PDS Biotechnology (PDSB) 10-Q 6 Nov 15 2015 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2015	Oct. 31, 2015
Document and Entity Information [Abstract]
Entity Registrant Name	Edge Therapeutics, Inc.
Entity Central Index Key	1,472,091
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding		28,810,845
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q3
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2015

Balance Sheets (Unaudited)

Balance Sheets (Unaudited) - USD ($)	Sep. 30, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 52,879,907	$ 13,728,972
Prepaid expenses and other current assets	339,203	307,629
Deferred issuance costs	2,378,217	1,405,396
Total current assets	55,597,327	15,441,997
Property and equipment, net	2,781,885	1,443,982
Other assets	104,240	160,682
Total assets	58,483,452	17,046,661
Current liabilities:
Accounts payable	2,644,987	2,045,782
Accrued expenses	3,590,222	1,582,162
Short term debt	2,214,934	265,265
Total current liabilities	8,450,143	3,893,209
Noncurrent liability:
Warrant liability	3,726,043	1,671,106
Long term debt	3,686,084	2,527,686
STOCKHOLDERS' (DEFICIT) EQUITY
Common stock, $0.00033 par value, 38,500,000 shares and 35,000,000 shares authorized at September 30, 2015 and December 31, 2014, respectively, 1,688,475 shares issued and outstanding at September 30, 2015 and December 31, 2014, respectively	770	770
Additional paid-in capital	3,550,961	1,984,399
Accumulated deficit	(54,195,499)	(29,818,918)
Total stockholders' (deficit) equity	(50,643,768)	(27,833,749)
Total liabilities and stockholders' (deficit) equity	58,483,452	17,046,661
Convertible Preferred Stock - Series C-2 [Member]
Convertible preferred stock
Preferred stock	54,402,094	0
Convertible Preferred Stock - Series C-1 [Member]
Convertible preferred stock
Preferred stock	15,653,284	14,660,944
Convertible Preferred Stock - Series C [Member]
Convertible preferred stock
Preferred stock	18,943,183	17,861,076
Convertible Preferred Stock - Series B-1 [Member]
Convertible preferred stock
Preferred stock	477,191	477,191
Convertible Preferred Stock - Series B [Member]
Convertible preferred stock
Preferred stock	2,991,979	2,991,979
Convertible Preferred Stock - Series A [Member]
Convertible preferred stock
Preferred stock	$ 797,219	$ 797,219

Balance Sheets (Unaudited) (Par

Balance Sheets (Unaudited) (Parenthetical) - USD ($)	Sep. 30, 2015	Dec. 31, 2014
Convertible preferred stock
Preferred stock, shares authorized (in shares)	26,000,000
STOCKHOLDERS' (DEFICIT) EQUITY
Common stock, par value (in dollars per share)	$ 0.00033	$ 0.00033
Common stock, shares authorized (in shares)	38,500,000	35,000,000
Common stock, shares issued (in shares)	1,688,475	1,688,475
Common stock, shares outstanding (in shares)	1,688,475	1,688,475
Convertible Preferred Stock - Series C-2 [Member]
Convertible preferred stock
Preferred stock, shares authorized (in shares)	12,500,000
Preferred stock, shares issued (in shares)	12,043,006
Preferred stock, shares outstanding (in shares)	12,043,006
Preferred stock, liquidation preference	$ 72,184,822
Convertible Preferred Stock - Series C-1 [Member]
Convertible preferred stock
Preferred stock, shares authorized (in shares)	4,000,000
Preferred stock, shares issued (in shares)	3,558,890
Preferred stock, shares outstanding (in shares)	3,558,890
Preferred stock, liquidation preference	$ 21,810,953	$ 20,819,976
Convertible Preferred Stock - Series C [Member]
Convertible preferred stock
Preferred stock, shares authorized (in shares)	5,500,000
Preferred stock, shares issued (in shares)	4,697,314
Preferred stock, shares outstanding (in shares)	4,697,314
Preferred stock, liquidation preference	$ 26,211,433	25,128,853
Convertible Preferred Stock - Series B-1 [Member]
Convertible preferred stock
Preferred stock, shares authorized (in shares)	500,000
Preferred stock, shares issued (in shares)	359,935
Preferred stock, shares outstanding (in shares)	359,935
Preferred stock, liquidation preference	$ 629,886	629,886
Convertible Preferred Stock - Series B [Member]
Convertible preferred stock
Preferred stock, shares authorized (in shares)	2,500,000
Preferred stock, shares issued (in shares)	2,415,116
Preferred stock, shares outstanding (in shares)	2,415,116
Preferred stock, liquidation preference	$ 3,018,895	3,018,895
Convertible Preferred Stock - Series A [Member]
Convertible preferred stock
Preferred stock, shares authorized (in shares)	1,000,000
Preferred stock, shares issued (in shares)	864,500
Preferred stock, shares outstanding (in shares)	864,500
Preferred stock, liquidation preference	$ 864,500	$ 864,500

Statement of Operations (Unaudi

Statement of Operations (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Operating expenses:
Research and development expenses	$ 6,507,972	$ 2,418,915	$ 12,574,455	$ 5,636,021
General and administrative expenses	1,976,888	1,141,434	5,052,983	3,540,804
Total operating expenses	8,484,860	3,560,349	17,627,438	9,176,825
Loss from operations	(8,484,860)	(3,560,349)	(17,627,438)	(9,176,825)
Other income (expense):
Warrant remeasurement	(1,433,502)	89,293	(1,879,823)	183,817
Interest income	1,333	895	2,810	2,592
Interest expense	(213,021)	(47,972)	(615,047)	(47,972)
Loss before income taxes	(10,130,050)	(3,518,133)	(20,119,498)	(9,038,388)
Benefit for income taxes	0	0	0	0
Net loss	(10,130,050)	(3,518,133)	(20,119,498)	(9,038,388)
Cumulative dividend on Series C, C-1 and C-2 convertible preferred stock	(1,827,568)	(364,666)	(4,257,083)	(1,082,107)
Net loss attributable to common stockholders	$ (11,957,618)	$ (3,882,799)	$ (24,376,581)	$ (10,120,495)
Loss per share attributable to common stockholders basic and diluted (in dollars per share)	$ (7.08)	$ (2.30)	$ (14.44)	$ (5.99)
Weighted average common shares outstanding basic and diluted (in shares)	1,688,475	1,688,475	1,688,475	1,688,475

Statement of Cash Flows (Unaudi

Statement of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Cash flows from operating activities:
Net loss	$ (20,119,498)	$ (9,038,388)
Adjustments to reconcile net loss to net cash used in operating activities:
Stock-based compensation expense	1,566,562	1,030,215
Warrant remeasurement	1,879,823	(183,817)
Depreciation expense	38,360	23,474
Amortization of debt discount	79,400	8,822
Non-cash interest expense	28,667	1,596
Changes in assets and liabilities:
Other receivable	0	459,018
Prepaid expenses and other assets	78,814	170,315
Accounts payable	(126,415)	704,471
Accrued expenses	1,604,432	(6,361)
Net cash used in operating activities	(14,969,855)	(6,830,655)
Cash flows from investing activities:
Purchases of property and equipment	(799,424)	(265,150)
Net cash used in investing activities	(799,424)	(265,150)
Cash flows from financing activities:
Proceeds from issuance of debt	3,000,000	3,000,000
Payments for deferred issuance costs	(474,357)	(796,791)
Payments for debt issuance costs	0	(159,136)
Proceeds from issuance of preferred stock, net of issuance costs	52,394,571	0
Net cash provided by financing activities	54,920,214	2,044,073
Net increase (decrease) in cash	39,150,935	(5,051,732)
Cash and cash equivalents at beginning of period	13,728,972	7,858,169
Cash and cash equivalents at end of period	52,879,907	2,806,437
Cash paid for:
Interest	412,717	0
Supplemental cash flow information:
Deferred issuance costs included in accrued expenses and accounts payable	552,410	768,300
Non-cash financing costs	175,114	0
Accrued capital expenditures included in accrued expenses	$ 576,839	$ 365,981

Nature of Operations

Nature of Operations	9 Months Ended
	Sep. 30, 2015
Nature of Operations [Abstract]
Nature of Operations	Note 1 - Nature of Operations Edge Therapeutics, Inc. (the "Company") is a clinical-stage biotechnology company that discovers, develops and seeks to commercialize novel, hospital-based therapies capable of transforming treatment paradigms in the management of acute, life-threatening neurological conditions. The Company’s product candidates utilize its proprietary, programmable, biodegradable polymer-based development platform (the Precisa TM From the Company’s inception, it has devoted substantially all of its efforts to business planning, engaging regulatory, manufacturing and other technical consultants, acquiring operating assets, planning and executing clinical trials and raising capital. The Company’s future operations are highly dependent on a combination of factors, including (i) the success of its research and development; (ii) the development of competitive therapies by other biotechnology and pharmaceutical companies, and, ultimately; (iii) regulatory approval and market acceptance of the Company’s proposed future products. On September 21, 2015, the Company effected a reverse stock split of the Company’s common stock at a ratio of 1-for-1.3681 shares. The par value and authorized shares of common stock and convertible preferred stock were not adjusted as a result of the reverse stock split. All issued and outstanding common stock, options and warrants to purchase common stock and per share amounts contained in the financial statements have been retroactively adjusted to reflect the reverse stock split for all periods presented. The financial statements have also been retroactively adjusted to reflect adjustments to the conversion price for each series of convertible preferred stock effected in connection with the reverse stock split. On October 6, 2015, the Company completed an initial public offering (the “IPO”) of 8,412,423 shares of its common stock which included 1,097,272 shares of common stock issued upon the exercise in full by the underwriters of their over-allotment option at a price of $11.00 per share for aggregate gross proceeds of $92.5 million. The Company received approximately $83.2 million in net proceeds after deducting underwriting discounts and commissions and other offering costs of approximately $9.3 million. Immediately prior to the closing of the IPO, all of the outstanding shares of convertible preferred stock, including shares for accrued dividends, automatically converted into 18,566,856 shares of common stock at the applicable conversion ratio then in effect. As of October 31, 2015, there were no shares of preferred stock outstanding. In connection with the IPO, the Company amended and restated its Seventh Amended and Restated Certificate of Incorporation to change the authorized capital stock to 75,000,000 shares designated as common stock and 5,000,000 shares designated as preferred stock, all with a par value of $0.00033 per share.

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2015
Summary of Significant Accounting Policies [Abstract]
Summary of Significant Accounting Policies	Note 2 - Summary of Significant Accounting Policies (A) Unaudited Interim Financial Statements: The interim balance sheet at September 30, 2015, and the statements of operations for the three and nine months ended September 30, 2015 and 2014, and cash flows for the nine months ended September 30, 2015 and 2014 are unaudited. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”), and following the requirements of the Securities and Exchange Commission (“SEC”) for interim reporting. As permitted under those rules, certain footnotes or other financial information that are normally required by U.S. GAAP can be condensed or omitted. These financial statements have been prepared on the same basis as the Company’s annual consolidated financial statements and, in the opinion of management, reflect all adjustments, consisting only of normal recurring adjustments that are necessary for a fair statement of its financial information. The results of operations for the nine months ended September 30, 2015 are not necessarily indicative of the results to be expected for the year ending December 31, 2015 or for any other future annual or interim period. The balance sheet as of December 31, 2014 included herein was derived from the audited consolidated financial statements as of that date. These financial statements should be read in conjunction with the Company’s audited consolidated financial statements included in the prospectus dated September 30, 2015 that forms a part of the Company’s Registration Statement on Form S-1, filed with the SEC pursuant to Rule 424 promulgated under the Securities Act of 1933, as amended. (B) Use of estimates: The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. (C) Significant risks and uncertainties: The Company’s operations are subject to a number of factors that may affect its operating results and financial condition. Such factors include, but are not limited to: the results of clinical testing and trial activities of the Company’s product candidates, the Company’s ability to obtain regulatory approval to market its products, competition from products manufactured and sold or being developed by other companies, the price of, and demand for, Company products if approved for sale, the Company’s ability to negotiate favorable licensing or other manufacturing and marketing agreements for its products, and the Company’s ability to raise capital. The Company currently has no commercially approved products and there can be no assurance that the Company’s research and development programs will be successfully commercialized. Developing and commercializing a product requires significant time and capital and is subject to regulatory review and approval as well as competition from other biotechnology and pharmaceutical companies. The Company operates in an environment of rapid change and is dependent upon the continued services of its employees and consultants and obtaining and protecting its intellectual property. (D) Cash equivalents and concentration of cash balance: The Company considers all highly liquid securities with an original maturity of less than three months to be cash equivalents. The Company’s cash and cash equivalents in bank deposit accounts, at times, may exceed federally insured limits. (E) Research and development: Costs incurred in connection with research and development activities are expensed as incurred. These costs include licensing fees to use certain technology in the Company’s research and development projects as well as fees paid to consultants and various entities that perform certain research and testing on behalf of the Company. Costs for certain development activities, such as clinical trials, are recognized based on an evaluation of the progress to completion of specific tasks using data, such as patient enrollment, clinical site activations or information provided by vendors on their actual costs incurred. Payments for these activities are based on the terms of the individual arrangements, which may differ from the pattern of costs incurred. (F) Stock-based compensation: The Company measures employee stock-based awards at grant-date fair value and recognizes employee compensation expense on a straight-line basis over the vesting period of the award. Determining the appropriate fair value of stock-based awards requires the input of subjective assumptions, including the fair value of the Company’s common stock, and for stock options, the expected life of the option, and expected stock price volatility. The Company used the Black-Scholes option pricing model on a retrospective basis to value its stock option awards. The assumptions used in calculating the fair value of stock-based awards represent management’s best estimates and involve inherent uncertainties and the application of management’s judgment. As a result, if factors change and management uses different assumptions, stock-based compensation expense could be materially different for future awards. The expected life of stock options was estimated using the “simplified method,” as the Company has no historical information to develop reasonable expectations about future exercise patterns and employment duration for its stock options grants. The simplified method is based on the average of the vesting tranches and the contractual life of each grant. For stock price volatility, the Company uses comparable public companies as a basis for its expected volatility to calculate the fair value of options grants. The risk-free interest rate is based on U.S. Treasury notes with a term approximating the expected life of the option. The estimation of the number of stock awards that will ultimately vest requires judgment, and to the extent actual results or updated estimates differ from the Company’s current estimates, such amounts are recognized as an adjustment in the period in which estimates are revised. (G) Net loss per common share: Basic and diluted net loss per common share is determined by dividing net loss attributable to common stockholders by the weighted average common shares outstanding during the period. For all periods presented, the common shares underlying the preferred stock, common stock options and warrants have been excluded from the calculation because their effect would be anti-dilutive. Therefore, the weighted average shares outstanding used to calculate both basic and diluted loss per common share are the same. The following potentially dilutive securities have been excluded from the computations of diluted weighted average shares outstanding as they would be anti-dilutive: As of September 30, 2015 2014 Stock options to purchase Common Stock 4,227,022 2,445,690 Convertible preferred stock to purchase Common Stock 17,497,815 6,093,754 Warrants to purchase Common Stock 99,401 99,401 Warrants to purchase Series C Preferred Stock 338,536 338,536 Warrants to purchase Series C-1 Preferred Stock 332,484 78,596 Total 22,495,258 9,055,977 (H) Deferred costs: Deferred offering costs, which primarily consist of direct incremental legal and accounting fees relating to the IPO are capitalized. The deferred offering costs will be offset against IPO proceeds upon the consummation of the IPO. Debt issuance costs are amortized using the effective interest rate method and amortized to interest expense over the term of the debt. Debt issuance costs are reflected as other assets in the consolidated balance sheets. These offering costs will be charged to equity in connection with the closure of our IPO. See note 9. (I) Recently adopted standards: In April 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2015-03, “Interest-Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs.” The new standard requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. This standard is effective for annual reporting periods beginning after December 15, 2015, and interim periods within those fiscal years. The impact of adoption will be the presentation of debt on the Company’s balance sheet. In June 2014, the FASB issued ASU No. 2014-10, “Development Stage Entities (Topic 915): Elimination of Certain Financial Reporting Requirements, Including an Amendment to Variable Interest Entities Guidance in Topic 810, Consolidation.” The new standard eliminates the concept of a development stage entity (“DSE”) from US GAAP. Therefore, the current incremental reporting requirements for a DSE, including inception-to-date information, will no longer apply. This standard is effective for annual reporting periods beginning after December 15, 2014. Pursuant to ASU No. 2014-10, the Company has elected to early adopt this guidance and as a result, no longer discloses inception-to-date information.

Fair Value of Financial Instrum

Fair Value of Financial Instruments	9 Months Ended
	Sep. 30, 2015
Fair Value of Financial Instruments [Abstract]
Fair Value of Financial Instruments	Note 3 – Fair Value of Financial Instruments Fair Value Measurements at Reporting Date Using Total Quoted Prices in Active Markets (Level 1) Quoted Prices in Inactive Markets (Level 2) Significant (Level 3) As of September 30, 2015: (unaudited) Cash and cash equivalents $ 52,879,907 $ 52,879,907 $ - $ - Warrant Liability $ 3,726,043 $ - $ - $ 3,726,043 As of December 31, 2014: Cash and cash equivalents $ 13,728,972 $ 13,728,972 $ - $ - Warrant Liability $ 1,671,106 $ - $ - $ 1,671,106 There were no transfers between Levels 1, 2, or 3 during 2015 or 2014. Level 3 instruments consist of the Company’s Series C and Series C-1 convertible preferred stock warrant liability and common stock warrant liability. The fair values of the outstanding warrants were measured using the Black-Scholes option-pricing model (Note 8). Inputs used to determine estimated fair value of the warrant liabilities include the estimated fair value of the underlying stock at December 31, 2014 and the IPO price at September 30, 2015, the estimated term of the warrants, risk-free interest rates, expected dividends and the expected volatility of the underlying stock. The significant unobservable inputs used in the fair value measurement of the warrant liabilities were the fair value of the underlying stock at December 31, 2014 and the IPO price at September 30, 2015 and the estimated term of the warrants. Generally, increases (decreases) in the fair value of the underlying stock and estimated term would result in a directionally similar impact to the fair value measurement. Warrant Liability Fair value as of December 31, 2014 $ 1,671,106 Fair value of warrants issued 175,114 Change in fair value 1,879,823 Fair value as of September 30, 2015 $ 3,726,043

Accrued Expenses

Accrued Expenses	9 Months Ended
	Sep. 30, 2015
Accrued Expenses [Abstract]
Accrued Expenses	Note 4 – Accrued Expenses Accrued expenses and other liabilities consist of the following: September 30, December 31, 2015 2014 (unaudited) Accrued research and development costs $ 1,819,629 $ 471,267 Accrued professional fees 420,891 318,649 Accrued compensation 819,714 600,000 Accrued other 493,399 149,738 Deferred rent 36,589 42,508 Total $ 3,590,222 $ 1,582,162

Stock Options

Stock Options	9 Months Ended
	Sep. 30, 2015
Stock Options [Abstract]
Stock Options	Note 5 - Stock Options The Company has three equity compensation plans: the 2010 Equity Incentive Plan, the 2012 Equity Incentive Plan and the 2014 Equity Incentive Plan (the “Plans”). Originally, the Company was able to grant up to 548,206 and 1,096,411 shares of Common Stock as qualified and nonqualified stock options under the 2010 Equity Incentive Plan and the 2012 Equity Incentive Plan, respectively. Nonqualified stock options ("NQs”) may be granted to service providers. Incentive stock options (“ISOs”) may be granted only to employees. In 2013, the Company’s stockholders approved an increase to 1,279,146 shares authorized for issuance under the 2010 Equity Incentive Plan. In 2014, the Board approved an increase to 1,350,412 shares authorized for issuance under the 2010 Equity Incentive Plan. In 2014, the Company’s stockholders approved the 2014 Equity Incentive Plan pursuant to which the Company may grant up to 1,827,351 shares as qualified and nonqualified options (the “Plan Limit”). However, on January 1, 2015 and each January 1 st st Pursuant to the terms of the Plans, ISOs have a term of ten years from the date of grant or such shorter term as may be provided in the option agreement. Unless specified otherwise in an individual option agreement, ISOs generally vest over a four year term and NQs generally vest over a three or four year term. In the case of an ISO granted to an option holder who, at the time the ISO is granted, owns, directly or indirectly, stock representing more than ten percent (10%) of the total combined voting power of all classes of stock of the Company, the term of the ISO is five years from the date of grant or such shorter term as may be provided in the option agreement. Unless terminated by the Board, the Plans shall continue to remain effective for a term of ten years or until such time as no further awards may be granted and all awards granted under the Plans are no longer outstanding. The Company’s stock-based compensation expense was recognized in operating expense as follows: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Stock Based Compensation Research and development $ 273,782 $ 142,753 $ 702,322 $ 457,377 General and administrative 338,096 137,237 864,240 572,838 Total $ 611,878 $ 279,990 $ 1,566,562 $ 1,030,215 The fair value of options and warrants granted during the three and nine months ended September 30, 2015 and 2014 was estimated using the Black-Scholes option valuation model utilizing the following assumptions: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Weighted Weighted Weighted Weighted Volatility 79.80 % 75.00 % 79.80 % 75.54 % Risk-Free Interest Rate 1.59 % 1.88 % 1.74 % 1.96 % Expected Term in Years 6.08 5.95 6.08 5.78 Dividend Rate 0.00 % 0.00 % 0.00 % 0.00 % Fair Value of Option on Grant Date $ 7.51 $ 4.68 $ 5.22 $ 5.35 The following table summarizes the number of options outstanding and the weighted average exercise price: Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Life in Years Aggregate Intrinsic Value Options outstanding at December 31, 2014 2,445,713 $ 3.13 Granted 1,822,609 7.56 Exercised - - Forfeited (30,640 ) 7.98 Expirations (10,660 ) 8.28 Options outstanding at September 30, 2015 4,227,022 $ 5.00 8.36 $ 25,377,366 Vested and expected to vest at September 30, 2015 4,121,868 $ 4.94 8.33 $ 24,969,093 Exercisable at September 30, 2015 1,799,999 $ 2.94 7.32 $ 14,501,041 At September 30, 2015 there was approximately $9,846,902 of unamortized stock compensation expense, which is expected to be recognized over a remaining average vesting period of 1.56 years.

Convertible Preferred Stock

Convertible Preferred Stock	9 Months Ended
	Sep. 30, 2015
Convertible Preferred Stock [Abstract]
Convertible Preferred Stock	Note 6 - Convertible Preferred Stock The Company sold Convertible Preferred Stock as follows: Issue Date Series Number of Shares Price per Share Proceeds (in thousands) Common Stock Conversion Price Common shares on conversion Offer Costs (in thousands) 2009 A 390,486 $ 1.00 $ 390 $ 1.37 285,422 $ 25 2010 A 474,014 $ 1.00 $ 474 $ 1.37 346,476 $ 43 2011 B 2,333,000 $ 1.25 $ 2,916 $ 1.71 1,705,284 $ 27 2011 (1) B 82,116 $ 1.25 $ 103 $ 1.71 60,021 --- 2012 B-1 359,935 $ 1.75 $ 630 $ 2.39 263,091 $ 153 2013 C 4,631,505 $ 3.85 $ 17,831 $ 5.27 3,385,355 $ 2,747 2013 (2) C 65,809 $ 3.85 $ 253 $ 5.27 48,102 --- 2014 C-1 3,558,890 $ 4.65 $ 16,549 $ 6.36 2,601,337 $ 2,022 2015 C-2 12,043,006 $ 4.65 $ 56,000 $ 6.36 8,802,723 $ 3,783 (1) Conversion of $100,000 NJEDA Note plus accrued interest of $2,645. (2) Conversion of $250,000 promissory note plus accrued interest of $3,365. Offering costs associated with each issuance were recorded against such proceeds. Preferred Stock Warrants In connection with our preferred stock sales and debt issuances we issued warrants to the placement agent and lender, for preferred stock. The warrants are recorded as liabilities with changes in fair value being recorded in the statement of operations and are calculated utilizing the Black-Scholes option pricing model. At the IPO date of October 6, 2015 these warrants become exercisable for shares of our common stock. These warrants are now exercisable for 671,020 shares of common stock at exercise prices ranging from $5.79 to $7.00 and expire at various dates through 2020. Voting Rights Holders of shares of Series A, Series B, Series B-1, Series C, Series C-1 and Series C-2 Convertible Preferred Stock are entitled to vote on as if converted to Common Stock basis, except that certain defined transactions require specific Series A, Series B, Series B-1, Series C, Series C-1 and Series C-2 stockholder approval pursuant to their respective rights. Liquidation Preferences The holders of shares of Series C, Series C-1 and Series C-2 Convertible Preferred Stock shall be entitled to receive, in preference to all other holders of Convertible Preferred Stock, 125% of the respective original purchase price of the shares of Series C, Series C-1 or Series C-2 Convertible Preferred Stock, plus all accrued and unpaid dividends, and second, the holders of shares of Series A, Series B and Series B-1 Convertible Preferred Stock shall be entitled to receive, in preference to the holders of the shares of Common Stock, the respective original purchase prices of the shares of Series A, Series B and Series B-1 Convertible Preferred Stock in proportion to the full preferential amount that all shares of the Series A, Series B and Series B-1 Convertible Preferred Stock are entitled to receive. The Convertible Preferred Stock is not redeemable. Dividends The holders of the Series C, Series C-1 and Series C-2 Convertible Preferred Stock are entitled to receive, when, as and if declared by the board, cumulative dividends at the rate of 8% of the original purchase price per annum. The Series C, Series C-1 and Series C-2 dividends accrue from the date of issuance and are payable semi-annually on January 1 and July 1 in cash or common stock at the Company’s option. In accordance with accounting literature, Series C, Series C-1 and Series C-2 dividends since the date of issuance have been accrued though no dividends have been declared by the Board through September 30, 2015. The other series of Convertible Preferred Stock have no dividend requirement. If dividends were declared then preference is given in order to the Series B-1, Series B, and Series A. Such dividends shall only be payable when, and if declared and are not cumulative. Through September 30, 2015, the Company has not declared any dividends. Conversion Rights The holders of shares of Series A, Series B, Series B-1, Series C, Series C-1 and Series C-2 Convertible Preferred Stock have the right to convert all or a portion of such shares at any time into shares of Common Stock. At the closing of the IPO, all of the outstanding shares of convertible preferred stock including shares for accrued dividends were automatically converted into 18,566,856 shares of common stock. See Note 9.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2015
Commitments and Contingencies [Abstract]
Commitments and Contingencies	Note 7 – Commitments and Contingencies Evonik The Company entered into an agreement with SurModics Pharmaceuticals, Inc. in October 2010 for the exclusive worldwide licensing of certain technology, patent rights and know-how rights related to the production of EG-1962, the Company’s lead product candidate. This agreement was later transferred to Evonik Industries when it purchased substantially all the assets of SurModics Pharmaceuticals, Inc. In exchange for the license, the Company agreed to make milestone payments totaling up to $14.75 million upon the achievement of certain development, regulatory and sales milestones detailed in the license agreement. In addition, the agreement calls for the Company to pay royalties based on a mid-single digit percentage of net sales. The agreement provides for the reduction of royalties in certain limited circumstances. In September 2015, the Company and Evonik entered into Amendment No. 1 to the license agreement. This amendment clarified the Company's obligations to pay Evonik certain royalty and milestone payments in respect of licensed product whether or not manufactured by Evonik and removed its obligation to negotiate exclusively with Evonik for Phase 3 and commercial supply of EG-1962. The term of the license agreement will continue until the expiration of the Company's obligation to pay royalties to Evonik. Either party may terminate the license agreement due to material breach by the other party. Evonik may terminate the license agreement or convert it to a non-exclusive license, in either case upon giving the Company written notice, if the Company fails to use commercially reasonable efforts to hit certain specified development, regulatory and commercial milestones. Employment Agreements The Company has entered into employment agreements with each of its executives. The agreements generally provide for, among other things, salary, bonus and severance payments. The employment agreements provide for between 12 months and 18 months of severance benefits to be paid to an executive (as well as certain potential bonus, COBRA and equity award benefits), subject to the effectiveness of a general release of claims, if the executive terminates his employment for good reason or if the Company terminates the executive’s employment without cause. The continued provision of severance benefits is conditioned on each executive’s compliance with the terms of the Company’s Officer’s Confidentiality and Invention and Assignment Agreement as well as his release of claims. Leases Effective December 13, 2013 the Company entered into a 63 month lease for approximately 8,000 square feet of office space in Berkeley Heights, New Jersey. Rent expense is recognized on a straight line basis where there is escalating payments, and was approximately $58,271 and $53,982 for the three months ended September 30, 2015 and 2014, respectively, and $149,371 and $173,679 for the nine months ended September 30, 2015 and 2014, respectively. The following is a schedule by years of future minimum rental payments required under operating leases that have initial or remaining non-cancelable lease terms in excess of one year as of September 30, 2015: Year ended December 31, 2015 (remaining) $ 57,238 2016 232,350 2017 232,221 2018 236,307 2019 and after 39,498 Total minimum payments required $ 797,614

Debt

Debt	9 Months Ended
	Sep. 30, 2015
Debt [Abstract]
Debt	Note 8 - Debt On August 28, 2014, the Company entered into a loan and security agreement. The loan agreement provides funding for an aggregate principal amount of up to $10,000,000 in three separate term loans. The first term loan was funded on August 28, 2014 in the amount of $3,000,000 and matures on March 1, 2018. The terms of the loan agreement were amended following the completion of the Series C-1 preferred stock round of financing to allow for the drawdown of the second tranche of $3,000,000. This second tranche was funded on January 29, 2015. The Company elected not to draw the third tranche of $4.0 million, the availability of which expired on June 30, 2015. Initially, the loans bore interest at a rate per annum equal to the greater of (i) 10.45% or (ii) the sum of (a) 10.45% plus the prime rate (as reported in The Wall Street Journal The Wall Street Journal Commencing in October 2015, the loans will amortize in equal monthly installments of principal and interest over 30 months. On the maturity date or the date the loans otherwise become due, the Company must also pay additional interest equal to 1.5% of the total amounts funded under the loan agreement. In addition, if the Company prepays any of the term loans during the first year following the initial closing, the Company must pay a prepayment charge equal to 3% of the amount being prepaid, if the Company prepays any of the term loans during the second year following the initial closing, the Company must pay a prepayment charge equal to 2% of the amount being prepaid, and if the Company prepays any of the term loans after the second year following the initial closing, the Company must pay a prepayment charge of 1% of the amount being prepaid. The term loans are secured by substantially all of our assets, other than intellectual property, which is the subject of a negative pledge. Under the loan agreement, the Company is subject to certain customary covenants that limit or restrict its ability to, among other things, incur additional indebtedness, grant any security interests, pay cash dividends, repurchase its common stock, make loans, or enter into certain transactions without prior consent. The lender under the agreement has the right to convert in an unregistered financing of the Company’s convertible preferred stock or other senior equity securities or instruments exercisable for the foregoing of up to $1,000,000 of the principal amount of any term loan advance for securities being issued in such financing on the same terms afforded to others participating in such financing and to invest up to $1,000,000 in that same subsequent unregistered financing on the same terms afforded to others participating in such financing. The lender did not exercise this conversion right but did exercise its right to participate in the Series C-2 preferred stock financing and invested $1.0 million in the Series C-2 Convertible Preferred Stock on April 6, 2015. The lender’s conversion and investment rights did not apply to the IPO. Future principal payments on the note as of September 30, 2015 were as follows: Year Ending in December 31: (000's) 2015 remaining $ 534 2016 2,271 2017 2,513 2018 682 $ 6,000 The estimated fair value of the debt (categorized as a Level 2 liability for fair value measurement purposes) is determined using current market factors and the ability of the Company to obtain debt at comparable terms to those that are currently in place. The Company believes the estimated fair value at September 30, 2015 approximates the carrying amount.

Subsequent Events

Subsequent Events	9 Months Ended
	Sep. 30, 2015
Subsequent Events [Abstract]
Subsequent Events	Note 9- Subsequent Events On October 6, 2015, the Company completed an IPO of 8,412,423 shares of its common stock which included 1,097,272 shares of common stock issued upon the exercise in full by the underwriters of their over-allotment option at a price of $11.00 per share for aggregate gross proceeds of $92.5 million. The Company received approximately $83.2 million in net proceeds after deducting underwriting discounts and commissions and other offering costs of approximately $9.3 million. Immediately prior to the closing of the IPO, all of the outstanding shares of convertible preferred stock, including shares for accrued dividends, automatically converted into 18,566,856 shares of common stock at the applicable conversion ratio then in effect. As of October 31, 2015, there were no shares of preferred stock outstanding. In connection with the IPO, the Company amended and restated its Seventh Amended and Restated Certificate of Incorporation to change the authorized capital stock to 75,000,000 shares designated as common stock and 5,000,000 shares designated as preferred stock, all with a par value of $0.00033 per share. The financial statements as of September 30, 2015, including share and per share amounts, do not give effect to the IPO.

Summary of Significant Accoun15

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2015
Summary of Significant Accounting Policies [Abstract]
Unaudited Interim Financial Statements	(A) Unaudited Interim Financial Statements: The interim balance sheet at September 30, 2015, and the statements of operations for the three and nine months ended September 30, 2015 and 2014, and cash flows for the nine months ended September 30, 2015 and 2014 are unaudited. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”), and following the requirements of the Securities and Exchange Commission (“SEC”) for interim reporting. As permitted under those rules, certain footnotes or other financial information that are normally required by U.S. GAAP can be condensed or omitted. These financial statements have been prepared on the same basis as the Company’s annual consolidated financial statements and, in the opinion of management, reflect all adjustments, consisting only of normal recurring adjustments that are necessary for a fair statement of its financial information. The results of operations for the nine months ended September 30, 2015 are not necessarily indicative of the results to be expected for the year ending December 31, 2015 or for any other future annual or interim period. The balance sheet as of December 31, 2014 included herein was derived from the audited consolidated financial statements as of that date. These financial statements should be read in conjunction with the Company’s audited consolidated financial statements included in the prospectus dated September 30, 2015 that forms a part of the Company’s Registration Statement on Form S-1, filed with the SEC pursuant to Rule 424 promulgated under the Securities Act of 1933, as amended.
Use of Estimates	(B) Use of estimates: The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Significant Risks and Uncertainties	(C) Significant risks and uncertainties: The Company’s operations are subject to a number of factors that may affect its operating results and financial condition. Such factors include, but are not limited to: the results of clinical testing and trial activities of the Company’s product candidates, the Company’s ability to obtain regulatory approval to market its products, competition from products manufactured and sold or being developed by other companies, the price of, and demand for, Company products if approved for sale, the Company’s ability to negotiate favorable licensing or other manufacturing and marketing agreements for its products, and the Company’s ability to raise capital. The Company currently has no commercially approved products and there can be no assurance that the Company’s research and development programs will be successfully commercialized. Developing and commercializing a product requires significant time and capital and is subject to regulatory review and approval as well as competition from other biotechnology and pharmaceutical companies. The Company operates in an environment of rapid change and is dependent upon the continued services of its employees and consultants and obtaining and protecting its intellectual property.
Cash Equivalents and Concentration of Cash Balance	(D) Cash equivalents and concentration of cash balance: The Company considers all highly liquid securities with an original maturity of less than three months to be cash equivalents. The Company’s cash and cash equivalents in bank deposit accounts, at times, may exceed federally insured limits.
Research and Development	(E) Research and development: Costs incurred in connection with research and development activities are expensed as incurred. These costs include licensing fees to use certain technology in the Company’s research and development projects as well as fees paid to consultants and various entities that perform certain research and testing on behalf of the Company. Costs for certain development activities, such as clinical trials, are recognized based on an evaluation of the progress to completion of specific tasks using data, such as patient enrollment, clinical site activations or information provided by vendors on their actual costs incurred. Payments for these activities are based on the terms of the individual arrangements, which may differ from the pattern of costs incurred.
Stock-Based Compensation	(F) Stock-based compensation: The Company measures employee stock-based awards at grant-date fair value and recognizes employee compensation expense on a straight-line basis over the vesting period of the award. Determining the appropriate fair value of stock-based awards requires the input of subjective assumptions, including the fair value of the Company’s common stock, and for stock options, the expected life of the option, and expected stock price volatility. The Company used the Black-Scholes option pricing model on a retrospective basis to value its stock option awards. The assumptions used in calculating the fair value of stock-based awards represent management’s best estimates and involve inherent uncertainties and the application of management’s judgment. As a result, if factors change and management uses different assumptions, stock-based compensation expense could be materially different for future awards. The expected life of stock options was estimated using the “simplified method,” as the Company has no historical information to develop reasonable expectations about future exercise patterns and employment duration for its stock options grants. The simplified method is based on the average of the vesting tranches and the contractual life of each grant. For stock price volatility, the Company uses comparable public companies as a basis for its expected volatility to calculate the fair value of options grants. The risk-free interest rate is based on U.S. Treasury notes with a term approximating the expected life of the option. The estimation of the number of stock awards that will ultimately vest requires judgment, and to the extent actual results or updated estimates differ from the Company’s current estimates, such amounts are recognized as an adjustment in the period in which estimates are revised.
Net Loss per Common Share	(G) Net loss per common share: Basic and diluted net loss per common share is determined by dividing net loss attributable to common stockholders by the weighted average common shares outstanding during the period. For all periods presented, the common shares underlying the preferred stock, common stock options and warrants have been excluded from the calculation because their effect would be anti-dilutive. Therefore, the weighted average shares outstanding used to calculate both basic and diluted loss per common share are the same. The following potentially dilutive securities have been excluded from the computations of diluted weighted average shares outstanding as they would be anti-dilutive: As of September 30, 2015 2014 Stock options to purchase Common Stock 4,227,022 2,445,690 Convertible preferred stock to purchase Common Stock 17,497,815 6,093,754 Warrants to purchase Common Stock 99,401 99,401 Warrants to purchase Series C Preferred Stock 338,536 338,536 Warrants to purchase Series C-1 Preferred Stock 332,484 78,596 Total 22,495,258 9,055,977
Deferred Costs	(H) Deferred costs: Deferred offering costs, which primarily consist of direct incremental legal and accounting fees relating to the IPO are capitalized. The deferred offering costs will be offset against IPO proceeds upon the consummation of the IPO. Debt issuance costs are amortized using the effective interest rate method and amortized to interest expense over the term of the debt. Debt issuance costs are reflected as other assets in the consolidated balance sheets. These offering costs will be charged to equity in connection with the closure of our IPO. See note 9.
Recently Adopted Standards	(I) Recently adopted standards: In April 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2015-03, “Interest-Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs.” The new standard requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. This standard is effective for annual reporting periods beginning after December 15, 2015, and interim periods within those fiscal years. The impact of adoption will be the presentation of debt on the Company’s balance sheet. In June 2014, the FASB issued ASU No. 2014-10, “Development Stage Entities (Topic 915): Elimination of Certain Financial Reporting Requirements, Including an Amendment to Variable Interest Entities Guidance in Topic 810, Consolidation.” The new standard eliminates the concept of a development stage entity (“DSE”) from US GAAP. Therefore, the current incremental reporting requirements for a DSE, including inception-to-date information, will no longer apply. This standard is effective for annual reporting periods beginning after December 15, 2014. Pursuant to ASU No. 2014-10, the Company has elected to early adopt this guidance and as a result, no longer discloses inception-to-date information.

Summary of Significant Accoun16

Summary of Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2015
Summary of Significant Accounting Policies [Abstract]
Potentially Dilutive Securities Excluded from Computations of Diluted Weighted Average Shares Outstanding	The following potentially dilutive securities have been excluded from the computations of diluted weighted average shares outstanding as they would be anti-dilutive: As of September 30, 2015 2014 Stock options to purchase Common Stock 4,227,022 2,445,690 Convertible preferred stock to purchase Common Stock 17,497,815 6,093,754 Warrants to purchase Common Stock 99,401 99,401 Warrants to purchase Series C Preferred Stock 338,536 338,536 Warrants to purchase Series C-1 Preferred Stock 332,484 78,596 Total 22,495,258 9,055,977

Fair Value of Financial Instr17

Fair Value of Financial Instruments (Tables)	9 Months Ended
	Sep. 30, 2015
Fair Value of Financial Instruments [Abstract]
Fair Value of Financial Instruments	Fair Value Measurements at Reporting Date Using Total Quoted Prices in Active Markets (Level 1) Quoted Prices in Inactive Markets (Level 2) Significant (Level 3) As of September 30, 2015: (unaudited) Cash and cash equivalents $ 52,879,907 $ 52,879,907 $ - $ - Warrant Liability $ 3,726,043 $ - $ - $ 3,726,043 As of December 31, 2014: Cash and cash equivalents $ 13,728,972 $ 13,728,972 $ - $ - Warrant Liability $ 1,671,106 $ - $ - $ 1,671,106
Significant Unobservable Input Reconciliation	Level 3 instruments consist of the Company’s Series C and Series C-1 convertible preferred stock warrant liability and common stock warrant liability. The fair values of the outstanding warrants were measured using the Black-Scholes option-pricing model (Note 8). Inputs used to determine estimated fair value of the warrant liabilities include the estimated fair value of the underlying stock at December 31, 2014 and the IPO price at September 30, 2015, the estimated term of the warrants, risk-free interest rates, expected dividends and the expected volatility of the underlying stock. The significant unobservable inputs used in the fair value measurement of the warrant liabilities were the fair value of the underlying stock at December 31, 2014 and the IPO price at September 30, 2015 and the estimated term of the warrants. Generally, increases (decreases) in the fair value of the underlying stock and estimated term would result in a directionally similar impact to the fair value measurement. Warrant Liability Fair value as of December 31, 2014 $ 1,671,106 Fair value of warrants issued 175,114 Change in fair value 1,879,823 Fair value as of September 30, 2015 $ 3,726,043

Accrued Expenses (Tables)

Accrued Expenses (Tables)	9 Months Ended
	Sep. 30, 2015
Accrued Expenses [Abstract]
Accrued Expenses and Other Liabilities	Accrued expenses and other liabilities consist of the following: September 30, December 31, 2015 2014 (unaudited) Accrued research and development costs $ 1,819,629 $ 471,267 Accrued professional fees 420,891 318,649 Accrued compensation 819,714 600,000 Accrued other 493,399 149,738 Deferred rent 36,589 42,508 Total $ 3,590,222 $ 1,582,162

Stock Options (Tables)

Stock Options (Tables)	9 Months Ended
	Sep. 30, 2015
Stock Options [Abstract]
Stock-Based Compensation Expense	The Company’s stock-based compensation expense was recognized in operating expense as follows: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Stock Based Compensation Research and development $ 273,782 $ 142,753 $ 702,322 $ 457,377 General and administrative 338,096 137,237 864,240 572,838 Total $ 611,878 $ 279,990 $ 1,566,562 $ 1,030,215
Assumptions Used in Valuing Stock Options and Warrants Granted	The fair value of options and warrants granted during the three and nine months ended September 30, 2015 and 2014 was estimated using the Black-Scholes option valuation model utilizing the following assumptions: Three Months Ended September 30, Nine Months Ended September 30, 2015 2014 2015 2014 Weighted Weighted Weighted Weighted Volatility 79.80 % 75.00 % 79.80 % 75.54 % Risk-Free Interest Rate 1.59 % 1.88 % 1.74 % 1.96 % Expected Term in Years 6.08 5.95 6.08 5.78 Dividend Rate 0.00 % 0.00 % 0.00 % 0.00 % Fair Value of Option on Grant Date $ 7.51 $ 4.68 $ 5.22 $ 5.35
Stock Option Activity	The following table summarizes the number of options outstanding and the weighted average exercise price: Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Life in Years Aggregate Intrinsic Value Options outstanding at December 31, 2014 2,445,713 $ 3.13 Granted 1,822,609 7.56 Exercised - - Forfeited (30,640 ) 7.98 Expirations (10,660 ) 8.28 Options outstanding at September 30, 2015 4,227,022 $ 5.00 8.36 $ 25,377,366 Vested and expected to vest at September 30, 2015 4,121,868 $ 4.94 8.33 $ 24,969,093 Exercisable at September 30, 2015 1,799,999 $ 2.94 7.32 $ 14,501,041

Convertible Preferred Stock (Ta

Convertible Preferred Stock (Tables)	9 Months Ended
	Sep. 30, 2015
Convertible Preferred Stock [Abstract]
Convertible Preferred Stock	The Company sold Convertible Preferred Stock as follows: Issue Date Series Number of Shares Price per Share Proceeds (in thousands) Common Stock Conversion Price Common shares on conversion Offer Costs (in thousands) 2009 A 390,486 $ 1.00 $ 390 $ 1.37 285,422 $ 25 2010 A 474,014 $ 1.00 $ 474 $ 1.37 346,476 $ 43 2011 B 2,333,000 $ 1.25 $ 2,916 $ 1.71 1,705,284 $ 27 2011 (1) B 82,116 $ 1.25 $ 103 $ 1.71 60,021 --- 2012 B-1 359,935 $ 1.75 $ 630 $ 2.39 263,091 $ 153 2013 C 4,631,505 $ 3.85 $ 17,831 $ 5.27 3,385,355 $ 2,747 2013 (2) C 65,809 $ 3.85 $ 253 $ 5.27 48,102 --- 2014 C-1 3,558,890 $ 4.65 $ 16,549 $ 6.36 2,601,337 $ 2,022 2015 C-2 12,043,006 $ 4.65 $ 56,000 $ 6.36 8,802,723 $ 3,783 (1) Conversion of $100,000 NJEDA Note plus accrued interest of $2,645. (2) Conversion of $250,000 promissory note plus accrued interest of $3,365.

Commitments and Contingencies (

Commitments and Contingencies (Tables)	9 Months Ended
	Sep. 30, 2015
Commitments and Contingencies [Abstract]
Future Minimum Rental Payments Required under Operating Leases	The following is a schedule by years of future minimum rental payments required under operating leases that have initial or remaining non-cancelable lease terms in excess of one year as of September 30, 2015: Year ended December 31, 2015 (remaining) $ 57,238 2016 232,350 2017 232,221 2018 236,307 2019 and after 39,498 Total minimum payments required $ 797,614

Debt (Tables)

Debt (Tables)	9 Months Ended
	Sep. 30, 2015
Debt [Abstract]
Future Principal Payments	Future principal payments on the note as of September 30, 2015 were as follows: Year Ending in December 31: (000's) 2015 remaining $ 534 2016 2,271 2017 2,513 2018 682 $ 6,000

Nature of Operations (Details)

Nature of Operations (Details) $ / shares in Units, $ in Millions	Oct. 06, 2015USD ($)$ / sharesshares	Sep. 21, 2015	Sep. 30, 2015$ / sharesshares	Oct. 31, 2015shares	Dec. 31, 2014$ / sharesshares
Nature of Operations [Abstract]
Reverse stock split			ratio of 1-for-1.3681
Stock split conversion ratio		0.7309
Completion of IPO [Abstract]
Common stock, shares authorized (in shares)			38,500,000		35,000,000
Preferred stock, shares authorized (in shares)			26,000,000
Common stock, par value (in dollars per share) | $ / shares			$ 0.00033		$ 0.00033
Subsequent Event [Member]
Completion of IPO [Abstract]
Sales price per share (in dollars per share) | $ / shares	$ 11
Gross proceeds from issuance of common stock | $	$ 92.5
Net proceeds from issuance of common stock | $	83.2
Underwriting discounts, commissions and other offering costs | $	$ 9.3
Common shares issued upon conversion of preferred stock (in shares)	18,566,856
Preferred stock, shares outstanding (in shares)				0
Common stock, shares authorized (in shares)	75,000,000
Preferred stock, shares authorized (in shares)	5,000,000
Common stock, par value (in dollars per share) | $ / shares	$ 0.00033
Subsequent Event [Member] | IPO [Member]
Completion of IPO [Abstract]
Shares of common stock sold (in shares)	8,412,423
Subsequent Event [Member] | Over-Allotment Option [Member]
Completion of IPO [Abstract]
Shares of common stock sold (in shares)	1,097,272

Summary of Significant Accoun24

Summary of Significant Accounting Policies (Details) - shares	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Net Loss per Common Share [Abstract]
Antidilutive securities excluded from computation of earnings per share (in shares)	22,495,258	9,055,977
Stock Options to Purchase Common Stock [Member]
Net Loss per Common Share [Abstract]
Antidilutive securities excluded from computation of earnings per share (in shares)	4,227,022	2,445,690
Convertible Preferred Stock to Purchase Common Stock [Member]
Net Loss per Common Share [Abstract]
Antidilutive securities excluded from computation of earnings per share (in shares)	17,497,815	6,093,754
Warrants to Purchase Common Stock [Member]
Net Loss per Common Share [Abstract]
Antidilutive securities excluded from computation of earnings per share (in shares)	99,401	99,401
Warrants to Purchase Series C Preferred Stock [Member]
Net Loss per Common Share [Abstract]
Antidilutive securities excluded from computation of earnings per share (in shares)	338,536	338,536
Warrants to Purchase Series C-1 Preferred Stock [Member]
Net Loss per Common Share [Abstract]
Antidilutive securities excluded from computation of earnings per share (in shares)	332,484	78,596

Fair Value of Financial Instr25

Fair Value of Financial Instruments (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014	Dec. 31, 2014
Fair Value of Financial Instruments [Abstract]
Cash and cash equivalents	$ 52,879,907		$ 52,879,907		$ 13,728,972
Warrant liability	3,726,043		3,726,043		1,671,106
Fair Value Transfers Between Levels [Abstract]
Transfers from Level 1 to Level 2, assets	0	$ 0	0	$ 0
Transfers from Level 1 to Level 2, liabilities	0	0	0	0
Transfers from Level 2 to Level 1, assets	0	0	0	0
Transfers from Level 2 to Level 1, liabilities	0	0	0	0
Transfers into Level 3, assets			0	0
Transfers into Level 3, liabilities			0	0
Transfers out of Level 3, assets			0	0
Transfers out of Level 3, liabilities			0	0
Significant Unobservable Input Reconciliation [Roll Forward]
Change in fair value	1,433,502	$ (89,293)	1,879,823	$ (183,817)
Warrant Liability [Member]
Significant Unobservable Input Reconciliation [Roll Forward]
Fair value, beginning balance			1,671,106
Fair value of warrants issued			175,114
Change in fair value			1,879,823
Fair value, ending balance	3,726,043		3,726,043
Quoted Prices in Active Markets (Level 1) [Member]
Fair Value of Financial Instruments [Abstract]
Cash and cash equivalents	52,879,907		52,879,907		13,728,972
Warrant liability	0		0		0
Quoted Prices in Inactive Markets (Level 2) [Member]
Fair Value of Financial Instruments [Abstract]
Cash and cash equivalents	0		0		0
Warrant liability	0		0		0
Significant (Level 3) [Member]
Fair Value of Financial Instruments [Abstract]
Cash and cash equivalents	0		0		0
Warrant liability	$ 3,726,043		$ 3,726,043		$ 1,671,106

Accrued Expenses (Details)

Accrued Expenses (Details) - USD ($)	Sep. 30, 2015	Dec. 31, 2014
Accrued Expenses [Abstract]
Accrued research and development costs	$ 1,819,629	$ 471,267
Accrued professional fees	420,891	318,649
Accrued compensation	819,714	600,000
Accrued other	493,399	149,738
Deferred rent	36,589	42,508
Total	$ 3,590,222	$ 1,582,162

Stock Options, Equity Compensat

Stock Options, Equity Compensation Plans (Details)	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2015USD ($)Plan$ / shares	Sep. 30, 2014USD ($)$ / shares	Sep. 30, 2015USD ($)Plan$ / sharesshares	Sep. 30, 2014USD ($)$ / shares	Dec. 31, 2014shares	Jan. 02, 2015shares	Dec. 31, 2013shares	Dec. 31, 2012shares	Dec. 31, 2010shares
Stock Options [Abstract]
Number of equity compensation plans | Plan	3		3
Stock-Based Compensation [Abstract]
Stock-based compensation expense | $	$ 611,878	$ 279,990	$ 1,566,562	$ 1,030,215
Assumptions Used in Determining Fair Value of Stock Options and Warrants Granted [Abstract]
Volatility	79.80%	75.00%	79.80%	75.54%
Risk-free interest rate	1.59%	1.88%	1.74%	1.96%
Expected term	6 years 29 days	5 years 11 months 12 days	6 years 29 days	5 years 9 months 11 days
Dividend rate	0.00%	0.00%	0.00%	0.00%
Fair value of option on grant date (in dollars per share) | $ / shares	$ 7.51	$ 4.68	$ 5.22	$ 5.35
Incentive Stock Options [Member]
Stock Options [Abstract]
Vesting period			4 years
Percentage of total combined voting power of all classes of stock held by an option holder			10.00%
Incentive Stock Options [Member] | Minimum [Member]
Stock Options [Abstract]
Term of option			5 years
Incentive Stock Options [Member] | Maximum [Member]
Stock Options [Abstract]
Term of option			10 years
Nonqualified Stock Options [Member] | Minimum [Member]
Stock Options [Abstract]
Vesting period			3 years
Nonqualified Stock Options [Member] | Maximum [Member]
Stock Options [Abstract]
Vesting period			4 years
The Plans [Member] | Stock Options [Member]
Stock Options [Abstract]
Options granted (in shares)			1,822,609
2010 Equity Incentive Plan [Member]
Stock Options [Abstract]
Number of shares authorized for issuance (in shares)					1,350,412		1,279,146		548,206
Term of Plan			10 years
2012 Equity Incentive Plan [Member]
Stock Options [Abstract]
Number of shares authorized for issuance (in shares)								1,096,411
Term of Plan			10 years
2014 Equity Incentive Plan [Member]
Stock Options [Abstract]
Number of shares authorized for issuance (in shares)					1,827,351	1,894,890
Percentage of Common Stock outstanding used to determine annual increase in the Plan Limit			4.00%
Options granted (in shares)					0
Term of Plan			10 years
Research and Development [Member]
Stock-Based Compensation [Abstract]
Stock-based compensation expense | $	$ 273,782	$ 142,753	$ 702,322	$ 457,377
General and Administrative [Member]
Stock-Based Compensation [Abstract]
Stock-based compensation expense | $	$ 338,096	$ 137,237	$ 864,240	$ 572,838

Stock Options, Stock Option Act

Stock Options, Stock Option Activity (Details)	9 Months Ended
	Sep. 30, 2015USD ($)$ / sharesshares
Unamortized Stock Compensation Expense [Abstract]
Unamortized stock compensation expense | $	$ 9,846,902
Period for recognition	1 year 6 months 22 days
The Plans [Member] | Stock Options [Member]
Number of Shares [Roll Forward]
Options outstanding, beginning balance (in shares)	2,445,713
Granted (in shares)	1,822,609
Exercised (in shares)	0
Forfeited (in shares)	(30,640)
Expirations (in shares)	(10,660)
Options outstanding, ending balance (in shares)	4,227,022
Vested and expected to vest (in shares)	4,121,868
Exercisable (in shares)	1,799,999
Weighted Average Exercise Price [Roll Forward]
Options outstanding, beginning balance (in dollars per share) | $ / shares	$ 3.13
Granted (in dollars per share) | $ / shares	7.56
Exercised (in dollars per share) | $ / shares	0
Forfeited (in dollars per share) | $ / shares	7.98
Expirations (in dollars per share) | $ / shares	8.28
Options outstanding, ending balance (in dollars per share) | $ / shares	5
Vested and expected to vest (in dollars per share) | $ / shares	4.94
Exercisable (in dollars per share) | $ / shares	$ 2.94
Remaining Contractual Life and Aggregate Intrinsic Value [Abstract]
Options outstanding, weighted average remaining contractual life	8 years 4 months 10 days
Options outstanding, aggregate intrinsic value | $	$ 25,377,366
Vested and expected to vest, weighted average contractual life	8 years 3 months 29 days
Vested and expected to vest, aggregate intrinsic value | $	$ 24,969,093
Exercisable, weighted average contractual life	7 years 3 months 25 days
Exercisable, aggregate intrinsic value | $	$ 14,501,041

Convertible Preferred Stock (De

Convertible Preferred Stock (Details) - USD ($)		9 Months Ended
		Sep. 30, 2015	Sep. 30, 2014	Oct. 06, 2015
Convertible Preferred Stock [Abstract]
Proceeds		$ 52,394,571	$ 0
Subsequent Event [Member]
Convertible Preferred Stock [Abstract]
Common shares on conversion (in shares)				18,566,856
Warrants Issued in Connection with Loan Agreement [Member] | Subsequent Event [Member]
Preferred Stock Warrants [Abstract]
Number of shares of stock that can be purchased with warrants (in shares)				671,020
Warrants Issued in Connection with Loan Agreement [Member] | Minimum [Member] | Subsequent Event [Member]
Preferred Stock Warrants [Abstract]
Exercise price of warrants (in dollars per share)				$ 5.79
Warrants Issued in Connection with Loan Agreement [Member] | Maximum [Member] | Subsequent Event [Member]
Preferred Stock Warrants [Abstract]
Exercise price of warrants (in dollars per share)				$ 7
Convertible Preferred Stock - Series A [Member]
Convertible Preferred Stock [Abstract]
Number of shares (in shares)		864,500
Convertible Preferred Stock - Series A, Issued in 2009 [Member]
Convertible Preferred Stock [Abstract]
Issue date		2,009
Number of shares (in shares)		390,486
Price per share (in dollars per share)		$ 1
Proceeds		$ 390,000
Common stock conversion price (in dollars per share)		$ 1.37
Common shares on conversion (in shares)		285,422
Offer costs		$ 25,000
Convertible Preferred Stock - Series A, Issued in 2010 [Member]
Convertible Preferred Stock [Abstract]
Issue date		2,010
Number of shares (in shares)		474,014
Price per share (in dollars per share)		$ 1
Proceeds		$ 474,000
Common stock conversion price (in dollars per share)		$ 1.37
Common shares on conversion (in shares)		346,476
Offer costs		$ 43,000
Convertible Preferred Stock - Series B [Member]
Convertible Preferred Stock [Abstract]
Number of shares (in shares)		2,415,116
Convertible Preferred Stock - Series B, Issued in 2011 [Member]
Convertible Preferred Stock [Abstract]
Issue date		2,011
Number of shares (in shares)		2,333,000
Price per share (in dollars per share)		$ 1.25
Proceeds		$ 2,916,000
Common stock conversion price (in dollars per share)		$ 1.71
Common shares on conversion (in shares)		1,705,284
Offer costs		$ 27,000
Convertible Preferred Stock - Series B, Issued and Converted in 2011 [Member]
Convertible Preferred Stock [Abstract]
Issue date	[1]	2,011
Number of shares (in shares)	[1]	82,116
Price per share (in dollars per share)	[1]	$ 1.25
Proceeds	[1]	$ 103,000
Common stock conversion price (in dollars per share)	[1]	$ 1.71
Common shares on conversion (in shares)	[1]	60,021
Offer costs	[1]	$ 0
Convertible Preferred Stock - Series B, Issued and Converted in 2011 [Member] | NJEDA Convertible Note [Member]
Convertible Preferred Stock [Abstract]
Notes payable converted		100,000
Accrued interest converted		$ 2,645
Convertible Preferred Stock - Series B-1 [Member]
Convertible Preferred Stock [Abstract]
Issue date		2,012
Number of shares (in shares)		359,935
Price per share (in dollars per share)		$ 1.75
Proceeds		$ 630,000
Common stock conversion price (in dollars per share)		$ 2.39
Common shares on conversion (in shares)		263,091
Offer costs		$ 153,000
Convertible Preferred Stock - Series C [Member]
Convertible Preferred Stock [Abstract]
Number of shares (in shares)		4,697,314
Liquidation Preferences [Abstract]
Liquidation preference percentage		125.00%
Dividends [Abstract]
Cumulative dividend rate		8.00%
Series C Convertible Preferred Stock Issued in 2013 [Member]
Convertible Preferred Stock [Abstract]
Issue date		2,013
Number of shares (in shares)		4,631,505
Price per share (in dollars per share)		$ 3.85
Proceeds		$ 17,831,000
Common stock conversion price (in dollars per share)		$ 5.27
Common shares on conversion (in shares)		3,385,355
Offer costs		$ 2,747,000
Series C Convertible Preferred Stock Issued and Converted in 2013 [Member]
Convertible Preferred Stock [Abstract]
Issue date	[2]	2,013
Number of shares (in shares)	[2]	65,809
Price per share (in dollars per share)	[2]	$ 3.85
Proceeds	[2]	$ 253,000
Common stock conversion price (in dollars per share)	[2]	$ 5.27
Common shares on conversion (in shares)	[2]	48,102
Offer costs	[2]	$ 0
Series C Convertible Preferred Stock Issued and Converted in 2013 [Member] | Convertible Promissory Note [Member]
Convertible Preferred Stock [Abstract]
Notes payable converted		250,000
Accrued interest converted		$ 3,365
Convertible Preferred Stock - Series C-1 [Member]
Convertible Preferred Stock [Abstract]
Issue date		2,014
Number of shares (in shares)		3,558,890
Price per share (in dollars per share)		$ 4.65
Proceeds		$ 16,549,000
Common stock conversion price (in dollars per share)		$ 6.36
Common shares on conversion (in shares)		2,601,337
Offer costs		$ 2,022,000
Liquidation Preferences [Abstract]
Liquidation preference percentage		125.00%
Dividends [Abstract]
Cumulative dividend rate		8.00%
Convertible Preferred Stock - Series C-2 [Member]
Convertible Preferred Stock [Abstract]
Issue date		2,015
Number of shares (in shares)		12,043,006
Price per share (in dollars per share)		$ 4.65
Proceeds		$ 56,000,000
Common stock conversion price (in dollars per share)		$ 6.36
Common shares on conversion (in shares)		8,802,723
Offer costs		$ 3,783,000
Liquidation Preferences [Abstract]
Liquidation preference percentage		125.00%
Dividends [Abstract]
Cumulative dividend rate		8.00%
[1]	Conversion of $100,000 NJEDA Note plus accrued interest of $2,645.
[2]	Conversion of $250,000 promissory note plus accrued interest of $3,365.

Commitments and Contingencies30

Commitments and Contingencies (Details)	3 Months Ended		9 Months Ended
	Sep. 30, 2015USD ($)	Sep. 30, 2014USD ($)	Sep. 30, 2015USD ($)ft²	Sep. 30, 2014USD ($)
Leases [Abstract]
Term of lease			63 months
Area of leased property | ft²			8,000
Rent expense	$ 58,271	$ 53,982	$ 149,371	$ 173,679
Future Minimum Rental Payments Required under Operating Leases [Abstract]
2015 (remaining)	57,238		57,238
2,016	232,350		232,350
2,017	232,221		232,221
2,018	236,307		236,307
2019 and after	39,498		39,498
Total minimum payments required	797,614		797,614
Evonik License Agreement [Member] | Maximum [Member]
Evonik [Abstract]
Milestone payments	$ 14,750,000		$ 14,750,000
Employment Agreements with Executives [Member] | Minimum [Member]
Employment Agreement [Abstract]
Term for payment of severance benefits			12 months
Employment Agreements with Executives [Member] | Maximum [Member]
Employment Agreement [Abstract]
Term for payment of severance benefits			18 months

Debt (Details)

Debt (Details)	Apr. 06, 2015USD ($)	Aug. 28, 2014USD ($)Loan	Sep. 30, 2015USD ($)	Jun. 30, 2015USD ($)	Jan. 29, 2015USD ($)
Future Principal Payments [Abstract]
2015 remaining			$ 534,000
2,016			2,271,000
2,017			2,513,000
2,018			682,000
Total			$ 6,000,000
Convertible Preferred Stock - Series C-2 [Member]
Loan and Security Agreement [Abstract]
Investment made by lender in unregistered financing	$ 1,000,000
Loan and Security Agreement [Member]
Loan and Security Agreement [Abstract]
Aggregate principal amount of borrowing capacity		$ 10,000,000
Number of term loans | Loan		3
Interest rate	9.95%	10.45%
Adjustment to interest rate	(4.50%)	(4.50%)
Amortization period for equal monthly installments of principal and interest		30 months
Additional interest rate charged on due date		1.50%
Prepayment charge during first year following initial closing		3.00%
Prepayment charge during second year following initial closing		2.00%
Prepayment charge after second year following initial closing		1.00%
Principal amount of term loan advance that can be converted in unregistered financing		$ 1,000,000
Additional investment that can be made in same subsequent unregistered financing		1,000,000
Loan and Security Agreement [Member] | Minimum [Member]
Loan and Security Agreement [Abstract]
Cash proceeds received for second milestone event	$ 55,000,000
Initial Term Loan Advance [Member]
Loan and Security Agreement [Abstract]
Funded amount		$ 3,000,000
Maturity date			Mar. 1, 2018
Term Loan Advance - First Draw Period [Member]
Loan and Security Agreement [Abstract]
Funded amount					$ 3,000,000
Term Loan Advance - Second Draw Period [Member]
Loan and Security Agreement [Abstract]
Maturity date			Jun. 30, 2015
Unused borrowing capacity				$ 4,000,000

Subsequent Events (Details)

Subsequent Events (Details) - USD ($) $ / shares in Units, $ in Millions	Oct. 06, 2015	Oct. 31, 2015	Sep. 30, 2015	Dec. 31, 2014
Completion of IPO [Abstract]
Common stock, shares authorized (in shares)			38,500,000	35,000,000
Preferred stock, shares authorized (in shares)			26,000,000
Common stock, par value (in dollars per share)			$ 0.00033	$ 0.00033
Subsequent Event [Member]
Completion of IPO [Abstract]
Sales price per share (in dollars per share)	$ 11
Gross proceeds from issuance of common stock	$ 92.5
Net proceeds from issuance of common stock	83.2
Underwriting discounts, commissions and other offering costs	$ 9.3
Common shares issued upon conversion of preferred stock (in shares)	18,566,856
Preferred stock, shares outstanding (in shares)		0
Common stock, shares authorized (in shares)	75,000,000
Preferred stock, shares authorized (in shares)	5,000,000
Common stock, par value (in dollars per share)	$ 0.00033
Subsequent Event [Member] | IPO [Member]
Completion of IPO [Abstract]
Shares of common stock sold (in shares)	8,412,423
Subsequent Event [Member] | Over-Allotment Option [Member]
Completion of IPO [Abstract]
Shares of common stock sold (in shares)	1,097,272