Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Dec. 31, 2016 | Feb. 03, 2017 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Dec. 31, 2016 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | PSDV | |
Entity Registrant Name | PSIVIDA CORP. | |
Entity Central Index Key | 1,314,102 | |
Current Fiscal Year End Date | --06-30 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 34,176,999 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2016 | Jun. 30, 2016 |
Current assets: | ||
Cash and cash equivalents | $ 11,685 | $ 15,313 |
Marketable securities | 5,847 | 13,679 |
Accounts and other receivables | 457 | 488 |
Prepaid expenses and other current assets | 546 | 483 |
Total current assets | 18,535 | 29,963 |
Property and equipment, net | 231 | 290 |
Intangible assets, net | 718 | 1,102 |
Other assets | 112 | 114 |
Restricted cash | 150 | 150 |
Total assets | 19,746 | 31,619 |
Current liabilities: | ||
Accounts payable | 1,110 | 1,363 |
Accrued expenses | 3,681 | 3,583 |
Deferred revenue | 136 | 147 |
Total current liabilities | 4,927 | 5,093 |
Deferred revenue | 0 | 5,585 |
Deferred rent | 57 | 60 |
Total liabilities | 4,984 | 10,738 |
Commitments and contingencies | ||
Stockholders' equity: | ||
Preferred stock, $.001 par value, 5,000,000 shares authorized, none issued and outstanding | 0 | 0 |
Common stock, $.001 par value, 60,000,000 shares authorized, 34,176,999 and 34,172,919 shares issued and outstanding at December 31, 2016 and June 30, 2016, respectively | 34 | 34 |
Additional paid-in capital | 313,347 | 312,208 |
Accumulated deficit | (299,442) | (292,213) |
Accumulated other comprehensive income | 823 | 852 |
Total stockholders' equity | 14,762 | 20,881 |
Total liabilities and stockholders' equity | $ 19,746 | $ 31,619 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2016 | Jun. 30, 2016 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 60,000,000 | 60,000,000 |
Common stock, shares issued | 34,176,999 | 34,172,919 |
Common stock, shares outstanding | 34,176,999 | 34,172,919 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Comprehensive Loss - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | |
Revenues: | ||||
Collaborative research and development | $ 5,702 | $ 142 | $ 5,736 | $ 322 |
Royalty income | 269 | 384 | 512 | 670 |
Total revenues | 5,971 | 526 | 6,248 | 992 |
Operating expenses: | ||||
Research and development | 3,165 | 3,721 | 7,343 | 7,203 |
General and administrative | 2,900 | 2,043 | 6,185 | 4,011 |
Total operating expenses | 6,065 | 5,764 | 13,528 | 11,214 |
Loss from operations | (94) | (5,238) | (7,280) | (10,222) |
Interest and other income | 27 | 10 | 51 | 20 |
Loss before income taxes | (67) | (5,228) | (7,229) | (10,202) |
Income tax benefit | 0 | 42 | 0 | 83 |
Net loss | $ (67) | $ (5,186) | $ (7,229) | $ (10,119) |
Net loss per common share: | ||||
Basic and diluted | $ 0 | $ (0.18) | $ (0.21) | $ (0.34) |
Weighted average common shares: | ||||
Basic and diluted | 34,177 | 29,437 | 34,176 | 29,426 |
Net loss | $ (67) | $ (5,186) | $ (7,229) | $ (10,119) |
Other comprehensive loss: | ||||
Foreign currency translation adjustments | (15) | (19) | (30) | (47) |
Net unrealized (loss) gain on marketable securities | 0 | (6) | 1 | (4) |
Other comprehensive loss | (15) | (25) | (29) | (51) |
Comprehensive loss | $ (82) | $ (5,211) | $ (7,258) | $ (10,170) |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit [Member] | Accumulated Other Comprehensive Income [Member] |
Balance at Jun. 30, 2015 | $ 23,368 | $ 29 | $ 293,060 | $ (270,666) | $ 945 |
Balance, shares at Jun. 30, 2015 | 29,412,365 | ||||
Net loss | (10,119) | (10,119) | |||
Other comprehensive loss | (51) | (51) | |||
Exercise of stock options | 338 | $ 0 | 338 | 0 | 0 |
Exercise of stock options, shares | 215,554 | ||||
Stock-based compensation | 888 | 888 | |||
Balance at Dec. 31, 2015 | 14,424 | $ 29 | 294,286 | (280,785) | 894 |
Balance, shares at Dec. 31, 2015 | 29,627,919 | ||||
Balance at Jun. 30, 2016 | $ 20,881 | $ 34 | 312,208 | (292,213) | 852 |
Balance, shares at Jun. 30, 2016 | 34,172,919 | 34,172,919 | |||
Net loss | $ (7,229) | (7,229) | |||
Other comprehensive loss | (29) | (29) | |||
Exercise of stock options | 9 | $ 0 | 9 | 0 | 0 |
Exercise of stock options, shares | 4,080 | ||||
Stock-based compensation | 1,130 | 1,130 | |||
Balance at Dec. 31, 2016 | $ 14,762 | $ 34 | $ 313,347 | $ (299,442) | $ 823 |
Balance, shares at Dec. 31, 2016 | 34,176,999 | 34,176,999 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Cash flows from operating activities: | ||
Net loss | $ (7,229) | $ (10,119) |
Adjustments to reconcile net loss to cash flows from operating activities: | ||
Amortization of intangible assets | 363 | 382 |
Depreciation of property and equipment | 32 | 59 |
Stock-based compensation expense | 1,130 | 888 |
Amortization of bond (discount) premium on marketable securities | (7) | 68 |
Amortization of noncurrent portion of deferred revenue | (5,585) | 0 |
Changes in current assets and liabilities: | ||
Accounts receivable and other current assets | (44) | 520 |
Accounts payable and accrued expenses | (141) | 548 |
Deferred revenue | (11) | (17) |
Deferred rent | (3) | 4 |
Net cash used in operating activities | (11,495) | (7,667) |
Cash flows from investing activities: | ||
Purchases of marketable securities | (5,053) | (5,843) |
Maturities of marketable securities | 12,893 | 5,305 |
Purchases of property and equipment | (5) | (36) |
Proceeds from sale of property and equipment | 33 | 0 |
Net cash provided by (used in) investing activities | 7,868 | (574) |
Cash flows from financing activities: | ||
Exercise of stock options | 9 | 338 |
Net cash provided by financing activities | 9 | 338 |
Effect of foreign exchange rate changes on cash and cash equivalents | (10) | (8) |
Net decrease in cash and cash equivalents | (3,628) | (7,911) |
Cash and cash equivalents at beginning of period | 15,313 | 19,121 |
Cash and cash equivalents at end of period | $ 11,685 | $ 11,210 |
Operations and Basis of Present
Operations and Basis of Presentation | 6 Months Ended |
Dec. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Operations and Basis of Presentation | 1. Operations and Basis of Presentation The accompanying condensed consolidated financial statements of pSivida Corp. and subsidiaries (the “Company”) as of December 31, 2016 and for the three and six months ended December 31, 2016 and 2015 are unaudited. Certain information in the footnote disclosures of these financial statements has been condensed or omitted in accordance with the rules and regulations of the Securities and Exchange Commission (the “SEC”). These financial statements should be read in conjunction with the Company’s audited consolidated financial statements and footnotes included in its Annual Report on Form 10-K The Company currently develops proprietary sustained-release drug products for the treatment of chronic eye diseases. The Company’s products deliver drugs at a controlled and steady rate for months or years. The Company has developed three of only four sustained-release products approved by the U.S. Food and Drug Administration (“FDA”) for treatment of back-of-the-eye non-erodible ® out-licensed Durasert three-year uveitis, the Company’s most advanced development product candidate, is designed to treat chronic non-infectious The first of two Phase 3 clinical trials investigating Durasert three-year uveitis met its primary efficacy endpoint of prevention of recurrence of disease through six months with high statistical significance (p < 0.001, intent to treat analysis) and with safety data consistent with the known effects of ocular corticosteroid use. The same high statistical significance for efficacy and encouraging safety results were maintained through 12 months of follow-up. read-out top-line ILUVIEN is an injectable, sustained-release micro-insert that provides three years of treatment of diabetic macular edema from a single injection. ILUVIEN is based on the same technology as the Durasert three-year uveitis insert, and delivers the same steroid, FA, although it is injected using an inserter with a larger diameter needle. ILUVIEN was developed in collaboration with, and is licensed to and sold by, Alimera Sciences, Inc. (“Alimera”). The Company is entitled to a share of the net profits (as defined) from Alimera’s sales of ILUVIEN on a quarter-by-quarter, country-by-country The Company’s FDA-approved non-erodible co-developed The Company’s development programs are focused primarily on developing sustained release drug products using its proven Durasert technology platform to deliver small molecule drugs to treat uveitis, wet and dry age-related The Company has financed its operations primarily from sales of equity securities and the receipt of license fees, milestone payments, research and development funding and royalty income from its collaboration partners. The Company has a history of operating losses and, to date, has not had significant recurring cash inflows from revenue. The Company believes that its cash, cash equivalents and marketable securities of $17.5 million at December 31, 2016, together with expected cash inflows under existing collaboration agreements, will enable the Company to maintain its current and planned operations (including its two Durasert three-year uveitis Phase 3 clinical trials) through approximately the first quarter of fiscal 2018. This estimate excludes any potential receipts under the Alimera agreement. In order to alleviate these conditions and extend the Company’s ability to fund operations beyond the first quarter of fiscal 2018, management’s plans include reducing or deferring operating expenses and accessing equity financing from the sale of its common stock through its at-the-market New accounting pronouncements are issued periodically by the Financial Accounting Standards Board (“FASB”) and are adopted by the Company as of the specified effective dates. Unless otherwise disclosed below, the Company believes that recently issued and adopted pronouncements will not have a material impact on the Company’s financial position, results of operations and cash flows or do not apply to the Company’s operations. In May 2014, the FASB issued Accounting Standards Update No. 2014-09, Revenue from Contracts with Customers 2014-09”), 2015-14, 2014-09 2014-09 In August 2014, the FASB issued ASU 2014-15, Presentation of Financial Statements – Going Concern 2014-15 In February 2016, the FASB issued ASU No. 2016-02, Leases right-of-use 2016-02 In March 2016, the FASB issued ASU 2016-09, Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting 2016-09 tax-related 2016-09 2016-09 |
License and Collaboration Agree
License and Collaboration Agreements | 6 Months Ended |
Dec. 31, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
License and Collaboration Agreements | 2. License and Collaboration Agreements Alimera Under the collaboration agreement with Alimera, as amended in March 2008 (the “Alimera Agreement”), the Company licensed to Alimera the rights to develop, market and sell certain product candidates, including ILUVIEN, and Alimera assumed all financial responsibility for the development of licensed products. In addition, the Company is entitled to receive 20% of any net profits (as defined) on sales of each licensed product (including ILUVIEN) by Alimera, measured on a quarter-by-quarter country-by-country non-royalty Because the Company has no remaining performance obligations under the Alimera Agreement, all amounts received from Alimera are generally recognized as revenue upon receipt or at such earlier date, if applicable, on which any such amounts are both fixed and determinable and reasonably assured of collectability. In instances when payments are received and subject to a contingency, revenue is deferred until such contingency is resolved. See Note 10 regarding net profit share receipts subject to arbitration proceedings. Revenue under the Alimera Agreement totaled $14,000 and $28,000 for the three months ended December 31, 2016 and 2015, respectively, and $34,000 and $191,000 for the six months ended December 31, 2016 and 2015, respectively. In addition to patent fee reimbursements in both periods, the Company earned $157,000 of non-royalty Pfizer In June 2011, the Company and Pfizer, Inc. (“Pfizer”) entered into an Amended and Restated Collaborative Research and License Agreement (the “Restated Pfizer Agreement”) to focus solely on the development of a sustained-release bioerodible micro-insert injected into the subconjunctiva designed to deliver latanoprost for human ophthalmic disease or conditions other than uveitis (the “Latanoprost Product”). Pfizer made an upfront payment of $2.3 million and the Company agreed to provide Pfizer options under various circumstances for an exclusive, worldwide license to develop and commercialize the Latanoprost Product. The estimated selling price of the combined deliverables under the Restated Pfizer Agreement of $6.7 million has been partially recognized to date as collaborative research and development revenue over the estimated performance period using the proportional performance method with costs associated with developing the Latanoprost Product reflected in operating expenses in the period in which they have been incurred. No collaborative research and development revenue was recorded during each of the three and six month periods ended December 31, 2015. On October 25, 2016, the Company notified Pfizer that it had discontinued development of the Latanoprost Product, which provided Pfizer a 60-day Pfizer owned approximately 5.4% of the Company’s outstanding common stock at December 31, 2016. Bausch & Lomb Pursuant to a licensing and development agreement, as amended, Bausch & Lomb has a worldwide exclusive license to make and sell Retisert in return for royalties based on sales. Royalty income totaled $269,000 and $384,000 for the three months ended December 31, 2016 and 2015, respectively, and $512,000 and $670,000 for the six months ended December 31, 2016 and 2015, respectively. Accounts receivable from Bausch & Lomb totaled $269,000 at December 31, 2016 and $288,000 at June 30, 2016. OncoSil Medical The Company entered into an exclusive, worldwide royalty-bearing license agreement in December 2012, amended and restated in March 2013, with OncoSil Medical UK Limited (f/k/a Enigma Therapeutics Limited), a wholly owned subsidiary of OncoSil Medical Ltd (“OncoSil”) for the development of BrachySil, the Company’s BioSilicon product candidate for the treatment of pancreatic and other types of cancer. The Company received an upfront fee of $100,000 and is entitled to 8% sales-based royalties, 20% of sublicense consideration and milestone payments based on aggregate product sales. OncoSil is obligated to pay an annual license maintenance fee of $100,000 by the end of each calendar year, the most recent of which was received in December 2016. For each calendar year commencing with 2014, the Company is entitled to receive reimbursement of any patent maintenance costs, sales-based royalties and sub-licensee sales-based royalties earned, but only to the extent such amounts, in the aggregate, exceed the $100,000 annual license maintenance fee. The Company has no consequential performance obligations under the OncoSil license agreement and, accordingly, any amounts to which the Company is entitled under the agreement are recognized as revenue on the earlier of receipt or when collectability is reasonably assured. Revenue related to the OncoSil agreement totaled $100,000 for the three and six month periods ended December 31, 2016 and 2015, respectively. As of December 31, 2016, no deferred revenue was recorded for this agreement. Evaluation Agreements The Company from time to time enters into funded agreements to evaluate the potential use of its technology systems for sustained release of third party drug candidates in the treatment of various diseases. Consideration received is generally recognized as revenue over the term of the feasibility study agreement. Revenue recognition for consideration, if any, related to a license option right is assessed based on the terms of any such future license agreement or is otherwise recognized at the completion of the evaluation agreement. Revenues under evaluation agreements totaled $3,000 and $9,000 for the three-months ended December 31, 2016 and 2015, respectively, and $11,000 and $17,000 for the six months ended December 31, 2016 and 2015, respectively. |
Intangible Assets
Intangible Assets | 6 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | 3. Intangible Assets The reconciliation of intangible assets for the six months ended December 31, 2016 and for the year ended June 30, 2016 was as follows (in thousands): Six Months Ended December 31, 2016 Year Ended June 30, 2016 Patented technologies Gross carrying amount at beginning of period $ 36,196 $ 39,710 Foreign currency translation adjustments (1,591 ) (3,514 ) Gross carrying amount at end of period 34,605 36,196 Accumulated amortization at beginning of period (35,094 ) (37,785 ) Amortization expense (363 ) (756 ) Foreign currency translation adjustments 1,570 3,447 Accumulated amortization at end of period (33,887 ) (35,094 ) Net book value at end of period $ 718 $ 1,102 The Company amortizes its intangible assets with finite lives on a straight-line basis over their respective estimated useful lives. Amortization of intangible assets totaled $180,000 and $190,000 for the three months ended December 31, 2016 and 2015, respectively and $363,000 and $382,000 for the six months ended December 31, 2016 and 2015, respectively. The carrying value of intangible assets at December 31, 2016 of $718,000 (approximately $529,000 attributable to the Durasert technology and $189,000 attributable to the Tethadur technology) is expected to be amortized on a straight-line basis over the remaining estimated useful life of one year. |
Marketable Securities
Marketable Securities | 6 Months Ended |
Dec. 31, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
Marketable Securities | 4. Marketable Securities The amortized cost, unrealized loss and fair value of the Company’s available-for-sale December 31, 2016 Amortized Cost Unrealized Loss Fair Value Corporate bonds $ 1,556 $ (1 ) $ 1,555 Commercial paper 4,292 — 4,292 Total marketable securities $ 5,848 $ (1 ) $ 5,847 June 30, 2016 Amortized Cost Unrealized Loss Fair Value Corporate bonds $ 5,999 $ (2 ) $ 5,997 Commercial paper 7,682 — 7,682 Total marketable securities $ 13,681 $ (2 ) $ 13,679 During the six months ended December 31, 2016, $5.1 million of marketable securities were purchased and $12.9 million of such securities matured. At December 31, 2016, the marketable securities had maturities ranging from 10 days to 4.3 months, with a weighted average maturity of 2.1 months. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 5. Fair Value Measurements The Company accounts for certain assets and liabilities at fair value. The hierarchy below lists three levels of fair value based on the extent to which inputs used in measuring fair value are observable in the market. The Company categorizes each of its fair value measurements in one of these three levels based on the lowest level input that is significant to the fair value measurement in its entirety. These levels are: • Level 1 – Inputs are quoted prices (unadjusted) in active markets that are accessible at the measurement date for identical assets and liabilities. • Level 2 – Inputs are directly or indirectly observable in the marketplace, such as quoted prices for similar assets or liabilities in active markets or quoted prices for identical assets or liabilities with insufficient volume or infrequent transaction (less active markets). • Level 3 – Inputs are unobservable estimates that are supported by little or no market activity and require the Company to develop its own assumptions about how market participants would price the assets or liabilities. Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash, cash equivalents and marketable securities. At December 31, 2016, substantially all of the Company’s interest-bearing cash equivalent balances were concentrated in one U.S. Government money market fund that has investments consisting primarily of U.S. Government Agency debt, U.S. Treasury Repurchase Agreements and U.S. Government Agency Repurchase Agreements. At June 30, 2016, substantially all of the Company’s interest-bearing cash equivalent balances were concentrated in one institutional money market fund that had investments consisting primarily of certificates of deposit, commercial paper, time deposits, U.S. government agencies, treasury bills and treasury repurchase agreements. These deposits may be redeemed upon demand and, therefore, generally have minimal risk. The Company’s cash equivalents and marketable securities are classified within Level 1 or Level 2 on the basis of valuations using quoted market prices or alternative pricing sources and models utilizing market observable inputs, respectively. Certain of the Company’s corporate debt securities were valued based on quoted prices for the specific securities in an active market and were therefore classified as Level 1. The remaining marketable securities have been valued on the basis of valuations provided by third-party pricing services, as derived from such services’ pricing models. Inputs to the models may include, but are not limited to, reported trades, executable bid and ask prices, broker/dealer quotations, prices or yields of securities with similar characteristics, benchmark curves or information pertaining to the issuer, as well as industry and economic events. The pricing services may use a matrix approach, which considers information regarding securities with similar characteristics to determine the valuation for a security, and have been classified as Level 2. The following tables summarize the Company’s assets carried at fair value measured on a recurring basis at December 31, 2016 and June 30, 2016 by valuation hierarchy (in thousands): December 31, 2016 Total carrying value Quoted prices in active markets (Level 1) Significant other observable inputs (Level 2) Significant unobservable inputs (Level 3) Assets: Cash equivalents $ 10,315 $ 9,915 $ 400 $ — Marketable securities Corporate bonds 1,556 1,056 500 — Commercial paper 4,291 — 4,291 — $ 16,162 $ 10,971 $ 5,191 $ — June 30, 2016 Total carrying value Quoted prices in active markets (Level 1) Significant other observable inputs (Level 2) Significant unobservable inputs (Level 3) Assets: Cash equivalents $ 13,856 $ 12,957 $ 899 $ — Marketable securities Corporate bonds 5,997 4,596 1,401 — Commercial paper 7,682 — 7,682 — $ 27,535 $ 17,553 $ 9,982 $ — |
Accrued Expenses
Accrued Expenses | 6 Months Ended |
Dec. 31, 2016 | |
Payables and Accruals [Abstract] | |
Accrued Expenses | 6. Accrued Expenses Accrued expenses consisted of the following at December 31, 2016 and June 30, 2016 (in thousands): December 31, 2016 June 30, 2016 Clinical trial costs $ 1,618 $ 1,678 Personnel costs 1,327 1,314 Professional fees 679 535 Other 57 56 $ 3,681 $ 3,583 |
Restructuring
Restructuring | 6 Months Ended |
Dec. 31, 2016 | |
Restructuring and Related Activities [Abstract] | |
Restructuring | 7. Restructuring In July 2016, the Company announced its plan to consolidate all of its research and development activities in its U.S. facility. Following employee consultations under local U.K. law, the Company determined to close its U.K. research facility and terminated the employment of all of its U.K. employees. The U.K. facility lease, set to expire on August 31, 2016, was extended through November 30, 2016 to facilitate an orderly transition and the required restoration of the premises. A summary reconciliation of the restructuring costs is as follows (in thousands): Balance at June 30, 2016 Charged to Expense Payments Balance at December 31, 2016 Termination benefits $ 118 $ 273 $ (391 ) $ — Facility closure 40 73 (73 ) 40 Other 29 126 (155 ) — $ 187 $ 472 $ (619 ) $ 40 The Company recorded approximately $472,000 of restructuring costs during the six months ended December 31, 2016. These costs consisted of (i) $273,000 of additional employee severance for discretionary termination benefits upon notification of the affected employees in accordance with ASC 420, Exit or Disposal Cost Obligations In addition, for the six months ended December 31, 2016, the Company recorded $99,000 of non-cash non-vested The Company does not expect to incur any additional restructuring charges. The Company expects that substantially all of the restructuring costs associated with the plan of consolidation will be paid by March 31, 2017. |
Stockholders' Equity
Stockholders' Equity | 6 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
Stockholders' Equity | 8. Stockholders’ Equity In December 2013, the Company entered into an at-the-market In February 2017, the Company entered into a new ATM program pursuant to which, under its Form S-3 12-month Warrants to Purchase Common Shares During the six months ended December 31, 2016, a total of 623,605 warrants to purchase common shares were outstanding and exercisable at a price of $2.50. At December 31, 2016, the remaining term of these warrants was approximately 7 months. During the six months ended December 31, 2015, a total of 1,176,105 warrants to purchase common shares were outstanding and exercisable at a weighted-average price of $3.67. Of these warrants, 552,500 with an exercise price of $5.00 expired in January 2016. 2016 Long Term Incentive Plan On December 12, 2016 the Company’s shareholders approved the adoption of the 2016 Incentive Plan, which was approved by the Board of Directors on October 3, 2016 and subsequently amended by the Compensation Committee of the Board of Directors on February 3, 2017 to change the name of the plan to the 2016 Long Term Incentive Plan (the “2016 Plan”). The 2016 Plan provides for the issuance of stock options and other awards to employees and directors of, and consultants and advisors to, the Company. The 2016 Plan provides for the issuance of (i) up to 3,000,000 shares of common stock reserved for issuance under the 2016 Plan; plus (ii) 489,241 shares of common stock that were previously available for grant under the pSivida Corp. 2008 Incentive Plan, as amended (the “2008 Plan”); plus (iii) 6,257,891 shares of common stock that would otherwise have become available for grant under the 2008 Plan after the date on which the Board of Directors adopted the 2016 Plan (the “Adoption Date”) as a result of the termination or forfeiture of awards under the 2008 Plan. Through December 31, 2016, no equity awards have been made under the 2016 Plan. At December 31, 2016, a total of 3,489,241 were available for grant under the 2016 Plan. 2008 Plan The 2008 Plan provides for the issuance of stock options and other stock awards to directors, employees and consultants. As of December 12, 2016, which was the effective date of the 2016 Plan, there were 336,741 shares available for grant of future awards, which were carried over to the 2016 Plan. Effective as of such date, the Compensation Committee terminated the 2008 Plan in all respects, other than with respect to previously-granted awards, and no additional stock options and other stock awards will be issued under the 2008 Plan. The following table provides a reconciliation of stock option activity under the 2008 Plan for the six months ended December 31, 2016: Number of Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life Aggregate Intrinsic Value (in years) (in thousands) Outstanding at July 1, 2016 4,981,421 $ 3.60 Granted 1,535,300 3.24 Exercised (4,080 ) 2.14 Forfeited (454,750 ) 4.04 Outstanding at December 31, 2016 6,057,891 $ 3.47 4.83 $ 174 Outstanding at December 31, 2016 – vested or unvested and expected to vest 5,933,185 $ 3.47 4.74 $ 174 Exercisable at December 31, 2016 4,178,657 $ 3.49 2.86 $ 174 During the six months ended December 31, 2016, the Company granted 1,405,300 options to employees with ratable annual vesting over 4 years, 90,000 options to non-executive 1-year non-executive 10-year Option life (in years) 5.50 - 6.25 Stock volatility 70% - 72% Risk-free interest rate 1.23% - 2.08% Expected dividends 0% Inducement Option Grant In connection with the September 15, 2016 hire of the Company’s President and CEO, the Company granted, as an inducement award, 850,000 options to purchase common stock with ratable vesting over 4 years, an exercise price of $3.63 and a 10-year Restricted Stock Units During the six months ended December 31, 2016, the Company issued 700,000 market-based Restricted Stock Units (“market-based RSUs”) to two employees, which included 500,000 as an inducement grant to the Company’s President and CEO, and 200,000 issued under the 2008 Plan. The market-based RSUs vest based upon a relative percentile rank of the 3-year Grant date stock price $1.91 - $3.63 Stock volatility 50% - 60% Risk-free interest rate 0.87% - 0.98% Expected dividends 0% The weighted-average grant date fair value of the market-based RSUs was $1.35 per share. Stock-Based Compensation Expense The Company’s statements of comprehensive loss included total compensation expense from stock-based payment awards for the three and six months ended December 31, 2016 and 2015, as follows (in thousands): Three Months Ended December 31, Six Months Ended December 31, 2016 2015 2016 2015 Compensation expense included in: Research and development $ 300 $ 196 $ 536 $ 341 General and administrative 96 287 594 547 $ 396 $ 483 $ 1,130 $ 888 In connection with termination benefits provided to the Company’s former Chief Executive Officer, the vesting of certain non-vested non-vested non-vested In connection with termination benefits provided to the Company’s former Vice President, Corporate Affairs and General Counsel, the vesting of certain non-vested non-vested At December 31, 2016, there was approximately $4.2 million of unrecognized compensation expense related to unvested stock options under the 2008 Plan, the inducement stock option grant to the Company’s President and CEO and the market-based RSUs, which is expected to be recognized as expense over a weighted average period of approximately 2.2 years. |
Income Taxes
Income Taxes | 6 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 9. Income Taxes The Company recognizes deferred tax assets and liabilities for estimated future tax consequences of events that have been recognized in the financial statements or tax returns. Under this method, deferred tax assets and liabilities are determined based on the difference between the financial statement and tax basis of assets and liabilities using the enacted tax rates in effect for the year in which the differences are expected to reverse. A valuation allowance is established if, based on management’s review of both positive and negative evidence, it is more likely than not that all or a portion of the deferred tax assets will not be realized. Because of its historical losses from operations, the Company established a valuation allowance for the net deferred tax assets. The Company recorded an income tax benefit of $42,000 for the three months ended December 31, 2015, and $83,000 for the six months ended December 31, 2015. The tax benefits for the three and six months ended December 31, 2015 represented earned foreign research and development tax credits, which were not available to the Company in fiscal 2017. For the three and six months ended December 31, 2016 and 2015, the Company had no significant unrecognized tax benefits. At December 31, 2016 and June 30, 2016, the Company had no accrued penalties or interest related to uncertain tax positions. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 10. Commitments and Contingencies Operating Leases The Company leases approximately 13,650 square feet of combined office and laboratory space in Watertown, Massachusetts under a lease with a term from March 2014 through April 2019, with a five-year renewal option at market rates. The Company provided a cash-collateralized $150,000 irrevocable standby letter of credit as security for the Company’s obligations under the lease. In addition to base rent, the Company is obligated to pay its proportionate share of building operating expenses and real estate taxes in excess of base year amounts. In addition, the Company occupied approximately 2,200 square feet of laboratory and office space in Malvern, U.K. under a lease with a term that was to expire on August 31, 2016. The lease term was extended through November 2016 to facilitate an orderly transition of the closure of a substantial portion of the U.K. facility in connection with consolidation of the Company’s research and development activities in its U.S. laboratory facilities. The Company has entered into a new lease in Malvern for 420 square feet of office space under a 3-year Legal Proceedings In December 2014, the Company exercised its right under the Alimera Agreement to conduct an audit by an independent accounting firm of Alimera’s commercialization reporting for ILUVIEN for calendar 2014. In April 2016, the independent accounting firm issued its report, which concluded that Alimera under-reported net profits payable to the Company for 2014 by $136,000. In June 2016, Alimera remitted $354,000 to the Company, which consisted of the under-reported net profits plus interest and reimbursement of the audit costs of $204,000. In July 2016, Alimera filed a demand for arbitration with the American Arbitration Association (“AAA”) in Boston, Massachusetts to dispute the audit findings and requested a full refund of the $354,000 previously paid to the Company. The Company filed a motion to dismiss Alimera’s demand for arbitration on grounds that Alimera did not object to the independent accounting firm’s findings within the time period provided for in the Alimera Agreement and voluntarily paid the amounts due. The arbitrator denied the Company’s motion on December 12, 2016. Shortly thereafter, the parties agreed to a 60-day The Company is subject to various other routine legal proceedings and claims incidental to its business, which management believes will not have a material effect on the Company’s financial position, results of operations or cash flows. |
Net Loss per Share
Net Loss per Share | 6 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
Net Loss per Share | 11. Net Loss per Share Basic net loss per share is computed by dividing the net loss by the weighted average number of common shares outstanding during the period. For periods in which the Company reports net income, diluted net income per share is determined by adding to the basic weighted average number of common shares outstanding the total number of dilutive common equivalent shares using the treasury stock method, unless the effect is anti-dilutive. Potentially dilutive shares were not included in the calculation of diluted net loss per share for each of the three and six months ended December 31, 2016 and 2015 as their inclusion would be anti-dilutive. Potential common stock equivalents excluded from the calculation of diluted earnings per share because the effect would have been anti-dilutive were as follows: Three Months Ended December 31, Six Months Ended December 31, 2016 2015 2016 2015 Options outstanding 6,907,891 5,078,421 6,907,891 5,078,421 Warrants outstanding 623,605 1,176,105 623,605 1,176,105 RSUs outstanding 700,000 — 700,000 — 8,231,496 6,254,526 8,231,496 6,254,526 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 6 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Reconciliation of Intangible Assets | The reconciliation of intangible assets for the six months ended December 31, 2016 and for the year ended June 30, 2016 was as follows (in thousands): Six Months Ended December 31, 2016 Year Ended June 30, 2016 Patented technologies Gross carrying amount at beginning of period $ 36,196 $ 39,710 Foreign currency translation adjustments (1,591 ) (3,514 ) Gross carrying amount at end of period 34,605 36,196 Accumulated amortization at beginning of period (35,094 ) (37,785 ) Amortization expense (363 ) (756 ) Foreign currency translation adjustments 1,570 3,447 Accumulated amortization at end of period (33,887 ) (35,094 ) Net book value at end of period $ 718 $ 1,102 |
Marketable Securities (Tables)
Marketable Securities (Tables) | 6 Months Ended |
Dec. 31, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Amortized Cost, Unrealized Loss and Fair Value of Available-for-Sale Marketable Securities | The amortized cost, unrealized loss and fair value of the Company’s available-for-sale December 31, 2016 Amortized Cost Unrealized Loss Fair Value Corporate bonds $ 1,556 $ (1 ) $ 1,555 Commercial paper 4,292 — 4,292 Total marketable securities $ 5,848 $ (1 ) $ 5,847 June 30, 2016 Amortized Cost Unrealized Loss Fair Value Corporate bonds $ 5,999 $ (2 ) $ 5,997 Commercial paper 7,682 — 7,682 Total marketable securities $ 13,681 $ (2 ) $ 13,679 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Assets Carried at Fair Value Measured on Recurring Basis | The following tables summarize the Company’s assets carried at fair value measured on a recurring basis at December 31, 2016 and June 30, 2016 by valuation hierarchy (in thousands): December 31, 2016 Total carrying value Quoted prices in active markets (Level 1) Significant other observable inputs (Level 2) Significant unobservable inputs (Level 3) Assets: Cash equivalents $ 10,315 $ 9,915 $ 400 $ — Marketable securities Corporate bonds 1,556 1,056 500 — Commercial paper 4,291 — 4,291 — $ 16,162 $ 10,971 $ 5,191 $ — June 30, 2016 Total carrying value Quoted prices in active markets (Level 1) Significant other observable inputs (Level 2) Significant unobservable inputs (Level 3) Assets: Cash equivalents $ 13,856 $ 12,957 $ 899 $ — Marketable securities Corporate bonds 5,997 4,596 1,401 — Commercial paper 7,682 — 7,682 — $ 27,535 $ 17,553 $ 9,982 $ — |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 6 Months Ended |
Dec. 31, 2016 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Expenses | Accrued expenses consisted of the following at December 31, 2016 and June 30, 2016 (in thousands): December 31, 2016 June 30, 2016 Clinical trial costs $ 1,618 $ 1,678 Personnel costs 1,327 1,314 Professional fees 679 535 Other 57 56 $ 3,681 $ 3,583 |
Restructuring (Tables)
Restructuring (Tables) | 6 Months Ended |
Dec. 31, 2016 | |
Restructuring and Related Activities [Abstract] | |
Summary of Reconciliation of Restructuring Costs | A summary reconciliation of the restructuring costs is as follows (in thousands): Balance at June 30, 2016 Charged to Expense Payments Balance at December 31, 2016 Termination benefits $ 118 $ 273 $ (391 ) $ — Facility closure 40 73 (73 ) 40 Other 29 126 (155 ) — $ 187 $ 472 $ (619 ) $ 40 |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 6 Months Ended |
Dec. 31, 2016 | |
Key Assumptions Used to Apply Option Pricing Model for Options Awarded | The Company calculated the Black-Scholes value of options awarded under the 2008 Plan during the six months ended December 31, 2016 based on the following key assumptions: Option life (in years) 5.50 - 6.25 Stock volatility 70% - 72% Risk-free interest rate 1.23% - 2.08% Expected dividends 0% |
Compensation Expense from Stock-Based Payment Awards | The Company’s statements of comprehensive loss included total compensation expense from stock-based payment awards for the three and six months ended December 31, 2016 and 2015, as follows (in thousands): Three Months Ended December 31, Six Months Ended December 31, 2016 2015 2016 2015 Compensation expense included in: Research and development $ 300 $ 196 $ 536 $ 341 General and administrative 96 287 594 547 $ 396 $ 483 $ 1,130 $ 888 |
2008 Plan [Member] | |
Stock Option Activity Under Plan | The following table provides a reconciliation of stock option activity under the 2008 Plan for the six months ended December 31, 2016: Number of Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life Aggregate Intrinsic Value (in years) (in thousands) Outstanding at July 1, 2016 4,981,421 $ 3.60 Granted 1,535,300 3.24 Exercised (4,080 ) 2.14 Forfeited (454,750 ) 4.04 Outstanding at December 31, 2016 6,057,891 $ 3.47 4.83 $ 174 Outstanding at December 31, 2016 – vested or unvested and expected to vest 5,933,185 $ 3.47 4.74 $ 174 Exercisable at December 31, 2016 4,178,657 $ 3.49 2.86 $ 174 |
RSU [Member] | |
Key Assumptions Used to Apply Option Pricing Model for Options Awarded | The Company estimated the fair value of the market-based RSUs using a Monte Carlo valuation model on the respective dates of grant, using the following key assumptions: Grant date stock price $1.91 - $3.63 Stock volatility 50% - 60% Risk-free interest rate 0.87% - 0.98% Expected dividends 0% |
Net Loss per Share (Tables)
Net Loss per Share (Tables) | 6 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
Potentially Dilutive Securities Excluded from Computation of Diluted Weighted-Average Shares | Potential common stock equivalents excluded from the calculation of diluted earnings per share because the effect would have been anti-dilutive were as follows: Three Months Ended December 31, Six Months Ended December 31, 2016 2015 2016 2015 Options outstanding 6,907,891 5,078,421 6,907,891 5,078,421 Warrants outstanding 623,605 1,176,105 623,605 1,176,105 RSUs outstanding 700,000 — 700,000 — 8,231,496 6,254,526 8,231,496 6,254,526 |
Operations and Basis of Prese25
Operations and Basis of Presentation - Additional Information (Detail) $ in Millions | 6 Months Ended |
Dec. 31, 2016USD ($)Country | |
Operations [Line Items] | |
Cash equivalents and marketable securities | $ | $ 17.5 |
Europe [Member] | ILUVIEN [Member] | |
Operations [Line Items] | |
Number of other countries for which marketing approvals obtained for lead product | Country | 14 |
License and Collaboration Agr26
License and Collaboration Agreements - Additional Information (Detail) - USD ($) | Oct. 25, 2016 | Jun. 30, 2011 | Dec. 31, 2016 | Dec. 31, 2015 | Mar. 31, 2013 | Dec. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2016 |
Collaborative Agreements And Contracts [Line Items] | ||||||||
Collaborative research and development revenue | $ 5,702,000 | $ 142,000 | $ 5,736,000 | $ 322,000 | ||||
Royalty income | 269,000 | 384,000 | 512,000 | 670,000 | ||||
Accounts receivable | 457,000 | 457,000 | $ 488,000 | |||||
Pfizer Collaboration Agreement [Member] | ||||||||
Collaborative Agreements And Contracts [Line Items] | ||||||||
Collaborative research and development revenue | $ 5,600,000 | 0 | 5,600,000 | 0 | ||||
Upfront cash payment received under collaboration agreement | $ 2,300,000 | |||||||
Estimated selling price of the deliverables for revenue recognition | $ 6,700,000 | |||||||
Option period to acquire license | 60 days | |||||||
License option upfront payment upon exercise | $ 10,000,000 | |||||||
Percentage of outstanding share capital owned by Pfizer | 5.40% | 5.40% | ||||||
OncoSil Medical UK Limited [Member] | ||||||||
Collaborative Agreements And Contracts [Line Items] | ||||||||
Percentage of non-royalty consideration received from sublicense | 20.00% | |||||||
Collaborative research and development revenue | $ 100,000 | 100,000 | $ 100,000 | 100,000 | ||||
License agreement commencement date | 2012-12 | |||||||
Receipt of upfront license fee | $ 100,000 | |||||||
Royalty percentage earned from sales of product | 8.00% | |||||||
Payment of annual license maintenance fee | $ 100,000 | |||||||
Deferred revenue | 0 | 0 | ||||||
Feasibility Study Agreement [Member] | ||||||||
Collaborative Agreements And Contracts [Line Items] | ||||||||
Collaborative research and development revenue | 3,000 | 9,000 | 11,000 | 17,000 | ||||
Bausch and Lomb [Member] | ||||||||
Collaborative Agreements And Contracts [Line Items] | ||||||||
Royalty income | 269,000 | 384,000 | 512,000 | 670,000 | ||||
Accounts receivable | 269,000 | $ 269,000 | 288,000 | |||||
Alimera [Member] | ||||||||
Collaborative Agreements And Contracts [Line Items] | ||||||||
Percentage of company's share of net profits | 20.00% | |||||||
Pre-profitability net losses percentage | 20.00% | |||||||
Maximum percentage offset of current period net profits against previously incurred and unapplied pre-profitability quarterly net losses | 4.00% | |||||||
Percentage of net profit share after offset of previously incurred and unapplied pre-profitability net losses | 16.00% | |||||||
Percentage of royalties received from sublicense | 20.00% | |||||||
Percentage of non-royalty consideration received from sublicense | 33.00% | |||||||
Collaborative research and development revenue | 14,000 | $ 28,000 | $ 34,000 | 191,000 | ||||
Non-royalty consideration received from sublicense | $ 157,000 | |||||||
Deferred revenue | $ 136,000 | $ 136,000 | $ 136,000 |
Intangible Assets - Reconciliat
Intangible Assets - Reconciliation of Intangible Assets (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2016 | |
Finite-Lived Intangible Assets [Line Items] | |||||
Amortization expense | $ (180) | $ (190) | $ (363) | $ (382) | |
Net book value at end of period | 718 | 718 | $ 1,102 | ||
Patented Technologies [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Gross carrying amount at beginning of period | 36,196 | 39,710 | 39,710 | ||
Foreign currency translation adjustments | (1,591) | (3,514) | |||
Gross carrying amount at end of period | 34,605 | 34,605 | 36,196 | ||
Accumulated amortization at beginning of period | (35,094) | $ (37,785) | (37,785) | ||
Amortization expense | (363) | (756) | |||
Foreign currency translation adjustments | 1,570 | 3,447 | |||
Accumulated amortization at end of period | (33,887) | (33,887) | (35,094) | ||
Net book value at end of period | $ 718 | $ 718 | $ 1,102 |
Intangible Assets - Additional
Intangible Assets - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2016 | |
Finite-Lived Intangible Assets [Line Items] | |||||
Amortization expense | $ 180,000 | $ 190,000 | $ 363,000 | $ 382,000 | |
Intangible assets, net | 718,000 | $ 718,000 | $ 1,102,000 | ||
Remaining estimated useful life | 1 year | ||||
Durasert [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Intangible assets, net | 529,000 | $ 529,000 | |||
Tethadur [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Intangible assets, net | $ 189,000 | $ 189,000 |
Marketable Securities - Schedul
Marketable Securities - Schedule of Amortized Cost, Unrealized Loss and Fair Value of Available-for-Sale Marketable Securities (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Jun. 30, 2016 |
Schedule of Available-for-sale Securities [Line Items] | ||
Marketable securities, Amortized Cost | $ 5,848 | $ 13,681 |
Marketable securities, Unrealized Loss | (1) | (2) |
Marketable securities, Fair Value | 5,847 | 13,679 |
Corporate Bonds [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Marketable securities, Amortized Cost | 1,556 | 5,999 |
Marketable securities, Unrealized Loss | (1) | (2) |
Marketable securities, Fair Value | 1,555 | 5,997 |
Commercial Paper [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Marketable securities, Amortized Cost | 4,292 | 7,682 |
Marketable securities, Unrealized Loss | 0 | 0 |
Marketable securities, Fair Value | $ 4,292 | $ 7,682 |
Marketable Securities - Additio
Marketable Securities - Additional Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Schedule of Available-for-sale Securities [Line Items] | ||
Marketable securities purchased | $ 5,053 | $ 5,843 |
Marketable securities matured | $ 12,893 | $ 5,305 |
Weighted average maturity | 2 months 3 days | |
Minimum [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Marketable securities maturity period | 10 days | |
Maximum [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Marketable securities maturity period | 4 months 9 days |
Fair Value Measurements - Asset
Fair Value Measurements - Assets Carried at Fair Value Measured on Recurring Basis (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Jun. 30, 2016 |
Assets: | ||
Cash equivalents | $ 10,315 | $ 13,856 |
Marketable securities | 5,847 | 13,679 |
Cash equivalents and marketable securities | 16,162 | 27,535 |
Corporate Bonds [Member] | ||
Assets: | ||
Marketable securities | 1,556 | 5,997 |
Commercial Paper [Member] | ||
Assets: | ||
Marketable securities | 4,291 | 7,682 |
Quoted Prices in Active Markets (Level 1) [Member] | ||
Assets: | ||
Cash equivalents | 9,915 | 12,957 |
Cash equivalents and marketable securities | 10,971 | 17,553 |
Quoted Prices in Active Markets (Level 1) [Member] | Corporate Bonds [Member] | ||
Assets: | ||
Marketable securities | 1,056 | 4,596 |
Quoted Prices in Active Markets (Level 1) [Member] | Commercial Paper [Member] | ||
Assets: | ||
Marketable securities | 0 | 0 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Assets: | ||
Cash equivalents | 400 | 899 |
Cash equivalents and marketable securities | 5,191 | 9,982 |
Significant Other Observable Inputs (Level 2) [Member] | Corporate Bonds [Member] | ||
Assets: | ||
Marketable securities | 500 | 1,401 |
Significant Other Observable Inputs (Level 2) [Member] | Commercial Paper [Member] | ||
Assets: | ||
Marketable securities | 4,291 | 7,682 |
Significant Unobservable Inputs (Level 3) [Member] | ||
Assets: | ||
Cash equivalents | 0 | 0 |
Cash equivalents and marketable securities | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Corporate Bonds [Member] | ||
Assets: | ||
Marketable securities | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | Commercial Paper [Member] | ||
Assets: | ||
Marketable securities | $ 0 | $ 0 |
Accrued Expenses - Schedule of
Accrued Expenses - Schedule of Accrued Expenses (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Jun. 30, 2016 |
Payables and Accruals [Abstract] | ||
Clinical trial costs | $ 1,618 | $ 1,678 |
Personnel costs | 1,327 | 1,314 |
Professional fees | 679 | 535 |
Other | 57 | 56 |
Accrued expenses | $ 3,681 | $ 3,583 |
Restructuring - Additional Info
Restructuring - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | |
Restructuring Cost [Line Items] | ||||
Restructuring charges | $ 472,000 | |||
Non-cash stock-based compensation expense for modification of exercise period of vested stock options | $ 396,000 | $ 483,000 | $ 1,130,000 | $ 888,000 |
U.K. [Member] | ||||
Restructuring Cost [Line Items] | ||||
Extended lease term expiration date | Nov. 30, 2016 | |||
Restructuring charges | $ 472,000 | |||
Discretionary termination benefits | 273,000 | |||
Other restructuring costs | 199,000 | |||
Non-cash stock-based compensation expense for modification of exercise period of vested stock options | 99,000 | |||
Reduction of stock-based compensation to account for forfeitures of non-vested stock options | $ 133,000 |
Restructuring - Summary of Reco
Restructuring - Summary of Reconciliation of Restructuring Costs (Detail) $ in Thousands | 6 Months Ended |
Dec. 31, 2016USD ($) | |
Restructuring Cost and Reserve [Line Items] | |
Beginning Balance | $ 187 |
Charged to Expense | 472 |
Payments | (619) |
Ending Balance | 40 |
Termination Benefits [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Beginning Balance | 118 |
Charged to Expense | 273 |
Payments | (391) |
Ending Balance | 0 |
Facility Closure [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Beginning Balance | 40 |
Charged to Expense | 73 |
Payments | (73) |
Ending Balance | 40 |
Other [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Beginning Balance | 29 |
Charged to Expense | 126 |
Payments | (155) |
Ending Balance | $ 0 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Detail) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | |||
Jan. 31, 2016 | Dec. 31, 2013 | Dec. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 12, 2016 | |
Class of Stock [Line Items] | ||||||
Number of warrants | 623,605 | 623,605 | 1,176,105 | |||
Weighted Average Exercise Price | $ 2.50 | $ 2.50 | $ 3.67 | |||
Number of Warrants, Expired | 552,500 | |||||
Exercise price of expired warrants | $ 5 | |||||
Remaining contractual life of warrants | 7 months | |||||
Weighted-average fair value of market-based RSU, per share | $ 1.35 | $ 1.35 | ||||
Unrecognized compensation expense | $ 4,200,000 | $ 4,200,000 | ||||
Unrecognized compensation expense weighted average period | 2 years 2 months 12 days | |||||
Market-based RSUs[Member] | ||||||
Class of Stock [Line Items] | ||||||
Expected dividends | 0.00% | |||||
Restricted stock issued | 700,000 | |||||
At-the-Market Offering [Member] | ||||||
Class of Stock [Line Items] | ||||||
Common stock shares maximum aggregate offering price | $ 20,000,000 | |||||
Stock issuances, sales agent commission maximum percentage | 3.00% | 3.00% | ||||
Common stock issued | 0 | 0 | ||||
President and CEO [Member] | ||||||
Class of Stock [Line Items] | ||||||
Options granted with annual vesting | 850,000 | |||||
Vesting period of granted options | 4 years | |||||
Contractual life of option grants | 10 years | |||||
Weighted-average grant date fair value, per share | $ 0.84 | |||||
Exercise price of option | $ 3.63 | |||||
Expected life of option | 6 years 3 months | |||||
Stock volatility | 70.00% | |||||
Risk-free interest rate | 2.13% | |||||
Expected dividends | 0.00% | |||||
President and CEO [Member] | Market-based RSUs[Member] | ||||||
Class of Stock [Line Items] | ||||||
Restricted stock issued | 500,000 | |||||
2016 Long Term Incentive Plan [Member] | ||||||
Class of Stock [Line Items] | ||||||
Number of new shares reserved for issuance | 3,000,000 | 3,000,000 | ||||
Number of previously authorized shares reserved for issuance from prior plans | 489,241 | |||||
Maximum potential number of previously outstanding shares equity awards from prior plan which could become available for grant as a result of future expirations or forfeitures | 6,257,891 | 6,257,891 | ||||
Shares available for grant | 3,489,241 | 3,489,241 | ||||
2008 Plan [Member] | ||||||
Class of Stock [Line Items] | ||||||
Shares available for grant | 336,741 | |||||
Options granted with annual vesting | 1,535,300 | |||||
Contractual life of option grants | 10 years | |||||
Weighted-average grant date fair value, per share | $ 1.95 | |||||
Options vested during the period | 962,503 | |||||
Exercise price of option | $ 2.14 | |||||
Expected dividends | 0.00% | |||||
2008 Plan [Member] | Market-based RSUs[Member] | ||||||
Class of Stock [Line Items] | ||||||
Restricted stock issued | 200,000 | |||||
2008 Plan [Member] | Employees [Member] | ||||||
Class of Stock [Line Items] | ||||||
Options granted with annual vesting | 1,405,300 | |||||
Vesting period of granted options | 4 years | |||||
2008 Plan [Member] | Non-executive Directors [Member] | ||||||
Class of Stock [Line Items] | ||||||
Options granted with annual vesting | 90,000 | |||||
Vesting period of granted options | 1 year | |||||
2008 Plan [Member] | Newly Appointed Non-executive Director [Member] | ||||||
Class of Stock [Line Items] | ||||||
Options granted with annual vesting | 40,000 | |||||
Vesting period of granted options | 3 years | |||||
General and Administrative Expense [Member] | ||||||
Class of Stock [Line Items] | ||||||
Increase in stock-based compensation expense attributable to option modification to extend exercise period of vested stock options, net of non-vested option forfeitures | $ 274,000 | |||||
Decrease in stock-based compensation expense attributable to stock option forfeitures, net of option modification to extend exercise period of vested stock options | $ 117,000 | 117,000 | ||||
Research and Development Expense [Member] | U.K. [Member] | ||||||
Class of Stock [Line Items] | ||||||
Decrease in stock-based compensation expense attributable to stock option forfeitures, net of option modification to extend exercise period of vested stock options | $ 35,000 |
Stockholders' Equity - Stock Op
Stockholders' Equity - Stock Option Activity Under Plan (Detail) - 2008 Plan [Member] $ / shares in Units, $ in Thousands | 6 Months Ended |
Dec. 31, 2016USD ($)$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Options Outstanding, Beginning balance | shares | 4,981,421 |
Number of Options, Granted | shares | 1,535,300 |
Number of Options, Exercised | shares | (4,080) |
Number of Options Forfeited | shares | (454,750) |
Number of Options Outstanding, Ending balance | shares | 6,057,891 |
Number of Options, Outstanding at December 31, 2016 - vested or unvested and expected to vest | shares | 5,933,185 |
Number of Options, Exercisable at December 31, 2016 | shares | 4,178,657 |
Weighted Average Exercise Price Outstanding, beginning balance | $ / shares | $ 3.60 |
Weighted Average Exercise Price, Granted | $ / shares | 3.24 |
Weighted Average Exercise Price, Exercised | $ / shares | 2.14 |
Weighted Average Exercise Price,Forfeited | $ / shares | 4.04 |
Weighted Average Exercise Price Outstanding, ending balance | $ / shares | 3.47 |
Weighted Average Exercise Price, Outstanding at December 31, 2016 - vested or unvested and expected to vest | $ / shares | 3.47 |
Weighted Average Exercise Price, Exercisable at December 31, 2016 | $ / shares | $ 3.49 |
Weighted Average Remaining Contractual Life Outstanding, Ending balance | 4 years 9 months 29 days |
Weighted Average Remaining Contractual Life, Outstanding at December 31, 2016 - vested or unvested and expected to vest | 4 years 8 months 27 days |
Weighted Average Remaining Contractual Life, Exercisable at December 31, 2016 | 2 years 10 months 10 days |
Aggregate Intrinsic Value Outstanding, Ending balance | $ | $ 174 |
Aggregate Intrinsic Value, Outstanding at December 31, 2016 - vested or unvested and expected to vest | $ | 174 |
Aggregate Intrinsic Value, Exercisable at December 31, 2016 | $ | $ 174 |
Stockholders' Equity - Key Assu
Stockholders' Equity - Key Assumptions Used to Apply Option Pricing Model for Options Awarded (Detail) - 2008 Plan [Member] | 6 Months Ended |
Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock volatility, minimum | 70.00% |
Stock volatility, maximum | 72.00% |
Risk-free interest rate, minimum | 1.23% |
Risk-free interest rate, Maximum | 2.08% |
Expected dividends | 0.00% |
Minimum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Option life (in years) | 5 years 6 months |
Maximum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Option life (in years) | 6 years 3 months |
Stockholders' Equity - Key As38
Stockholders' Equity - Key Assumptions Used to Estimate Fair Value of Market-based RSU (Detail) - Market-based RSUs[Member] | 6 Months Ended |
Dec. 31, 2016$ / shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock volatility, minimum | 50.00% |
Stock volatility, maximum | 60.00% |
Risk-free interest rate, minimum | 0.87% |
Risk-free interest rate, Maximum | 0.98% |
Expected dividends | 0.00% |
Minimum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grant date stock price | $ 1.91 |
Maximum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grant date stock price | $ 3.63 |
Stockholders' Equity - Compensa
Stockholders' Equity - Compensation Expense from Stock-Based Payment Awards (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Stock-based compensation expense | $ 396 | $ 483 | $ 1,130 | $ 888 |
Research and Development Expense [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Stock-based compensation expense | 300 | 196 | 536 | 341 |
General and Administrative Expense [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||
Stock-based compensation expense | $ 96 | $ 287 | $ 594 | $ 547 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2016 | |
Income Tax Disclosure [Abstract] | |||||
Income tax benefit | $ 0 | $ 42,000 | $ 0 | $ 83,000 | |
Unrecognized tax benefits | 0 | $ 0 | 0 | $ 0 | |
Accrued penalties or interest related to uncertain tax positions | $ 0 | $ 0 | $ 0 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) | Dec. 01, 2016ft² | Apr. 30, 2016USD ($) | Jul. 31, 2016USD ($) | Jun. 30, 2016USD ($) | Dec. 31, 2016USD ($)ft² |
Commitments and Contingencies [Line Items] | |||||
Irrevocable standby letter of credit | $ 150,000 | ||||
Accrued expenses | $ 3,583,000 | 3,681,000 | |||
Alimera [Member] | |||||
Commitments and Contingencies [Line Items] | |||||
Under-reported net profit share for 2014 based on independent audit findings | $ 136,000 | ||||
Payment received based on audit findings and reimbursement of audit costs | 354,000 | ||||
Amount received for reimbursement of audit costs | 204,000 | ||||
Refund claim submitted to arbitration by Alimera | $ 354,000 | ||||
Receipt of under-reported net profits recorded as deferred revenue pending dispute resolution | 136,000 | 136,000 | |||
Accrued expenses | $ 218,000 | $ 218,000 | |||
Watertown [Member] | |||||
Commitments and Contingencies [Line Items] | |||||
Area of leased office and laboratory space | ft² | 13,650 | ||||
Lease term expiration date | Apr. 30, 2019 | ||||
Lease renewal option period | 5 years | ||||
Malvern, U.K. [Member] | |||||
Commitments and Contingencies [Line Items] | |||||
Area of leased office and laboratory space | ft² | 420 | 2,200 | |||
Lease term expiration date | Nov. 30, 2016 | ||||
Lease term period | 3 years | ||||
Lease termination, advance notice period | 30 days | ||||
Lease effective date | Dec. 1, 2016 |
Net Loss per Share - Potentiall
Net Loss per Share - Potentially Dilutive Securities Excluded from Computation of Diluted Weighted-Average Shares (Detail) - shares | 3 Months Ended | 6 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Anti-dilutive common stock equivalents outstanding excluded from diluted earnings per share calculation | 8,231,496 | 6,254,526 | 8,231,496 | 6,254,526 |
Options [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Anti-dilutive common stock equivalents outstanding excluded from diluted earnings per share calculation | 6,907,891 | 5,078,421 | 6,907,891 | 5,078,421 |
Warrants [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Anti-dilutive common stock equivalents outstanding excluded from diluted earnings per share calculation | 623,605 | 1,176,105 | 623,605 | 1,176,105 |
RSU [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Anti-dilutive common stock equivalents outstanding excluded from diluted earnings per share calculation | 700,000 | 0 | 700,000 | 0 |