Document_and_Entity_Informatio
Document and Entity Information | 6 Months Ended | |
Jun. 30, 2014 | Aug. 08, 2014 | |
Document And Entity Information [Abstract] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Jun-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q2 | ' |
Trading Symbol | 'ROKA | ' |
Entity Registrant Name | 'ROKA BIOSCIENCE, INC. | ' |
Entity Central Index Key | '0001472343 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Smaller Reporting Company | ' |
Entity Common Stock, Shares Outstanding | ' | 17,653,797 |
Condensed_Balance_Sheets
Condensed Balance Sheets (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current Assets: | ' | ' |
Cash and cash equivalents | $26,013 | $32,728 |
Trade accounts receivable, net of $0 allowance for doubtful accounts | 566 | 277 |
Inventories | 4,706 | 3,879 |
Deferred tax assets | ' | 3,135 |
Prepaid expenses and other current assets | 3,819 | 2,437 |
Total current assets | 35,104 | 42,456 |
Property and equipment, net | 13,258 | 14,510 |
Intangible assets, net | 1,260 | 1,344 |
Goodwill | 360 | 360 |
Other assets | 2,823 | 444 |
Total assets | 52,805 | 59,114 |
Current Liabilities: | ' | ' |
Accounts payable | 882 | 1,226 |
Short-term deferred payments | 521 | 339 |
Notes payable, current | 9,800 | 4,919 |
Accrued expenses | 5,487 | 2,381 |
Total current liabilities | 16,690 | 8,865 |
Deferred payments | 3,216 | 3,205 |
Convertible preferred stock warrant liability | 1,142 | 212 |
Deferred tax liabilities | 40 | 40 |
Other long-term liabilities | 342 | 339 |
Total liabilities | 21,430 | 12,661 |
Commitments and Contingencies (See Note 9) | ' | ' |
Stockholders' Deficit: | ' | ' |
Common stock, $0.001 par value: 141,963,421 shares of Series A common stock authorized; 1,268,846 and 1,181,936 shares issued and outstanding at June 30, 2014 and December 31, 2013, respectively; 292,414 shares of Series B common stock authorized; 3,129 shares issued and outstanding at June 30, 2014 and December 31, 2013, respectively | 9 | 8 |
Additional paid-in capital | 20,158 | 19,422 |
Accumulated deficit | -116,490 | -100,774 |
Total stockholders' deficit | -96,323 | -81,344 |
Total liabilities and stockholders' deficit | 52,805 | 59,114 |
Series B Convertible Preferred Stock [Member] | ' | ' |
Current Liabilities: | ' | ' |
Convertible preferred stock, value | 33,450 | 33,450 |
Series C Convertible Preferred Stock [Member] | ' | ' |
Current Liabilities: | ' | ' |
Convertible preferred stock, value | 15,836 | 15,836 |
Series D Convertible Preferred Stock [Member] | ' | ' |
Current Liabilities: | ' | ' |
Convertible preferred stock, value | 43,272 | 43,272 |
Series E Convertible Preferred Stock [Member] | ' | ' |
Current Liabilities: | ' | ' |
Convertible preferred stock, value | $35,140 | $35,239 |
Condensed_Balance_Sheets_Paren
Condensed Balance Sheets (Parenthetical) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Allowance for doubtful accounts | $0 | $0 |
Convertible preferred stock, shares issued | 0 | ' |
Common stock par value | $0.00 | $0.00 |
Series B Convertible Preferred Stock [Member] | ' | ' |
convertible preferred stock, par value | $0.00 | $0.00 |
Convertible preferred stock, shares authorized | 39,680,000 | 39,680,000 |
Convertible preferred stock, shares issued | 37,200,000 | 37,200,000 |
Convertible preferred stock, shares outstanding | 37,200,000 | 37,200,000 |
Convertible preferred stock, liquidation value | 37,200 | 37,200 |
Series C Convertible Preferred Stock [Member] | ' | ' |
convertible preferred stock, par value | $0.00 | $0.00 |
Convertible preferred stock, shares authorized | 12,090,672 | 12,090,672 |
Convertible preferred stock, shares issued | 12,090,672 | 12,090,672 |
Convertible preferred stock, shares outstanding | 12,090,672 | 12,090,672 |
Convertible preferred stock, liquidation value | 16,020 | 16,020 |
Series D Convertible Preferred Stock [Member] | ' | ' |
convertible preferred stock, par value | $0.00 | $0.00 |
Convertible preferred stock, shares authorized | 32,511,979 | 32,511,979 |
Convertible preferred stock, shares issued | 32,511,979 | 32,511,979 |
Convertible preferred stock, shares outstanding | 32,511,979 | 32,511,979 |
Convertible preferred stock, liquidation value | 47,500 | 47,500 |
Series E Convertible Preferred Stock [Member] | ' | ' |
convertible preferred stock, par value | $0.00 | $0.00 |
Convertible preferred stock, shares authorized | 33,601,367 | 33,601,367 |
Convertible preferred stock, shares issued | 32,934,700 | 32,934,700 |
Convertible preferred stock, shares outstanding | 32,934,700 | 32,934,700 |
Convertible preferred stock, liquidation value | $41,992 | $41,992 |
Series A Common Stock [Member] | ' | ' |
Common Stock, shares authorized | 141,963,421 | 141,963,421 |
Common Stock, shares issued | 1,268,846 | 1,268,846 |
Common Stock, shares outstanding | 1,181,936 | 1,181,936 |
Series B Common Stock [Member] | ' | ' |
Common Stock, shares authorized | 292,414 | 292,414 |
Common Stock, shares issued | 3,129 | 3,129 |
Common Stock, shares outstanding | 3,129 | 3,129 |
Condensed_Statements_of_Operat
Condensed Statements of Operations and Comprehensive Loss (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Income Statement [Abstract] | ' | ' | ' | ' |
Revenue | $1,390 | $671 | $2,218 | $937 |
Operating expenses: | ' | ' | ' | ' |
Cost of revenue | 1,573 | 1,676 | 2,838 | 3,549 |
Research and development | 2,227 | 1,945 | 4,069 | 3,697 |
Selling, general and administrative | 4,548 | 4,275 | 9,596 | 8,533 |
Amortization of intangible assets | 42 | 42 | 84 | 84 |
Total operating expenses | 8,390 | 7,938 | 16,587 | 15,863 |
Loss from operations | -7,000 | -7,267 | -14,369 | -14,926 |
Other income (expense): | ' | ' | ' | ' |
Change in fair value of financial instruments | 41 | -594 | -562 | -575 |
Interest income (expense), net | -378 | -80 | -768 | -154 |
Loss before income taxes | -7,337 | -7,941 | -15,699 | -15,655 |
Income tax provision (benefit) | 12 | 1 | 17 | 1 |
Net loss and comprehensive loss | ($7,349) | ($7,942) | ($15,716) | ($15,656) |
Net Loss per Common Share: | ' | ' | ' | ' |
Basic and diluted | ($11.28) | ($15.96) | ($24.88) | ($34.10) |
Weighted average common shares outstanding used in computing net loss per common share: | ' | ' | ' | ' |
Basic and diluted | 651,598 | 486,184 | 631,620 | 453,768 |
Condensed_Statement_of_Convert
Condensed Statement of Convertible Preferred Stock and Stockholders' Deficit (USD $) | Total | Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit [Member] |
In Thousands, except Share data | |||||
Beginning Balance, Amount at Dec. 31, 2012 | ($69,728) | $100,537 | $8 | $1,460 | ($71,196) |
Beginning Balance, Shares at Dec. 31, 2012 | ' | 84,927,615 | 683,428 | ' | ' |
Issuance of Series E convertible preferred stock | ' | 35,094 | ' | ' | ' |
Issuance of Series E convertible preferred stock, Shares | ' | 32,934,700 | ' | ' | ' |
Conversion of convertible preferred stock into Common Stock | 17,206 | -17,206 | ' | 17,206 | ' |
Conversion of convertible preferred stock into Common Stock, Shares | ' | -3,296,082 | 53,688 | ' | ' |
Issuance of restricted shares to employees | ' | ' | 439,300 | ' | ' |
Exercise of options for Common Stock | 20 | ' | ' | 20 | ' |
Exercise of options for Common Stock, Shares | ' | ' | 8,649 | ' | ' |
Exercise of warrants for Series A Preferred Stock | ' | 9,412 | ' | ' | ' |
Exercise of warrants for Series A Preferred Stock, Shares | ' | 171,118 | ' | ' | ' |
Stock-based compensation expense | 696 | ' | ' | 696 | ' |
Deemed dividends | 40 | -40 | ' | 40 | ' |
Net loss | -29,578 | ' | ' | ' | -29,578 |
Ending Balance, Amount at Dec. 31, 2013 | -81,344 | 127,797 | 8 | 19,422 | -100,774 |
Ending Balance, Shares at Dec. 31, 2013 | ' | 114,737,351 | 1,185,065 | ' | ' |
Series E issuance costs | 1,368 | -99 | ' | ' | ' |
Exercise of options for Common Stock | 213 | ' | 1 | 212 | ' |
Exercise of options for Common Stock, Shares | ' | ' | 86,909 | ' | ' |
Stock-based compensation expense | 524 | ' | ' | 524 | ' |
Net loss | -15,716 | ' | ' | ' | -15,716 |
Ending Balance, Amount at Jun. 30, 2014 | ($96,323) | $127,698 | $9 | $20,158 | ($116,490) |
Ending Balance, Shares at Jun. 30, 2014 | ' | 114,737,351 | 1,271,974 | ' | ' |
Condensed_Statement_of_Convert1
Condensed Statement of Convertible Preferred Stock and Stockholders' Deficit (Parenthetical) (Preferred Stock [Member], USD $) | Dec. 31, 2013 |
Preferred Stock [Member] | ' |
Issuance of Series E convertible preferred stock for cash, per share | $1.27 |
Condensed_Statements_of_Cash_F
Condensed Statements of Cash Flows (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
Cash flows from operating activities | ' | ' |
Net loss | ($15,716) | ($15,656) |
Adjustments to reconcile net loss to net cash used in operating activities: | ' | ' |
Depreciation and amortization | 1,328 | 1,179 |
Change in fair value of financial instruments | 562 | 575 |
Loss on disposal of property and equipment | 98 | ' |
Provisions for inventory | 81 | 707 |
Share-based compensation expense | 524 | 354 |
Non-cash interest expense | 533 | 164 |
Changes in operating assets and liabilities: | ' | ' |
Accounts receivable | -349 | -214 |
Inventories | -908 | -637 |
Prepaid expenses and other assets | 494 | -81 |
Accounts payable and accrued expenses | -183 | -621 |
Deferred taxes | 3,135 | ' |
Other liabilities | 3 | 14 |
Net cash used in operating activities | -10,398 | -14,216 |
Cash flows from investing activities | ' | ' |
Purchases of property and equipment, net of sales | -63 | -1,971 |
Net cash used in investing activities | -63 | -1,971 |
Cash flows from financing activities | ' | ' |
Net proceeds from issuance of convertible preferred stock and warrants | -99 | 25,000 |
Net proceeds from issuance of debt and warrants | 5,000 | ' |
Net proceeds from exercise of stock options | 213 | 18 |
Issuance costs related to planned issuance of common stock | -1,368 | ' |
Net cash provided by financing activities | 3,746 | 25,018 |
Net change in cash and cash equivalents | -6,715 | 8,831 |
Cash and cash equivalents, beginning of period | 32,728 | 17,314 |
Cash and cash equivalents, end of period | $26,013 | $26,145 |
Business_Overview
Business Overview | 6 Months Ended |
Jun. 30, 2014 | |
Accounting Policies [Abstract] | ' |
Business Overview | ' |
1. BUSINESS OVERVIEW | |
Business | |
Roka Bioscience, Inc. (“Roka” or “the Company”) is focused on the development and commercialization of molecular assay technologies for the detection of foodborne pathogens. The Company was established in September 2009 through the acquisition of industrial testing assets and technology from Gen-Probe Incorporated, which was subsequently acquired by Hologic, Inc. (herein referred to as “Gen-Probe”). | |
The Company has limited capital resources and has experienced negative cash flows from operations and has incurred net losses since inception. The Company expects to continue to experience negative cash flows from operations and incur net losses in the near term as it devotes substantially all of its efforts on commercial product launch and continued product development. The Company’s business is subject to significant risks and its ability to successfully develop, manufacture and commercialize proprietary products is dependent upon many factors including, but not limited to, risks and uncertainties associated with the supply of molecular diagnostic instruments (“Atlas instruments”) and materials, product development, manufacturing scale-up, attracting and retaining key personnel, customer acceptance as well as competition. As discussed in Note 18, the Company raised approximately $53.4 million in net proceeds from its initial public offering in July 2014. The Company may need to raise additional capital through the sale of equity and/or debt securities in the future. There is no assurance that the Company will be able to raise needed capital under acceptable terms, if at all. The sale of additional equity may dilute existing shareholders and newly issued shares may contain senior rights and preferences compared to currently outstanding preferred and common stock. Issued debt securities may contain covenants and limit the Company’s ability to pay dividends or make other distributions to stockholders. In addition, the Company’s debt agreements contain material adverse change clauses which allows the lenders to call the debt based on subjective factors regarding the Company’s business and performance which may be considered a material adverse change. |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2014 | |
Accounting Policies [Abstract] | ' |
Summary of Significant Accounting Policies | ' |
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Basis of Presentation | |
The accompanying unaudited condensed financial statements of Roka Bioscience, Inc. have been prepared by the Company in accordance with United States generally accepted accounting principles (“U.S. GAAP”) for interim financial reporting, which do not conform in all respects to the requirements of U.S. GAAP for annual financial statements. Accordingly, these condensed notes to the unaudited financial statements should be read in conjunction with the 2013 audited financial statements and notes thereto prepared in accordance with U.S. GAAP. The unaudited financial statements have been prepared using accounting policies that are consistent with the policies used in preparing the Company’s audited financial statements for the year ended December 31, 2013. The condensed Balance Sheet as of December 31, 2013 was derived from the Company’s audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States. There have been no changes to the Company’s significant accounting policies since December 31, 2013. The unaudited financial statements reflect all normal and recurring adjustments necessary for a fair statement of the Company’s financial position and results of operations for the interim periods presented. The results of operations for the three and six months ended June 30, 2014 are not necessarily indicative of the results to be expected for the year ending December 31, 2014 or for any other future annual or interim period. As such, the information included in this quarterly report on Form 10-Q should be read in conjunction with the Company’s audited financial statements included in the Company’s prospectus filed pursuant to Rule 424(b) under the Securities Act of 1933, as amended (the “Securities Act”), with the Securities and Exchange Commission (the “SEC”) on July 16, 2014 (the “Prospectus”). | |
Previously, the Company calculated the fair value of its convertible preferred stock warrants outstanding using a time period based upon an estimated liquidation date. During the three months ended March 31, 2014, it was determined that a liquidation date cannot be reasonably estimated, nor do they automatically expire upon a liquidation event such as an initial public offering, and consequently the life used to value these warrants should reflect the expiration date of each warrant. As a result of this change in estimate, during the three months ended March 31, 2014 the Company recognized the following prior period expenses: approximately $435,000 related to the change in fair value of warrants, approximately $26,000 of interest expense and approximately $77,000 of other expenses as a result of the change in calculation of the fair value of warrants. Additionally, this change in valuation resulted in a reduction of notes payable of approximately $77,000, deemed to be an additional debt discount which will be accreted to notes payable over the life of the loan with a corresponding charge to interest expense. Furthermore, the change in valuation resulted in an increase in our deferred financing costs of $77,000 which was expensed in the six months ended June 30, 2014. Management does not believe this adjustment is material to the current or prior periods. | |
Common A and Common B Reverse Stock Split | |
In July 2014, the Company’s board of directors authorized and the Company’s shareholders approved an 11.04:1 reverse stock split of the Company’s Class A common stock (“Common A”) and Class B common stock (“Common B”), together referred to as “Common Stock”, effective on July 3, 2014. In addition, effective on the date of the Common Stock reverse stock split, the conversion ratio of Series B Convertible Preferred Stock (“Series B”), Series C Convertible Preferred Stock (“Series C”), Series D Convertible Preferred Stock (“Series D”) and Series E Convertible Preferred Stock (“Series E”) collectively referred to as “Convertible Preferred Stock” was adjusted by a factor of 11.04. Each share of Series B, Series C and Series E will be convertible into approximately 0.0906 shares of Common Stock and each share of Series D will be convertible into approximately 0.0937 shares of Common Stock. The Company’s historical share and per share information have been retroactively adjusted to give effect to this reverse split and corresponding change in conversion ratio. | |
New Accounting Pronouncements | |
From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board (“FASB”) or other standard setting bodies and adopted by the Company as of the specified effective date. In May 2014, the FASB issued Accounting Standards Update (“ASU”) 2014-09, Revenue from Contracts with Customers. This standard outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance. ASU 2014-09 provides companies with two implementation methods. Companies can choose to apply the standard retrospectively to each prior reporting period presented (full retrospective application) or retrospectively with the cumulative effect of initially applying the standard as an adjustment to the opening balance of retained earnings of the annual reporting period that includes the date of initial application (modified retrospective application). This guidance is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period, and early application is not permitted. The Company is currently in the process of evaluating the impact this new guidance will have on the Company. |
Cash_and_Cash_Equivalents
Cash and Cash Equivalents | 6 Months Ended |
Jun. 30, 2014 | |
Cash And Cash Equivalents [Abstract] | ' |
Cash and Cash Equivalents | ' |
3. CASH AND CASH EQUIVALENTS | |
The Company’s entire balance of cash and cash equivalents as of June 30, 2014 was held in demand accounts with one financial institution, which potentially subjects the Company to significant concentrations of credit risk. |
Inventories
Inventories | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Inventory Disclosure [Abstract] | ' | ||||||||
Inventories | ' | ||||||||
4. INVENTORIES | |||||||||
The following table provides details of the Company’s net inventories (amounts in thousands): | |||||||||
As of June 30, | As of December 31, | ||||||||
2014 | 2013 | ||||||||
Raw materials | $ | 1,674 | $ | 1,846 | |||||
Work in process | 93 | — | |||||||
Finished goods | 2,939 | 2,033 | |||||||
$ | 4,706 | $ | 3,879 | ||||||
Property_and_Equipment
Property and Equipment | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Property Plant And Equipment [Abstract] | ' | ||||||||||||||||
Property and Equipment | ' | ||||||||||||||||
5. PROPERTY AND EQUIPMENT | |||||||||||||||||
The following table provides details of the Company’s property and equipment (amounts in thousands): | |||||||||||||||||
As of June 30, | As of December 31, | ||||||||||||||||
2014 | 2013 | ||||||||||||||||
Atlas instruments | $ | 10,192 | $ | 10,330 | |||||||||||||
Manufacturing equipment | 2,801 | 2,801 | |||||||||||||||
Laboratory equipment | 2,967 | 2,923 | |||||||||||||||
Computer and office equipment | 1,427 | 1,388 | |||||||||||||||
Leasehold improvements | 1,272 | 1,272 | |||||||||||||||
Software | 1,113 | 1,106 | |||||||||||||||
Total property and equipment | $ | 19,772 | $ | 19,820 | |||||||||||||
Less: Accumulated depreciation | (6,514 | ) | (5,310 | ) | |||||||||||||
Total | $ | 13,258 | $ | 14,510 | |||||||||||||
Atlas instruments include instruments intended for placement with customers and instruments placed with customers under lease agreements. As of June 30, 2014 and December 31, 2013, the cost of Atlas instruments, which represents equipment on lease or held for lease, was $9.3 million and $9.8 million, respectively, net of accumulated depreciation of $0.9 million and $0.5 million, respectively. | |||||||||||||||||
Expenses for depreciation of property and equipment were incurred as follows (amounts in thousands): | |||||||||||||||||
For the Three Months Ended June 30, | For the Six Months Ended June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Depreciation expense | $ | 625 | $ | 558 | $ | 1,244 | $ | 1,095 |
Accrued_Expenses
Accrued Expenses | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Payables And Accruals [Abstract] | ' | ||||||||
Accrued Expenses | ' | ||||||||
6. ACCRUED EXPENSES | |||||||||
The following table provides details of the Company’s accrued expenses (amounts in thousands): | |||||||||
As of June 30, | As of December 31, | ||||||||
2014 | 2013 | ||||||||
Employee related | $ | 1,217 | $ | 888 | |||||
Professional services | 963 | 1,328 | |||||||
Other | 3,307 | 165 | |||||||
Total accrued expenses | $ | 5,487 | $ | 2,381 | |||||
Included within Professional services and Other in the above table is approximately $430,000 and $526,000 for issuance costs related to the planned issuance of common stock as of June 30, 2014 and December 31, 2013, respectively. Included within Other as of June 30, 2014 in the above table is $2.5 million related to a payment due to Gen-Probe pursuant to the amendment to the license agreement discussed below in Note 9. |
Deferred_Payments
Deferred Payments | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Other Liabilities Disclosure [Abstract] | ' | ||||||||
Deferred Payments | ' | ||||||||
7. DEFERRED PAYMENTS | |||||||||
In May 2011, the Company entered into a supply agreement with Gen-Probe, a former related party, to purchase Atlas instruments. Pursuant to the terms of the agreement, the Company can defer up to one half of the purchase price for up to 54 months from the date of delivery. The deferred amounts do not bear interest, and the Company has determined that ASC 835-30 Imputation of interest (“ASC-835”) applies. Accordingly, the Company recorded the imputed interest component as a reduction of the deferred payment and as a reduction of the asset cost. The supply agreement provides for variable repayment terms based on a percentage of net sales as defined in the agreement, and the Company has estimated its net sales in determining amounts due for the 54 month term. The following table summarizes the amounts deferred under this agreement (amounts in thousands): | |||||||||
As of June 30, | As of December 31, | ||||||||
2014 | 2013 | ||||||||
Current | |||||||||
Deferred payments, gross | $ | 923 | $ | 759 | |||||
Imputed interest | (402 | ) | (420 | ) | |||||
Deferred payments, net | $ | 521 | $ | 339 | |||||
Long-term | |||||||||
Deferred payments, gross | $ | 3,868 | $ | 4,053 | |||||
Imputed interest | (652 | ) | (848 | ) | |||||
Deferred payments, net | $ | 3,216 | $ | 3,205 | |||||
The Company estimated the interest rate implicit in the extended payment terms by considering the rate at which it could obtain financing of a similar nature from other sources at the date of the transaction, as well as prevailing rates for similar debt instruments of issuers with similar credit ratings, the estimated effective interest rate used, ranges from 9.9% to 11.2%. | |||||||||
In the three months and six months ended June 30, 2014, the Company recorded approximately $106,000 and $214,000, respectively, and in the three months and six months ended June 30, 2013, the Company recorded approximately $84,000 and $164,000, respectively, as non-cash interest expense related to the deferred payments pursuant to the supply agreement with Gen-Probe. |
Notes_Payable
Notes Payable | 6 Months Ended |
Jun. 30, 2014 | |
Debt Disclosure [Abstract] | ' |
Notes Payable | ' |
8. NOTES PAYABLE | |
In November 2013, the Company entered into two loan and security agreements, under which the Company may borrow up to an aggregate of $15.0 million in three separate $5.0 million tranches upon meeting certain provisions. The first tranche is subject to the terms and conditions of the loan and security agreement entered into with Comerica Bank (“Comerica”) and the second and third tranches are subject to the terms and conditions of the loan and security agreement entered into with TriplePoint Capital LLC (“TriplePoint”). | |
The loan and security agreement with Comerica (the “Comerica Loan”), provides for borrowing of up to $5.0 million and accrues interest at Comerica’s Prime Referenced Rate (as defined in the loan agreement with Comerica), subject to a floor of the daily adjusting LIBOR rate plus 2.5%, plus 3.15%. As of June 30, 2014, the rate was 6.4%. The loan is interest-only until June 1, 2015 and matures in 42 months. After the 18-month interest-only period, the Company will make 23 consecutive monthly payments which will consist of accrued interest and equal principal payments in accordance with a 30-month amortization schedule. On the 24th month following the interest only period, the Company will make a lump sum payment for the remaining outstanding principal and interest due. | |
The loan and security agreement with TriplePoint (the “TriplePoint Loan”), provides for borrowings up to $10.0 million. The Company may borrow up to $5.0 million in the second tranche, consisting of one or more term loan advances, before March 31, 2014 and if the Company has generated at least $10.0 million in revenue between November 21, 2013 and September 30, 2014, it would be eligible to borrow up to an additional $5.0 million in the third tranche, consisting of one or more term loan advances, until December 31, 2014. Borrowings under the TriplePoint Loan will accrue interest at the Prime Rate plus 5.75%, but not less than 9.0%. Each tranche under the TriplePoint Loan is repayable over 36 months from the borrowing date with an interest-only period of nine months for the second tranche and six months for the third tranche (or 12 months for each tranche upon election by the Company to extend the interest only period), and equal monthly installments of principal and interest over the remaining term of the loan after the interest only period. If the Company extends the interest only period, the TriplePoint Loan will accrue interest at the Prime Rate plus 6.25%, but not less than 9.5%. | |
The loan agreements do not contain any financial covenants. However, the agreements contain various covenants that limit the Company’s ability to engage in specified types of transactions, including limiting the Company’s ability to; sell, transfer, lease or dispose of certain assets; engage in certain mergers and consolidations; incur debt or encumber or permit liens on certain assets, make certain restricted payments, including paying dividends on, or repurchasing or making distributions with respect to, the Company’s Common Stock; and enter into certain transactions with affiliates. Additionally, the Company has pledged substantially all of its assets except intellectual property as collateral for the loans. | |
Upon the closing of the loan and security agreements, the Company borrowed $5.0 million from Comerica. In connection with the closing of the loan and security agreements, the Company issued warrants to Comerica and TriplePoint to purchase up to an aggregate of 352,941 shares of Series E with an exercise price of $1.28. | |
In connection with the Comerica Loan, the Company recorded the liability for the note as $4.9 million, net of expenses paid to Comerica and the value of the warrant issued to Comerica. The difference between the liability recorded and the face value of the note will be accreted to Notes payable over the term of the loan with a corresponding charge to interest expense. Additionally, the Company incurred debt issuance costs of approximately $76,000 which were capitalized within Other assets on the Balance Sheet and will be amortized to Interest expense over the life of the loan using the interest method. | |
In connection with the TriplePoint Loan, the Company incurred approximately $153,000 of debt issuance costs which were capitalized with Other assets on the Balance Sheet and will be amortized to Interest expense over the term the funds are available to Roka to be borrowed. | |
In March 2014, the Company borrowed $5.0 million from TriplePoint under the second tranche and elected to repay the loan based upon the extended interest-only period noted above, therefore, such borrowings will accrue interest at a rate of 9.5%. In connection with the borrowings under the second tranche, the TriplePoint warrants became exercisable for an additional 156,863 shares of Series E. Furthermore, the Company recorded the liability for the note as $5.0 million less the value of the associated warrant of approximately $135,000. The difference between the liability recorded and the face value of the note will be accreted to Notes payable over the term of the loan with a corresponding charge to interest expense. In the event of additional borrowings under the third tranche, the TriplePoint warrants will become exercisable for up to an additional 156,863 shares of Series E. | |
As of June 30, 2014, the Company has classified the outstanding debt as a current liability due to a material adverse change clause within the loan agreements which allow Comerica and TriplePoint to call the debt based on subjective factors regarding the Company’s business and performance. |
Commitments_and_Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2014 | |
Commitments And Contingencies Disclosure [Abstract] | ' |
Commitments and Contingencies | ' |
9. COMMITMENTS AND CONTINGENCIES | |
Operating leases | |
The Company has not entered into any new operating leases or amended any operating leases during the six months ended June 30, 2014. | |
Contractual obligations | |
During the six months ended June 30, 2014, there have been no significant changes to the Company’s contractual obligations as disclosed in the Company’s most recent audited financial statements except as described below. | |
In June 2014, the Company entered into an amendment to its license agreement with Gen-Probe, a former related party, which grants the Company a two-year option to reduce the royalty rate it pays to Gen-Probe in exchange for an option payment of $2.5 million. The option is exercisable at the Company’s discretion if it raises less than $55.0 million in net proceeds from an IPO and is automatically exercised if it raises at least $55.0 million in net proceeds from an IPO. The option would be exercised simultaneously with the closing of an IPO. Upon exercise of such option to reduce the royalty rate that the Company pays to Gen-Probe, the Company is obligated to make the following payments to Gen-Probe: (i) within ten days of the closing of an IPO, the Company would issue 865,063 shares of common stock to Gen-Probe, (ii) within ten days of the closing of an IPO, the Company would make a cash payment of $8.0 million using a portion of the net proceeds from such IPO, (iii) on January 1, 2018, the Company would make a cash payment of $5.0 million and (iv) on January 1, 2020, the Company would make a cash payment of $5.0 million. In addition, the Company may make additional milestone payments of up to $6.0 million to further reduce the royalty rate. Such payments are required to be made upon meeting certain revenue milestones or may be made at the election of the Company prior to meeting the revenue milestones. The aggregate payments will be recorded as an addition to the Company’s intangible technology asset within the balance sheet and will be amortized over the estimated remaining life of the technology asset. As of June 30, 2014, the option payment of $2.5 million had not yet been paid and was therefore accrued for with a corresponding asset recorded in Other assets on the Balance Sheet. | |
Legal Matters | |
The Company may periodically become subject to legal proceedings and claims arising in connection with its business. The Company is not currently involved in any legal proceedings nor are there any claims against the Company pending. | |
The Company sells its products in various jurisdictions and is subject to federal, state and local taxes including, where applicable, sales and use tax. While the Company believes that it has properly paid or accrued for all such taxes based on its interpretation of applicable law, tax laws are complex and interpretations differ. Periodically, the Company may be audited by taxing authorities, and it is possible that additional assessments may be made in the future. |
Fair_Value_Measurements
Fair Value Measurements | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||
10. FAIR VALUE MEASUREMENTS | |||||||||||||||||
The Company’s financial instruments consist of cash and cash equivalents, trade accounts receivable, accounts payable, short-term deferred payments, deferred payments, notes payable, accrued expenses and Convertible Preferred Stock Warrants. The carrying amounts of cash and cash equivalents, trade accounts receivable, accounts payable, short-term deferred payments and accrued expenses approximate their fair values because of the short-term nature of the instruments, or, in the case of the deferred payments and notes payable, because the interest rates the Company believes it could obtain for similar borrowings is similar to its existing interest rates. The following table summarizes the fair value information for the Company’s cash held in money market deposit accounts and its Convertible Preferred Stock Warrants at June 30, 2014 and December 31, 2013 (amounts in thousands): | |||||||||||||||||
Fair value measurements using: | |||||||||||||||||
Carrying | Quoted Prices in | Significant Other | Significant | ||||||||||||||
Value | Active Markets | Observable Inputs | Unobservable | ||||||||||||||
(Level 1) | (Level 2) | Inputs (Level 3) | |||||||||||||||
As of June 30, 2014 | |||||||||||||||||
Financial Assets: | |||||||||||||||||
Money market deposit accounts | $ | 25,017 | $ | 25,017 | — | — | |||||||||||
Financial Liabilities: | |||||||||||||||||
Convertible Preferred Stock Warrants | $ | 1,142 | — | — | $ | 1,142 | |||||||||||
As of December 31, 2013 | |||||||||||||||||
Financial Assets: | |||||||||||||||||
Money market deposit accounts | $ | 25,470 | $ | 25,470 | — | — | |||||||||||
Financial Liabilities: | |||||||||||||||||
Convertible Preferred Stock Warrants | $ | 212 | — | — | $ | 212 | |||||||||||
Some of the Company’s cash and cash equivalents are held in money market deposit accounts which are classified within Level 1 of the fair value hierarchy because they are valued using quoted market prices or market prices for similar securities. | |||||||||||||||||
Per ASC 820, Fair Value Measurements and Disclosures, (“ASC 820”) the Convertible Preferred Stock Warrants are classified within Level 3 of the fair value hierarchy as they are revalued to their fair value, using the Black-Scholes option-pricing model, at each reporting period end and any change in fair value is reflected in the Statement of Operations and Comprehensive Loss. There have been no transfers between levels during the reporting period. | |||||||||||||||||
Using the Black-Scholes option-pricing model for warrants outstanding at June 30, 2014 and December 31, 2013, the Company applied the following assumptions: | |||||||||||||||||
As of June 30, | As of December 31, | ||||||||||||||||
2014 | 2013 | ||||||||||||||||
Series B Warrants | |||||||||||||||||
Expected life in years(1) | 2.2 | 0.5 | |||||||||||||||
Interest rate | 0.47 | % | 0.1 | % | |||||||||||||
Volatility | 60 | % | 60 | % | |||||||||||||
Dividend yield | — | — | |||||||||||||||
Series E Warrants | |||||||||||||||||
Expected life in years(1) | 9.4 | 0.5 | |||||||||||||||
Interest rate | 2.53 | % | 0.1 | % | |||||||||||||
Volatility | 60 | % | 60 | % | |||||||||||||
Dividend yield | — | — | |||||||||||||||
-1 | See Note 2 for details regarding the change in expected life from December 31, 2013 to June 30, 2014 | ||||||||||||||||
Reasonable changes in the assumptions used to value the warrants would not have a material impact on the liability balance at the end of any reporting period presented. | |||||||||||||||||
The table below provides a summary of the changes in the Convertible preferred stock warrant liability during the six months ended June 30, 2014 and the six months ended June 30, 2013 (amounts in thousands): | |||||||||||||||||
For the Six Months Ended June 30, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Balance at beginning of period | $ | 212 | $ | 100 | |||||||||||||
Issuance of Series A Warrants | — | 6,674 | |||||||||||||||
Increase in Series E warrant shares | 135 | — | |||||||||||||||
Change in fair value of warrants(1) | 795 | 575 | |||||||||||||||
Balance at end of period | $ | 1,142 | $ | 7,349 | |||||||||||||
-1 | Includes $666,000 of prior period fair value adjustments as discussed in Note 2 above. |
Convertible_Preferred_Stock_an
Convertible Preferred Stock and Stockholders' Deficit | 6 Months Ended |
Jun. 30, 2014 | |
Equity [Abstract] | ' |
Convertible Preferred Stock and Stockholders' Deficit | ' |
11. CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS’ DEFICIT | |
The Company has multiple classes of preferred stock for which shares are authorized, issued and outstanding. There were no issuances of Convertible Preferred Stock in the six months ended June 30, 2014. During the six months ended June 30, 2013, the Company issued 17,111,567 shares of Series E convertible preferred stock as well as warrants to purchase 171,118 shares of Series A and Series A-1 Convertible Preferred Stock. The warrants were subsequently exercised in the three months ended September 30, 2013. During the six months ended June 30, 2013, the Company had shares of Series A Convertible Preferred Stock outstanding which, along with the additional Series A and Series A-1 shares issued upon exercise of Series A and Series A-1 warrants in the three months ended September 30, 2013, were subsequently converted into Common Stock in the fourth quarter of 2013. No such shares of Series A Convertible Preferred Stock were authorized, issued or outstanding as of and for the six months ended June 30, 2014. The dividend rights, voting rights, liquidation rights, conversion rights and registration rights of the classes of preferred stock for which shares are authorized are indicated below. | |
Dividend rights | |
Holders of issued and outstanding shares of Series B, Series C, Series D and Series E are entitled to annual cash dividends of 8% based on the original issuance price when and if declared by the Company’s Board of Directors. The original issuance price, adjusted in the event of a stock split, stock dividends, recapitalizations or the like as defined, is $1.00 for Series B, $1.325 for Series C, $1.461 for Series D and $1.275 for Series E. No dividend can be declared or paid for other stock classes until the preferred dividend for Series B, Series C, Series D and Series E has been paid. | |
Dividends payable to holders of Series B, Series C, Series D and Series E are not cumulative, and no right will accrue to holders of such Convertible Preferred Stock if dividends are not declared. | |
No dividends can be declared or paid on Common Stock unless all dividends, accrued or declared, on the Convertible Preferred Stock have been paid in full. | |
Voting rights | |
Each holder of Convertible Preferred Stock, is entitled to vote with Common A stockholders on an “as if” converted basis. | |
The Board of Directors consists of up to nine members. | |
Holders of Series B, voting as a single class, are entitled to elect four directors. Holders of Series D, voting as a single class, are entitled to elect one director. Holders of all voting stock classes are entitled to elect four directors. | |
Holders of Common B do not have voting rights. | |
Liquidation rights | |
In the event of a liquidation or dissolution of the Company, the holders of Series E, in preference to and priority to all other stockholders, are entitled to be paid, out of the assets of the Company, the original issuance price plus any declared but unpaid dividends. After payment to holders of Series E, in preference to and priority to all other stockholders (except Series E stockholders), the holders of Series D are entitled to be paid, out of the assets of the Company, the original issuance price plus any declared but unpaid dividends. After payment to holders of Series E and Series D, and from any remaining assets legally available, holders of Series B and Series C will be paid the original issuance price plus any declared but unpaid dividends. | |
A liquidation event will be deemed to have occurred under certain situations if the Company experiences a change in control, merges with another company or sells substantially all of its assets. As the holders of the Company’s Convertible Preferred Stock collectively control the Board, such contingent liquidation events cause the Convertible Preferred Stock to be classified as mezzanine equity. | |
Conversion rights | |
Each share of Convertible Preferred Stock is convertible at the option of the holder, without payment of additional consideration. Under certain defined situations, including the closing of an initial public offering, approved by the holders of Series B, Series C, Series D and Series E voting together as a single class on an as-converted to Common Stock basis, Convertible Preferred Stock will automatically convert to Common Stock. Typically, each share of Convertible Preferred Stock will convert into approximately 0.0906 shares of Common Stock. Shares of Series D will convert into approximately 0.0937 shares of Common Stock per share of Series D as a result of exercising their anti-dilution rights provision in conjunction with the Series E share issuance in November 2013. | |
Registration rights | |
Upon the expiration of the 180-day lock-up period that commenced on July 16, 2014, holders of at least 51% of common stock issuable or issued upon the conversion of Convertible Preferred Stock may require that the the Company file a registration statement under the Securities Act covering the registration of such shares of common stock issued or issuable upon the conversion of Convertible Preferred Stock. These rights are provided under the terms of an investor rights agreement between the Company and the holders of the Company’s Convertible Preferred Stock and Convertible Preferred Stock Warrants. However, the Company is only required to register such shares of common stock issued or issuable upon the conversion of Convertible Preferred Stock pursuant to such a request if the offering results in net proceeds of at least $30 million. |
StockBased_Compensation
Stock-Based Compensation | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||||||||||
Stock-Based Compensation | ' | ||||||||||||||||
12. STOCK-BASED COMPENSATION | |||||||||||||||||
Under the Roka Bioscience, Inc. 2009 Equity Incentive Plan (the “2009 Plan”), as amended on June 13, 2013, incentive and non-qualified stock options and restricted stock may be granted for up to a maximum of 2,028,850 shares to employees, consultants and directors of the Company. | |||||||||||||||||
Stock options and shares of restricted stock granted under the 2009 Plan have a maximum contractual term of ten years from the date of grant and generally vest over four years. For stock options, the exercise price may not be less than the fair value of the stock on the grant date. | |||||||||||||||||
The Company recognized stock compensation expense as follows (amounts in thousands): | |||||||||||||||||
For the Three Months Ended June 30, | For the Six Months Ended June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Stock options | $ | 65 | $ | 54 | $ | 133 | $ | 114 | |||||||||
Restricted stock | $ | 198 | $ | 120 | $ | 391 | $ | 240 | |||||||||
The Company granted approximately 4,000 stock options and 86,000 stock options during the six months ended June 30, 2014 and 2013, respectively, valued at approximately $18,000 and $59,000, respectively. | |||||||||||||||||
The Company determines the fair value of stock option awards at the date of grant using a Black-Scholes valuation model. This model requires the Company to make assumptions and judgments on the expected volatility, dividend yield, the risk-free interest rate and the expected term of the stock options. The following ranges of assumptions were utilized for stock options granted: | |||||||||||||||||
For the Six Months Ended June 30, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Expected life in years | 5.9-6.0 | 5.7-6.0 | |||||||||||||||
Interest rate | 2.01%-2.04% | 0.99%-1.06% | |||||||||||||||
Volatility | 60% | 70% | |||||||||||||||
Dividend yield | — | — | |||||||||||||||
The Company estimates the expected life of its employee stock options using the “simplified” method, whereby the expected life equals the arithmetic average of the vesting term and the original contractual term of the option due to its lack of sufficient historical data. The risk-free interest rates are based on the U.S. Treasury yield curve in effect at the time of grant for periods corresponding with the expected life of the option. The expected stock price volatility rates are based on average historical volatilities of the common stock of a group of public companies in similar industries. The Company has no history or expectations of paying dividends on its Common Stock and therefore uses a zero percent dividend yield in the Black-Scholes option pricing model. | |||||||||||||||||
Warrants_for_Convertible_Prefe
Warrants for Convertible Preferred Stock | 6 Months Ended |
Jun. 30, 2014 | |
Accounting Policies [Abstract] | ' |
Warrants for Convertible Preferred Stock | ' |
13. WARRANTS FOR CONVERTIBLE PREFERRED STOCK | |
The Company has Series B Warrants outstanding which allow their holders to purchase 2,480,000 shares of Series B at an exercise price of $1.00 per share. The warrants expire in September 2016, whereupon any warrants that remain unexercised will be exercised automatically in whole in a cashless exercise resulting in an issuance, to the holders of the warrants, the number of shares with a value equal to the intrinsic value of the warrants at the time of expiry. | |
In connection with the closing of the loan and security agreements discussed in Note 8, the Company issued warrants to Comerica and TriplePoint to purchase up to an aggregate of 352,941 shares of Series E with an exercise price of $1.28. Upon issuance, the Company recorded liabilities on the Balance Sheet of approximately $28,000 and $55,000 for the warrants issued to Comerica and TriplePoint, respectively. The initial fair value of the warrant issued to Comerica of approximately $28,000 was deemed a discount on the debt issued by Comerica and is being accreted to interest expense over the term of the Comerica Loan. The initial fair value of the warrants issued to TriplePoint of approximately $55,000 is included in the $153,000 of debt issuance costs which were capitalized in Other assets on the Balance Sheet and will be amortized to Interest expense. In connection with the borrowings made under the second tranche in March 2014, one of the TriplePoint warrants became exercisable for an additional 156,863 shares of Series E. The second TriplePoint warrant will become exercisable for up to an additional 156,863 shares of Series E, based on borrowings under the third tranche. The initial fair value of approximately $135,000 for the warrants issued to TriplePoint in connection with the borrowings under the second tranche was deemed a discount on the debt issued by TriplePoint and is being accreted to interest expense over the term of the second tranche. | |
See Note 10 for the assumptions used to determine the fair value of the Convertible preferred stock warrant liability as of June 30, 2014 and December 31, 2013, respectively and a summary of the changes in the Convertible preferred stock warrant liability for the six months ended June 30, 2014 and 2013. |
Net_Loss_per_Share
Net Loss per Share | 6 Months Ended | ||||||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||||||||||
Net Loss per Share | ' | ||||||||||||||||||||||||
14. NET LOSS PER SHARE | |||||||||||||||||||||||||
Basic net loss per share is calculated by dividing net loss applicable to common stockholders by the weighted-average shares outstanding during the period, without consideration for common stock equivalents. The weighted-average common shares outstanding excludes unvested restricted stock which although such shares are legally issued and outstanding, are not required to share in losses of the Company and are therefore excluded from the net loss per share calculation. Diluted net loss per share is calculated by adjusting the weighted-average shares outstanding for the dilutive effect of common stock equivalents outstanding for the period, determined using the treasury-stock method. For purposes of the diluted net loss per share calculation, Convertible Preferred Stock, stock options and warrants are considered to be common stock equivalents but are excluded from the calculation of diluted net loss per share because their effect would be anti-dilutive. Therefore, basic and diluted net loss per share applicable to common stockholders were the same for all periods presented. | |||||||||||||||||||||||||
For the Three Months Ended June 30, | For the Six Months Ended June 30, | ||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||
Common A | Common B | Common A | Common A | Common B | Common A | ||||||||||||||||||||
Net loss applicable to common shareholders (thousands) | $ | (7,326 | ) | $ | (24 | ) | $ | (7,942 | ) | $ | (15,664 | ) | $ | (53 | ) | $ | (15,657 | ) | |||||||
Deemed dividend (thousands) | — | — | 184 | — | — | 184 | |||||||||||||||||||
Net loss applicable to common shareholders for computing loss per share (thousands) | $ | (7,326 | ) | $ | (24 | ) | $ | (7,758 | ) | $ | (15,664 | ) | $ | (53 | ) | $ | (15,473 | ) | |||||||
Basic and diluted weighted average common shares outstanding | 649,453 | 2,145 | 486,184 | 629,475 | 2,145 | 453,768 | |||||||||||||||||||
Basic and diluted loss per share | $ | (11.28 | ) | $ | (11.28 | ) | $ | (15.96 | ) | $ | (24.88 | ) | $ | (24.88 | ) | $ | (34.10 | ) | |||||||
As the Company incurred a loss for the three months and six months ended June 30, 2014 and 2013, all unvested restricted stock awards were excluded from the calculation of basic net loss per share and all potential Common A shares issuable for Convertible Preferred Stock, stock options and warrants were excluded from the calculation of diluted net loss per share, as the effect of including them would have been anti-dilutive. Had the Company not incurred a loss, the dilutive effect of the unvested restricted stock awards on basic weighted average common shares outstanding and the dilutive effect of potential Common A shares issuable for Convertible Preferred Stock, stock options and warrants on the weighted-average number of Common A shares outstanding would have been as follows: | |||||||||||||||||||||||||
For the Three Months Ended June 30, | For the Six Months Ended June 30, | ||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||
Common A | Common B | Common A | Common A | Common B | Common A | ||||||||||||||||||||
Basic weighted average shares outstanding | 649,453 | 2,145 | 486,184 | 629,475 | 2,145 | 453,768 | |||||||||||||||||||
Dilutive effect of unvested restricted stock | 273,480 | — | 15,492 | 243,369 | — | 8,948 | |||||||||||||||||||
Basic weighted average shares outstanding had the Company not incurred a loss | 922,933 | 2,145 | 501,676 | 872,844 | 2,145 | 462,716 | |||||||||||||||||||
Dilutive effect of Convertible Preferred Stock | 10,494,458 | — | 7,931,430 | 10,494,458 | — | 7,812,067 | |||||||||||||||||||
Dilutive effect of stock options | 382,359 | — | 96,586 | 376,052 | — | 48,293 | |||||||||||||||||||
Diluted weighted average shares outstanding had the Company not incurred a loss | 11,799,750 | 2,145 | 8,529,692 | 11,743,354 | 2,145 | 8,323,076 | |||||||||||||||||||
Segment_Information
Segment Information | 6 Months Ended |
Jun. 30, 2014 | |
Segment Reporting [Abstract] | ' |
Segment Information | ' |
17. SEGMENT INFORMATION | |
The Company operates in a single reportable segment. During the six months ended June 30, 2014, the Company had four customers which each generated more than 10% of the Company’s revenues. These four customers accounted for revenues of approximately $706,000, $429,000, $421,000 and $247,000, respectively. During the six months ended June 30, 2013, the Company had three customers which each generated more than 10% of the Company’s revenues. These three customers accounted for revenues of approximately $290,000, $286,000 and $101,000, respectively. |
Subsequent_Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2014 | |
Subsequent Events [Abstract] | ' |
Subsequent Events | ' |
18. SUBSEQUENT EVENTS | |
On July 22, 2014, the Company closed a $60.0 million initial public offering in which 5,000,000 shares of common stock were sold at $12.00 per share. The Company received approximately $53.4 million of net proceeds from the offering after deducting underwriting discounts, commissions and estimated offering expenses previously paid or payable by the Company. In connection with the closing of the IPO, all shares of Common A and Common B were converted into a new class of common stock on a 1:1 basis and all shares of Convertible Preferred Stock were converted into the new class of common stock at their respective conversion ratios. Additionally, the Company chose to exercise its royalty reduction option pursuant to the amendment to the Company’s license agreement with Gen-Probe. Subsequent to the closing of the IPO, the Company issued 865,063 shares of common stock to Gen-Probe and made a payment of $8.0 million to Gen-Probe as a result of exercising its royalty reduction option. See Note 9 for further details. Upon the completion of the initial public offering, $2.2 million of registration expenses recorded in Prepaid expenses and other current assets on the Balance Sheet as of June 30, 2014 was reclassified to equity as a reduction of the proceeds of the offering. |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2014 | |
Accounting Policies [Abstract] | ' |
Basis of Presentation | ' |
Basis of Presentation | |
The accompanying unaudited condensed financial statements of Roka Bioscience, Inc. have been prepared by the Company in accordance with United States generally accepted accounting principles (“U.S. GAAP”) for interim financial reporting, which do not conform in all respects to the requirements of U.S. GAAP for annual financial statements. Accordingly, these condensed notes to the unaudited financial statements should be read in conjunction with the 2013 audited financial statements and notes thereto prepared in accordance with U.S. GAAP. The unaudited financial statements have been prepared using accounting policies that are consistent with the policies used in preparing the Company’s audited financial statements for the year ended December 31, 2013. The condensed Balance Sheet as of December 31, 2013 was derived from the Company’s audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States. There have been no changes to the Company’s significant accounting policies since December 31, 2013. The unaudited financial statements reflect all normal and recurring adjustments necessary for a fair statement of the Company’s financial position and results of operations for the interim periods presented. The results of operations for the three and six months ended June 30, 2014 are not necessarily indicative of the results to be expected for the year ending December 31, 2014 or for any other future annual or interim period. As such, the information included in this quarterly report on Form 10-Q should be read in conjunction with the Company’s audited financial statements included in the Company’s prospectus filed pursuant to Rule 424(b) under the Securities Act of 1933, as amended (the “Securities Act”), with the Securities and Exchange Commission (the “SEC”) on July 16, 2014 (the “Prospectus”). | |
Previously, the Company calculated the fair value of its convertible preferred stock warrants outstanding using a time period based upon an estimated liquidation date. During the three months ended March 31, 2014, it was determined that a liquidation date cannot be reasonably estimated, nor do they automatically expire upon a liquidation event such as an initial public offering, and consequently the life used to value these warrants should reflect the expiration date of each warrant. As a result of this change in estimate, during the three months ended March 31, 2014 the Company recognized the following prior period expenses: approximately $435,000 related to the change in fair value of warrants, approximately $26,000 of interest expense and approximately $77,000 of other expenses as a result of the change in calculation of the fair value of warrants. Additionally, this change in valuation resulted in a reduction of notes payable of approximately $77,000, deemed to be an additional debt discount which will be accreted to notes payable over the life of the loan with a corresponding charge to interest expense. Furthermore, the change in valuation resulted in an increase in our deferred financing costs of $77,000 which was expensed in the six months ended June 30, 2014. Management does not believe this adjustment is material to the current or prior periods. | |
Common A and Common B Reverse Stock Split | ' |
Common A and Common B Reverse Stock Split | |
In July 2014, the Company’s board of directors authorized and the Company’s shareholders approved an 11.04:1 reverse stock split of the Company’s Class A common stock (“Common A”) and Class B common stock (“Common B”), together referred to as “Common Stock”, effective on July 3, 2014. In addition, effective on the date of the Common Stock reverse stock split, the conversion ratio of Series B Convertible Preferred Stock (“Series B”), Series C Convertible Preferred Stock (“Series C”), Series D Convertible Preferred Stock (“Series D”) and Series E Convertible Preferred Stock (“Series E”) collectively referred to as “Convertible Preferred Stock” was adjusted by a factor of 11.04. Each share of Series B, Series C and Series E will be convertible into approximately 0.0906 shares of Common Stock and each share of Series D will be convertible into approximately 0.0937 shares of Common Stock. The Company’s historical share and per share information have been retroactively adjusted to give effect to this reverse split and corresponding change in conversion ratio. | |
New Accounting Pronouncements | ' |
New Accounting Pronouncements | |
From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board (“FASB”) or other standard setting bodies and adopted by the Company as of the specified effective date. In May 2014, the FASB issued Accounting Standards Update (“ASU”) 2014-09, Revenue from Contracts with Customers. This standard outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance. ASU 2014-09 provides companies with two implementation methods. Companies can choose to apply the standard retrospectively to each prior reporting period presented (full retrospective application) or retrospectively with the cumulative effect of initially applying the standard as an adjustment to the opening balance of retained earnings of the annual reporting period that includes the date of initial application (modified retrospective application). This guidance is effective for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period, and early application is not permitted. The Company is currently in the process of evaluating the impact this new guidance will have on the Company. |
Inventories_Tables
Inventories (Tables) | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Inventory Disclosure [Abstract] | ' | ||||||||
Summary of Net Inventories | ' | ||||||||
The following table provides details of the Company’s net inventories (amounts in thousands): | |||||||||
As of June 30, | As of December 31, | ||||||||
2014 | 2013 | ||||||||
Raw materials | $ | 1,674 | $ | 1,846 | |||||
Work in process | 93 | — | |||||||
Finished goods | 2,939 | 2,033 | |||||||
$ | 4,706 | $ | 3,879 | ||||||
Property_and_Equipment_Tables
Property and Equipment (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Property Plant And Equipment [Abstract] | ' | ||||||||||||||||
Schedule of Property and Equipment | ' | ||||||||||||||||
The following table provides details of the Company’s property and equipment (amounts in thousands): | |||||||||||||||||
As of June 30, | As of December 31, | ||||||||||||||||
2014 | 2013 | ||||||||||||||||
Atlas instruments | $ | 10,192 | $ | 10,330 | |||||||||||||
Manufacturing equipment | 2,801 | 2,801 | |||||||||||||||
Laboratory equipment | 2,967 | 2,923 | |||||||||||||||
Computer and office equipment | 1,427 | 1,388 | |||||||||||||||
Leasehold improvements | 1,272 | 1,272 | |||||||||||||||
Software | 1,113 | 1,106 | |||||||||||||||
Total property and equipment | $ | 19,772 | $ | 19,820 | |||||||||||||
Less: Accumulated depreciation | (6,514 | ) | (5,310 | ) | |||||||||||||
Total | $ | 13,258 | $ | 14,510 | |||||||||||||
Schedule of Expenses for Depreciation of Property and Equipment | ' | ||||||||||||||||
Expenses for depreciation of property and equipment were incurred as follows (amounts in thousands): | |||||||||||||||||
For the Three Months Ended June 30, | For the Six Months Ended June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Depreciation expense | $ | 625 | $ | 558 | $ | 1,244 | $ | 1,095 |
Accrued_Expenses_Tables
Accrued Expenses (Tables) | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Payables And Accruals [Abstract] | ' | ||||||||
Summary of Accrued Expenses | ' | ||||||||
The following table provides details of the Company’s accrued expenses (amounts in thousands): | |||||||||
As of June 30, | As of December 31, | ||||||||
2014 | 2013 | ||||||||
Employee related | $ | 1,217 | $ | 888 | |||||
Professional services | 963 | 1,328 | |||||||
Other | 3,307 | 165 | |||||||
Total accrued expenses | $ | 5,487 | $ | 2,381 | |||||
Deferred_Payments_Tables
Deferred Payments (Tables) | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Other Liabilities Disclosure [Abstract] | ' | ||||||||
Summary of Amounts Deferred under Supply Agreement | ' | ||||||||
The following table summarizes the amounts deferred under this agreement (amounts in thousands): | |||||||||
As of June 30, | As of December 31, | ||||||||
2014 | 2013 | ||||||||
Current | |||||||||
Deferred payments, gross | $ | 923 | $ | 759 | |||||
Imputed interest | (402 | ) | (420 | ) | |||||
Deferred payments, net | $ | 521 | $ | 339 | |||||
Long-term | |||||||||
Deferred payments, gross | $ | 3,868 | $ | 4,053 | |||||
Imputed interest | (652 | ) | (848 | ) | |||||
Deferred payments, net | $ | 3,216 | $ | 3,205 | |||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||
Fair Value of Cash Held in Money Market Deposit Accounts and its Convertible Preferred Stock Warrants | ' | ||||||||||||||||
The following table summarizes the fair value information for the Company’s cash held in money market deposit accounts and its Convertible Preferred Stock Warrants at June 30, 2014 and December 31, 2013 (amounts in thousands): | |||||||||||||||||
Fair value measurements using: | |||||||||||||||||
Carrying | Quoted Prices in | Significant Other | Significant | ||||||||||||||
Value | Active Markets | Observable Inputs | Unobservable | ||||||||||||||
(Level 1) | (Level 2) | Inputs (Level 3) | |||||||||||||||
As of June 30, 2014 | |||||||||||||||||
Financial Assets: | |||||||||||||||||
Money market deposit accounts | $ | 25,017 | $ | 25,017 | — | — | |||||||||||
Financial Liabilities: | |||||||||||||||||
Convertible Preferred Stock Warrants | $ | 1,142 | — | — | $ | 1,142 | |||||||||||
As of December 31, 2013 | |||||||||||||||||
Financial Assets: | |||||||||||||||||
Money market deposit accounts | $ | 25,470 | $ | 25,470 | — | — | |||||||||||
Financial Liabilities: | |||||||||||||||||
Convertible Preferred Stock Warrants | $ | 212 | — | — | $ | 212 | |||||||||||
Black-Scholes Option-Pricing Model for Warrants Outstanding | ' | ||||||||||||||||
Using the Black-Scholes option-pricing model for warrants outstanding at June 30, 2014 and December 31, 2013, the Company applied the following assumptions: | |||||||||||||||||
As of June 30, | As of December 31, | ||||||||||||||||
2014 | 2013 | ||||||||||||||||
Series B Warrants | |||||||||||||||||
Expected life in years(1) | 2.2 | 0.5 | |||||||||||||||
Interest rate | 0.47 | % | 0.1 | % | |||||||||||||
Volatility | 60 | % | 60 | % | |||||||||||||
Dividend yield | — | — | |||||||||||||||
Series E Warrants | |||||||||||||||||
Expected life in years(1) | 9.4 | 0.5 | |||||||||||||||
Interest rate | 2.53 | % | 0.1 | % | |||||||||||||
Volatility | 60 | % | 60 | % | |||||||||||||
Dividend yield | — | — | |||||||||||||||
-1 | See Note 2 for details regarding the change in expected life from December 31, 2013 to June 30, 2014 | ||||||||||||||||
Summary of the Changes in the Convertible Preferred Stock Warrant Liability | ' | ||||||||||||||||
The table below provides a summary of the changes in the Convertible preferred stock warrant liability during the six months ended June 30, 2014 and the six months ended June 30, 2013 (amounts in thousands): | |||||||||||||||||
For the Six Months Ended June 30, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Balance at beginning of period | $ | 212 | $ | 100 | |||||||||||||
Issuance of Series A Warrants | — | 6,674 | |||||||||||||||
Increase in Series E warrant shares | 135 | — | |||||||||||||||
Change in fair value of warrants (1) | 795 | 575 | |||||||||||||||
Balance at end of period | $ | 1,142 | $ | 7,349 | |||||||||||||
-1 | Includes $666,000 of prior period fair value adjustments as discussed in Note 2 above. |
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 6 Months Ended | ||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ||||||||||||||||
Schedule of Recognized Stock Compensation Expense | ' | ||||||||||||||||
The Company recognized stock compensation expense as follows (amounts in thousands): | |||||||||||||||||
For the Three Months Ended June 30, | For the Six Months Ended June 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
Stock options | $ | 65 | $ | 54 | $ | 133 | $ | 114 | |||||||||
Restricted stock | $ | 198 | $ | 120 | $ | 391 | $ | 240 | |||||||||
Ranges of Assumptions were Utilized for Stock Options Granted | ' | ||||||||||||||||
The following ranges of assumptions were utilized for stock options granted: | |||||||||||||||||
For the Six Months Ended June 30, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Expected life in years | 5.9-6.0 | 5.7-6.0 | |||||||||||||||
Interest rate | 2.01%-2.04% | 0.99%-1.06% | |||||||||||||||
Volatility | 60% | 70% | |||||||||||||||
Dividend yield | — | — |
Net_Loss_per_Share_Tables
Net Loss per Share (Tables) | 6 Months Ended | ||||||||||||||||||||||||
Jun. 30, 2014 | |||||||||||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||||||||||
Schedule of Basic and Diluted Net Loss per Share Applicable to Common Stockholders | ' | ||||||||||||||||||||||||
For purposes of the diluted net loss per share calculation, Convertible Preferred Stock, stock options and warrants are considered to be common stock equivalents but are excluded from the calculation of diluted net loss per share because their effect would be anti-dilutive. Therefore, basic and diluted net loss per share applicable to common stockholders were the same for all periods presented. | |||||||||||||||||||||||||
For the Three Months Ended June 30, | For the Six Months Ended June 30, | ||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||
Common A | Common B | Common A | Common A | Common B | Common A | ||||||||||||||||||||
Net loss applicable to common shareholders (thousands) | $ | (7,326 | ) | $ | (24 | ) | $ | (7,942 | ) | $ | (15,664 | ) | $ | (53 | ) | $ | (15,657 | ) | |||||||
Deemed dividend (thousands) | — | — | 184 | — | — | 184 | |||||||||||||||||||
Net loss applicable to common shareholders for computing loss per share (thousands) | $ | (7,326 | ) | $ | (24 | ) | $ | (7,758 | ) | $ | (15,664 | ) | $ | (53 | ) | $ | (15,473 | ) | |||||||
Basic and diluted weighted average common shares outstanding | 649,453 | 2,145 | 486,184 | 629,475 | 2,145 | 453,768 | |||||||||||||||||||
Basic and diluted loss per share | $ | (11.28 | ) | $ | (11.28 | ) | $ | (15.96 | ) | $ | (24.88 | ) | $ | (24.88 | ) | $ | (34.10 | ) | |||||||
Calculation of Weighted Average Shares Outstanding , Event of Not Incurring Loss | ' | ||||||||||||||||||||||||
As the Company incurred a loss for the three months and six months ended June 30, 2014 and 2013, all unvested restricted stock awards were excluded from the calculation of basic net loss per share and all potential Common A shares issuable for Convertible Preferred Stock, stock options and warrants were excluded from the calculation of diluted net loss per share, as the effect of including them would have been anti-dilutive. Had the Company not incurred a loss, the dilutive effect of the unvested restricted stock awards on basic weighted average common shares outstanding and the dilutive effect of potential Common A shares issuable for Convertible Preferred Stock, stock options and warrants on the weighted-average number of Common A shares outstanding would have been as follows: | |||||||||||||||||||||||||
For the Three Months Ended June 30, | For the Six Months Ended June 30, | ||||||||||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||||||||||
Common A | Common B | Common A | Common A | Common B | Common A | ||||||||||||||||||||
Basic weighted average shares outstanding | 649,453 | 2,145 | 486,184 | 629,475 | 2,145 | 453,768 | |||||||||||||||||||
Dilutive effect of unvested restricted stock | 273,480 | — | 15,492 | 243,369 | — | 8,948 | |||||||||||||||||||
Basic weighted average shares outstanding had the Company not incurred a loss | 922,933 | 2,145 | 501,676 | 872,844 | 2,145 | 462,716 | |||||||||||||||||||
Dilutive effect of Convertible Preferred Stock | 10,494,458 | — | 7,931,430 | 10,494,458 | — | 7,812,067 | |||||||||||||||||||
Dilutive effect of stock options | 382,359 | — | 96,586 | 376,052 | — | 48,293 | |||||||||||||||||||
Diluted weighted average shares outstanding had the Company not incurred a loss | 11,799,750 | 2,145 | 8,529,692 | 11,743,354 | 2,145 | 8,323,076 | |||||||||||||||||||
Business_Overview_Additional_I
Business Overview (Additional Information) (Detail) (Subsequent Event [Member], USD $) | 1 Months Ended |
In Millions, unless otherwise specified | Jul. 31, 2014 |
Subsequent Event [Member] | ' |
Subsequent Event [Line Items] | ' |
Net proceeds from initial public offering | $53.40 |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 3 Months Ended | 6 Months Ended | 1 Months Ended | |||
Mar. 31, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jul. 31, 2014 | Jul. 31, 2014 | Jul. 31, 2014 | |
Common Class A and Class B [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | |||
Convertible Preferred Stock [Member] | Series B, Series C and Series E Convertible Preferred Stock [Member] | Series D Convertible Preferred Stock [Member] | ||||
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' | ' | ' | ' |
Fair value of warrants | $435,000 | ' | ' | ' | ' | ' |
Interest expense | 26,000 | ' | ' | ' | ' | ' |
Other expenses | 77,000 | ' | ' | ' | ' | ' |
Reduction of notes payable | 77,000 | ' | ' | ' | ' | ' |
Increase in deferred financing costs | ' | $77,000 | ' | ' | ' | ' |
Reverse stock split of common stock | ' | ' | '11.04:1 reverse stock split | ' | ' | ' |
Reverse stock split, conversion ratio | ' | ' | ' | 11.04 | 0.0906 | 0.0937 |
Inventories_Summary_of_Net_Inv
Inventories - Summary of Net Inventories (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ' | ' |
Raw materials | $1,674 | $1,846 |
Work in process | 93 | ' |
Finished goods | 2,939 | 2,033 |
Inventory, net | $4,706 | $3,879 |
Property_and_Equipment_Schedul
Property and Equipment - Schedule of Property and Equipment (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ' | ' |
Property and Equipment, Gross | $19,772 | $19,820 |
Less: Accumulated depreciation | -6,514 | -5,310 |
Property and Equipment, Net | 13,258 | 14,510 |
Atlas Instrument [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and Equipment, Gross | 10,192 | 10,330 |
Less: Accumulated depreciation | -900 | -500 |
Property and Equipment, Net | 9,300 | 9,800 |
Manufacturing Equipment [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and Equipment, Gross | 2,801 | 2,801 |
Laboratory Equipment [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and Equipment, Gross | 2,967 | 2,923 |
Computers and Office Equipment [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and Equipment, Gross | 1,427 | 1,388 |
Leasehold Improvements [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and Equipment, Gross | 1,272 | 1,272 |
Software [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and Equipment, Gross | $1,113 | $1,106 |
Property_and_Equipment_Additio
Property and Equipment - Additional Information (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ' | ' |
Accumulated depreciation | $6,514 | $5,310 |
Cost of equipment on lease or held for lease, net of accumulated depreciation | 13,258 | 14,510 |
Atlas Instrument [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Accumulated depreciation | 900 | 500 |
Cost of equipment on lease or held for lease, net of accumulated depreciation | $9,300 | $9,800 |
Property_and_Equipment_Schedul1
Property and Equipment - Schedule of Expenses for Depreciation of Property and Equipment (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Property Plant And Equipment Useful Life And Values [Abstract] | ' | ' | ' | ' |
Depreciation expense | $625 | $558 | $1,244 | $1,095 |
Accrued_Expenses_Summary_of_Ac
Accrued Expenses - Summary of Accrued Expenses (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Accrued Liabilities Current And Noncurrent [Abstract] | ' | ' |
Employee related | $1,217 | $888 |
Professional services | 963 | 1,328 |
Other | 3,307 | 165 |
Total accrued expenses | $5,487 | $2,381 |
Accrued_Expenses_Additional_In
Accrued Expenses - Additional Information (Detail) (USD $) | 0 Months Ended | |
Jun. 30, 2014 | Dec. 31, 2013 | |
Accrued Expenses [Line Items] | ' | ' |
Issuance costs | $430,000 | $526,000 |
Gen- Probe [Member] | ' | ' |
Accrued Expenses [Line Items] | ' | ' |
License agreement option payment | $2,500,000 | ' |
Deferred_Payments_Additional_I
Deferred Payments - Additional Information (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Other Liabilities [Line Items] | ' | ' | ' | ' |
Deferred payment period | ' | ' | '54 months | ' |
Non-cash interest expense related to the deferred payments | $106,000 | $84,000 | $214,000 | $164,000 |
Minimum [Member] | ' | ' | ' | ' |
Other Liabilities [Line Items] | ' | ' | ' | ' |
Debt instrument effective percentage | 9.90% | ' | 9.90% | ' |
Maximum [Member] | ' | ' | ' | ' |
Other Liabilities [Line Items] | ' | ' | ' | ' |
Debt instrument effective percentage | 11.20% | ' | 11.20% | ' |
Gen- Probe [Member] | ' | ' | ' | ' |
Other Liabilities [Line Items] | ' | ' | ' | ' |
Supply agreement date | ' | ' | '2011-05 | ' |
Deferred_Payments_Summary_of_A
Deferred Payments - Summary of Amounts Deferred under Supply Agreement (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Current | ' | ' |
Deferred payments, gross | $923,000 | $759,000 |
Imputed interest | -402,000 | -420,000 |
Deferred payments, net | 521,000 | 339,000 |
Long-term | ' | ' |
Deferred payments, gross | 3,868 | 4,053 |
Imputed interest | -652,000 | -848,000 |
Deferred payments, net | $3,216,000 | $3,205,000 |
Notes_Payable_Additional_Infor
Notes Payable - Additional Information (Detail) (USD $) | 6 Months Ended | ||
Jun. 30, 2014 | Mar. 31, 2014 | Nov. 30, 2013 | |
Line of Credit Facility [Line Items] | ' | ' | ' |
Loan and security agreement, maximum borrowing capacity | ' | ' | $15,000,000 |
Number of loans | 2 | ' | ' |
Number of tranches | 3 | ' | ' |
Maximum borrowing capacity per tranches | ' | ' | 5,000,000 |
Loan and security agreement, minimum interest rate | 5.75% | ' | ' |
Loan and security agreement, interest payment description | 'Each tranche under the TriplePoint Loan is repayable over 36 months from the borrowing date with an interest-only period of nine months for the second tranche and six months for the third tranche (or 12 months for each tranche upon election by the Company to extend the interest only period) | ' | ' |
Loan and security agreement, maximum interest rate | 9.00% | ' | ' |
Loan and security agreement, period of repayment | '36 months | ' | ' |
Convertible Preferred Stock Series E [Member] | ' | ' | ' |
Line of Credit Facility [Line Items] | ' | ' | ' |
No of warrants issued to purchase shares of series E | 352,941 | ' | ' |
Share exercise price value | $1.28 | ' | ' |
Interest Only Period [Member] | ' | ' | ' |
Line of Credit Facility [Line Items] | ' | ' | ' |
Loan and security agreement, minimum interest rate | 6.25% | ' | ' |
Loan and security agreement, maximum interest rate | 9.50% | ' | ' |
Second Tranche [Member] | ' | ' | ' |
Line of Credit Facility [Line Items] | ' | ' | ' |
Additional shares for warrants exercisable | ' | 156,863 | ' |
Third Tranche [Member] | ' | ' | ' |
Line of Credit Facility [Line Items] | ' | ' | ' |
Revenue | 10,000,000 | ' | ' |
Comerica Loan [Member] | ' | ' | ' |
Line of Credit Facility [Line Items] | ' | ' | ' |
Loan and security agreement, maximum borrowing capacity | ' | ' | 5,000,000 |
Loan and security agreement, interest rate description | 'Subject to a floor of the daily adjusting LIBOR rate plus 2.5%, plus 3.15%. | ' | ' |
Loan and security agreement, interest rate at period end | 6.40% | ' | ' |
Accrued interest and equal principal payments periods | '23 months | ' | ' |
Loan and security agreement, maturity period | '42 months | ' | ' |
Loan and security agreement, maturity date | 1-Jun-15 | ' | ' |
Loan and security agreement, interest payment description | 'Company will make 23 consecutive monthly payments which will consist of accrued interest and equal principal payments in accordance with a 30-month amortization schedule. On the 24thmonth following the interest only period, the Company will make a lump sum payment for the remaining outstanding principal and interest due. | ' | ' |
Net of expenses paid to Comerica | 4,900,000 | ' | ' |
Debt issuance costs | 76,000 | ' | ' |
Comerica Loan [Member] | London Interbank Offered Rate (LIBOR) [Member] | ' | ' | ' |
Line of Credit Facility [Line Items] | ' | ' | ' |
Loan and security agreement, minimum interest rate | 2.50% | ' | ' |
Loan and security agreement, additional minimum interest rate | 3.15% | ' | ' |
TriplePoint Loan [Member] | ' | ' | ' |
Line of Credit Facility [Line Items] | ' | ' | ' |
Loan and security agreement, maximum borrowing capacity | ' | ' | 10,000,000 |
Loan and security agreement, interest rate description | 'Prime Rate plus 5.75%, but not less than 9.0% | ' | ' |
Loan and security agreement, interest rate description extends interest only period | 'Prime Rate plus 6.25%, but not less than 9.5%. | ' | ' |
Line of credit maturity term | '36 months | ' | ' |
Debt issuance costs | 153,000 | ' | ' |
Warrant liability | ' | 135,000 | ' |
TriplePoint Loan [Member] | Notes Payable [Member] | ' | ' | ' |
Line of Credit Facility [Line Items] | ' | ' | ' |
Value of warrants recorded for liability | ' | 5,000,000 | ' |
TriplePoint Loan [Member] | Second Tranche [Member] | ' | ' | ' |
Line of Credit Facility [Line Items] | ' | ' | ' |
Loan and security agreement, maximum borrowing capacity | 5,000,000 | 5,000,000 | ' |
Loan and security agreement, interest rate at period end | ' | 9.50% | ' |
TriplePoint Loan [Member] | Third Tranche [Member] | ' | ' | ' |
Line of Credit Facility [Line Items] | ' | ' | ' |
Loan and security agreement, maximum borrowing capacity | $5,000,000 | ' | ' |
Additional shares for warrants exercisable | ' | 156,863 | ' |
Commitments_and_Contingencies_
Commitments and Contingencies - Additional Information (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Jan. 01, 2020 | Jan. 01, 2018 |
Gen- Probe [Member] | Gen- Probe [Member] | Gen- Probe [Member] | |||
Scenario, Forecast [Member] | Scenario, Forecast [Member] | ||||
Commitment And Contingencies [Line Items] | ' | ' | ' | ' | ' |
Option grant period | ' | ' | ' | ' | ' |
License agreement option payment | ' | ' | $2,500,000 | ' | ' |
Proceeds from option exercised | ' | ' | 55,000,000 | ' | ' |
Description for term & settlement of related party transaction | ' | ' | '(i) within ten days of the closing of an IPO, the Company would issue 865,063 shares of common stock to Gen-Probe, (ii) within ten days of the closing of an IPO, the Company would make a cash payment of $8.0 million using a portion of the net proceeds from such IPO, (iii) on January 1, 2018, the Company would make a cash payment of $5.0 million and (iv) on January 1, 2020, the Company would make a cash payment of $5.0 million. | ' | ' |
Shares of common stock issued | ' | ' | 865,063 | ' | ' |
Cash payment for royalties | ' | ' | 8,000,000 | 5,000,000 | 5,000,000 |
Additional milestone payments | ' | ' | 6,000,000 | ' | ' |
Other assets | $2,823,000 | $444,000 | $2,500,000 | ' | ' |
Fair_Value_Measurements_Fair_V
Fair Value Measurements - Fair Value of Cash Held in Money Market Deposit Accounts and its Convertible Preferred Stock Warrants (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Carrying Value [Member] | Money Market Deposit Accounts [Member] | ' | ' |
Financial Assets: | ' | ' |
Money market deposit accounts | $25,017 | $25,470 |
Carrying Value [Member] | Convertible Preferred Stock Warrants [Member] | ' | ' |
Financial Liabilities: | ' | ' |
Convertible Preferred Stock Warrants | 1,142 | 212 |
Quoted Prices in Active Markets (Level 1) [Member] | Money Market Deposit Accounts [Member] | ' | ' |
Financial Assets: | ' | ' |
Money market deposit accounts | 25,017 | 25,470 |
Significant Unobservable Inputs (Level 3) [Member] | Convertible Preferred Stock Warrants [Member] | ' | ' |
Financial Liabilities: | ' | ' |
Convertible Preferred Stock Warrants | $1,142 | $212 |
Fair_Value_Measurements_BlackS
Fair Value Measurements - Black-Scholes Option-Pricing Model for Warrants Outstanding (Detail) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2014 | Dec. 31, 2013 | |
Series B Warrants [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Expected life in years | '2 years 2 months 12 days | '6 months |
Interest rate | 0.47% | 0.10% |
Volatility | 60.00% | 60.00% |
Dividend yield | ' | ' |
Series E Warrants [Member] | ' | ' |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ' | ' |
Expected life in years | '9 years 4 months 24 days | '6 months |
Interest rate | 2.53% | 0.10% |
Volatility | 60.00% | 60.00% |
Dividend yield | ' | ' |
Fair_Value_Measurements_Summar
Fair Value Measurements - Summary of the Changes in the Convertible Preferred Stock Warrant Liability (Detail) (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Balance at beginning of period | $212 | $100 |
Change in fair value of warrants | 795 | 575 |
Balance at end of period | 1,142 | 7,349 |
Series A Warrants [Member] | ' | ' |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Issuance of Series A Warrants | ' | 6,674 |
Series E Warrants [Member] | ' | ' |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Increase in Series E warrant shares | $135 | ' |
Fair_Value_Measurements_Summar1
Fair Value Measurements - Summary of the Changes in the Convertible Preferred Stock Warrant Liability (Parenthetical) (Detail) (USD $) | 3 Months Ended | 6 Months Ended |
Mar. 31, 2014 | Jun. 30, 2014 | |
Prior Period Adjustments [Member] | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' |
Fair value of warrants | $435,000 | $666,000 |
Convertible_Preferred_Stock_an1
Convertible Preferred Stock and Stockholders' Deficit - Additional Information (Detail) (USD $) | 6 Months Ended | 6 Months Ended | 6 Months Ended | 6 Months Ended | 6 Months Ended | ||||||||
In Millions, except Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2013 | Jun. 30, 2014 |
Directors | Series B Convertible Preferred Stock [Member] | Series B Convertible Preferred Stock [Member] | Series C Convertible Preferred Stock [Member] | Series C Convertible Preferred Stock [Member] | Series D Convertible Preferred Stock [Member] | Series D Convertible Preferred Stock [Member] | Series E Convertible Preferred Stock [Member] | Series E Convertible Preferred Stock [Member] | Series C, Series D And Series E Preferred Stock [Member] | Series E Convertible Preferred Stock [Member] | Series A- And Series A-1 Convertible Preferred Stock [Member] | Series A Convertible Preferred Stock [Member] | |
Directors | Directors | Directors | |||||||||||
Temporary Equity [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Issuances of Convertible Preferred Stock | 0 | 37,200,000 | 37,200,000 | 12,090,672 | 12,090,672 | 32,511,979 | 32,511,979 | 32,934,700 | 32,934,700 | ' | 17,111,567 | ' | 0 |
Warrants to purchase shares | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 171,118 | ' |
Series A Convertible Preferred Stock, shares authorized | ' | 39,680,000 | 39,680,000 | 12,090,672 | 12,090,672 | 32,511,979 | 32,511,979 | 33,601,367 | 33,601,367 | ' | ' | ' | 0 |
Series A Convertible Preferred Stock, shares outstanding | ' | 37,200,000 | 37,200,000 | 12,090,672 | 12,090,672 | 32,511,979 | 32,511,979 | 32,934,700 | 32,934,700 | ' | ' | ' | 0 |
Issuance price per share | ' | $1 | ' | $1.32 | ' | $1.46 | ' | $1.27 | ' | ' | ' | ' | ' |
Dividend rate | ' | 8.00% | ' | 8.00% | ' | 8.00% | ' | 8.00% | ' | ' | ' | ' | ' |
Number of Directors | 9 | 4 | ' | ' | ' | 1 | ' | ' | ' | 4 | ' | ' | ' |
Shares convert into common stock | 0.0906 | ' | ' | ' | ' | 0.0937 | ' | ' | ' | ' | ' | ' | ' |
Lock-up period | '180 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Commencement of lock-up period | 16-Jul-14 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate offering price | $30 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of registrable securities | 51.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
StockBased_Compensation_Additi
Stock-Based Compensation - Additional Information (Detail) (USD $) | 6 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Stock options granted, shares | 4,000 | 86,000 |
Stock options granted, value | $18,000 | $59,000 |
Dividend yield | 0.00% | ' |
2009 Equity Incentive Plan [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Maximum contractual term of restricted stock granted | '10 years | ' |
Contractual term of restricted stock vested | '4 years | ' |
2009 Equity Incentive Plan [Member] | Maximum [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Stock options and restricted shares granted | 2,028,850 | ' |
StockBased_Compensation_Schedu
Stock-Based Compensation - Schedule of Recognized Stock Compensation Expense (Detail) (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | ' | ' | ' | ' |
Stock options | $65 | $54 | $133 | $114 |
Restricted stock | $198 | $120 | $391 | $240 |
StockBased_Compensation_Ranges
Stock-Based Compensation - Ranges of Assumptions were Utilized for Stock Options Granted (Detail) | 6 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Volatility | 60.00% | 70.00% |
Minimum [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Expected life in years | '5 years 10 months 24 days | '5 years 8 months 12 days |
Interest rate | 2.01% | 0.99% |
Maximum [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Expected life in years | '6 years | '6 years |
Interest rate | 2.04% | 1.06% |
Warrants_for_Convertible_Prefe1
Warrants for Convertible Preferred Stock - Additional Information (Detail) (USD $) | 6 Months Ended | 6 Months Ended | |||||
Jun. 30, 2014 | Mar. 31, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | |
Second Tranche [Member] | Comerica Loan [Member] | TriplePoint Loan [Member] | Series B Warrants [Member] | Series E Warrants [Member] | Series E Warrants [Member] | ||
Class of Warrant or Right [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Warrants outstanding to purchase shares | ' | ' | ' | ' | 2,480,000 | 352,941 | ' |
Warrants outstanding share exercise price | ' | ' | ' | ' | $1 | $1.28 | ' |
Warrants expiration date | '2016-09-30 | ' | ' | ' | ' | ' | ' |
Warrants issued as payments | ' | ' | $28,000 | $55,000 | ' | ' | ' |
Debt issuance costs | ' | ' | ' | 153,000 | ' | ' | ' |
Additional issues shares | ' | 156,863 | ' | ' | ' | ' | ' |
Additional issues shares value | ' | ' | ' | ' | ' | ' | $135,000 |
Net_Loss_Per_Share_Schedule_of
Net Loss Per Share - Schedule of Basic and Diluted Net Loss per Share Applicable to Common Stockholders (Detail) (USD $) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 |
Earnings Per Share Basic And Diluted [Line Items] | ' | ' | ' | ' | ' |
Net loss applicable to common shareholders for computing loss per share | ($7,349) | ($7,942) | ($15,716) | ($15,656) | ($29,578) |
Basic and diluted weighted average common shares outstanding | 651,598 | 486,184 | 631,620 | 453,768 | ' |
Basic and diluted loss per share | ($11.28) | ($15.96) | ($24.88) | ($34.10) | ' |
Series A Common Stock [Member] | ' | ' | ' | ' | ' |
Earnings Per Share Basic And Diluted [Line Items] | ' | ' | ' | ' | ' |
Net loss applicable to common shareholders | -7,326 | -7,942 | -15,664 | -15,657 | ' |
Deemed dividend | ' | 184 | ' | 184 | ' |
Net loss applicable to common shareholders for computing loss per share | -7,326 | -7,758 | -15,664 | -15,473 | ' |
Basic and diluted weighted average common shares outstanding | 649,453 | 486,184 | 629,475 | 453,768 | ' |
Basic and diluted loss per share | ($11.28) | ($15.96) | ($24.88) | ($34.10) | ' |
Series B Common Stock [Member] | ' | ' | ' | ' | ' |
Earnings Per Share Basic And Diluted [Line Items] | ' | ' | ' | ' | ' |
Net loss applicable to common shareholders | -24 | ' | -53 | ' | ' |
Net loss applicable to common shareholders for computing loss per share | ($24) | ' | ($53) | ' | ' |
Basic and diluted weighted average common shares outstanding | 2,145 | ' | 2,145 | ' | ' |
Basic and diluted loss per share | ($11.28) | ' | ($24.88) | ' | ' |
Net_Loss_Per_Share_Calculation
Net Loss Per Share - Calculation of Weighted Average Shares Outstanding , Event of Not Incurring Loss (Detail) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | |
Series A Common Stock [Member] | ' | ' | ' | ' |
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ' | ' | ' | ' |
Basic weighted average shares outstanding | 649,453 | 486,184 | 629,475 | 453,768 |
Dilutive effect of unvested restricted stock | 273,480 | 15,492 | 243,369 | 8,948 |
Basic weighted average shares outstanding had the Company not incurred a loss | 922,933 | 501,676 | 872,844 | 462,716 |
Dilutive effect of Convertible Preferred Stock | 10,494,458 | 7,931,430 | 10,494,458 | 7,812,067 |
Dilutive effect of stock options | 382,359 | 96,586 | 376,052 | 48,293 |
Diluted weighted average shares outstanding had the Company not incurred a loss | 11,799,750 | 8,529,692 | 11,743,354 | 8,323,076 |
Series B Common Stock [Member] | ' | ' | ' | ' |
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | ' | ' | ' | ' |
Basic weighted average shares outstanding | 2,145 | ' | 2,145 | ' |
Basic weighted average shares outstanding had the Company not incurred a loss | 2,145 | ' | 2,145 | ' |
Diluted weighted average shares outstanding had the Company not incurred a loss | 2,145 | ' | 2,145 | ' |
Segment_Information_Additional
Segment Information - Additional Information (Detail) (USD $) | 6 Months Ended | |
Jun. 30, 2014 | Jun. 30, 2013 | |
Customer | Customer | |
Segment | ||
Segment Reporting Information [Line Items] | ' | ' |
Number of customers accounted for more than 10% of revenues | 4 | 3 |
Number of reportable segments | 1 | ' |
Customer One [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Revenues of major customer | 706,000 | 290,000 |
Customer Two [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Revenues of major customer | 429,000 | 286,000 |
Customer Three [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Revenues of major customer | 421,000 | 101,000 |
Customer Four [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Revenues of major customer | 247,000 | ' |
Revenue[Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Concentration risk percentage | 10.00% | 10.00% |
Subsequent_Events_Additional_I
Subsequent Events - Additional Information (Detail) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Jul. 31, 2014 | Jun. 30, 2014 | Jul. 22, 2014 | Jul. 22, 2014 | Jun. 30, 2014 |
Gen- Probe [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | |||
IPO [Member] | IPO [Member] | Gen- Probe [Member] | ||||||
Subsequent Event [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Initial public offering | ' | ' | ' | ' | ' | $60,000,000 | ' | ' |
Common Stock, shares issued | ' | ' | 865,063 | ' | ' | ' | 5,000,000 | 865,063 |
Common stock share price | ' | ' | ' | ' | ' | ' | $12 | ' |
Net proceeds from offerings after deducting underwriting discounts, commissions | ' | ' | 55,000,000 | 53,400,000 | ' | 53,400,000 | ' | ' |
Common stock conversion description | ' | ' | ' | ' | ' | 'In connection with the closing of the IPO, all shares of Common A and Common B were converted into a new class of common stock on a 1:1 basis and all shares of Convertible Preferred Stock were converted into the new class of common stock at their respective conversion ratios. | ' | ' |
Cash payment for royalties | ' | ' | 8,000,000 | ' | ' | ' | ' | 8,000,000 |
Prepaid expenses and other current assets | $3,819,000 | $2,437,000 | ' | ' | $2,200,000 | ' | ' | ' |