Neurogene (NGNE) 10-K 12 Mar 18 2017 FY Annual report Financial data

Document and Entity Information

Document and Entity Information - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Mar. 09, 2018	Jun. 30, 2017
Document And Entity Information [Abstract]
Document Type	10-K
Amendment Flag	false
Document Period End Date	Dec. 31, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	FY
Trading Symbol	AQXP
Entity Registrant Name	AQUINOX PHARMACEUTICALS, INC
Entity Central Index Key	1,404,644
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	No
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		23,490,859
Entity Public Float			$ 54.6

Consolidated balance sheets

Consolidated balance sheets - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Current assets
Cash and cash equivalents (Note 3)	$ 52,032	$ 32,301
Short-term investments (Note 11)	56,053	70,758
Receivables, prepayments and deposits	740	426
Total current assets	108,825	103,485
Property and equipment, net (Note 4)	905	849
Long-term prepayments and deposits	599
Long-term investments (Note 11)		50,046
Total assets	110,329	154,380
Current liabilities
Accounts payable and other liabilities (Note 5)	10,956	9,519
Total current liabilities	10,956	9,519
Other liabilities (Note 6)	486	197
Total liabilities	11,442	9,716
Commitments and contingencies (Note 13)
Share capital:
Common stock	0
Preferred stock	0
Additional paid-in capital	297,459	293,111
Accumulated deficit	(198,502)	(148,278)
Accumulated other comprehensive loss	(70)	(169)
Total stockholders' equity	98,887	144,664
Total liabilities and stockholders' equity	$ 110,329	$ 154,380

Consolidated balance sheets (Pa

Consolidated balance sheets (Parenthetical) - $ / shares	Dec. 31, 2017	Dec. 31, 2016
Statement of Financial Position [Abstract]
Common stock, par value	$ 0.000001	$ 0.000001
Common stock, shares authorized	50,000,000	50,000,000
Common stock, shares issued	23,472,430	23,423,150
Common stock, shares outstanding	23,472,430	23,423,150
Preferred stock, par value	$ 0.000001	$ 0.000001
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0

Consolidated statements of oper

Consolidated statements of operations and comprehensive loss - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Operating expenses
Research and development	$ 36,267	$ 28,382	$ 15,799
General and administrative	14,852	9,263	5,541
Total operating expenses	51,119	37,645	21,340
Other income (expenses)
Interest expense	(4)	(1)
Other income (expenses) (Note 8)	940	644	(520)
Total Other income (expenses)	936	643	(520)
Net loss	$ (50,183)	$ (37,002)	$ (21,860)
Net loss per common stock - basic and diluted (Note 9)	$ (2.14)	$ (1.96)	$ (1.73)
Basic and diluted weighted average number of common stock outstanding (Note 9)	23,450,315	18,893,515	12,637,839
Comprehensive loss:
Net loss	$ (50,183)	$ (37,002)	$ (21,860)
Other comprehensive income (loss) - unrealized gain (loss) on available-for-sale securities	99	121	(286)
Comprehensive loss	$ (50,084)	$ (36,881)	$ (22,146)

Consolidated statements of cash

Consolidated statements of cash flows - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Operating activities
Net loss	$ (50,183)	$ (37,002)	$ (21,860)
Non-cash items and reclassifications:
Change in fair value of derivative liability (Note 8)		(81)	52
Stock-based compensation (Note 7(e))	3,839	1,966	1,506
Unrealized foreign exchange loss and others	709	185	580
Changes in operating assets and liabilities:
Receivable, prepayments and deposits	(905)	(109)	(96)
Accounts payable and other liabilities	1,822	4,815	(450)
Cash used in operating activities	(44,718)	(30,226)	(20,268)
Investing activities
Purchase of investments	(5,995)	(106,442)	(60,703)
Proceeds from maturity of investments	70,500	59,097	13,196
Purchase of property and equipment	(494)	(713)	(26)
Cash provided by (used in) investing activities	64,011	(48,058)	(47,533)
Financing activities
Proceeds from exercise of stock options	438	440	1,120
Payment on capital lease obligations	(15)	(4)
Public offering of common stock (Note 7(c))		75,368	98,038
Public offering costs (Note 7(c))		(4,692)	(6,210)
Cash provided by financing activities	423	71,112	92,948
Effect of exchange rate changes on cash and cash equivalents	15	(53)	(527)
Net change in cash and cash equivalents during the year	19,731	(7,225)	24,620
Cash and cash equivalents, beginning of year	32,301	39,526	14,906
Cash and cash equivalents, end of year	52,032	32,301	39,526
Supplemental disclosure of cash flow information:
Interest paid	4	1
Interest received	1,342	695	325
Non-cash investing and financing activities:
Accrued purchase of property & equipment	(77)	77
Accrued offering costs	$ (30)		35
Assets acquired through capital leases		65	$ 11
Exercise of warrants on a net settlement basis		$ 43

Consolidated statements of stoc

Consolidated statements of stockholders equity - USD ($) $ in Thousands	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Accumulated Deficit [Member]	Accumulated Other Comprehensive Loss [Member]
Beginning balance at Dec. 31, 2014	$ 36,147		$ 125,567	$ (89,416)	$ (4)
Beginning balance, shares at Dec. 31, 2014		10,695,108
Issuance of common stock, net share issuance costs	91,793		91,793
Issuance of common stock, net share issuance costs, shares		6,325,000
Options exercised	1,120		1,120
Options exercised, shares		191,878
Stock-based compensation	1,506		1,506
Other comprehensive income (loss)	(286)				(286)
Net loss	(21,860)			(21,860)
Ending balance at Dec. 31, 2015	108,420		219,986	(111,276)	(290)
Ending balance, shares at Dec. 31, 2015		17,211,986
Issuance of common stock, net share issuance costs	70,676		70,676
Issuance of common stock, net share issuance costs, shares		6,152,500
Options exercised	440		440
Options exercised, shares		55,663
Exercise of warrants	43		43
Exercise of warrants, shares		3,001
Stock-based compensation	1,966		1,966
Other comprehensive income (loss)	121				121
Net loss	(37,002)			(37,002)
Ending balance at Dec. 31, 2016	$ 144,664		293,111	(148,278)	(169)
Ending balance, shares at Dec. 31, 2016	23,423,150	23,423,150
Cumulative effect of adoption of new accounting standard (Note 2(p)) at Dec. 31, 2016			41	(41)
Beginning balance at Dec. 31, 2016	$ 144,664		293,152	(148,319)	(169)
Options exercised	$ 468		468
Options exercised, shares	49,280	49,280
Stock-based compensation	$ 3,839		3,839
Other comprehensive income (loss)	99				99
Net loss	(50,183)			(50,183)
Ending balance at Dec. 31, 2017	$ 98,887		$ 297,459	$ (198,502)	$ (70)
Ending balance, shares at Dec. 31, 2017	23,472,430	23,472,430

Consolidated statements of sto7

Consolidated statements of stockholders equity (Parenthetical) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Statement of Stockholders' Equity [Abstract]
Common stock share issuance costs	$ 4,692	$ 6,245

Nature of operations

Nature of operations	12 Months Ended
	Dec. 31, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Nature of operations	1. Nature of operations Aquinox Pharmaceuticals, Inc. and its subsidiary, Aquinox Pharmaceuticals (Canada) Inc., (consolidated, the “Company”) is a clinical stage pharmaceutical company developing novel therapeutics for chronic urological conditions marked by inflammation and pain. The Company is focused on leveraging its library of novel compounds that activate SHIP1 (SH2 containing inositol 5’ phosphatase 1) to develop therapeutics for application in inflammation, inflammatory pain, and blood cancers. Aquinox Pharmaceuticals, Inc. was originally incorporated under the name of Aquinox Pharmaceuticals (USA) Inc. on May 31, 2007 in the State of Delaware, United States. On January 27, 2014, Aquinox Pharmaceuticals (USA) Inc. changed its name to Aquinox Pharmaceuticals, Inc. (“Aquinox USA”). Aquinox Pharmaceuticals (Canada) Inc. (“AQXP Canada”) was originally incorporated under the name of 6175813 Canada Inc. on December 26, 2003 under the Canada Business Corporations Act. In May 2014, after a corporate restructuring, the name was changed to Aquinox Pharmaceuticals (Canada) Inc. The Company operates in Vancouver, British Columbia, Canada and San Bruno, California.

Basis of presentation and summa

Basis of presentation and summary of significant accounting policies	12 Months Ended
	Dec. 31, 2017
Accounting Policies [Abstract]
Basis of presentation and summary of significant accounting policies	2. Basis of presentation and summary of significant accounting policies (a) Basis of presentation The accompanying consolidated financial statements are presented in United States (“U.S.”) dollars and have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The financial results are presented on a consolidated basis. All intercompany transactions are eliminated on consolidation. (b) Capital requirements The Company operates in a capital intensive business. To finance its operations, the Company is likely to require additional capital. The Company may seek to raise funds through equity or debt financing. There is no assurance that financing will be available to the Company or at terms acceptable to the Company. Failure to obtain sufficient funds on acceptable terms can have a negative impact on the Company’s business, results of operations, financial condition, cash flows and future prospects. (c) Foreign currency translation and transactions The functional currency of the Company and its subsidiary is the U.S. dollar. Monetary assets and liabilities of the Company’s operations denominated in a currency other than the U.S. dollar are re-measured Non-monetary Income and expenses are translated at the exchange rates prevailing at each transaction date, with the exception of amortization which is translated at historical exchange rates. Exchange gains and losses on translation are included in the consolidated statements of operations and comprehensive loss. (d) Use of estimates and assumptions The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of expenses during the reporting period. Significant areas requiring management estimates include valuation of stock options, amortization and depreciation, accrual of expenses, valuation allowance for deferred income taxes, and contingencies. Actual results could differ from those estimates. (e) Cash and cash equivalents All highly liquid investments with maturities of three months or less at the date of acquisition are considered to be cash equivalents. (f) Short and long-term investments Short-term investments consist of bank term deposits and U.S. government securities with initial maturities of less than a year. Long-term investments consist of U.S. government securities with initial maturities of greater than a year. Short-term investments and long-term investments are both classified as available-for-sale (g) Property and equipment Property and equipment are recorded at cost and are amortized using the straight-line basis over a range of three to five years. Expenditures for improvements to the Company’s office spaces are capitalized and expenditures for maintenance and repairs are expensed as incurred. Tenant improvement allowances and rent holidays are included in deferred rent and recognized as a reduction in deferred rent over the term of the lease. Leasehold improvements are amortized over the lesser of useful life and term of the lease. The Company reviews the carrying value of property and equipment for impairment whenever events and circumstances indicate that the carrying value of an asset may not be recoverable from the estimated future cash flows expected to result from its use and eventual disposition. In cases where undiscounted expected future cash flows are less than the carrying value, an impairment loss is recognized equal to an amount by which the carrying value exceeds the fair value of assets. The factors considered by management in performing this assessment include current operating results, trends and prospects, the manner in which the property is used, and the effects of obsolescence, demand, competition, and other economic factors. Based on management’s assessment there were no indicators of impairment of property and equipment as at December 31, 2017 and 2016. (h) Clinical trial accruals As part of the process of preparing its consolidated financial statements, the Company is required to estimate expenses resulting from its obligations under contracts with vendors, consultants and clinical site agreements in connection with conducting clinical trials. The financial terms of these contracts are subject to negotiations which vary contract to contract and may result in payment flows that do not match the periods over which materials or services are provided to the Company under such contracts. The Company reflects the appropriate clinical trial expenses in the financial statements by matching those expenses with the period in which services and efforts are expended. The Company accounts for these expenses according to the progress of the trial as measured by patient progression and the timing of various aspects of the trial. During the course of a clinical trial, the Company adjusts the rate of clinical trial expense recognition if actual results differ from estimates. The Company prepares estimates of accrued expenses as of each balance sheet date in the financial statements based on facts and circumstances known at that time. Although the Company does not expect the estimates to be materially different from amounts actually incurred, the Company’s understanding of the status and timing of services performed relative to the actual status and timing of services performed may vary and may result in the Company reporting amounts that are too high or too low for any particular period. The Company’s clinical trial accruals are dependent upon the timely and accurate reporting of contract research organizations and other third-party vendors. (i) Taxes The Company accounts for income taxes using ASC 740, Income Taxes which is an asset and liability approach that requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been recognized in the Company’s consolidated financial statements or tax returns. In estimating future tax consequences, ASC 740 generally considers all expected future events other than enactments of and changes in the tax law or rates. The measurement of deferred tax assets is reduced, if necessary, by the extent of the valuation allowance. ASC 740 clarifies the criteria that must be met prior to recognition of the financial statement benefit of a position taken in a tax return. ASC 740 provides a benefit recognition model with a two-step “more-likely-than-not” Investment tax credits relating to scientific research and experimental development are accounted for as a reduction in operating expenses. To the extent there is reasonable assurance the credits will be realized, they are recorded in the period the related expenditure is made. If investment tax credit amounts subsequently received are less or more than originally recorded, the difference is treated as a change in estimate. (j) Research and development costs Research and development costs are charged to expense as incurred and include items such as: employee related expenses, including salaries and benefits, expenses incurred under agreements with contract research organizations and investigative sites that conduct clinical trials and preclinical studies, the cost of acquiring, developing and manufacturing clinical trial materials, facilities, and other expenses, which include direct and allocated expenses for rent and maintenance of facilities, and other supplies and costs associated with clinical trials, preclinical activities, and regulatory operations. Development costs are expensed in the period incurred unless management believes a development project meets generally accepted accounting criteria for deferral and amortization. No product development expenditures have been deferred to date. The Company records costs for certain development activities, such as clinical trials, based on management’s evaluation of the progress to completion of specific tasks using data such as patient enrollment, clinical site activations, or information provided to the Company by vendors on their actual costs incurred. Payments for these activities are based on the terms of the individual arrangements, which may differ from the pattern of costs incurred, and are reflected in the consolidated financial statements as prepaid or accrued expense. (k) Accounting for stock-based compensation The Company measures the cost of services received in exchange for an award of equity instruments based on the grant-date fair value of the award. The cost of such award will be recognized over the period during which services are provided in exchange for the award, generally the vesting period. All share-based payments to employees are recognized in the consolidated financial statements based upon their respective grant date fair values. The Company estimates the fair value of options granted using the Black-Scholes option pricing model. This approximation uses assumptions regarding a number of inputs that requires management to make significant estimates and judgments. Prior to the completion of the Company’s initial public offering (“IPO”) in March 2014, the Company’s common stock was not publicly traded. As a result, the expected volatility assumption is based on industry peer information due to insufficient trading history of the Company’s common stock. Additionally, because the Company has no significant history to calculate the expected term, the simplified method calculation is used. (l) Segment reporting The Company operates in one segment, the identification and development of therapeutics for chronic urological conditions marked by inflammation and pain. The Company has significant Canadian operations but its assets are mostly held in the United States, comprising primarily of cash and cash equivalents, short-term investments and long-term investments of $96,230 as of December 31, 2017 (December 31, 2016 - $149,796), with an immaterial amount of long-lived assets in Canada. (m) Net loss per common stock Basic net loss per common stock is computed by dividing loss by the weighted-average number of common stock outstanding during the period. Diluted net loss per common stock is determined using the weighted-average number of common stock outstanding during the period, adjusted for the dilutive effect of common stock equivalents, consisting of shares that might be issued upon exercise of common stock options and warrants. In periods where losses are reported, the weighted-average number of common stock outstanding excludes common stock equivalents because their inclusion would be anti-dilutive. (n) Fair value of financial instruments ASC 820, Fair Value Measurements Level 1 - Quoted prices in active markets for identical assets or liabilities. Level 2 - Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. (o) Concentration of credit risk Financial instruments, which potentially subject the Company to significant concentrations of credit risk, consist primarily of cash and cash equivalents, short-term investments and long-term investments. Cash, cash equivalents and investments are invested in accordance with the Company’s investment policy. The primary objective for the Company’s investment portfolio is the preservation of capital and maintenance of liquidity and includes guidelines on the quality of financial instruments and defines allowable investments that the Company believes minimizes the exposure to concentration of credit risk. (p) Recently issued and recently adopted accounting standards The Company adopted FASB ASU 2015-17 The Company adopted FASB ASU 2016-09 In January 2016, the FASB issued ASU 2016-01 825-10): 2016-01 In February 2016, the FASB issued ASU 2016-02 right-of-use 2016-02, 2016-02 2016-02 (q) Risks and uncertainties The Company is subject to numerous risks and uncertainties. These risks, among others, included the following: • the Company has no source of revenue, has an accumulated deficit of $198.5 million as of December 31, 2017, may never become profitable and may incur substantial and increasing net losses for the foreseeable future as it continues development of, seeks regulatory approvals for, and potentially begins to commercialize rosiptor, its lead product candidate, and any future product candidates; • the Company is likely to require additional capital to finance its operations which may not be available to it on acceptable terms, or at all; • the Company’s success is primarily dependent on the successful development, regulatory approval and commercialization of rosiptor, its lead product candidate, and any future product candidates; • SHIP1 has not been validated as a target for the treatment of any disease; • the Company is subject to regulatory approval processes that are lengthy, time consuming and inherently unpredictable; the Company may not be able to obtain approval for rosiptor or any future product candidates from the U.S. Food and Drug Administration, or FDA, or foreign regulatory authorities; • the Company’s intellectual property rights may be subject to claims by third parties and can be difficult and costly to protect; • the Company may not be able to recruit or retain key employees, including its senior management team; • the Company depends on the performance of third parties, including contract research organizations and third-party manufacturers; and • the Company faces competition from other pharmaceutical and biotechnology companies, academic institutions, governmental agencies, and public and private research institutions, among others.

Cash and cash equivalents

Cash and cash equivalents	12 Months Ended
	Dec. 31, 2017
Cash and Cash Equivalents [Abstract]
Cash and cash equivalents	3. Cash and cash equivalents (in thousands) DECEMBER 31, DECEMBER 31, Cash $ 12,583 $ 3,726 Cash equivalents 39,449 28,575 $ 52,032 $ 32,301

Property and equipment

Property and equipment	12 Months Ended
	Dec. 31, 2017
Property, Plant and Equipment [Abstract]
Property and equipment	4. Property and equipment DECEMBER 31, 2017 (in thousands) COST ACCUMULATED NET BOOK VALUE Leasehold improvements $ 715 $ 259 $ 456 Office furniture, equipment and systems 725 276 449 $ 1,440 $ 535 $ 905 DECEMBER 31, 2016 (in thousands) COST ACCUMULATED NET BOOK VALUE Leasehold improvements $ 490 $ 77 $ 413 Office furniture, equipment and systems 534 98 436 $ 1,024 $ 175 $ 849

Accounts payable and other liab

Accounts payable and other liabilities	12 Months Ended
	Dec. 31, 2017
Payables and Accruals [Abstract]
Accounts payable and other liabilities	5. Accounts payable and other liabilities (in thousands) DECEMBER 31, DECEMBER 31, Trade accounts payable $ 6,016 $ 6,860 Accrued clinical/preclinical expenses 2,667 1,381 Accrued compensation and vacation 1,553 1,024 Other liabilities 720 254 $ 10,956 $ 9,519

Other liabilities

Other liabilities	12 Months Ended
	Dec. 31, 2017
Other Liabilities Disclosure [Abstract]
Other liabilities	6. Other liabilities (in thousands) DECEMBER 31, 2017 DECEMBER 31, Capital lease obligations (a) $ 33 $ 47 Deferred rent liability 453 150 $ 486 $ 197 (a) Capital lease obligations The Company leases office equipment under capital leases with interest rates ranging from 6.94% to 8.56% per annum. At December 31, 2017, the future payments under the Company’s capital leases were as follows: (in thousands) AMOUNT 2018 $ 19 2019 19 2020 17 Total minimum lease payments 55 Less: amount representing interest (6 ) Present value of future minimum lease payments 49 Less: current portion (16 ) Capital lease obligations, net of current portion - December 31, 2017 $ 33 The net book value of the office equipment under capital leases as of December 31, 2017 and 2016 was $0.1 million and $0.1 million, respectively, with an immaterial amount related to accumulated depreciation.

Stockholders' equity

Stockholders' equity	12 Months Ended
	Dec. 31, 2017
Equity [Abstract]
Stockholders' equity	7. Stockholders’ equity (a) Common stock Aquinox USA is authorized to issue 50,000,000 shares of common stock with a par value of $0.000001 per share (December 31, 2016 – 50,000,000). As of December 31, 2017, total number of shares of common stock issued and outstanding was 23,472,430 (December 31, 2016 – 23,423,150). (b) Preferred stock Aquinox USA is authorized to issue 5,000,000 shares of preferred stock with a par value of $0.000001 per share (December 31, 2016 – 5,000,000). As of December 31, 2017 and December 31, 2016, no shares of preferred stock were issued or outstanding. (c) Public offerings On September 15, 2015, the Company completed an underwritten public offering of 6,325,000 shares of its common stock at a price to the public of $15.50 per share. The aggregate net proceeds received by the Company from the offering, net of underwriting discounts and commissions and offering costs of approximately $6.2 million, were $91.8 million. On September 23, 2016, the Company completed an underwritten public offering of 6,152,500 shares of its common stock at a price to the public of $12.25 per share. The aggregate net proceeds received by the Company from the offering, net of underwriting discounts and commissions and offering costs of approximately $4.7 million, were $70.7 million. (d) Stock option plan On January 27, 2014, the stockholders of Aquinox USA approved a 2014 Equity Incentive Plan (“2014 Plan”). The 2014 Plan became effective on the date of the prospectus for the IPO, March 6, 2014. The 2014 Plan is the successor to and continuation of the Joint Canadian Stock Option Plan (the “2006 Plan”). No further grants will be made under the 2006 Plan. The 2014 Plan provides for the grant of stock options, stock appreciation rights, restricted stock awards, restricted stock unit awards, performance stock awards, performance cash awards, and other forms of equity awards to employees, directors, and consultants. As of December 31, 2017, the maximum number of shares of common stock that may be issued under the 2014 Plan was 2,856,403. The number of shares of common stock reserved for issuance under the 2014 Plan will increase by the number of shares subject to stock options granted under the 2006 Plan that would have otherwise returned to the 2006 Plan, such as upon the expiration or termination of a stock award prior to vesting. As of December 31, 2017, there were 323,310 shares subject to stock options granted under the 2006 Plan. Additionally, the number of shares of common stock reserved for issuance under the 2014 Plan will automatically increase on January 1 of each year for a period of up to 10 years, beginning on January 1, 2015 and ending on and including January 1, 2024, by 4% of the total number of shares of capital stock outstanding on December 31 of the preceding calendar year, or a lesser number of shares determined by the board of directors. At December 31, 2017, the number of shares available to be granted under the 2014 Plan was 1,110,546 (December 31, 2016—913,720). Stock option transactions and the number of stock options outstanding are summarized below: NUMBER OF SHARES WEIGHTED WEIGHTED (IN YEARS) AGGREGATE Outstanding at December 31, 2016 1,378,352 $ 9.38 7.81 $9,829 Options granted 837,540 16.63 Options exercised (49,280 ) 9.10 Options forfeited (97,445 ) 12.29 Outstanding at December 31, 2017 2,069,167 $ 12.18 7.76 $3,187 Exercisable as of December 31, 2017 912,098 $ 9.52 6.35 $2,248 During the year ended December 31, 2017, the Company granted 756,540 stock options to employees and 81,000 stock options to non-employee thirty-six non-employee 10-year During the year ended December 31, 2017, 49,280 shares of common stock were issued upon exercise of options with an aggregate intrinsic value of $0.2 million. (e) Stock-based compensation The fair value of stock options granted is estimated using the Black-Scholes option pricing model with the following weighted average assumptions: YEARS ENDED 2017 2016 2015 Expected volatility 84 % 82 % 97 % Expected dividends 0 % 0 % 0 % Expected terms (years) 6.00 6.00 6.00 Risk free rate 1.90 % 1.24 % 1.48 % Weighted average grant-date fair value of stock options $ 11.85 $ 6.11 $ 8.91 Stock options are granted with exercise prices as determined by the Board of Directors at the date of grant. The expected term represents the period that the Company’s stock-based awards are expected to be outstanding. As prior to the completion of the IPO in March 2014, the Company was a private company, the Company does not have sufficient historical experience for determining the expected term of the stock option awards granted. The Company has based its expected term for awards issued to employees on the simplified method, which represents the average period from vesting to the expiration of the stock option. In addition, the Company does not have sufficient trading history for the Company’s common stock, and therefore, the expected stock price volatility for the Company’s common stock was estimated by taking the average historical price volatility for industry peers. The Company has never declared or paid any cash dividends to common stockholders and does not presently plan to pay cash dividends in the foreseeable future. Consequently, the Company used an expected dividend yield of zero. The risk-free interest rate was based on the yields of treasury securities with maturities similar to the expected term of the options for each option group. The Company amortizes the fair value of the stock options on a straight-line basis over the applicable requisite service periods of the awards, which is generally the vesting period. Stock-based compensation expense charged to operating expenses was $3.8 million, $2.0 million and $1.5 million for the years ended December 31, 2017, 2016 and 2015, respectively. Total unrecognized compensation cost for all stock-based compensation plans was $10.1 million and $4.6 million as of December 31, 2017 and December 31, 2016, respectively, which is expected to be recognized over a weighted-average period of 2.72 years (December 31, 2016 – 2.82 years).

Other income (expenses)

Other income (expenses)	12 Months Ended
	Dec. 31, 2017
Other Income and Expenses [Abstract]
Other income (expenses)	8. Other income (expenses) YEARS ENDED (in thousands) 2017 2016 2015 Change in fair value of derivative liability $ — $ 81 $ (52 ) Foreign exchange losses (19 ) (13 ) (476 ) Interest income 998 619 108 Miscellaneous expenses (39 ) (43 ) (100 ) $ 940 $ 644 $ (520 )

Net loss per common stock

Net loss per common stock	12 Months Ended
	Dec. 31, 2017
Earnings Per Share [Abstract]
Net loss per common stock	9. Net loss per common stock Basic and diluted net loss per common stock is computed by dividing net loss by the weighted average number of common stock outstanding. The Company excluded outstanding stock options and common stock warrants from the calculation of basic and diluted net loss per common stock as the effect would have been antidilutive for all periods presented. The following have been excluded from the computation of basic and diluted net loss per common stock as their effect would have been antidilutive: DECEMBER 31, DECEMBER 31, DECEMBER 31, Outstanding stock options 2,069,167 1,378,352 865,457 Common stock warrants — — 11,363 Total 2,069,167 1,378,352 876,820

Income taxes

Income taxes	12 Months Ended
	Dec. 31, 2017
Income Tax Disclosure [Abstract]
Income taxes	10. Income taxes Income tax recovery varies from the amounts that would be computed by applying the expected Canadian income tax rate (26%) and U.S. income tax rates (40.75%). The combined Canadian and U.S. income tax rates of 27.89% (2016 – 27.28%; 2015 –27.4%) was applied to loss before income taxes as shown in the following table: YEARS ENDED 2017 2016 2015 Computed taxes at combined Canadian and U.S. tax rates (27.9 )% (27.3 )% (27.4 )% Change in tax rate (3.6 ) — 0.1 Non-deductible 2.2 1.8 2.0 Research and development credits (0.9 ) (3.5 ) — Change in valuation allowance 25.4 28.4 25.3 Effect of the U.S. Tax Cuts and Jobs Act 4.6 — — Other 0.2 0.6 — Income tax recovery — — — On December 22, 2017, the U.S. passed into law H.R.1 (originally known as the “Tax Cuts and Jobs Act”), or the Act, which significantly overhaul the U.S. tax system. Significant changes to the Internal Revenue Code include a reduction in the U.S. federal corporate tax rate from 35% to 21%. The Company’s accounting for the provisions of the Act, based on the Company’s understanding of the Act and the latest guidance available, resulted in a $2.3 million reduction in its net deferred income tax assets as of December 31, 2017 to reflect the new statutory tax rate. This reduction to the net deferred income tax assets was fully offset by a corresponding reduction in the valuation allowance. (in thousands) YEARS ENDED DECEMBER 31, Net loss before taxes: 2017 2016 2015 Canada $ (43,758 ) $ (31,737 ) $ (18,382 ) U.S. (6,425 ) (5,265 ) (3,478 ) Total $ (50,183 ) $ (37,002 ) $ (21,860 ) Deferred income tax assets and liabilities result from the temporary differences between the amount of assets and liabilities recognized for financial statement and income tax purposes. The significant components of the deferred income tax assets are as follows: (in thousands) DECEMBER 31, DECEMBER 31, Canadian net operating losses $ 35,605 $ 24,049 U.S. net operating losses 3,749 3,889 Research and development deductions and credits 8,234 7,331 Other 1,810 1,389 Less: valuation allowance (49,398 ) (36,658 ) Net deferred income tax assets $ — $ — At December 31, 2017, the Company had Canadian net operating losses carried forward for tax purposes which were available to reduce taxable income of future years of approximately $131.9 million (December 31, 2016—approximately $92.5 million) expiring commencing in 2025 through 2037, and U.S. net operating losses carried forward for tax purposes which were available to reduce taxable income of future years of approximately $23.2 million (December 31, 2016—approximately $11.1 million). The Company also had unclaimed Canadian tax deductions with no expiry for scientific research and experimental development expenditures of approximately $16.8 million at December 31, 2017 (December 31, 2016–approximately $15.6 million). In addition, at December 31, 2017, the Company had approximately $4.5 million (December 31, 2016—approximately $4.0 million) of investment tax credits available to offset Canadian federal and provincial taxes payable expiring commencing in 2019 through 2036. Under ASC 740, the benefit of an uncertain tax position that is more likely than not of being sustained upon audit by the relevant taxing authority must be recognized at the largest amount that is more likely than not to be sustained. No portion of the benefit of an uncertain tax position may be recognized if the position has less than a 50% likelihood of being sustained. The Company currently does not have any unrecognized tax benefits of uncertain tax positions. The Company does not expect any significant increases to its unrecognized tax benefits within twelve months of the reporting date. The Company currently files income tax returns in the United States and Canada, the jurisdictions in which the Company believes that it is subject to tax. Further, while the statute of limitations in each jurisdiction where an income tax return has been filed generally limits the examination period, as a result of loss carry-forwards, the limitation period for examination generally does not expire until several years after the loss carry-forwards are utilized. Other than routine audits by tax authorities for tax credits and tax refunds that the Company has claimed, the Company is not aware of any other material income tax examination currently in progress by any taxing jurisdiction.

Financial instruments

Financial instruments	12 Months Ended
	Dec. 31, 2017
Investments, All Other Investments [Abstract]
Financial instruments	11. Financial instruments Securities classified as available for sale The Company’s short-term and long-term investments consist of available-for-sale (in thousands) December 31, 2017 Amortized cost Gross Gross Fair value Short-term investments: U.S. treasury securities $ 56,123 $ — $ (70 ) $ 56,053 Contractual maturities: Due within one year $ 56,123 $ 56,053 December 31, 2016 Amortized cost Gross Gross Fair value Short-term investments: U.S. treasury securities $ 70,819 $ — $ (61 ) $ 70,758 Long-term investments: U.S. treasury securities $ 50,155 $ — $ (109 ) $ 50,046 Contractual maturities: Due within one year $ 70,819 $ 70,758 Due after one year through two years 50,155 50,046 The aggregate estimated fair value of the Company’s investments with unrealized losses are as follows: Period of continuous unrealized loss (in thousands) 12 months or less Greater than 12 months Fair value Gross Fair value Gross December 31, 2017 U.S. treasury securities $ 15,983 $ (27 ) $ 40,070 $ (43 ) December 31, 2016 U.S. treasury securities $ 120,804 $ (170 ) N/A N/A Fair value of financial instruments The fair value of the Company’s financial instruments are determined according to a fair value hierarchy that prioritizes the inputs and assumptions used, and the valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The determination of a financial instrument’s level within the fair value hierarchy is based on an assessment of the lowest level of any input that is significant to the fair value measurement. The Company considers observable data to be market data which is readily available, regularly distributed or updated, reliable and verifiable, not proprietary, and provided by independent sources that are actively involved in the relevant market. The carrying amounts of certain of the Company’s financial instruments including cash, cash equivalents, receivables, accounts payable and other liabilities, approximate their fair values because of their nature and/or short maturities. The Company holds short and long-term investments that are classified as available-for-sale The following tables present the fair value of our financial instruments that are measured at fair value on a recurring basis: (in thousands) QUOTED (LEVEL 1) OTHER (LEVEL 2) SIGNIFICANT UN-OBSERVABLE (LEVEL 3) TOTAL BALANCES – December 31, 2017 Short-term investments – U.S. treasury securities $ 56,053 $ — $ — $ 56,053 $ 56,053 $ — $ — $ 56,053 BALANCES – December 31, 2016 Short-term investments – U.S. treasury securities $ 70,758 $ — $ — $ 70,758 Long-term investments – U.S. treasury securities 50,046 — — 50,046 $ 120,804 $ — $ — $ 120,804 Level 1 instruments, which include investments that are valued based on quoted market prices in active markets, consisted of U.S. treasury securities. Level 2 instruments include investments for which all significant inputs are observable. The Company had no Level 2 investments at December 31, 2017 and December 31, 2016. Level 3 instruments include investments for which significant inputs to the fair value of the assets or liabilities are unobservable and are supported by little or no market activity. The Company had no Level 3 investments at December 31, 2017 and December 31, 2016. There were no transfers between Levels 1, 2, and 3 during the years ended December 31, 2017 and December 31, 2016. At December 31, 2017, the Company had short-term investments consisting of available-for-sale

License and patent agreements

License and patent agreements	12 Months Ended
	Dec. 31, 2017
Text Block [Abstract]
License and patent agreements	12. License and patent agreements The Company has an agreement with Biolipox AB of Sweden for patent rights relating exclusively or principally to a specific class of compounds, which include rosiptor. The terms of the agreement required the Company to pay CAD $50,000 immediately, CAD $250,000 in shares of common stock upon the first submission to the FDA of an Investigational New Drug (IND) for a compound from the acquired class of compounds, and CAD $3.0 million upon the advancement of one of the compounds from the acquired class of compounds into a Phase 3 clinical trial. Certain other milestone payments, totaling CAD $1.5 million are payable upon the first commercial sale following regulatory approval of the first compound in each of the United States, Europe and Japan. There are no royalty payments due under this agreement. In June 2014, the Company issued 19,762 shares of common stock to Biolipox AB as payment for achievement of the milestone related to the first submission to the FDA of an IND for rosiptor. A CAD $3.0 million milestone payment was paid in November 2016 as a result of the advancement of rosiptor into a Phase 3 clinical trial. The development of the technology is actively proceeding. The Company has an exclusive license agreement with the University of British Columbia for a worldwide license to certain small molecule compounds and pharmaceutical compositions that are modulators of SHIP1 activity. The agreement expires at the earlier of the last expiry of any patent obtained related to the technology or through enactment of one of the termination clauses stipulated in the agreement. The Company paid annual maintenance fees of CAD $1,000 related to this agreement for the year ended December 31, 2017 (December 31, 2016 – CAD $1,000) and have contingent payments totaling up to CAD $2.2 million for the first drug product and CAD $1.5 million for each subsequent drug product plus low single-digit royalties. The Company does not currently have any product candidates under development that are covered by the UBC license agreement. The Company has an agreement with the British Columbia Cancer Agency and StemCell Technologies, Inc. for the assignment to the Company of certain patents to technology relating to SHIP1 in return for low single-digit royalty payment on product sales or low double-digit percentage of sublicense revenue. The agreement is to expire at the later of 20 years from the effective date of the agreement or upon the expiration of the last patent covered by the license. The Company incurred maintenance fees of CAD $5,000 related to this agreement during the years ended December 31, 2017, 2016 and 2015. The Company does not currently have any product candidates under development that are covered by this agreement.

Commitments and contingencies

Commitments and contingencies	12 Months Ended
	Dec. 31, 2017
Commitments and Contingencies Disclosure [Abstract]
Commitments and contingencies	13. Commitments and contingencies As at December 31, 2017, the Company has obligations to make future minimum payments with respect to operating leases for office space. The Company has a lease agreement for approximately 10,946 square feet of office space in Canada which commenced on November 1, 2016 and expires October 31, 2021, with the option to extend the lease to October 31, 2026. On December 22, 2016, the Company signed a lease agreement for an additional 2,500 square feet of office space in Canada. The lease for the additional 2,500 square feet expires June 30, 2019. In addition to the basic rent, the Company is obligated to pay for taxes, operating costs, utilities, additional services and other amounts. These leases are denominated in Canadian dollars and are included in the table below at their U.S. dollar equivalent. The Company has a lease agreement for approximately 3,520 square feet of office space in San Bruno, California which commenced on January 1, 2016 and expires on December 31, 2018. On January 7, 2017, the Company signed a lease agreement to expand the San Bruno, California office space by an additional 6,019 square feet which is effective February 1, 2017 and expires December 31, 2018. In addition to the basic rent, the Company is obligated to pay for taxes, operating costs, utilities, additional services and other amounts. The lease agreements contain scheduled rent increases, rent holidays and tenant improvement allowance. As such, the Company has recorded a deferred rent liability of $0.5 million as at December 31, 2017. The minimum lease payments under the non-cancelable 2018 2019 2020 2021 Total Operating lease obligations $ 883 $ 403 $ 375 $ 312 $ 1,973 $883 $403 $375 $312 $1,973 During the years ended December 31, 2017, 2016 and 2015, the Company incurred operating lease costs of $0.7 million, $0.4 million and $0.2 million, respectively. In the ordinary course of business, the Company may be subject from time to time to various proceedings, lawsuits, disputes, or claims. Although the Company cannot predict with assurance the outcome of any litigation, it does not believe there are currently any such actions that, if resolved unfavorable, would have a material impact on the Company’s financial condition, results of operations or cash flows.

Basis of presentation and sum21

Basis of presentation and summary of significant accounting policies (Policies)	12 Months Ended
	Dec. 31, 2017
Accounting Policies [Abstract]
Basis of presentation	(a) Basis of presentation The accompanying consolidated financial statements are presented in United States (“U.S.”) dollars and have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”). The financial results are presented on a consolidated basis. All intercompany transactions are eliminated on consolidation.
Capital requirements	(b) Capital requirements The Company operates in a capital intensive business. To finance its operations, the Company is likely to require additional capital. The Company may seek to raise funds through equity or debt financing. There is no assurance that financing will be available to the Company or at terms acceptable to the Company. Failure to obtain sufficient funds on acceptable terms can have a negative impact on the Company’s business, results of operations, financial condition, cash flows and future prospects.
Foreign currency translation and transactions	(c) Foreign currency translation and transactions The functional currency of the Company and its subsidiary is the U.S. dollar. Monetary assets and liabilities of the Company’s operations denominated in a currency other than the U.S. dollar are re-measured Non-monetary Income and expenses are translated at the exchange rates prevailing at each transaction date, with the exception of amortization which is translated at historical exchange rates. Exchange gains and losses on translation are included in the consolidated statements of operations and comprehensive loss.
Use of estimates and assumptions	(d) Use of estimates and assumptions The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of expenses during the reporting period. Significant areas requiring management estimates include valuation of stock options, amortization and depreciation, accrual of expenses, valuation allowance for deferred income taxes, and contingencies. Actual results could differ from those estimates.
Cash and cash equivalents	(e) Cash and cash equivalents All highly liquid investments with maturities of three months or less at the date of acquisition are considered to be cash equivalents.
Short and long-term investments	(f) Short and long-term investments Short-term investments consist of bank term deposits and U.S. government securities with initial maturities of less than a year. Long-term investments consist of U.S. government securities with initial maturities of greater than a year. Short-term investments and long-term investments are both classified as available-for-sale
Property and equipment	(g) Property and equipment Property and equipment are recorded at cost and are amortized using the straight-line basis over a range of three to five years. Expenditures for improvements to the Company’s office spaces are capitalized and expenditures for maintenance and repairs are expensed as incurred. Tenant improvement allowances and rent holidays are included in deferred rent and recognized as a reduction in deferred rent over the term of the lease. Leasehold improvements are amortized over the lesser of useful life and term of the lease. The Company reviews the carrying value of property and equipment for impairment whenever events and circumstances indicate that the carrying value of an asset may not be recoverable from the estimated future cash flows expected to result from its use and eventual disposition. In cases where undiscounted expected future cash flows are less than the carrying value, an impairment loss is recognized equal to an amount by which the carrying value exceeds the fair value of assets. The factors considered by management in performing this assessment include current operating results, trends and prospects, the manner in which the property is used, and the effects of obsolescence, demand, competition, and other economic factors. Based on management’s assessment there were no indicators of impairment of property and equipment as at December 31, 2017 and 2016.
Clinical trial accruals	(h) Clinical trial accruals As part of the process of preparing its consolidated financial statements, the Company is required to estimate expenses resulting from its obligations under contracts with vendors, consultants and clinical site agreements in connection with conducting clinical trials. The financial terms of these contracts are subject to negotiations which vary contract to contract and may result in payment flows that do not match the periods over which materials or services are provided to the Company under such contracts. The Company reflects the appropriate clinical trial expenses in the financial statements by matching those expenses with the period in which services and efforts are expended. The Company accounts for these expenses according to the progress of the trial as measured by patient progression and the timing of various aspects of the trial. During the course of a clinical trial, the Company adjusts the rate of clinical trial expense recognition if actual results differ from estimates. The Company prepares estimates of accrued expenses as of each balance sheet date in the financial statements based on facts and circumstances known at that time. Although the Company does not expect the estimates to be materially different from amounts actually incurred, the Company’s understanding of the status and timing of services performed relative to the actual status and timing of services performed may vary and may result in the Company reporting amounts that are too high or too low for any particular period. The Company’s clinical trial accruals are dependent upon the timely and accurate reporting of contract research organizations and other third-party vendors.
Taxes	(i) Taxes The Company accounts for income taxes using ASC 740, Income Taxes which is an asset and liability approach that requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been recognized in the Company’s consolidated financial statements or tax returns. In estimating future tax consequences, ASC 740 generally considers all expected future events other than enactments of and changes in the tax law or rates. The measurement of deferred tax assets is reduced, if necessary, by the extent of the valuation allowance. ASC 740 clarifies the criteria that must be met prior to recognition of the financial statement benefit of a position taken in a tax return. ASC 740 provides a benefit recognition model with a two-step “more-likely-than-not” Investment tax credits relating to scientific research and experimental development are accounted for as a reduction in operating expenses. To the extent there is reasonable assurance the credits will be realized, they are recorded in the period the related expenditure is made. If investment tax credit amounts subsequently received are less or more than originally recorded, the difference is treated as a change in estimate.
Research and development costs	(j) Research and development costs Research and development costs are charged to expense as incurred and include items such as: employee related expenses, including salaries and benefits, expenses incurred under agreements with contract research organizations and investigative sites that conduct clinical trials and preclinical studies, the cost of acquiring, developing and manufacturing clinical trial materials, facilities, and other expenses, which include direct and allocated expenses for rent and maintenance of facilities, and other supplies and costs associated with clinical trials, preclinical activities, and regulatory operations. Development costs are expensed in the period incurred unless management believes a development project meets generally accepted accounting criteria for deferral and amortization. No product development expenditures have been deferred to date. The Company records costs for certain development activities, such as clinical trials, based on management’s evaluation of the progress to completion of specific tasks using data such as patient enrollment, clinical site activations, or information provided to the Company by vendors on their actual costs incurred. Payments for these activities are based on the terms of the individual arrangements, which may differ from the pattern of costs incurred, and are reflected in the consolidated financial statements as prepaid or accrued expense.
Accounting for stock-based compensation	(k) Accounting for stock-based compensation The Company measures the cost of services received in exchange for an award of equity instruments based on the grant-date fair value of the award. The cost of such award will be recognized over the period during which services are provided in exchange for the award, generally the vesting period. All share-based payments to employees are recognized in the consolidated financial statements based upon their respective grant date fair values. The Company estimates the fair value of options granted using the Black-Scholes option pricing model. This approximation uses assumptions regarding a number of inputs that requires management to make significant estimates and judgments. Prior to the completion of the Company’s initial public offering (“IPO”) in March 2014, the Company’s common stock was not publicly traded. As a result, the expected volatility assumption is based on industry peer information due to insufficient trading history of the Company’s common stock. Additionally, because the Company has no significant history to calculate the expected term, the simplified method calculation is used.
Segment reporting	(l) Segment reporting The Company operates in one segment, the identification and development of therapeutics for chronic urological conditions marked by inflammation and pain. The Company has significant Canadian operations but its assets are mostly held in the United States, comprising primarily of cash and cash equivalents, short-term investments and long-term investments of $96,230 as of December 31, 2017 (December 31, 2016 - $149,796), with an immaterial amount of long-lived assets in Canada.
Net loss per common stock	(m) Net loss per common stock Basic net loss per common stock is computed by dividing loss by the weighted-average number of common stock outstanding during the period. Diluted net loss per common stock is determined using the weighted-average number of common stock outstanding during the period, adjusted for the dilutive effect of common stock equivalents, consisting of shares that might be issued upon exercise of common stock options and warrants. In periods where losses are reported, the weighted-average number of common stock outstanding excludes common stock equivalents because their inclusion would be anti-dilutive.
Fair value of financial instruments	(n) Fair value of financial instruments ASC 820, Fair Value Measurements Level 1 - Quoted prices in active markets for identical assets or liabilities. Level 2 - Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.
Concentration of credit risk	(o) Concentration of credit risk Financial instruments, which potentially subject the Company to significant concentrations of credit risk, consist primarily of cash and cash equivalents, short-term investments and long-term investments. Cash, cash equivalents and investments are invested in accordance with the Company’s investment policy. The primary objective for the Company’s investment portfolio is the preservation of capital and maintenance of liquidity and includes guidelines on the quality of financial instruments and defines allowable investments that the Company believes minimizes the exposure to concentration of credit risk.
Recently issued and recently adopted accounting standards	(p) Recently issued and recently adopted accounting standards The Company adopted FASB ASU 2015-17 The Company adopted FASB ASU 2016-09 In January 2016, the FASB issued ASU 2016-01 825-10): 2016-01 In February 2016, the FASB issued ASU 2016-02 right-of-use 2016-02, 2016-02 2016-02
Risks and uncertainties	(q) Risks and uncertainties The Company is subject to numerous risks and uncertainties. These risks, among others, included the following: • the Company has no source of revenue, has an accumulated deficit of $198.5 million as of December 31, 2017, may never become profitable and may incur substantial and increasing net losses for the foreseeable future as it continues development of, seeks regulatory approvals for, and potentially begins to commercialize rosiptor, its lead product candidate, and any future product candidates; • the Company is likely to require additional capital to finance its operations which may not be available to it on acceptable terms, or at all; • the Company’s success is primarily dependent on the successful development, regulatory approval and commercialization of rosiptor, its lead product candidate, and any future product candidates; • SHIP1 has not been validated as a target for the treatment of any disease; • the Company is subject to regulatory approval processes that are lengthy, time consuming and inherently unpredictable; the Company may not be able to obtain approval for rosiptor or any future product candidates from the U.S. Food and Drug Administration, or FDA, or foreign regulatory authorities; • the Company’s intellectual property rights may be subject to claims by third parties and can be difficult and costly to protect; • the Company may not be able to recruit or retain key employees, including its senior management team; • the Company depends on the performance of third parties, including contract research organizations and third-party manufacturers; and • the Company faces competition from other pharmaceutical and biotechnology companies, academic institutions, governmental agencies, and public and private research institutions, among others.

Cash and cash equivalents (Tabl

Cash and cash equivalents (Tables)	12 Months Ended
	Dec. 31, 2017
Cash and Cash Equivalents [Abstract]
Schedule of Cash and Cash Equivalents	(in thousands) DECEMBER 31, DECEMBER 31, Cash $ 12,583 $ 3,726 Cash equivalents 39,449 28,575 $ 52,032 $ 32,301

Property and equipment (Tables)

Property and equipment (Tables)	12 Months Ended
	Dec. 31, 2017
Property, Plant and Equipment [Abstract]
Schedule of Property and Equipment	DECEMBER 31, 2017 (in thousands) COST ACCUMULATED NET BOOK VALUE Leasehold improvements $ 715 $ 259 $ 456 Office furniture, equipment and systems 725 276 449 $ 1,440 $ 535 $ 905 DECEMBER 31, 2016 (in thousands) COST ACCUMULATED NET BOOK VALUE Leasehold improvements $ 490 $ 77 $ 413 Office furniture, equipment and systems 534 98 436 $ 1,024 $ 175 $ 849

Accounts payable and other li24

Accounts payable and other liabilities (Tables)	12 Months Ended
	Dec. 31, 2017
Payables and Accruals [Abstract]
Schedule of Accounts Payable and Other Liabilities	(in thousands) DECEMBER 31, DECEMBER 31, Trade accounts payable $ 6,016 $ 6,860 Accrued clinical/preclinical expenses 2,667 1,381 Accrued compensation and vacation 1,553 1,024 Other liabilities 720 254 $ 10,956 $ 9,519

Other liabilities (Tables)

Other liabilities (Tables)	12 Months Ended
	Dec. 31, 2017
Other Liabilities Disclosure [Abstract]
Schedule of Other Liabilities	(in thousands) DECEMBER 31, 2017 DECEMBER 31, Capital lease obligations (a) $ 33 $ 47 Deferred rent liability 453 150 $ 486 $ 197
Summary of Future Payments under Capital Leases	At December 31, 2017, the future payments under the Company’s capital leases were as follows: (in thousands) AMOUNT 2018 $ 19 2019 19 2020 17 Total minimum lease payments 55 Less: amount representing interest (6 ) Present value of future minimum lease payments 49 Less: current portion (16 ) Capital lease obligations, net of current portion - December 31, 2017 $ 33

Stockholders' equity (Tables)

Stockholders' equity (Tables)	12 Months Ended
	Dec. 31, 2017
Equity [Abstract]
Schedule of Stock Option Transactions and Number of Stock Options Outstanding	Stock option transactions and the number of stock options outstanding are summarized below: NUMBER OF SHARES WEIGHTED WEIGHTED (IN YEARS) AGGREGATE Outstanding at December 31, 2016 1,378,352 $ 9.38 7.81 $9,829 Options granted 837,540 16.63 Options exercised (49,280 ) 9.10 Options forfeited (97,445 ) 12.29 Outstanding at December 31, 2017 2,069,167 $ 12.18 7.76 $3,187 Exercisable as of December 31, 2017 912,098 $ 9.52 6.35 $2,248
Schedule of Weighted Average Assumptions	The fair value of stock options granted is estimated using the Black-Scholes option pricing model with the following weighted average assumptions: YEARS ENDED 2017 2016 2015 Expected volatility 84 % 82 % 97 % Expected dividends 0 % 0 % 0 % Expected terms (years) 6.00 6.00 6.00 Risk free rate 1.90 % 1.24 % 1.48 % Weighted average grant-date fair value of stock options $ 11.85 $ 6.11 $ 8.91

Other income (expenses) (Tables

Other income (expenses) (Tables)	12 Months Ended
	Dec. 31, 2017
Other Income and Expenses [Abstract]
Schedule of Other Income (Expenses)	YEARS ENDED (in thousands) 2017 2016 2015 Change in fair value of derivative liability $ — $ 81 $ (52 ) Foreign exchange losses (19 ) (13 ) (476 ) Interest income 998 619 108 Miscellaneous expenses (39 ) (43 ) (100 ) $ 940 $ 644 $ (520 )

Net loss per common stock (Tabl

Net loss per common stock (Tables)	12 Months Ended
	Dec. 31, 2017
Earnings Per Share [Abstract]
Schedule of Antidilutive Securities Excluded from Computation of Basic and Diluted Net Loss Per Share	The following have been excluded from the computation of basic and diluted net loss per common stock as their effect would have been antidilutive: DECEMBER 31, DECEMBER 31, DECEMBER 31, Outstanding stock options 2,069,167 1,378,352 865,457 Common stock warrants — — 11,363 Total 2,069,167 1,378,352 876,820

Income taxes (Tables)

Income taxes (Tables)	12 Months Ended
	Dec. 31, 2017
Income Tax Disclosure [Abstract]
Schedule of Income tax Recovery	Income tax recovery varies from the amounts that would be computed by applying the expected Canadian income tax rate (26%) and U.S. income tax rates (40.75%). The combined Canadian and U.S. income tax rates of 27.89% (2016 – 27.28%; 2015 –27.4%) was applied to loss before income taxes as shown in the following table: YEARS ENDED 2017 2016 2015 Computed taxes at combined Canadian and U.S. tax rates (27.9 )% (27.3 )% (27.4 )% Change in tax rate (3.6 ) — 0.1 Non-deductible 2.2 1.8 2.0 Research and development credits (0.9 ) (3.5 ) — Change in valuation allowance 25.4 28.4 25.3 Effect of the U.S. Tax Cuts and Jobs Act 4.6 — — Other 0.2 0.6 — Income tax recovery — — —
Schedule of Net (Loss) Income Before Taxes	(in thousands) YEARS ENDED DECEMBER 31, Net loss before taxes: 2017 2016 2015 Canada $ (43,758 ) $ (31,737 ) $ (18,382 ) U.S. (6,425 ) (5,265 ) (3,478 ) Total $ (50,183 ) $ (37,002 ) $ (21,860 )
Components of Deferred Income Tax Assets	Deferred income tax assets and liabilities result from the temporary differences between the amount of assets and liabilities recognized for financial statement and income tax purposes. The significant components of the deferred income tax assets are as follows: (in thousands) DECEMBER 31, DECEMBER 31, Canadian net operating losses $ 35,605 $ 24,049 U.S. net operating losses 3,749 3,889 Research and development deductions and credits 8,234 7,331 Other 1,810 1,389 Less: valuation allowance (49,398 ) (36,658 ) Net deferred income tax assets $ — $ —

Financial instruments (Tables)

Financial instruments (Tables)	12 Months Ended
	Dec. 31, 2017
Investments, All Other Investments [Abstract]
Summary of Short-Term and Long-Term Investments of Available-for-Sale Securities	The Company’s short-term and long-term investments consist of available-for-sale (in thousands) December 31, 2017 Amortized cost Gross Gross Fair value Short-term investments: U.S. treasury securities $ 56,123 $ — $ (70 ) $ 56,053 Contractual maturities: Due within one year $ 56,123 $ 56,053 December 31, 2016 Amortized cost Gross Gross Fair value Short-term investments: U.S. treasury securities $ 70,819 $ — $ (61 ) $ 70,758 Long-term investments: U.S. treasury securities $ 50,155 $ — $ (109 ) $ 50,046 Contractual maturities: Due within one year $ 70,819 $ 70,758 Due after one year through two years 50,155 50,046
Aggregate Estimated Fair Value of Investments with Unrealized Losses	The aggregate estimated fair value of the Company’s investments with unrealized losses are as follows: Period of continuous unrealized loss (in thousands) 12 months or less Greater than 12 months Fair value Gross Fair value Gross December 31, 2017 U.S. treasury securities $ 15,983 $ (27 ) $ 40,070 $ (43 ) December 31, 2016 U.S. treasury securities $ 120,804 $ (170 ) N/A N/A
Fair Value of Financial Instruments Measured At Fair Value on a Recurring Basis	The following tables present the fair value of our financial instruments that are measured at fair value on a recurring basis: (in thousands) QUOTED (LEVEL 1) OTHER (LEVEL 2) SIGNIFICANT UN-OBSERVABLE (LEVEL 3) TOTAL BALANCES – December 31, 2017 Short-term investments – U.S. treasury securities $ 56,053 $ — $ — $ 56,053 $ 56,053 $ — $ — $ 56,053 BALANCES – December 31, 2016 Short-term investments – U.S. treasury securities $ 70,758 $ — $ — $ 70,758 Long-term investments – U.S. treasury securities 50,046 — — 50,046 $ 120,804 $ — $ — $ 120,804

Commitments and contingencies (

Commitments and contingencies (Tables)	12 Months Ended
	Dec. 31, 2017
Commitments and Contingencies Disclosure [Abstract]
Schedule of Minimum Lease Payments Under Non-cancelable Operating Leases	The minimum lease payments under the non-cancelable 2018 2019 2020 2021 Total Operating lease obligations $ 883 $ 403 $ 375 $ 312 $ 1,973 $883 $403 $375 $312 $1,973

Nature of operations - Addition

Nature of operations - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2017
Entity Information [Line Items]
Date of incorporation	May 31, 2007
Aquinox Pharmaceuticals (Canada) Inc. [Member]
Entity Information [Line Items]
Date of incorporation	Dec. 26, 2003

Basis of presentation and sum33

Basis of presentation and summary of significant accounting policies - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2017USD ($)Segment	Dec. 31, 2016USD ($)
Significant Accounting Policies [Line Items]
Operating segment | Segment	1
Total Assets	$ 110,329,000	$ 154,380,000
Accumulated deficit	198,502,000	148,278,000
United States [Member]
Significant Accounting Policies [Line Items]
Total Assets	$ 96,230	$ 149,796
Minimum [Member]
Significant Accounting Policies [Line Items]
Estimated useful lives of property and equipment	3 years
Maximum [Member]
Significant Accounting Policies [Line Items]
Estimated useful lives of property and equipment	5 years

Cash and cash equivalents - Sch

Cash and cash equivalents - Schedule of Cash and Cash Equivalents (Detail) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Cash and Cash Equivalents [Abstract]
Cash	$ 12,583	$ 3,726
Cash equivalents	39,449	28,575
Cash and cash equivalents	$ 52,032	$ 32,301	$ 39,526	$ 14,906

Property and Equipment - Schedu

Property and Equipment - Schedule of Property and Equipment (Detail) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Property, Plant and Equipment [Line Items]
Property and equipment, cost	$ 1,440	$ 1,024
Property and equipment, accumulated amortization	535	175
Property and equipment, net book Value	905	849
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, cost	715	490
Property and equipment, accumulated amortization	259	77
Property and equipment, net book Value	456	413
Office Furniture, Equipment and Systems [Member]
Property, Plant and Equipment [Line Items]
Property and equipment, cost	725	534
Property and equipment, accumulated amortization	276	98
Property and equipment, net book Value	$ 449	$ 436

Accounts Payable and Other Li36

Accounts Payable and Other Liabilities - Schedule of Accounts Payable and Other Liabilities (Detail) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Payables and Accruals [Abstract]
Trade accounts payable	$ 6,016	$ 6,860
Accrued clinical/preclinical expenses	2,667	1,381
Accrued compensation and vacation	1,553	1,024
Other liabilities	720	254
Accounts payable and other liabilities	$ 10,956	$ 9,519

Other Liabilities - Schedule of

Other Liabilities - Schedule of Other Liabilities (Detail) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Other Liabilities [Abstract]
Capital lease obligations	$ 33	$ 47
Deferred rent liability	453	150
Other liabilities	$ 486	$ 197

Other Liabilities - Additional

Other Liabilities - Additional Information (Detail) - Office Furniture, Equipment and Systems [Member] - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Other Liabilities [Line Items]
Net book value of capital leases	$ 0.1	$ 0.1
Minimum [Member]
Other Liabilities [Line Items]
Interest rate on capital leases	6.94%
Maximum [Member]
Other Liabilities [Line Items]
Interest rate on capital leases	8.56%

Other Liabilities - Summary of

Other Liabilities - Summary of Future Payments under Capital Leases (Detail) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Capital Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract]
2,018	$ 19
2,019	19
2,020	17
Total minimum lease payments	55
Less: amount representing interest	(6)
Present value of future minimum lease payments	49
Less: current portion	(16)
Capital lease obligations, net of current portion - December 31, 2017	33	$ 47
Present value of future minimum lease payments	$ 49

Stockholders' equity - Addition

Stockholders' equity - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands	Sep. 23, 2016	Sep. 15, 2015	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Equity Transactions And Share Based Compensation [Line Items]
Common stock, shares authorized			50,000,000	50,000,000
Common stock, par value			$ 0.000001	$ 0.000001
Common stock, shares issued			23,472,430	23,423,150
Common stock, shares outstanding			23,472,430	23,423,150
Preferred stock, shares authorized			5,000,000	5,000,000
Preferred stock, par value			$ 0.000001	$ 0.000001
Preferred stock, shares issued			0	0
Preferred stock, shares outstanding			0	0
Underwriting commissions and offering costs				$ 4,692	$ 6,245
Aggregate net proceeds from public offering, net of underwriting commissions				$ 70,676	91,793
Shares of common stock reserved for issuance description			Additionally, the number of shares of common stock reserved for issuance under the 2014 Plan will automatically increase on January 1 of each year for a period of up to 10 years, beginning on January 1, 2015 and ending on and including January 1, 2024, by 4% of the total number of shares of capital stock outstanding on December 31 of the preceding calendar year, or a lesser number of shares determined by the board of directors.
Shares of common stock reserved for issuance percentage			4.00%
Years of increase in shares of common stock reserved for issuance			10 years
Stock options outstanding			2,069,167	1,378,352
Stock options granted			837,540
Stock options granted, exercise price per share			$ 16.63
Common stock issued upon exercise of options			49,280
Common stock issued upon exercise of options aggregate intrinsic value			$ 200
Stock-based compensation expense			3,800	$ 2,000	$ 1,500
Unrecognized stock-based compensation cost			$ 10,100	$ 4,600
Unrecognized stock-based compensation cost, weighted-average period recognized			2 years 8 months 19 days	2 years 9 months 25 days
Common Stock [Member]
Equity Transactions And Share Based Compensation [Line Items]
Common stock, shares outstanding			23,472,430	23,423,150	17,211,986	10,695,108
Sale of shares under public offering	6,152,500	6,325,000		6,152,500	6,325,000
Sale of shares under public offering, price per share	$ 12.25	$ 15.50
Underwriting commissions and offering costs	$ 4,700	$ 6,200
Aggregate net proceeds from public offering, net of underwriting commissions	$ 70,700	$ 91,800
Common stock issued upon exercise of options			49,280	55,663	191,878
Employees [Member]
Equity Transactions And Share Based Compensation [Line Items]
Stock options granted			756,540
Employees [Member] | Minimum [Member]
Equity Transactions And Share Based Compensation [Line Items]
Stock options granted, exercise price per share			$ 10.91
Employees [Member] | Maximum [Member]
Equity Transactions And Share Based Compensation [Line Items]
Stock options granted, exercise price per share			$ 17.35
Employees [Member] | One Year after the Beginning of the Vesting Period [Member]
Equity Transactions And Share Based Compensation [Line Items]
Stock options, vesting percentage			25.00%
Employees [Member] | Condition (i) [Member]
Equity Transactions And Share Based Compensation [Line Items]
Stock options, vesting period			1 year
Employees [Member] | Condition (ii) [Member]
Equity Transactions And Share Based Compensation [Line Items]
Stock options, vesting period			3 years
Non-Employee Directors [Member]
Equity Transactions And Share Based Compensation [Line Items]
Stock options granted			81,000
Stock options granted, exercise price per share			$ 13.74
Non-Employee Directors [Member] | Condition (i) [Member]
Equity Transactions And Share Based Compensation [Line Items]
Stock options, vesting period			1 year
Non-Employee Directors [Member] | Condition (ii) [Member]
Equity Transactions And Share Based Compensation [Line Items]
Stock options, vesting period			3 years
Equity Incentive Plan 2014 [Member]
Equity Transactions And Share Based Compensation [Line Items]
Maximum number of shares of common stock that may be issued			2,856,403
Shares available to be granted			1,110,546	913,720
Stock options, expiration period			10 years
Equity Incentive Plan 2006 [Member]
Equity Transactions And Share Based Compensation [Line Items]
Stock options outstanding			323,310

Stockholders' equity - Schedule

Stockholders' equity - Schedule of Stock Option Transactions and Number of Stock Options Outstanding (Detail) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Options Outstanding, Number of Shares, beginning balance	1,378,352
Options granted, Number of Shares	837,540
Options exercised, Number of Shares	(49,280)
Options forfeited, Number of Shares	(97,445)
Options Outstanding, Number of Shares, ending balance	2,069,167	1,378,352
Exercisable, Number of Shares, ending balance	912,098
Options Outstanding, Weighted Average Exercise Price, beginning balance	$ 9.38
Options granted, Weighted Average Exercise Price	16.63
Options exercised, Weighted Average Exercise Price	9.10
Options forfeited, Weighted Average Exercise Price	12.29
Options Outstanding, Weighted Average Exercise Price, ending balance	12.18	$ 9.38
Exercisable, Weighted Average Exercise Price, ending balance	$ 9.52
Options Outstanding, Weighted Average Remaining Contractual Life (Years), ending balance	7 years 9 months 3 days	7 years 9 months 22 days
Exercisable, Weighted Average Remaining Contractual Life (Years), ending balance	6 years 4 months 6 days
Options Outstanding, Aggregate Intrinsic Value	$ 3,187	$ 9,829
Exercisable, Aggregate Intrinsic Value	$ 2,248

Stockholders' equity - Schedu42

Stockholders' equity - Schedule of Weighted Average Assumptions (Detail) - $ / shares	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Expected volatility	84.00%	82.00%	97.00%
Expected dividends	0.00%	0.00%	0.00%
Expected terms (years)	6 years	6 years	6 years
Risk free rate	1.90%	1.24%	1.48%
Weighted average grant-date fair value of stock options	$ 11.85	$ 6.11	$ 8.91

Other Income - Schedule of Othe

Other Income - Schedule of Other Income Net (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Other Income and Expenses [Abstract]
Change in fair value of derivative liability		$ 81	$ (52)
Foreign exchange losses	$ (19)	(13)	(476)
Interest income	998	619	108
Miscellaneous expenses	(39)	(43)	(100)
Other income (expenses)	$ 940	$ 644	$ (520)

Net loss per common stock - Sch

Net loss per common stock - Schedule of Antidilutive Securities Excluded from Computation of Basic and Diluted Net Loss Per Share (Detail) - shares	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from the computation of basic and diluted net loss per share	2,069,167	1,378,352	876,820
Outstanding Stock Options [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from the computation of basic and diluted net loss per share	2,069,167	1,378,352	865,457
Warrants to Purchase Common Stock [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Antidilutive securities excluded from the computation of basic and diluted net loss per share			11,363

Income Taxes - Additional Infor

Income Taxes - Additional Information (Detail) - USD ($)	12 Months Ended
	Dec. 31, 2018	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Income Taxes Disclosure [Line Items]
Expected Canadian income tax rate		26.00%
Expected U.S. income tax rates		40.75%
Combined Canadian and US expected income tax rates		(27.90%)	(27.30%)	(27.40%)
Reduction in net deferred tax assets as per Tax Cuts and Jobs Act		$ 2,300,000
Uncertain tax position		Less than a 50%
Unrecognized tax benefits		$ 0
Income tax examination, description		The Company currently files income tax returns in the United States and Canada, the jurisdictions in which the Company believes that it is subject to tax. Further, while the statute of limitations in each jurisdiction where an income tax return has been filed generally limits the examination period, as a result of loss carry-forwards, the limitation period for examination generally does not expire until several years after the loss carry-forwards are utilized. Other than routine audits by tax authorities for tax credits and tax refunds that the Company has claimed, the Company is not aware of any other material income tax examination currently in progress by any taxing jurisdiction.
Domestic Tax Authority [Member]
Income Taxes Disclosure [Line Items]
Net operating losses carried forward for tax purposes		$ 23,200,000	$ 11,100,000
Tax Cuts and Jobs Act [Member]
Income Taxes Disclosure [Line Items]
Federal corporate tax		35.00%
Tax Cuts and Jobs Act [Member] | Scenario, Plan [Member]
Income Taxes Disclosure [Line Items]
Federal corporate tax	21.00%
CANADA | Minimum [Member]
Income Taxes Disclosure [Line Items]
Operating loss carryforwards, expiration dates		2,025
CANADA | Maximum [Member]
Income Taxes Disclosure [Line Items]
Operating loss carryforwards, expiration dates		2,037
CANADA | Foreign Tax Authority [Member]
Income Taxes Disclosure [Line Items]
Net operating losses carried forward for tax purposes		$ 131,900,000	92,500,000
Tax deductions for scientific research and experimental development		16,800,000	15,600,000
CANADA | Foreign Tax Authority [Member] | Investment Tax Credit Carryforward [Member]
Income Taxes Disclosure [Line Items]
Investment tax credits available to offset Canadian federal		$ 4,500,000	$ 4,000,000
CANADA | Foreign Tax Authority [Member] | Investment Tax Credit Carryforward [Member] | Minimum [Member]
Income Taxes Disclosure [Line Items]
Investment tax credits available to offset Canadian taxes, expiration dates		2,019
CANADA | Foreign Tax Authority [Member] | Investment Tax Credit Carryforward [Member] | Maximum [Member]
Income Taxes Disclosure [Line Items]
Investment tax credits available to offset Canadian taxes, expiration dates		2,036

Income Taxes - Schedule of Inco

Income Taxes - Schedule of Income tax Recovery (Detail)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Income Tax Disclosure [Abstract]
Computed taxes at combined Canadian and U.S. tax rates	(27.90%)	(27.30%)	(27.40%)
Change in tax rate	(3.60%)		0.10%
Non-deductible expenses	2.20%	1.80%	2.00%
Research and development credits	(0.90%)	(3.50%)
Change in valuation allowance	25.40%	28.40%	25.30%
Effect of the U.S. Tax Cuts and Jobs Act	4.60%
Other	0.20%	0.60%
Income tax recovery	0.00%	0.00%	0.00%

Income Taxes - Schedule of Net

Income Taxes - Schedule of Net (Loss) Income Before Taxes (Detail) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Net loss before taxes:
Canada	$ (43,758)	$ (31,737)	$ (18,382)
U.S.	(6,425)	(5,265)	(3,478)
Total	$ (50,183)	$ (37,002)	$ (21,860)

Income Taxes - Components of De

Income Taxes - Components of Deferred Income Tax Assets (Detail) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Deferred Tax Assets, Net [Abstract]
Canadian net operating losses	$ 35,605	$ 24,049
U.S. net operating losses	3,749	3,889
Research and development deductions and credits	8,234	7,331
Other	1,810	1,389
Less: valuation allowance	(49,398)	(36,658)
Net deferred income tax assets	$ 0	$ 0

Financial instruments - Summary

Financial instruments - Summary of Short-Term and Long-Term Investments of Available-for-Sale Securities (Detail) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Schedule of Available-for-sale Securities [Line Items]
Due within one year, Amortized cost	$ 56,123	$ 70,819
Due within one year, Fair value	56,053	70,758
Due after one year through two years, Amortized cost		50,155
Due after one year through two years, Fair value		50,046
Short-term Investments [Member] | U.S. Treasury Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized cost	56,123	70,819
Gross unrealized gains	0	0
Gross unrealized losses	(70)	(61)
Fair value	$ 56,053	70,758
Long-term Investments [Member] | U.S. Treasury Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized cost		50,155
Gross unrealized gains		0
Gross unrealized losses		(109)
Fair value		$ 50,046

Financial instruments - Aggrega

Financial instruments - Aggregate Estimated Fair Value of Investments with Unrealized Losses (Detail) - U.S. Treasury Securities [Member] - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Schedule of Available-for-sale Securities [Line Items]
Period of continuous unrealized loss, 12 months or less, Fair value	$ 15,983	$ 120,804
Period of continuous unrealized loss, 12 months or less, Gross unrealized losses	(27)	$ (170)
Period of continuous unrealized loss, Greater than 12 months, Fair value	40,070
Period of continuous unrealized loss, Greater than 12 months, Gross unrealized losses	$ (43)

Financial instruments - Fair Va

Financial instruments - Fair Value of Financial Instruments Measured At Fair Value on a Recurring Basis (Detail) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	$ 56,053	$ 70,758
Long-term investments		50,046
Fair Value of Financial instruments	56,053	120,804
U.S. Treasury Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	56,053	70,758
Long-term investments		50,046
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value, Measurements, Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value of Financial instruments	56,053	120,804
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | Fair Value, Measurements, Recurring [Member] | U.S. Treasury Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	$ 56,053	70,758
Long-term investments		$ 50,046

Financial instruments - Additio

Financial instruments - Additional Information (Detail) - USD ($)	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value of Financial instruments	$ 56,053,000	$ 120,804,000
Short term investments consisting of available for sale securities	56,053,000	70,758,000
Net realized gains for securities	900,000	600,000	$ 100,000
Other Observable Inputs (Level 2) [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Fair Value of Financial instruments	$ 0	$ 0

License and Patent Agreements -

License and Patent Agreements - Additional Information (Detail)	1 Months Ended			12 Months Ended
	Nov. 30, 2016CAD ($)	Jun. 30, 2014shares	Aug. 31, 2009CAD ($)	Dec. 31, 2017USD ($)	Dec. 31, 2017CAD ($)	Dec. 31, 2016CAD ($)	Dec. 31, 2015CAD ($)
Biolipox AB [Member]
Patent Licenses [Line Items]
License fee			$ 50,000
Value of common stock shares issued for license fee			250,000
Payment of milestone	$ 3,000,000
Amount of development milestones payment			3,000,000
Additional milestone payment payable			$ 1,500,000
Royalty payments				$ 0
Biolipox AB [Member] | Goods and Services Exchanged for Equity Instrument [Member]
Patent Licenses [Line Items]
Number of common stock issued for payment for achievement of milestone | shares		19,762
SHIP1 Product Candidates [Member]
Patent Licenses [Line Items]
License agreement, maintenance fees					$ 1,000	$ 1,000
SHIP1 Product Candidates [Member] | First Drug Product [Member]
Patent Licenses [Line Items]
Amount of development milestones payment					2,200,000
SHIP1 Product Candidates [Member] | Subsequent Drug Product [Member]
Patent Licenses [Line Items]
Amount of development milestones payment					1,500,000
SHIP1 Enzyme and Screening of Product Candidates [Member]
Patent Licenses [Line Items]
License agreement, maintenance fees					$ 5,000	$ 5,000	$ 5,000
License agreement expiration period				20 years	20 years

Commitments and Contingencies -

Commitments and Contingencies - Additional Information (Detail) $ in Thousands	Jan. 07, 2017ft²	Dec. 22, 2016ft²	Nov. 01, 2016ft²	Jan. 01, 2016ft²	Dec. 31, 2017USD ($)	Dec. 31, 2016USD ($)	Dec. 31, 2015USD ($)
Contingencies And Commitments [Line Items]
Deferred rent liability | $					$ 453	$ 150
Operating lease costs | $					$ 700	$ 400	$ 200
CANADA
Contingencies And Commitments [Line Items]
Lease agreement, commencement date		Dec. 22, 2016	Nov. 1, 2016
Lease agreement, expiration date		Jun. 30, 2019	Oct. 31, 2021
Lease agreement extended period			Oct. 31, 2026
Square feet of office space leased | ft²		2,500	10,946
CALIFORNIA
Contingencies And Commitments [Line Items]
Lease agreement, commencement date	Feb. 1, 2017			Jan. 1, 2016
Lease agreement, expiration date	Dec. 31, 2018			Dec. 31, 2018
Square feet of office space leased | ft²	6,019			3,520

Commitments and contingencies55

Commitments and contingencies - Schedule of Minimum Lease Payments Under Non-cancelable Operating Leases (Detail) $ in Thousands	Dec. 31, 2017USD ($)
Commitments and Contingencies Disclosure [Abstract]
2,018	$ 883
2,019	403
2,020	375
2,021	312
Total	$ 1,973