Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Mar. 03, 2020 | Jun. 30, 2019 | |
Document and Entity Information | |||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2019 | ||
Entity Registrant Name | Milestone Pharmaceuticals Inc. | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | true | ||
Entity Ex Transition Period | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 217.5 | ||
Entity Common Stock, Shares Outstanding | 24,559,470 | ||
Entity Central Index Key | 0001408443 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Current assets | ||
Cash and cash equivalents | $ 119,818 | $ 85,947 |
Short-term investments | 29 | |
Research and development tax credits receivable | 578 | 290 |
Prepaid expenses | 1,845 | 1,398 |
Other receivables | 258 | 387 |
Total current assets | 122,499 | 88,051 |
Operating lease right-of-use assets (note 3) | 524 | |
Property and equipment (note 4) | 405 | 30 |
Total assets | 123,428 | 88,081 |
Current liabilities | ||
Accounts payable and accrued liabilities (note 5) | 7,997 | 4,477 |
Current portion of operating lease liabilities (note 3) | 330 | |
Income taxes payable | 56 | |
Total current liabilities | 8,327 | 4,533 |
Operating lease liabilities (note 3) | 184 | |
Total liabilities | 8,511 | 4,533 |
Convertible Preferred Shares (notes 1 and 6) | ||
Convertible preferred shares | 138,758 | |
Shareholders’ Equity (Deficit) (notes 1 and 7) | ||
Common shares, no par value, unlimited shares authorized, 24,505,748 shares issued and outstanding as of December 31, 2019, 596,787 shares issued and outstanding as of December 31, 2018 | 226,245 | 2,039 |
Additional paid-in capital | 3,805 | 2,655 |
Cumulative translation adjustment | (1,634) | (1,634) |
Accumulated deficit | (113,499) | (58,270) |
Total shareholders’ equity (deficit) | 114,917 | (55,210) |
Total liabilities, convertible preferred shares and shareholders’ equity (deficit) | $ 123,428 | $ 88,081 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Condensed Consolidated Balance Sheets | ||
Common shares, par value (in dollars per share) | $ 0 | $ 0 |
Common shares, Shares authorized (in shares) | Unlimited | Unlimited |
Common shares, Shares issued (in shares) | 24,505,748 | 596,787 |
Common shares, Shares outstanding (in shares) | 24,505,748 | 596,787 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Loss and Comprehensive Loss - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Operating expenses | ||
Research and development, net of tax credits (note 8) | $ 41,985 | $ 16,849 |
General and administrative | 7,004 | 3,052 |
Commercial | 8,892 | 3,921 |
Loss from operations | (57,881) | (23,822) |
Interest income, net of bank charges | 2,596 | 711 |
Loss and comprehensive loss before income taxes | (55,285) | (23,111) |
Income tax (recovery) expense (note 9) | (56) | 74 |
Net loss and comprehensive loss for the period | $ (55,229) | $ (23,185) |
Weighted average number of shares outstanding, basic and diluted (note 1) | 15,784,750 | 319,202 |
Net loss per share, basic and diluted (note 8) | $ 3.50 | $ 72.63 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Shareholders’ Equity (Deficit) and Convertible Preferred Shares - USD ($) $ in Thousands | Common shares | Additional paid-in capital | Cumulative translation adjustment | Accumulated deficit | Class A1 preferred shares | Class A2 preferred shares | Class B preferred shares | Class C preferred shares | Class D1 preferred shares | Class D2 preferred shares | Total |
Balance at the beginning of period at Dec. 31, 2017 | $ 1,228 | $ 2,372 | $ (1,634) | $ (35,085) | $ 25,985 | ||||||
Balance at the beginning of period (in shares) at Dec. 31, 2017 | 239,990 | ||||||||||
Temporary equity, balance at the beginning of period at Dec. 31, 2017 | $ 2,027 | $ 12,643 | $ 17,198 | $ 27,236 | |||||||
Temporary equity, balance at the beginning of period (in shares) at Dec. 31, 2017 | 372,211 | 2,443,914 | 2,830,907 | 3,786,878 | |||||||
Increase (Decrease) in Stockholders' Equity and Temporary Equity [Roll Forward] | |||||||||||
Net loss and comprehensive loss | (23,185) | (23,185) | |||||||||
Issuance of preferred shares, net of share issuance costs | $ 64,719 | $ 14,935 | |||||||||
Issuance of preferred shares, net of share issuance costs (in shares) | 6,893,236 | 1,223,656 | |||||||||
Exercise of stock options (note 7) | $ 811 | (350) | 461 | ||||||||
Exercise of stock options (note 7) (in shares) | 356,797 | ||||||||||
Share-based compensation (note 7) | 633 | 633 | |||||||||
Balance at the end of period at Dec. 31, 2018 | $ 2,039 | 2,655 | (1,634) | (58,270) | $ 83,548 | ||||||
Balance at the end of period (in shares) at Dec. 31, 2018 | 596,787 | 596,787 | |||||||||
Temporary equity, balance at the end of period at Dec. 31, 2018 | $ 2,027 | $ 12,643 | $ 17,198 | $ 27,236 | $ 64,719 | $ 14,935 | $ 138,758 | ||||
Temporary equity, balance at the end of period (in shares) at Dec. 31, 2018 | 372,211 | 2,443,914 | 2,830,907 | 3,786,878 | 6,893,236 | 1,223,656 | |||||
Increase (Decrease) in Stockholders' Equity and Temporary Equity [Roll Forward] | |||||||||||
Net loss and comprehensive loss | (55,229) | (55,229) | |||||||||
Exercise of stock options (note 7) | $ 85 | (41) | $ 44 | ||||||||
Exercise of stock options (note 7) (in shares) | 33,159 | 33,162 | |||||||||
Share-based compensation (note 7) | 1,191 | $ 1,191 | |||||||||
Initial public offering (note 7) | $ 85,363 | 85,363 | |||||||||
Initial public offering (note 7) (in shares) | 6,325,000 | ||||||||||
Preferred share conversion (note 7) | $ 138,758 | $ (2,027) | $ (12,643) | $ (17,198) | $ (27,236) | $ (64,719) | $ (14,935) | ||||
Preferred share conversion (note 7) (in shares) | 17,550,802 | (372,211) | (2,443,914) | (2,830,907) | (3,786,878) | (6,893,236) | (1,223,656) | ||||
Balance at the end of period at Dec. 31, 2019 | $ 226,245 | $ 3,805 | $ (1,634) | $ (113,499) | $ 114,917 | ||||||
Balance at the end of period (in shares) at Dec. 31, 2019 | 24,505,748 | 24,505,748 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Operating activities | ||
Net loss for the year | $ (55,229) | $ (23,185) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Amortization of property and equipment (note 4) | 38 | 10 |
Share-based compensation expense (note 7) | 1,191 | 633 |
Changes in operating assets and liabilities: | ||
Other receivables | 119 | (271) |
Research and development tax credits receivable | (288) | 137 |
Prepaid expenses | (447) | (1,298) |
Accounts payable and accrued liabilities | 3,520 | 2,876 |
Income taxes payable (receivable) | (56) | 52 |
Net cash used in operating activities | (51,152) | (21,046) |
Investing activities | ||
Acquisition of property and equipment | (413) | (5) |
Acquisition of short-term investments | (35,000) | (3,029) |
Redemption of short-term investments | 35,029 | 19,032 |
Net cash (used in) provided by investing activities | (384) | 15,998 |
Financing activities | ||
Net proceeds from issuance of common shares in Initial Public Offering (note 7) | 85,363 | |
Issuance of common shares on exercise of share options (note 7) | 44 | 461 |
Net cash provided by financing activities | 85,407 | 80,115 |
Net increase in cash and cash equivalents during the period | 33,871 | 75,067 |
Cash and cash equivalents – Beginning of year | 85,947 | 10,880 |
Cash and cash equivalents – End of year | $ 119,818 | 85,947 |
Class D1 preferred shares | ||
Financing activities | ||
Issuance of preferred shares | 64,719 | |
Class D2 preferred shares | ||
Financing activities | ||
Issuance of preferred shares | $ 14,935 |
Organization and nature of oper
Organization and nature of operations | 12 Months Ended |
Dec. 31, 2019 | |
Organization and nature of operations | |
Organization and nature of operations | 1 Organization and nature of operations Milestone Pharmaceuticals Inc. (Milestone or the Company) is a biopharmaceutical company incorporated under the Business Corporations Act of Québec. Milestone is focused on the development and commercialization of innovative cardiovascular medicines. Milestone’s lead product candidate, etripamil, is a novel, potent short‑acting calcium channel blocker that the Company designed and is developing as a rapid‑onset nasal spray to be self-administered by patients. The Company is developing etripamil to treat paroxysmal supraventricular tachycardia, atrial fibrillation, and other cardiovascular indications. Reverse Share Split On April 26, 2019, the Company’s Board of Directors approved an amendment to the Company’s articles of incorporation to effect a 1‑for‑5.3193 reverse share split of the Company’s common shares, convertible preferred shares and the share options of the Company. Accordingly, all common shares, convertible preferred shares, share options and per share amounts in the consolidated financial statements have been retroactively adjusted for all periods presented to give effect to the reverse share split. The reverse share split was effected on April 26, 2019. |
Summary of significant accounti
Summary of significant accounting policies | 12 Months Ended |
Dec. 31, 2019 | |
Summary of significant accounting policies | |
Summary of significant accounting policies | 2 Summary of significant accounting policies a) Basis of consolidation The consolidated financial statements include the accounts of the Company and Milestone Pharmaceuticals USA, Inc. Milestone Pharmaceuticals USA, Inc. began its operations on March 3, 2017. All intercompany transactions and balances have been eliminated. b) Basis of presentation and use of accounting estimates These consolidated financial statements of the Company have been presented in United States dollars (USD) and have been prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP), including the applicable rules and regulations of the Securities and Exchange Commission (SEC) regarding financial reporting. The preparation of consolidated financial statements in conformity with US GAAP requires the Company to make estimates and judgments that affect certain reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the year. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes are reasonable under the circumstances, to determine the carrying values of assets and liabilities that are not readily apparent from other sources. Significant estimates and judgments include, but are not limited to, research and development tax credits recoverable, research and development expenses, and share based compensation. Accordingly, actual results may differ from those estimates and such differences may be material. c) Segment information The Company manages its operations as a single operating segment for the purposes of assessing performance and making operating decisions while focusing on the development and commercialization of innovative cardiovascular medicines. d) Cash and cash equivalents Cash and cash equivalents consist of cash and highly liquid investments that are readily convertible into cash with original maturities of three months or less at acquisition date. e) Short term investments Short term investments are recorded at fair value and are comprised of guaranteed investment certificates with a maturity greater than 90 days but less than one year and, as such, are classified as current assets. f) Concentration of credit risk Financial instruments which potentially subject the Company to concentration of credit risk consist primarily of cash and cash equivalents and investment securities classified as held to maturity. The Company maintains deposits in federal financial institutions. Management believes that the Company is not exposed to significant credit risk due to the financial position of the depository institutions in which those deposits are held. Additionally, the Company has adopted an investment policy that includes guidelines relative to credit quality, diversification of maturities and liquidity. g) Currency Risk The Company is exposed to currency risk due to financial instruments denominated in foreign currencies. The Company is exposed to the Canadian dollar currency risk and does not enter into arrangements to hedge its currency risk exposure. h) Property and equipment Property and equipment is stated at historical cost less accumulated amortization. Expenditures for maintenance and repairs are recorded to expense as incurred. The Company reviews its property and equipment whenever events or changes in circumstances indicate that the carrying value of certain assets might not be recoverable and recognizes an impairment loss when it is probable that an asset’s realizable value is less than the carrying value. To date, no such impairment losses have been recorded. Amortization is calculated using the straight‑line method over the following estimated useful lives of the assets: Computer hardware and software 3 years Office equipment 5 years Furniture and fixtures 5 years Leasehold improvements 3 years i) Leases Effective January 1, 2019, the Company adopted ASC 842, Leases (ASC 842), using the required modified retrospective approach and utilizing the effective date as its date of initial application. As a result, prior periods are presented in accordance with the previous guidance in ASC 840, Leases (“ASC 840”). At the inception of an arrangement, the Company determines whether the arrangement is or contains a lease based on the unique facts and circumstances present in the arrangement. Leases with a term greater than one year are recognized on the balance sheet as right-of-use assets and short-term and long-term lease liabilities, as applicable. The Company does not have financing leases. Operating lease liabilities and their corresponding right-of-use assets are initially recorded based on the present value of lease payments over the expected remaining lease term. Certain adjustments to the right-of-use asset may be required for items such as incentives received. The interest rate implicit in lease contracts is typically not readily determinable. As a result, the Company utilizes its incremental borrowing rate to discount lease payments, which reflects the fixed rate at which the Company could borrow on a collateralized basis the amount of the lease payments in the same currency, for a similar term, in a similar economic environment. Prospectively, the Company will adjust the right-of-use assets for straight-line rent expense or any incentives received and remeasure the lease liability at the net present value using the same incremental borrowing rate that was in effect as of the lease commencement or transition date. The Company has elected not to recognize leases with an original term of one year or less on the balance sheet. The Company typically only includes an initial lease term in its assessment of a lease arrangement. Options to renew a lease are not included in the Company’s assessment unless there is reasonable certainty that the Company will renew. j) Share issuance costs Share issuance costs applicable to the issuance of equity instruments are recorded as a reduction of the financing equity proceeds. k) Research and development and investment tax credits Research and development costs are charged against income in the period of expenditure. The Company’s research and development costs consist primarily of salaries and fees paid to contract research organizations (CROs) and to contract manufacturing organizations (CMOs). Clinical trial expenses include direct costs associated with CROs, direct CMO costs for the formulation and packaging of clinical trial material, as well as investigator and patient related costs at sites at which the Company’s trials are being conducted. Direct costs associated with the Company’s CROs and CMOs are generally payable on a time and materials basis, or when milestones are achieved. The invoicing from clinical trial sites can lag several months. The Company records expenses for its clinical trial activities performed by third parties based upon estimates of the percentage of work completed of the total work over the life of the individual study in accordance with agreements established with CROs and clinical trial sites. The Company determines the estimates through discussions with internal clinical personnel, CROs and CMOs as to the progress or stage of completion of trials or services and the agreed upon fee to be paid for such services based on facts and circumstances known to the Company as of each consolidated balance sheet date. The actual costs and timing of clinical trials are highly uncertain, subject of risks and may change depending upon a number of factors, including the Company’s clinical development plan. If the actual timing of the performance of services of the level of effort varies from the estimate, the Company will adjust the accrual accordingly. The Company recognizes the benefit of Canadian research and development tax credits as a reduction of research and development costs for fully refundable investment tax credits and as a reduction of income taxes for investment tax credits that can only be claimed against income taxes payable when there is reasonable assurance that the claim will be recovered. l) Income taxes The provision for income taxes is computed using the liability method. Under this method, deferred tax assets and liabilities are determined based on differences between financial reporting and tax bases of assets and liabilities. Deferred tax assets and liabilities are measured using enacted tax rates and laws that will be in effect when the differences are expected to reverse. A valuation allowance is recorded to reduce the carrying amount of deferred income tax assets when it is more likely than not that these assets will not be realized. Tax benefits related to tax positions not deemed to meet the “more‑likely‑than‑not” threshold are not permitted to be recognized in the consolidated financial statements. m) Foreign currency translation and transactions The functional currency of the Company is the US dollar. Accordingly, transactions denominated in currencies other than the functional currency are measured and recorded in the functional currency at the exchange rate in effect on the date of the transactions. At each consolidated balance sheet date, monetary assets and liabilities denominated in currencies other than the functional currency are remeasured using the exchange rate in effect at that date. Non‑monetary assets and liabilities and revenue and expense items denominated in foreign currencies are translated into the functional currency using the exchange rate prevailing at the dates of the respective transactions. Any gains or losses arising on remeasurement are included in the consolidated statement of operations. n) Share based compensation The Company has a share based compensation plan which is described in detail in note 7 and records all share‑based payments, including grants of employee share options, at their fair values. The fair value of share options granted to employees and non‑employees is estimated at the date of grant using the Black‑Scholes option pricing model. The Company recognizes share based compensation expense over the requisite service period of the individual grants, which equals the vesting period, using the straight‑line method. Forfeitures, if any, are recorded as they occur. Any consideration paid by employees on exercising share options and the corresponding portion previously credited to contributed surplus are credited to share capital. The Black‑Scholes option pricing model used by the Company to calculate option values was developed to estimate fair value. The Company approved an employee share purchase plan in April 2019, which became effective on May 8, 2019 and is described in detail in note 7. The plan provides a means by which eligible employees of the company and certain designated companies may be given an opportunity to purchase common shares. the plan permits the company to grant a series of purchase rights to eligible employees under an employee stock purchase plan. o) Redeemable convertible preferred shares The Company classifies shares that are redeemable at a fixed or determinable price on a fixed or determinable date outside of permanent equity. The redeemable convertible preferred shares are classified outside of shareholders’ deficit because the shares contain certain redemption features that are not solely within the control of the Company. The Company records convertible preferred shares at fair value upon issuance, net of any issuance costs or discounts. p) Recent accounting pronouncement not yet adopted In August 2018, the FASB issued Accounting Standard Update No. 2018-13, Changes to Disclosure Requirements for Fair Value Measurements (Topic 820) (ASU 2018-13), which improved the effectiveness of disclosure requirements for recurring and nonrecurring fair value measurements. The standard removes, modifies, and adds certain disclosure requirements. The adoption of this standard is not expected to have a material impact on the Company’s consolidated financial statements and related disclosures. In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments ("ASU 2016-13"). ASU 2016-13 significantly changes the impairment model for most financial assets and certain other instruments. ASU 2016-13 will require immediate recognition of estimated credit losses expected to occur over the remaining life of many financial assets, which will generally result in earlier recognition of allowances for credit losses on loans and other financial instruments. ASU 2016-13 is effective for the Company's fiscal year beginning December 1, 2020 and subsequent interim periods. The adoption of this standard is not expected to have a material impact on the Company’s consolidated financial statements and related disclosures. q) Recently adopted accounting pronouncements On January 1, 2019, we adopted Accounting Standards Update No. 2016-02, Leases (Topic 842) (ASU 2016-02) using the modified retrospective transition approach by applying the new standard to all leases existing at the date of initial application. Results and disclosure requirements for reporting periods beginning after January 1, 2019 are presented under Topic 842, while prior period amounts have not been adjusted and continue to be reported in accordance with our historical accounting under Topic 840. Adoption of this standard resulted in the recording of an operating lease right-of-use asset and corresponding operating lease liabilities of $0.3 million, for its headquarters located in Montréal (Québec), Canada. The Company’s consolidated balance sheet beginning on January 1, 2019 are presented under the new guidance, while prior year amount was not adjusted and continue to be reported in accordance with previous guidance. This lease consisted of a 36-month period lease commencing December 1, 2017 and ending on November 30, 2020 for its office located in Montréal (Québec), Canada. It includes the possibility for the lessee to renew the term of the lease for a further 36-month period beginning December 1, 2020 and ending November 30, 2023. Operating lease right-of-use asset and operating lease liabilities are recognized upon the adoption date based on the present value of lease payments over the remaining lease term. The company was not reasonably certain of renewing the lease following the initial term and recognized the right-of-use asset and operating lease liabilities over the remaining lease term. The Company did not record an operating lease right-of-use asset and corresponding lease liability for leases with an initial term of twelve months or less and recognizes lease expense for these leases as incurred over the lease term. Upon adoption date, the Company had only one operating lease with a remaining term of less than 12 months for its offices located in Charlotte, NC, which had a termination date of July 31, 2019, and for which the Company was not reasonably certain of renewing the lease. The lease was extended for two months and terminated in September 2019. The Company does not have a public credit rating and carries no debt. As such, several factors were considered in the determination of its incremental borrowing rate used in determining the present value of lease payments. The Company examined the Bloomberg credit ratings for similar companies; assumed equivalency between the Canadian and US markets for collateralized debt; factored in the cumulative dividend rate on convertible preferred shares; and used short-term rates based on the remaining lease term of 23 months upon the standard adoption on January 1, 2019 and on 36 months for the new lease agreement entered into in September 2019. This resulted in an incremental borrowing rate of 8%. Lease expenses are recognized on a straight-line basis over the lease term, which is accomplished by increasing the amortization of the right-of-use asset as interest expense on the lease liability declines over the lease term. The Company’s lease arrangements do not have lease and non-lease components which are accounted for separately. The adoption of the accounting standard did not materially impact the Company’s consolidated statement of operations or its consolidated statement of cash flow for the twelve months ended December 31, 2019. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2019 | |
Leases | |
Leases | 3 Leases On June 3, 2019, the Company entered into a new lease arrangement for a three-year term for its office located in Charlotte, NC. The Company recognized the operating lease right-of-use asset and operating lease liabilities at the lease commencement date on September 10, 2019. This resulted in an incremental borrowing rate of 8%. Lease expenses are recognized on a straight-line basis over the lease term, which is accomplished by increasing the amortization of the right-of-use asset as interest expense on the lease liability declines over the lease term. The company was not reasonably certain of renewing the lease following the initial term and recognized the right-of-use asset and operating lease liabilities over the 36-month period ending September 30, 2022. The Company's two operating leases right-of-use assets are as follows as at December 31, 2019: Right-of-use adoption date of January 1, 2019 $ 321 New operating lease right-of-use asset 401 Amortization of right-of-use asset during the year ending December 31, 2019 (198) $ 524 Operating lease expenses of $277 are included in general and administrative operating expenses in the consolidated statement loss and comprehensive loss, and within operating activities in the statement of cash flows for the twelve-month period ended December 31, 2019, and are comprised of two operating lease right-of-use assets and one operating lease of less than 12 months. The following table summarizes the future minimum lease payments of right-of-use assets operating lease as at December 31, 2019: January 1, 2020 to December 31, 2020 $ 354 January 1, 2021 to December 31, 2021 117 January 1, 2022 to December 31, 2022 80 551 Less interest (37) $ 514 As at December 31, 2018 in accordance with ASC 840, the Company had a lease commitment for its headquarters located in Montréal (Québec), Canada, expiring on November 30, 2020 with an option to renew for an additional three years and a commitment for its office located in Charlotte, North Carolina, which had a termination date of July 31, 2019. The minimum lease payments as at December 31, 2018 were as follows: Lease Lease operating base rent Total lease expenses expenses commitment 2019 $ 86 $ 130 $ 216 2020 79 85 164 $ 165 $ 215 $ 380 Total rental expense under operating leases for the year ended December 31, 2018 was $232. |
Property and equipment
Property and equipment | 12 Months Ended |
Dec. 31, 2019 | |
Property and equipment | |
Property and equipment | 4 Property and equipment Property and equipment consist of the following at December 31: 2019 2018 Computer hardware and software $ 22 $ 9 Office equipment 406 28 Leasehold improvements 26 4 Total $ 454 $ 41 Less accumulated depreciation and amortization (49) (11) Property and equipment, net $ 405 $ 30 During the year ended December 31, 2019 and December 31, 2018, the Company did not record any write off. For the year ended December 31, 2019, amortization expense was $38 (in 2018, amortization expense was $10) and was included in research and development expense. |
Accounts payable and accrued li
Accounts payable and accrued liabilities | 12 Months Ended |
Dec. 31, 2019 | |
Accounts payable and accrued liabilities | |
Accounts payable and accrued liabilities | 5 Accounts payable and accrued liabilities Accounts payable and accrued liabilities comprised the following as of December 31: 2019 2018 Trade accounts payable $ 4,376 $ 2,603 Accrued research and development liabilities 1,513 1,012 Other accrued liabilities 331 164 Accrued compensation and benefits payable 1,777 698 $ 7,997 $ 4,477 |
Convertible preferred shares
Convertible preferred shares | 12 Months Ended |
Dec. 31, 2019 | |
Convertible preferred shares | |
Convertible preferred shares | 6 Convertible preferred shares In May 2019, the Company completed its initial public offering ("IPO"). Upon the closing of the IPO, all outstanding redeemable convertible preferred shares of Class A1, A2, B, C, D1 and D2 (collectively known as “Convertible Preferred Shares”) converted into 17,550,802 common shares. Prior to converting to common shares in May 2019, the Company’s convertible preferred shares allowed the holders to redeem their shares upon a change in control in the Company. As a result, the Company classified its Convertible Preferred Shares as mezzanine equity. The Company charged specific incremental issuance costs incurred in the offering of Convertible Preferred Shares against the gross proceeds of the Convertible Preferred Shares. Prior to May 2019, an authorized unlimited number of: - Class A1 preferred shares, voting based on the number of common shares into which they could have been converted, annual non‑cumulative dividend of 8% in preference to the holders of common shares calculated on their issue price. In addition, the Class A1 preferred shares were eligible to their pro rata shares, on an as‑converted basis, to any dividend paid on common shares. The Class A1 preferred shares are subject to a weighted average antidilution adjustment in the event of a common share issuance at a price per share lower than C$5.3193 - Class A2 preferred shares, voting based on the number of common shares into which they could have been converted, preferential non‑cumulative dividend of 8% pari passu with the Class B preferred shares and in preference to the holders of Class A1 preferred shares calculated on their issue price. In addition, the Class A2 preferred shares were eligible to their pro rata shares, on an as‑converted basis, to any dividend paid on common shares. The Class A2 preferred shares were subject to a weighted average antidilution adjustment in the event of a common share issuance at a price per share lower than C$5.3193 - Class B preferred shares, voting based on the number of common shares into which they could have been converted, preferential non‑cumulative dividend of 8% pari passu with the Class A2 preferred shares and in preference to the holders of Class A1 preferred shares calculated on their issue price. In addition, the Class B preferred shares were eligible to their pro rata shares, on an as‑converted basis, to any dividend paid on common shares. The Class B preferred shares were subject to a weighted average antidilution adjustment in the event of a common share issuance at a price per share lower than $6.1172 - Class C preferred shares, voting based on the number of common shares into which they could have been converted, preferential non‑cumulative dividend of 8% to the Class B and A2 preferred shares and in preference to the holders of Class A1 preferred shares calculated on their issue price. In addition, the Class B preferred shares were eligible to their pro rata shares, on an as‑converted basis, to any dividend paid on common shares. The Class C preferred shares were subject to a weighted average antidilution adjustment in the event of a common share issuance at a price per share lower than $7.2619 - Class D1 preferred shares, voting based on the number of common shares into which they could have been converted, preferential non -cumulative dividend of 8% pari passu with the Class D2 preferred shares, and in preference to the holders of the Class C, Class B, Class A2 and Class A1 preferred shares calculated on their issue price. In addition, the Class D1 preferred shares were eligible to their pro rata shares, on an as‑converted basis, to any non‑cumulative dividend paid on common shares. The Class D1 preferred shares were subject to a weighted average antidilution adjustment in the event of a common share issuance at a price per share lower than $9.4295. - Class D2 preferred shares, voting based on the number of common shares into which they could have been converted, preferential non‑cumulative dividend of 8% pari passu with the Class D1 preferred shares, and in preference to the holders of the Class C, Class B, Class A2 and Class A1 preferred shares calculated on their issue price. In addition, the Class D2 preferred shares were eligible to their pro rata shares, on an as‑converted basis, to any non‑cumulative dividend paid on common shares. The Class D2 preferred shares were subject to a weighted average antidilution adjustment in the event of a common share issuance at a price per share lower than $12.2583. The Company early adopted the guidance on down round features from ASU 2017‑11 with respect to the antidilution adjustments for the Class A1, Class A2, Class B, Class C, Class D1 and D2 preferred shares. The Class A1, A2, B, C, D1 and D2 preferred shares would have automatically converted into common shares at the applicable conversion price upon (i) closing of a qualified initial public offering at a price per share based on a pre‑money valuation of the Company of at least $250,000 and resulting in gross proceeds of at least $60,000, whereby the shares would be listed on one or more Recognized Stock Exchanges; and (ii) the election to convert by a majority of the Class A1, A2, B, C, D1 and D2 preferred shares. The conversion rate of Class A1, A2, B, C, D1 and D2 preferred shares into common shares at the time of conversion was 1:1. The holders of the Company’s Convertible Preferred Shares were entitled to receive non‑cumulative dividends at the rate of 8% of the purchase price per annum in preference to any dividends to the holders of the common shares, payable as and if when declared by the Board of Directors. The holders of the Convertible Preferred Shares also were entitled to participate pro rata in any dividends paid to the holders of the common shares on an as‑converted basis. The Board of Directors had not declared any dividends as of May 2019 when the Preferred Shares were converted and therefore no dividends were paid. Upon the liquidation of the Company, the holders of Convertible Preferred Stock were entitled to receive, in preference to the holders of the common stock and in order of priority, an amount equal to $12.4472 per share for Series D2 Convertible Preferred Stock, $9.5747 per share for Series D1 Convertible Preferred Stock, $7.9258 per share for Series C Convertible Preferred Stock, $7.3406 per share for Series B Convertible Preferred Stock, $7.713 per share for Series A2 Convertible Preferred Stock and $8.83 per share for Series A1 Convertible Preferred Stock (the “Liquidation Preference”). Following payment in full to the holders of preferred shares of all amounts distributable to them, the remaining assets of the Company available for distribution to holders of the Company’s share capital would have been distributed on a pro rata basis among (i) the holders of any preferred shares convertible into common shares of the Company on an as if converted basis; and (ii) the holders of the common shares. The holders of 70% of Class A1, A2, B, C, D1 and D2 preferred shares, voting as a single class, could have required that the Company redeem the preferred shared at the earlier of a sale or an exclusive license of all or substantially all intellectual property of the Company or all of the assets and the fifth anniversary of the closing date of the Class D preferred shares. The redemption price would have been the higher of the liquidation preference or the fair market value of such preferred shares. Class A1 preferred shares could have been only redeemed once Class A2, B, C, D1 and D2 preferred shares were fully redeemed. For the year ended December 31, 2018, the Company issued the following Convertible Preferred Shares: a) On October 17, 2018, the Company issued 6,893,236 Class D1 preferred shares for gross proceeds of $65,000. The costs related with this share issuance were $281. b) On October 17, 2018, the Company issued 1,223,656 Class D2 preferred shares for gross proceeds of $15,000. The costs related with this share issuance were $65. No convertible preferred shares were issued for the year ended December 31, 2019. All preferred shares were converted to common share upon closing of the IPO in May 2019. |
Shareholders_ equity (deficit)
Shareholders’ equity (deficit) | 12 Months Ended |
Dec. 31, 2019 | |
Shareholders’ equity (deficit) | |
Shareholders’ equity (deficit) | 7 Shareholders’ equity (deficit) Authorized share capital An unlimited number of common shares, voting and participating, without par value. In May 2019, the Company completed its initial public offering ("IPO"), whereby the Company issued in total 6,325,000 common shares at a public offering price of $15.00 per share (note 1) . The gross proceeds received by the Company from the offering were $94.9 million. Upon the closing of the IPO, all outstanding shares of Class A1, A2, B, C, D1 and D2 preferred shares converted into 17,550,802 common shares. The Company's board of directors adopted and its shareholders approved the 2019 Employee Share Purchase Plan ("ESPP") in April 2019, which became effective on May 8, 2019. The number of common shares initially reserved for issuance under the ESPP was 278,734 common shares. The number of shares reserved for issuance will automatically increase on January 1 of each calendar year, beginning on January 1, 2020 through January 1, 2029, by the lesser of (1) 1% of the total number of shares of the Company's share capital outstanding on the last day of the calendar month before the date of the automatic increase and (2) 487,837 shares; provided that before the date of any such increase, the Company's board of directors may determine that such increase will be less than the amount set forth in clauses (1) and (2). As of December 31, 2019, no common shares have been issued under the ESPP. The first offering period has not yet been decided by the Company's board of directors. During the year ended December 31, 2019, the Company issued a total of 33,162 common shares (in 2018, 356,797) for a total cash consideration of $44 (in 2018, $461) pursuant to the exercise of 33,162 stock options (in 2018, 356,797) at an average exercise price of $1.326 per option (in 2018, $1.287 per option). As a result, an amount of $41 (in 2018, $350) previously included in additional paid‑in capital related to the exercised options has been credited to share capital and deducted from additional paid‑in capital. Additional paid‑in capital 2019 2018 Opening balance $ 2,655 $ 2,372 Share-based compensation expense 1,191 633 Exercise of stock options (41) (350) Closing balance $ 3,805 $ 2,655 Share‑based compensation The Company's board of directors adopted and its shareholders approved the 2019 Equity Incentive Plan (the "2019 Plan") in April 2019, which became effective on May 8, 2019 in connection with the IPO. Initially, the maximum number of the Company's common shares that may be issued under the 2019 Plan was 4,710,564 shares, which is the sum of (1) 1,923,501 new shares, plus (2) the number of shares (not to exceed 2,787,063 shares) (i) that remained available for the issuance of awards under the Company's Stock Option Plan (the "2011 Plan") at the time the 2019 Plan became effective, and (ii) any shares subject to outstanding options or other share awards that were granted under the 2011 Plan that terminate, expire or are otherwise forfeited, reacquired or withheld. In addition, the number of the Company's common shares reserved for issuance under the 2019 Plan will automatically increase on January 1 of each calendar year, starting on January 1, 2020 through January 1, 2029, in an amount equal to 4% of the total number of the Company's capital shares outstanding on the last day of the calendar month before the date of each automatic increase, or a lesser number of shares determined by the Company's board of directors. As of May 8, 2019, the Company's 2011 Plan was terminated and no further option grants will be made under the 2011 Plan. On October 15, 2018, the Company amended for a third time and restated the share option plan (the 2011 Plan) whereby options to purchase common shares of the Company’s shares may be granted to directors, officers, employees, consultants and members of the scientific advisory board. The 2011 Plan is administered by the Board of Directors. The Board of Directors determines the number of options to be granted, the vesting period and the exercise price of new options. It is the Company’s policy to establish the exercise price at an amount that approximates the fair value of the underlying shares on the date of grant as determined by the Board of Directors. Under the 2011 Plan, unless otherwise decided by the Board of Directors, options vest and are exercisable as follows: 25% are exercisable from the first anniversary of grant date and 2.0833% become available at the end of each month after the first anniversary of grant date. The 2011 Plan was terminated as of May 8, 2019 and a total of 2,364,526 options are outstanding at December 31, 2019. As of December 31, 2019, there were 2,316,933 options available for awards under the 2019 Plan, of which 287,138 options were granted and 66,998 forfeited, leaving 2,096,793 available for future grant. The outstanding and exercisable options at December 31 were as follows: 2019 2018 Number Weighted Number Weighted of shares average of shares average exercise exercise 2019 Plan 2011 Plan Total price 2011 Plan price Outstanding at beginning of period — 2,295,045 2,295,045 $ 1.771 968,782 $ 1.133 Granted - 2011 Plan — 116,742 116,742 9.417 1,695,258 2.037 Granted - 2019 Plan 287,138 — 287,138 19.948 — — Exercised - 2011 — (33,162) (33,162) 1.326 (356,797) 1.287 Forfeited - 2011 — (14,099) (14,099) 2.660 (12,198) 1.096 Forfeited - 2019 (66,998) — (66,998) 17.224 — — Outstanding - 12/31/2019 220,140 2,364,526 2,584,666 $ 3.755 2,295,045 $ 1.771 Outstanding - 12/31/2019 - Weighted average exercise price $ 20.777 $ 2.151 Exercisable at end of period 1,165 1,212,226 1,213,391 $ 1.652 588,817 $ 1.314 Exercisable at end of period - Weighted average exercise price $ 17.780 $ 1.637 As of December 31, 2019, the weighted average remaining contractual life was 7.8 years (for 2018, 8.6 years). The weighted average remaining contractual life was 7.0 years for vested options (for 2018, 6.6 years). For the year ended December 31, 2019, 14,099 options and 66,998 options were forfeited under the 2011 Plan and the 2019 Plan, respectively, amounting to a total of 81,097 options forfeited in 2019 (for 2018, 12,198). Options granted are valued using the Black‑Scholes option pricing model. Amortization of the fair value of the options over vesting years has been expensed and credited to additional paid‑in capital in shareholders’ deficit. The weighted average fair values of options granted in 2019 was $6.649 for the 2011 Plan and $13.912 for the 2019 plan (in 2018 for the 2011 Plan, $1.463). Share‑based compensation expense recognized for the year ended December 31, 2019 was $1,191 (in 2018, $633). As of December 31, 2019, there was $6,464 (for 2018, $2,402) of total unrecognized compensation cost, related to non‑vested share options, which is expected to be recognized over a remaining weighted average vesting period of 2.6 years (for 2018, 3.1 years). 2019 2018 Number Weighted Number Weighted of options average of options average 2019 Plan 2011 Plan Total fair value 2011 Plan fair value Non-vested share options at beginning of period — 1,706,303 1,706,303 $ 1.346 451,113 $ 1.027 Granted - 2011 Plan — 116,742 116,742 6.649 1,695,258 1.463 Granted - 2019 Plan 287,138 — 287,138 13.912 — — Vested, outstanding — (656,646) (656,646) 1.333 (427,870) 1.479 Vested, outstanding (1,165) — (1,165) 12.160 — — Forfeited - 2011 — (14,099) (14,099) 1.906 (12,198) 1.064 Forfeited - 2019 (66,998) — (66,998) 12.221 — — Non-vested share options at end of period 218,975 1,152,300 1,371,275 $ 3.889 1,706,303 $ 1.346 Non-vested share options at end of period - Weighted average fair value $ 14.439 $ 1.884 The following table summarizes information with respect to share options outstanding as of December 31, 2019: Options outstanding Options exercisable Weighted Weighted average Weighted average Weighted remaining average remaining average Number contractual exercise Number contractual exercise Exercise price of options life (years) price of options life (years) price C$0.96 235,497 3.3 $ 0.914 235,497 3.3 $ 0.914 $1.12 261,913 6.3 $ 1.117 207,319 6.2 $ 1.117 $1.54 956,688 7.9 $ 1.543 429,175 7.9 $ 1.543 $1.91 82,772 8.6 $ 1.915 40,122 9 $ 2 $2.66 710,914 8.9 $ 2.660 300,113 8.9 $ 2.660 $9.42 116,742 9.2 $ 9.415 — — $ — $15.87 23,620 9.6 $ 15.870 — — $ — $17.78 42,000 9.9 $ 17.780 1,165 9.9 $ 17.780 $19.14 3,760 9.8 $ 19.140 — — $ — $21.28 3,760 9.7 $ 21.280 — — $ — $22.45 147,000 9.7 $ 22.450 — — $ — Total 2,584,666 7.8 $ 3.755 1,213,391 7.0 $ 1.652 The intrinsic value of all outstanding options as of December 31, 2019 was $32.7 million, based on the fair value of our common shares of $16.01 per share at December 31, 2019, of which approximately $17.4 million related to vested options and approximately $15.5 million related to unvested options. The fair value of share‑based payment transaction is measured using Black‑Scholes valuation model. This model also requires assumptions, including expected option life, volatility, risk‑free interest rate and dividend yield, which greatly affect the calculated values. The fair value of options granted was estimated using the Black‑Scholes option pricing model, resulting in the following weighted average assumptions for the options granted for the years ended December 31, 2019 and 2018: 2019 2018 Exercise price $ 16.900 $ 2.037 Share price $ 16.900 $ 2.037 Volatility 80 % 82 % Risk-free interest rate 1.92 % 2.84 % Expected life 6.21 years 6.25 years Dividend % % Expected volatility is determined using comparable companies for which the information is publicly available. The risk‑free interest rate is determined based on the US sovereign rates benchmark in effect at the time of grant with a remaining term equal to the expected life of the option. Expected option life is determined based on the simplified method as the Company does not have sufficient historical exercise data to provide a reasonable basis upon which to estimate expected term. The simplified method is an average of the contractual term of the options and its ordinary vesting period. Dividend yield is based on the share option’s exercise price and expected annual dividend rate at the time of grant. Share‑based payment awards with performance targets attainable after the requisite service period are treated as performance conditions that affect vesting. No compensation expense is recorded related to an award for which the transfer to the employee is contingent on the attainment of a performance target until it becomes probable that the performance target will be met. The Company recognized share‑based compensation expense as follows at December 31, 2019 and 2018: 2019 2018 Administration $ 574 $ 209 Research and development 495 371 Commercial activities 122 53 $ 1,191 $ 633 |
Net loss per share
Net loss per share | 12 Months Ended |
Dec. 31, 2019 | |
Net loss per share | |
Net loss per share | 8 Net loss per share Basic and diluted net loss per common share is determined by dividing net loss applicable to common shareholders by the weighted average number of common shares during the period. The outstanding convertible preferred shares and share‑based compensation have been excluded from the calculation because their effects would be anti‑dilutive. Therefore the weighted average number of shares used to calculate both basic and diluted loss per share are the same. The following potentially dilutive securities have been excluded from the computation of diluted weighted average shares outstanding as of December 31, 2019 and 2018, as they would be anti‑dilutive: 2019 2018 Redeemable convertible preferred shares — 17,550,802 Share options and unvested restricted share awards 2,584,666 2,295,045 2,584,666 19,845,847 Amounts in the table above reflect the common share equivalents of the noted instruments. |
Income taxes
Income taxes | 12 Months Ended |
Dec. 31, 2019 | |
Income taxes | |
Income taxes | 9 Income taxes A reconciliation between tax expense and the product of accounting income multiplied by the basic income tax rate for the years ended December 31, 2019 and 2018 is as follows: 2019 2018 Loss before income taxes $ (55,285) $ (23,111) Basic income tax rate 26.30 % 26.67 % Computed income tax recovery (14,542) (6,164) Effect on income tax rate resulting from Accounting charges not deductible for tax purposes 23 12 Non‑deductible share‑based compensation 317 169 Share issue costs (2,739) Unrecorded potential tax benefits of current period losses and other tax assets 16,829 6,183 Non‑refundable investment tax credit used (earned) in the year — (145) Valuation allowance for prior year adjustment 77 — Other (21) 19 Income tax expense (recovery)/expense reported in the consolidated statements of loss and comprehensive loss $ (56) $ 74 The Company has incurred Canadian federal and provincial net operating losses (NOLs) from inception. As of December 31, 2019, the Company has NOL carry‑forwards of approximately $86,591 and $86,085, respectively, for Canadian federal and Québec purposes, available to reduce future taxable income, which expire beginning in 2027 through 2039. The Company also has scientific research and experimental development expenditures of approximately $9,377 and $11,127, respectively, for Canadian federal and Québec income tax purposes, which have not been deducted. These expenditures are available to reduce future taxable income and have an unlimited carry‑forward period. Research and development tax credits and expenditures are subject to verification by the tax authorities, and, accordingly, these amounts may vary. The Company has incurred NOLs for U.S. tax purposes. As of December 31, 2019, the Company has carry-forwards of approximately $12,439 related to U.S. NOLs that may be carried forward indefinitely and are available to reduce future taxable income. Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. The net deferred tax assets have not been recognized in these financial statements because the criteria for recognition of these assets were not met. The Company’s deferred tax assets consist of the following for the years ended December 31, 2019 and 2018: 2019 2018 Net operating loss carry‑forwards 25,965 12,209 Tax basis of property and equipment in excess of carrying values 103 93 Federal SR&ED investment tax credits 535 273 Taxation of federal SR&ED investment tax credits (142) (72) Research and development expenditures 2,686 1,791 Financing costs 2,103 138 Others 16 21 Total gross deferred tax assets 31,266 14,453 Valuation allowance (31,266) (14,453) Net deferred tax assets — — The Company files income tax returns in Canada and in the United States. The Company is subject to Canada Revenue Agency and Revenu Québec examination for fiscal years 2014 to 2019 due to unexpired statute of limitation periods and is subject to US Federal and state income tax examination for fiscal years 2017 to 2019. |
Government assistance
Government assistance | 12 Months Ended |
Dec. 31, 2019 | |
Government assistance | |
Government assistance | 10 Government assistance The Company incurred research and development expenditures that are eligible for investment tax credits. The investment tax credits recorded are based on management’s estimates of amounts expected to be recovered and are subject to audit by the taxation authorities. These amounts (expressed in thousands of US dollars) have been recorded as a reduction of research and development expenditures for an amount of $392 for the year ended December 31, 2019 (for 2018, $257). |
Commitments
Commitments | 12 Months Ended |
Dec. 31, 2019 | |
Commitments | |
Commitments | 11 Commitments In the normal course of business, the Company enter into contracts with clinical research organizations, drug manufacturers and other vendors for preclinical and clinical research studies, research and development supplies and other services and products for operating purposes. These contracts generally provide for termination on notice, and therefore are cancellable contracts. Therefore, as at December 31, 2019 there are no contractual commitments. |
Currency risk
Currency risk | 12 Months Ended |
Dec. 31, 2019 | |
Currency risk | |
Currency risk | 12 Currency risk The Company is exposed to the financial risk related to the fluctuation of foreign exchange rates and the degree of volatility of those rates. The foreign currency risk is limited to the portion of the Company’s business transactions denominated in currency other than US dollars. The following table provides an indication of the Company’s exposure to the Canadian dollar, which is expressed in US dollars as of December 31: 2019 2018 Cash $ 149 $ 246 Short‑term investments — 29 Accounts payable and accrued liabilities 1,680 538 Net financial position exposure $ 1,531 $ 263 The Company does not enter into arrangements to hedge its currency risk exposure. |
Fair value of financial instrum
Fair value of financial instruments | 12 Months Ended |
Dec. 31, 2019 | |
Fair value of financial instruments | |
Fair value of financial instruments | 13 Fair value of financial instruments Pursuant to the accounting guidance for fair value measurement and its subsequent updates, fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e. the exit price) in an orderly transaction between market participants at the measurement date. The accounting guidance establishes a hierarchy for inputs used in measuring fair value that minimizes the use of unobservable inputs by requiring the use of observable market data when available. Observable inputs are inputs that market participants would use in pricing the asset or liability based on active market data. Unobservable inputs are inputs that reflect the assumptions market participants would use in pricing the asset or liability based on the best information available in the circumstances. The fair value hierarchy is broken down into the three input levels summarized below: Level 1 — Valuations are based on quoted prices in active markets for identical assets or liabilities and readily accessible by the Company at the reporting date. Level 2 — Valuations based on inputs other than the quoted prices in active markets that are observable either directly or indirectly in active markets. Level 3 — Valuations based on unobservable inputs in which there is little or no market data, which requires the Company to develop its own assumptions. The Company’s fair value hierarchy for all its financial assets (by major security type measured at fair value on a recurring basis) for the year ending December 31, 2019 is nil, as there was no financial instruments measured at fair value on a recurring basis as of that date. For the year ended December 31, 2018, the Company held a Guaranteed investment certificates at Level 1 with a fair value of $29. |
Summary of significant accoun_2
Summary of significant accounting policies (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Summary of significant accounting policies | |
Basis of consolidation | a) Basis of consolidation The consolidated financial statements include the accounts of the Company and Milestone Pharmaceuticals USA, Inc. Milestone Pharmaceuticals USA, Inc. began its operations on March 3, 2017. All intercompany transactions and balances have been eliminated. |
Basis of presentation and use of accounting estimates | b) Basis of presentation and use of accounting estimates These consolidated financial statements of the Company have been presented in United States dollars (USD) and have been prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP), including the applicable rules and regulations of the Securities and Exchange Commission (SEC) regarding financial reporting. The preparation of consolidated financial statements in conformity with US GAAP requires the Company to make estimates and judgments that affect certain reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenue and expenses during the year. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes are reasonable under the circumstances, to determine the carrying values of assets and liabilities that are not readily apparent from other sources. Significant estimates and judgments include, but are not limited to, research and development tax credits recoverable, research and development expenses, and share based compensation. Accordingly, actual results may differ from those estimates and such differences may be material. |
Segment information | c) Segment information The Company manages its operations as a single operating segment for the purposes of assessing performance and making operating decisions while focusing on the development and commercialization of innovative cardiovascular medicines. |
Cash and cash equivalents | d) Cash and cash equivalents Cash and cash equivalents consist of cash and highly liquid investments that are readily convertible into cash with original maturities of three months or less at acquisition date. |
Short term investments | e) Short term investments Short term investments are recorded at fair value and are comprised of guaranteed investment certificates with a maturity greater than 90 days but less than one year and, as such, are classified as current assets. |
Concentration of credit risk | f) Concentration of credit risk Financial instruments which potentially subject the Company to concentration of credit risk consist primarily of cash and cash equivalents and investment securities classified as held to maturity. The Company maintains deposits in federal financial institutions. Management believes that the Company is not exposed to significant credit risk due to the financial position of the depository institutions in which those deposits are held. Additionally, the Company has adopted an investment policy that includes guidelines relative to credit quality, diversification of maturities and liquidity. |
Currency Risk | g) Currency Risk The Company is exposed to currency risk due to financial instruments denominated in foreign currencies. The Company is exposed to the Canadian dollar currency risk and does not enter into arrangements to hedge its currency risk exposure. |
Property and equipment | h) Property and equipment Property and equipment is stated at historical cost less accumulated amortization. Expenditures for maintenance and repairs are recorded to expense as incurred. The Company reviews its property and equipment whenever events or changes in circumstances indicate that the carrying value of certain assets might not be recoverable and recognizes an impairment loss when it is probable that an asset’s realizable value is less than the carrying value. To date, no such impairment losses have been recorded. Amortization is calculated using the straight‑line method over the following estimated useful lives of the assets: Computer hardware and software 3 years Office equipment 5 years Furniture and fixtures 5 years Leasehold improvements 3 years |
Leases | i) Leases Effective January 1, 2019, the Company adopted ASC 842, Leases (ASC 842), using the required modified retrospective approach and utilizing the effective date as its date of initial application. As a result, prior periods are presented in accordance with the previous guidance in ASC 840, Leases (“ASC 840”). At the inception of an arrangement, the Company determines whether the arrangement is or contains a lease based on the unique facts and circumstances present in the arrangement. Leases with a term greater than one year are recognized on the balance sheet as right-of-use assets and short-term and long-term lease liabilities, as applicable. The Company does not have financing leases. Operating lease liabilities and their corresponding right-of-use assets are initially recorded based on the present value of lease payments over the expected remaining lease term. Certain adjustments to the right-of-use asset may be required for items such as incentives received. The interest rate implicit in lease contracts is typically not readily determinable. As a result, the Company utilizes its incremental borrowing rate to discount lease payments, which reflects the fixed rate at which the Company could borrow on a collateralized basis the amount of the lease payments in the same currency, for a similar term, in a similar economic environment. Prospectively, the Company will adjust the right-of-use assets for straight-line rent expense or any incentives received and remeasure the lease liability at the net present value using the same incremental borrowing rate that was in effect as of the lease commencement or transition date. The Company has elected not to recognize leases with an original term of one year or less on the balance sheet. The Company typically only includes an initial lease term in its assessment of a lease arrangement. Options to renew a lease are not included in the Company’s assessment unless there is reasonable certainty that the Company will renew. |
Share issuance costs | j) Share issuance costs Share issuance costs applicable to the issuance of equity instruments are recorded as a reduction of the financing equity proceeds. |
Research and development and investment tax credits | k) Research and development and investment tax credits Research and development costs are charged against income in the period of expenditure. The Company’s research and development costs consist primarily of salaries and fees paid to contract research organizations (CROs) and to contract manufacturing organizations (CMOs). Clinical trial expenses include direct costs associated with CROs, direct CMO costs for the formulation and packaging of clinical trial material, as well as investigator and patient related costs at sites at which the Company’s trials are being conducted. Direct costs associated with the Company’s CROs and CMOs are generally payable on a time and materials basis, or when milestones are achieved. The invoicing from clinical trial sites can lag several months. The Company records expenses for its clinical trial activities performed by third parties based upon estimates of the percentage of work completed of the total work over the life of the individual study in accordance with agreements established with CROs and clinical trial sites. The Company determines the estimates through discussions with internal clinical personnel, CROs and CMOs as to the progress or stage of completion of trials or services and the agreed upon fee to be paid for such services based on facts and circumstances known to the Company as of each consolidated balance sheet date. The actual costs and timing of clinical trials are highly uncertain, subject of risks and may change depending upon a number of factors, including the Company’s clinical development plan. If the actual timing of the performance of services of the level of effort varies from the estimate, the Company will adjust the accrual accordingly. The Company recognizes the benefit of Canadian research and development tax credits as a reduction of research and development costs for fully refundable investment tax credits and as a reduction of income taxes for investment tax credits that can only be claimed against income taxes payable when there is reasonable assurance that the claim will be recovered. |
Income taxes | l) Income taxes The provision for income taxes is computed using the liability method. Under this method, deferred tax assets and liabilities are determined based on differences between financial reporting and tax bases of assets and liabilities. Deferred tax assets and liabilities are measured using enacted tax rates and laws that will be in effect when the differences are expected to reverse. A valuation allowance is recorded to reduce the carrying amount of deferred income tax assets when it is more likely than not that these assets will not be realized. Tax benefits related to tax positions not deemed to meet the “more‑likely‑than‑not” threshold are not permitted to be recognized in the consolidated financial statements. |
Foreign currency translation and transactions | m) Foreign currency translation and transactions The functional currency of the Company is the US dollar. Accordingly, transactions denominated in currencies other than the functional currency are measured and recorded in the functional currency at the exchange rate in effect on the date of the transactions. At each consolidated balance sheet date, monetary assets and liabilities denominated in currencies other than the functional currency are remeasured using the exchange rate in effect at that date. Non‑monetary assets and liabilities and revenue and expense items denominated in foreign currencies are translated into the functional currency using the exchange rate prevailing at the dates of the respective transactions. Any gains or losses arising on remeasurement are included in the consolidated statement of operations. |
Share based compensation | n) Share based compensation The Company has a share based compensation plan which is described in detail in note 7 and records all share‑based payments, including grants of employee share options, at their fair values. The fair value of share options granted to employees and non‑employees is estimated at the date of grant using the Black‑Scholes option pricing model. The Company recognizes share based compensation expense over the requisite service period of the individual grants, which equals the vesting period, using the straight‑line method. Forfeitures, if any, are recorded as they occur. Any consideration paid by employees on exercising share options and the corresponding portion previously credited to contributed surplus are credited to share capital. The Black‑Scholes option pricing model used by the Company to calculate option values was developed to estimate fair value. The Company approved an employee share purchase plan in April 2019, which became effective on May 8, 2019 and is described in detail in note 7. The plan provides a means by which eligible employees of the company and certain designated companies may be given an opportunity to purchase common shares. the plan permits the company to grant a series of purchase rights to eligible employees under an employee stock purchase plan. |
Redeemable convertible preferred shares | o) Redeemable convertible preferred shares The Company classifies shares that are redeemable at a fixed or determinable price on a fixed or determinable date outside of permanent equity. The redeemable convertible preferred shares are classified outside of shareholders’ deficit because the shares contain certain redemption features that are not solely within the control of the Company. The Company records convertible preferred shares at fair value upon issuance, net of any issuance costs or discounts. |
Recent accounting pronouncement not yet adopted | p) Recent accounting pronouncement not yet adopted In August 2018, the FASB issued Accounting Standard Update No. 2018-13, Changes to Disclosure Requirements for Fair Value Measurements (Topic 820) (ASU 2018-13), which improved the effectiveness of disclosure requirements for recurring and nonrecurring fair value measurements. The standard removes, modifies, and adds certain disclosure requirements. The adoption of this standard is not expected to have a material impact on the Company’s consolidated financial statements and related disclosures. In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments ("ASU 2016-13"). ASU 2016-13 significantly changes the impairment model for most financial assets and certain other instruments. ASU 2016-13 will require immediate recognition of estimated credit losses expected to occur over the remaining life of many financial assets, which will generally result in earlier recognition of allowances for credit losses on loans and other financial instruments. ASU 2016-13 is effective for the Company's fiscal year beginning December 1, 2020 and subsequent interim periods. The adoption of this standard is not expected to have a material impact on the Company’s consolidated financial statements and related disclosures. |
Recently adopted accounting pronouncements | q) Recently adopted accounting pronouncements On January 1, 2019, we adopted Accounting Standards Update No. 2016-02, Leases (Topic 842) (ASU 2016-02) using the modified retrospective transition approach by applying the new standard to all leases existing at the date of initial application. Results and disclosure requirements for reporting periods beginning after January 1, 2019 are presented under Topic 842, while prior period amounts have not been adjusted and continue to be reported in accordance with our historical accounting under Topic 840. Adoption of this standard resulted in the recording of an operating lease right-of-use asset and corresponding operating lease liabilities of $0.3 million, for its headquarters located in Montréal (Québec), Canada. The Company’s consolidated balance sheet beginning on January 1, 2019 are presented under the new guidance, while prior year amount was not adjusted and continue to be reported in accordance with previous guidance. This lease consisted of a 36-month period lease commencing December 1, 2017 and ending on November 30, 2020 for its office located in Montréal (Québec), Canada. It includes the possibility for the lessee to renew the term of the lease for a further 36-month period beginning December 1, 2020 and ending November 30, 2023. Operating lease right-of-use asset and operating lease liabilities are recognized upon the adoption date based on the present value of lease payments over the remaining lease term. The company was not reasonably certain of renewing the lease following the initial term and recognized the right-of-use asset and operating lease liabilities over the remaining lease term. The Company did not record an operating lease right-of-use asset and corresponding lease liability for leases with an initial term of twelve months or less and recognizes lease expense for these leases as incurred over the lease term. Upon adoption date, the Company had only one operating lease with a remaining term of less than 12 months for its offices located in Charlotte, NC, which had a termination date of July 31, 2019, and for which the Company was not reasonably certain of renewing the lease. The lease was extended for two months and terminated in September 2019. The Company does not have a public credit rating and carries no debt. As such, several factors were considered in the determination of its incremental borrowing rate used in determining the present value of lease payments. The Company examined the Bloomberg credit ratings for similar companies; assumed equivalency between the Canadian and US markets for collateralized debt; factored in the cumulative dividend rate on convertible preferred shares; and used short-term rates based on the remaining lease term of 23 months upon the standard adoption on January 1, 2019 and on 36 months for the new lease agreement entered into in September 2019. This resulted in an incremental borrowing rate of 8%. Lease expenses are recognized on a straight-line basis over the lease term, which is accomplished by increasing the amortization of the right-of-use asset as interest expense on the lease liability declines over the lease term. The Company’s lease arrangements do not have lease and non-lease components which are accounted for separately. The adoption of the accounting standard did not materially impact the Company’s consolidated statement of operations or its consolidated statement of cash flow for the twelve months ended December 31, 2019. |
Summary of significant accoun_3
Summary of significant accounting policies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Summary of significant accounting policies | |
Schedule of estimated useful lives | Computer hardware and software 3 years Office equipment 5 years Furniture and fixtures 5 years Leasehold improvements 3 years |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Leases | |
Schedule of operating lease right-of-use asset | The Company's two operating leases right-of-use assets are as follows as at December 31, 2019: Right-of-use adoption date of January 1, 2019 $ 321 New operating lease right-of-use asset 401 Amortization of right-of-use asset during the year ending December 31, 2019 (198) $ 524 |
Schedule of minimum lease payments | The following table summarizes the future minimum lease payments of right-of-use assets operating lease as at December 31, 2019: January 1, 2020 to December 31, 2020 $ 354 January 1, 2021 to December 31, 2021 117 January 1, 2022 to December 31, 2022 80 551 Less interest (37) $ 514 |
Schedule of minimum lease payments | The minimum lease payments as at December 31, 2018 were as follows: Lease Lease operating base rent Total lease expenses expenses commitment 2019 $ 86 $ 130 $ 216 2020 79 85 164 $ 165 $ 215 $ 380 |
Property and equipment (Table)
Property and equipment (Table) | 12 Months Ended |
Dec. 31, 2019 | |
Property and equipment | |
Schedule of property and equipment | 2019 2018 Computer hardware and software $ 22 $ 9 Office equipment 406 28 Leasehold improvements 26 4 Total $ 454 $ 41 Less accumulated depreciation and amortization (49) (11) Property and equipment, net $ 405 $ 30 |
Accounts payable and accrued _2
Accounts payable and accrued liabilities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Accounts payable and accrued liabilities | |
Schedule of accounts payable and accrued liabilities | Accounts payable and accrued liabilities comprised the following as of December 31: 2019 2018 Trade accounts payable $ 4,376 $ 2,603 Accrued research and development liabilities 1,513 1,012 Other accrued liabilities 331 164 Accrued compensation and benefits payable 1,777 698 $ 7,997 $ 4,477 |
Shareholders_ equity (deficit)
Shareholders’ equity (deficit) (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Shareholders’ equity (deficit) | |
Schedule of additional paid-in capital | 2019 2018 Opening balance $ 2,655 $ 2,372 Share-based compensation expense 1,191 633 Exercise of stock options (41) (350) Closing balance $ 3,805 $ 2,655 |
Schedule of outstanding and exercisable options | 2019 2018 Number Weighted Number Weighted of shares average of shares average exercise exercise 2019 Plan 2011 Plan Total price 2011 Plan price Outstanding at beginning of period — 2,295,045 2,295,045 $ 1.771 968,782 $ 1.133 Granted - 2011 Plan — 116,742 116,742 9.417 1,695,258 2.037 Granted - 2019 Plan 287,138 — 287,138 19.948 — — Exercised - 2011 — (33,162) (33,162) 1.326 (356,797) 1.287 Forfeited - 2011 — (14,099) (14,099) 2.660 (12,198) 1.096 Forfeited - 2019 (66,998) — (66,998) 17.224 — — Outstanding - 12/31/2019 220,140 2,364,526 2,584,666 $ 3.755 2,295,045 $ 1.771 Outstanding - 12/31/2019 - Weighted average exercise price $ 20.777 $ 2.151 Exercisable at end of period 1,165 1,212,226 1,213,391 $ 1.652 588,817 $ 1.314 Exercisable at end of period - Weighted average exercise price $ 17.780 $ 1.637 |
Schedule of non-vested share options activity | 2019 2018 Number Weighted Number Weighted of options average of options average 2019 Plan 2011 Plan Total fair value 2011 Plan fair value Non-vested share options at beginning of period — 1,706,303 1,706,303 $ 1.346 451,113 $ 1.027 Granted - 2011 Plan — 116,742 116,742 6.649 1,695,258 1.463 Granted - 2019 Plan 287,138 — 287,138 13.912 — — Vested, outstanding — (656,646) (656,646) 1.333 (427,870) 1.479 Vested, outstanding (1,165) — (1,165) 12.160 — — Forfeited - 2011 — (14,099) (14,099) 1.906 (12,198) 1.064 Forfeited - 2019 (66,998) — (66,998) 12.221 — — Non-vested share options at end of period 218,975 1,152,300 1,371,275 $ 3.889 1,706,303 $ 1.346 Non-vested share options at end of period - Weighted average fair value $ 14.439 $ 1.884 |
Schedule of share option outstanding | The following table summarizes information with respect to share options outstanding as of December 31, 2019: Options outstanding Options exercisable Weighted Weighted average Weighted average Weighted remaining average remaining average Number contractual exercise Number contractual exercise Exercise price of options life (years) price of options life (years) price C$0.96 235,497 3.3 $ 0.914 235,497 3.3 $ 0.914 $1.12 261,913 6.3 $ 1.117 207,319 6.2 $ 1.117 $1.54 956,688 7.9 $ 1.543 429,175 7.9 $ 1.543 $1.91 82,772 8.6 $ 1.915 40,122 9 $ 2 $2.66 710,914 8.9 $ 2.660 300,113 8.9 $ 2.660 $9.42 116,742 9.2 $ 9.415 — — $ — $15.87 23,620 9.6 $ 15.870 — — $ — $17.78 42,000 9.9 $ 17.780 1,165 9.9 $ 17.780 $19.14 3,760 9.8 $ 19.140 — — $ — $21.28 3,760 9.7 $ 21.280 — — $ — $22.45 147,000 9.7 $ 22.450 — — $ — Total 2,584,666 7.8 $ 3.755 1,213,391 7.0 $ 1.652 |
Schedule of weighted average assumptions for the options granted | The fair value of options granted was estimated using the Black‑Scholes option pricing model, resulting in the following weighted average assumptions for the options granted for the years ended December 31, 2019 and 2018: 2019 2018 Exercise price $ 16.900 $ 2.037 Share price $ 16.900 $ 2.037 Volatility 80 % 82 % Risk-free interest rate 1.92 % 2.84 % Expected life 6.21 years 6.25 years Dividend % % |
Schedule of share-based compensation expense | The Company recognized share‑based compensation expense as follows at December 31, 2019 and 2018: 2019 2018 Administration $ 574 $ 209 Research and development 495 371 Commercial activities 122 53 $ 1,191 $ 633 |
Net loss per share (Tables)
Net loss per share (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Net loss per share | |
Schedule of potentially dilutive securities excluded from the computation of diluted weighted average shares | The following potentially dilutive securities have been excluded from the computation of diluted weighted average shares outstanding as of December 31, 2019 and 2018, as they would be anti‑dilutive: 2019 2018 Redeemable convertible preferred shares — 17,550,802 Share options and unvested restricted share awards 2,584,666 2,295,045 2,584,666 19,845,847 |
Income taxes (Tables)
Income taxes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income taxes | |
Reconciliation of differences between taxes on income (loss) before income taxes | A reconciliation between tax expense and the product of accounting income multiplied by the basic income tax rate for the years ended December 31, 2019 and 2018 is as follows: 2019 2018 Loss before income taxes $ (55,285) $ (23,111) Basic income tax rate 26.30 % 26.67 % Computed income tax recovery (14,542) (6,164) Effect on income tax rate resulting from Accounting charges not deductible for tax purposes 23 12 Non‑deductible share‑based compensation 317 169 Share issue costs (2,739) Unrecorded potential tax benefits of current period losses and other tax assets 16,829 6,183 Non‑refundable investment tax credit used (earned) in the year — (145) Valuation allowance for prior year adjustment 77 — Other (21) 19 Income tax expense (recovery)/expense reported in the consolidated statements of loss and comprehensive loss $ (56) $ 74 |
Schedule of deferred tax assets | The Company’s deferred tax assets consist of the following for the years ended December 31, 2019 and 2018: 2019 2018 Net operating loss carry‑forwards 25,965 12,209 Tax basis of property and equipment in excess of carrying values 103 93 Federal SR&ED investment tax credits 535 273 Taxation of federal SR&ED investment tax credits (142) (72) Research and development expenditures 2,686 1,791 Financing costs 2,103 138 Others 16 21 Total gross deferred tax assets 31,266 14,453 Valuation allowance (31,266) (14,453) Net deferred tax assets — — |
Currency risk (Tables)
Currency risk (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Currency risk | |
Schedule of Company's net financial position exposure | The following table provides an indication of the Company’s exposure to the Canadian dollar, which is expressed in US dollars as of December 31: 2019 2018 Cash $ 149 $ 246 Short‑term investments — 29 Accounts payable and accrued liabilities 1,680 538 Net financial position exposure $ 1,531 $ 263 |
Organization and nature of op_2
Organization and nature of operations (Details) | Apr. 26, 2019 |
Organization and nature of operations | |
Reverse share split | 0.1880 |
Summary of significant accoun_4
Summary of significant accounting policies - Property and Equipment (Details) | 12 Months Ended |
Dec. 31, 2019 | |
Computer hardware and software | |
Property, Plant and Equipment | |
Useful lives | 3 years |
Office equipment | |
Property, Plant and Equipment | |
Useful lives | 5 years |
Furniture and fixtures | |
Property, Plant and Equipment | |
Useful lives | 5 years |
Leasehold improvements | |
Property, Plant and Equipment | |
Useful lives | 3 years |
Summary of significant accoun_5
Summary of significant accounting policies - Adoption of ASU 2016-02 (Details) $ in Thousands | Jan. 01, 2019USD ($)lease | Dec. 31, 2019USD ($)lease |
Adoption of New Accounting Standards | ||
Operating lease right-of use asset | $ 321 | $ 524 |
Operating lease liabilities | 514 | |
Carrying value of debt | $ 0 | |
Incremental borrowing rate | 8.00% | |
Charlotte, NC | ||
Adoption of New Accounting Standards | ||
Lease extended term | 2 months | |
ASU 2016-02, Leases | ||
Adoption of New Accounting Standards | ||
Election of practical expedients package | true | |
Number of short-term operating leases | lease | 2 | |
ASU 2016-02, Leases | Charlotte, NC | ||
Adoption of New Accounting Standards | ||
Short-term lease commitment | true | |
Number of short-term operating leases | lease | 1 | |
ASU 2016-02, Leases | Adjustment | ||
Adoption of New Accounting Standards | ||
Operating lease right-of use asset | $ 300 | |
Operating lease liabilities | $ 300 |
Leases - Narrative (Details)
Leases - Narrative (Details) - lease | Dec. 31, 2019 | Sep. 30, 2019 | Sep. 10, 2019 | Jan. 01, 2019 |
Remaining lease term | 36 months | 36 months | 23 months | |
ASU 2016-02, Leases | ||||
Number of short-term operating leases | 2 | |||
Charlotte, NC | ||||
Operating lease, term | 3 years | |||
Charlotte, NC | ASU 2016-02, Leases | ||||
Number of short-term operating leases | 1 |
Leases - Changes in ROU assets
Leases - Changes in ROU assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Jan. 01, 2019 | |
Changes in operating lease right-of-use asset | ||
New operating lease right-of-use asset | $ 401 | |
Amortization of right-of-use asset during the nine-month period ending September 30, 2019 | (198) | |
Operating lease right-of use asset | 524 | $ 321 |
Operating lease expenses | $ 277 |
Leases - Future minimum lease p
Leases - Future minimum lease payments (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Future minimum lease payments | |
January 1, 2020 to December 31, 2020 | $ 354 |
January 1, 2021 to December 31, 2021 | 117 |
January 1, 2022 to December 31, 2022 | 80 |
Total future minimum lease payments | 551 |
Less interest | (37) |
Operating lease liability | $ 514 |
Leases - Minimum lease payments
Leases - Minimum lease payments under ASU 840 (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Jan. 01, 2019 | |
Lease operating expenses | ||
2019 | $ 86 | |
2020 | 79 | |
Total | 165 | |
Lease base rent expenses | ||
2019 | 130 | |
2020 | 85 | |
Total | 215 | |
Total lease commitment | ||
2019 | 216 | |
2020 | 164 | |
Total | 380 | |
Rental expense under operating leases | $ 232 | |
Ville Saint-Laurent, Quebec | ||
Operating leases | ||
Renewal of Lease | 3 years | |
Charlotte, NC | ||
Operating leases | ||
Renewal of Lease | 2 months |
Property and equipment (Details
Property and equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Property, Plant and Equipment [Line Items] | ||
Total | $ 454 | $ 41 |
Less accumulated depreciation and amortization | (49) | (11) |
Property and equipment, net | 405 | 30 |
Computer hardware and software | ||
Property, Plant and Equipment [Line Items] | ||
Total | 22 | 9 |
Office equipment | ||
Property, Plant and Equipment [Line Items] | ||
Total | 406 | 28 |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Total | $ 26 | $ 4 |
Property and equipment - Narrat
Property and equipment - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Research and development | ||
Property, Plant and Equipment [Line Items] | ||
Amortization expense | $ 38 | $ 10 |
Accounts payable and accrued _3
Accounts payable and accrued liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Accounts payable and accrued liabilities | ||
Trade accounts payable | $ 4,376 | $ 2,603 |
Accrued research and development liabilities | 1,513 | 1,012 |
Other accrued liabilities | 331 | 164 |
Accrued compensation and benefits payable | 1,777 | 698 |
Accounts payable and accrued liabilities | $ 7,997 | $ 4,477 |
Convertible preferred shares -
Convertible preferred shares - (Details) | May 07, 2019$ / shares | Apr. 26, 2019 | Oct. 17, 2018USD ($)shares | May 31, 2019shares | Dec. 31, 2019USD ($)$ / sharesshares | May 07, 2019$ / shares |
Convertible preferred shares | ||||||
Common shares issued on conversion of preferred stock | shares | 17,550,802 | |||||
Annual non‑cumulative dividend (as a percent) | 8.00% | |||||
Current conversion ratio | 0.1880 | |||||
ASU 2017-11 | ||||||
Convertible preferred shares | ||||||
Number of preferred shares converted in to common shares | shares | 0 | |||||
Voting interest (as a percent) | 70.00% | |||||
ASU 2017-11 | Minimum | ||||||
Convertible preferred shares | ||||||
Number of preferred shares converted in to common shares | shares | 250,000 | |||||
Gross proceeds | $ | $ 60,000 | |||||
Class A1 preferred shares | ||||||
Convertible preferred shares | ||||||
Annual non‑cumulative dividend (as a percent) | 8.00% | |||||
Number of preferred shares converted in to common shares | shares | (372,211) | |||||
Gross proceeds | $ | $ (2,027,000) | |||||
Liquidation Preference (in dollars per share) | $ 8.83 | |||||
Class A1 preferred shares | Maximum | ||||||
Convertible preferred shares | ||||||
Common share issuance price (in dollars per share) | $ 5.3193 | |||||
Class A2 preferred shares | ||||||
Convertible preferred shares | ||||||
Annual non‑cumulative dividend (as a percent) | 8.00% | |||||
Number of preferred shares converted in to common shares | shares | (2,443,914) | |||||
Gross proceeds | $ | $ (12,643,000) | |||||
Liquidation Preference (in dollars per share) | $ 7.713 | |||||
Class A2 preferred shares | Maximum | ||||||
Convertible preferred shares | ||||||
Common share issuance price (in dollars per share) | $ 5.3193 | |||||
Class B preferred shares | ||||||
Convertible preferred shares | ||||||
Annual non‑cumulative dividend (as a percent) | 8.00% | |||||
Number of preferred shares converted in to common shares | shares | (2,830,907) | |||||
Gross proceeds | $ | $ (17,198,000) | |||||
Liquidation Preference (in dollars per share) | $ 7.3406 | |||||
Class B preferred shares | Maximum | ||||||
Convertible preferred shares | ||||||
Common share issuance price (in dollars per share) | $ 6.1172 | |||||
Class C preferred shares | ||||||
Convertible preferred shares | ||||||
Annual non‑cumulative dividend (as a percent) | 8.00% | |||||
Number of preferred shares converted in to common shares | shares | (3,786,878) | |||||
Gross proceeds | $ | $ (27,236,000) | |||||
Liquidation Preference (in dollars per share) | $ 7.9258 | |||||
Class C preferred shares | Maximum | ||||||
Convertible preferred shares | ||||||
Common share issuance price (in dollars per share) | 7.2619 | |||||
Class D1 preferred shares | ||||||
Convertible preferred shares | ||||||
Annual non‑cumulative dividend (as a percent) | 8.00% | |||||
Number of preferred shares converted in to common shares | shares | 6,893,236 | (6,893,236) | ||||
Gross proceeds | $ | $ 65,000 | $ (64,719,000) | ||||
Liquidation Preference (in dollars per share) | $ 9.5747 | |||||
Stock issuance cost | $ | $ 281 | |||||
Class D1 preferred shares | Maximum | ||||||
Convertible preferred shares | ||||||
Common share issuance price (in dollars per share) | 9.4295 | |||||
Class D2 preferred shares | ||||||
Convertible preferred shares | ||||||
Annual non‑cumulative dividend (as a percent) | 8.00% | |||||
Number of preferred shares converted in to common shares | shares | 1,223,656 | (1,223,656) | ||||
Gross proceeds | $ | $ 15,000 | $ (14,935,000) | ||||
Liquidation Preference (in dollars per share) | $ 12.4472 | |||||
Stock issuance cost | $ | $ 65 | |||||
Class D2 preferred shares | Maximum | ||||||
Convertible preferred shares | ||||||
Common share issuance price (in dollars per share) | $ 12.2583 |
Shareholders_ equity (deficit_2
Shareholders’ equity (deficit) - Authorized share capital (Details) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 12 Months Ended | ||
May 31, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Mar. 08, 2019 | |
Authorized share capital | ||||
Number of shares options exercised | 33,162 | |||
Average exercise price (in dollar per share) | $ 1.3260 | $ 1.2870 | ||
Amount reclassified from APIC to share capital | $ 41 | $ 350 | ||
Initial public offering | Common shares | ||||
Authorized share capital | ||||
Number of shares issued during the period | 6,325,000 | |||
Share Price | $ 15 | |||
Gross proceeds of initial public offering | $ 94,900 | |||
Number of preferred shares converted in to common shares | 17,550,802 | |||
Options | Common shares | ||||
Authorized share capital | ||||
Number of shares issued upon exercise of options | 33,162 | 356,797 | ||
Cash consideration | $ 44 | $ 461 | ||
Number of shares options exercised | 33,162 | 356,797 | ||
Employee Share Purchase Plan 2019 | Common shares | ||||
Authorized share capital | ||||
Number of common shares initially reserved for issuance | 278,734 | |||
Percentage of shares reserved for future issuance | 1.00% | |||
Additional shares reserved for issuance | 487,837 | |||
Number of shares issued under the ESPP | 0 |
Shareholders_ equity (deficit_3
Shareholders’ equity (deficit) - Additional paid-in capital (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Additional paid-in capital | ||
Balance at the beginning of period | $ 83,548 | $ 25,985 |
Share-based compensation expense | 1,191 | 633 |
Exercise of stock options | 44 | 461 |
Balance at the end of period | 114,917 | 83,548 |
Additional paid-in capital | ||
Additional paid-in capital | ||
Balance at the beginning of period | 2,655 | 2,372 |
Share-based compensation expense | 1,191 | 633 |
Exercise of stock options | (41) | (350) |
Balance at the end of period | $ 3,805 | $ 2,655 |
Shareholders_ equity (deficit_4
Shareholders’ equity (deficit) - Share-based compensation (Details) - shares | 12 Months Ended | ||
Dec. 31, 2019 | May 08, 2019 | May 07, 2019 | |
2011 Plan | |||
Share-based compensation | |||
Total number of shares available for awards under the plan | 2,787,063 | ||
2011 Plan | Options | Share-based Compensation Award, Tranche One | |||
Share-based compensation | |||
Percentage of shares to vest | 25.00% | ||
2011 Plan | Options | Share-based Compensation Award, Tranche Two | |||
Share-based compensation | |||
Percentage of shares to vest | 2.0833% | ||
2019 Plan | |||
Share-based compensation | |||
Total number of shares available for awards under the plan | 4,710,564 | ||
Number of new shares available for awards under the plan | 1,923,501 | ||
Percentage of shares reserved for future issuance | 4.00% | ||
2019 Plan | Options | |||
Share-based compensation | |||
Total number of shares available for awards under the plan | 2,316,933 | ||
Aggregate number of shares granted | 287,138 | ||
Aggregate number of shares cancelled/forfeited | (66,998) | ||
Available for future grants | 2,096,793 |
Shareholders_ equity (deficit_5
Shareholders’ equity (deficit) - Share-based compensation - Outstanding and exercisable options (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Outstanding and exercisable options, number of shares | ||
Outstanding at beginning of period | 2,295,045 | |
Exercised | (33,162) | |
Outstanding at end of period | 2,584,666 | 2,295,045 |
Exercisable at end of period | 1,213,391 | |
Outstanding and exercisable options, weighted average exercise price | ||
Outstanding at beginning of period | $ 1.771 | $ 1.133 |
Exercised | 1.3260 | 1.2870 |
Outstanding at end of period | 3.755 | 1.771 |
Exercisable at end of period | $ 1.652 | $ 1.314 |
Weighted average remaining contractual life (in years) | 7 years 9 months 18 days | 8 years 7 months 6 days |
Weighted average remaining contractual life for vested options (in years) | 7 years | 6 years 7 months 6 days |
Options forfeited | 81,097 | |
Share-based compensation expense | $ 1,191 | $ 633 |
Unrecognized compensation cost | $ 6,464 | $ 2,402 |
Expected period for recognition | 2 years 7 months 6 days | 3 years 1 month 6 days |
2011 Plan | ||
Outstanding and exercisable options, number of shares | ||
Outstanding at beginning of period | 2,295,045 | 968,782 |
Forfeited/cancelled | (14,099) | (12,198) |
Granted | 116,742 | 1,695,258 |
Exercised | (33,162) | (356,797) |
Outstanding at end of period | 2,364,526 | 2,295,045 |
Exercisable at end of period | 1,212,226 | 588,817 |
Outstanding and exercisable options, weighted average exercise price | ||
Forfeited/expired | $ 2.660 | $ 1.096 |
Granted | 9.417 | 2.037 |
Outstanding at end of period | 2.151 | |
Exercisable at end of period | $ 1.637 | |
Options forfeited | 14,099 | |
Weighted average fair values of options granted | $ 6.6490 | $ 1.4630 |
2019 Plan | ||
Outstanding and exercisable options, number of shares | ||
Forfeited/cancelled | (66,998) | |
Granted | 287,138 | |
Outstanding at end of period | 220,140 | |
Exercisable at end of period | 1,165 | |
Outstanding and exercisable options, weighted average exercise price | ||
Forfeited/expired | $ 17.224 | |
Granted | 19.948 | |
Outstanding at end of period | 20.777 | |
Exercisable at end of period | $ 17.780 | |
Options forfeited | 66,998 | 12,198 |
Weighted average fair values of options granted | $ 13.9120 |
Shareholders_ equity (deficit_6
Shareholders’ equity (deficit) - Share-based compensation - Non-vested share options (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Number of options | ||
Non-vested at beginning of period | 1,706,303 | |
Exercised | (33,162) | |
Non-vested share options at end of period | 1,371,275 | 1,706,303 |
Weighted average fair value | ||
Non-vested at beginning of period | $ 1.346 | $ 1.027 |
Exercised | 1.3260 | 1.2870 |
Non-vested at end of period | $ 3.889 | $ 1.346 |
2011 Plan | ||
Number of options | ||
Non-vested at beginning of period | 1,706,303 | 451,113 |
Forfeited/expired | (14,099) | (12,198) |
Granted | 116,742 | 1,695,258 |
Exercised | (33,162) | (356,797) |
Vested, outstanding | (656,646) | (427,870) |
Non-vested share options at end of period | 1,152,300 | 1,706,303 |
Weighted average fair value | ||
Forfeited/expired | $ 1.906 | $ 1.064 |
Granted | 6.6490 | 1.4630 |
Vested, outstanding | 1.333 | $ 1.479 |
Non-vested at end of period | $ 1.884 | |
2019 Plan | ||
Number of options | ||
Forfeited/expired | (66,998) | |
Granted | 287,138 | |
Vested, outstanding | (1,165) | |
Non-vested share options at end of period | 218,975 | |
Weighted average fair value | ||
Forfeited/expired | $ 12.221 | |
Granted | 13.9120 | |
Vested, outstanding | 12.160 | |
Non-vested at end of period | $ 14.439 |
Shareholders_ equity (deficit_7
Shareholders’ equity (deficit) - Share-based compensation - Outstanding and exercisable options (Details) $ / shares in Units, $ in Millions | 12 Months Ended | |||
Dec. 31, 2019$ / shares | Dec. 31, 2018$ / sharesshares | Dec. 31, 2019USD ($)$ / sharesshares | Dec. 31, 2017$ / shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of options, Options outstanding | shares | 2,295,045 | 2,584,666 | ||
Weighted average remaining contractual life (years), Options outstanding | 7 years 9 months 18 days | 8 years 7 months 6 days | ||
Weighted average exercise price, Options outstanding | $ 1.771 | $ 3.755 | $ 1.133 | |
Number of options, Options exercisable | shares | 1,213,391 | |||
Weighted average remaining contractual life (years), Options exercisable | 7 years | |||
Weighted average exercise price, Options exercisable | $ 1.314 | $ 1.652 | ||
Intrinsic value of option | $ | $ 32.7 | |||
Fair value of common share (in dollars per share) | $ 16.01 | |||
Intrinsic value of options vested | $ | $ 17.4 | |||
Intrinsic value of options non vested | $ | $ 15.5 | |||
C$0.96 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Exercise price (in dollars per share) | $ 0.96 | |||
Number of options, Options outstanding | shares | 235,497 | |||
Weighted average remaining contractual life (years), Options outstanding | 3 years 3 months 18 days | |||
Weighted average exercise price, Options outstanding | $ 0.914 | |||
Number of options, Options exercisable | shares | 235,497 | |||
Weighted average remaining contractual life (years), Options exercisable | 3 years 3 months 18 days | |||
Weighted average exercise price, Options exercisable | $ 0.914 | |||
$1.12 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Exercise price (in dollars per share) | $ 1.12 | |||
Number of options, Options outstanding | shares | 261,913 | |||
Weighted average remaining contractual life (years), Options outstanding | 6 years 3 months 18 days | |||
Weighted average exercise price, Options outstanding | $ 1.117 | |||
Number of options, Options exercisable | shares | 207,319 | |||
Weighted average remaining contractual life (years), Options exercisable | 6 years 2 months 12 days | |||
Weighted average exercise price, Options exercisable | $ 1.117 | |||
$1.54 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Exercise price (in dollars per share) | $ 1.54 | |||
Number of options, Options outstanding | shares | 956,688 | |||
Weighted average remaining contractual life (years), Options outstanding | 7 years 10 months 24 days | |||
Weighted average exercise price, Options outstanding | $ 1.543 | |||
Number of options, Options exercisable | shares | 429,175 | |||
Weighted average remaining contractual life (years), Options exercisable | 7 years 10 months 24 days | |||
Weighted average exercise price, Options exercisable | $ 1.543 | |||
$1.91 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Exercise price (in dollars per share) | $ 1.91 | |||
Number of options, Options outstanding | shares | 82,772 | |||
Weighted average remaining contractual life (years), Options outstanding | 8 years 7 months 6 days | |||
Weighted average exercise price, Options outstanding | $ 1.915 | |||
Number of options, Options exercisable | shares | 40,122 | |||
Weighted average remaining contractual life (years), Options exercisable | 9 years | |||
Weighted average exercise price, Options exercisable | $ 2 | |||
$2.66 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Exercise price (in dollars per share) | $ 2.66 | |||
Number of options, Options outstanding | shares | 710,914 | |||
Weighted average remaining contractual life (years), Options outstanding | 8 years 10 months 24 days | |||
Weighted average exercise price, Options outstanding | $ 2.660 | |||
Number of options, Options exercisable | shares | 300,113 | |||
Weighted average remaining contractual life (years), Options exercisable | 8 years 10 months 24 days | |||
Weighted average exercise price, Options exercisable | $ 2.660 | |||
$9.42 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Exercise price (in dollars per share) | $ 9.42 | |||
Number of options, Options outstanding | shares | 116,742 | |||
Weighted average remaining contractual life (years), Options outstanding | 9 years 2 months 12 days | |||
Weighted average exercise price, Options outstanding | $ 9.415 | |||
$15.87 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Exercise price (in dollars per share) | $ 15.87 | |||
Number of options, Options outstanding | shares | 23,620 | |||
Weighted average remaining contractual life (years), Options outstanding | 9 years 7 months 6 days | |||
Weighted average exercise price, Options outstanding | $ 15.870 | |||
$17.78 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Exercise price (in dollars per share) | $ 17.78 | |||
Number of options, Options outstanding | shares | 42,000 | |||
Weighted average remaining contractual life (years), Options outstanding | 9 years 10 months 24 days | |||
Weighted average exercise price, Options outstanding | $ 17.780 | |||
Number of options, Options exercisable | shares | 1,165 | |||
Weighted average remaining contractual life (years), Options exercisable | 9 years 10 months 24 days | |||
Weighted average exercise price, Options exercisable | $ 17.780 | |||
$19.14 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Exercise price (in dollars per share) | $ 19.14 | |||
Number of options, Options outstanding | shares | 3,760 | |||
Weighted average remaining contractual life (years), Options outstanding | 9 years 9 months 18 days | |||
Weighted average exercise price, Options outstanding | $ 19.140 | |||
$21.28 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Exercise price (in dollars per share) | $ 21.28 | |||
Number of options, Options outstanding | shares | 3,760 | |||
Weighted average remaining contractual life (years), Options outstanding | 9 years 8 months 12 days | |||
Weighted average exercise price, Options outstanding | $ 21.280 | |||
$22.45 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Exercise price (in dollars per share) | $ 22.45 | |||
Number of options, Options outstanding | shares | 147,000 | |||
Weighted average remaining contractual life (years), Options outstanding | 9 years 8 months 12 days | |||
Weighted average exercise price, Options outstanding | $ 22.450 |
Shareholders_ equity (deficit_8
Shareholders’ equity (deficit) - Share-based compensation - Weighted average assumptions for the options granted (Details) - Options - $ / shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based compensation | ||
Exercise price (in dollars per share) | $ 16.9000 | $ 2.0370 |
Share price (in dollars per share) | $ 16.9000 | $ 2.0370 |
Volatility (as a percent) | 80.00% | 82.00% |
Risk-free interest rate (as a percent) | 1.92% | 2.84% |
Expected life (in years) | 6 years 2 months 16 days | 6 years 3 months |
Dividend (as a percent) | 0.00% | 0.00% |
Shareholders_ equity (deficit_9
Shareholders’ equity (deficit) - Share-based compensation - Recognized share-based compensation expense (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based compensation | ||
Share-based compensation expense | $ 1,191 | $ 633 |
Administration | ||
Share-based compensation | ||
Share-based compensation expense | 574 | 209 |
Research and development | ||
Share-based compensation | ||
Share-based compensation expense | 495 | 371 |
Commercial activities | ||
Share-based compensation | ||
Share-based compensation expense | $ 122 | $ 53 |
Net loss per share (Details)
Net loss per share (Details) - shares | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Net loss per share | ||
Potentially dilutive securities excluded from the computation of diluted weighted average shares outstanding | 2,584,666 | 19,845,847 |
Redeemable convertible preferred shares | ||
Net loss per share | ||
Potentially dilutive securities excluded from the computation of diluted weighted average shares outstanding | 17,550,802 | |
Share options and unvested restricted share awards | ||
Net loss per share | ||
Potentially dilutive securities excluded from the computation of diluted weighted average shares outstanding | 2,584,666 | 2,295,045 |
Income taxes - Income Tax Expen
Income taxes - Income Tax Expense Reconciliation (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Loss before income taxes | $ (55,285) | $ (23,111) |
Basic income tax rate | 26.30% | 26.67% |
Computed income tax recovery | $ (14,542) | $ (6,164) |
Accounting charges not deductible for tax purposes | 23 | 12 |
Non-deductible share-based compensation | 317 | 169 |
Unrecorded potential tax benefits of current period losses and other tax assets | 16,829 | 6,183 |
Non-refundable investment tax credit used (earned) in the year | (145) | |
Share issue costs | (2,739) | |
Valuation allowance adjustment for prior year | 77 | |
Other | (21) | 19 |
Income tax expense reported in the consolidated statements of loss and comprehensive loss | (56) | 74 |
Scientific research and experimental development expenditures | 41,985 | $ 16,849 |
Canada Federal | ||
NOL Carry Forwards | 86,591 | |
Scientific research and experimental development expenditures | 9,377 | |
Quebec | ||
NOL Carry Forwards | 86,085 | |
Scientific research and experimental development expenditures | 11,127 | |
United States | ||
NOL Carry Forwards | $ 12,439 |
Income taxes - Deferred Tax Ass
Income taxes - Deferred Tax Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Income taxes | ||
Net operating loss carry-forwards | $ 25,965 | $ 12,209 |
Tax basis of property and equipment in excess of carrying values | 103 | 93 |
Federal SR&ED investment tax credits | 535 | 273 |
Taxation of federal SR&ED investment tax credits | (142) | (72) |
Research and development expenditures | 2,686 | 1,791 |
Financing costs | 2,103 | 138 |
Others | 16 | 21 |
Total gross deferred tax assets | 31,266 | 14,453 |
Valuation allowance | $ (31,266) | $ (14,453) |
Government assistance (Details)
Government assistance (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Government assistance | ||
Research and development expenditures eligible for investment tax credits | $ 392 | $ 257 |
Commitments (Details)
Commitments (Details) $ in Millions | Dec. 31, 2019USD ($) |
Commitments | |
Contractual commitments | $ 0 |
Currency risk (Details)
Currency risk (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Net financial position exposure | $ 1,531 | $ 263 |
Cash | ||
Net financial position exposure | 149 | 246 |
Short-term investments | ||
Net financial position exposure | 29 | |
Accounts payable and accrued liabilities | ||
Net financial position exposure | $ 1,680 | $ 538 |
Fair value of financial instr_2
Fair value of financial instruments (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Recurring | Level 1 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | |
Guaranteed investment certificates | $ 29 |