REVA Medical (RVALL) 10-Q 9 Aug 16 2016 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2016	Aug. 01, 2016
Document And Entity Information [Abstract]
Entity Registrant Name	REVA Medical, Inc.
Entity Central Index Key	1,496,268
Document Type	10-Q
Document Period End Date	Jun. 30, 2016
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Trading Symbol	RVA
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		42,704,486
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q2

Consolidated Balance Sheets (Un

Consolidated Balance Sheets (Unaudited) - USD ($)	Jun. 30, 2016	Dec. 31, 2015
Current Assets:
Cash and cash equivalents	$ 16,549,000	$ 16,895,000
Prepaid expenses and other current assets	287,000	397,000
Total current assets	16,836,000	17,292,000
Non-Current Assets:
Property and equipment, net	2,575,000	2,719,000
Other non-current assets	60,000	60,000
Total non-current assets	2,635,000	2,779,000
Total Assets	19,471,000	20,071,000
Current Liabilities:
Accounts payable	827,000	1,054,000
Accrued expenses and other current liabilities	2,004,000	2,242,000
Total current liabilities	2,831,000	3,296,000
Long-Term Liabilities:
Convertible notes payable	96,206,000	75,365,000
Common stock warrant liability		19,622,000
Other long-term liabilities	3,274,000	2,352,000
Total long-term liabilities	99,480,000	97,339,000
Total Liabilities	102,311,000	100,635,000
Commitments and contingencies (Note 7)
Stockholders' Deficit
Common stock	4,000	4,000
Undesignated preferred stock ― $0.0001 par value; 5,000,000 shares authorized; no shares issued or outstanding
Additional paid-in capital	297,649,000	254,572,000
Accumulated deficit	(380,493,000)	(335,140,000)
Total Stockholders' Deficit	(82,840,000)	(80,564,000)
Total Liabilities and Stockholders' Deficit	19,471,000	20,071,000
Class B common stock
Stockholders' Deficit
Common stock

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2016	Dec. 31, 2015
Common stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	42,704,486	38,155,986
Common stock, shares outstanding	42,704,486	38,155,986
Undesignated preferred stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Undesignated preferred stock, shares authorized	5,000,000	5,000,000
Undesignated preferred stock, shares issued	0	0
Undesignated preferred stock, shares outstanding	0	0
Class B common stock
Common stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized	25,000,000	25,000,000
Common stock, shares issued	0	0
Common stock, shares outstanding	0	0

Consolidated Statements of Oper

Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Operating Expense:
Research and development	$ 4,665	$ 4,067	$ 9,953	$ 7,331
General and administrative	2,366	1,566	4,559	3,155
Loss from operations	(7,031)	(5,633)	(14,512)	(10,486)
Other Income (Expense):
Interest income	1	3	2	6
Interest expense	(505)	(470)	(1,010)	(935)
Gain (loss) on change in fair value of convertible notes payable and warrant liability	2,966	11,970	(29,798)	(6,131)
Other income (expense)	14	(16)	(35)	43
Other income (expense)	2,476	11,487	(30,841)	(7,017)
Net Income (Loss) and Comprehensive Income (Loss)	$ (4,555)	$ 5,854	$ (45,353)	$ (17,503)
Net Income (Loss) Per Common Share:
Basic	$ (0.11)	$ 0.17	$ (1.09)	$ (0.52)
Diluted	$ (0.11)	$ (0.12)	$ (1.09)	$ (0.52)
Shares Used to Compute Net Income (Loss) per Share:
Basic	42,569,166	33,561,959	41,520,092	33,490,314
Diluted	42,569,166	49,056,892	41,520,092	33,490,314

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Cash Flows from Operating Activities:
Net loss	$ (45,353)	$ (17,503)
Non-cash adjustments to reconcile net loss to net cash used for operating activities:
Depreciation and amortization	564	530
Stock-based compensation	3,070	1,385
Interest on convertible notes payable	1,010	935
Loss on change in fair value of convertible notes payable and warrant liability	29,798	6,131
Other non-cash expenses	10	10
Changes in operating assets and liabilities:
Prepaid expenses and other current assets	110	35
Accounts payable	(277)	230
Accrued expenses and other current liabilities	(248)	(1,112)
Other long-term liabilities	(88)	(78)
Net cash used for operating activities	(11,404)	(9,437)
Cash Flows from Investing Activities:
Purchases of property and equipment	(370)	(508)
Net cash used for investing activities	(370)	(508)
Cash Flows from Financing Activities:
Proceeds from issuances of common stock	11,428	62
Costs of issuing convertible notes payable and warrants		(50)
Net cash provided by financing activities	11,428	12
Net decrease in cash and cash equivalents	(346)	(9,933)
Cash and cash equivalents at beginning of period	16,895	25,814
Cash and Cash Equivalents at End of Period	16,549	15,881
Supplemental Non-Cash Information:
Property and equipment in accounts payable at end of period	100	$ 6
Warrant liability transferred to equity upon exercise	$ 28,579

Background and Basis of Present

Background and Basis of Presentation	6 Months Ended
	Jun. 30, 2016
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Background and Basis of Presentation	1. Background : REVA Medical, Inc. (“REVA” or the “Company”) was incorporated in California in 1998 under the name MD3, Inc. In March 2002, we changed our name to REVA Medical, Inc. In October 2010, we reincorporated in Delaware. We established a non-operating wholly owned subsidiary, REVA Germany GmbH, in 2007. In these notes the terms “us,” “we,” or “our” refer to REVA and our consolidated subsidiary unless context dictates otherwise. We do not yet have a product available for sale; our product(s) will become available for sale following application for, and receipt of, regulatory approval with data from our clinical studies. We are currently in the clinical testing phase of a drug-eluting bioresorbable stent to treat vascular disease in humans. This stent, which we have named Fantom Fantom In December 2010 we completed an initial public offering (the “IPO”) of our common stock in Australia and registered with the U.S. Securities and Exchange Commission (“SEC”) and, consequently, became an SEC filer. Our stock is traded in the form of CHESS Depositary Interests (“CDIs”) on the Australian Securities Exchange (“ASX”); each share of our common stock is equivalent to ten CDIs. Our trading symbol is “RVA.AX.” Under an agreement with the current holders of our convertible notes, during the remainder of 2016 we intend to pursue a listing of our common stock on NASDAQ or another exchange approved by our noteholders, with the intention to be accepted for listing no later than June 30, 2017. Basis of Presentation : We have prepared the accompanying consolidated financial statements in accordance with U.S. generally accepted accounting principles (“GAAP”) and the rules and regulations of the SEC for reporting of interim financial information and, therefore, certain information and footnote disclosures normally included in annual financial statements have been omitted. Accordingly, these interim financial statements should be read in conjunction with Management’s Discussion and Analysis of Financial Condition and Results of Operations contained in this report and with the audited financial statements and accompanying footnotes included in our Annual Report on Form 10-K (“Form 10-K”) for the year ended December 31, 2015. Our consolidated financial statements include the accounts of REVA and our wholly owned subsidiary. All intercompany transactions and balances, if any, have been eliminated in consolidation. These interim consolidated financial statements are unaudited; the consolidated balance sheet as of December 31, 2015 was derived from the Company’s audited financial statements included in our Form 10-K for the year ended December 31, 2015. The interim financial statements have been prepared on the same basis as our annual financial statements and, in our opinion, all adjustments, consisting only of normal recurring accruals, considered necessary for a fair statement of the results of these interim periods have been included. The results of operations for the three-month and six-month periods ended June 30, 2016 are not necessarily indicative of the results to be expected for the year ending December 31, 2016 or for any other interim period. Liquidity : We have experienced recurring losses and negative cash flows from operating activities since our inception and, as of June 30, 2016, we had an accumulated deficit of $380,493,000. While we anticipate initiating commercial operations by mid-2017, until we generate revenue, and at a level to support our cost structure, we expect to continue to incur substantial operating losses and net cash outflows. We had cash of $16,549,000 at June 30, 2016, which reflects the receipt of $11,407,000 in cash proceeds from warrant exercises on February 12, 2016. Based on our current operating plans and projections, we believe this cash balance will be sufficient to fund our operating and capital needs into, and possibly through, the first fiscal quarter of 2017. Although we currently have no set financing plans, until we can sustain positive cash flows from our operations, we intend to fund our future needs by raising additional capital through equity or debt issuances. There can be no assurance that we will be successful in raising additional capital or that such capital, if available, will be on terms that are acceptable to us. If we are unable to raise sufficient additional capital, we may be compelled to reduce the scope of our operations and planned capital expenditures or sell certain assets, including intellectual property assets. 1. (continued) Liquidity (continued) : Even if we do attain revenue, we may never become profitable and even if we do attain profitable operations, we may not be able to sustain that profitability or positive cash flows on a recurring basis. These conditions, combined with the uncertainty of the timing of receipt of future financings, if any, raise substantial doubt about our ability to continue as a going concern. The accompanying consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. Use of Estimates : In order to prepare our financial statements in conformity with GAAP, we are required to make estimates and assumptions that affect the reported amounts in the financial statements and accompanying notes. Our most significant estimates relate to, or have related to, the fair value of our convertible notes payable, the fair value of our warrant liability, our operating expense accruals, including clinical study expenses, and our stock-based compensation. Actual results could differ from our estimates.

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jun. 30, 2016
Fair Value Disclosures [Abstract]
Fair Value Measurements	2. We measure the fair value of our financial and non-financial assets and liabilities at each reporting date in accordance with the fair value hierarchy according to GAAP, which requires that f air value measurements be classified and disclosed in one of the following three categories: Level 1 – Quoted market prices for identical assets or liabilities in active markets at the measurement date; Level 2 – Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities in active or non-active markets, or other inputs that can be corroborated by observable market data for substantially the full term of an asset or liability; and, Level 3 – Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of an asset or liability, including management’s best estimate of the factors that market participants would use in pricing an asset or liability at the measurement date. We carry our convertible notes payable and, until February 12, 2016 when the warrants were exercised in full, our common stock warrant liability at fair value. We carry our other financial instruments at amortized cost, which we consider to be reasonable estimates of their respective fair values due to their short-term nature and, therefore, fair value information is not provided in the following table; these other financial instruments include cash and cash equivalents, accounts payable, and accrued expenses. Utilizing the lowest level inputs available under the measurement hierarchy, the fair values of our measured financial instruments, which consist only of liabilities, are as follows: Level 3 (in thousands) Fair Value of Liabilities at December 31, 2015: Convertible notes payable $ 75,365 Common stock warrant liability 19,622 $ 94,987 Fair Value of Liabilities at June 30, 2016: Convertible notes payable $ 96,206 Common stock warrant liability — $ 96,206 We had no Level 1 or Level 2 financial instruments through June 30, 2016. 2. Fair Value Measurements Our Level 3 financial liabilities, which are recurring, consist of convertible notes payable (the “Notes”) and, until they were exercised in full, warrants for the purchase of common stock, all of which were issued in November 2014. The fair values of the Notes were determined utilizing a least squares Monte Carlo simulation model and valuation of the warrants was determined utilizing a Black-Scholes valuation model. Both models require use of unobservable inputs that are determined by management, with the assistance of independent experts. These inputs represent our best estimates, but involve certain inherent uncertainties. We used the market value of the underlying stock, a life equal to the contractual life of the financial instrument, incremental borrowing rates and bond yields that correspond to instruments of similar credit worthiness and the instrument’s remaining life, an estimate of volatility based on the historical prices of our trading securities, and we made assumptions as to our abilities to test and commercialize our product(s), to obtain future financings when and if needed, and to comply with the terms and conditions of our Notes. A summary of the weighted-average assumptions used to value the Notes and warrants is as follows: June 30, June 30, 2015 2016 Market price per share of common stock $3.62 $8.22 Risk-free interest rate 2.2% 1.5% Expected volatility of common stock 84.6% 74.6% Expected life – years 4.37 3.42 Bond yield of equivalent securities 29.2% 27.0% A significant change in the market price per share, expected volatility, or bond yield of equivalent securities, in isolation, would result in significantly higher or lower fair value measurements. In combination, changes in these inputs could result in a significantly higher or lower fair value measurement if the input changes were to be aligned, or could result in a minimally higher or lower fair value measurement if the input changes were of a compensating nature. We recorded a total of $11,970,000 and $2,966,000 in unrealized gains during the three-month periods, and a total of $6,131,000 and $29,798,000 in unrealized losses during the six-month periods, ended June 30, 2015 and 2016, respectively, that arose from the change in fair value on our Level 3 financial liabilities. Our Level 3 fair value activity through June 30, 2016 is as follows: Level 3 (in thousands) Balance at December 31, 2015 $ 94,987 Losses from Change in Fair Value: Convertible notes payable 23,807 Common stock warrant liability 8,957 Transfer to additional paid-in capital upon exercise of warrants (28,579 ) Balance at March 31, 2016 99,172 Gain from Change in Fair Value: Convertible notes payable (2,966 ) Balance at June 30, 2016 $ 96,206

Convertible Notes Payable and W

Convertible Notes Payable and Warrants to Purchase Common Stock	6 Months Ended
	Jun. 30, 2016
Convertible Notes Payable And Warrants To Purchase Common Stock Disclosure [Abstract]
Convertible Notes Payable and Warrants to Purchase Common Stock	3. Convertible Notes Payable and Warrants to Purchase Common Stock In November 2014, we issued 250 convertible notes payable, each with a face value of $100,000, for total cash proceeds of $25,000,000. The Notes are convertible into 11,506,155 shares of common stock, which is a conversion rate of $2.17275 per share. The Notes are convertible at any time at the holders’ election; the Notes automatically convert in the case where we have received CE Mark approval of our Fantom Following an analysis of the embedded and derivative features of the Notes upon their issuance in 2014, and a projection of the volatility of their effective interest rates under the cost method, we made an irrevocable election to utilize fair value accounting for the Notes. Management believed the fair value method of accounting would provide a more appropriate presentation of these liabilities than would be provided under the cost method. The fair values of the Notes as of December 31, 2015 and June 30, 2016 was calculated to be $50,365,000 and $71,206,000, respectively, higher than the unpaid principal balance of the Notes of $25,000,000. The increases of $5,270,000 and $20,841,000 in the fair value of the Notes during the six months ended June 30, 2015 and 2016, respectively, were recorded as losses in the consolidated statement of operations. In connection with the issuance of the Notes in November 2014, we issued warrants to the noteholders to purchase up to 8,750,000 shares of common stock. In October 2015, a total of 4,375,000 warrants were exercised for $9,506,000 cash proceeds and on February 12, 2016 the remaining 4,375,000 warrants were exercised for $11,407,000 cash proceeds. The fair value of the warrants on the February 12, 2016 exercise date was calculated to be $28,579,000. The increases of $861,000 and $8,957,000 in fair value of the warrant liability during the six months ended June 30, 2015 and the period from December 31, 2015 to February 12, 2016, respectively, were recorded as losses in the consolidated statement of operations.

Balance Sheet Details

Balance Sheet Details	6 Months Ended
	Jun. 30, 2016
Balance Sheet Related Disclosures [Abstract]
Balance Sheet Details	4. Property and Equipment and Accrued Expenses : Components of our property and equipment and accrued expenses and other current liabilities are as follows: December 31, June 30, 2015 2016 (in thousands) Property and Equipment: Furniture, office equipment, and software $ 650 $ 658 Laboratory equipment 5,952 6,361 Leasehold improvements 2,386 2,386 8,988 9,405 Accumulated depreciation and amortization (6,269 ) (6,830 ) $ 2,719 $ 2,575 Accrued Expenses and Other Current Liabilities: Accrued salaries and other employee costs $ 1,311 $ 993 Accrued operating expenses 745 829 Accrued use taxes and other 186 182 $ 2,242 $ 2,004

Income Taxes

Income Taxes	6 Months Ended
	Jun. 30, 2016
Income Tax Disclosure [Abstract]
Income Taxes	5. We have reported tax net operating losses since our inception through June 30, 2016; therefore, no provision for income taxes has been recorded since our inception. The net operating tax loss carryforwards arising from our net losses may be available to offset future taxable income for income tax purposes; however, under Internal Revenue Code (“IRC”) Sections 382 and 383, use of the net operating tax loss carryforwards, as well as our research tax credit carryforwards, may be limited based on cumulative changes in ownership. We have established a valuation allowance against our net deferred tax assets due to the uncertainty surrounding the realization of those assets and we, therefore, have no deferred asset or liability balance for any reporting period. We periodically evaluate the recoverability of the deferred tax assets and, when it is determined that it is more-likely-than-not that the deferred tax assets are realizable, the valuation allowance will be reduced. Due to our valuation allowance, future changes in our unrecognized tax benefits will not impact our effective tax rate.

Stock-Based Compensation

Stock-Based Compensation	6 Months Ended
	Jun. 30, 2016
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract]
Stock-Based Compensation	6. The Plan : Our 2010 Equity Incentive Plan, as amended (the “Plan”), provides for grants of incentive and non-qualified stock options for purchase of our common stock at a price per share equal to the closing market price on the date of grant and for awards of restricted stock units and restricted stock for no consideration payable by the recipient. The number of shares reserved for issuance under the Plan may be increased annually by up to three percent of the outstanding stock of the Company and on January 1, 2016, an additional 550,000 shares were reserved for issuance under the Plan. An aggregate of 8,422,445 shares are reserved for issuance under the Plan as of June 30, 2016. All stock issuances under the Plan are made with new shares from our authorized but unissued common stock. The term of grants and awards under the Plan may not exceed ten years. Employees, non-employee directors, and consultants are eligible to participate in the Plan. For purposes of determining stock-based compensation expense, we include non-employee directors with employees; we account for consultant compensation expense separately. Option activity under the Plan is as follows: Weighted Average Options Exercise Outstanding Price Balance at December 31, 2014 4,243,425 $7.01 Granted 2,152,500 $4.50 Cancelled (232,292 ) $2.85 Exercised (251,208 ) $2.27 Balance at December 31, 2015 5,912,425 $6.46 Granted 546,500 $8.19 Exercised (13,500 ) $1.56 Balance at June 30, 2016 6,445,425 $6.62 Vesting periods of stock and unit awards and option grants are determined by the Company’s board of directors. The majority of options granted by the Company vest over four years, with 25 percent vesting on the one-year anniversary of the vesting commencement date and 75 percent vesting in equal monthly installments thereafter. A majority of those options are exercisable at any time but, if exercised, are subject to a lapsing right of repurchase by us at the exercise price until fully vested. During March 2015, we granted a total of 316,000 options that vest based on certain performance milestones of the Company. We estimated the vesting term for each performance objective on the date of grant, and on each reporting date thereafter, based on our internal timelines and operating projections. Our estimates of vesting ranged from approximately nine to 30 months, with a weighted average vesting term of 8.0 months remaining as of June 30, 2016. A total of 30 percent of these options had vested through June 30, 2016 and none had been cancelled. 6. (continued) During July 2012, January 2013, and May 2013 we awarded 33,000 shares, 40,000 shares, and 47,500 shares, respectively, of restricted stock; 25 percent of each award vests on each annual anniversary date of the award. Through June 30, 2016, none of the restricted stock had been cancelled. During March 2015, we awarded 824,200 restricted stock units (“RSUs”) to employees. These RSUs vest based on certain performance milestones of the Company. We estimated the vesting term for each performance objective on the award date, and on each reporting date thereafter, based on our internal timelines and operating projections. Our estimates of vesting ranged from approximately 21 to 30 months, with a weighted average vesting term of 8.2 months remaining as of June 30, 2016. None of these RSUs had vested or been cancelled as of June 30, 2016. During May 2015, we awarded 160,000 RSUs to employee and non-employee directors; these RSUs vested on May 24, 2016. During May 2016, we awarded 35,200 RSUs to non-employee directors; these RSUs vest on the earlier of May 25, 2017 or one day prior to our 2017 annual stockholder meeting. Each RSU entitles the recipient to one share of our common stock upon vesting. Through June 30, 2016, none of these RSUs had been cancelled. No tax benefits arising from stock-based compensation have been recognized in the consolidated statements of operations and comprehensive loss through June 30, 2016. Grants and Awards to Employees : We account for option grants, restricted stock awards, and RSU awards to employees based on their estimated fair values on the date of grant or award, with the resulting stock-based compensation recorded over the requisite service period on a straight-line basis. For the options and RSUs that vest upon performance milestones, we estimate the probability that the performance milestones will be met and record the related stock-based compensation expense. During the three months ended March 31, 2016, we determined that two of the three performance targets for our performance-based awards were probable of being achieved and, therefore, recorded expense for those awards only. During the three months ended June 30, 2016, we determined that all three of the performance targets were probable of being achieved, and, therefore, recorded cumulative expense of $583,000 for the third performance target, as well as recording straight-line quarterly expense of $140,000 for those awards, during the second quarter of 2016. Stock-based compensation arising from employee options and awards under the Plan is as follows: Three Months Ended Six Months Ended June 30, June 30, 2015 2016 2015 2016 (in thousands) (in thousands) Employee Stock-Based Compensation: Research and development expense $ 418 $ 800 $ 714 $ 1,164 General and administrative expense 413 1,075 644 1,866 $ 831 $ 1,875 $ 1,358 $ 3,030 The fair value of restricted stock and RSU awards is equal to the closing market price of our common stock on the date of award. The fair value of options granted was estimated on the date of grant using the following weighted- average assumptions: Six Months Ended June 30, 2015 2016 Risk-free interest rate 1.7% 1.6% Expected volatility of common stock 56.4% 57.5% Expected life in years 5.86 6.17 Dividend yield 0% 0% 6. (continued) The assumed risk-free interest rate was based on the implied yield on a U.S. Treasury zero-coupon issue with a remaining term equal to the expected life of the option. The assumed volatility was calculated based on the historical market prices of a selected group of publicly traded companies considered to be our peers; we use peer group data due to the fact that we have limited historical trading data but adjusted the 2016 volatility upward by approximately eight percent to allow us to move toward using our trading history, which is more volatile than our peer group. For options that vest based on passage of time, the expected option life was calculated using the simplified method under the accounting standard for stock compensation and a ten-year option expiration; we use the simplified method because we do not yet have adequate history as a public company to establish a reasonable expected life. For options that vest based on performance achievements, the expected life was calculated based on the requisite service periods estimated by management and a ten-year option expiration. The expected dividend yield of zero reflects that we have not paid cash dividends since inception and do not intend to pay cash dividends in the foreseeable future. The options granted to employees during the six months ended June 30, 2016 had a weighted average grant date fair value of $4.48. The aggregate intrinsic value of options exercised during the six months ended June 30, 2015 and 2016 was $135,000 and $92,000, respectively. Stock Options to Consultants : We account for stock options granted to consultants at their fair value. Under this method, the fair value is estimated at each reporting date during the vesting period using the Black-Scholes option-pricing model. The resulting stock-based compensation expense, or income if the fair value declines in a reporting period, is recorded over the consultant’s service period. Fully vested options to purchase 7,500 shares of common stock were granted to consultants during the six months ended June 30, 2016; no options were granted to consultants during the six months ended June 30, 2015. Stock-based compensation expense arising from consultant options granted under the Plan is as follows: Six Months Ended June 30, 2015 2016 (in thousands) Consultant Stock-Based Compensation: Research and development expense $ — $ 40 General and administrative expense 27 — $ 27 $ 40 We did not record any stock-based compensation expense during the three month periods ended June 30, 2015 and 2016 for consultant options. The fair value of the options granted to consultants during the six months ended June 30, 2016 was estimated to be $5.30 per share based on weighted-average assumptions of a risk-free interest rate of 2.02 percent, volatility of 57.4 percent, an option life of ten years, and a dividend yield of zero percent. The assumed risk-free interest rate was based on the implied yield on a U.S. Treasury zero-coupon issue with a remaining term equal to the expected life of the option. The assumed volatility was calculated from the historical market prices of a selected group of publicly traded companies considered to be our peers; we use peer group data due to the fact that we have limited historical trading data. The expected option life is the remaining term of the option. The expected dividend yield of zero reflects that we have not paid cash dividends since inception and do not intend to pay cash dividends in the foreseeable future. There were no unvested consultant options at either June 30, 2015 or June 30, 2016.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2016
Commitments And Contingencies Disclosure [Abstract]
Commitments and Contingencies	7. Commitments and Contingencies We have licensed certain patents and other intellectual property rights related to the composition and coating of our bioresorbable stent and our other biomaterial products. Terms of these licenses include provisions for royalty payments on any future sales of products, if any, utilizing this technology, with provisions for minimum royalties once product sales begin. The amount of royalties varies depending upon type of product, use of product, stage of product, location of sale, and ultimate sales volume, and ranges from a minimum of approximately $25 per unit to a maximum of approximately $100 per unit sold, with license provisions for escalating minimum royalties that could be as high as $2.2 million per year. Additionally, in the event we sublicense the technology and receive certain milestone payments, the licenses require that up to 40 percent of the milestone amount be paid to the licensors. Additional terms of the technology licenses include annual licensing payments of $175,000 until the underlying technology has been commercialized. Terms of the licenses also include other payments to occur during commercialization that could total $950,000, payment of $350,000 upon a change in control of ownership, payments of up to $300,000 annually to extend filing periods related to certain technology, and payment of patent filing, maintenance, and defense fees. The license terms remain in effect until the last patent expires.

Net Income (Loss) Per Common Sh

Net Income (Loss) Per Common Share	6 Months Ended
	Jun. 30, 2016
Earnings Per Share [Abstract]
Net Income (Loss) Per Common Share	8. Basic net loss per common share is calculated by dividing the net loss attributable to common stockholders by the weighted average number of common shares outstanding for the period, without consideration for common stock equivalents. Diluted net loss per share is computed by dividing the net loss attributable to common stockholders by the weighted average number of common share equivalents outstanding for the period determined using the treasury-stock method and the if-converted method, as applicable. For purpose of this calculation, common stock options and restricted stock subject to forfeiture are considered to be common stock equivalents; common share equivalents are included in the calculation of diluted net loss per share only when their effect is dilutive. Basic earnings per share reconciles to fully diluted earnings per share as follows (dollars in thousands): Three Months Ended Six Months Ended June 30, June 30, 2015 2016 2015 2016 Net Loss Used for Diluted EPS: Net income (loss) used for basic earnings per share $ 5,854 $ (4,555 ) $ (17,503 ) $ (45,353 ) Interest expense 470 — — — Gain on change in fair value of convertible notes payable and warrant liability (11,970 ) — — — $ (5,646 ) $ (4,555 ) $ (17,503 ) $ (45,353 ) Weighted Average Shares Used for Diluted EPS: Weighted average shares used for basic EPS 33,561,959 42,569,166 33,490,314 41,520,092 Weighted average common share equivalents 15,494,933 — — — 49,056,892 42,569,166 33,490,314 41,520,092 8. (continued) The following weighted average shares were excluded from the computations of diluted net loss per share because including them would have been antidilutive. Three Months Ended Six Months Ended June 30, June 30, 2015 2016 2015 2016 Weighted Average Shares Excluded from EPS: Options to purchase common stock 4,488,583 6,414,854 4,404,804 6,300,137 Unvested restricted stock 67,819 37,693 70,679 40,562 Restricted stock units 885,738 931,699 550,048 957,949 Warrants to purchase common stock — — 8,750,000 1,009,615 Common share equivalents of convertible notes — 11,506,156 11,506,156 11,506,156 5,442,140 18,890,402 25,281,687 19,814,419

Background and Basis of Prese14

Background and Basis of Presentation (Policies)	6 Months Ended
	Jun. 30, 2016
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation : We have prepared the accompanying consolidated financial statements in accordance with U.S. generally accepted accounting principles (“GAAP”) and the rules and regulations of the SEC for reporting of interim financial information and, therefore, certain information and footnote disclosures normally included in annual financial statements have been omitted. Accordingly, these interim financial statements should be read in conjunction with Management’s Discussion and Analysis of Financial Condition and Results of Operations contained in this report and with the audited financial statements and accompanying footnotes included in our Annual Report on Form 10-K (“Form 10-K”) for the year ended December 31, 2015. Our consolidated financial statements include the accounts of REVA and our wholly owned subsidiary. All intercompany transactions and balances, if any, have been eliminated in consolidation. These interim consolidated financial statements are unaudited; the consolidated balance sheet as of December 31, 2015 was derived from the Company’s audited financial statements included in our Form 10-K for the year ended December 31, 2015. The interim financial statements have been prepared on the same basis as our annual financial statements and, in our opinion, all adjustments, consisting only of normal recurring accruals, considered necessary for a fair statement of the results of these interim periods have been included. The results of operations for the three-month and six-month periods ended June 30, 2016 are not necessarily indicative of the results to be expected for the year ending December 31, 2016 or for any other interim period.
Liquidity	Liquidity : We have experienced recurring losses and negative cash flows from operating activities since our inception and, as of June 30, 2016, we had an accumulated deficit of $380,493,000. While we anticipate initiating commercial operations by mid-2017, until we generate revenue, and at a level to support our cost structure, we expect to continue to incur substantial operating losses and net cash outflows. We had cash of $16,549,000 at June 30, 2016, which reflects the receipt of $11,407,000 in cash proceeds from warrant exercises on February 12, 2016. Based on our current operating plans and projections, we believe this cash balance will be sufficient to fund our operating and capital needs into, and possibly through, the first fiscal quarter of 2017. Although we currently have no set financing plans, until we can sustain positive cash flows from our operations, we intend to fund our future needs by raising additional capital through equity or debt issuances. There can be no assurance that we will be successful in raising additional capital or that such capital, if available, will be on terms that are acceptable to us. If we are unable to raise sufficient additional capital, we may be compelled to reduce the scope of our operations and planned capital expenditures or sell certain assets, including intellectual property assets. 1. (continued) Liquidity (continued) : Even if we do attain revenue, we may never become profitable and even if we do attain profitable operations, we may not be able to sustain that profitability or positive cash flows on a recurring basis. These conditions, combined with the uncertainty of the timing of receipt of future financings, if any, raise substantial doubt about our ability to continue as a going concern. The accompanying consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business.
Use of Estimates	Use of Estimates : In order to prepare our financial statements in conformity with GAAP, we are required to make estimates and assumptions that affect the reported amounts in the financial statements and accompanying notes. Our most significant estimates relate to, or have related to, the fair value of our convertible notes payable, the fair value of our warrant liability, our operating expense accruals, including clinical study expenses, and our stock-based compensation. Actual results could differ from our estimates.

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 2016
Fair Value Disclosures [Abstract]
Schedule of fair values of investments and liabilities, determined from level 2 and 3 inputs	Level 3 (in thousands) Fair Value of Liabilities at December 31, 2015: Convertible notes payable $ 75,365 Common stock warrant liability 19,622 $ 94,987 Fair Value of Liabilities at June 30, 2016: Convertible notes payable $ 96,206 Common stock warrant liability — $ 96,206
Summary of weighted-average assumptions used to value the Notes and warrants	June 30, June 30, 2015 2016 Market price per share of common stock $3.62 $8.22 Risk-free interest rate 2.2% 1.5% Expected volatility of common stock 84.6% 74.6% Expected life – years 4.37 3.42 Bond yield of equivalent securities 29.2% 27.0%
Summary of fair value of financial liabilities determined from "Level 3" inputs	Level 3 (in thousands) Balance at December 31, 2015 $ 94,987 Losses from Change in Fair Value: Convertible notes payable 23,807 Common stock warrant liability 8,957 Transfer to additional paid-in capital upon exercise of warrants (28,579 ) Balance at March 31, 2016 99,172 Gain from Change in Fair Value: Convertible notes payable (2,966 ) Balance at June 30, 2016 $ 96,206

Balance Sheet Details (Tables)

Balance Sheet Details (Tables)	6 Months Ended
	Jun. 30, 2016
Balance Sheet Related Disclosures [Abstract]
Schedule of Property and Equipment	Property and Equipment and Accrued Expenses : Components of our property and equipment and accrued expenses and other current liabilities are as follows: December 31, June 30, 2015 2016 (in thousands) Property and Equipment: Furniture, office equipment, and software $ 650 $ 658 Laboratory equipment 5,952 6,361 Leasehold improvements 2,386 2,386 8,988 9,405 Accumulated depreciation and amortization (6,269 ) (6,830 ) $ 2,719 $ 2,575 Accrued Expenses and Other Current Liabilities: Accrued salaries and other employee costs $ 1,311 $ 993 Accrued operating expenses 745 829 Accrued use taxes and other 186 182 $ 2,242 $ 2,004
Schedule of Accrued Expenses and Other Current Liabilities	December 31, June 30, 2015 2016 (in thousands) Property and Equipment: Furniture, office equipment, and software $ 650 $ 658 Laboratory equipment 5,952 6,361 Leasehold improvements 2,386 2,386 8,988 9,405 Accumulated depreciation and amortization (6,269 ) (6,830 ) $ 2,719 $ 2,575 Accrued Expenses and Other Current Liabilities: Accrued salaries and other employee costs $ 1,311 $ 993 Accrued operating expenses 745 829 Accrued use taxes and other 186 182 $ 2,242 $ 2,004

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2016
Schedule of the option activity under the plan	Employees, non-employee directors, and consultants are eligible to participate in the Plan. For purposes of determining stock-based compensation expense, we include non-employee directors with employees; we account for consultant compensation expense separately. Option activity under the Plan is as follows: Weighted Average Options Exercise Outstanding Price Balance at December 31, 2014 4,243,425 $7.01 Granted 2,152,500 $4.50 Cancelled (232,292 ) $2.85 Exercised (251,208 ) $2.27 Balance at December 31, 2015 5,912,425 $6.46 Granted 546,500 $8.19 Exercised (13,500 ) $1.56 Balance at June 30, 2016 6,445,425 $6.62
Equity awards to employees
Schedule of stock-based compensation expense	Three Months Ended Six Months Ended June 30, June 30, 2015 2016 2015 2016 (in thousands) (in thousands) Employee Stock-Based Compensation: Research and development expense $ 418 $ 800 $ 714 $ 1,164 General and administrative expense 413 1,075 644 1,866 $ 831 $ 1,875 $ 1,358 $ 3,030
Options Granted
Schedule of the weighted-average assumptions used to estimate fair value of options granted	The fair value of restricted stock and RSU awards is equal to the closing market price of our common stock on the date of award. The fair value of options granted was estimated on the date of grant using the following weighted- average assumptions: Six Months Ended June 30, 2015 2016 Risk-free interest rate 1.7% 1.6% Expected volatility of common stock 56.4% 57.5% Expected life in years 5.86 6.17 Dividend yield 0% 0%
Equity awards to consultants
Schedule of stock-based compensation expense	Stock-based compensation expense arising from consultant options granted under the Plan is as follows: Six Months Ended June 30, 2015 2016 (in thousands) Consultant Stock-Based Compensation: Research and development expense $ — $ 40 General and administrative expense 27 — $ 27 $ 40

Net Income (Loss) Per Common 18

Net Income (Loss) Per Common Share (Tables)	6 Months Ended
	Jun. 30, 2016
Earnings Per Share [Abstract]
Schedule of basic earnings per share reconciles to fully diluted earnings per share	Basic earnings per share reconciles to fully diluted earnings per share as follows (dollars in thousands): Three Months Ended Six Months Ended June 30, June 30, 2015 2016 2015 2016 Net Loss Used for Diluted EPS: Net income (loss) used for basic earnings per share $ 5,854 $ (4,555 ) $ (17,503 ) $ (45,353 ) Interest expense 470 — — — Gain on change in fair value of convertible notes payable and warrant liability (11,970 ) — — — $ (5,646 ) $ (4,555 ) $ (17,503 ) $ (45,353 ) Weighted Average Shares Used for Diluted EPS: Weighted average shares used for basic EPS 33,561,959 42,569,166 33,490,314 41,520,092 Weighted average common share equivalents 15,494,933 — — — 49,056,892 42,569,166 33,490,314 41,520,092
Schedule of weighted average shares excluded from the computation of diluted net loss per share	The following weighted average shares were excluded from the computations of diluted net loss per share because including them would have been antidilutive. Three Months Ended Six Months Ended June 30, June 30, 2015 2016 2015 2016 Weighted Average Shares Excluded from EPS: Options to purchase common stock 4,488,583 6,414,854 4,404,804 6,300,137 Unvested restricted stock 67,819 37,693 70,679 40,562 Restricted stock units 885,738 931,699 550,048 957,949 Warrants to purchase common stock — — 8,750,000 1,009,615 Common share equivalents of convertible notes — 11,506,156 11,506,156 11,506,156 5,442,140 18,890,402 25,281,687 19,814,419

Background and Basis of Prese19

Background and Basis of Presentation (Details)	Feb. 12, 2016USD ($)	Jun. 30, 2016USD ($)itemCountryPatient	Dec. 31, 2015USD ($)	Jun. 30, 2015USD ($)	Dec. 31, 2014USD ($)	Dec. 31, 2010
Organization Consolidation And Presentation Of Financial Statements [Abstract]
Number of patients enrolled in a clinical trial of bioresorbable stent product | item		247
Number of countries | Country		8
Number of patients data used | Patient		117
Common Stock Conversion Rate						10
Retained earnings (Accumulated deficit)		$ (380,493,000)	$ (335,140,000)
Cash		$ 16,549,000	$ 16,895,000	$ 15,881,000	$ 25,814,000
Proceeds from warrant exercises	$ 11,407,000

Fair Value Measurements (Detail

Fair Value Measurements (Details) - USD ($)	3 Months Ended			6 Months Ended
	Jun. 30, 2016	Mar. 31, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015	Feb. 12, 2016	Dec. 31, 2015
Convertible notes payable	$ 96,206,000			$ 96,206,000			$ 75,365,000
Common stock warrant liability						$ 28,579,000	19,622,000
Weighted Average Assumptions:
Market price per share of common stock	$ 8.22		$ 3.62	$ 8.22	$ 3.62
Risk-free interest rate				1.50%	2.20%
Expected volatility of common stock				74.60%	84.60%
Expected life – years				3 years 5 months 1 day	4 years 4 months 13 days
Bond yield of equivalent securities				27.00%	29.20%
Changes in unrealized gain (loss) on instruments held at the end of period, financial liabilities	$ 2,966,000		$ 11,970,000	$ (29,798,000)	$ (6,131,000)
Losses/(Gain) from Change in Fair Value:
Transfer out upon exercise of warrants				(28,579,000)
Level 3
Convertible notes payable	96,206,000			96,206,000			75,365,000
Common stock warrant liability							19,622,000
Liabilities	96,206,000	$ 99,172,000		96,206,000			94,987,000
Weighted Average Assumptions:
Changes in unrealized gain (loss) on instruments held at the end of period, financial liabilities	2,966,000		$ 11,970,000	(29,798,000)	$ (6,131,000)
Financial Liabilities Fair Value Disclosure
Liabilities	96,206,000	99,172,000		96,206,000			94,987,000
Losses/(Gain) from Change in Fair Value:
Convertible notes payable	(2,966,000)	23,807,000
Common stock warrant liability		8,957,000
Transfer out upon exercise of warrants		(28,579,000)
Liabilities	$ 96,206,000	$ 99,172,000		$ 96,206,000			$ 94,987,000

Convertible Notes Payable and21

Convertible Notes Payable and Warrants to Purchase Common Stock (Details)	Feb. 12, 2016USD ($)shares	Oct. 01, 2015USD ($)shares	Nov. 14, 2014USD ($)item$ / sharesshares	Feb. 12, 2016USD ($)	Jun. 30, 2016USD ($)	Jun. 30, 2015USD ($)	Dec. 31, 2015USD ($)
Number of convertible notes payable | item			250
Cash proceeds from Notes payable and warrants			$ 25,000,000
Convertible notes excluding unpaid principal balance					$ 71,206,000		$ 50,365,000
Proceeds from warrant exercises	$ 11,407,000
Common stock warrant liability	$ 28,579,000			$ 28,579,000			$ 19,622,000
Warrants to purchase common stock
Warrants issued to purchase common stock (in shares) | shares			8,750,000
Warrant exercised | shares	4,375,000	4,375,000
Proceeds from warrant exercises	$ 11,407,000	$ 9,506,000
Change in fair value of Warrants				$ 8,957,000		$ 861,000
Convertible Notes Payable
Face Amount			$ 100,000
Number of converted shares of common stock | shares			11,506,155
Convertible rate into common stock | $ / shares			$ 2.17275
Consecutive trading days			20 days
Interest rate (as a percent) accrued on notes			7.54%
Increase (decrease) in fair value of notes					$ 20,841,000	$ 5,270,000
Minimum | Convertible Notes Payable
Market trading price | $ / shares			$ 0.60

Balance Sheet Details (Details)

Balance Sheet Details (Details) - USD ($) $ in Thousands	Jun. 30, 2016	Dec. 31, 2015
Property and Equipment:
Property and equipment, gross	$ 9,405	$ 8,988
Accumulated depreciation and amortization	(6,830)	(6,269)
Property and equipment, net	2,575	2,719
Accrued Expenses and Other Current Liabilities:
Accrued salaries and other employee costs	993	1,311
Accrued operating expenses	829	745
Accrued use taxes and other	182	186
Accrued expenses and other current liabilities, total	2,004	2,242
Furniture, office equipment, and software
Property and Equipment:
Property and equipment, gross	658	650
Laboratory equipment
Property and Equipment:
Property and equipment, gross	6,361	5,952
Leasehold improvements
Property and Equipment:
Property and equipment, gross	$ 2,386	$ 2,386

Income Taxes (Details)

Income Taxes (Details)	6 Months Ended
	Jun. 30, 2016USD ($)
Income Tax Disclosure [Abstract]
Provision for income taxes	$ 0
Deferred tax assets	0
Deferred tax liability	$ 0

Stock-Based Compensation (Detai

Stock-Based Compensation (Details) - USD ($)

May 24, 2016

Jan. 01, 2016

May 31, 2016

May 31, 2015

Mar. 31, 2015

May 31, 2013

Jan. 31, 2013

Jul. 31, 2012

Jun. 30, 2016

Jun. 30, 2015

Mar. 31, 2015

Jun. 30, 2016

Jun. 30, 2015

Dec. 31, 2015

Stock-Based Compensation

Vesting periods

4 years

Options, granted (in shares)

546,500

2,152,500

Share-based Compensation Award, Tranche One

Stock-Based Compensation

Vesting percentage

25.00%

Share-based Compensation Award, Tranche Two

Stock-Based Compensation

Vesting percentage

75.00%

Equity awards to employees

Stock-Based Compensation

Term of options granted under the plan

10 years

Vesting percentage

30.00%

Options, granted (in shares)

316,000

Options cancelled (in shares)

0

Stock-based compensation expense

$ 1,875,000

$ 831,000

$ 3,030,000

$ 1,358,000

Percentage of volatility upward adjustment

8.00%

Dividend yield (as a percent)

0.00%

Weighted average grant date fair value (in dollars per share)

$ 4.48

Intrinsic value of options exercised

$ 92,000

$ 135,000

Performance-based awards

Stock-Based Compensation

Stock-based compensation expense

140,000

$ 583,000

Equity awards to consultants

Stock-Based Compensation

Options, granted (in shares)

7,500

0

Stock-based compensation expense

$ 0

$ 0

$ 40,000

$ 27,000

Dividend yield (as a percent)

0.00%

Weighted average grant date fair value (in dollars per share)

$ 5.30

Risk-free interest rate (as a percent)

2.02%

Expected volatility of common stock (as a percent)

57.40%

Expected life

10 years

Unvested stock option (in shares)

0

0

0

0

2010 Equity Incentive Plan

Stock-Based Compensation

Number of shares added in reserve

550,000

Total number of shares in reserve with additional shares under the Plan

8,422,445

8,422,445

Tax benefits from stock based compensation

$ 0

2010 Equity Incentive Plan | Restricted stock

Stock-Based Compensation

Annual vesting percent

25.00%

25.00%

25.00%

Shares of restricted stock awarded

47,500

40,000

33,000

Shares of restricted stock cancelled

0

2010 Equity Incentive Plan | Restricted stock units

Stock-Based Compensation

Shares of restricted stock cancelled

0

Number of shares awarded

35,200

160,000

824,200

Employee share of common stock upon vesting

1

Shares of restricted stock vested

160,000

0

Maximum | Equity awards to employees

Stock-Based Compensation

Vesting periods

30 months

Maximum | 2010 Equity Incentive Plan

Stock-Based Compensation

Increment in the number of shares reserved under the Plan annually (as a percent)

3.00%

Term of options granted under the plan

10 years

Maximum | 2010 Equity Incentive Plan | Restricted stock units

Stock-Based Compensation

Vesting periods

30 months

Weighted Average [Member] | Equity awards to employees

Stock-Based Compensation

Vesting periods

8 months

Weighted Average [Member] | 2010 Equity Incentive Plan | Restricted stock units

Stock-Based Compensation

Vesting periods

8 months 6 days

Minimum | Equity awards to employees

Stock-Based Compensation

Vesting periods

9 months

Minimum | 2010 Equity Incentive Plan | Restricted stock units

Stock-Based Compensation

Vesting periods

21 months

Stock-Based Compensation (Det25

Stock-Based Compensation (Details 1) - $ / shares	6 Months Ended	12 Months Ended
	Jun. 30, 2016	Dec. 31, 2015
Options Outstanding
Options outstanding, balance at the beginning of period (in shares)	5,912,425	4,243,425
Options, granted (in shares)	546,500	2,152,500
Options, cancelled (in shares)		(232,292)
Options, exercised (in shares)	(13,500)	(251,208)
Options outstanding, balance at the end of period (in shares)	6,445,425	5,912,425
Weighted Average Exercise Price
Weighted average exercise price, balance at the beginning of period (in dollars per share)	$ 6.46	$ 7.01
Weighted average exercise price, granted (in dollars per share)	8.19	4.50
Weighted average exercise price, cancelled (in dollars per share)		2.85
Weighted average exercise price, exercised (in dollars per share)	1.56	2.27
Weighted average exercise price, balance at the end of period (in dollars per share)	$ 6.62	$ 6.46

Stock-Based Compensation (Det26

Stock-Based Compensation (Details 2) - Equity awards to employees - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Employee Stock-Based Compensation:
Total stock-based compensation	$ 1,875	$ 831	$ 3,030	$ 1,358
Research and development expense
Employee Stock-Based Compensation:
Total stock-based compensation	800	418	1,164	714
General and administrative expense
Employee Stock-Based Compensation:
Total stock-based compensation	$ 1,075	$ 413	$ 1,866	$ 644

Stock-Based Compensation (Det27

Stock-Based Compensation (Details 3) - Employee Stock Option	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Additional information related to fair values of options granted
Risk-free interest rate (as a percent)	1.60%	1.70%
Expected volatility of common stock (as a percent)	57.50%	56.40%
Expected life	6 years 2 months 1 day	5 years 10 months 10 days
Dividend yield (as a percent)	0.00%	0.00%

Stock-Based Compensation (Det28

Stock-Based Compensation (Details 4) - Equity awards to consultants - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Employee Stock-Based Compensation:
Total stock-based compensation	$ 0	$ 0	$ 40,000	$ 27,000
Research and development expense
Employee Stock-Based Compensation:
Total stock-based compensation			$ 40,000
General and administrative expense
Employee Stock-Based Compensation:
Total stock-based compensation				$ 27,000

Commitments and Contingencies (

Commitments and Contingencies (Details)	6 Months Ended
	Jun. 30, 2016USD ($)$ / item
Commitment And Contingencies [Line Items]
Annual licensing payment	$ 175,000
Other payments of royalty agreement occur during commercialization	950,000
Contingent license fee payable only upon a change in ownership of licensee	$ 350,000
Minimum
Commitment And Contingencies [Line Items]
Royalty payment per unit (in dollar per unit) | $ / item	25
Maximum
Commitment And Contingencies [Line Items]
Royalty payment per unit (in dollar per unit) | $ / item	100
License provisions for escalating minimum royalties	$ 2,200,000
Milestone amounts paid to the licensors (as a percent)	40.00%
Annual payments to extend filing periods related to certain technology	$ 300,000

Net Income (Loss) Per Common 30

Net Income (Loss) Per Common Share (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Earnings per share reconciliation
Net income (loss) used for basic earnings per share	$ (4,555)	$ 5,854	$ (45,353)	$ (17,503)
Interest expense		470
Gain on change in fair value of convertible notes payable and warrant liability		(11,970)
Net Loss Used for Diluted EPS	$ (4,555)	$ (5,646)	$ (45,353)	$ (17,503)
Weighted average shares used for basic EPS	42,569,166	33,561,959	41,520,092	33,490,314
Weighted average common share equivalents		15,494,933
Weighted Average Shares Used for Diluted EPS	42,569,166	49,056,892	41,520,092	33,490,314
Weighted Average Shares Excluded from EPS:
Total weighted average shares excluded	18,890,402	5,442,140	19,814,419	25,281,687
Options to purchase common stock
Weighted Average Shares Excluded from EPS:
Total weighted average shares excluded	6,414,854	4,488,583	6,300,137	4,404,804
Unvested restricted stock
Weighted Average Shares Excluded from EPS:
Total weighted average shares excluded	37,693	67,819	40,562	70,679
Restricted stock units
Weighted Average Shares Excluded from EPS:
Total weighted average shares excluded	931,699	885,738	957,949	550,048
Warrants to purchase common stock
Weighted Average Shares Excluded from EPS:
Total weighted average shares excluded			1,009,615	8,750,000
Common share equivalents from convertible notes
Weighted Average Shares Excluded from EPS:
Total weighted average shares excluded	11,506,156		11,506,156	11,506,156