATIONS, BASIS OF PRESENTATION AND RECENT ACCOUNTING PRONOUNCEMENTS - Reverse Stock Split (Details) $ / shares in Units, $ in Thousands	Apr. 16, 2018$ / shares	Sep. 30, 2019USD ($)$ / shares	Dec. 31, 2018USD ($)$ / shares
NATURE OF OPERATIONS AND GOING CONCERN, BASIS OF PRESENTATION AND RECENT ACCOUNTING PRONOUNCEMENTS
Cash and cash equivalents | $		$ 8,136	$ 16,660
Common stock, par value (in dollars per share) | $ / shares	$ 0.00001	$ 0.00001	$ 0.00001
Reverse stock split ratio	0.04

NATURE OF OPERATIONS AND GOIN_3

NATURE OF OPERATIONS AND GOING CONCERN, BASIS OF PRESENTATION AND RECENT ACCOUNTING PRONOUNCEMENTS - Recently Adopted Accounting Standards (Details) - USD ($) $ in Thousands	Jan. 01, 2019	Sep. 30, 2019	Dec. 31, 2018
Cash and cash equivalents		$ 8,136	$ 16,660
Lease, practical expedients, package	true
Operating lease right-of-use assets		1,278
Operating lease liabilities		$ 1,383
ASU No. 2016-02 | Adjustment
Operating lease right-of-use assets	$ 1,500
Operating lease liabilities	$ 1,500

CASH AND CASH EQUIVALENTS (Deta

CASH AND CASH EQUIVALENTS (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
CASH AND CASH EQUIVALENTS
Cash	$ 70	$ (83)
Money market funds	8,066	16,743
Total cash and cash equivalents	$ 8,136	$ 16,660

RESTRICTED CASH (Details)

RESTRICTED CASH (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Restricted cash
Restricted cash	$ 114	$ 114
Security deposit related to credit card account
Restricted cash
Restricted cash	50	50
401K reserve account
Restricted cash
Restricted cash	4	4
Standby letter of credit
Restricted cash
Restricted cash	$ 60	$ 60

FAIR VALUES OF ASSETS AND LIA_3

FAIR VALUES OF ASSETS AND LIABILITIES (Details) - Recurring basis - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Assets and liabilities measured at fair value on a recurring basis
Cash equivalents	$ 8,066	$ 16,743
Level 1
Assets and liabilities measured at fair value on a recurring basis
Cash equivalents	$ 8,066	$ 16,743

COMMITMENTS AND CONTINGENCIES,

COMMITMENTS AND CONTINGENCIES, LEASES (Details)	May 03, 2018USD ($)ft²	Oct. 31, 2017USD ($)ft²item	Sep. 30, 2018USD ($)	Jun. 30, 2018USD ($)	Sep. 30, 2018USD ($)	Dec. 31, 2018USD ($)	Nov. 01, 2018USD ($)	Jun. 19, 2017USD ($)	Jun. 13, 2017ft²
Lessee, Lease, Description [Line Items]
Deferred rent removed and gain on lease assignment					$ 603,000
Loss on impairment of fixed assets					48,000
Prepaid rent						$ 17,000
Operating leases, rent expense, net			$ 107,000		746,000
Moderna Sublease
Lessee, Lease, Description [Line Items]
Sublease income recorded as offset to rent expense			$ 0		112,000
Cambridge Lease
Lessee, Lease, Description [Line Items]
Lease space (in square feet) | ft²		26,342
Term of commercial lease		6 years 3 months
Number of options to extend lease | item		1
Term of lease extension option		5 years					5 years
Standby letter of credit		$ 311,000
Letter of credit terminated amount	$ 311,000
Deferred rent removed and gain on lease assignment				$ 603,000
Loss on impairment of fixed assets					$ 48,000
Cambridge Lease | Moderna Sublease
Lessee, Lease, Description [Line Items]
Lease space (in square feet) | ft²									5,233
Tenant security deposit								$ 55,000
Cambridge Lease | Third Party Lease
Lessee, Lease, Description [Line Items]
Lease space (in square feet) | ft²	5,104
Standby letter of credit	$ 40,000						$ 60,000
Tenant security deposit				$ 55,000

COMMITMENTS AND CONTINGENCIES_2

COMMITMENTS AND CONTINGENCIES, LEASE EXPENSE (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2019
Lease expense
Operating lease cost	$ 91	$ 273
Short-term lease cost	9	21
Variable lease cost	39	39
Total lease cost	$ 139	$ 333

COMMITMENTS AND CONTINGENCIES_3

COMMITMENTS AND CONTINGENCIES, LEASE OTHER INFORMATION (Details) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2019USD ($)	Sep. 30, 2019USD ($)
COMMITMENTS AND CONTINGENCIES
Operating cash flows from short term leases	$ 9	$ 21
Operating cash flows from operating leases	90	150
Total cash paid for leases	$ 99	171
Right-of-use assets obtained in exchange for new operating lease liabilities		$ 1,475
Weighted-average remaining lease term - operating leases (years)	4 years 1 month 6 days	4 years 1 month 6 days
Weighted-average discount rate - operating leases	7.00%	7.00%

COMMITMENTS AND CONTINGENCIES_4

COMMITMENTS AND CONTINGENCIES, MATURITIES OF LEASE LIABILITIES (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Maturities of lease liabilities
2019 (excluding the 6 months ended June 30, 2019)	$ 93
2020	375
2021	386
2022	398
2023	339
Total lease payments	1,591
Less : Interest	(208)
Present value of lease liabilities	$ 1,383
ASU 2016-02 Transition [Abstract]
2019		$ 243
2020		375
2021		386
2022		398
2023		339
Total		$ 1,741

COMMITMENTS AND CONTINGENCIES_5

COMMITMENTS AND CONTINGENCIES, LEASE CLASSIFICATION (Details) $ in Thousands	Sep. 30, 2019USD ($)
COMMITMENTS AND CONTINGENCIES
Operating Lease, Right-of-Use Asset	$ 1,278
Financial position	us-gaap:OperatingLeaseRightOfUseAsset
Total lease assets	$ 1,278
Operating Liabilities - Current	$ 286
Financial position	Operating Liabilities - Current
Operating Liabilities - Non Current	$ 1,097
Financial position	us-gaap:OperatingLeaseLiabilityNoncurrent
Total Operating Liabilities	$ 1,383
Financial position	us-gaap:OperatingLeaseLiabilityCurrent us-gaap:OperatingLeaseLiabilityNoncurrent

ACCRUED EXPENSES (Details)

ACCRUED EXPENSES (Details) - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
ACCRUED EXPENSES.
Severance and restructuring		$ 517
Compensation	$ 606	489
Clinical	172	73
Legal	62	35
Other accrued expenses	180	176
Total accrued expenses	$ 1,020	$ 1,290

LOAN PAYABLE, ACTIVITY (Details

LOAN PAYABLE, ACTIVITY (Details) - USD ($) $ / shares in Units, $ in Thousands	May 01, 2015	May 31, 2018	Oct. 31, 2012	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018
Loans Payable
Outstanding loan payable								$ 100
Number of warrants outstanding				7,673,130		7,673,130
2012 Warrant Exercise price $166.00
Loans Payable
Number of warrants outstanding				243		243
Exercise price of warrant (in dollars per share)				$ 166		$ 166
Equipment Line of Credit
Loans Payable
Amortization of warrant				$ 0	$ 9
Interest expense						$ 1	$ 35
Interest Expense, Debt [Abstract]
Interest expense				0	9
MassDev
Loans Payable
Line of credit, maximum			$ 2,000
Line of credit for working capital purpose			$ 200
Fixed interest rate (as a percent)			6.50%
Period for interest-only payments			30 months
Period for charging equal installments of interest and principal			54 months
Maturity date			Mar. 1, 2019
Commencement date of monthly installments	May 1, 2015
Amount of monthly payment	$ 41
Repayment of principal		$ 300				100
Outstanding loan payable				0		0
MassDev | 2012 Warrant Exercise price $166.00
Loans Payable
Amortization of warrant				0	1		3
Warrant period			7 years
Exercise price of warrant (in dollars per share)			$ 166
Fair value of warrants			$ 32
Interest Expense, Debt [Abstract]
Interest expense				$ 0	$ 1		$ 3
MassDev | 2012 Warrant Exercise price $166.00 | Interest Expense
Loans Payable
Amortization of warrant						1
Interest Expense, Debt [Abstract]
Interest expense						$ 1
MassDev | 2012 Warrant Exercise price $166.00 | Common Stock
Loans Payable
Number of shares into which a warrant may be converted			362
Number of warrants outstanding				243		243

COMMON STOCK, AUTHORIZED (Detai

COMMON STOCK, AUTHORIZED (Details) - shares	Sep. 30, 2019	Dec. 31, 2018	May 31, 2018	Apr. 30, 2018
Common stock, number of shares, par value and other disclosures
Common stock, authorized	25,000,000	25,000,000	25,000,000	4,000,000
Common stock, issued	9,519,570	9,309,255
Common stock, outstanding	9,519,570	9,309,255

COMMON STOCK, TRANSACTIONS (Det

COMMON STOCK, TRANSACTIONS (Details) - USD ($) $ / shares in Units, $ in Thousands	May 30, 2018	Sep. 30, 2018	Jun. 30, 2018	May 31, 2018	Jan. 31, 2018	Sep. 30, 2019	Sep. 30, 2018	Jun. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018
Common stock disclosures
Proceeds from issuance of common stock and warrants, net of issuance costs										$ 16,511
Fair value adjustment of warrants							$ (1,967)			(12,165)
Warrant reclassified to equity							$ (14,706)			(14,707)
Proceeds from exercise of warrants										55
Number of warrants outstanding						7,673,130			7,673,130
Issuance of common stock to 401(k) plan										6
401(k)
Common stock disclosures
Company contributions to employee 401(k) accounts									$ 45	$ 32
2018 Series A Warrant Exercise price $2.00
Common stock disclosures
Exercise price (in dollars per unit)						$ 2			$ 2
Number of warrants outstanding						7,586,711			7,586,711
2018 Warrants
Common stock disclosures
Fair value adjustment of warrants		$ 764
Warrant reclassified to equity		$ 14,700
Common Stock
Common stock disclosures
Issuance of common stock in public offerings (in shares)							945			1,652,396
Issuance of common stock to 401(k) plan (in shares)										440
Common Stock | 401(k)
Common stock disclosures
Aggregate number of shares reserved for issuance				4,100
Number of additional shares reserved				4,000
Issuance of common stock to 401(k) plan (in shares)										440
Issuance of common stock to 401(k) plan										$ 6
Underwritten Public Offering, June 2018
Common stock disclosures
Proceeds from issuance of common stock and warrants, net of issuance costs			$ 13,500
Reclassification of derivative warrant liability to additional paid-in capital			$ 286
Derivative loss								$ 12,000
Underwritten Public Offering, June 2018 | 2018 Series A Warrant Exercise price $2.00
Common stock disclosures
Number of shares/warrants comprised in a unit (in shares)			1
Exercise price (in dollars per unit)			$ 2					$ 2
Warrant expiration term (in years)			5 years					5 years
Underwritten Public Offering, June 2018 | 2018 Series B Warrant Exercise price $.01
Common stock disclosures
Exercise price (in dollars per unit)			$ 0.01					$ 0.01
Warrant expiration term (in years)			20 years					20 years
Proceeds from exercise of warrants							$ 44			55
Number of warrants outstanding						0			0		0
Reclassification of derivative warrant liability to additional paid-in capital							8,700			10,600
Derivative loss							$ 1,200			$ 1,200
Underwritten Public Offering, June 2018 | Common Stock
Common stock disclosures
Number of shares/warrants comprised in a unit (in shares)			1
Number of shares of common stock to be purchased by each warrant			1					1
Underwritten Public Offering, June 2018 | Common Stock And Warrants
Common stock disclosures
Issuance of common stock in public offerings (in shares)			1,378,400
Equity issuance (in price per unit)			$ 2					$ 2
Pre Funded Units
Common stock disclosures
Issuance of common stock in public offerings (in shares)			6,242,811				4,427,084			5,478,002
Equity issuance (in price per unit)			$ 1.99					$ 1.99
Pre Funded Units | 2018 Series A Warrant Exercise price $2.00
Common stock disclosures
Number of shares/warrants comprised in a unit (in shares)			1
Pre Funded Units | 2018 Series B Warrant Exercise price $.01
Common stock disclosures
Number of shares/warrants comprised in a unit (in shares)			1
Pre Funded Units | Common Stock
Common stock disclosures
Number of shares of common stock to be purchased by each warrant			1					1
Purchase and registration rights agreement | Common Stock
Common stock disclosures
Issuance of common stock in public offerings (in shares)	17,192					0	0			256,804
Aggregate proceeds could be received					$ 15,000
Term					24 months
Deferred offering costs	$ 627
Proceeds from issuance of common stock, net of issuance costs							$ 3,100
Purchase and registration rights agreement | Common Stock | Maximum
Common stock disclosures
Aggregate number of shares reserved for issuance	1,200,000

COMMON STOCK, TRANSACTIONS, OTH

COMMON STOCK, TRANSACTIONS, OTHER (Details) $ in Thousands	Apr. 16, 2018shares	Sep. 30, 2019shares	Sep. 30, 2018USD ($)shares	Sep. 30, 2019USD ($)shares	Sep. 30, 2018USD ($)shares
Common stock disclosures
Proceeds from issuance of stock under ESPP | $				$ 1	$ 4
Reverse stock split ratio	0.04
Proceeds from exercise of warrants | $					$ 55
Common Stock
Common stock disclosures
Stock issued under ESPP (in shares) | shares		0	945	1,065	1,133
Proceeds from issuance of stock under ESPP | $			$ 1		$ 4
Reverse stock split ratio	0.04
Stock issued during period, shares, reverse stock splits | shares	2,733
Issuance of common stock upon vesting of restricted stock units (in shares) | shares		1,250	1,250	2,750	1,250

STOCK BASED COMPENSATION (Detai

STOCK BASED COMPENSATION (Details) - USD ($) $ in Thousands	1 Months Ended		3 Months Ended		9 Months Ended		52 Months Ended
	Jan. 31, 2019	Mar. 31, 2015	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Dec. 31, 2018	Apr. 30, 2015
Stock options
Stock-based compensation (in dollars)			$ 68	$ 85	$ 203	$ 541
Stock Options
Stock options
Granted (in shares)					90,000
Expected term					10 years
Stock-based compensation (in dollars)			$ 42		$ 126
2010 Plan
Stock options
Granted (in shares)							0
Expected term					10 years
2015 Plan
Stock options
Shares available for future grants			2,046		2,046		2,046
Shares authorized for issuance									160,000
Expected term					10 years
2007 Plan
Stock options
Expected term					10 years
Employee Stock Purchase Plan
Stock options
Shares authorized for issuance		7,500
Percentage of outstanding shares reserved for future issuance		1.00%
Increase in shares of common stock reserved for issuance (in shares)		2,000
Aggregate number of shares reserved for issuance			7,923		7,923		7,923	7,923
Offering Period	6 months
Stock-based compensation (in dollars)			$ 0	$ 1	$ 0	$ 1
Employee Stock Purchase Plan | Maximum
Stock options
Aggregate number of shares reserved for issuance		50,000
Common Stock
Stock options
Stock issued under ESPP (in shares)			0	945	1,065	1,133
Common Stock | Employee Stock Purchase Plan
Stock options
Stock issued under ESPP (in shares)	1,065

STOCK BASED COMPENSATION, SHARE

STOCK BASED COMPENSATION, SHARE-BASED COMPENSATION (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Stock options
Stock-based compensation (in dollars)	$ 68	$ 85	$ 203	$ 541
Stock Options
Stock options
Stock-based compensation (in dollars)	$ 42		$ 126
Expected term			10 years
Vesting period			48 months

STOCK BASED COMPENSATION, ASSUM

STOCK BASED COMPENSATION, ASSUMPTIONS USED IN DETERMINING THE FAIR VALUE (Details) - Stock Options	9 Months Ended	12 Months Ended
	Sep. 30, 2019	Dec. 31, 2018
Assumptions used principally in determining the fair value of options granted
Risk-free interest rate (as a percent)	2.55%
Expected dividend yield (as a percent)	0.00%	0.00%
Expected term	6 years	5 years 7 months 13 days
Expected volatility (as a percent)	105.00%	104.00%
Minimum
Assumptions used principally in determining the fair value of options granted
Risk-free interest rate (as a percent)		2.45%
Maximum
Assumptions used principally in determining the fair value of options granted
Risk-free interest rate (as a percent)		2.88%

STOCK BASED COMPENSATION, SUMMA

STOCK BASED COMPENSATION, SUMMARY OF OPTION ACTIVITY - (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018
Stock Option
Stock-based compensation (in dollars)	$ 68	$ 85	$ 203	$ 541
Stock Options
Summary of option activity - Shares
Outstanding at the beginning of year (in shares)			54,849
Granted (in shares)			90,000
Expired (in shares)			(2,500)
Cancelled/Forfeited (in shares)			(17,459)
Outstanding at the end of period (in shares)	124,890		124,890		54,849
Vested at the end of period (in shares)			28,283
Summary of option activity - Weighted Average Exercise Price
Outstanding at the beginning of year (in dollars per shares)			$ 100.83
Granted (in dollars per shares)			1.53
Expired (in dollars per shares)			231
Cancelled/Forfeited (in dollars per shares)			40.12
Outstanding at the end of period (in dollars per shares)	$ 35.15		35.15		$ 100.83
Vested at the end of period (in dollars per share)	$ 134.22		$ 134.22
Option activity disclosures
Weighted Average Remaining Contractual Term - Outstanding			8 years 5 months 1 day		7 years 3 months 26 days
Weighted Average Remaining Contractual Term - Vested			5 years 9 months 26 days
Stock Option
Weighted average grant-date fair value of options granted			$ 1.25
Total fair value of options vested	$ 34		$ 103
Stock-based compensation (in dollars)	42		126
Total unrecognized compensation expense	$ 219		$ 219
Period for unrecognized compensation expense is estimated to be recognized			1 year 9 months 18 days

STOCK BASED COMPENSATION, RESTR

STOCK BASED COMPENSATION, RESTRICTED STOCK (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Share-based compensation
Stock-based compensation (in dollars)	$ 68	$ 85	$ 203	$ 541
Restricted Securities
Number of Grants
Unvested balance at			10,250
Granted (in shares)			206,500
Vested/Released (in shares)			(2,750)
Unvested balance at	214,000		214,000
Weighted-Average Grant Date Fair Value
Unvested balance at (in dollars per share)			$ 23.13
Granted (in dollars per share)			0.52
Vested (in dollars per share)			26.20
Unvested balance at (in dollars per share)	$ 1.27		$ 1.27
Share-based compensation
Stock-based compensation (in dollars)	$ 26		$ 77
Unrecognized compensation
Total unrecognized compensation expense	$ 253		$ 253
Period for unrecognized compensation expense is estimated to be recognized			2 years 6 months 15 days

WARRANTS (Details)

WARRANTS (Details)	9 Months Ended
	Sep. 30, 2019$ / sharesshares
Warrants to purchase common stock issued and outstanding
Number of Warrants | shares	7,673,130
Weighted average exercise price | $ / shares	$ 4.78
Weighted average life in years	3 years 8 months 16 days
2012 Warrant Exercise price $166.00
Warrants to purchase common stock issued and outstanding
Warrants Issued Year	2012
Number of Warrants | shares	243
Warrant Exercise Price | $ / shares	$ 166
Expiration date	Oct. 5, 2019
2014 Warrant Exercise price $11.75
Warrants to purchase common stock issued and outstanding
Warrants Issued Year	2014
Number of Warrants | shares	307
Warrant Exercise Price | $ / shares	$ 11.75
Expiration date	May 9, 2021
2016 Warrant Exercise price $250.00
Warrants to purchase common stock issued and outstanding
Warrants Issued Year	2016
Number of Warrants | shares	85,869
Warrant Exercise Price | $ / shares	$ 250
Expiration date	Mar. 18, 2021
2018 Series A Warrant Exercise price $2.00
Warrants to purchase common stock issued and outstanding
Warrants Issued Year	2018
Number of Warrants | shares	7,586,711
Warrant Exercise Price | $ / shares	$ 2
Expiration date	Jun. 25, 2023

WARRANTS, CANCELLATION AND AMEN

WARRANTS, CANCELLATION AND AMENDMENT (Details) - USD ($) $ in Thousands	1 Months Ended		3 Months Ended	9 Months Ended	12 Months Ended
	Sep. 30, 2018	May 31, 2018	Sep. 30, 2018	Sep. 30, 2018	Dec. 31, 2018	Sep. 30, 2019
Warrants
Repurchase of warrants				$ 14
Warrant reclassified to equity			$ (14,706)	$ (14,707)
2014 Warrant Exercise price $11.75
Warrants
Repurchase of warrants					$ 14
Cash compensation to warrant holder		$ 19
Warranty extension period		2 years
Warrant reclassified to equity		$ 1
2014 Warrant Exercise price $11.75 | Common Stock
Warrants
Number of shares into which a warrant may be converted						307
2018 Warrants
Warrants
Warrant reclassified to equity	$ 14,700

DERIVATIVE INSTRUMENTS, INCEPTI

DERIVATIVE INSTRUMENTS, INCEPTION FAIR VALUE OF WARRANTS (Details) $ in Millions	Jun. 30, 2018USD ($)Yitem
2018 Series B Warrant Exercise price $.01
Fair value of warrants
Fair value of warrants | $	$ 11.5
2018 Series A Warrant Exercise price $2.00
Fair value of warrants
Fair value of warrants | $	$ 13.7
Risk-free interest rate | 2018 Series B Warrant Exercise price $.01
Fair value of warrants
Derivative warrant liability measurement input	0.0295
Risk-free interest rate | 2018 Series A Warrant Exercise price $2.00
Fair value of warrants
Derivative warrant liability measurement input	0.0275
Expected dividend yield | 2018 Series B Warrant Exercise price $.01
Fair value of warrants
Derivative warrant liability measurement input	0
Expected dividend yield | 2018 Series A Warrant Exercise price $2.00
Fair value of warrants
Derivative warrant liability measurement input	0
Contractual term | 2018 Series B Warrant Exercise price $.01
Fair value of warrants
Derivative warrant liability measurement input | Y	20
Contractual term | 2018 Series A Warrant Exercise price $2.00
Fair value of warrants
Derivative warrant liability measurement input | Y	5
Expected volatility | 2018 Series B Warrant Exercise price $.01
Fair value of warrants
Derivative warrant liability measurement input	2.0251
Expected volatility | 2018 Series A Warrant Exercise price $2.00
Fair value of warrants
Derivative warrant liability measurement input	2.0251

DERIVATIVE INSTRUMENTS (Details

DERIVATIVE INSTRUMENTS (Details) - USD ($) $ in Thousands	1 Months Ended			3 Months Ended			9 Months Ended
	Sep. 30, 2018	Jun. 30, 2018	May 31, 2018	Sep. 30, 2019	Sep. 30, 2018	Jun. 30, 2018	Sep. 30, 2019	Sep. 30, 2018	Dec. 31, 2018	Dec. 31, 2017
Derivative instruments
Derivative warrant liability		$ 21,469				$ 21,469				$ 4
Proceeds from exercise of warrants								$ 55
Number of warrants outstanding				7,673,130			7,673,130
Fair value adjustment of warrants					$ (1,967)			(12,165)
Warrant reclassified to equity					(14,706)			(14,707)
Underwritten Public Offering, June 2018
Derivative instruments
Proceeds allocated to warrant liability		13,200
Amount recorded to permanent equity		286
Derivative warrant liability		25,200				25,200
Derivative loss						$ 12,000
Reclassification of derivative warrant liability to additional paid-in capital		$ 286
2018 Series A Warrant Exercise price $2.00
Derivative instruments
Number of warrants outstanding				7,586,711			7,586,711
2018 Series B Warrant Exercise price $.01 | Underwritten Public Offering, June 2018
Derivative instruments
Amount recorded to permanent equity					8,700			10,600
Derivative loss					1,200			1,200
Proceeds from exercise of warrants					44			55
Number of warrants outstanding				0			0		0
Reclassification of derivative warrant liability to additional paid-in capital					$ 8,700			$ 10,600
2014 Warrant Exercise price $11.75
Derivative instruments
Number of warrants outstanding				307			307
Fair value adjustment of warrants			$ 1
Warrant reclassified to equity			$ 1
2018 Warrants
Derivative instruments
Fair value adjustment of warrants	$ 764
Warrant reclassified to equity	$ 14,700
Common Stock | 2018 Series B Warrant Exercise price $.01 | Underwritten Public Offering, June 2018
Derivative instruments
Issuance of common stock upon exercise of warrants (in shares)				0	4,427,084		0	5,478,002

DERIVATIVE INSTRUMENTS, CHANGES

DERIVATIVE INSTRUMENTS, CHANGES IN DERIVATIVE WARRANT LIABILITY (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2018	Sep. 30, 2018
Changes in Derivative Warrant Liability
Balance at beginning of year	$ 21,469	$ 4
Issuance of new warrants		13,172
Reduction in derivative liability due to exercise of warrants	(8,730)	(10,620)
Reclassification of fair value of derivative liabilities to equity on amendment of warrant agreements	(14,706)	(14,707)
Repurchase of warrants		(14)
Increase in the fair value of warrants	$ 1,967	$ 12,165

NET LOSS PER COMMON SHARE (Deta

NET LOSS PER COMMON SHARE (Details) - shares	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Anti-dilutive
Total potentially dilutive securities (in shares)	8,012,020	8,528,079
Warrants.
Anti-dilutive
Total potentially dilutive securities (in shares)	7,673,130	8,472,439
Stock Options
Anti-dilutive
Total potentially dilutive securities (in shares)	124,890	42,390
Unvested RSUs
Anti-dilutive
Total potentially dilutive securities (in shares)	7,500	13,250
Unvested restricted stock awards
Anti-dilutive
Total potentially dilutive securities (in shares)	206,500