PDS Biotechnology (PDSB) 10-Q 1 Nov 16 2016 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2016	Oct. 28, 2016
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		28,917,419
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q3
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Sep. 30, 2016

Balance Sheets (Unaudited)

Balance Sheets (Unaudited) - USD ($)	Sep. 30, 2016	Dec. 31, 2015
Current assets:
Cash and cash equivalents	$ 112,784,622	$ 130,189,421
Prepaid expenses and other current assets	359,863	1,081,084
Total current assets	113,144,485	131,270,505
Property and equipment, net	3,291,873	2,766,992
Other assets	142,870	55,161
Total assets	116,579,228	134,092,658
Current liabilities:
Accounts payable	1,963,350	2,584,249
Accrued expenses	2,290,249	3,734,348
Short term debt	0	2,271,111
Total current liabilities	4,253,599	8,589,708
Noncurrent liability:
Long term debt	14,817,482	3,025,423
STOCKHOLDERS' EQUITY
Common stock, $0.00033 par value, 75,000,000 shares authorized at September 30, 2016 and December 31, 2015, 28,849,446 shares and 28,810,845 shares issued and outstanding at September 30, 2016 and December 31, 2015, respectively	9,754	9,720
Additional paid-in capital	189,058,164	184,721,777
Accumulated deficit	(91,559,771)	(62,253,970)
Total stockholders' equity	97,508,147	122,477,527
Total liabilities and stockholders' equity	$ 116,579,228	$ 134,092,658

Balance Sheets (Unaudited) (Par

Balance Sheets (Unaudited) (Parenthetical) - $ / shares	Sep. 30, 2016	Dec. 31, 2015
STOCKHOLDERS' EQUITY
Common stock, par value (in dollars per share)	$ 0.00033	$ 0.00033
Common stock, shares authorized (in shares)	75,000,000	75,000,000
Common stock, shares issued (in shares)	28,915,226	28,810,845
Common stock, shares outstanding (in shares)	28,915,226	28,810,845

Statements of Operations and Co

Statements of Operations and Comprehensive Loss (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Operating expenses:
Research and development expenses	$ 6,724,503	$ 6,507,972	$ 18,046,572	$ 12,574,455
General and administrative expenses	3,552,289	1,976,888	10,526,775	5,052,983
Total operating expenses	10,276,792	8,484,860	28,573,347	17,627,438
Loss from operations	(10,276,792)	(8,484,860)	(28,573,347)	(17,627,438)
Other income (expense):
Warrant remeasurement	0	(1,433,502)	0	(1,879,823)
Other expense	(163,463)	0	(163,463)	0
Interest income	56,082	1,333	148,272	2,810
Interest expense	(375,089)	(213,021)	(717,263)	(615,047)
Net loss	(10,759,262)	(10,130,050)	(29,305,801)	(20,119,498)
Comprehensive loss	(10,759,262)	(10,130,050)	(29,305,801)	(20,119,498)
Cumulative dividend on Series C , C-1 and C-2 convertible preferred stock	0	(1,827,568)	0	(4,257,083)
Net loss attributable to common stockholders	$ (10,759,262)	$ (11,957,618)	$ (29,305,801)	$ (24,376,581)
Loss per share attributable to common stockholders basic and diluted (in dollars per share)	$ (0.37)	$ (7.08)	$ (1.02)	$ (14.44)
Weighted average common shares outstanding basic and diluted (in shares)	28,896,941	1,688,475	28,848,842	1,688,475

Statements of Cash Flows (Unaud

Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Cash flows from operating activities:
Net loss	$ (29,305,801)	$ (20,119,498)
Adjustments to reconcile net loss to net cash used in operating activities:
Stock-based compensation expense	4,029,326	1,566,562
Warrant remeasurement	0	1,879,823
Depreciation expense	60,331	38,360
Loss on disposal of fixed assets	102,789	0
Amortization of debt discount	60,206	79,400
Amortization of debt issuance costs	63,699	0
Non-cash interest expense	82,357	28,667
Changes in assets and liabilities:
Prepaid expenses and other assets	633,513	78,814
Accounts payable	(399,708)	(126,415)
Accrued expenses	(1,469,109)	1,604,432
Net cash used in operating activities	(26,142,397)	(14,969,855)
Cash flows from investing activities:
Purchases of property and equipment	(339,410)	(799,424)
Net cash used in investing activities	(339,410)	(799,424)
Cash flows from financing activities:
Proceeds from issuance of debt	11,022,286	3,000,000
Proceeds from exercise of stock options	293,988	0
Proceeds from exercise of warrants	13,107	0
Payments for issuance costs	(544,773)	(474,357)
Payments for debt issuance costs	(219,042)	0
Repayment of debt	(1,488,558)	0
Proceeds from issuance of preferred stock, net of issuance costs	0	52,394,571
Net cash provided by financing activities	9,077,008	54,920,214
Net (decrease) increase in cash	(17,404,799)	39,150,935
Cash and cash equivalents at beginning of period	130,189,421	13,728,972
Cash and cash equivalents at end of period	112,784,622	52,879,907
Cash paid for:
Interest	443,464	412,717
Supplemental cash flow information:
Deferred issuance costs included in accrued expenses and accounts payable	0	552,410
Non-cash financing costs	0	175,114
Accrued capital expenditures included in accrued expenses and accounts payable	$ 348,591	$ 576,839

Nature of Operations

Nature of Operations	9 Months Ended
	Sep. 30, 2016
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 Platform 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 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 approximately $92.5 million. The Company received approximately $82.8 million in net proceeds after deducting underwriting discounts and commissions and other offering costs of approximately $9.7 million. Immediately prior to the closing of the IPO, all of the Company’s outstanding shares of convertible preferred stock, including shares issued for accrued dividends, automatically converted into 18,566,856 shares of common stock at the applicable conversion ratio then in effect. There are 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, 2016
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, 2016, the statements of operations and comprehensive loss for the three and nine months ended September 30, 2016 and 2015, and cash flows for the nine months ended September 30, 2016 and 2015 are unaudited. The accompanying unaudited condensed 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 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, 2016 are not necessarily indicative of the results to be expected for the year ending December 31, 2016 or for any other future annual or interim period. The balance sheet as of December 31, 2015 included herein was derived from the audited financial statements as of that date. These financial statements should be read in conjunction with the Company’s audited financial statements and notes thereto included in the Company’s Form 10-K for the year ended December 31, 2015. (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, the Company’s intellectual property, 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, for stock options, the expected life of the option, and expected stock price volatility. The Company uses the Black-Scholes option pricing model 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 limited 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, 2016 2015 Stock options to purchase Common Stock 5,166,511 4,227,022 Convertible preferred stock to purchase Common Stock - 17,497,815 Warrants to purchase Common Stock 544,705 99,401 Warrants to purchase Series C Preferred Stock - 338,534 Warrants to purchase Series C-1 Preferred Stock - 332,480 Total 5,711,216 22,495,252 (H) Recently adopted standards: In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02, “Leases (Topic 842).” The new standard requires . This standard is effective for annual reporting periods beginning after December 15, 2018, and interim periods within those fiscal years. Early adoption is permitted. The Company is evaluating the impact of adoption. In March 2016, the FASB issued ASU No. 2016-09 which simplifies several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. Public companies will be required to adopt this standard in annual reporting periods beginning after December 15, 2016, and interim periods within those annual periods. Early adoption is permitted in any interim or annual period provided that the entire standard is adopted. The Company does not expect adoption of the ASU will have a material impact on the financial statements based upon preliminary evaluation.

Fair Value of Financial Instrum

Fair Value of Financial Instruments	9 Months Ended
	Sep. 30, 2016
Fair Value of Financial Instruments [Abstract]
Fair Value of Financial Instruments	Note 3 – Fair Value of Financial Instruments There were no transfers between Levels 1, 2, or 3 during 2016 or 2015. Fair Value Measurements at Reporting Date Using Total Quoted Prices in Quoted Prices in Significant As of September 30, 2016: (unaudited) Cash and cash equivalents $ 112,784,622 $ 112,784,622 $ - $ - As of December 31, 2015: Cash and cash equivalents $ 130,189,421 $ 130,189,421 $ - $ - Prior to our IPO, which closed on October 6, 2015, Level 3 instruments consisted 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 5). Inputs used to determine estimated fair value of the warrant liabilities include the estimated fair value of the underlying stock at the valuation date, 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 the valuation date 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. After the IPO, the warrants were no longer liability classified and were no longer considered Level 3 instruments.

Accrued Expenses

Accrued Expenses	9 Months Ended
	Sep. 30, 2016
Accrued Expenses [Abstract]
Accrued Expenses	Note 4 – Accrued Expenses Accrued expenses and other liabilities consist of the following: As of September 30, As of December 31, 2016 2015 Accrued research and development costs $ 377,294 $ 1,874,126 Accrued professional fees 440,799 258,568 Accrued compensation 1,300,793 1,510,430 Accrued other 169,385 56,835 Deferred rent 1,978 34,389 Total $ 2,290,249 $ 3,734,348

Stock Options

Stock Options	9 Months Ended
	Sep. 30, 2016
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 both incentive stock options (“ISOs”) and nonqualified stock options (“NQs”) under the 2010 Equity Incentive Plan and the 2012 Equity Incentive Plan, respectively. 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 of Directors of the Company (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 both ISOs and NQs (the “Plan Limit”). However, on January 1, 2015 and each January 1 thereafter prior to the termination of the 2014 Equity Incentive Plan, pursuant to the terms of the 2014 Equity Incentive Plan, the Plan Limit was and shall be increased by the lesser of (x) 4% of the number of shares of Common Stock outstanding as of the immediately preceding December 31 and (y) such lesser number as the Board of Directors may determine in its discretion. On January 1, 2015 and January 1, 2016 the Plan Limit was increased to 1,894,890 and 3,047,323 shares, respectively. 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. 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. On November 16, 2015, the Company issued non-qualified options to purchase a total of 80,000 shares of common stock to W. Bradford Middlekauff, its newly appointed Senior Vice President, General Counsel and Secretary. The award was granted outside of the Company’s 2014 Equity Incentive Plan and vests over four years with 25% vesting on October 30, 2016, which is one year following Mr. Middlekauff’s date of hire, and the remaining 75% vesting in 36 equal monthly installments thereafter, subject to Mr. Middlekauff’s continued service to the Company through each vesting date and subject to acceleration or forfeiture upon the occurrence of certain events as set forth in Mr. Middlekauff’s option agreement and employment agreement. The award was made pursuant to the NASDAQ exception as a material component of Mr. Middlekauff’s employment compensation. On July 1, 2016, the Company issued non-qualified options to purchase a total of 85,000 shares of common stock to Harry J. Sacks, its newly appointed Vice President, Clinical Development. The award was granted outside of the Company’s 2014 Equity Incentive Plan and vests over four years with 25% vesting on June 20, 2017, which is one year following Dr. Sack’s date of hire, and the remaining 75% vesting in 36 equal monthly installments thereafter, subject to Dr. Sack’s continued service to the Company through each vesting date and subject to acceleration or forfeiture upon the occurrence of certain events as set forth in Dr. Sack’s option agreement. The award was made pursuant to the NASDAQ exception as a material component of Dr. Sack’s employment compensation. The Company’s stock-based compensation expense was recognized in operating expense as follows: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 (unaudited) (unaudited) Stock-Based Compensation Research and development $ 567,452 $ 273,782 $ 1,609,683 $ 702,322 General and administrative 665,579 338,096 2,419,643 864,240 Total $ 1,233,031 $ 611,878 $ 4,029,326 $ 1,566,562 The fair value of options and warrants granted during the three and nine months ended September 30, 2016 and 2015 was estimated using the Black-Scholes option valuation model utilizing the following assumptions: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Weighted Average Weighted Average Weighted Average Weighted Average (unaudited) (unaudited) Volatility 71.80 % 79.80 % 77.96 % 79.80 % Risk-Free Interest Rate 1.19 % 1.59 % 1.38 % 1.74 % Expected Term in Years 6.07 6.08 6.02 6.08 Dividend Rate 0.00 % 0.00 % 0.00 % 0.00 % Fair Value of Option on Grant Date $ 6.78 $ 7.51 $ 5.24 $ 5.22 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, 2015 4,302,267 $ 5.19 Granted 1,061,400 7.81 Exercised (63,639 ) 4.62 Forfeited (133,517 ) 5.79 Options outstanding at September 30, 2016 5,166,511 $ 5.72 7.78 $ 24,994,623 Vested and expected to vest at September 30, 2016 5,077,867 $ 5.68 7.76 $ 24,747,792 Exercisable at September 30, 2016 2,810,161 $ 4.22 6.94 $ 17,557,732 At September 30, 2016 there was approximately $10,353,101 of unamortized stock compensation expense, which is expected to be recognized over a remaining average vesting period of 1.39 years.

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2016
Income Taxes [Abstract]
Income Taxes	Note 6 – Income Taxes In assessing the realizability of the net deferred tax assets, the Company considers all relevant positive and negative evidence to determine whether it is more likely than not that some portion or all of the deferred income tax assets will not be realized. The realization of the gross deferred tax assets is dependent on several factors, including the generation of sufficient taxable income prior to the expiration of the net operating loss carryforwards. There was a full valuation allowance against the net deferred tax assets as of September 30, 2016 and December 31, 2015. At December 31, 2015, the Company had federal net operating loss (“NOL”) carryforwards of approximately $47.5 million which expire between 2029 and 2035. At December 31, 2015, the Company had federal research and development credits carryforwards of approximately $0.8 million and an orphan drug credit carryover of approximately $4.0 million. The Company may be subject to the net operating loss utilization provisions of Section 382 of the Internal Revenue Code. The effect of an ownership change would be the imposition of an annual limitation on the use of NOL carryforwards attributable to periods before the change. The amount of the annual limitation depends upon the value of the Company immediately before the change, changes to the Company’s capital during a specified period prior to the change, and the federal published interest rate. Although the Company has not completed an analysis under Section 382 of the Code, it is likely that the utilization of the NOLs would be limited. At December 31, 2015, the Company had approximately $23.3 million of NJ NOL’s which expire between 2030 and 2035. At December 31, 2015, the Company had approximately $0.3 million of the State of New Jersey research development credits carryforwards. Entities are also required to evaluate, measure, recognize and disclose any uncertain income tax provisions taken on their income tax returns. The Company has analyzed its tax positions and has concluded that as of December 31, 2015, there were no uncertain positions. The Company’s U.S. federal and state net operating losses have occurred since its inception in 2009 and as such, tax years subject to potential tax examination could apply from that date because the utilization of net operating losses from prior years opens the relevant year to audit by the IRS and/or state taxing authorities. Interest and penalties, if any, as they relate to income taxes assessed, are included in the income tax provision. There was no income tax related interest and penalties included in the income tax provision for the nine months ended September 30, 2016 and 2015.

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2016
Commitments and Contingencies [Abstract]
Commitments and Contingencies	Note 7 – Commitments and Contingencies Evonik The Company entered into an agreement with SurModics Pharmaceuticals, Inc. (“SurModics”) 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 (the “Evonik Agreement”). This agreement was later transferred to Evonik Industries AG (“Evonik”) when it purchased substantially all the assets of SurModics. Pursuant to the Evonik Agreement, 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 Evonik Agreement. The Company paid $0.25 million upon execution of the Evonik Agreement. In addition, the Evonik Agreement calls for the Company to pay royalties on certain products based on a mid-single digit percentage of net sales. The Evonik 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 Evonik Agreement. This amendment clarified the Company’s obligations to pay Evonik certain royalty and milestone payments in respect of certain products whether or not manufactured by Evonik and removed the Company’s obligation to negotiate exclusively with Evonik for Phase 3 and commercial supply of EG-1962. The term of the Evonik Agreement will continue until the expiration of the Company’s obligation to pay royalties to Evonik. Either party may terminate the Evonik Agreement due to material breach by the other party. Evonik may terminate the Evonik 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 or her 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 confidentiality and invention and assignment agreement as well as his or her 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. On February 18, 2016, the Company entered into a new 63 month lease for approximately 20,410 square feet of office space within the same office complex in Berkeley Heights, New Jersey. The terms of the new lease were structured so that the termination date of the December 13, 2013 lease coincided with the commencement date of the new lease on August 13, 2016. As a result of the lease termination, the Company wrote off $67,118 of leasehold improvements. Rent expense is recognized on a straight line basis where there are escalating payments, and was approximately $82,163 and $58,271 for the three months ended September 30, 2016 and 2015, respectively and $196,322 and $149,371 for the nine months ended September 30, 2016 and 2015, 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, 2016: Year ended December 31, 2016 (remaining) $ 148,799 2017 592,256 2018 602,461 2019 604,541 2020 603,371 2021 and after 530,384 Total minimum payments required $ 3,081,812

Debt

Debt	9 Months Ended
	Sep. 30, 2016
Debt [Abstract]
Debt	Note 8 - Debt On August 28, 2014, the Company entered into a loan and security agreement with Hercules Technology Growth Capital, Inc., (the “Original Loan Agreement”). The Original Loan Agreement provided 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. The second tranche of $3,000,000 was funded on January 29, 2015. Both the first and second tranches were due to mature on March 1, 2018. 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 (b) the prime rate (as reported in The Wall Street Journal The Wall Street Journal Commencing in October 2015, the term loans began amortizing in equal monthly installments of principal and interest over 30 months. On the maturity date or the date the loans otherwise became due, the Company was also required to pay additional interest equal to 1.5% of the total amounts funded under the Original Loan Agreement. On August 1, 2016, the Company entered into an Amended and Restated Loan and Security Agreement (the “Amended Loan Agreement”) with Hercules Capital, Inc., formerly known as Hercules Technology Growth Capital, Inc., pursuant to which the Company may borrow a term loan up to $20,000,000. The Amended Loan Agreement amends and restates the Original Loan Agreement. At closing, the Company borrowed $15,000,000 available for draw under the Amended Loan Agreement (and received proceeds net of the current amount outstanding under the Original Loan Agreement, fees and expenses). The Amended Loan Agreement allows , at its option, to drawn down a second tranche of $5 million on or before June 15, 2017. Pursuant to the Original Loan Agreement, in March 2018, the Company must pay additional interest of $90,000, which is equal to 1.5% of the total amounts funded under the Original Loan Agreement. On the maturity date or the date the term loan otherwise becomes due, under the Amended Loan Agreement the Company must also pay additional interest of $900,000, which is equal to 4.5% of the total amounts available under such agreement. In addition, if the Company prepays the term loan during the first year following the initial closing, the Company must pay a prepayment charge equal to 2% of the amount being prepaid, if the Company prepays the term loan during the second year following the closing, the Company must pay a prepayment charge equal to 1% of the amount being prepaid, and if the Company prepays the term loan after the second year following the closing, the Company must pay a prepayment charge equal to 0.5% of the amount being prepaid. The term loan is secured by substantially all of the Company’s assets, other than intellectual property, which is the subject of a negative pledge. Under the Amended Loan Agreement, the Company is subject to certain customary covenants that limit or restrict its ability to, among other things, incur additional indebtedness, investments, distributions, transfer assets, make acquisitions, grant any security interests, pay cash dividends, repurchase its common stock, make loans, or enter into certain transactions without prior consent. Future principal payments on the note as of September 30, 2016 were as follows: Year Ending in December 31: (000's) remaining 2016 $ - 2017 - 2018 5,912 2019 7,716 2020 1,372 $ 15,000 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, 2016 approximates the carrying amount.

Subsequent Events

Subsequent Events	9 Months Ended
	Sep. 30, 2016
Subsequent Events [Abstract]
Subsequent Events	Note 9- Subsequent Events Subsequent events have been evaluated through the date these financial statements were issued.

Summary of Significant Accoun15

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2016
Summary of Significant Accounting Policies [Abstract]
Unaudited Interim Financial Statements	(A) Unaudited interim financial statements: The interim balance sheet at September 30, 2016, the statements of operations and comprehensive loss for the three and nine months ended September 30, 2016 and 2015, and cash flows for the nine months ended September 30, 2016 and 2015 are unaudited. The accompanying unaudited condensed 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 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, 2016 are not necessarily indicative of the results to be expected for the year ending December 31, 2016 or for any other future annual or interim period. The balance sheet as of December 31, 2015 included herein was derived from the audited financial statements as of that date. These financial statements should be read in conjunction with the Company’s audited financial statements and notes thereto included in the Company’s Form 10-K for the year ended December 31, 2015.
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, the Company’s intellectual property, 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, for stock options, the expected life of the option, and expected stock price volatility. The Company uses the Black-Scholes option pricing model 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 limited 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, 2016 2015 Stock options to purchase Common Stock 5,166,511 4,227,022 Convertible preferred stock to purchase Common Stock - 17,497,815 Warrants to purchase Common Stock 544,705 99,401 Warrants to purchase Series C Preferred Stock - 338,534 Warrants to purchase Series C-1 Preferred Stock - 332,480 Total 5,711,216 22,495,252
Recently Adopted Standards	(H) Recently adopted standards: In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02, “Leases (Topic 842).” The new standard requires . This standard is effective for annual reporting periods beginning after December 15, 2018, and interim periods within those fiscal years. Early adoption is permitted. The Company is evaluating the impact of adoption. In March 2016, the FASB issued ASU No. 2016-09 which simplifies several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. Public companies will be required to adopt this standard in annual reporting periods beginning after December 15, 2016, and interim periods within those annual periods. Early adoption is permitted in any interim or annual period provided that the entire standard is adopted. The Company does not expect adoption of the ASU will have a material impact on the financial statements based upon preliminary evaluation.

Summary of Significant Accoun16

Summary of Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2016
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, 2016 2015 Stock options to purchase Common Stock 5,166,511 4,227,022 Convertible preferred stock to purchase Common Stock - 17,497,815 Warrants to purchase Common Stock 544,705 99,401 Warrants to purchase Series C Preferred Stock - 338,534 Warrants to purchase Series C-1 Preferred Stock - 332,480 Total 5,711,216 22,495,252

Fair Value of Financial Instr17

Fair Value of Financial Instruments (Tables)	9 Months Ended
	Sep. 30, 2016
Fair Value of Financial Instruments [Abstract]
Fair Value of Financial Instruments	There were no transfers between Levels 1, 2, or 3 during 2016 or 2015. Fair Value Measurements at Reporting Date Using Total Quoted Prices in Quoted Prices in Significant As of September 30, 2016: (unaudited) Cash and cash equivalents $ 112,784,622 $ 112,784,622 $ - $ - As of December 31, 2015: Cash and cash equivalents $ 130,189,421 $ 130,189,421 $ - $ -

Accrued Expenses (Tables)

Accrued Expenses (Tables)	9 Months Ended
	Sep. 30, 2016
Accrued Expenses [Abstract]
Accrued Expenses and Other Liabilities	Accrued expenses and other liabilities consist of the following: As of September 30, As of December 31, 2016 2015 Accrued research and development costs $ 377,294 $ 1,874,126 Accrued professional fees 440,799 258,568 Accrued compensation 1,300,793 1,510,430 Accrued other 169,385 56,835 Deferred rent 1,978 34,389 Total $ 2,290,249 $ 3,734,348

Stock Options (Tables)

Stock Options (Tables)	9 Months Ended
	Sep. 30, 2016
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, 2016 2015 2016 2015 (unaudited) (unaudited) Stock-Based Compensation Research and development $ 567,452 $ 273,782 $ 1,609,683 $ 702,322 General and administrative 665,579 338,096 2,419,643 864,240 Total $ 1,233,031 $ 611,878 $ 4,029,326 $ 1,566,562
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, 2016 and 2015 was estimated using the Black-Scholes option valuation model utilizing the following assumptions: Three Months Ended September 30, Nine Months Ended September 30, 2016 2015 2016 2015 Weighted Average Weighted Average Weighted Average Weighted Average (unaudited) (unaudited) Volatility 71.80 % 79.80 % 77.96 % 79.80 % Risk-Free Interest Rate 1.19 % 1.59 % 1.38 % 1.74 % Expected Term in Years 6.07 6.08 6.02 6.08 Dividend Rate 0.00 % 0.00 % 0.00 % 0.00 % Fair Value of Option on Grant Date $ 6.78 $ 7.51 $ 5.24 $ 5.22
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, 2015 4,302,267 $ 5.19 Granted 1,061,400 7.81 Exercised (63,639 ) 4.62 Forfeited (133,517 ) 5.79 Options outstanding at September 30, 2016 5,166,511 $ 5.72 7.78 $ 24,994,623 Vested and expected to vest at September 30, 2016 5,077,867 $ 5.68 7.76 $ 24,747,792 Exercisable at September 30, 2016 2,810,161 $ 4.22 6.94 $ 17,557,732

Commitments and Contingencies (

Commitments and Contingencies (Tables)	9 Months Ended
	Sep. 30, 2016
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, 2016: Year ended December 31, 2016 (remaining) $ 148,799 2017 592,256 2018 602,461 2019 604,541 2020 603,371 2021 and after 530,384 Total minimum payments required $ 3,081,812

Debt (Tables)

Debt (Tables)	9 Months Ended
	Sep. 30, 2016
Debt [Abstract]
Future Principal Payments	Future principal payments on the note as of September 30, 2016 were as follows: Year Ending in December 31: (000's) remaining 2016 $ - 2017 - 2018 5,912 2019 7,716 2020 1,372 $ 15,000

Nature of Operations (Details)

Nature of Operations (Details) - USD ($) $ / shares in Units, $ in Millions	Oct. 06, 2015	Sep. 30, 2016	Dec. 31, 2015
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	82.8
Underwriting discounts, commissions and other offering costs	$ 9.7
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	75,000,000	75,000,000
Preferred stock, shares authorized (in shares)	5,000,000
Common stock, par value (in dollars per share)	$ 0.00033	$ 0.00033	$ 0.00033
IPO [Member]
Completion of IPO [Abstract]
Shares of common stock sold (in shares)	8,412,423
Over-Allotment Option [Member]
Completion of IPO [Abstract]
Shares of common stock sold (in shares)	1,097,272

Summary of Significant Accoun23

Summary of Significant Accounting Policies (Details) - shares	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Net Loss per Common Share [Abstract]
Antidilutive securities excluded from computation of earnings per share (in shares)	5,711,216	22,495,252
Stock Options to Purchase Common Stock [Member]
Net Loss per Common Share [Abstract]
Antidilutive securities excluded from computation of earnings per share (in shares)	5,166,511	4,227,022
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)	0	17,497,815
Warrants to Purchase Common Stock [Member]
Net Loss per Common Share [Abstract]
Antidilutive securities excluded from computation of earnings per share (in shares)	544,705	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)	0	338,534
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)	0	332,480

Fair Value of Financial Instr24

Fair Value of Financial Instruments (Details) - USD ($)	9 Months Ended	12 Months Ended
	Sep. 30, 2016	Dec. 31, 2015
Fair Value Transfers Between Levels [Abstract]
Transfers from Level 1 to Level 2	$ 0	$ 0
Transfers from Level 2 to Level 1	0	0
Transfers into Level 3	0	0
Transfers out of Level 3	0	0
Fair Value of Financial Instruments [Abstract]
Cash and cash equivalents	112,784,622	130,189,421
Quoted Prices in Active Markets (Level 1) [Member]
Fair Value of Financial Instruments [Abstract]
Cash and cash equivalents	112,784,622	130,189,421
Quoted Prices in Inactive Markets (Level 2) [Member]
Fair Value of Financial Instruments [Abstract]
Cash and cash equivalents	0	0
Significant Unobservable Inputs (Level 3) [Member]
Fair Value of Financial Instruments [Abstract]
Cash and cash equivalents	$ 0	$ 0

Accrued Expenses (Details)

Accrued Expenses (Details) - USD ($)	Sep. 30, 2016	Dec. 31, 2015
Accrued Expenses [Abstract]
Accrued research and development costs	$ 377,294	$ 1,874,126
Accrued professional fees	440,799	258,568
Accrued compensation	1,300,793	1,510,430
Accrued other	169,385	56,835
Deferred rent	1,978	34,389
Total	$ 2,290,249	$ 3,734,348

Stock Options, Equity Compensat

Stock Options, Equity Compensation Plans (Details)

Jul. 01, 2016shares

Nov. 16, 2015shares

Sep. 30, 2016USD ($)Plan$ / shares

Sep. 30, 2015USD ($)$ / shares

Sep. 30, 2016USD ($)PlanInstallment$ / sharesshares

Sep. 30, 2015USD ($)$ / shares

Dec. 31, 2014shares

Jan. 02, 2016shares

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 | $

$ 1,233,031

$ 611,878

$ 4,029,326

$ 1,566,562

Assumptions Used in Determining Fair Value of Stock Options and Warrants Granted [Abstract]

Volatility

71.80%

79.80%

77.96%

79.80%

Risk-free interest rate

1.19%

1.59%

1.38%

1.74%

Expected term

6 years 25 days

6 years 29 days

6 years 7 days

6 years 29 days

Dividend rate

0.00%

0.00%

0.00%

0.00%

Fair value of option on grant date (in dollars per share) | $ / shares

$ 6.78

$ 7.51

$ 5.24

$ 5.22

W. Bradford Middlekauff [Member] | Nonqualified Options [Member]

Stock Options [Abstract]

Options granted (in shares)

80,000

Vesting period

4 years

W. Bradford Middlekauff [Member] | Nonqualified Options [Member] | Vesting One Year Following Date of Hire [Member]

Stock Options [Abstract]

Vesting percentage

25.00%

W. Bradford Middlekauff [Member] | Nonqualified Options [Member] | Vesting in 36 Monthly Installments Thereafter [Member]

Stock Options [Abstract]

Vesting percentage

75.00%

Number of monthly installments for vesting | Installment

36

Harry J. Sacks [Member] | Nonqualified Options [Member]

Stock Options [Abstract]

Options granted (in shares)

85,000

Vesting period

4 years

Harry J. Sacks [Member] | Nonqualified Options [Member] | Vesting One Year Following Date of Hire [Member]

Stock Options [Abstract]

Vesting percentage

25.00%

Harry J. Sacks [Member] | Nonqualified Options [Member] | Vesting in 36 Monthly Installments Thereafter [Member]

Stock Options [Abstract]

Vesting percentage

75.00%

Number of monthly installments for vesting | Installment

36

The Plans [Member] | Stock Options [Member]

Stock Options [Abstract]

Options granted (in shares)

1,061,400

The Plans [Member] | Incentive Stock Options [Member]

Stock Options [Abstract]

Vesting period

4 years

The Plans [Member] | Incentive Stock Options [Member] | Maximum [Member]

Stock Options [Abstract]

Term of option

10 years

The Plans [Member] | Nonqualified Options [Member] | Minimum [Member]

Stock Options [Abstract]

Vesting period

3 years

The Plans [Member] | Nonqualified Options [Member] | Maximum [Member]

Stock Options [Abstract]

Vesting period

4 years

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

3,047,323

1,894,890

Percentage of Common Stock outstanding used to determine annual increase in the plan limit

4.00%

Term of plan

10 years

Research and Development [Member]

Stock-Based Compensation [Abstract]

Stock-based compensation expense | $

$ 567,452

$ 273,782

$ 1,609,683

$ 702,322

General and Administrative [Member]

Stock-Based Compensation [Abstract]

Stock-based compensation expense | $

$ 665,579

$ 338,096

$ 2,419,643

$ 864,240

Stock Options, Stock Option Act

Stock Options, Stock Option Activity (Details)	9 Months Ended
	Sep. 30, 2016USD ($)$ / sharesshares
Unamortized Stock Compensation Expense [Abstract]
Unamortized stock compensation expense | $	$ 10,353,101
Period for recognition	1 year 4 months 20 days
The Plans [Member] | Stock Options [Member]
Number of Shares [Roll Forward]
Options outstanding, beginning balance (in shares) | shares	4,302,267
Granted (in shares) | shares	1,061,400
Exercised (in shares) | shares	(63,639)
Forfeited (in shares) | shares	(133,517)
Options outstanding, ending balance (in shares) | shares	5,166,511
Vested and expected to vest (in shares) | shares	5,077,867
Exercisable (in shares) | shares	2,810,161
Weighted Average Exercise Price [Roll Forward]
Options outstanding, beginning balance (in dollars per share) | $ / shares	$ 5.19
Granted (in dollars per share) | $ / shares	7.81
Exercised (in dollars per share) | $ / shares	4.62
Forfeited (in dollars per share) | $ / shares	5.79
Options outstanding, ending balance (in dollars per share) | $ / shares	5.72
Vested and expected to vest (in dollars per share) | $ / shares	5.68
Exercisable (in dollars per share) | $ / shares	$ 4.22
Remaining Contractual Life and Aggregate Intrinsic Value [Abstract]
Options outstanding, weighted average remaining contractual life	7 years 9 months 11 days
Options outstanding, aggregate intrinsic value | $	$ 24,994,623
Vested and expected to vest, weighted average contractual life	7 years 9 months 4 days
Vested and expected to vest, aggregate intrinsic value | $	$ 24,747,792
Exercisable, weighted average contractual life	6 years 11 months 8 days
Exercisable, aggregate intrinsic value | $	$ 17,557,732

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Millions	9 Months Ended		12 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Income Tax Uncertainties [Abstract]
Income tax related interest and penalties	$ 0	$ 0
Federal [Member]
Tax Carryforwards [Abstract]
Net operating loss carryforwards			$ 47.5
Federal [Member] | Minimum [Member]
Tax Carryforwards [Abstract]
Expiration date of net operating loss carryforwards			Dec. 31, 2029
Federal [Member] | Maximum [Member]
Tax Carryforwards [Abstract]
Expiration date of net operating loss carryforwards			Dec. 31, 2035
New Jersey [Member]
Tax Carryforwards [Abstract]
Net operating loss carryforwards			$ 23.3
New Jersey [Member] | Minimum [Member]
Tax Carryforwards [Abstract]
Expiration date of net operating loss carryforwards			Dec. 31, 2030
New Jersey [Member] | Maximum [Member]
Tax Carryforwards [Abstract]
Expiration date of net operating loss carryforwards			Dec. 31, 2035
Research and Development Credit [Member] | Federal [Member]
Tax Carryforwards [Abstract]
Tax credit carryforwards			$ 0.8
Research and Development Credit [Member] | New Jersey [Member]
Tax Carryforwards [Abstract]
Tax credit carryforwards			0.3
Orphan Drug Credit [Member] | Federal [Member]
Tax Carryforwards [Abstract]
Tax credit carryforwards			$ 4

Commitments and Contingencies29

Commitments and Contingencies (Details)	1 Months Ended		3 Months Ended		9 Months Ended
	Aug. 31, 2016USD ($)	Oct. 31, 2010USD ($)	Sep. 30, 2016USD ($)	Sep. 30, 2015USD ($)	Sep. 30, 2016USD ($)ft²	Sep. 30, 2015USD ($)
Leases [Abstract]
Rent expense			$ 82,163	$ 58,271	$ 196,322	$ 149,371
Future Minimum Rental Payments Required under Operating Leases [Abstract]
2016 (remaining)			148,799		148,799
2,017			592,256		592,256
2,018			602,461		602,461
2,019			604,541		604,541
2,020			603,371		603,371
2021 and after			530,384		530,384
Total minimum payments required			3,081,812		3,081,812
Evonik License Agreement [Member]
Evonik [Abstract]
Milestone payments paid	$ 1,000,000	$ 250,000
Evonik License Agreement [Member] | Maximum [Member]
Evonik [Abstract]
Milestone payments to be paid			$ 14,750,000		$ 14,750,000
Employment Agreements with Executives [Member] | Minimum [Member]
Employment Agreements [Abstract]
Term for payment of severance benefits					12 months
Employment Agreements with Executives [Member] | Maximum [Member]
Employment Agreements [Abstract]
Term for payment of severance benefits					18 months
Office Space in Berkeley Heights, New Jersey Under Lease Effective December 13, 2013 [Member]
Leases [Abstract]
Term of lease					63 months
Area of leased property | ft²					8,000
Writeoff of leasehold improvements					$ 67,118
Office Space in Berkeley Heights, New Jersey Under Lease Entered into February 18, 2016 [Member]
Leases [Abstract]
Term of lease					63 months
Area of leased property | ft²					20,410

Debt (Details)

Debt (Details)	Aug. 01, 2016USD ($)	Apr. 06, 2015USD ($)	Aug. 28, 2014USD ($)Loan	Sep. 30, 2016USD ($)	Jun. 30, 2015USD ($)	Jan. 29, 2015USD ($)
Future Principal Payments [Abstract]
remaining 2,016				$ 0
2,017				0
2,018				5,912,000
2,019				7,716,000
2,020				1,372,000
Total				$ 15,000,000
Original Loan 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%)
Term for making principal and interest payments				30 months
Additional interest charged on due date			$ 90,000
Additional interest rate charged on due date			1.50%
Original Loan Agreement [Member] | Minimum [Member]
Loan and Security Agreement [Abstract]
Cash proceeds received for second milestone event		$ 55,000,000
First Term Loan under Original Loan Agreement [Member]
Loan and Security Agreement [Abstract]
Funded amount			$ 3,000,000
Maturity date				Mar. 1, 2018
Second Term Loan under Original Loan Agreement [Member]
Loan and Security Agreement [Abstract]
Funded amount						$ 3,000,000
Maturity date				Mar. 1, 2018
Third Term Loan under Original Loan Agreement [Member]
Loan and Security Agreement [Abstract]
Maturity date				Jun. 30, 2015
Unused borrowing capacity					$ 4,000,000
Amended Loan Agreement [Member]
Loan and Security Agreement [Abstract]
Aggregate principal amount of borrowing capacity	$ 20,000,000
Maturity date				Feb. 3, 2020
Interest rate	9.15%
Adjustment to interest rate	(4.50%)
Term for making principal and interest payments				24 months
Effective interest rate				9.15%
Additional interest charged on due date	$ 900,000
Additional interest rate charged on due date	4.50%
Term for making interest-only payments				18 months
Prepayment charge during first year following initial closing			2.00%
Prepayment charge during second year following initial closing			1.00%
Prepayment charge after second year following initial closing			0.50%
Event of default rate	5.00%
First Term Loan under Amended Loan Agreement [Member]
Loan and Security Agreement [Abstract]
Funded amount	$ 15,000,000
Second Term Loan under Amended Loan Agreement [Member]
Loan and Security Agreement [Abstract]
Unused borrowing capacity	$ 5,000,000