DarioHealth (DRIO) 10-Q14 May 142014 Q1 Quarterly reportFinancial data

Company Profile

Document_And_Entity_Informatio

Document And Entity Information	3 Months Ended
Document And Entity Information	Mar. 31, 2014	14-May-14
Document Information [Line Items]	'	'
Entity Registrant Name	'LabStyle Innovations Corp.	'
Entity Central Index Key	'0001533998	'
Current Fiscal Year End Date	'--12-31	'
Entity Filer Category	'Smaller Reporting Company	'
Trading Symbol	'DRIO	'
Entity Common Stock, Shares Outstanding	'	22,966,389
Document Type	'10-Q	'
Amendment Flag	'false	'
Document Period End Date	31-Mar-14	'
Document Fiscal Period Focus	'Q1	'
Document Fiscal Year Focus	'2014	'

CONDENSED_CONSOLIDATED_BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
CURRENT ASSETS:	'	'
Cash and cash equivalents	$3,812	$2,263
Restricted cash	0	38
Short-term bank deposits	193	154
Other current assets	615	475
Total current assets	4,620	2,930
LEASE DEPOSITS	41	41
PROPERTY AND EQUIPMENT, NET	1,066	1,145
Total assets	5,727	4,116
CURRENT LIABILITIES:	'	'
Trade payables	539	586
Other accounts payable and accrued expenses	678	920
Total current liabilities	1,217	1,506
LIABILITY RELATED TO WARRANTS	5,775	2,696
COMMITMENTS AND CONTINGENT LIABILITIES	'	'
STOCKHOLDERS' DEFICIENCY	'	'
Common Stock of $0.0001 par value - Authorized: 45,000,000 shares at March 31, 2014 and December 31, 2013; Issued and Outstanding: 22,879,368 (unaudited) and 20,071,816 shares at March 31, 2014 and December 31, 2013, respectively	2	2
Preferred Stock of $0.0001 par value - Authorized: 5,000,000 shares at March 31, 2014 and December 31, 2013; Issued and Outstanding: None at March 31, 2014 and December 31, 2013	0	0
Additional paid-in capital	21,720	19,915
Deficit accumulated during the development stage	-22,987	-20,003
Total stockholders' deficiency	-1,265	-86
Total liabilities and stockholders' deficiency	$5,727	$4,116

CONDENSED_CONSOLIDATED_BALANCE1

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $)	Mar. 31, 2014	Dec. 31, 2013
Common stock, par value (in dollars per share)	$0.00	$0.00
Common stock, shares authorized	45,000,000	45,000,000
Common stock, shares issued	22,879,368	20,071,816
Common stock, shares, outstanding	22,879,368	20,071,816
Preferred stock, par value (in dollars per share)	$0.00	$0.00
Preferred stock, shares authorized	5,000,000	5,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0

CONDENSED_CONSOLIDATED_STATEME

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (USD $)	3 Months Ended		32 Months Ended
In Thousands, except Share data, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2014
Operating expenses:	'	'	'
Research and development	$1,089	$675	$7,581
Marketing and pre-production costs	725	497	3,375
General and administrative	854	1,904	9,483
Operating loss	2,668	3,076	20,439
Revaluation of warrants	-142	2,136	1,742
Other financial expense	458	15	806
Financial expenses, net	316	2,151	2,548
Net loss	$2,984	$5,227	$22,987
Net loss per share	'	'	'
Basic loss per share	($0.14)	($0.35)	'
Weighted average number of common stock used in computing basic net loss per share	21,274,831,000	14,808,563,000	'
Diluted loss per share	($0.14)	($0.35)	'
Weighted average number of common stock used in computing diluted net loss per share	21,418,439	14,808,563	'

STATEMENTS_OF_CHANGES_IN_STOCK

STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (DEFICIENCY) (USD $)	Total		Common Stock [Member]		Additional Paid-in Capital [Member]		Accumulated Deficit during Development Stage [Member]
In Thousands, except Share data	Total		Common Stock [Member]		Additional Paid-in Capital [Member]		Accumulated Deficit during Development Stage [Member]
Balance at Aug. 10, 2011	$0		$0		$0		$0
Balance (in shares) at Aug. 10, 2011	'		0		'		'
Issuance of common stock to founders upon inception date at par value	1		'	[1]	0		0
Issuance of common stock to founders upon inception date at par value (in shares)	'		6,500,000		'		'
Issuance of common stock to accredited investors upon inception date at par value	10		'	[1]	10		0
Issuance of common stock to accredited investors upon inception date at par value (in shares)	'		2,000,000		'		'
Issuance of common stock to founders in October 2011 at par value	'	[1]	'	[1]	0		0
Issuance of common stock to founders in October 2011 at par value (in shares)	'		1,000,000		'		'
Issuance of common stock in October and November 2011 at $0.61 per stock, net of issuance cost	481		'	[1]	481		0
Issuance of common stock in October and November 2011 at $0.61 per stock, net of issuance cost (in shares)	'		1,140,000		'		'
Issuance of common stock in December 2011 at $0.62 per stock, net of issuance cost	86		'	[1]	86		0
Issuance of common stock in December 2011 at $0.62 per stock, net of issuance cost (in shares)	'		190,000		'		'
Net loss	-385		0		0		-385
Balance at Dec. 31, 2011	193		1		577		-385
Balance (in shares) at Dec. 31, 2011	'		10,830,000		'		'
Issuance of common stock in February and March 2012 at $0.63 per stock, net of issuance cost	540		'	[1]	540		0
Issuance of common stock in February and March 2012 at $0.63 per stock, net of issuance cost (in shares)	'		1,131,000		'		'
Issuance of common stock and warrants in August 2012 at $1.00 per unit, net of issuance cost	498		'	[1]	498		'
Issuance of common stock and warrants in August 2012 at $1.00 per unit, net of issuance cost (in shares)	'		500,014		'		'
Issuance of common stock in September and October 2012 at $1.50 per stock, net of issuance cost	2,384		'	[1]	2,384		0
Issuance of common stock in September and October 2012 at $1.50 per stock, net of issuance cost (in shares)	'		1,795,009		'		'
Cost related to issuance of common stock to service provider	438		'	[1]	438		0
Cost related to issuance of common stock to service provider (in shares)	'		291,666		'		'
Stock-based compensation	564		0		564		0
Net loss	-5,687		0		0		-5,687
Balance at Dec. 31, 2012	-1,070		1		5,001		-6,072
Balance (in shares) at Dec. 31, 2012	'		14,547,689		'		'
Issuance of common stock and warrants in February and June 2013 at $ 1.00 per unit, net of issuance cost	996		'	[1]	996		0
Issuance of common stock and warrants in February and June 2013 at $ 1.00 per unit, net of issuance cost (in shares)	'		1,000,022		'		'
Cost related to issuance of common stock to service provider	488		'	[1]	488		0
Cost related to issuance of common stock to service provider (in shares)	'		208,334		'		'
Cost related to issuance of warrants to service provider in March and May 2013	523		0		523		0
Cost related to issuance of warrants to service provider in March and May 2013 (in shares)	'		0		'		'
Issuance of common stock and warrants in April and May 2013 at $ 2.50 per unit, net of issuance cost	8,987		'	[1]	8,986		0
Issuance of common stock and warrants in April and May 2013 at $ 2.50 per unit, net of issuance cost (in shares)	'		4,000,000		'		'
Exercise of warrants	708		'	[1]	708		0
Exercise of warrants (in shares)	'		300,771		'		'
Exercise of options	'	[1]	'	[1]	'	[1]	0
Exercise of options (in shares)	'		15,000		'		'
Stock-based compensation	3,213		0		3,213		0
Net loss	-13,931		0		0		-13,931
Balance at Dec. 31, 2013	-86		2		19,915		-20,003
Balance (in shares) at Dec. 31, 2013	'		20,071,816		'		'
Issuance of common stock and warrants in February 2014 at $0.55 per unit, net of issuance cost	1,031		'	[1]	1,031		0
Issuance of common stock and warrants in February 2014 at $0.55 per unit, net of issuance cost (shares)	'		2,226,956		'		'
Exercise of warrants	265		'	[1]	265		0
Exercise of warrants (in shares)	'		255,596		'		'
Exercise of options	'	[1]	'	[1]	'		0
Exercise of options (in shares)	'		325,000		'		'
Stock-based compensation	509		0		509		0
Net loss	-2,984		0		0		-2,984
Balance at Mar. 31, 2014	($1,265)		$2		$21,720		($22,987)
Balance (in shares) at Mar. 31, 2014	'		22,879,368		'		'

[1]	Represents an amount lower than $1.

STATEMENTS_OF_CHANGES_IN_STOCK1

STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (DEFICIENCY) (Parenthetical) (Common Stock [Member], USD $)	3 Months Ended	5 Months Ended	12 Months Ended
	Mar. 31, 2014	Dec. 31, 2011	Dec. 31, 2013	Dec. 31, 2012
Common Stock [Member]	'	'	'	'
Issuance Of Common Stock In October And November 2011	'	$0.61	'	'
Issuance Of Common Stock In December 2011	'	$0.62	'	'
Issuance Of Common Stock In February And March 2012	'	'	'	$0.63
Issuance Of Common Stock And Warrants In August 2012	'	'	'	$1
Issuance Of Common Stock In September And October 2012	'	'	'	$1.50
Issuance Of Common Stock And Warrants In February And June 2013	'	'	$1	'
Issuance Of Common Stock And Warrants In April And May 2013	'	'	$2.50	'
Issuance Of Common Stock And Warrants In February 2014	$0.55	'	'	'

CONDENSED_CONSOLIDATED_STATEME1

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS (USD $)	3 Months Ended			32 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013		Mar. 31, 2014
Cash flows from operating activities:	'	'		'
Net loss	($2,984)	($5,227)		($22,987)
Adjustments required to reconcile net loss to net cash used in operating activities:	'	'		'
Stock-based compensation, warrants and restricted shares	509	1,712		5,735
Issuance cost related to warrants to investors and service provider	448	0		706
Depreciation	198	117		1,062
Increase in other current assets	-73	-8		-519
Increase (decrease) in trade payables	-51	128		535
Increase (decrease) in other accounts payable and accrued expenses	-242	170		678
Change in the fair value of warrants	-142	2,136		1,742
Other	0	0		98
Net cash used in operating activities	-2,337	-972		-12,950
Cash flows from investing activities:	'	'		'
Investment in short-term bank deposits	0	0		-196
Proceeds of maturities of short-term bank deposit	0	0		26
Investment in restricted cash	0	0		-13
Investment in lease deposit, net	0	0		-78
Purchase of property and equipment	-116	-462		-2,224
Net cash used in investing activities	-116	-462		-2,485
Cash flows from financing activities:	'	'		'
Proceeds from issuance of Common Stocks and warrants, net of issuance cost	3,813	498		18,765
Proceeds from exercise of options and warrants	189	'	[1]	482
Net cash provided by financing activities	4,002	498		19,247
Increase (decrease) in cash and cash equivalents	1,549	-936		3,812
Cash and cash equivalents at the beginning of the period	2,263	1,230		0
Cash and cash equivalents at the end of the period	3,812	294		3,812
Non-cash investing and financing and activities:	'	'		'
Receivable on account of shares	67	0		67
Conversion of liability related to warrants to common stock	9	0		424
Purchase of property and equipment	$4	$330		$4

[1]	Represents an amount lower than $1.

GENERAL

GENERAL	3 Months Ended
	Mar. 31, 2014
Development Stage Enterprises [Abstract]	'
Development Stage Enterprise General Disclosures [Text Block]	'
		NOTE 1:-	GENERAL

		a.	LabStyle Innovations Corp. (the "Company") was incorporated in Delaware and commenced operations on August 11, 2011. The Company is a mobile health (mHealth) company developing and commercializing patent-pending technologies to provide consumers with laboratory-testing capabilities using smart phones and other mobile devices. The Company’s initial product, Dario™, is a mobile, cloud-based, diabetes management solution which includes a pocket-sized blood glucose monitoring device that, utilizing proprietary software, integrates with smart phones and other mobile devices to offer users the ability to record, save, track, analyze, manage and share diabetes related information. The Company has not generated revenues to date; accordingly, the Company is considered to be in the development stage as defined in ASC No. 915, "Development stage entities".

	The Company has a wholly owned subsidiary, LabStyle Innovation Ltd. ("Ltd."), incorporated and located in Israel, which commenced operations on September 14, 2011. Its principal business activity is to hold the Company’s intellectual property and to perform research and development, manufacturing, marketing and other business activities.

		b.	On January 7, 2014, the Company announced the filing of a Premarket Notification Application (known as a 510(k) application) for the Dario™ blood glucose monitoring system with the U.S. Food and Drug Administration (the "FDA") to notify the FDA of the Company’s intention to market the Dario™ in the United States. The Company is planning for other regulatory filings in other jurisdictions.

	In March 2014, the Company commenced a soft launch of Dario™. The Company’s first shipments to distributers commenced in late March 2014 in selected jurisdictions.

		c.	On March 20, 2014, the Company filed a registration statement (the "Third Registration Statement") with the Securities and Exchange Commission (the “SEC”) covering the public resale of up to 10,139,612 shares of common stock of the Company (the "Common Stock") (including up to 6,242,440 shares of Common Stock underlying warrants) previously issued or which may potentially be issued pursuant to certain contractual reset rights held by the investors in the February 2014 Private Placement, as defined below (see Note 4b and 5b).

		d.	During the three month period ended March 31, 2014, the Company incurred operating losses and negative cash flows from operating activities amounting to $2,668 and $2,337, respectively. The Company will be required to obtain additional capital resources to maintain its commercialization, research and development activities. The Company is addressing its liquidity needs by continuing to seek additional funding from public and/or private sources and by commencing its initial commercial sales. There are no assurances, however, that the Company will be able to obtain an adequate level of financing or commence an adequate level of initial commercial sales needed for the long-term development and commercialization of its product.

			According to management estimates, the Company has sufficient liquidity resources to continue its planned activity into October 2014. Nevertheless, to the extent required, management believes it could execute certain costs reduction measures which could enable the Company to continue to operate for up to an additional three months, although no assurances can be given that management would be able to execute on this plan if required.

	These conditions raise substantial doubt about the Company's ability to continue as a going concern. The accompanying financial statements do not include any adjustments to reflect the possible future effects on recoverability and classification of assets or the amounts and classification of liabilities that may result from the outcome of this uncertainty.

SIGNIFICANT_ACCOUNTING_POLICIE

SIGNIFICANT ACCOUNTING POLICIES	3 Months Ended
	Mar. 31, 2014
Accounting Policies [Abstract]	'
Significant Accounting Policies [Text Block]	'
	NOTE 2:-	SIGNIFICANT ACCOUNTING POLICIES

	The significant accounting policies applied in the annual financial statements of the Company as disclosed in the Company's Annual Report on Form 10-K for the period ended December 31, 2013 are applied consistently in these financial statements.

UNAUDITED_INTERIM_FINANCIAL_ST

UNAUDITED INTERIM FINANCIAL STATEMENTS	3 Months Ended
	Mar. 31, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]	'
Basis of Accounting [Text Block]	'
	NOTE 3:-	UNAUDITED INTERIM FINANCIAL STATEMENTS

	The accompanying unaudited interim consolidated financial statements as of March 31, 2014, have been prepared in accordance with U.S. generally accepted accounting principles and standards of the Public Company Accounting Oversight Board for interim financial information. Accordingly, they do not include all the information and footnotes required by generally accepted accounting principles in the United States for complete financial statements. In the opinion of management, the unaudited interim consolidated financial statements include all adjustments of a normal recurring nature necessary for a fair presentation of the Company's consolidated financial position as of March 31, 2014, and the Company's consolidated results of operations and the Company's consolidated cash flows for the three months ended March 31, 2014. Results for the three months ended March 31, 2014 are not necessarily indicative of the results that may be expected for the year ended December 31, 2014.

FAIR_VALUE_MEASUREMENTS

FAIR VALUE MEASUREMENTS	3 Months Ended
FAIR VALUE MEASUREMENTS	Mar. 31, 2014
Fair Value Disclosures [Abstract]	'
Fair Value Disclosures [Text Block]	'
	NOTE 4:-	FAIR VALUE MEASUREMENTS

	ASC 820, "Fair Value Measurements and Disclosures" ("ASC 820"), defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required to be recorded at fair value, the Company considers the principal or most advantageous market in which it would transact and considers assumptions that market participants would use when pricing the asset or liability, such as inherent risk, transfer restrictions and risk of nonperformance.

	ASC 820 also establishes a fair value hierarchy that requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. A financial instrument's categorization within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. ASC 820 establishes three levels of inputs that may be used to measure fair value:

		Level 1 -	quoted prices in active markets for identical assets or liabilities;

		Level 2 -	inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices in active markets for similar assets or liabilities, quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; or

		Level 3 -	unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

		a.	On March 30, 2012, the Company consummated the final closing of a private placement transaction (the "2011-2012 Private Placement") pursuant to which the investors purchased an aggregate of 2,461,000 shares of Common Stock and warrants to purchase 2,461,000 shares of Common Stock at the exercise price of $1.50 for total consideration of $2,461. The Company has registered the investors' shares of Common Stock, and shares of Common Stock underlying the warrants, issued in the 2011-2012 Private Placement for public resale in a registration statement (the "Initial Registration Statement") declared effective by the SEC on February 14, 2013.


	The placement agent for the 2011-2012 Private Placement and its permitted designees were granted warrants to purchase an aggregate of (i) 482,200 shares of Common Stock at the exercise price of $1.00 per share and (ii) 482,200 shares of Common Stock at the exercise price of $1.50 per share. Each of the aforementioned warrants issued in the 2011-2012 Private Placement (including those warrants issued to the placement agent) contained weighted average anti-dilution protection. Subsequent to the issuance of the 2011-2012 Private Placement warrants, the $1.50 exercise price for both the warrants issued to the investors and placement agent were adjusted to approximately $1.30 per share due to a certain anti-dilutive issuance and, accordingly, additional warrants to purchase an aggregate of 371,017 and 72,455 shares of Common Stock were granted to such investors and the placement agent and its designees, respectively.

			The Company accounts for such warrants (each of which include weighted average anti-dilution protection) as a liability according to the provisions of ASC 815-40, "Derivatives and Hedging - Contracts in Entity's Own Equity". The Company measures the warrants at fair value by using Binomial option-pricing model in each reporting period until the warrants are exercised or expired, with changes in the fair values being recognized in the Company's statement of comprehensive loss as financial income or expense.

	In estimating the warrants' fair value, the Company used the following assumptions:

	Investor warrants:

			March 31,				December 31,
			2014				2013

	Risk-free interest rate (1)			0.71	%			0.7	%
	Expected volatility (2)			52.51	%			52.09	%
	Expected life (in years) (3)			2.58				2.82
	Expected dividend yield (4)			0	%			0	%

	Fair value Warrants		$	0.73			$	0.74


	Placement agent warrants:

			March 31,				December 31,
			2014				2013

	Risk-free interest rate (1)			0.45%				0.50%
	Expected volatility (2)			54.38%				50.91%
	Expected life (in years) (3)			2.03				2.25
	Expected dividend yield (4)			0%				0%

	Fair value Warrants			$ 0.68-0.84				$ 0.67-0.83

		-1	Risk-free interest rate - based on yield rates of non-index linked U.S. Federal Reserve treasury bonds.

		-2	Expected volatility - was calculated based on actual historical stock price movements of companies in the same industry over a term that is equivalent to the expected term of the option.

		-3	Expected life - the expected life was based on the expiration date of the warrants.

		-4	Expected dividend yield - was based on the fact that the Company has not paid dividends to its shareholders in the past and does not expect to pay dividends to its shareholders in the future.


	The changes in Level 3 liabilities associated with the 2011-2012 Private Placement warrants are measured at fair value on a recurring basis. The following tabular presentation reflects the components of the liability associated with such warrants as of March 31, 2014:

			Fair value
			of liability
			related to
			warrants

	Balance at December 31, 2012		$	2,817
Change in fair value of warrants during the period			294
Exercise of warrants (*)			(415	)

Balance at December 31, 2013		$	2,696
Change in fair value of warrants during the period			(16	)
Exercise of warrants (*)			(9	)

Balance at March 31, 2014 (unaudited)		$	2,671

	(*)	During the year ended December 31, 2013, 141,305 and 88,485 investor and placement agent warrants, respectively, were exercised for a total amount of 194,146 shares of Common Stock of the Company.

		During the three month period ended March 31, 2014, the placement agent exercised 9,118 warrants for a total amount of 9,118 shares of Common Stock of the Company, respectively (See also Note 5c).

As of March 31, 2014, there were 3,629,964 outstanding (unexercised) warrants (including both investor and placement agent warrants) relating to the 2011-2012 Private Placement.

	b.	On February 18, 2014, the Company consummated a private placement transaction (the "February 2014 Private Placement") with institutional and other accredited investors, pursuant to which the Company issued units comprised of an aggregate of (i) 2,226,956 shares of common stock and (ii) warrants initially exercisable to purchase an aggregate of 1,670,216 shares of Common Stock. The price per unit issued in this offering was $1.88, yielding proceeds of approximately $3,813 net of issuance costs (See also note 5b).

The Company is obligated to grant to the placement agent for the February 2014 Private Placement warrants to purchase an aggregate of 144,885 shares of Common Stock at an exercise price of $2.35.


The warrants issued to the investors and placement agent in the February 2014 Private Placement are subject to adjustment upon the occurrence of certain events, including certain non-standard anti-dilution protection provisions. In addition, upon certain changes in control of the Company, the holder of a warrant can elect to receive, subject to certain limitations and assumptions, cash equal to the Black-Scholes value of the outstanding warrants.

The warrants issued to the investors and placement agent in the February 2014 Private Placement were exercisable immediately upon issuance and may be exercised at any time prior to the fifth (5^th) anniversary of the date that the warrant shares are registered for resale with the SEC or are able to be sold without restriction under Rule 144 under the Securities Act of 1933, as amended (the "Securities Act).

		The Company accounts for such warrants (each of which includes weighted average anti-dilution protection) as a liability according to the provisions of ASC 815-40, "Derivatives and Hedging - Contracts in Entity's Own Equity". The Company measures the warrants at fair value by using Binomial option-pricing model in each reporting period until they are exercised or expired, with changes in the fair values being recognized in the Company's statement of comprehensive loss as financial income or expense.

In estimating the warrants' fair value, the Company used the following assumptions:

Investors and placement agent warrants:

		March 31,				Issuance
		2014				date

Risk-free interest rate (1)			1.75	%			1.63	%
Expected volatility (2)			57.67	%			61.49	%
Expected life (in years) (3)			5.08				5.2
Expected dividend yield (4)			0	%			0	%

Fair value Warrants		$	1.71			$	1.78

	-1	Risk-free interest rate - based on yield rates of non-index linked U.S. Federal Reserve treasury bonds.

	-2	Expected volatility - was calculated based on actual historical stock price movements of companies in the same industry over a term that is equivalent to the expected term of the option.

	-3	Expected life - the expected life was based on the expiration date of the warrants.


	-4	Expected dividend yield - was based on the fact that the Company has not paid dividends to its shareholders in the past and does not expect to pay dividends to its shareholders in the future.

The changes in Level 3 liabilities associated with the February 2014 Private Placement warrants are measured at fair value on a recurring basis. The following tabular presentation reflects the components of the liability associated with such warrants as of March 31, 2014:

		Fair value
		of liability
		related to
		warrants

Balance at December 31, 2013		$	-
Fair value of warrants to investors and service provider			3,230
Change in fair value of warrants during the period			(126	)

Balance at March 31, 2014 (unaudited)		$	3,104

STOCKHOLDERS_DEFICIENCY

STOCKHOLDERS' DEFICIENCY	3 Months Ended
	Mar. 31, 2014
Equity [Abstract]	'
Stockholders' Equity Note Disclosure [Text Block]	'
	NOTE 5:-	STOCKHOLDERS' DEFICIENCY

		a.	Stock option compensation:

	On January 7, 2014, the Company's Board of Directors (with the recommendation of the Compensation Committee of the Board of Directors) approved the grants of 620,000 and 50,000 options to employees and to a consultant of the Company, respectively, at an exercise price of $1.85 per share. Such options to the Company’s employees vest over a period of 2 years commencing on the grant date. The options granted to the consultant of the Company were fully vested as of the grant date. All of the aforementioned options have ten year terms, unless otherwise approved by the Compensation Committee of the Board of Directors, and were issued under the Company's 2012 Equity Incentive Plan (the "2012 Plan").

			The total compensation cost related to all of the Company's equity-based awards recognized during the three month period ended March 31, 2014 was comprised as follows:

			Three months
			ended
			March 31,
			2014
			Unaudited

	Research and development		$	121
	Marketing and pre-production costs			42
	General and administrative			346

	Total stock-based compensation expenses		$	509

			As of March 31, 2014, the total amount of unrecognized stock-based compensation expense was approximately $1,124 which will be recognized over a weighted average period of 0.73 years.

		b.	On February 18, 2014, the Company consummated the February 2014 Private Placement with institutional and other accredited investors, pursuant to which the Company issued units comprised of an aggregate of (i) 2,226,956 shares of common stock and (ii) warrants initially exercisable to purchase an aggregate of 1,670,216 shares of Common Stock. The price per unit issued in this offering was $1.88, yielding gross proceeds of approximately $3,813 net of issuance costs.

	The placement agent for the February 2014 Private Placement received a cash fee and is entitled to receive 144,885 warrants to purchase Common Stock of the Company having the same terms and conditions as the investors warrants.

	Pursuant to the terms of the February 2014 Private Placement, the Company may be required to issue additional shares of Common Stock (the "Adjustment Shares") at a specified time to the investors in the February 2014 Private Placement in the event that the price per share of Common Stock in the February 2014 Private Placement is greater than the price per share of the Common Stock, calculated as 90% of the average of the ten (10) lowest weighted average prices of the Common Stock during the twenty (20) trading day period starting immediately following the earlier of the date on which the shares, shares of Common Stock underlying warrants and Adjustment Shares have been registered for resale with the SEC or are able to be sold without restriction under Rule 144 under the Securities Act; provided, that, subject to the terms and conditions of the February 2014 Private Placement, the Company may be required to issue further additional shares of Common Stock at one or more additional specified times if the shares of Common Stock issued in the February 2014 Private Placement are not freely tradable for certain specified minimum periods.

	The warrants issued in the February 2014 Private Placement are immediately exercisable at an exercise price of $2.35 per share and expire five years after the date that the shares of Common Stock underlying such warrants have been registered for resale with the SEC or are able to be sold without restriction under Rule 144 under the Securities Act. The warrants are subject to adjustment under certain circumstances, including "full ratchet" anti-dilution protection upon the issuance of any Common Stock (including the Adjustment Shares), securities convertible into Common Stock, or certain other issuances at a price below the then-existing exercise price, with certain exceptions. The warrants contain limitations that prevent the holder of any warrants from acquiring shares upon exercise of a warrant that would result in the number of shares beneficially owned by it and its affiliates to exceed 4.99% of the total number of shares of our Common Stock then issued and outstanding (which limit may be raised to 9.99% upon the request of the holder). In addition, upon certain changes in control of our Company, the holder of a warrant issued in the February 2014 Private Placement can elect to receive, subject to certain limitations and assumptions, cash equal to the Black-Scholes value of the outstanding warrants.

	The Company is in the process of registering the investors' shares of Common Stock and shares of Common Stock underlying the warrants that were issued in the February 2014 Private Placement for public resale in the Third Registration Statement.

		c.	During the three months ended March 31, 2014, proceeds from warrant exercises amounted to $256, of which $67 were received on April 1, 2014 following the issuance of 255,596 Common Stock.

SELECTED_STATEMENTS_OF_OPERATI

SELECTED STATEMENTS OF OPERATIONS DATA	3 Months Ended
SELECTED STATEMENTS OF OPERATIONS DATA	Mar. 31, 2014
Quarterly Financial Information Disclosure [Abstract]	'
Quarterly Financial Information [Text Block]	'
	NOTE 6:-	SELECTED STATEMENTS OF OPERATIONS DATA

		a.	General and administrative:

			Three months ended				Period from
			March 31,				August 11,
							2011
							(inception
							date) to March
							31,
			2014		2013		2014
			Unaudited

	Payroll, office and related		$	297	$	259	$	3,007
	Legal and professional fees			211		175		1,902
	Stock-based compensation			346		1,078		3,125
	Issuance of Common Stock and warrants to service provider			-		392		1,449

	Total General and administrative		$	854	$	1,904	$	9,483


		b.	Financial expenses, net:

			Three months ended				Period from
			March 31,				August 11,
							2011
							(inception
							date) to March
							31,
			2014		2013		2014

			Unaudited

	Bank charges		$	5	$	4	$	28
	Foreign currency adjustments losses			5		11		72
	Issuance cost related to warrants to investors and service provider			448		-		706
	Revaluation of warrants			-142		2,136		1,742

	Total Financial expenses, net		$	316	$	2,151	$	2,548

SUBSEQUENT_EVENTS

SUBSEQUENT EVENTS	3 Months Ended
	Mar. 31, 2014
Subsequent Events [Abstract]	'
Subsequent Events [Text Block]	'
		NOTE 7:-	SUBSEQUENT EVENTS

	On May 7, 2014 the Company’s Board of Directors approved the annual grant of 25,000 options to each of the Company’s non-employee directors. These options have an exercise price of $1.39, shall vest in quarterly arrears, have a cashless exercise feature and a ten year term. On the same date, the Board of Directors also approved a one-time grant of 150,000 fully-vested options to each of the two of the Company’s newest non-employee directors. These options have an exercise price of $1.39, have a cashless exercise feature and a ten year term.

	In addition, on the same date, the Board of Directors approved the granting of 380,000 options to the Company’s Scientific Advisory Board (the “SAB”). These options have an exercise price of $1.39, shall vest in quarterly arrears, have a cashless exercise feature and a ten year term.

	The abovementioned options to non-employee directors and the SAB were not issued under the Company’s 2012 Equity Incentive Plan.

FAIR_VALUE_MEASUREMENTS_Tables

FAIR VALUE MEASUREMENTS (Tables)	3 Months Ended
FAIR VALUE MEASUREMENTS (Tables)	Mar. 31, 2014
Private Placement warrants 2011-2012 [Member]	'
FAIR VALUE MEASUREMENTS [Line Items]	'
Warrants Fair Value [Table Text Block]	'
	In estimating the warrants' fair value, the Company used the following assumptions:

	Investor warrants:

			March 31,			December 31,
			2014			2013

	Risk-free interest rate (1)			0.71	%		0.7	%
	Expected volatility (2)			52.51	%		52.09	%
	Expected life (in years) (3)			2.58			2.82
	Expected dividend yield (4)			0	%		0	%

	Fair value Warrants		$	0.73		$	0.74


	Placement agent warrants:

			March 31,			December 31,
			2014			2013

	Risk-free interest rate (1)			0.45%			0.50%
	Expected volatility (2)			54.38%			50.91%
	Expected life (in years) (3)			2.03			2.25
	Expected dividend yield (4)			0%			0%

	Fair value Warrants			$ 0.68-0.84			$ 0.67-0.83

		-1	Risk-free interest rate - based on yield rates of non-index linked U.S. Federal Reserve treasury bonds.

		-2	Expected volatility - was calculated based on actual historical stock price movements of companies in the same industry over a term that is equivalent to the expected term of the option.

		-3	Expected life - the expected life was based on the expiration date of the warrants.

		-4	Expected dividend yield - was based on the fact that the Company has not paid dividends to its shareholders in the past and does not expect to pay dividends to its shareholders in the future.

Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block]	'
	The following tabular presentation reflects the components of the liability associated with such warrants as of March 31, 2014:

			Fair value
			of liability
			related to
			warrants

	Balance at December 31, 2012		$	2,817
	Change in fair value of warrants during the period			294
	Exercise of warrants (*)			(415	)

	Balance at December 31, 2013		$	2,696
	Change in fair value of warrants during the period			(16	)
	Exercise of warrants (*)			(9	)

	Balance at March 31, 2014 (unaudited)		$	2,671

		(*)	During the year ended December 31, 2013, 141,305 and 88,485 investor and placement agent warrants, respectively, were exercised for a total amount of 194,146 shares of Common Stock of the Company.

			During the three month period ended March 31, 2014, the placement agent exercised 9,118 warrants for a total amount of 9,118 shares of Common Stock of the Company, respectively (See also Note 5c).

February 2014 Private Placement warrants [Member]	'
FAIR VALUE MEASUREMENTS [Line Items]	'
Warrants Fair Value [Table Text Block]	'
	In estimating the warrants' fair value, the Company used the following assumptions:

	Investors and placement agent warrants:

			March 31,			Issuance
			2014			date

	Risk-free interest rate (1)			1.75	%		1.63	%
	Expected volatility (2)			57.67	%		61.49	%
	Expected life (in years) (3)			5.08			5.2
	Expected dividend yield (4)			0	%		0	%

	Fair value Warrants		$	1.71		$	1.78

		-1	Risk-free interest rate - based on yield rates of non-index linked U.S. Federal Reserve treasury bonds.

		-2	Expected volatility - was calculated based on actual historical stock price movements of companies in the same industry over a term that is equivalent to the expected term of the option.

		-3	Expected life - the expected life was based on the expiration date of the warrants.


		-4	Expected dividend yield - was based on the fact that the Company has not paid dividends to its shareholders in the past and does not expect to pay dividends to its shareholders in the future.

Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block]	'
	The following tabular presentation reflects the components of the liability associated with such warrants as of March 31, 2014:

			Fair value
			of liability
			related to
			warrants

	Balance at December 31, 2013		$	-
	Fair value of warrants to investors and service provider			3,230
	Change in fair value of warrants during the period			(126	)

	Balance at March 31, 2014 (unaudited)		$	3,104

STOCKHOLDERS_DEFICIENCY_Tables

STOCKHOLDERS' DEFICIENCY (Tables)	3 Months Ended
STOCKHOLDERS' DEFICIENCY (Tables)	Mar. 31, 2014
Equity [Abstract]	'
Schedule of Compensation Cost for Share-based Payment Arrangements, Allocation of Share-based Compensation Costs by Plan [Table Text Block]	'
		The total compensation cost related to all of the Company's equity-based awards recognized during the three month period ended March 31, 2014 was comprised as follows:

		Three months
		ended
		March 31,
		2014
		Unaudited

	Research and development	$	121
	Marketing and pre-production costs		42
	General and administrative		346

	Total stock-based compensation expenses	$	509

SELECTED_STATEMENTS_OF_OPERATI1

SELECTED STATEMENTS OF OPERATIONS DATA (Tables)	3 Months Ended
SELECTED STATEMENTS OF OPERATIONS DATA (Tables)	Mar. 31, 2014
Selected Statements Of Operations Data [Abstract]	'
Schedule of Other Operating Cost and Expense, by Component [Table Text Block]	'
		a.	General and administrative:

			Three months ended				Period from
			March 31,				August 11,
							2011
							(inception
							date) to March
							31,
			2014		2013		2014
			Unaudited

	Payroll, office and related		$	297	$	259	$	3,007
	Legal and professional fees			211		175		1,902
	Stock-based compensation			346		1,078		3,125
	Issuance of Common Stock and warrants to service provider			-		392		1,449

	Total General and administrative		$	854	$	1,904	$	9,483

Schedule of Other Nonoperating Income (Expense) [Table Text Block]	'
		b.	Financial expenses, net:

			Three months ended				Period from
			March 31,				August 11,
							2011
							(inception
							date) to March
							31,
			2014		2013		2014

			Unaudited

	Bank charges		$	5	$	4	$	28
	Foreign currency adjustments losses			5		11		72
	Issuance cost related to warrants to investors and service provider			448		-		706
	Revaluation of warrants			-142		2,136		1,742

	Total Financial expenses, net		$	316	$	2,151	$	2,548

GENERAL_Details_Textual

GENERAL (Details Textual) (USD $)	3 Months Ended		32 Months Ended
In Thousands, except Share data, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2014
Organization And Presentation Of Financial Statements [Line Items]	'	'	'
Operating Income (Loss)	$2,668	$3,076	$20,439
Net Cash Provided by (Used in) Operating Activities	$2,337	$972	$12,950
Common Stock [Member]	'	'	'
Organization And Presentation Of Financial Statements [Line Items]	'	'	'
Shares of Common Stock Underlying Warrants-Under Registration Statement For Public Resale	10,139,612	'	'
Warrant [Member]	'	'	'
Organization And Presentation Of Financial Statements [Line Items]	'	'	'
Shares of Common Stock Underlying Warrants-Under Registration Statement For Public Resale	6,242,440	'	'

FAIR_VALUE_MEASUREMENTS_Detail

FAIR VALUE MEASUREMENTS (Details) (USD $)

3 Months Ended

12 Months Ended

3 Months Ended

12 Months Ended

3 Months Ended

1 Months Ended

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Feb. 28, 2014

Investors Warrants [Member]

Placement Agent Warrants [Member]

Investors and placement agent warrants [Member]

Issuance Date [Member]

Maximum [Member]

Minimum [Member]

Investors and placement agent warrants [Member]

Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]

Risk-free interest rate

0.71%

[1]

0.70%

[1]

0.45%

[1]

0.50%

[1]

1.75%

[1]

1.63%

[1]

Expected volatility

52.51%

[2]

52.09%

[2]

54.38%

[2]

50.91%

[2]

57.67%

[2]

61.49%

[2]

Expected life (in years)

'2 years 6 months 29 days

[3]

'2 years 9 months 25 days

[3]

'2 years 11 days

[3]

'2 years 3 months

[3]

'5 years 29 days

[3]

'5 years 2 months 12 days

[3]

Expected dividend yield

0.00%

[4]

0.00%

[4]

0.00%

[4]

0.00%

[4]

0.00%

[4]

0.00%

[4]

Fair value Warrants

$0.73

$0.74

$0.84

$0.83

$0.68

$0.67

$1.71

$1.78

[1]

Risk-free interest rate - based on yield rates of non-index linked U.S. Federal Reserve treasury bonds.

[2]

Expected volatility - was calculated based on actual historical stock price movements of companies in the same industry over a term that is equivalent to the expected term of the option.

[3]

Expected life - the expected life was based on the expiration date of the warrants.

[4]

Expected dividend yield - was based on the fact that the Company has not paid dividends to its shareholders in the past and does not expect to pay dividends to its shareholders in the future.

FAIR_VALUE_MEASUREMENTS_Detail1

FAIR VALUE MEASUREMENTS (Details 1) (USD $)	3 Months Ended		12 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014		Dec. 31, 2013
February 2014 Private Placement warrants [Member]	'		'
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]	'		'
Balance at December 31, 2013	$0		'
Fair value of warrants to investors and service provider	3,230		'
Change in fair value of warrants during the period	-126		'
Balance at end of the year	3,104		'
Private Placement warrants 2011-2012 [Member]	'		'
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]	'		'
Balance at December 31, 2013	2,696		2,817
Change in fair value of warrants during the period	-16		294
Exercise of warrants	-9	[1]	-415	[1]
Balance at end of the year	$2,671		$2,696

[1]	During the year ended December 31, 2013, 141,305 and 88,485 investor and placement agent warrants, respectively, were exercised for a total amount of 194,146 shares of Common Stock of the Company. During the three month period ended March 31, 2014, the placement agent exercised 9,118 warrants for a total amount of 9,118 shares of Common Stock of the Company, respectively (See also Note 5c).

FAIR_VALUE_MEASUREMENTS_Detail2

FAIR VALUE MEASUREMENTS (Details Textual) (USD $)

3 Months Ended

12 Months Ended

3 Months Ended

12 Months Ended

3 Months Ended

12 Months Ended

3 Months Ended

In Thousands, except Share data, unless otherwise specified

Mar. 31, 2014

Dec. 31, 2012

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2012

Mar. 31, 2014

Common Stock [Member]

Investor [Member]

Placement Agents [Member]

Private Placement [Member]

February 2014 Private Placement warrants [Member]

Common Stock [Member]

Investor [Member]

Placement Agents [Member]

Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]

Stock Issued During Period Shares Private Placement

2,461,000

2,226,956

Stock To Be Issued Upon Conversion Of Warrants

482,200

Exercise Price of Warrants (in dollars per share)

$1.50

Proceeds from Issuance of Private Placement (in dollars)

$3,813

$2,461

Stock to be Issued Upon Conversion of Warrants (in shares)

1,670,216

2,461,000

482,200

144,885

Exercise Price of Warrants (in dollars per share)

$1.88

$1.50

$2.35

Exercise Price of Warrants Adjusted (in dollars per share)

$1.30

Stock to be Issued Upon Conversion of Warrants Additional Issue (in shares)

1,670,216

2,226,956

371,017

72,455

Class of Warrant or Right, Outstanding

3,629,964

Warrants exercised during Period

141,305

9,118

88,485

Stock Issued Upon Exercise of Warrants With Antidilution Provision

9,118

194,146

STOCKHOLDERS_DEFICIENCY_Detail

STOCKHOLDERS' DEFICIENCY (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'
Total stock-based compensation expenses	$509
Research and Development Expense [Member]	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'
Total stock-based compensation expenses	121
Marketing and Pre Production Costs [Member]	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'
Total stock-based compensation expenses	42
General and Administrative Expense [Member]	'
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]	'
Total stock-based compensation expenses	$346

STOCKHOLDERS_DEFICIENCY_Detail1

STOCKHOLDERS' DEFICIENCY (Details Textual) (USD $)

1 Months Ended

3 Months Ended

12 Months Ended

1 Months Ended

3 Months Ended

12 Months Ended

3 Months Ended

Apr. 30, 2014

Mar. 31, 2014

Dec. 31, 2013

Dec. 31, 2012

Apr. 30, 2014

Mar. 31, 2014

Dec. 31, 2012

Mar. 31, 2014

Equity Incentive Plan 2012 [Member]

Common Stock [Member]

Subsequent Event [Member]

Private Placement [Member]

February 2014 Private Placement [Member]

Maximum [Member]

Investor [Member]

Common Stock [Member]

Placement Agents [Member]

Class of Stock [Line Items]

Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross

620,000

Share-based Goods and Nonemployee Services Transaction, Shares Approved for Issuance

50,000

Share Based Compensation Arrangements By Share Based Payment Award Options Grants To Nonemployees In Period Weighted Average Exercise Price (in dollars per shares)

$1.85

Stock Option Vesting Period

'2 years

Stock Option Maximum Term

'10 years

Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Total

$1,124

Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition

'8 months 23 days

Stock Issued During Period Shares Private Placement

2,461,000

2,226,956

Stock To Be Issued Upon Conversion Of Warrants1

1,670,216

2,461,000

144,885

Sale Of Stock Price Per Unit

1.88

Exercise Price of Warrants (in dollars per share)

$1.50

$2.35

Proceeds from Issuance of Private Placement Net of Issuance Cost

$3,813

Proceeds From Exercise Of Warrants

256

Warrants Expiration Period

'5 years

Percentage Of Aggregate Of Weighted Average Prices Of Common Stock

90.00%

Percentage Of Common Shares Held By Affiliates

4.99%

Increase In Limit Of Common Shares Held By Affiliates

9.99%

Stock Issued During Period Shares Warrants Exercised

255,596

300,771

SELECTED_STATEMENTS_OF_OPERATI2

SELECTED STATEMENTS OF OPERATIONS DATA (Details) (USD $)	3 Months Ended		32 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2014
Selected Statements Of Operations Data [Line Items]	'	'	'
Payroll, office and related	$297	$259	$3,007
Legal and professional fees	211	175	1,902
Stock-based compensation	346	1,078	3,125
Issuance of Common Stock and warrants to service provider	0	392	1,449
Total General and administrative	$854	$1,904	$9,483

SELECTED_STATEMENTS_OF_OPERATI3

SELECTED STATEMENTS OF OPERATIONS DATA (Details 1) (USD $)	3 Months Ended		32 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2014
Selected Statements Of Operations Data [Line Items]	'	'	'
Bank charges	$5	$4	$28
Foreign currency adjustments losses	5	11	72
Issuance cost related to warrants to investors and service provider	448	0	706
Revaluation of warrants	-142	2,136	1,742
Total Financial expenses, net	$316	$2,151	$2,548

SUBSEQUENT_EVENTS_Details_Text

SUBSEQUENT EVENTS (Details Textual) (USD $)	3 Months Ended	0 Months Ended
	Mar. 31, 2014	7-May-14	7-May-14	7-May-14
		Subsequent Event [Member]	Subsequent Event [Member]	Subsequent Event [Member]
		Non-Employee Directors [Member]	Two-Non employee directors [Member]	Scientific Advisory Board [Member]
Subsequent Event [Line Items]	'	'	'	'
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized	'	25,000	'	'
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price	'	$1.39	$1.39	$1.39
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period	'	'10 years	'10 years	'10 years
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross	620,000	'	150,000	380,000